(b) District Claims Review Committee. A District Claims Review Committee (DCRC) shall be established in each district office. Membership shall consist of three incumbents (or those acting officially on their behalf) in the following order of position classification. The first member available in this order shall serve as chairperson: Liquidation Chief (or Liquidation Supervisor), PM Chief (or PM Supervisor), District Counsel, FD Chief (or FD Supervisor). In offices where the ADD/F&I also serves as the direct supervisor of one of the divisions, the ADD/F&I may serve on the Committee in his or her capacity as a line supervisor. As an alternative, the District Director may establish a Committee membership consisting of the Assistant District Director for Finance and Investment (acting as chairperson), District Counsel, and the Assistant District Director for Business Development (or those acting officially in their behalf). In the face of limited staffing availability, the Regional Administrator may authorize a different Committee structure if such structure is monitored to ensure that each member of the Committee is free to give independent opinions regarding the matters at hand. (1) Authority is delegated to this Committee to take final approval action on: (A) Claims not in excess of $200,000 (excluding interest), upon the majority vote of its members. (B) Claims exceeding $200,000 but not in excess of $300,000 (excluding interest), upon the unanimous vote of its members. (C) Claims of any size when the amount offered represents the full principal balance due (thereby forgiving only accrued interest), upon the majority vote of its members. (D) Claims of any size involved in insolvency proceedings (bankruptcies, state and Federal receiverships, USDA Certified Mediation cases, assignments for the benefit of creditors, etc.) or which are under the administrative control of the U.S. Department of Justice, upon the unanimous vote of its members. (E) Requests to reduce or eliminate the interest rate charged and/or the interest accrued by the Agency when authority for such action is not otherwise delegated to the line supervisor or the Central Office Claims Review Committee, upon the majority vote of its members. (F) Private sales of collateral and collateral purchased which exceed the delegated authority of the line supervisor, upon the unanimous vote of its members. (G) Bid proposals responding to an authorized Request for Proposals for annual auctioneering services, upon the unanimous vote of its members. (2) Committee recommendations to sell a loan or other evidence of indebtedness owed the Agency for less than the principal amount due, or to compromise an Agency claim against a "going" business which is not involved in insolvency proceedings or under the administrative control of U.S. Department of Justice, must be forwarded through channels, with District and Regional Committee comments, to the Central Office Claims Review Committee for final action. (3) Settlement offers on claims of any size may be declined by majority vote of its members. (4) Split decisions and reconsiderations (appeals) of actions taken by this Committee must go to the Regional Claims Review Committee. (5) SBA may, as it deems appropriate, increase, decrease, or set the level of authority of a particular District Claims Review ComImittee as well as alter the composition of committee membership by notice published in the FEDERAL REGISTER. (c) Regional Claims Review Committee. A Regional Claims Review Committee (RCRC) shall be established in each regional office. Membership shall consist of the three incumbents (or those acting officially on their behalf) of the following positions: Assistant Regional Administrator for Finance and Investment (Chairperson), Regional Counsel, and, as directed by the Regional Administrator, one of the following: Assistant Regional Administrator for Business Development, or Assistant Regional Administrator for Procurement Assistance, or Assistant Regional Administrator for Minority Small Business/Capital Ownership Development. (1) Authority is delegated to this Committee to take final approval action on: (A) Claims not in excess of $300,000 (excluding interest), upon the majority vote of its members. (B) Claims exceeding $300,000 but not in excess of $500,000 (excluding interest), upon the unanimous vote of its members. (C) Split decisions and appeals of actions on matters delegated to the district level, upon the majority vote of its members. (2) Committee recommendations to sell a loan or other evidence of indebtedness owed the Agency for less than the principal amount due, or to compromise an Agency claim against a "going" business which is not involved in insolvency proceedings or under the administrative control of the U.S. Department of Justice, must be forwarded, with Committee comments, to the Central Office Claims Review Committee for final action. (3) Settlement offers on claims of any size may be declined by majority vote of its members. (4) Split decisions and reconsiderations (appeals) of actions taken by this Committee must go to the Central Office Claims Review Committee for final action. (5) SBA may, as it deems appropriate, increase, decrease, or set the