Releasing Information

FARM CREDIT SYSTEM INSURANCE CORPORATION

12 CFR Part 1402

Releasing Information

AGENCY: Farm Credit System Insurance Corporation.

ACTION: Final rule.

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SUMMARY: The Farm Credit System Insurance Corporation (Corporation)

adopts final regulations relating to the public availability of

Corporation records. The final regulations implement requirements of

the Freedom of Information Act relating to receipt and processing of

requests for Corporation records, fees to be charged and procedures to

be followed in processing requests for records, and requests for waiver

or reduction in fees under the Freedom of Information Act. The final

regulations will assist the public in requesting records from the

Corporation. The final regulations also implement provisions of

Executive Order 12600 by providing predisclosure notification

procedures for confidential or financial information.

EFFECTIVE DATE: June 13, 1994.

FOR FURTHER INFORMATION CONTACT:

Ronald H. Erickson, Freedom of Information Officer, Farm Credit System

Insurance Corporation, McLean, Virginia 22102-0826, (703) 883-4113, or

Jane M. Virga, Senior Attorney, Office of General Counsel, 1501 Farm

Credit Drive, McLean, Virginia 22102-0826, (703) 883-4020, TDD (703)

883-4444.

SUPPLEMENTARY INFORMATION: On November 8, 1993, the Corporation

proposed regulations setting forth procedures to be used in requesting

access to and responding to requests for Corporation records. See 58 FR

59210. Essentially, the Corporation proposed regulations that provided

that all requests for access to Corporation records must be in writing,

adequately describe the material sought, and be sent to the Corporation

in McLean, Virginia. The proposed regulations delegated to the Freedom

of Information Officer authority to make initial determinations

concerning requests for access to records, and provided procedures for

final Corporation decisions on administrative appeals. The proposed

regulations also recited the statutory bases for exemption from

disclosure and provided that any reasonably segregable portion of a

record shall be produced as provided by the Freedom of Information Act,

5 U.S.C. 552 (FOIA). The proposed regulations provided a fee structure

consistent with the Uniform Freedom of Information Act Fee Schedule and

Guidelines published by the Office of Management and Budget on March

27, 1987 (52 FR 10012). The proposed regulations also set forth factors

to be considered in determining whether to waive or reduce fees.

Consistent with Executive Order 12600 published on June 23, 1987,

pertaining to access to certain information submitted to an agency, the

proposed regulations provided that, upon receipt of a request for

possibly confidential commercial or financial information which may be

protected from disclosure under FOIA exemption (b)(4), the Corporation

shall notify the submitter and provide an opportunity to comment on

possible disclosure. The Corporation did not receive any comments in

response to the proposed regulations. The Corporation now adopts 12 CFR

part 1402 as a final regulation without any revision.

List of Subjects in 12 CFR Part 1402

Archives and records, Freedom of Information Act, Information,

Records, Bonds, Insurance.

For the reasons set out in the preamble, part 1402 of chapter XIV,

title 12 of the Code of Federal Regulations is added to read as

follows:

PART 1402--RELEASING INFORMATION

Sec.

Subpart A--[Reserved]

Subpart B--Availability of Records of the Farm Credit System Insurance

Corporation

1402.10 Official records of the Farm Credit System Insurance

Corporation.

1402.11 Current index.

1402.12 Identification of records requested.

1402.13 Request for records.

1402.14 Response to requests for records.

1402.15 Business information.

Subpart C--Fees for Provision of Information

1402.20 Definitions.

1402.21 Categories of requesters--fees.

1402.22 Fees to be charged.

1402.23 Waiver or reduction of fees.

1402.24 Advance payments--notice.

1402.25 Interest.

1402.26 Charges for unsuccessful searches or reviews.

1402.27 Aggregating requests.

Authority: Secs. 5.58, 5.59 of the Farm Credit Act (12 U.S.C.

