1. (a) The applicant must agree to complete financial management training, unless the Agency provides a waiver in accordance with § 764.453, or the applicant has previously satisfied the training requirements. In the case of an entity:

   1. (1) Any individual member holding a majority interest in the entity or who is operating the farm must complete training on behalf of the entity, except as provided in paragraph (a)(2) of this section;
   2. (2) If one entity member is solely responsible for financial management, then only that member will be required to complete training.
2. (b) When the Agency determines that financial management training is required, the applicant must agree to complete course work covering all aspects of farm accounting and integrating accounting elements into a financial management system.
3. (c) Even if a waiver is granted, the borrower must complete borrower training as a condition for future loans if and when Agency supervision provided in 7 CFR part 761 subpart C reflects that such training is needed.
4. (d) The Agency cannot reject a request for a direct loan based solely on an applicant's need for training.
5. (e) The Agency will provide written notification of required training or waiver of training.

[72 FR 63298, Nov. 8, 2007, as amended at 89 FR 65041, Aug. 8, 2024]