level of authority of a particular Regional Claims Review Committee as well as alter the composition of committee membership by notice published in the FEDERAL REGISTER. (d) Central Office Claims Review Committee. A Central Office Claims Review Committee (COCRC) shall be established in the Central Office. Membership in this Committee shall consist of the three incumbents (or those officially acting on their behalf) of the following positions: Director, Office of Portfolio Management, (Chairperson), Associate General Counsel, Litigation, Director, Office of Financing. In the event a committee member or individual acting in such position is unable to attend a particular meeting of the committee, such committee member may designate an official to act in his/her stead. (1) This Committee shall have the authority to take final action on: (A) All Agency claims above the limits established for the RCRCS, upon the unanimous vote of its members. On the same basis, it also may approve actions on all programs under the purview of Portfolio Management (e.g., Lease Guarantees, Pollution Control Bond Guarantees, and 8(a) advance payments) as well as programs under the purview of the Investment Division (SBIC and SSBIC). (B) Split decisions and appeals of actions on matters delegated to the regional level, upon the majority vote of its members. (C)(1) Proposals to sell a loan or other evidence of indebtedness owed the Agency for less than the principal amount due, or to compromise an Agency claim against a "going" business, upon the unanimous vote of its members. (ii) Split decisions and reconsiderations (appeals) of actions taken by this Committee may be decided by the AA/FA. (e) A split decision for purposes of this part means less than unanimity on those matters which require unanimity. PART VI-GOVERNMENT CONTRACTING PROGRAM (GC) CERTIFICATE OF COMPETENCY APPROVAL AUTHORITY 1. To approve applications for a Certificate of Competency (COC) received from small business concerns and issue COC's to those firms located within the area office's geographic jurisdiction, subject to the following monetary limitations: Area Director/GC-$25,000,000 2. To deny an application for a Certificate of Competency received from small business concerns located within the area's geographic jurisdiction, subject to the following monetary limitations: Area Director/GC-Unlimited PART VII-MINORITY SMALL BUSINESS AND CAPITAL OWNERSHIP DEVELOPMENT PROGRAM (MSB-COD) Section A. Contract Certificate of Appointment Authority No agency field office personnel may purchase goods or services or enter into contracts without a certificate of appointment specific to that individual issued by the Internal Procurement Executive. Regional Administrators, as heads of procurement activities. are exempt from this requirement for a certificate of appointment. Section B. Section 7j Agreements Authority 1. Administration and Management of 7j Agreements. To take all necessary actions in connection with the administration and management of agreements awarded under the authority granted in Section 7(j) of the Small Business Act, as amended (formerly under Section 406 of the Economic Opportunity Act of 1964) except the awarding, changing, amending or terminating of the agreements which are actions subject to the contracting authority in Section A, Contract Certificate of Appointment Authority. a. Regional Administrator b. Deputy Regional Administrator c. Assistant Regional Administrator for Minority Small Business and Capitol Ownership Development (MSB-COD) d. Chief, Business Development, Regional Office. Reg. VII e. District Director f. Deputy District Director g. Assistant District Director for MSB/COD h. Financial Management Assistance Officer, Minneapolis MN, D/O Section C. Section 8(a)(1)(A) Contracting 1. To enter into the contracts on behalf of the Small Business Administration with the United States Government and any department, agency, or officer thereof having procurement powers, obligating the Small Business Administration to furnish articles, equipment, supplies, services or materials to the Government or to perform construction work for the Government subject to the following: Each individual who is warranted to purchase goods or services or enter into contracts has dollar limit inherent in the certificate of appointment. That certificate of appointment limit determines the amount limit that person may procure. Regional Administrators and the Washington District Director, as heads of procurement activities, are exempt from this requirement for a certificate of appointment. 2. Subcontracting to arrange for the performance of such procurement contracts as stated in paragraph 1 above by negotiating or otherwise letting subcontracts to socially and economically disadvantage small business concerns for the construction work, services or the manufacture, supply or assembly of such articles, equipment, supplies or materials or parts thereof, or services or processing in connection therewith or such management services as may be necessary to enable the Small Business Administration to perform such contracts, subject to the following: Each individual who has a certificate of appointment to purchase goods or services or enter into contracts has a dollar limit inherent in the certificate of appointment. That certificate of appointment determines the amount that person may procure. Regional Administrators and the Washington District Director have no dollar limit under this section. 