2277a-7, 2277a-8); 5 U.S.C. 552; E.O. 12600, 52 FR 23781, 3 CFR,

1987 Comp., p. 235.

Subpart A--[Reserved]

Subpart B--Availability of Records of the Farm Credit System

Insurance Corporation

Sec. 1402.10 Official records of the Farm Credit System Insurance

Corporation.

(a) The Farm Credit System Insurance Corporation shall, upon any

request for records which reasonably describes them and is made in

accordance with the provisions of this subpart, make the records

available as promptly as practicable to any person, except exempt

records, which include the following:

(1) Records specifically authorized under criteria established by

an Executive order to be kept secret in the interest of national

defense or foreign policy and are in fact properly classified pursuant

to such Executive order;

(2) Records related solely to the internal personnel rules and

practices of the Farm Credit System Insurance Corporation, including

matters which are for the guidance of agency personnel;

(3) Records which are specifically exempted from disclosure by

statute;

(4) Trade secret, commercial, proprietary, or financial information

obtained from any person or organization and privileged or

confidential;

(5) Inter-agency or intra-agency memorandums or letters which would

not be available by law to a private party in litigation with the Farm

Credit System Insurance Corporation or in litigation in which the

United States, as a real party in interest on behalf of the Farm Credit

System Insurance Corporation, is a party;

(6) Personnel and similar files, the disclosure of which would

constitute a clearly unwarranted invasion of personal privacy;

(7) Records or information compiled for law enforcement purposes,

but only to the extent that the production of such law enforcement

records or information:

(i) Could reasonably be expected to interfere with enforcement

proceedings;

(ii) Would deprive a person of a right to a fair trial or an

impartial adjudication;

(iii) Could reasonably be expected to constitute an unwarranted

invasion of personal privacy;

(iv) Could reasonably be expected to disclose the identity of a

confidential source, including a State, local, or foreign agency or

authority or any private institution which furnished information on a

confidential basis, and, in the case of a record or information

compiled by criminal law enforcement authority in the course of a

criminal investigation or by an agency conducting a lawful national

security intelligence investigation, information furnished by a

confidential source;

(v) Would disclose techniques and procedures for law enforcement

investigations or prosecutions, or would disclose guidelines for law

enforcement investigations or prosecutions if such disclosure could

reasonably be expected to risk circumvention of the law; or

(vi) Could reasonably be expected to endanger the life or physical

safety of any individual; and

(8) Records of or related to examination, operation, reports of

condition and performance, or reports of or related to Farm Credit

System institutions and that are prepared by, on behalf of, or for the

use of the Farm Credit System Insurance Corporation.

(b) Any reasonably segregable portion of a record shall be provided

to any person requesting such record after deletion of the portions

which are exempt under this section.

(c) This section does not authorize withholding of information or

limit the availability of records to the public, except as specifically

stated in this section. This section is not authority to withhold

information from Congress.

Sec. 1402.11 Current index.

The Farm Credit System Insurance Corporation will make available

for public inspection and copying a current index to provide

identifying information as to any matter required by 5 U.S.C.

552(a)(2)(C) to be made available or published in the Federal Register.

Because of the anticipated infrequency of requests for material

required to be indexed, it is determined that the publication of the

index in the Federal Register is unnecessary and impracticable.

However, the Farm Credit System Insurance Corporation will provide a

copy of such index to a member of the public upon request therefor at a

cost not in excess of the direct cost of duplication.

Sec. 1402.12 Identification of records requested.

A member of the public who requests records from the Farm Credit

System Insurance Corporation shall provide a reasonable description of

the records sought including, where possible, specific information as

to dates, titles, and subject matter, so that such records may be

located without undue search or inquiry. If a record is not identified

by a reasonable description, the request therefor may be denied.

Sec. 1402.13 Request for records.

Requests for records shall be in writing, in an envelope clearly

marked ``FOIA Request,'' and addressed to the Freedom of Information

Officer, Farm Credit System Insurance Corporation, McLean, Virginia

22102-0826. A request improperly addressed will be deemed not to have

been received for purposes of the 10-day time period set forth in

Sec. 1402.14(a) until it is received, or would have been received with

the exercise of due diligence by the Freedom of Information Officer.

