USDA Rural Broadband, Electric, and Water
September 16, 2021
Programs: FY2022 Appropriations
Lisa S. Benson
The U.S. Department of Agriculture’s (USDA’s) Rural Utilities Service (RUS) programs build
Analyst in Agricultural
and enhance infrastructure in rural areas. RUS programs provide grants, loans, loan guarantees,
Policy
and technical assistance that help develop and modernize systems in rural areas, including water,

waste disposal, electric, broadband, and telemedicine systems. Congress funds RUS programs
through Title III and Title VII of the Agriculture, Rural Development, Food and Drug

Administration, and Related Agencies Appropriations Act, also known as the Agriculture
appropriations bill.
Over the past two years, Congress increased funding by $191.6 million (+16%) for RUS programs, from $1.2 billion
(FY2019) to $1.4 billion (FY2021). During that time, Congress increased funding by $77.9 million (+14%) for RUS water
and waste disposal programs , by $1.6 million (+3%) for RUS electric and telephone programs, and by $112.2 million (+18%)
for RUS broadband and telephone programs. Congress also increased funding for the ReConnect Program that helps increase
broadband access in rural areas by $85 million (+15%), from $550 million in FY2019 to $635 million in FY2021.
On May 28, 2021, the Biden Administration released its FY2022 budget request. The Administration’s request would
increase funding by $590.6 million (+42%) for RUS programs, from $1.4 billion (FY2021) to $2 billion. The
Administration’s proposal would increase funding by $90 million (+14%) for RUS water and waste disposal programs and by
$435.8 million (+936%) for RUS electric and telephone programs. The Administration’s request would also increase funding
by $64.8 million (+9%) for RUS broadband and telemedicine programs . The increase in funding for RUS broadband and
telemedicine programs would be allocated to the ReConnect Program, increasing its funding from $635 million (FY2021) to
$700 million.
On July 29, 2021, the House approved the FY2022 Consolidated Appropriations Act (H.R. 4502), which includes the
Agriculture Appropriations Act. The House bill would increase funding by $484.8 million (+35%) for RUS programs, from
$1.4 billion (FY2021) to $1.9 billion. The House bill would increase funding by $105.6 million (+17%) for RUS water and
waste disposal programs and by $177.8 million (+382%) for RUS electric and telephone programs. The House bill would
also increase funding by $201.4 million (+28%) for RUS broadband and telemedicine programs . The increase to RUS
broadband and telemedicine programs would be allocated to the ReConnect Program, increasing its funding from $635
million (FY2021) to $836.6 million.
On August 4, 2021, the Senate Appropriations Committee reported the FY2022 Agriculture Appropriations Act (S. 2599).
The Senate committee-reported bill would increase funding by $109.7 million (+8%) for RUS programs , from $1.4 billion
(FY2021) to $1.5 billion. The bill would increase funding by $39.1 million (+6%) for RUS water and waste disposal
programs, by $293,000 (+1%) for RUS electric and telephone programs, and by $70.3 million (+10%) for RUS broadband
and telemedicine programs. In addition, the bill would increase funding for the ReConnect Program by $65 million (+10%),
from $635 million in FY2021 to $700 million. The $700 million would be funded through Title VII (General Provisions)
rather than through Title III (Rural Development) and Title VII as it was in FY2021.
The House FY2022 Agriculture appropriations bill and the Senate FY2022 committee-reported Agriculture appropriations
bill include funding guidelines and policy-related provisions that direct how the executive branch is to carry out the
appropriations. For example, H.Rept. 117-82 that accompanies H.R. 4356, the bill that became the FY2022 Consolidated
Appropriations Act (H.R. 4502), would direct the executive branch to use funding allocated to the Rural Energy Savings
Program for activities that contribute to the reduction of greenhouse gases. Another provision states that for the ReConnect
Program, rural areas without sufficient broadband would be defined as rural areas with less than 25 megabits per second
(Mbps) downstream and 3 Mbps upstream rates. S.Rept. 117-34 that accompanies S. 2599 would direct that $1 billion of
funding for the Water and Waste Disposal Technical Assistance and Training Grants be used to support manufactured homes.
The Senate committee report also requests that USDA prioritize applications for the Community Connect Program for
projects serving areas with mountainous terrain.
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Introduction
The Agriculture, Rural Development, Food and Drug Administration, and Related Agencies
Appropriations Act—also known as the Agriculture appropriations bil —funds the U.S.
