Notice2021-24908
Delegations of Authority
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
November 16, 2021
Issuing agencies
Small Business Administration
Abstract
This document provides the public notice of the delegations of authority for activities related to loans guaranteed under the Paycheck Protection Program (PPP) by the Administrator of the Small Business Administration (SBA) to the Associate Administrator for the Office of Capital Access (AA/OCA) and the redelegation of certain authority related to PPP loan activities to the Director of the Office of Financial Program Operations (OFPO) in the OCA, certain employees of OFPO, and an OCA Committee. In addition, this document provides the public notice of the delegations of authority for certain activities related to Coronavirus Disease 2019 (COVID-19) Economic Injury Disaster Loans (EIDLs) and EIDL Advances by the Administrator to the AA/OCA.
Full Text
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<title>Federal Register, Volume 86 Issue 218 (Tuesday, November 16, 2021)</title>
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[Federal Register Volume 86, Number 218 (Tuesday, November 16, 2021)]
[Notices]
[Pages 63437-63438]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-24908]
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SMALL BUSINESS ADMINISTRATION
Delegations of Authority
AGENCY: U.S. Small Business Administration.
ACTION: Notice of delegations of authority.
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SUMMARY: This document provides the public notice of the delegations of
authority for activities related to loans guaranteed under the Paycheck
Protection Program (PPP) by the Administrator of the Small Business
Administration (SBA) to the Associate Administrator for the Office of
Capital Access (AA/OCA) and the redelegation of certain authority
related to PPP loan activities to the Director of the Office of
Financial Program Operations (OFPO) in the OCA, certain employees of
OFPO, and an OCA Committee. In addition, this document provides the
public notice of the delegations of authority for certain activities
related to Coronavirus Disease 2019 (COVID-19) Economic Injury Disaster
Loans (EIDLs) and EIDL Advances by the Administrator to the AA/OCA.
SUPPLEMENTARY INFORMATION: This document provides the public notice of
the Administrator's delegations of authority with respect to the
temporary 7(a) loan program titled the ``Paycheck Protection Program''
(PPP) under sections 7(a)(36), 7(a)(37), and 7A of the Small Business
Act (15 U.S.C. 636(a)(36) and (37); 15 U.S.C. 636m) to the AA/OCA.
Specifically, the delegation of authority related to SBA's review of
PPP loans and final SBA loan review decisions, as well as the
servicing, liquidation, and guaranty purchase of PPP loans. The
delegation of authority related to guaranty purchases of PPP loans is
consistent with the delegation of authority published at 68 FR 51048
(August 25, 2003) for guaranty purchases of other 7(a) loans. This
document also provides that certain authority for PPP loan activities
delegated to the AA/OCA is redelegated to the OFPO Director, certain
OFPO employees, and to an OCA Committee. Finally, notwithstanding the
Delegation of Authority No. 12-D, Revision 3 (58 FR 57891), which sets
forth the authority delegated by the Administrator to the Assistant
Administrator for Disaster Assistance for the purpose of administering
SBA's Disaster Assistance Programs, this document provides the public
notice of the Administrator's delegation of authority to the AA/OCA for
certain activities related to SBA's Coronavirus Disease 2019 (COVID-19)
Economic Injury Disaster Loans (COVID EIDLs) and EIDL Advances,
including Targeted EIDL Advances and Supplemental Targeted Advances.
All other delegations of authority for the purpose of administering
SBA's Disaster Assistance Programs, remain as set forth in Delegation
of Authority No. 12-D, Revision 3.
Delegation of Authority No. 12-H reads as follows:
Delegation of Authority No. 12-H.
I. The Administrator of the SBA, Isabella Casillas Guzman, pursuant
to the authority vested in her by the Small Business Act, 15 U.S.C.
631, as amended, hereby delegates the following authorities related to
loan activities of the Paycheck Protection Program (PPP) under sections
7(a)(36), 7(a)(37) and 7A of the Small Business Act, 15 U.S.C.
