Leading the Charge: How USDA Rural Development 

Supports Electric Vehicle Infrastructure

USDA Rural Development is in a 

unique position to make climate-smart 

investments in rural infrastructure to help 

America build back better and stronger. 

Our actions play an important role in 

meeting the Biden-Harris Administration’s 

climate goals – not just in agriculture and 

forestry, but across the whole economy.

When it comes to greenhouse gasses, transportation is 

the highest-emitting sector in this country. A multifaceted 

strategy – one that includes alternative fuels such as 

sustainable, drop-in biofuels and electricity – is crucial 

to addressing this imbalance. As part of its ongoing “All 

Hands” approach, the U.S. Department of Agriculture is 

committed to ensuring the success of President Biden’s 

plan to install a half-million electric vehicle (EV) chargers 

across the U.S. over the next decade.

Charging infrastructure improvements must include parity of 

access in American’s urban and rural landscapes. We must 

also address “range anxiety” – the understandable concern 

that rural-based electric vehicle drivers won’t be able to find 

a reliable charging station before they run out of power.

That’s why Agriculture Secretary Tom Vilsack has directed 

USDA Rural Development to identify and – wherever 

possible, expand – supportive funding streams. Rapid EV 

access isn’t just an issue “for folks passing through.” It’s a 

non-negotiable modernization for forward-thinking farmers, 

ranchers, rural business owners, and residents who 

understand that a sustainable, profitable future centers on 

renewable energy technology.

According to the Union of Concerned Scientists, drivers 

living in small towns and rural areas stand to benefit the 

most from buying or converting to electric vehicles. They 

tend to have longer work commute times and drive farther 

to reach medical and other appointments, spending more 

on gasoline and generating higher carbon emissions per 

capita. Using 2017 National Highway Traffic survey data, 

USC estimates rural drivers can save up to twice as much 

as their urban neighbors by switching to electric; about 

$870 each year among the most rural counties studied in 

a 12-state region. But – without easy, reliable access to 

EV charging stations, rural drivers will remain reluctant to 

adopt electric vehicle technology.

RD’s Community Programs, Rural Business 

and Cooperative Service, and 

Rural Utilities Service programs all offer 

funding support for EV charging 

infrastructure. See the next page for 

a snapshot of how that looks today.
Community Programs*

Essential community infrastructure is key to ensuring rural areas enjoy the same basic quality of life and 

services available to those in urban areas. As policies and incentives to invest in EV technology accelerate, 

RD Community Programs can play a proactive role in supporting charging infrastructure and electric vehicle 

adoption in rural America.

Program Uses

Community Facilities Direct Loans and Grants

(available at this link: https://go.usa.gov/xtG6s)

Community Facilities Guaranteed Loans

(available at this link: https://go.usa.gov/xtG6F)

EVs purchased for essential community services by public bodies, 

nonprofits, and federally-recognized Tribes

Municipal EV charging stations for vehicle fleets and for use in rural 

municipal parking lots

EV charging stations for use at rural community facilities including hospitals, 

medical clinics, schools, colleges, libraries, and town halls, among others

*We are consulting with USDA’s Office of General Counsel to determine regulatory and statutory boundaries in using Community Facilities loan, loan

guarantee, and grant program funds to support EV charging stations for commercial or retail entities, and to determine the legality of funding EV charging

stations on public property near interstate highway systems (“alternative fuel corridors”).

Rural Business-Cooperative Service

RBCS offers programs to help start and grow rural businesses, including those in the biobased economy.

Program Uses

Rural Energy for America Program* (REAP) Renewable Energy Systems 

& Energy Efficiency Improvement Guaranteed Loans and Grants 

(available at this link: https://go.usa.gov/xtGM4)

Fund renewable energy systems, including EV equipment for a REAP 

recipient's own business use (for example, to charge a fleet of electric 

vehicles). 

Business & Industry Guaranteed Loans

(available at this link: https://go.usa.gov/xtGMZ)

Help a business or community finance EV charging station equipment. 

Applies to retail and public use.

Intermediary Relending Program

(available at this link: https://go.usa.gov/xtGMK)

Help a business or community finance EV charging station equipment. 

Applies to retail and public use.

Rural Business Development Grants

(available at this link: https://go.usa.gov/xtGM8)

Help a business or community finance EV charging station equipment. 

Applies to retail and public use.

Rural Economic Development Loans and Grants

(available at this link: https://go.usa.gov/xtGM9)

Help a business or community finance EV charging station equipment. 

Applies to retail and public use.

*At present, REAP funds are statutorily forbidden from being used to finance equipment to dispense energy at the retail level (for instance, at a public-use filling station).

Rural Utilities Service

RUS provides funding for foundational infrastructure such as water and waste treatment, electric power, and 

telecommunications services. Together, these programs help expand economic opportunity and improve the 

quality of life for America’s rural residents.

Program Uses

Electric Programs (available at this link: https://go.usa.gov/xtGtv) Can help finance charging stations owned by utilities

Rural Energy Savings Program (RESP) 

(available at this link: https://go.usa.gov/xtGtG)

Can be used by utilities to finance consumer-owned EV charging 

stations, which the borrower then repays using an on-bill financing system. 

Note: The utility – not the consumer – applies for RESP funding.

Electric Infrastructure Loans and Loan Guarantees

(available at this link: https://go.usa.gov/xtGtH)

Financing for electric vehicles owned and used by a utility to deliver electric 

service (examples include emergency, crew, and service vehicles, among others)

To learn more, contact your state-based RD energy coordinator. A list is available at this link: https://go.usa.gov/xtAzb (PDF).

USDA is an equal opportunity provider, employer, and lender. June 2022