Department of Agriculture (USDA), except the Forest Service, and the Food and Drug
Administration. The bil includes funding for USDA’s Rural Utilities Service (RUS). RUS
programs develop and enhance rural infrastructure systems. RUS programs also provide grants,
loans and loan guarantees, and technical assistance to help develop and modernize systems in
rural areas, including water, waste disposal, electric, broadband, and telemedicine systems.1
President Joe Biden’s FY2022 budget request was released on May 28, 2021.2 The House passed
a seven-bil minibus appropriation (H.R. 4502) on July 24, 2020, with Agriculture appropriations
as Division B. The minibus incorporated the text, as amended, of the committee-reported bil for
agriculture (H.R. 4356, H.Rept. 117-82). The Senate Appropriations Committee reported its bil
(S. 2599, S.Rept. 117-34) on August 4, 2021, after subcommittee approval on August 2. This
report provides a brief overview of the Administration’s budget request, the House Agriculture
appropriation bil ’s funding levels for RUS programs, and the Senate committee-reported
Agriculture appropriation bil ’s funding levels for RUS programs. The report also highlights
selected funding guidelines and policy-related provisions from the House and Senate reports (see
“Policy-Related Provisions”).
Appropriations for RUS programs were increased by $191.6 mil ion (+16%), from $1.2 bil ion in
FY2019 to $1.4 bil ion in FY2021 (Figure 1). From FY2019 to FY2021, funding for RUS water
and waste disposal (WWD) programs increased by $77.9 mil ion (+13%), from $548.7 mil ion to
$626.6 mil ion. During that time, funding increased by $1.6 mil ion (+3%) for RUS electric and
telecommunications programs (from $45 mil ion to $46.5 mil ion), and funding increased by
$112.2 mil ion (+18%) for RUS broadband programs (from $619.8 mil ion to $732 mil ion).
The Biden Administration’s FY2022 request would increase funding by $590.6 mil ion (+42%)
for RUS programs, from $1.4 bil ion (FY2021) to $2 bil ion. The Administration would increase
funding by
 $90 mil ion (+14%) for RUS WWD programs,
 $435.8 mil ion (+936%) for RUS electric and telecommunications programs, and
 $64.8 mil ion (+9%) for RUS broadband and telemedicine programs.
Similarly, the House FY2022 Agriculture appropriations bil would increase funding by $484.8
mil ion (+35%) for RUS programs, from $1.4 bil ion (FY2021) to $1.9 bil ion. The House bil
would increase funding by $105.6 mil ion (+17%) for RUS WWD programs, by $177.8 mil ion
(+382%) for RUS electric and telecommunications programs, and by $201.4 mil ion (+28%) for
RUS broadband and telemedicine programs.
The Senate FY2022 committee-reported Agriculture appropriations bill would increase funding
by $109.7 mil ion (+8%) for RUS programs, from $1.4 bil ion (FY2021) to $1.5 bil ion. The bil
would increase funding by $39.1 mil ion (+6%) for RUS WWD programs, by $293,000 (+1%)

1 USDA Rural Development, “Rural Utilities Service,” at https://www.rd.usda.gov/about-rd/agencies/rural-utilities-
service.
2 White House, Office of Management and Budget, Budget of the U.S. Government, Fiscal Year 2022, at
https://www.whitehouse.gov/wp-content/uploads/2021/05/budget_fy22.pdf.
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USDA Rural Broadband, Electric, and Water Programs: FY2022 Appropriations

for RUS electric and telephone programs, and by $70.3 mil ion (+10%) for RUS broadband and
telemedicine programs.
Funding proposals for RUS WWD programs, RUS electric and telecommunications programs,
and RUS broadband and telemedicine programs are provided in Table 3, Table 4 and Table 5,
respectively.
Figure 1. Appropriations for USDA Rural Utilities Service Programs, FY2019-FY2022
(in mil ions of dol ars)

Source: Compiled by CRS using FY2019, FY2020, and FY2021 appropriations acts; the FY2022 Administration’s
budget request; the FY2022 House Agriculture appropriations bil (H.R. 4502); and the FY2022 Senate
committee-reported Agriculture appropriations bil (S. 2599).
