US Department of Agriculture
Rural Broadband Access Loan and Loan Guarantee
The Rural Broadband Access Loan and Loan Guarantee Program (Broadband Program) furnishes loans and loan guarantees to provide funds for the costs of construction, improvement, or acquisition of facilities and equipment needed to provide service at the broadband lending speed in eligible rural areas.
Broadband loans provide funding on a technology-neutral basis for financing:
- The construction, improvement, and acquisition of facilities required to provide service at the broadband lending speed including facilities required for providing other services through the same facilities
- The cost of leasing facilities required to provide service at the broadband Lending speed if such lease qualifies as a capital lease under Generally Accepted Accounting Principles (GAAP)
- An acquisition, under certain circumstances and with restrictions
State, local, and tribal governments, non-profit or for-profit organizations.
Eligible areas include:
- Proposed funded service areas must be completely contained within a rural area or composed of multiple rural areas, as defined in 7 CFR 1738
• At least 15 percent of the households in the proposed funded service area are unserved,
• No part of the proposed funded service area has three or more “incumbent service providers.”
• No part of the proposed funded service area overlaps with the service area of current RUS borrowers or the service areas of grantees that were funded by RUS.
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