3. To certify to any Officer of the Government having procurement powers that the Small Business Administration is competent and responsible to perform any specific Government procurement contract to be let by any such officer, subject to following: Each individual who has a certificate of appointment to purchase goods or services or enter into contracts has a dollar limit inherent in the certificate of appointment. That certificate of appointment limit determines the amount that person may procure. Regional Administrators and the Washington District Director have no dollar limit under this section. PART VIII-LEGAL SERVICES Section A-Authority To Conduct Litigation Activities 1. To conduct all litigation activities, including SBIC and Economic Development Administration matters, as assigned, and to take all action necessary in connection with matters, in litigation; and to do and perform and to assent to the doing and performance of, all and every act and thing requisite and proper to effectuate the granted powers. Except: a. To compromise or sell any primary obligation or other evidence of indebtedness owed to the Agency a sum less than the total amount due thereon; b. To deny liability of the Small Business Administration under the terms of a participation or guaranty agreement (including lease guarantees); or c. To authorize suit for recovery from a participating institution under any alleged violation of a participation or guaranty agreement; or d. To accept a lump sum settlement or to purchase property under the lease guarantee: (1) Regional Administrator. (2) Deputy Regional Administrator. (3) Regional Counsel. (4) Attorney, Regional Office. (5) District Counsel. (6) Attorney, District Office. (7) Branch Counsel. (8) Attorney, Branch Office. Section B-Loan Closing Authority 1. To close and disburse approved SBA loans and to close EDA loans, as authorized: a. Regional Administrator. b. Deputy Regional Administrator. c. Regional Counsel. d. Attorney, Regional Office. e. District Counsel. f. Attorney, District Office. g. Branch Counsel. h. Attorney, Branch Office. 2. To approve, when requested, in advance of disbursements, conformed copies of notes and other closing documents; and certify to the participating bank that such documents are in compliance with the participation authorization: a. Regional Administrator. b. Deputy Regional Administrator. c. Regional Counsel. d. Attorney, Regional Office. e. District Counsel. f. Attorney, District Office. g. Branch Counsel. h. Attorney, Branch Office. 3. To approve or disapprove fees charged by borrowers' counsel: a. Regional Administrator. b. Deputy Regional Administrator. c. Regional Counsel. d. Attorney, Regional Office. e. District Director. f. Deputy District Director. g. District Counsel. h. Attorney, District Office. i. Branch Manager. j. Branch Counsel. k. Attorney, Branch Office. Section C-Authority to Contact IRS 1. To request and receive address information from IRS records for purpose of collection and compromise of SBA Federal claims. This information will be used only by Agency employees directly engaged in and solely for their use in preparation for any administrative or judicial proceeding pertaining to the collection or compromise of a Federal claim in accordance with the provisions of Section 3 of the Federal Claims: Collection Act of 1968. a. Regional Administrator. b. Deputy Regional Administrator. c. Regional Counsel. d. District Director. e. Deputy District Director. f. District Counsel. PART IX-ELIGIBILITY AND SIZE DETERMINATIONS Section A-Eligibility Determinations 1. Eligibility Determination Authority. In accordance with Small Business Administration standards policies, to determine eligibility of applicants for assistance under any program of the Agency: EXCEPT the SBIC program. a. Regional Administrator. b. Deputy Regional Administrator c. All officials having the authority and assigned responsibility to take final action on the assistance requested. Section B-Size Determinations 1. Size Determination Authority. In accordance with Small Business Administration's Small Business Size Standards Regulations, to make initial size determinations of applicants for assistance under any program of the Agency: a. Regional Administrator. b. Deputy Regional Administrator. c. All other officials having authority and assigned responsibility to take final action on the assistance requested, EXCEPT the SBIC program and Government procurement and sales activities. 