10.863 Community Connect Grant Program

GS-Broadband Deficiencies

10.863 COMMUNITY CONNECT GRANT PROGRAM

Community Connect

FEDERAL AGENCY:

Rural Utilities Service, Department of Agriculture

AUTHORIZATION:

Consolidated Appropriations Act, 2005; Title III: Rural Development Programs; Rural Utilities Service; Distance Learning, Telemedicine, and Broadband Program; Public Law 108-447.

OBJECTIVES:

To encourage community-oriented connectivity by providing grants to eligible applicants who will deploy broadband transmission service in rural communities where such service does not currently exist; who will connect all critical community facilities such as local schools, education centers, libraries, hospitals, health care providers, law enforcement agencies, public safety organizations, fire, and rescue services, as well as residents and businesses; and who will operate a community center which provides free and open access to area residents.

TYPES OF ASSISTANCE:

PROJECT GRANTS

USES AND USE RESTRICTIONS:

Grants will be made available, on a competitive basis, for the deployment of broadband services to critical community facilities, rural residents, and rural businesses and for the operation of a community center which would provide free access to broadband services to community residents for at least two years. See 7 CFR Part 1739 for details. Funds can only be used for purposes specifically authorized in the regulation, per 7 CFR 1739.12. Funds are authorized for this program in the Appropriations Bill for the Department of Agriculture for each fiscal year.

Applicant Eligibility:

To be eligible for a grant, the applicant must: (a) be legally organized as an incorporated organization, an Indian tribe or tribal organization, a state or local unit of government, or other legal entity, including cooperatives or private corporations or limited liability companies organized on a for profit or not-for profit basis, and (b) have the legal capacity and authority to own and operate the broadband facilities as proposed in its application, to enter into contracts and to otherwise comply with applicable federal statutes and regulations.

Beneficiary Eligibility:

The people living in rural areas and to improve rural opportunities through the availability of access to high speed broadband networks.

Credentials/Documentation:

No Credentials or documentation are required. This program is excluded from coverage under 2 CFR 200, Subpart E - Cost Principles.

Preapplication Coordination:

Preapplication coordination is required. An environmental impact assessment is required for this program. This program is excluded from coverage under E.O. 12372.

Application Procedures:

2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. OMB Circular No. A-102 applies to this program. OMB Circular No. A-110 applies to this program. Submit an application in accordance with 7 CFR 1739 and its accompanying application guide.

Award Procedure:

Grants are awarded on a competitive basis to applicants receiving the highest number of points.

Deadlines:

Contact the headquarters or regional office, as appropriate, for application deadlines.

Range of Approval/Disapproval Time:

Applications are approved each fiscal year for which funding is made available.

Appeals:

Not Applicable.

Renewals:

Not Applicable.

Formula and Matching Requirements:

Statutory formulas are not applicable to this program. Matching Requirements: Percent: 15.%. The grant applicant must contribute a matching contribution in the form of cash which is at least 15 percent of the grant amount requested and must be in cash. MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance:

Applicants generally have three years to spend funds. Extensions may be granted. See the following for information on how assistance is awarded/released: Funds may be advanced monthly or as needed to reimburse disbursements for approved grant purposes.

Reports:

Program reports are not applicable. Cash reports are not applicable. Progress reports are not applicable. The disbursal of funds is made on the basis of invoices for eligible purposes. To this extent, RUS is aware of all expenditures for which reimbursement is sought. Projects are also periodically audited by field accounting staff. Project performance activity reports are required annually.

Audits:

In accordance with the provisions of 2 CFR 200, Subpart F - Audit Requirements, non-Federal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific auditconducted for that year. Non-Federal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in 2 CFR 200.503. In accordance with the provisions of 2 CFR 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements, Subpart F, Audit Requirements (Revised, December 26, 2013) nonfederal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Subpart F. Entities which do not meet the criteria for applicability in 2 CFR 200 will have an audit prepared in accordance with 7 CFR 1773, Policy on Audits of RUS Borrowers and Grantees.

Records:

Grantee will provide evidence that funds are expended for approved purposes.

Account Identification:

12-1232-0-1-452.

Obligations:

(Project Grants) FY 14 $13,685,608; FY 15 est $14,000,000; and FY 16 est $14,000,000

Range and Average of Financial Assistance:

The Agency will publish, annually in the Federal Register, a Notice of Funds Availability that sets forth the maximum and minimum funding for each grant. The size of grants varies. In FY 2014, grants ranged from $470,000 to $3,000,000 and averaged $1,710,701.

TAFS Codes:

12-1230.

PROGRAM ACCOMPLISHMENTS:

Not Applicable.

REGULATIONS, GUIDELINES, AND LITERATURE:

7 CFR 1739: Broadband Grant Program, Subpart A - Community Connect Grant Program

Regional or Local Office:

None.

Headquarters Office:

Assistant Administrator, Telecommunications Program Rural Utilities Service, 1400 Independence Avenue, S.W., STOP 1590, Washington, District of Columbia 20250 Phone: (202) 720-9564.

Website Address:

RELATED PROGRAMS:

Not Applicable.

