improve the use of telecommunications, computer
networks, and related advanced technologies, by per-
sons associated with end users of such facilities, in-
cluding students and teachers, medical professionals,
small businesses, and other residents living in rural
areas associated with rural community facilities in
rural areas.
‘‘(8) PROVISION
OF
SECURITY
FOR
CERTAIN
STATE
OBLIGATIONS
USED
TO
RAISE
FUNDS
FOR
RURAL DEVELOPMENT.—To provide security for, or
to make principal or interest payments on revenue
or general obligation bonds issued by the State if the
proceeds from the sale of such bonds is deposited in
the State rural development revolving fund estab-
lished pursuant to section 702(c)(1)(A).
‘‘(9) RURAL COMMUNITY FIRE PROTECTION.—
To make loans or grants to public or nonprofit asso-
ciations to organize, train, and equip local firefight-
ing forces.
‘‘(10) GENERAL TECHNICAL ASSISTANCE.—To
provide loans or grants to enable any entity (other
than a State or territory) receiving funds provided
under section 702(a) to obtain technical assistance.
‘‘(11) LIMITED
ADMINISTRATIVE
COSTS.—To
pay the costs of administering the State rural devel-
opment revolving fund established pursuant to sec-
tion 702(c)(1)(A), except that amounts expended
from the fund during any fiscal year for this purpose
may not exceed 3 percent of the total amount paid
to the State under section 702(a) for the fiscal year.
‘‘(12) FINANCIAL SUPPORT FOR LOCAL FINANC-
ING OF RURAL DEVELOPMENT.—To guarantee, or
purchase insurance for, local obligations the pro-
ceeds of which shall be used for another qualified
rural development purpose.
‘‘(13) LOCAL SHARE REQUIREMENTS OF OTHER
FEDERAL
GRANT-IN-AID
PROGRAMS
RELATED
TO
RURAL DEVELOPMENT.—To pay the local share re-
quirements of another Federal grant-in-aid program
related to rural development to the extent not ex-
pressly prohibited by the law providing for the
grant-in-aid program.
‘‘(14) INTERSTATE RURAL DEVELOPMENT AC-
TIVITIES.—To participate with other States or terri-
tories in arrangements for the financing of a quali-
fied rural development purpose which is of interstate
character.
‘‘(15) ASSISTANCE
TO
OTHER
STATES
FOR
RURAL DEVELOPMENT.—To make loans to another
State or territory for a qualified rural development
purpose.
‘‘(c) OTHER DEFINITIONS.—
‘‘(1) AQUACULTURE.—The term ‘aquaculture’
means the culture or husbandry of aquatic animals
or plants by private industry for commercial pur-
poses including the culture and growing of fish by
private industry for the purpose of creating or aug-
menting publicly owned and regulated stocks of fish.
‘‘(2) RURAL; RURAL AREA.—
‘‘(A) IN GENERAL.—The terms ‘rural’ and
‘rural area’ means all area of a State or terri-
tory that is not within the outer boundary of
any city having a population of 50,000 or more
individuals and its immediately adjacent urban-
ized and urbanizing areas with a population
density of more than 100 individuals per square
mile, according to the latest census data avail-
able.
‘‘(B) COLONIAS
INCLUDED.—The terms
‘rural’ and ‘rural area’ include any identifiable
community that—
‘‘(i) is in the State of Arizona, Cali-
fornia, New Mexico, or Texas;
‘‘(ii) is in the United States-Mexico
border region;
‘‘(iii) is determined to be a colonia on
the basis of objective criteria, including
lack of potable water supply, lack of ade-
quate sewage systems, and lack of decent,
safe, and sanitary housing; and
‘‘(iv) was in existence as a colonia be-
fore October 1, 1989.
‘‘SEC. 704. ENFORCEMENT PROVISIONS.
‘‘(a) REVIEW AND MONITORING.—The Rural Eco-
nomic and Community Development Director of a jurisdic-
tion to which a payment is made under section 702(a)
shall review and monitor compliance by the jurisdiction
with this title.
‘‘(b) ENFORCEMENT RECOMMENDATIONS.—If the
Rural Economic and Community Development Director of
a jurisdiction, after reasonable notice to the jurisdiction,
finds that there has been a failure by the jurisdiction to
comply substantially with any provision or requirement of
this title, the Director shall notify the Secretary of the
noncompliance and recommend that the Secretary take 1
or more of the following actions:
‘‘(1) Suspend payments to the jurisdiction
under section 702(a) until the Director is satisfied
that the noncompliance has ceased or that the non-
compliance will be corrected promptly.
‘‘(2) Recover any funds expended in violation of
this title.
‘‘(3) Limit further payment to the jurisdiction
under section 702(a) to activities not affected by the
noncompliance, until the Director is satisfied that
the noncompliance has ceased or that the noncompli-
ance will be corrected promptly.
‘‘(4) Offset the amounts improperly expended
against any other amount that is or will be payable
to the jurisdiction under section 702(a).
‘‘(5) Refer the matter to the Attorney General
of the United States.
‘‘(6) Disqualify the jurisdiction from the receipt
of payments under section 702(a) for 12 months.
‘‘(7) Reduce payments to the jurisdiction under
section 702(a) for 12 months.
‘‘(c) IMPOSITION OF PENALTIES.—Within 90 days
after receiving notice and a recommendation from the
Rural Economic and Community Development Director of
a jurisdiction pursuant to subsection (b) and after provid-
ing reasonable notice to the jurisdiction and opportunity
for a hearing, the Secretary shall, pursuant to a written
ruling which shall be based on the recommendation of the
Director and the hearing, take any action described in
subsection (b) as the Secretary deems appropriate.
‘‘(d) RURAL ECONOMIC AND COMMUNITY DEVELOP-
MENT DIRECTOR.—As used in this section, the term
‘Rural Economic and Community Development Director’
means, with respect to a jurisdiction, the officer or em-
ployee of the United States Department of Agriculture
who is holding such position with respect to the jurisdic-
tion.’’.
SEC. 202. ELIMINATION OF OTHER RURAL DEVELOPMENT
PROGRAMS.
(a) UNDER THE CONSOLIDATED FARM AND RURAL
DEVELOPMENT ACT.—
(1) Section 304 of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1924), as amend-
ed by sections 102(a)(1)(B)(i) and 108(f)(3) of this
Act, is amended by striking subsection (b) and re-
designating subsection (c) as subsection (b).
(2) Section 306 of such Act (7 U.S.C. 1926),
as amended by sections 108(f)(5) and 108(f)(6) of
this Act, is repealed.
(3) Section 306A of such Act (7 U.S.C. 1926a)
is repealed.
(4) Section 306B of such Act (7 U.S.C. 1926b)
is repealed.