636(a)(36) and (37) and 15 U.S.C. 636m:
A. To the Associate Administrator for the Office of Capital Access
(AA/OCA):
1. Loan Reviews and Decisions:
a. To take any and all action(s) in connection with SBA's review of
PPP loans in accordance with the implementing guidance for the PPP
issued by SBA and the Department of the Treasury, including but not
limited to interim final rules, final rules, frequently asked
questions, SBA notices, and official SBA forms, including instructions
for those forms (collectively the ``PPP requirements'').
b. To make all final SBA loan review decisions, including but not
limited to, whether the borrower:
i. Was ineligible for the PPP loan;
ii. Was ineligible for the PPP loan amount received or used the PPP
loan proceeds for unauthorized purposes;
iii. Is ineligible for PPP loan forgiveness in the amount
determined by the lender in its full or partial approval decision
issued to SBA; and/or
iv. Is ineligible for PPP loan forgiveness in any amount when the
lender has issued a full denial decision to SBA.
2. Servicing, Liquidation, Denial of Liability on a Guaranty on a
PPP Loan, and Approve Initiation of Lawsuit to Recover Funds on a PPP
Loan:
a. To determine whether the PPP lender complied with all SBA Loan
Program Requirements related to servicing, liquidation, and litigation
of its PPP loans, including but not limited to borrowers involved in
bankruptcy.
b. Consistent with the delegation of authority published at 68 FR
51048 (August 25, 2003), to take any and all actions involved in denial
of liability on guaranty purchase requests submitted on PPP loans and
to approve the initiation of a lawsuit to recover funds on a PPP loan
from a PPP lender, including but not limited to recovery of the
processing fee paid to a lender that is found guilty of an act of fraud
in connection with a PPP loan.
c. To approve the initiation of a lawsuit to recover funds on a PPP
loan from a borrower, including but not limited to recovery of funds
from the borrower's shareholder(s), member(s), or partner(s) if the
shareholder, member, or partner knowingly used the funds for
unauthorized purposes.
3. To amend, suspend, or revoke authority redelegated to any
position listed below.
B. The authority delegated to the AA/OCA is redelegated to the
Director, Office of Financial Program Operations, as follows:
1. Loan Reviews:
a. To determine and develop policy and procedures necessary for SBA
staff in headquarters and relevant SBA loan centers, as well as
applicable contractor staff, to conduct loan review activities related
to PPP loans.
b. To oversee the performance of loan reviews of PPP loans by SBA
staff in headquarters and relevant SBA loan centers, as well as
applicable contractor staff.
2. Servicing, Liquidation, and Guaranty Purchase of PPP Loans:
a. To determine and develop policy and procedures necessary for SBA
staff in headquarters and relevant SBA loan centers, as well as
applicable contractor staff, to conduct servicing, liquidation,
[[Page 63438]]
and guaranty purchase activities related to PPP loans.
b. To oversee the performance of servicing, liquidation, and
guaranty purchase activities of PPP loans by SBA staff in headquarters
and relevant SBA loan centers, as well as applicable contractor staff.
C. The authority delegated to the AA/OCA is redelegated to the
specific positions designated herein as follows:
1. Loan Specialists, SBA loan centers:
a. Reviewing Loan Specialist:
i. To review all documentation submitted by the borrower and lender
in connection with a PPP loan and to request additional information
from the borrower or lender as necessary to complete the SBA loan
review in accordance with PPP requirements.
ii. To make a recommendation to the Approving Loan Specialist as to
whether the borrower was eligible for the PPP loan; was eligible for
the PPP loan amount received, or used the PPP loan proceeds for
authorized purposes; and/or is eligible for PPP loan forgiveness and in
what amount.
b. Approving Loan Specialist:
i. To review and concur with the Reviewing Loan Specialist's
recommendation in paragraph 1.a.ii. above and make the final SBA loan
review decision, except in the circumstances described in subparagraph
b.ii. below.
ii. To escalate to the Higher Authority Review Team all
recommendations when:
(1) The Approving Loan Specialist and Reviewing Loan Specialist
agree that loan forgiveness will be denied in whole or in part; and
(2) The Approving Loan Specialist does not concur with the
Reviewing Loan Specialist's recommendation, including when the
Approving Loan Specialist and Reviewing Loan Specialist disagree on the
amount of loan forgiveness the borrower is entitled to receive.