Notes: Funding includes grants and loan subsidies. Funding does not include loan authority. Water and Waste
Disposal (WWD) = programs funded in the Rural WWD Program account (Title III of the Agriculture
appropriations bil ); Electric and Telephone = programs funded through the Rural Electrification and
Telecommunications Loan Program account and General Provisions (Title III and Title VII of the Agriculture
appropriations bil , respectively); and Broadband and Telemedicine = programs funded in the Distance Learning,
Telemedicine and Broadband Program account and General Provisions (Title III and Title VII of the Agriculture
appropriations bil , respectively).
USDA Rural Utilities Service and Rural Infrastructure
The mission of USDA Rural Development is to enhance the quality of life in and economic wel -
being of rural communities through its programs.3 USDA Rural Development administers
programs through RUS, the Rural Business-Cooperative Service (RBCS), and the Rural Housing

3 USDA Rural Development, “About RD,” at https://www.rd.usda.gov/about-rd.
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USDA Rural Broadband, Electric, and Water Programs: FY2022 Appropriations

Service (RHS).4 RBCS programs enhance business development and the development of
cooperatives, and RHS supports the development of housing and essential community facilities.
RUS programs develop critical infrastructure in water, waste disposal, electric, telephone,
broadband, and telemedicine systems. RUS WWD programs provide access to safe and reliable
drinking water, sanitary sewers, solid waste facilities, and storm drainage facilities in rural areas.5
RUS electric and telephone programs help maintain, expand, and modernize electric and
telephone systems.6 RUS broadband (i.e., high-speed internet) programs help rural communities
construct, improve, and acquire facilities and equipment needed to provide broadband service to
rural households and businesses.7 RUS telemedicine programs connect rural residents to medical
staff and services via broadband.
Defining Rural
RUS programs provide funding for projects located in rural areas. The definition of rural varies
across RUS programs, ranging from areas with 2,500 or fewer residents to areas with 50,000 or
fewer residents. Many of the RUS water programs providing grants and direct loans define rural
as communities with populations of 10,000 individuals or fewer, while water programs providing
loan guarantees define rural as areas of 50,000 residents or fewer.8 RUS electric programs, such
as the Electric Infrastructure Loan Program, define rural as communities with 20,000 or fewer
people.9 Most RUS broadband programs providing grants and direct loans define rural areas as
areas with populations of 20,000 or fewer inhabitants. (The specific definitions of rural used by
the broadband programs are provided in the program funding announcements.)10 A few RUS
programs target very smal rural communities. For example, the SEARCH - Special Evaluation
Assistance for Rural Communities and Households Program restricts eligibility to areas with
2,500 or fewer residents, and the Telecommunications Infrastructure Loan Program is available to
communities with 5,000 or fewer residents.11
Congress al ows for exceptions to the rural areas definitions through a provision in the
Consolidated Farm and Rural Development Act. This provision states that a local unit of
government may petition the Undersecretary for Rural Development to designate an area to be a

4 USDA Rural Development, “Agencies,” at https://www.rd.usda.gov/about-rd/agencies.
5 USDA Rural Development, “Water and Environmental Programs,” at https://www.rd.usda.gov/programs-services/all-
programs/water-environmental-programs.
6 USDA Rural Development, “Electric Programs,” at https://www.rd.usda.gov/programs-services/all-programs/electric-
programs.
7 For more information on rural broadband programs, see CRS Report RL33816, Broadband Loan and Grant Programs
in the USDA’s Rural Utilities Service, by Lennard G. Kruger and Alyssa R. Casey.
8 USDA Rural Development, “Water and Waste Disposal Loan and Grant Program,” at https://www.rd.usda.gov/
programs-services/water-waste-disposal-loan-grant -program; and USDA Rural Development, “ Water and Waste
Disposal Loan Guarantees,” at https://www.rd.usda.gov/programs-services/water-waste-disposal-loan-guarantees.
9 USDA Rural Development, “Distributed Generation Energy Project Financing Program,” at https://www.rd.usda.gov/
programs-services/distributed-generation-energy-project-financing; and USDA Rural Development, “ Energy
Efficiency and Conservation Loan Program,” at https://www.rd.usda.gov/programs-services/energy-efficiency-and-
conservation-loan-program.
10 USDA Rural Development, “Telecom Programs,” at https://www.rd.usda.gov/programs-services/all-programs/
telecom-programs.