EXAMPLES OF FUNDED PROJECTS:

Not Applicable.

CRITERIA FOR SELECTING PROPOSALS:

Not Applicable.

10.886 RURAL BROADBAND ACCESS LOANS AND LOAN GUARANTEES

Farm Bill Broadband Loans & Loan Guarantees

FEDERAL AGENCY:

Rural Utilities Service, Department of Agriculture

AUTHORIZATION:

Rural Electrification Act of 1936, as amended, Title VI; 7 U.S.C. 950bb.

OBJECTIVES:

To assure that people in eligible rural communities have access to broadband service comparable in reliability and quality to the rest of the Nation.

TYPES OF ASSISTANCE:

DIRECT LOANS; GUARANTEED/INSURED LOANS

USES AND USE RESTRICTIONS:

Funds can be used for the costs of the construction, improvement, or acquisition of facilities and equipment for the provision of broadband service in rural areas. Additional restrictions may apply to projects depending on the availability of existing broadband service. A direct loan shall bear interest at an annual rate either (1) equivalent to the cost of borrowing to the Department of the Treasury for obligations of comparable maturity or (2) 4 percent. A guaranteed loan shall bear interest at an annual rate equivalent to the current applicable market rate for a loan of comparable maturity. Funds must be used for broadband facilities in eligible rural areas. Funds are appropriate and made available annually. Direct and or guaranteed loans.

Applicant Eligibility:

(a) To be eligible for a broadband loan, an applicant may be either a nonprofit or for-profit organization, and must take one of the following forms: (1) Corporation; (2) Limited liability company (LLC); (3) Cooperative or mutual organization; (4) Indian tribe or tribal organization as defined in 25 U.S.C. 450b; or (5) State or local government, including any agency, subdivision, or instrumentality thereof.

(b) To be eligible for a broadband loan, the applicant must: (1) Submit a loan application which meets the requirements set forth the regulation; (2) Agree to complete the build-out of the broadband system described in the loan application within three years from the day the applicant is notified that loan funds are available. The loan application must demonstrate that all proposed construction be completed within this three year period with the exception of CPE. CPE can be funded throughout the forecast period; (3) Demonstrate an ability to furnish, improve, or extend broadband facilities to provide service at the broadband lending speed in rural areas; (4) Demonstrate an equity position equal to at least 10 percent of the amount of the loan requested in the application; and (5) Provide additional security if it is necessary to ensure financial feasibility as determined by the Administrator.

An eligible entity that provides telecommunications or broadband service to at least 20 percent of the households in the United States may not receive a total amount of loans or guarantees for a fiscal year in excess of 15 percent of the funds authorized and appropriated for that fiscal year.

Beneficiary Eligibility:

Residents and businesses of eligible rural areas.

Credentials/Documentation:

No Credentials or documentation are required. This program is excluded from coverage under 2 CFR 200, Subpart E - Cost Principles.

Preapplication Coordination:

Applicants must supply environmental impact information to determine whether an environmental assessment or an environmental impact statement will be required. Additional information regarding environmental requirements can be found in 7 C.F.R. Part 1794. Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372.

Application Procedures:

2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. New regulations will implement the changes authorized by the 2014 Farm Bill. For further information on submitting an application, please contact RUS and visit our website:

Award Procedure:

The RUS Administrator makes the final decision on approval of the loan or loan guarantee. There must be a finding that the project is economically feasible, capable of delivering service at the Broadband Lending Speed, and serves the purposes of the program. Borrowers and member of Congress are notified directly of the approval of a loan or loan guarantee.

Deadlines:

Not Applicable.

Range of Approval/Disapproval Time:

> 180 Days. Normal processing time is four to five months.

Appeals:

Not Applicable.

Renewals:

Not Applicable.

Formula and Matching Requirements:

This program has no statutory formula. This program has no matching requirements. The loan application must demonstrate an equity position equal to at least 10 percent of the amount of the loan requested in the application. MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance:

Unless requested to be shorter by the applicant, broadband loans must be repaid with interest within a period that, rounded to the nearest whole year, is equal to the expected composite economic life of the assets to be financed, as determined by the Agency based upon acceptable depreciation rates. The borrower must begin construction within six months from the date the Agency notifies the applicant that loan funds are available. . If the borrower fails to begin construction, the Agency may cancel the loan. The build-out must be complete within three years from the day the Agency notifies the applicant that loan funds are available. Build-out is considered complete when the network design has been fully implemented, the service operations and management systems infrastructure is operational, and the borrower is ready to support the activation and commissioning of individual customers to the new system. See the following for information on how assistance is awarded/released: New regulations will implement the changes authorized by the 2014 Farm Bill. See the following for information on how assistance is awarded/released: Once the loan is closed and funds are made available, the borrower submits advance request on an as needed and funds are advanced over a five year period.

Reports:

RUS borrowers must submit to the Rural Utilities Service quarterly operating reports showing financial condition and operating progress. No cash reports are required. Annual progress reports are required. The form that is used to request the advance of funds is also an expenditure reports. The form is called a Financial Requirement Statement and tracks individual construction projects. Performance monitoring is completed by the RUS National and Field offices.