2. Higher Authority Review Team:
a. This team will consist of more experienced employees from the
SBA loan centers.
b. This team will have the authority to perform Higher Authority
Reviews (HAR). This team will also have the authority to make the final
SBA loan review decision on all loan reviews escalated to the team
unless the HAR team escalates a loan review to the Office of Capital
Access Committee in accordance with paragraph 2.c. below. The Higher
Authority Review will consist of separate reviews by a Reviewing Loan
Specialist and an Approving Loan Specialist.
c. The HAR team, at their discretion, will have the authority, on a
case-by-case basis, to escalate a loan review to the Office of Capital
Access Committee for the final SBA loan review decision.
3. To the Office of Capital Access (OCA) Committee:
a. This committee will consist of the Director, Office of Financial
Assistance (or designee); the Director, Office of Credit Risk
Management (or designee); and the career Deputy Associate Administrator
(DAA), Office of Capital Access (or designee).
b. The OCA Committee will have the authority to review and make a
final SBA loan review decision, upon a majority vote of its members, on
all loan reviews that are escalated after the Higher Authority Review.
II. Except for actions involved in the denial of liability on a
guaranty purchase request submitted on a PPP loan and the decision to
approve the initiation of a lawsuit to recover funds on a PPP loan from
a PPP lender or borrower, the authorities delegated herein to the AA/
OCA may be re-delegated. All other authority delegated herein to anyone
other than the AA/OCA may not be re-delegated, except by the AA/OCA.
III. The Administrator of the SBA, Isabella Casillas Guzman,
pursuant to the authority vested in her by the Small Business Act, 15
U.S.C. 631, as amended, hereby delegates the following authorities
related to SBA's Coronavirus Disease 2019 (COVID-19) Economic Injury
Disaster Loans (COVID EIDLs) under section 7(b)(2) of the Small
Business Act (15 U.S.C. 636(b)(2)) and section 1110 of the Coronavirus
Aid, Relief, and Economic Security Act (CARES Act) (Pub. L. 116-136),
as amended, and EIDL Advances, including Targeted EIDL Advances and
Supplemental Targeted Advances under section 1110 of the CARES Act, as
amended, section 331 of the Economic Aid to Hard-Hit Small Businesses,
Nonprofits, and Venues Act (Pub. L. 116-260), and section 5002 of the
American Rescue Plan Act of 2021 (Pub. L. 117-2):
A. To the Associate Administrator for the Office of Capital Access
(AA/OCA):
1. To establish and revise policies regarding the eligibility for
and processing of COVID EIDL loans and EIDL Advances.
2. To procure supplies or services in support of the COVID EIDL
loan and EIDL Advance programs, and in accordance with 41 U.S.C.
4701(a) and (b), as amended, the Federal Acquisition Regulations, SBA
regulations, and applicable procurement policies.
3. This authority may not be redelegated.
IV. The authorities delegated to any position indicated herein may
be exercised by any SBA employee officially designated as Acting in
that position.
V. The authorities delegated herein can only be revoked or amended
by the Administrator and in writing.
Authority: 15 U.S.C. 631; 15 U.S.C. 636(a)(36); 15 U.S.C.
636(a)(37); 15 U.S.C. 636(b)(2); 15 U.S.C. 636m; Sec. 1110, Pub. L.
116-136, 134 Stat. 281; Sec. 331, Pub. L. 116-260; and Sec. 5002, Pub.
L. 117-2, 135 Stat. 4.
Isabella Casillas Guzman,
Administrator.
[FR Doc. 2021-24908 Filed 11-15-21; 8:45 am]
BILLING CODE 8026-03-P
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</html>Indexed from Federal Register on November 16, 2021.
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