11 USDA Rural Development, “SEARCH – Special Evaluation Assistance for Rural Communities and Households,” at
https://www.rd.usda.gov/programs-services/search-special-evaluation-assistance-rural-communities-and-households.
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“rural area” even though it does not meet program population requirements if the area has other
characteristics that make it “rural in character” (7 U.S.C. §1991(a)(13)(D)).
Rural Infrastructure Funding
Congress funds RUS programs through discretionary funding, the levels of which are set
annual y in the Agriculture appropriations bil s. Congress funds RUS programs primarily through
Title III (Rural Development) of the Agriculture appropriations bil and includes funding for some
programs—typical y temporary or pilot programs—in Title VII (General Provisions).
RUS programs provide grants, loans, loan guarantees, and technical assistance. For grants,
Congress sets a funding level to be distributed through RUS programs. For RUS programs’ loans
and loan guarantees, Congress sets the loan authority (i.e., amount of loans that can be issued
through the programs) and loan subsidies (i.e., cost of subsidies required to issue the loans and
loan guarantees through the programs).12 In Agriculture appropriations bil s, budget authority
includes grants and loans subsidies, but budget authority does not include loan authorities for
RUS programs. The following sections provide an overview of the accounts within Title III and
Title VII of the Agriculture appropriations bil s that fund RUS programs.
Rural Water and Waste Disposal Programs
RUS WWD programs help build or enhance systems that provide clean, reliable drinking water
and the disposal of waste in rural areas. Such programs include the WWD Direct Loan Program,
the WWD Grant Program, and the WWD Guaranteed Loan Program.
The WWD Direct Loan Program and the WWD Grant Program provide funding and financing to
develop and extend clean and reliable drinking water systems, sanitary sewage disposal, and
stormwater drainage to rural households and businesses. Some WWD grants are provided to
targeted communities, such as colonias, tribal lands, Alaska Native and rural vil ages, and
Hawai an homeland communities.13 The WWD Guaranteed Loan Program helps private lenders
provide affordable financing to borrowers to improve access to clean, reliable water systems and
waste disposal systems that serve rural households and businesses.
RUS WWD programs have statutory authority in the Consolidated Farm and Rural Development
Act of 1926 (7 U.S.C. §1926 et seq.). Congress funds these programs through the Rural WWD
Program account included in Title III of the Agriculture appropriations bil . This account includes
funding that is directed to the account for the High Energy Costs Program, which provides
support to energy providers and other entities to help lower energy costs for families and
individuals experiencing costs at least 275% above the national average. Funding for RUS water
and water disposal grants and loan subsidies has fluctuated over the past three fiscal years, from
$548.7 mil ion (FY2019) to $659.5 mil ion (FY2020) to $626.6 mil ion (FY2021).
From FY2019 to FY2021, Congress provided consistent loan authority for the RUS WWD loan
and loan guarantee programs with varying levels of loan subsidies to support the loan authority

12 T he federal cost of making direct loans and loan guarantees is called the loan subsidy. Loan subsidies are calculated
by taking any interest rate subsidy provided by the government and the projection of anticipated loan losses from
recipient defaults of the loans. Loan authority is the amount of loans that can be made and is several times larger than
the subsidy level. RUS must reestimate the subsidy cost of the outstanding portfolio of direct loans and loan guarantees
each year. For more information, see White House, Office of Management and Budget, “ Analytical Perspectives –
Budget Concepts,” at https://www.whitehouse.gov/omb/analytical-perspectives/.
13 T he term colonia refers to state-designated, low-income, unincorporated areas along the U.S.-Mexico border that
lack basic drinking water and wastewater, housing, or other infrastructure (7 U.S.C. 1926c(c)).
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based on the programs’ carryover funds (e.g., no subsidies were appropriated when the programs’
carryover funds were able to support the loan authority). Congress authorized $1.4 bil ion
annual y in loan authority for the WWD Direct Loan Program for FY2019-FY2021. For this
program, Congress provided no loan subsidy in FY2019 and FY2021 because the program’s
carryover funds were sufficient to support the loan authority; for FY2020, Congress appropriated
a loan subsidy of $63.8 mil ion.
Congress appropriated $50 mil ion annual y in loan authority for the WWD Guaranteed Loan
Program for FY2019-FY2021. For this program, Congress has provided loan subsidies of
$190,000 in FY2019, $70,000 in FY2020, and $60,000 in FY2021.