Records requested in conformance with this subpart and which are not

exempt records may be received in person or by mail as specified in the

request. Records to be received in person will be available for

inspection or copying during business hours on a regular business day

in the offices of the Farm Credit System Insurance Corporation, McLean,

Virginia 22102-0826.

Sec. 1402.14 Response to requests for records.

(a) Within 10 days (excluding Saturdays, Sundays, and legal public

holidays), or any extension thereof as provided in paragraph (d) of

this section, of the receipt of a request, the Freedom of Information

Officer shall determine whether to comply with or to deny such request

and place a notice thereof in writing in the mail addressed to the

requester.

(b) Within 30 days of the receipt of a notice denying, in whole or

in part, a request for records, the requester may appeal the denial.

The appeal shall be in writing addressed to the Chief Financial

Officer, Farm Credit System Insurance Corporation, and both the letter

and envelope shall be clearly marked ``FOIA Appeal.'' An appeal

improperly addressed shall be deemed not to have been received for

purposes of the 20-day time period set forth in paragraph (c) of this

section until it is received, or would have been received with the

exercise of due diligence by Farm Credit System Insurance Corporation

personnel.

(c) Within 20 days (excluding Saturdays, Sundays, and legal public

holidays), or any extension thereof as provided in paragraph (d) of

this section, of the receipt of an appeal, the Farm Credit System

Insurance Corporation shall act upon the appeal and place a notice of

the determination thereof in writing in the mail addressed to the

requester. If the determination on the appeal upholds in whole or in

part the denial of the request for records, or, if a determination on

the appeal has not been mailed at the end of the 20-day period or the

last extension thereof, the requester is deemed to have exhausted that

person's administrative remedies, giving rise to a right of review in a

district court of the United States as specified in 5 U.S.C. 552(a)(4).

When a determination cannot be mailed within the applicable time limit,

the appeal will nevertheless be processed. In such case, upon the

expiration of the time limit, the requester will be informed of the

reason for the delay, of the date on which a determination may be

expected to be mailed, and of that person's right to seek judicial

review. The requester may be asked to forego judicial review until

determination of the appeal.

(d) In unusual circumstances as specified in this paragraph the 10-

day time limit prescribed in paragraph (a) of this section or the 20-

day time limit prescribed in paragraph (c) of this section, or both,

may be extended provided that the total of all extensions shall not

exceed 10 days (excluding Saturdays, Sundays, and legal public

holidays). Extensions shall be made by written notice to the requester

setting forth the reasons for the extension and the date on which a

determination is expected to be mailed. As used in this paragraph,

unusual circumstances means, but only to the extent necessary to the

proper processing of the request:

(1) The need to search for and collect the requested records from

field facilities or other establishments that are separate from the

office processing the request;

(2) The need to search for, collect, and appropriately examine a

voluminous amount of separate and distinct records which are demanded

in a single request; or

(3) The need for consultation, which shall be conducted with all

practicable speed, with another agency having a substantial interest in

the determination of the request or among two or more components of the

Farm Credit System Insurance Corporation having substantial subject-

matter interest therein.

Sec. 1402.15 Business information.

(a) Business information provided to the Farm Credit System

Insurance Corporation by a business submitter shall not be disclosed

pursuant to a Freedom of Information Act request except in accordance

with this section. The requirements of this section shall not apply if:

(1) The Farm Credit System Insurance Corporation determines that

the information should not be disclosed;

(2) The information lawfully has been published or otherwise made

available to the public; or

(3) Disclosure of the information is required by law (other than 5

U.S.C. 552).

(b) For the purpose of this section, the following definitions

shall apply.

(1) Business information means trade secrets or other commercial or

financial information.

(2) Business submitter means any person or entity which provides

business information to the government.

(3) Requester means the person or entity making the Freedom of

Information Act request.

(c)(1) The Freedom of Information Officer shall, to the extent

permitted by law, provide a business submitter with prompt written

notice of a request encompassing its business information whenever

required under paragraph (d) of this section. Such notice shall either

describe the exact nature of the business information requested or

provide copies of the records or portions thereof containing the

business information.

