Distance Learning & Telemedicine

Loan and Grant Programs

Presented by

Roberta D. Purcell

Assistant Administrator - Telecommunications

Program Purpose

 The Distance Learning Telemedicine

Program is designed to encourage and

improve distance learning and

telemedicine services in rural areas

through the use of telecommunications,

computer networks, and related

advanced technologies.
Applicant Eligibility

• An incorporated organization that:

 Operates a school, college, university, learning

center, training facility, regional educational

laboratory, hospital, medical center, and

medical clinic; or

 Provides DLT service to other entities at rates

that ensure that the economic value and

benefits of the DLT grant are passed on to the

other entities.

Applicant Eligibility

• State government entity is not eligible

unless it operates a rural community

facility.

• Electric and telecommunications

borrowers are eligible for loans only.
DLT Regulation Changes

• On March 25, 1999 RUS published a

direct final rule amending 7 CFR

Part 1703, Distance Learning and

Telemedicine Loan and Grant Program.

• The direct final rule became effective on

May 10, 1999.

DLT Regulation Changes

• The revised regulation was reorganized

into distinct subparts for each program

component:

 Subpart E - Grant Program

 Subpart F - Combination Loan and Grant

 Program

 Subpart G - Loan Program
DLT Regulation Changes

• Applicants select which program they

wish to apply for - the National School

Lunch Program criteria was eliminated

as the funding determiner.

Fiscal Year 1999 Funding

Grants

$7,500,000

Combination Loans and Grants

$50,000,000/$5,000,000

Loans

$100,000,000
Fiscal Year 1999 Funding

Applications Received for FY 1999 Funding:

• 127 Grant applications received of which

94 were deemed eligible

• Requests for $22,000,000 in financing

• From 36 states and 1 U.S. territory

• 1 Loan and Grant Combination application

for $2,300,000

Fiscal Year 1999 Funding

Projects Funded in FY 1999:

• 53 Grant applications received funding in the

amount of $13,300,000 (34 states and Puerto

Rico)

• 1 Loan and Grant Combination application

received funding in the amount of $2,200,000

(Louisiana)
Fiscal Year 2000 Funding

Grants

$13,000,000

Combination Loans and Grants

$70,000,000/$7,000,000

Loans

$130,000,000

Grant Program

• Annual Application Window

 Opened on November 8, 1999

 Closes on March 17, 2000

• Competitive Application Process

• 30% Required Matching Contribution

(42.85% of the grant)

• $50,000 Minimum/$350,000 Maximum
Grant Program

Competitive Scoring Criteria:

• Need for Services and Benefits Derived from

Services (Up to 55 Points);

• Comparative Rurality of the Project Service

Area (Up to 45 Points);

• Economic Need of the Applicant’s Service

Area as estimated by the National School

Lunch Program (Up to 35 Points);

Grant Program

Competitive Scoring Criteria:

• Ability to Leverage Resources

(Up to 35 Points);

• Innovativeness (Up to 15 Points);

• Cost Effectiveness of the System

(Up to 35 Points); and

• Project Participation in EZ/ECs

(Up to 15 Points).
Grant Program

Eligible Purposes:

• Acquiring (lease or purchase) eligible

equipment.

• Acquiring instructional programming.

• Providing technical assistance and

instruction for using eligible equipment.

(Limited to 10%)

Loan/Grant Combination

• Applications Accepted Year-Round

• Applications Processed on a First-Come/

First-Served Basis

• No Matching contribution

• $50,000 Minimum/$10,000,000 Maximum
Loan/Grant Combination

Eligible Purposes:

• All Grant Purposes

• Medical or Educational equipment and

facilities

• Links between teachers and students or

medical professionals located in the same

facility

• Site development and alteration of buildings

• Land, buildings, or building construction

Loan Program

• Applications Accepted Year-Round

• Applications Processed on a First-Come/

First-Served Basis

• No Matching Contribution

• $50,000 Minimum/$10,000,000 Maximum
Loan Program

Eligible Purposes:

• All Loan/Grant Combination Purposes

• Acquiring telecommunications transmission

facilities

• Eligible recurring or operating expenses

incurred during the first 2 years of operation

 Excludes salaries and administrative

expenses

• All costs needed to provide distance learning

broadcasting to rural areas

Loan Program

Loan Characteristics:

• Up to 10 years based on the security

provided and economic life of the facilities

financed

• Interest Rates based on Cost of Money to the

US Treasury

 Yields on Treasury Securities at Constant

Maturity

 http://www.bog.frb.fed.us/releases/H15/update
Submission of Applications

Grants

• An original and two copies must be

postmarked by the filing deadline published

in the Federal Register and submitted to the

National Office.

Combination and Loans

• An original and two copies of the application

may be submitted by a Telecom GFR, State

Director, or an applicant directly.

Submission of Applications

Grants

• Reviewed, scored and awarded by the

National Office.

Combination and Loans

• May be reviewed and a funding

recommendation made by the State Director,

GFR, or the National Office.

 Must include GFR’s concurrence if

recommended by the State Director.

 Final funding determination made by the

National Office.
St. Francis Medical Center

Base: Monroe, Louisiana

• $2 MILLION Loan; $200,000 Grant request

• Provide “Tele-Home” Health Care

• Monitoring facilities in patients homes

• Nurses administer care via telemedicine

• Dedicate hospital space for monitoring program

KEY: Treat patients “pro-actively” -

anticipate future complications through

regular monitoring

The Health TV Channel

Base: Anchorage, Alaska

• $30 MILLION Loan request

• To broadcast, via satellite, distance learning and

health care programming, nationwide

• Will provide training and education on specific

skills needed by rural health care professionals.

• Focus on public health issues and continuing

education credits

KEY: Use TV as inexpensive, available

medium