From FY2019 to FY2021, Congress increased the annual amount appropriated for the WWD
Grant Program from $400 mil ion to $463.4 mil ion. During that time, Congress kept combined
appropriations at $68 mil ion annual y for the WWD Grants set-aside for colonias, tribal lands,
and Alaska Native and rural vil ages. From FY2019 to FY2021, Congress appropriated $10
mil ion annual y to be transferred from the Rural WWD Program account to the Higher Energy
Costs Program account.
Rural Electric and Telephone Programs
RUS electric programs provide financing to help maintain, expand, and modernize the electric
infrastructure in rural areas. RUS telephone programs provide loans and loan guarantees to help
service providers build, enhance, or expand telephone and broadband networks in rural areas. In
addition, the Rural Energy Savings Program provides loans to rural utilities and other entities that
provide subloans to consumers to implement energy efficiency actions.14
RUS electric and telephone programs have statutory authority in the Rural Electrification Act of
1936 (7 U.S.C. §§901 et seq.). Congress funds the majority of these programs through the Rural
Electrification and Telecommunications Loans Program account in Title III of the Agriculture
appropriations bil . In addition, Congress has funded the Rural Energy Savings Program in Title
VII of the Agriculture appropriations bil .
From FY2019 to FY2021, Congress provided annual funding for RUS electric and telephone
grants and loan subsidies in the amounts of $45 mil ion in FY2019, $49 mil ion in FY2020, and
$47 mil ion in FY2021. Congress authorized RUS to provide direct loans through two programs,
one program administered by RUS and one program administered by the Federal Financing Bank
(FFB) with those loans guaranteed by RUS.15 The direct loan program administered by RUS and
the direct loan program administered by FFB operate with their own loan authority and associated
loan subsidies. Congress also authorized RUS to provide loan guarantees to intermediary lenders
providing loans to other entities.
From FY2019 to FY2021, Congress did not authorize loan authority for the Electric Direct Loan
Program administered by RUS. During that time, Congress authorized $5.5 bil ion annual y in
loan authority for the Electric Direct Loan Program administered by FFB and did not provide
loan subsidies because carryover funds were sufficient to support the loan authority. Congress
authorized $750 mil ion annual y from FY2019 to FY2021 in loan authority for the Electric
Guaranteed Loan Program and did not provide loan subsidies because carryover funds were
sufficient to support the loan authority.

14 For more information about the Rural Energy Savings Program, see CRS In Focus IF10288, Overview of the 2018
Farm Bill Energy Title Program s, by Kelsi Bracmort .
15 T he Federal Financing Bank (FFB) is a federal corporation under the authority of the Secretary of the Treasury that
finances certain federal loan programs and centralizes federal borrowing.
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Congress authorized $345 mil ion annual y for the Telecommunications Direct Loan Program,
with loan subsidies to support that loan authority of $1.7 mil ion in FY2019, $3.8 mil ion in
FY2020, and $2.3 mil ion in FY2021. Congress authorized $345 mil ion annual y for the
Telecommunications Direct Loan Program financed through FFB. Congress did not authorize
loan subsidies because carryover funds were sufficient to support the loan authority.
Over the past three years, Congress provided funding for loans for the Rural Energy Savings
Program in varying amounts: $71.3 mil ion in FY2019, $69.6 mil ion in FY2020, and $107.3
mil ion in FY2021.
Rural Broadband and Telemedicine Programs
RUS rural broadband programs support the building and expansion of high-speed internet
networks that provide service to rural households and businesses. The ReConnect Program
provides loans, grants, and loan/grant combinations to fund construction and improvement of
facilities and equipment needed to provide broadband service to rural areas.16 The Community
Connect Program and Rural Broadband Program are similar to the ReConnect Program.
