[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: 7CFR1735.52]

[Page 318]
 
                          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 E--Basic Requirements For Loan Approval
 
Sec. 1735.52  Findings required for particular loan purposes.

    (a) Refinancing. For loans that include funds to refinance 
outstanding indebtedness of the borrower, the borrower shall provide RUS 
with satisfactory evidence to enable the Administrator to determine that 
the inclusion in the loan of such funds shall be necessary and 
incidental to furnishing or improving telephone service in rural areas. 
See 7 CFR 1735.21.
    (b) Facilities for nonrural areas. Whenever a borrower proposes to 
use loan funds for the improvement, expansion, construction, or 
acquisition of telephone facilities within or for nonrural areas, the 
borrower shall provide RUS with satisfactory evidence to enable the 
Administrator to determine that such funds shall be necessary and 
incidental to furnishing or improving telephone service in rural areas.