International Trade: Commodity Credit Corporation's Refunds of Export Guarantee Fees
NSIAD-87-185
Published: Aug 19, 1987. Publicly Released: Aug 28, 1987.
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Highlights
In response to a congressional request, GAO reviewed the Commodity Credit Corporation's (CCC) export credit guarantee fee refund policies and procedures to determine why it failed to refund a firm over $270,000 in failed export sales.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Agriculture | The Secretary of Agriculture should direct the General Sales Manager, Foreign Agricultural Service (FAS), to amend the credit guarantee program regulations to: (1) clarify the circumstances that must exist for users to obtain credit guarantee application approvals, including the need for and definition of a firm sale; (2) provide that users must have a firm sale to be considered for a guarantee fee refund should an export sale not be consummated; and (3) require that program users acknowledge their understanding of the application requirements and refund policy on the guarantee applications. |
FAS has issued an announcement concerning the need for a firm sale at the time of application and CCC refund policy. FAS is considering conducting an evaluation to examine processes used by exporters in making sales, with the objective of determining at what point a firm sale exists.
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Topics
Agricultural programsCommodity salesCredit salesExportingForeign salesInternational tradeLoan defaultsProgram managementPrecious metalsAgricultural commodities