(2) Whenever the Freedom of Information Officer provides a business

submitter with the notice set forth in paragraph (c)(1) of this

section, the Freedom of Information Officer shall notify the requester

that the request includes information that may arguably be exempt from

disclosure under 5 U.S.C. 552(b)(4) and that the person or entity who

submitted the information to the Farm Credit System Insurance

Corporation has been given the opportunity to comment on the proposed

disclosure of information.

(d)(1) The Farm Credit System Insurance Corporation shall provide a

business submitter with notice of a request whenever:

(i) The business submitter has in good faith designated the

information as commercially or financially sensitive information; or

(ii) The Farm Credit System Insurance Corporation has reason to

believe that the disclosure of the information may result in commercial

or financial injury to the business submitter.

(2) Notice of a request for business information falling within

paragraph (d)(1)(i) of this section shall be required for a period of

not more than 10 years after the date of submission unless the business

submitter requests and provides acceptable justification for a specific

notice period of greater duration.

(3) Whenever possible, the business submitter's claim of

confidentiality should be supported by a statement or certification by

an officer or authorized representative of the business submitter that

the information in question is in fact a trade secret or commercial or

financial information that is privileged or confidential.

(e) Through the notice described in paragraph (c) of this section,

the Farm Credit System Insurance Corporation shall, to the extent

permitted by law, afford a business submitter a reasonable period

within which it can provide the Farm Credit System Insurance

Corporation with a detailed statement of any objection to disclosure.

Such statement shall specify all grounds for withholding any of the

information under any exemption of the Freedom of Information Act and,

in the case of the exemption provided by 5 U.S.C. 552(b)(4), shall

demonstrate why the information is contended to be a trade secret or

commercial or financial information that is privileged or confidential.

Information provided by a business submitter pursuant to this paragraph

may itself be subject to disclosure under the Freedom of Information

Act.

(f)(1) The Farm Credit System Insurance Corporation shall consider

carefully a business submitter's objections and specific grounds for

nondisclosure prior to determining whether to disclose business

information. Whenever the Farm Credit System Insurance Corporation

decides to disclose business information over the objection of a

business submitter, the Freedom of Information Officer shall forward to

the business submitter a written notice which shall include:

(i) A statement of the reasons for which the business submitter's

disclosure objections were not sustained;

(ii) A description of the business information to be disclosed; and

(iii) A specified disclosure date.

(2) The notice of intent to disclose required by this paragraph

shall be sent, to the extent permitted by law, within a reasonable

number of days prior to the specified date upon which disclosure is

intended.

(3) The Freedom of Information Officer shall send a copy of such

disclosure notice to the requester at the same time the notice is sent

to the business submitter.

(g) Whenever a requester brings suit seeking to compel disclosure

of business information covered by paragraph (d) of this section, the

Farm Credit System Insurance Corporation shall promptly notify the

business submitter of such action.

Subpart C--Fees for Provision of Information

Sec. 1402.20 Definitions.

For the purpose of this subpart, the following definitions shall

apply:

(a) Commercial use request means a request for information that is

from or on behalf of an individual or entity seeking information for a

use or purpose that furthers the commercial, trade, or profit interests

of the requester or on whose behalf the request is being made. To

determine whether a request is properly classified as a commercial use

request, the Farm Credit System Insurance Corporation shall determine

the purpose for which the documents requested will be used. If the Farm

Credit System Insurance Corporation has reasonable cause to doubt the

purpose specified in the request, for which a requester will use the

records sought, or where the purpose is not clear from the request

itself, the Farm Credit System Insurance Corporation shall seek

additional clarification before assigning the request to a specified

category.