Community Connect focuses on connecting community facilities to broadband,17 and the
program’s grants help rural residents to access broadband for noncommercial uses, such as
education, health care, and public safety. The Rural Broadband Program provides loans only,18
which are available to communities with some internet access at slow speeds (unlike the
ReConnect Program, which targets communities with negligible broadband access). The Distance
Learning and Telemedicine (DLT) Grant Program helps rural communities access technology and
training to connect medical professionals with patients, teachers, and students in rural areas. The
DLT Delta Health Care Services Program focuses on connecting rural communities in the Delta
region to medical services.19
Congress has authorized RUS broadband and telemedicine programs through different pieces of
legislation. The DLT Grant Program has statutory authority in the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C. §§950aaa et seq.). Congress authorized the DLT
Delta Health Care Services Grant Program through the Consolidated Farm and Rural
Development Act (7 U.S.C. §2008u). The Rural Broadband Program and Community Connect
Program have statutory authority through the Rural Electrification Act of 1936 (7 U.S.C. §§950bb
et seq.). Congress established the Rural eConnectivity Pilot Program, also known as the
ReConnect Program, through the Consolidated Appropriations Act, 2018 (P.L. 115-141). Funding
for these programs is provided in the Distance Learning, Telemedicine, and Broadband Program
account in Title III of the Agriculture appropriations bil (except for the ReConnect Program,
which Congress funds through Title VII of the bil ). From FY2019 to FY2021, Congress
increased funding by $112 mil ion (+18%) for RUS broadband and telemedicine grants and loan
subsidies, from $619.8 mil ion in FY2019 to $732 mil ion in FY2021 (Figure 1).

16 For more information on the ReConnect Program, see CRS In Focus IF11262, USDA’s ReConnect Broadband Pilot
Program , by Alyssa R. Casey.
17 For more information on the Community Connect Program, see CRS Report RL33816, Broadband Loan and Grant
Programs in the USDA’s Rural Utilities Service, by Lennard G. Kruger and Alyssa R. Casey.
18 USDA Rural Development, “Rural Broadband Access Loan and Loan Guarantee Program,” at
https://www.rd.usda.gov/programs-services/rural-broadband-access-loan-and-loan-guarantee.
19 T he Delta region includes Alabama, Arkansas, Illinois, Kentucky, Louisiana, Mississippi, Missouri, and T ennessee.
See Delta Region Authority, “About DRA,” at https://dra.gov/about-dra/dra-states/.
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ReConnect Program Funding
From FY2019 to FY2021, Congress appropriated an increasing amount of funding for the
ReConnect Program: $550 mil ion in FY2019, $555 mil ion in FY2020, and $635 mil ion to
FY2021 (Table 1). Congress appropriated funding as follows:
 FY2019. $125 mil ion in discretionary funding and $425 mil ion in funding
accrued through the Cushion of Credit account for the ReConnect Program.20 The
$125 mil ion in discretionary funding included $26.3 mil ion in loan subsidies to
support $93.2 mil ion in loan authority, $90 mil ion for grants, and $8.8 mil ion
for technical assistance and administrative expenses.
 FY2020. $300 mil ion in discretionary funding and $255 mil ion in funding
accrued through the Cushion of Credit account. The $300 mil ion in discretionary
funds included $51 mil ion for loan subsidies to support $175 mil ion in loan
authority, $227.7 mil ion in grants, and $21 mil ion for technical assistance and
administrative expenses.
 FY2021. $531 mil ion in discretionary funding and $104 mil ion in funding
accrued through the Cushion of Credit account. The $531 mil ion in discretionary
funding included $52.1 mil ion in loan subsidies to support $200 mil ion in loan
authority, $441.7 mil ion for grants, and $37.2 mil ion for technical assistance
and administrative expenses.
Table 1. ReConnect Program Funding, FY2019-FY2021
(in thousands of dol ars)
FY2019
FY2020
FY2021
Category
Actual
Actual
Enacted
Appropriated funding

Administrative expenses
$5,000
$12,000
$21,240
Grants
$90,000
$227,653
$441,730
Loans
$26,250
$51,348
$52,100
Technical assistance
$3,750
$9,000
$15,930
Total appropriated fundinga
$125,000
$300,001
$531,000
Cushion of Credit account fundingb
$425,000
$254,999
$104,000
Total Budget Authority
$550,000
$555,000
$635,000
Source: FY2022 USDA Office of Budget & Program Analysis, Explanatory Notes.
a. Appropriated funding includes funding for grants, loan subsidies, technical assistance, and administrative
expenses.
b. The Cushion of Credit account contains funds RUS accrued when the Federal Financing Bank, an entity
within the Department of the Treasury, purchases RUS loans. RUS uses the funds from these purchases to
fund economic development projects.

20 T he Cushion of Credit account contains funds RUS accrues when the FFB purchases RUS loans. RUS uses the funds
from these purchases to fund economic development projects.
