Understanding the Non-Federal Borrower: Definition and Context

Q: Who qualifies as a non-Federal borrower?

States, conservancy districts, irrigation districts, canal companies, water users&#039; associations, and Indian tribes can qualify as non-Federal borrowers.

Q: How can a non-Federal borrower access federal funding?

By demonstrating the legal capacity to contract with the federal government and applying for relevant federal programs.

Definition & Meaning

The term non-Federal borrower refers to entities that are not part of the federal government but may borrow funds or enter into contracts with the United States under federal reclamation law. This includes:

States, including their departments, agencies, or political subdivisions.
Various entities such as conservancy districts, irrigation districts, canal companies, water users' associations, Indian tribes, and agencies formed by interstate compacts.

Table of content

Legal Use & context

The concept of a non-Federal borrower is primarily used in the context of federal reclamation law, which governs the management and distribution of water resources in the United States. This term is relevant in areas such as:

Water rights and resource management.
Contracts and agreements related to federal funding for water projects.
Environmental law concerning water usage and conservation.

Users can manage related legal documents and agreements through resources like US Legal Forms, which provides templates drafted by qualified attorneys.

Key legal elements

Real-world examples

Here are a couple of examples of abatement:

Here are a couple of examples of non-Federal borrowers:

A state water agency that seeks federal funding to improve irrigation systems.
A water users' association that enters into a contract with the federal government to manage water distribution for agricultural purposes (hypothetical example).

Relevant laws & statutes

The primary legal reference for non-Federal borrowers is found in:

43 USCS § 2421, which outlines the definitions and contexts in which non-Federal borrowers operate.

Comparison with related terms

Term	Definition	Key Differences
Federal borrower	Entities that are part of the federal government and can borrow funds from itself.	Federal borrowers are government entities, while non-Federal borrowers are not.
Public agency	A government body that provides services to the public.	Public agencies may include non-Federal borrowers but are not limited to them.

Common misunderstandings

What to do if this term applies to you

If you believe your organization qualifies as a non-Federal borrower, consider the following steps:

Review your entity's legal capacity to enter contracts with the federal government.
Explore available funding opportunities through federal reclamation programs.
Utilize legal form templates from US Legal Forms to draft necessary agreements and contracts.
If your situation is complex, consult with a legal professional for tailored advice.

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Quick facts

Attribute	Details
Typical Entities	States, irrigation districts, water users' associations, Indian tribes
Legal Framework	Federal reclamation law
Contractual Capacity	Must be able to legally contract with the federal government

Key takeaways

Frequently asked questions

What is a non-Federal borrower?

A non-Federal borrower is an entity that is not part of the federal government but can enter into contracts with it, primarily under federal reclamation law.