
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 7USC2006a]

 
                          TITLE 7--AGRICULTURE
 
                     CHAPTER 50--AGRICULTURAL CREDIT
 
                SUBCHAPTER IV--ADMINISTRATIVE PROVISIONS
 
Sec. 2006a. Borrower training


(a) In general

    The Secretary shall enter into contracts to provide educational 
training to all borrowers of farmer program direct loans made under this 
chapter in financial and farm management concepts associated with 
commercial farming.

(b) Contract

                           (1) In general

        The Secretary may contract with State or private providers of 
    farm management and credit counseling services (including a 
    community college, the extension service of a State, a State 
    department of agriculture, or a nonprofit organization) to carry out 
    this section.

                          (2) Consultation

        The Secretary may consult with the chief executive officer of a 
    State concerning the identity of the contracting organization and 
    the process for contracting.

(c) Eligibility for loans

                           (1) In general

        Subject to paragraph (2), to be eligible to obtain a direct loan 
    under this chapter, a borrower must obtain management assistance 
    under this section, appropriate to the management ability of the 
    borrower (as determined by the appropriate county committee 
    established pursuant to section 1982 \1\ of this title, during the 
    determination of eligibility for the loan).
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    \1\ See References in Text note below.
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                         (2) Loan conditions

        The need of a borrower who satisfies the criteria set out in 
    section 1922(a)(2) or 1941(a)(2) of this title for management 
    assistance under this section shall not be cause for denial of 
    eligibility of the borrower for a direct loan under this chapter.

(d) Guidelines and curriculum

    The Secretary shall issue regulations establishing guidelines and 
curriculum for the borrower training program established under this 
section.

(e) Payment

    A borrower shall pay for training received under this section, and 
may use funds from operating loans made under subchapter II of this 
chapter to pay for the training.

(f) Waivers

    The Secretary may waive the requirements of this section for an 
individual borrower on a determination by the county committee that the 
borrower demonstrates adequate knowledge in areas described in this 
section.

(Pub. L. 87-128, title III, Sec. 359, as added Pub. L. 101-624, title 
XVIII, Sec. 1818(a), Nov. 28, 1990, 104 Stat. 3829; amended Pub. L. 105-
277, div. A, Sec. 101(a) [title VIII, Sec. 805(3)], Oct. 21, 1998, 112 
Stat. 2681, 2681-39.)

                       References in Text

    For definition of ``this chapter'', referred to in subsecs. (a) and 
(c), see note set out under section 1921 of this title.
    Section 1982 of this title, referred to in subsec. (c)(1), was 
repealed by Pub. L. 103-354, title II, Sec. 227(b)(1), Oct. 13, 1994, 
108 Stat. 3218.


                               Amendments

    1998--Subsec. (a). Pub. L. 105-277, Sec. 101(a) [title VIII, 
Sec. 805(3)(A)], struck out ``and guaranteed'' after ``direct''.
    Subsec. (c). Pub. L. 105-277, Sec. 101(a) [title VIII, 
Sec. 805(3)(B)], struck out ``or guaranteed'' after ``direct'' in pars. 
(1) and (2).

                  Section Referred to in Other Sections

    This section is referred to in sections 1942, 1949, 1981, 2006b of 
this title.