2. Size Determinations for Government Procurement and Sales. In accordance with Small Business Administration's Small Business Size Standards Regulations, to make size determinations for government procurement and sales activities. a. Regional Administrator. b. Deputy Regional Administrator. C. Assistant Regional P&TA, except Reg. X. d. Assistant Regional ME&PA, Reg. X only. Administrator/ Administrator/ e. Chief, Procurement and Technical Assistance, Reg. II only. PART X-ADMINISTRATIVE 1. Authority to purchase, rent, or contract for equipment, services and supplies for the agency in amounts not to be exceeded. No agency field office personnel may purchase goods or services or enter into contracts without a certificate of appointment specific to that individual issued by the Internal Procurement Executive. Regional Administrators as heads of contracting activities are exempt from this requirement for a certificate of appointment. a. Purchase Reproductions of Loan Documents. To purchase reproductions of loan documents, chargeable to the revolving fund, requested by U.S. Attorneys in foreclosure cases. b. Office Supplies and Equipment. To purchase office supplies and equipment and rent regular office equipment and furnishings; contract for repair and maintenance of equipment and furnishings; contract for printing (Government sources only); contract for services required in setting up and dismantling and moving SBA exhibits; and issue Government bills of lading pursuant to Chapter 4 of Title 41, United States Code, as amended, subject to the limitations contained in section 257 (a) and (b) of the Chap ter. c. Rental of Motor Vehicles. To rent motor vehicles when not furnished by this Administration. d. Rental of Conference Space. To rent temporarily SBA conference space located within the respective geographical jurisdictions. e. Contract for Services. To contract for services for the agency pursuant to Chapter 4 of Title 41, United States Code, subject to the limitations contained in section 257 (a) and (b) of that Chapter. Each individual who has a certificate of appointment to purchase goods or services or enter into contract has a dollar limit inherent in the certificate of appointment. The certificate of appointment limit determines the amount that person may procure. Regional Administrators are limited to $25,000 on open market and up to the maximum order limitation (MOL) on Federal Supply Schedule under this section. 2. Use of Seal of the Small Business Administration. To certify true copies of any books, records, papers, or other documents on file with the Small Business Administration; to certify extracts from such material; to certify the nonexistence of records on files; and to cause the Seal of the Small Business Administration to be affixed to all such certification. a. Regional Administrators. b. District Directors. c. Branch Managers. PART XI-REDELEGATION AUTHORITY Section A-Redelegation 1. The authority delegated herein may not be redelegated. 2. The authority delegated herein may be exercised by any SBA employee designated as acting in a position designated herein, except that procurement authority requiring a certificate of appointment does not reside in a person acting in a designated position unless that acting individual also holds a certificate of appointment. Procurement certificate of appointments are to individuals, not positions. 3. Regional Administrators, Deputy Regional Administrators, District Directors, and Branch Managers may withhold or limit authorities delegated to those positions prescribed in this document for a period not to exceed six months. Information relating to those temporary exceptions will be main copies of extracts from such material; to certify the nonexistence of records on file; and to cause the Seal of the Small Business Administration to be affixed to all such certifications for all purposes, including the purposes authorized by 28 U.S.C. 1733. This authority applies to any books, records, papers, or other documents on file within their respective jurisdictions. [47 FR 2074, Jan. 14, 1982, as amended at 51 FR 14979, Apr. 22, 1986] § 101.6 Litigation. Service of process in any suit instituted against SBA may be accomplished in accordance with the provisions of Rule 4 of the Federal Rules of Civil Procedure or in accordance with the provisions of section 2410 of title 28, United States Code. All litigation instituted by or against SBA will be prosecuted or defended by the Attorney General through the United States Attorney for the Federal District in which the matter arises. The Administrator, Assistant Administrator for Administration, Inspector General, Regional and District Directors, and Branch Managers are authorized to certify and authenticate as true, originals and copies of any books, records, papers, or other documents on file within the Small Business Administration; to certify and authenticate as true, originals, and copies of extracts from such material; to certify and authenticate as true, originals and § 101.7 Employment of fee counsel. (a) Business loans. SBA employs attorneys on a full-time basis in most of its field offices and these employees usually perform all the legal services requested on behalf of SBA in the making of business loans. The loan applicant or borrower usually employs his own attorney to represent his interests, and this attorney is selected and paid by the applicant or borrower, except that the reasonableness of the fee is reviewed by SBA. On occasions, such as where the volume of activity has not been sufficient to require a full-time employee, or the area is too remote to economically use the services of a fulltime employee, SBA has hired fee counsel to represent it in business loans. |