Business Loan Program

SMALL BUSINESS ADMINISTRATION

13 CFR Part 120

Business Loan Program

AGENCY: Small Business Administration (SBA).

ACTION: Notice of intent to reopen comment period for 7(a) lenders.

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SUMMARY: On May 5, 1998, in 63 FR 24753, SBA published a proposed rule

implementing Pub. L. 104-208 and Pub. L. 105-135 with respect to SBA

financing in the 504 program, and clarifying existing regulations. The

comment period ended on July 6, 1998. This notice reopens the comment

period for 30 days to allow 7(a) lenders to comment on the proposed

rule's change to 13 CFR Sec. 120.111 on Eligible Passive Companies. The

SBA is not reopening or extending the comment period of the proposed

rule for other issues or parties.

DATES: This notice reopens the comment period as of August 13, 1998.

Comments on the proposed regulation published on May 5, 1998, in 63 FR

24753, must be submitted on or before September 14, 1998.

[[Page 43331]]

ADDRESSES: Comments on the proposed regulation published on May 5,

1998, in 63 FR 24753, should be mailed to Jane Palsgrove Butler, Acting

Associate Administrator for Financial Assistance, Small Business

Administration, 409 Third Street, S.W., Washington, D.C. 20416.

FOR FURTHER INFORMATION CONTACT: Michael J. Dowd, 202-205-6660.

SUPPLEMENTARY INFORMATION: On May 5, 1998, in 63 FR 24753, SBA

published a proposed rule implementing Pub. L. 104-208 and Pub. L. 105-

135 with respect to SBA financing in the 504 program, and clarifying

existing regulations. The comment period ended on July 6, 1998.

The preamble to the proposed rule indicated that the rule applied

primarily to the 504 program. However, the proposed rule also amended

13 CFR Sec. 120.111 to allow an Eligible Passive Company to lease

property to multiple unrelated operating companies. This section

applies not only to participants in the 504 program, but also to

participants in the 7(a) program.

SBA now requests lenders participating in the 7(a) program to

comment on the proposed rule's change to 13 CFR Sec. 120.111. For that

reason, SBA is reopening the comment period for 30 days to accommodate

the comments of 7(a) lenders. The SBA is not reopening or extending the

comment period of the proposed rule for other issues or parties not

identified above. It is unnecessary to resubmit comments previously

submitted regarding the proposed rule.

Dated: August 6, 1998.

Jane Palsgrove Butler,

Associate Administrator for Financial Assistance (A).

[FR Doc. 98-21781 Filed 8-12-98; 8:45 am]

BILLING CODE 8025-01-P