[Code of Federal Regulations]
[Title 7, Volume 11]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1703.103]

[Page 61]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1703--RURAL DEVELOPMENT--Table of Contents
 
 Subpart D--Distance Learning and Telemedicine Loan and Grant Program--
                                 General
 
Sec. 1703.103  Applicant eligibility and allocation of funds.

    (a) To be eligible to receive a grant, loan and grant combination, 
or loan under this subpart:
    (1) The applicant must be legally organized as an incorporated 
organization or partnership, an Indian tribe or tribal organization, as 
defined in 25 U.S.C. 450b (b) and (c), a state or local unit of 
government, a consortium, as defined in Sec. 1703.102, or other legal 
entity, including a private corporation organized on a for profit or 
not-for profit basis. Each applicant must provide written evidence of 
its legal capacity to contract with RUS to obtain the grant, loan and 
grant combination, or the loan, and comply with all applicable 
requirements. If a consortium lacks the legal capacity to contract, each 
individual entity must contract with RUS in its own behalf.
    (2) The applicant proposes to utilize the financing to:
    (i) Operate a rural community facility; or
    (ii) Deliver distance learning or telemedicine services to entities 
that operate a rural community facility or to residents of rural areas 
at rates calculated to ensure that the benefit of the financial 
assistance is passed through to such entities or to residents of rural 
areas.
    (b) Electric or telecommunications borrowers are not eligible for 
grants.

[67 FR 3040, Mar. 11, 2002]