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(b) NO PROHIBITION ON DISCLOSURE.—Any institu-
tion of the Farm Credit System, or any director, officer,
employee, or agent of a Farm Credit System institution,
may disclose information to a Government authority that
may be relevant to a possible violation of any law or regula-
tion.
TITLE VII—RURAL
DEVELOPMENT
Subtitle 
A—Amendments 
to 
the
Food, Agriculture, Conservation,
and Trade Act of 1990
CHAPTER 1—GENERAL PROVISIONS
SEC. 701. RURAL INVESTMENT PARTNERSHIPS.
(a) IN GENERAL.—Section 2310(c)(1) of the Food, Ag-
riculture, Conservation, and Trade Act of 1990 (7 U.S.C.
2007(c)(1)) is amended by striking ‘‘1996’’ and inserting
‘‘2002’’.
(b) AUTHORIZATION OF APPROPRIATIONS.—The first
sentence of section 2313(d) of the Food, Agriculture, Con-
servation, and Trade Act of 1990 (7 U.S.C. 2007c) is
amended by striking ‘‘$10,000,000’’ and all that follows
through ‘‘1996’’ and inserting ‘‘$4,700,000 for each of fiscal
years 1996 through 2002’’.
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SEC. 702. WATER AND WASTE FACILITY FINANCING.
Section 2322 of the Food, Agriculture, Conservation,
and Trade Act of 1990 (7 U.S.C. 1926–1) is repealed.
SEC. 703. RURAL WASTEWATER CIRCUIT RIDER PROGRAM.
Section 2324 of the Food, Agriculture, Conservation,
and Trade Act of 1990 (Public Law 101–624; 7 U.S.C. 1926
note) is repealed.
SEC. 704. TELEMEDICINE AND DISTANCE LEARNING SERV-
ICES IN RURAL AREAS.
Chapter 1 of subtitle D of title XXIII of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C.
950aaa et seq.) is amended to read as follows:
‘‘CHAPTER 1—TELEMEDICINE AND DIS-
TANCE LEARNING SERVICES IN RURAL
AREAS
‘‘SEC. 2331. PURPOSE.
‘‘The purpose of the financing programs established
under this chapter is to encourage and improve telemedicine
services and distance learning services in rural areas
through the use of telecommunications, computer networks,
and related advanced technologies by students, teachers,
medical professionals, and rural residents.
‘‘SEC. 2332. DEFINITIONS.
‘‘In this chapter:
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‘‘(1) CONSTRUCT.—The term ‘construct’ means to
construct, acquire, install, improve, or extend a facil-
ity or system.
‘‘(2) COST OF MONEY LOAN.—The term ‘cost of
money loan’ means a loan made under this chapter
bearing interest at a rate equal to the then current
cost to the Federal Government of loans of similar
maturity.
‘‘(3) SECRETARY.—The term ‘Secretary’ means
the Secretary of Agriculture.
‘‘SEC. 2333. TELEMEDICINE AND DISTANCE LEARNING
SERVICES IN RURAL AREAS.
‘‘(a) SERVICES TO RURAL AREAS.—The Secretary is
authorized to provide financial assistance for the purpose
of financing the construction of facilities and systems to
provide telemedicine services and distance learning services
to persons and entities in rural areas.
‘‘(b) FINANCIAL ASSISTANCE.—
‘‘(1) IN
GENERAL.—Financial assistance shall
consist of grants or cost of money loans, or both.
‘‘(2) FORM.—The Secretary shall determine the
portion of the financial assistance provided to a re-
cipient that consists of grants and that consists of cost
of money loans so as to result in the maximum fea-
sible repayment to the Federal Government of the fi-
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nancial assistance, based on the ability to repay of
the recipient and full utilization of funds made avail-
able to carry out this chapter.
‘‘(c) RECIPIENTS.—
‘‘(1) IN GENERAL.—The Secretary may provide
financial assistance under this chapter to—
‘‘(A) entities using telemedicine services or
distance learning services, or both; and
‘‘(B) entities providing or proposing to pro-
vide telemedicine service or distance learning
service, or both, to other persons at rates reflect-
ing the benefit of the financial assistance.
‘‘(2) ELECTRIC OR TELECOMMUNICATIONS BOR-
ROWERS.—
‘‘(A) LOANS
TO
BORROWERS.—Subject to
subparagraph (B), the Secretary may provide a
cost of money loan under this chapter to a bor-
rower of an electric or telecommunications loan
under the Rural Electrification Act of 1936 (7
U.S.C. 901 et seq.). A borrower receiving a cost
of money loan under this paragraph shall—
‘‘(i) make the funds provided available
to entities that qualify under paragraph (1)
for projects satisfying the requirements of
this chapter;
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‘‘(ii) use the funds provided to acquire,
install, improve, or extend a system for the
purposes of this chapter; or
‘‘(iii) use the funds provided to install,
improve, or extend a facility for the pur-
poses of this chapter.
‘‘(B) LIMITATIONS.—A borrower of an elec-
tric or telecommunications loan under the Rural
Electrification Act of 1936 shall—
‘‘(i) make a system or facility funded
under subparagraph (A) available to enti-
ties that qualify under paragraph (1); and
‘‘(ii) neither retain from the proceeds
of a loan provided under subparagraph (A),
nor assess a qualifying entity under para-
graph (1), any amount except as may be re-
quired to pay the actual costs incurred in
administering the loan funds or making the
system or facility available.
‘‘(3) ASSISTANCE
TO
PROVIDE
OR
IMPROVE
SERVICES.—Financial assistance may be provided
under this chapter for a facility regardless of the loca-
tion of the facility if the Secretary determines that the
assistance is necessary to provide or improve
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telemedicine services or distance learning services in
a rural area.
‘‘(d) PRIORITY.—The Secretary shall establish proce-
dures to prioritize financial assistance provided under this
chapter considering—
‘‘(1) the need for the assistance in the affected
rural area;
‘‘(2) the financial need of the applicant;
‘‘(3) the population sparsity of the affected rural
area;
‘‘(4) the local involvement in the project serving
the affected rural area;
‘‘(5) geographic diversity among the recipients of
financial assistance;
‘‘(6) the utilization of the telecommunications fa-
cilities of the existing telecommunications provider;
‘‘(7) the portion of total project financing pro-
vided by the applicant from the funds of the appli-
cant;
‘‘(8) the portion of project financing provided by
the applicant with funds obtained from non-Federal
sources;
‘‘(9) the joint utilization of facilities financed by
other financial assistance;