TITLE 7 - AGRICULTURE

SUBTITLE B - REGULATIONS OF THE DEPARTMENT OF AGRICULTURE

CHAPTER XVII - RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE

PART 1783 - REVOLVING FUNDS FOR FINANCING WATER AND WASTEWATER PROJECTS (REVOLVING FUND PROGRAM)

subpart b - REVOLVING LOAN PROGRAM GRANTS

1783.12 - What are eligible uses of grant proceeds?

  (a) Grant proceeds shall be used solely for the purpose of establishing the revolving loan fund to provide loans to eligible entities for: (1) Pre-development costs associated with proposed water and wastewater projects or with existing water and wastewater systems, and (2) Short-term costs incurred for replacement equipment, small-scale extension of services, or other small capital projects that are not part of the regular operations and maintenance activities of existing water and wastewater systems.

  (b) A grant recipient may not use grant funds in any manner inconsistent with the terms of the grant agreement.