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This action would allow the Agency Administrators for RD infrastructure programs the authority to exercise some flexibility on when funds can be obligated for rural infrastructure projects. 

The proposed modification of the existing regulation will allow the Rural Development Administrators to move forward with obligations conditioned upon the completion of environmental review for infrastructure projects . The proposed change will also give applicants, and the communities they represent, especially those loan and grant awardees facing economic challenges or extremely short construction seasons, some comfort to proceed with an economic development strategy including the planning process associated with NEPA, without fear that funds will be unavailable after the NEPA process is completed. With the proposed change in place, RD can more fully execute the government's goals to speed the initiation of infrastructure projects and encourage planned community economic development without additional cost to taxpayers or change to their environmental review requirements.