7 U.S.C. § 918 : US Code - Section 918: General prohibitions

Search 7 U.S.C. § 918 : US Code - Section 918: General prohibitions

(a) No consideration of borrower's level of general funds
The Secretary and the Governor of the telephone bank shall not
deny or reduce any loan or loan advance under this chapter based on
a borrower's level of general funds.
(b) Loan origination fees
The Secretary and the Governor of the telephone bank may not
charge any fee or charge not expressly provided in this chapter in
connection with any loan made or guaranteed under this chapter.
(c) Consultants
(1) In general
To facilitate timely action on applications by borrowers for
financial assistance under this chapter and for approvals
required of the Rural Electrification Administration pursuant to
the terms of outstanding loan or security instruments or
otherwise, the Secretary may use consultants funded by the
borrower, paid for out of the general funds of the borrower, for
financial, legal, engineering, and other technical advice and
services in connection with the review of the application by the
Rural Electrification Administration.
(2) Conflicts of interest
The Secretary shall establish procedures for the selection and
the provision of technical services by consultants to ensure that
the consultants have no financial or other conflicts of interest
in the outcome of the application of the borrower.
(3) Payment of costs
The Secretary may not, without the consent of the borrower,
require, as a condition of processing an application for
approval, that the borrower agree to pay the costs, fees, and
expenses of consultants hired to provide technical or advisory
services to the Secretary.
(4) Contracts, grants, and agreements
The Secretary may enter into such contracts, grants, or
cooperative agreements as are necessary to carry out this
section.
(5) Use of consultants
Nothing in this subsection shall limit the authority of the
Secretary to retain the services of consultants from funds made
available to the Secretary or otherwise.