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Funding for Other RUS Broadband and Telemedicine Programs
From FY2019 to FY2021, Congress appropriated varying levels of funding for the Rural
Broadband Program. In FY2019, Congress appropriated a $5.8 mil ion loan subsidy to support
$29.9 mil ion in loan authority for this program. In FY2020, Congress appropriated $2 mil ion in
loan subsidy to support $11.2 mil ion in loan authority for the program. In FY2021, Congress
appropriated $2 mil ion in loan subsidy to support $11.9 mil ion in loan authority for the program.
Congress appropriated $30 mil ion for the Community Connect Program in FY2019 and
increased funding to $35 mil ion annual y in FY2020 and FY2021. From FY2019 to FY2021,
Congress increased appropriations for the DLT Grant Program from $31 mil ion in FY2019 to
$57 mil ion in FY2021. During that time, Congress appropriated $3 mil ion annual y for the DLT
Delta Health Care Services Grant Program.
The Administration’s FY2022 Budget Request
The Biden Administration’s FY2022 budget request would increase funding by $591 mil ion
(+42%) for the Rural Electrification and Telecommunications Loan Program account, Rural
WWD Program account, and DLT Program account (Figure 1). The following sections
breakdown the impact of the funding requests within these accounts on individual RUS programs.
The Rural Water and Waste Disposal Program Account
The Administration’s request would increase funding for the Rural WWD Program account by
$90 mil ion (+14%), from $626.6 mil ion (FY2021) to $716.6 mil ion (Table 2). The
Administration’s request also includes $1.4 bil ion in loan authority for the WWD Direct Loan
Program; it does not include a loan subsidy because carryover funds could support the loan
authority for that program. The Administration’s request includes $45,000 in loan subsidy to
support $50 mil ion in loan authority for the WWD Guaranteed Loan Program. The
Administration’s request also would increase funding for the WWD Grant Program by $65
mil ion (+14%), from $463.4 mil ion (FY2021) to $528.4 mil ion.
The Administration’s request would increase funding by $25 mil ion (+37%), from $68 mil ion
(FY2021) to $93 mil ion, for WWD Grants for colonias communities, tribal lands, and Alaska
Native and rural vil ages. The WWD Grants for targeted communities also would include $5
mil ion to support communities in Hawai an homelands. In FY2021, Congress did not set aside
funding specifical y for communities in Hawai an homelands through this grant program. In
addition, the Administration’s request would increase funding by $5 mil ion (+14%), from $35
mil ion (FY2021) to $40 mil ion, for the WWD Technical Assistance and Training Grants.
The Rural Electrification and Telecommunications Loan Programs
Account
The Administration’s request would increase funding by $435.8 mil ion (+936%), from $46.5
mil ion (FY2021) to $482.3 mil ion, for the Rural Electrification and Telecommunications Loan
Programs account (Table 3). The Administration requests $400 mil ion for modifications to RUS
electric grants and loans to transition projects to renewable energy. Modification funds would be
used for incentives to increase the transition of projects to renewable energy (including new loans
or grants), expenses associated with refinancing existing loans, and administrative expenses
associated with changing loans. The Administration’s request proposes to eliminate loan authority
for the Electric Direct Loan Program financed through the FFB, instead funding the Electric Loan
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Program financed through RUS. The Administration’s request did not include loan subsidies to
support $6.5 bil ion in loan authority for the Electric Direct Loan Program because program
carryover funds could support the loan authority. The Administration requests $2.1 mil ion in loan
subsidies to support $690 mil ion in loan authority for the Telecommunications Direct Loan
Program. In addition, the Administration proposes to eliminate funding for the Electric Loan
Guarantee Program.
The Administration also requests $25 mil ion for modifications to RUS telecommunication loans.
The modification funds would support borrowers experiencing financial distress. Funds would be
used to re-amortize the loan terms, lower the interest rates of the loans, and provide principal and
interest deferments to borrowers as needed. The funds would also be used to enhance broadband
accessibility.
For the Rural Energy Savings Program, the Administration would increase the loan authority by
$291 mil ion (+271%), from $107.3 mil ion (FY2021) to $398.6 mil ion. The Administration
would increase the loan subsidy to support this loan authority from $11 mil ion (FY2021) to $22
mil ion. The Administration also would move funding for the Rural Energy Savings Program
from Title VII (General Provisions) of the Agriculture appropriations bil , where Congress has
funded the program in the past, to within the Rural Electrification and Telecommunications Loan
Programs account in Title III (Rural Development).