(b) Direct costs means those expenditures the Farm Credit System

Insurance Corporation actually incurs in searching for and reproducing

documents to respond to a request for information. In the case of a

commercial use request, the term also means those expenditures the Farm

Credit System Insurance Corporation actually incurs in reviewing

documents to respond to the request. The direct cost shall include the

salary of the employee performing work (the basic rate of pay for the

employee plus 16 percent of that rate to cover benefits) and the cost

of operating reproduction equipment. Not included in direct costs are

overhead expenses such as costs of space, and heating or lighting the

facility in which the records are stored.

(c) Educational institution means a preschool, a public or private

elementary or secondary school, an institution of undergraduate higher

education, an institution of graduate higher education, an institution

of professional education, and an institution of vocational education

that operates a program or programs of scholarly research.

(d) Noncommercial scientific institution refers to an institution

that is not operated on a commercial, trade, or profit basis and that

is operated solely for the purpose of conducting scientific research,

the results of which are not intended to promote any particular product

or industry.

(e) Representative of the news media means any person actively

gathering news for an entity that is organized and operated to publish

or broadcast news to the public. The term news means information that

is about current events or that would be of current interest to the

public. Examples of news media entities include television or radio

stations broadcasting to the public at large, and publishers of

periodicals (but only in those instances when the periodicals can

qualify as disseminators of ``news'') who make their products available

for purchase or subscription by the general public. These examples are

not intended to be all-inclusive. As traditional methods of news

delivery evolve (e.g., electronic dissemination of newspapers through

telecommunication services), such alternative media would be included

in this category. ``Freelance'' journalists may be regarded as working

for a news organization if they can demonstrate a solid basis for

expecting publication through that organization even though they are

not actually employed by the organization. A publication contract would

be the clearest proof that a journalist is working for a news

organization, but the Farm Credit System Insurance Corporation may look

to a requester's past publication record to determine whether a

journalist is working for a news organization.

(f) Reproduce and reproduction mean the process of making a copy of

a document necessary to respond to a request for information. Such

copies take the form of paper copy, microfilm, audio-visual materials,

or machine readable documentation (e.g., magnetic tape or disk), among

others. The copy provided shall be in a form that is reasonably usable

by requesters.

(g) Review means the process of examining documents located in

response to a request for information to determine whether any portion

of any document located is permitted to be withheld. It also includes

processing any documents for disclosure (e.g., doing all that is

necessary to prepare the documents for release). The term review does

not include the time spent resolving general legal or policy issues

regarding the application of exemptions. The Farm Credit System

Insurance Corporation shall only charge fees for reviewing documents in

response to a commercial use request.

(h) Search includes all time spent looking for material that is

responsive to a request for information, including page-by-page or

line-by-line identification of material within documents. Searching for

material shall be done in the most efficient and least expensive manner

so as to minimize the costs of the Farm Credit System Insurance

Corporation and the requester. For example, a line-by-line search for

responsive material should not be performed when merely reproducing an

entire document would be the less expensive and the faster method of

complying with a request for information. Searches may be done manually

or by computer using existing programming. A ``search'' for material

that is responsive to a request should be distinguished from a

``review'' of material to determine whether the material is exempt from

disclosure.

Sec. 1402.21 Categories of requesters--fees.

There are four categories of requesters: Commercial use requesters;

educational and noncommercial scientific institutions; representatives

of the news media; and all other requesters.

(a) The Farm Credit System Insurance Corporation shall charge fees

for records requested by or on behalf of educational institutions and

noncommercial scientific institutions in an amount which equals the

cost of reproducing the documents responsive to the request, excluding

the costs of reproducing the first 100 pages. For a request to be

included in this category, requesters must show that the request being

made is authorized by and under the auspices of a qualifying

institution and that the records are not sought for a commercial use

but are sought in furtherance of scholarly research (if the request is

from an educational institution) or scientific research (if the request

is from a noncommercial scientific institution).

(b) The Farm Credit System Insurance Corporation shall charge fees

for records requested by representatives of the news media in an amount

which equals the cost of reproducing the documents responsive to the

request, excluding the costs of reproducing the first 100 pages. For a

request to be included in this category, the requester must qualify as

a representative of the news media and the request must not be made for

a commercial use. A request for records supporting the news

dissemination function of the requester shall not be considered to be a

request that is for a commercial use.

