Together, America Prospers 

Rural Broadband Access Loan & Loan Guarantee
 

What does this 

program do? 

This loan and loan guarantee 

program offers financial 

assistance to eligible applicants 

that will construct, improve, or 

acquire facilities and equipment 

needed to provide service at 

the broadband lending speed 

as defined in the most recent 

funding announcement in eligible 

rural areas. 

Who may apply 

for this program? 

Eligible applicants that may 

be organized on a for-profit or 

nonprofit basis, include: 

• Corporation

• Limited Liability Company (LLC)

• Cooperative or

mutual organization

• A state or local unit

of government

• Federally recognized Tribes

What is an eligible area? 

Eligible areas must be completely 

contained within a rural area or 

composed of multiple rural areas. 

• At least 15 percent of the

households in the proposed area

must not have access to broadband

service as defined in the most

recent funding announcement

• No part of the proposed area may

have three or more incumbent

service providers

• No part of the proposed area may

overlap with the service area of

current RUS borrowers or grantees

How may funds be used? 

This program provides funding for: 

• The construction, improvement, and

acquisition of facilities required to

provide service at the broadband

lending speed as defined in the

latest funding announcement

• Refinancing of existing RUS debt

with certain restrictions

• An acquisition, under certain

circumstances and with restrictions

• For additional details, see 7 CFR 1738

What kind of funding is available? 

• Direct loans: Cost-of-Money Loans

What are the loan terms? 

• In general Loan Terms are limited to

the expected composite economic

life of the assets to be financed

plus 3 years

• Interest rates are set at the time

funds are advanced

How do we get started? 

• Application periods for this program

are announced through the national

office on a periodic basis

• Program Resources are available

online at rd.usda.gov (includes

forms, guidance, certifications, etc.)
Rural Broadband Access 


Loan & Loan Guarantee
 

Who can answer questions about 

this program? 

• Contact our Loan Origination and

Approval Division at (202) 720-0800

• Contact the General Field

Representative who serves your area

Why does USDA Rural Development 

do this? 

The Rural Broadband Access Loan 

and Loan Guarantee program 

increases economic opportunities and 

improves the quality of life for families 

and businesses in rural America by 

providing investment capital in the 

form of loans and loan-guarantees 

for the deployment and improvement 

of telecommunications/broadband 

infrastructure in rural areas. The 

program helps maintain a seamless 

nationwide telecommunications/ 

broadband network that also provides 

access to broadband for education, 

healthcare, public safety and jobs for 

all Americans regardless of where they 

live. Expansion of modern broadband 

service is essential for rural America 

to be able to access Web-based 

information and services that will allow 

rural communities to compete in the 

global economy and offer the quality 

of life necessary to attract and retain 

residents and businesses. 

NOTE: Because citations and other information may be subject to change, 

please always consult the program instructions listed in the section above 

titled “What Governs This Program?” You may also contact your local office for 

assistance. You will find additional forms, resources, and program information at 

rd.usda.gov. USDA is an equal opportunity provider, employer, and lender. 

Last Updated December 2019