Engineering services.

CFR · 2024-01-01 · US · Title 7

(a)(1) All engineering services required by a borrower to support its application for a loan shall be rendered by a qualified engineer selected by the borrower or by qualified employees on the borrower's staff. The selection of the preloan engineer, the form of preloan engineering service contract, and the contract itself, are not subject to RUS approval. Borrowers, however, should discuss their proposed method of obtaining preloan engineering services with the GFR before proceeding with any arrangements. (2) Form 835, Preloan Engineering Service Contract, Telephone System Design, is a suggested form of preloan engineering service contract. While use of this form of contract is not required, it will be helpful in determining the tasks to be performed. Any form of contract used shall specify that preloan engineering services conform to RUS requirements for preloan studies. See subpart D of 7 CFR part 1737. (b)(1) (ii) RUS will review the contract terms and conditions. RUS will not approve the contract if, in RUS's judgement: (A) Unacceptable modifications have been made to the contract form. (B) The contract will not accomplish loan purposes. (C) The engineering service fees are unreasonable. (D) The contract presents unacceptable loan security risk to RUS. (E) The consulting engineering firm is affiliated with or has represented a contractor, vendor, or manufacturer who may provide labor, materials, or equipment to the borrower under any current loan. (2) (c)(1) (i) The reque

official document · source cfr-2024 · id 7:§ 1753.17