Audits:

In accordance with the provisions of 2 CFR 200, Subpart F - Audit Requirements, non-Federal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Non-Federal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in 2 CFR 200.503. In accordance with the provisions of 2 CFR 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements, Subpart F, Audit Requirements (Revised, December 26, 2013) nonfederal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Subpart F. Entities which do not meet the criteria for applicability in 2 CFR 200 will have an audit prepared in accordance with 7 CFR 1773, Policy on Audits of RUS Borrowers and Grantees.

Records:

No Data Available.

Account Identification:

12-1232-0-1-452.

Obligations:

(Direct Loans) FY 14 $0; FY 15 est $0; and FY 16 est $0 - Four (4) Percent Loans

No loans were made in FY14-FY15 due to regulation changes mandated in the 2014 farm bill. (Direct Loans) FY 14 $0; FY 15 est $0; and FY 16 est

$70,000,000 - Cost of Money Loans

No loans were made in FY14-FY15 due to regulation changes mandated in the 2014 farm bill. (Guaranteed/Insured Loans) FY 14 $0; FY 15 est $0; and FY 16 est $0 - No loans were made in FY14-FY15 due to regulation changes mandated in the 2014 farm bill.

Range and Average of Financial Assistance:

Minimum and maximum amounts of the loans are determined at the time a Notice of Funding Availability is published in the Federal Register.

TAFS Codes:

12-4209; 12-4208; 12-1230.

PROGRAM ACCOMPLISHMENTS:

Not Applicable.

REGULATIONS, GUIDELINES, AND LITERATURE:

New regulations are currently under development to implement the 2014 Farm Bill. Applications cannot be accepted until the new regulation is published.

Regional or Local Office:

None.

Headquarters Office:

Assistant Administrator, Telecommunications Program, Rural Utilities Service, 1400 Independence Avenue, S.W., STOP 1590, Washington, District of Columbia 20250 Phone: (202) 720-9564.

Website Address:

RELATED PROGRAMS:

10.851 Rural Telephone Loans and Loan Guarantees

EXAMPLES OF FUNDED PROJECTS:

Not Applicable.

CRITERIA FOR SELECTING PROPOSALS:

Not Applicable.

10.890 RURAL DEVELOPMENT COOPERATIVE AGREEMENT PROGRAM

FEDERAL AGENCY:

Rural Business-Cooperative Service, Department of Agriculture

AUTHORIZATION:

7 USC 2204b(b)(4).

OBJECTIVES:

To improve the coordination and effectiveness of Federal programs, services, and actions affecting rural areas.

TYPES OF ASSISTANCE:

Project Grants

USES AND USE RESTRICTIONS:

Funds must be used to improve the coordination and effectiveness of Federal programs, services, and actions affecting rural areas. Examples of allowable activities are providing leadership and entrepreneurial training, providing economic planning and development services, and assisting with outreach of Rural Development programs. Ultimate beneficiaries must be in rural areas. All available funds are discretionary funds.

Applicant Eligibility:

Applicants are not eligible if they have been debarred or suspended or otherwise excluded from participation in Federal assistance programs under Executive Order 12549, Debarment and Suspension. Applicants are not eligible if they have an outstanding judgement obtained by the U.S. in a Federal Court (other than U.S. Tax Court), are delinquent on the payment of Federal income taxes, or are delinquent on a Federal debt. Any corporation that has been convicted of a felony criminal violation under any Federal law within the past 24 months or that has any unpaid Federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuantnot eligible for funding.

Beneficiary Eligibility:

Ultimate beneficiaries must be located in rural areas.

Credentials/Documentation:

Applicants will be required to provide information regarding eligibility for assistance. 2 CFR 200, Subpart E - Cost Principles applies to this program.

Preapplication Coordination:

Preapplication coordination is not applicable. Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372.

Application Procedures:

2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. Applicants must submit a proposed scope of work and budget.

Award Procedure:

Applications are evaluated for eligibility for the program. Eligible applications are reviewed by the Agency and selected based on the reasonableness of the budget and on the priority of the proposed work.

Deadlines:

Oct 01, 2015 to Jul 29, 2016 Applications should be submitted no later than July 31 for consideration under the current years funding availability. Applications received after July 31 will be held for consideration during the next fiscal year.

Range of Approval/Disapproval Time:

From 60 to 90 days. Applications are typically approved/disapproved within 60-90 days of receipt.

Appeals:

N/A.

Renewals:

N/A.

Formula and Matching Requirements:

Statutory formulas are not applicable to this program. This program has no matching requirements. MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance:

Availability of assistance varies each year. The Period of Performance is typically one year, although the Agency may fund projects for longer time periods at its discretion. See the following for information on how assistance is awarded/released: Funds are disbursed as often as monthly, as requested by the recipient using Form SF-270.

Reports:

Program reports are not applicable. Cash reports are not applicable. Progress reports must be submitted semi-annually. Expenditure reports must be submitted semi-annually using Form SF-425. Performance monitoring is not applicable.

Audits: