,i #aafth ,,congress #b;d ,session ,h4 ,r4 #gdeb ,,in ,,the ,,house ,,of ,,representatives ,july #a1 #bjbj,ms4 ,finkenauer introduced the following bill2 which was referred to the ,committee on ,agriculture ,a ,,bill ,to require the ,secretary of ,agriculture to provide relief from hardship due to the ,,covid-#ai pandemic to certain borrowers of rural development loans1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,relief for ,rural ,development ,borrowers ,act4 #b4 ,subsidy for payments and loan deferment for rural development loans 7a7 ,definition of secretary ,in this section1 the term ,secretary means the ,secretary of ,agriculture4 7b7 ,subsidy for certain loan payments 7#a7 ,definition of covered loan ,in this subsection1 the term covered loan means-- 7,a7 a business and industry guaranteed loan under section #caj;,b7g7 of the ,consolidated ,farm and ,rural ,development ,act 7#g ,u4,s4,c4 #aicb7;g771 other than such a loan guaranteed using amounts made available for the ,rural ,business ,program ,account by title ,i of division ,b of the ,coronavirus ,aid1 ,relief1 and ,economic ,security ,act 7,public ,law #aaf-acf72 7,b7 a community facility guaranteed loan under section #cjf7;a7 of the ,consolidated ,farm and ,rural ,development ,act 7#g ,u4,s4,c4 #aibf7;a772 and 7,c7 a community facility direct loan under section #cjf7;a7 of the ,consolidated ,farm and ,rural ,development ,act 7#g ,u4,s4,c4 #aibf7;a774 7#b7 ,principal and interest payments 7,a7 ,in general ,the ,secretary shall pay the principal1 interest1 and any associated fees that are owed on a covered loan in a regular servicing status-- 7i7 with respect to a covered loan made before the date of enactment of this ,act and not on deferment1 for the #f-month period beginning with the next payment due on the covered loan2 7ii7 with respect to a covered loan made before the date of enactment of this ,act and on deferment1 for the #f-month period beginning with the next payment due on the covered loan after the deferment period2 and 7iii7 with respect to a covered loan made during the period beginning on the date of enactment of this ,act and ending on the date that is #f months after that date of enactment1 for the #f-month period beginning with the first payment due on the covered loan4 7,b7 ,timing of payment ,the ,secretary shall begin making payments under subparagraph 7,a7 on a covered loan not later than #cj days after the date on which the first payment described in that subparagraph is due4 7,c7 ,application of payment ,any payment made by the ,secretary under subparagraph 7,a7 shall be applied to the covered loan such that the borrower is relieved of the obligation to pay that amount4 7#c7 ,other requirements ,the ,secretary shall-- 7,a7 communicate and coordinate with the ,federal ,deposit ,insurance ,corporation1 the ,office of the ,comptroller of the ,currency1 and ,state bank regulators to encourage those entities to not require lenders to increase their reserves on account of receiving payments made by the ,secretary under paragraph 7#b72 7,b7 waive statutory limits on maximum loan maturities for any covered loan durations where the lender provides a deferral and extends the maturity of covered loans during the #a-year period following the date of enactment of this ,act2 and 7,c7 when necessary to provide more time because of the potential of higher volumes1 travel restrictions1 and the inability to access some properties during the ,,covid-#ai pandemic1 extend lender site visit requirements to-- 7i7 not more than #fj days 7which may be extended at the discretion of the ,secretary7 after the occurrence of an adverse event1 other than a payment default1 causing a loan to be classified as in liquidation2 and 7ii7 not more than #ij days after a payment default4 7#d7 ,effect ,nothing in this section limits the authority of the ,secretary to make payments pursuant to paragraph 7#b7 with respect to a covered loan solely because the covered loan has been sold in the secondary market4 7c7 ,subsidy for other loan payments 7#a7 ,definition of covered loan ,in this subsection1 the term covered loan means a rural development loan made or guaranteed by the ,secretary1 other than a loan described in subparagraph 7,a71 7,b71 or 7,c7 of subsection 7b77#a74 7#b7 ,principal and interest payments ,the ,secretary shall pay the principal1 interest1 and fees1 for a borrower of a covered loan the application of which is approved under paragraph 7#d77;,b7-- 7,a7 with respect to a covered loan made before the date of enactment of this ,act and not otherwise on deferment1 for the #f-month period beginning with the next payment due on the covered loan2 7,b7 with respect to a covered loan made before the date of enactment of this ,act and otherwise on deferment1 for the #f-month period beginning with the next payment due on the covered loan after the deferment period2 and 7,c7 with respect to a covered loan made during the period beginning on the date of enactment of this ,act and ending on the date that is #f months after that date of enactment1 for the #f-month period beginning with the first payment due on the covered loan4 7#c7 ,loans held by other lenders ,in the case of a covered loan held by a lender that is not the ,secretary1 the ,secretary shall require the lender to provide the complete payment deferment relief described in paragraph 7#b74 7#d7 ,applications 7,a7 ,in general ,a borrower seeking payment subsidies under paragraph 7#b7 or 7#c7 shall submit to the ,secretary an application in such manner and containing such information as the ,secretary may require4 7,b7 ,determinations ,the ,secretary shall approve an application submitted under subparagraph 7,a7 by a borrower that1 as determined by the ,secretary and demonstrated in the application-- 7i7 is unable to make payments on a covered loan because of a temporary cash flow disruption due to the ,,covid-#ai pandemic2 and 7ii7 makes a good faith certification that the current economic conditions have made payment deferment relief necessary4 7#e7 ,secondary market ,with respect to a covered loan that is sold on the secondary market1 if an investor declines to approve a deferral requested by a lender under paragraph 7#c71 the ,secretary shall exercise the authority to purchase the covered loan so that the borrower may receive a deferral under this subsection4 7#f7 ,guidance ,not later than #cj days after the date of enactment of this ,act1 the ,secretary shall provide guidance on the deferment process described in this subsection4 7d7 ,waiver authority 7#a7 ,in general ,the ,secretary may waive any requirement that a borrower of a covered loan reduce or eliminate a debt reserve established by the borrower1 as a condition of granting a loan deferment under this section4 7#b7 ,conditions ,the ,secretary may provide such a waiver-- 7,a7 when a borrower is seeking deferment as the result of an inability to make payments on a covered loan 7as defined in subsection 7b77#a7 because of a temporary cash flow disruption due to the ,,covid-#ai pandemic1 if paying down a reserve established by the borrower for debt servicing poses a threat to the continuing financial stability of the borrower2 and 7,b7 under other conditions as the ,secretary may deem necessary4