TITLE 7 - AGRICULTURE

SUBTITLE B - REGULATIONS OF THE DEPARTMENT OF AGRICULTURE

CHAPTER XVII - RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE

PART 1735 - GENERAL POLICIES, TYPES OF LOANS, LOAN REQUIREMENTS - TELECOMMUNICATIONS PROGRAM

subpart b - LOAN PURPOSES AND BASIC POLICIES

1735.14 - Borrower eligibility.

  (a) RUS makes loans to: (1) Entities providing, or who may hereafter provide, telephone service in rural areas; (2) Public bodies providing telephone service in rural areas as of October 28, 1949; and (3) Cooperative, nonprofit, limited dividend or mutual associations.

  (b) RUS does not make loans to individuals.

  (c) RUS gives preference to those borrowers (including initial loan applicants) already providing telephone service in rural areas, and to cooperative, nonprofit, limited dividend, or mutual associations. To be eligible for a loan, a borrower: (1) Must have sufficient authority to carryout the purposes of the RE Act; and (2) Must be incorporated or a limited liability company.

[58 FR 66253, Dec. 20, 1993, as amended at 64 FR 50429, Sept. 17, 1999; 65 FR 42619, July 11, 2000]