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7 U.S.C. 1926 (a)(2)(B).
69 FR 59772, Oct. 6, 2004, unless otherwise noted.
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(a) A loan recipient must be an eligible entity as defined in § 1783.3.
(b) The loan recipient must be unable to finance the proposed project from their own resources or through commercial credit at reasonable rates and terms.
(c) The loan recipient must have or will obtain the legal authority necessary for owning, constructing, operating and maintaining the proposed service or facility, and for obtaining, giving security for, and repaying the proposed loan.
(d) The project funded by the proceeds of an RFP loan must be located in, or the services provided as the result of such project must benefit, rural areas.