(c) The Farm Credit System Insurance Corporation shall charge fees

for records requested by persons or entities making a commercial use

request in an amount that equals the full direct costs for searching

for, reviewing for release, and reproducing the records sought.

Commercial use requesters are not entitled to 2 hours of free search

time nor 100 free pages of reproduction of documents. In accordance

with Sec. 1402.26, commercial use requesters may be charged the costs

of searching for and reviewing records even if there is ultimately no

disclosure of records.

(d) The Farm Credit System Insurance Corporation shall charge fees

for records requested by persons or entities that are not classified in

any of the categories listed in paragraphs (a), (b), or (c) of this

section in an amount that equals the full reasonable direct cost of

searching for and reproducing records that are responsive to the

request, excluding the first 2 hours of search time and the cost of

reproducing the first 100 pages of records. In accordance with

Sec. 1402.26, requesters in this category may be charged the cost of

searching for records even if there is ultimately no disclosure of

records, excluding the first 2 hours of search time.

(e) For purposes of the exceptions contained in this section on

assessment of fees, the word pages refers to paper copies of ``8\1/2\

x 11'' or ``11 x 14.'' Thus, requesters are not entitled to 100

microfiche or 100 computer disks, for example. A microfiche containing

the equivalent of 100 pages or a computer disk containing the

equivalent of 100 pages of computer printout meets the terms of the

exception.

(f) For purposes of paragraph (d) of this section, the term search

time has as its basis, manual search. To apply this term to searches

made by computer, the Farm Credit System Insurance Corporation will

determine the hourly cost of operating the central processing unit and

the operator's hourly salary plus 16 percent of that rate. When the

cost of search (including the operator time and the cost of operating

the computer to process a request) equals the equivalent dollar amount

of 2 hours of the salary of the person performing the search, i.e., the

operator, the Farm Credit System Insurance Corporation will begin

assessing charges for computer search.

Sec. 1402.22 Fees to be charged.

(a) Generally, the fees charged for requests for records shall

cover the full allowable direct costs of searching for, reproducing,

and reviewing documents that are responsive to a request for

information.

(b) Manual searches for records will be charged at the salary

rate(s) (i.e., basic pay plus 16 percent of that rate) of the

employee(s) making the search.

(c) Computer searches for records will be charged at the actual

direct cost of providing the service. This will include the cost of

operating the central processing unit for that portion of operating

time that is directly attributable to searching for records and the

operator/programmer salary apportionable to the search. A charge shall

also be made for any substantial amounts of special supplies or

materials used to contain, present, or make available the output of

computers, based upon the prevailing levels of costs to the Farm Credit

System Insurance Corporation for the type and amount of such supplies

of materials that are used. Nothing in this paragraph shall be

construed to entitle any person or entity, as a right, to any services

in connection with computerized records, other than services to which

such person or entity may be entitled under the provisions of this

subpart.

(d) Only requesters who are seeking documents for commercial use

may be charged for time spent reviewing records to determine whether

they are exempt from mandatory disclosure. Charges may be assessed only

for the initial review; i.e., the review undertaken the first time the

Farm Credit System Insurance Corporation analyzes the applicability of

a specific exemption to a particular record or portion of a record.

Records or portions of records withheld in full under an exemption that

is subsequently determined not to apply may be reviewed again to

determine the applicability of other exemptions not previously

considered. The costs for such a subsequent review is assessable.

(e) Records will be reproduced at a rate of $.15 per page. For

copies prepared by computer, such as tapes or printouts, the requester

shall be charged the actual cost, including operator time, of

production of the tape or printout. For other methods of reproduction,

the actual direct costs of producing the document(s) shall be charged.

(f) The Farm Credit System Insurance Corporation will recover the

full costs of providing services such as those enumerated below when it

elects to provide them:

(1) Certifying that records are true copies; or

(2) Sending records by special methods such as express mail.

(g) Remittances shall be in the form either of a personal check or

bank draft drawn on a bank in the United States, or a postal money

order. Remittances shall be made payable to the order of the Farm

Credit System Insurance Corporation.

(h) A receipt for fees paid will be given upon request.

Sec. 1402.23 Waiver or reduction of fees.

(a) The Farm Credit System Insurance Corporation may grant a waiver

or reduction of fees if the Farm Credit System Insurance Corporation

determines that the disclosure of the information is in the public

interest because it is likely to contribute significantly to public

understanding of the operations or activities of the Government, and

the disclosure of the information is not primarily in the commercial

interest of the requester.

(b) The Farm Credit System Insurance Corporation will not charge

fees to any requester, including commercial use requesters, if the cost

of collecting a fee would be equal to or greater than the fee itself.

The elements to be considered in determining the ``cost of collecting a

fee'' are the administrative costs of receiving and recording a

requester's remittance and processing the fee.

Sec. 1402.24 Advance payments--notice.

(a) Where it is anticipated that the fees chargeable will amount to

more than $25 and the requester has not indicated in advance a

willingness to pay fees as high as are anticipated, the requester shall

be promptly notified of the amount of the anticipated fee or such

portion thereof that can be readily estimated.

(b) If the anticipated fees exceed $250 and if the requester has a

history of promptly paying fees charged in connection with information

requests, the Farm Credit System Insurance Corporation may obtain

satisfactory assurances that the requester will fully pay the fees

anticipated.

(c) If the anticipated fees exceed $250 and if the requester has no

history of paying fees charged in connection with information requests,

the Farm Credit System Insurance Corporation may require an advance

payment of fees in an amount up to the full amount anticipated.

(d) If the requester has previously failed to pay a fee charged

within 30 days of the date of a billing for fees charged in connection

with information requests, the Farm Credit System Insurance Corporation

may require the requester to pay the fees owed, plus interest, or

demonstrate that the full amount owed has been paid, and require the

requester to make an advance payment of the full amount of the fees

anticipated before processing a new request or a pending request from

that requester.

(e) The notice of the amount of an anticipated fee or a request for

an advance deposit shall include an offer to the requester to confer

with identified Farm Credit System Insurance Corporation personnel to

attempt to reformulate the request in a manner which will meet the

needs of the requester at a lower cost.

Sec. 1402.25 Interest.

The Farm Credit System Insurance Corporation may begin charging

interest on unpaid fees, starting on the 31st day following the day on

which the bill for such fees was sent. Interest will not accrue if

payment of the fees has been received by the Farm Credit System

Insurance Corporation, even if said payment has not been processed.

Interest will accrue at the rate prescribed in section 3717 of title

31, United States Code, and will accrue from the day on which the bill

for such fees was sent.

Sec. 1402.26 Charges for unsuccessful searches or reviews.

The Farm Credit System Insurance Corporation may assess charges for

time spent searching for records on behalf of requesters in the

categories provided for in Sec. 1402.21 (c) and (d), even if there are

no records that are responsive to the request or there is ultimately no

disclosure of records. The Farm Credit System Insurance Corporation may

assess charges for time spent reviewing records for requesters in the

category provided for in Sec. 1402.21(c) even if the records located

are determined to be exempt from disclosure.

Sec. 1402.27 Aggregating requests.

A requester may not file multiple requests at the same time, each

seeking portions of a document or documents, solely in order to avoid

payment of fees. When the Farm Credit System Insurance Corporation

reasonably believes that a requester, or a group of requesters acting

in concert, is attempting to break a request down into a series of

requests for the purpose of evading the assessment of fees, the Farm

Credit System Insurance Corporation may aggregate any such requests and

charge accordingly. One element to be considered in determining whether

a belief would be reasonable is the time period over which the requests

have occurred.

Dated: May 3, 1994.

Nan P. Mitchem,

Acting Secretary to the Board, Farm Credit System Insurance

Corporation.

[FR Doc. 94-11443 Filed 5-11-94; 8:45 am]

BILLING CODE 6710-01-P