[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: 7CFR1735.11]

[Page 305]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1735--GENERAL POLICIES, TYPES OF LOANS, LOAN REQUIREMENTS--TELECOMMUNICATIONS PROGRAM--Table of Contents
 
               Subpart B--Loan Purposes and Basic Policies
 
Sec. 1735.11  Area coverage.

    Borrowers must make adequate telephone service available to the 
widest practical number of rural subscribers during the life of the 
loan. Both the nature of the service area and the cost per subscriber 
must be fully considered. The borrower must seek to provide service to 
all interested potential subscribers in the service area. Borrowers are 
not required to extend service in situations where the costs would be 
exorbitant. The loan contract shall contain appropriate provisions to 
effect this requirement. See 7 CFR 1737.11(a), Preapplication 
Determinations: Area to be Served.