The Distance Learning and Telemedicine Program Account
The Administration’s request would increase funding for the DLT Program account by $65
mil ion (+9%), from $732 mil ion (FY2021) to $796.8 mil ion (Table 4). The Administration
would keep funding at FY2021 levels for the Community Connect Grant Programs ($35 mil ion),
DLT Grant Program ($57 mil ion), and DLT Delta Health Care Services ($3 mil ion). The
Administration also requests $1.8 mil ion in loan subsidies to support $11.9 mil ion in loan
authority for the Rural Broadband Program, which is the same amount of loan authority that
Congress supported in FY2021.
The Administration would increase funding for the ReConnect Program by $65 mil ion (+10%),
from $635 mil ion (FY2021) to $700 mil ion. The Administration’s request includes $650 mil ion
in discretionary funding and $50 mil ion in Cushion of Credit funding.21 The $650 mil ion in
discretionary funding includes $71.8 mil ion in loan subsidies to support $300 mil ion in loan
authority for ReConnect loans and $532.7 mil ion for ReConnect grants.
House Appropriations
The House FY2022 Agriculture appropriations bill would increase funding by $485 mil ion
(+35%) for the Rural WWD Program account, Rural Electrification and Telecommunications
Loan Programs account, and DLT Program account. The text that follows breaks down the
funding levels included in the Agriculture appropriations bil for each account and the impact on
the programs within those accounts.

21 T he Cushion of Credit account contains funds RUS accrues when the FFB purchases RUS loans. RUS uses the funds
from these purchases to fund economic development projects.
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The Rural Water and Waste Disposal Program Account
The House bil would increase funding for the Rural WWD Program account by approximately
$105.6 mil ion (+17%), from $626.6 mil ion (FY2021) to $732.2 mil ion (Table 2). The bil
includes $45,000 in loan subsidy to support $50 mil ion in loan authority for WWD loan
guarantees. The bil did not include a loan subsidy to support $1.4 bil ion in loan authority for
WWD loans because program carryover funds could support the loan authority.
The House bil would increase funding for
 WWD grants by $75 mil ion (+16%), from $463.4 mil ion (FY2021) to $538.4
mil ion;
 WWD grants for tribal lands, colonias communities, Alaska Native and rural
vil ages, and communities in Hawai an homelands by $25 mil ion (+37%), from
$68 mil ion (FY2021) to $93 mil ion;
 WWD technical assistance and training grants by $5 mil ion (+14%), from $35
mil ion (FY2021) to $40 mil ion; and
 the Circuit Rider Program by $605,000 (+3%), from $20.2 mil ion (FY2021) to
$20.8 mil ion.
The bil also would maintain funding at $5 mil ion for the Technical Assistance for Innovative
Regional Wastewater Treatment Solutions Grant Program.
The Rural Electrification and Telecommunications Loan Programs
Account
In FY2021, Congress included $6.5 mil ion in loan authority for the Electric Direct Loan Program
administered by FFB and no loan authority for the Electric Direct Loan Program administered by
RUS. The House bil would increase funding for the Rural Electrification and
Telecommunications Loan Programs account by $177.8 mil ion (+382%), from $46.5 mil ion
(FY2021) to $224.3 mil ion (Table 3). The House bil would provide $5.5 bil ion of loan
authority for the Electric Direct Loan Program. No loan subsidy was requested because carryover
funds would be able to support the loan authority. The bil would not provide loan authority for
the Electric Direct Loan Program financed through the FFB.
The House bil would provide $750 mil ion in loan authority for the Electric Loan Guarantee
Program, the same level as FY2021. No loan subsidy was requested because carryover funds
would be able to support the loan authority. The bil also includes $150 mil ion for grants and
modifications to rural electric loans to help offset energy costs associated with severe weather,
finance energy efficiency measures, and help facilitate reductions in carbon pollution.
The bil would provide $2.1 mil ion in loan subsidies to support $690 mil ion in loan authority for
the Telecommunications Direct Loan Program. The bil did not include loan authority for the
Telecommunications Direct Loan Program financed through the FFB. In addition, the bil
includes $25 mil ion for modifications to telecommunication loans.
The bil would increase loan authority for the Rural Energy Savings Program by $147.7 mil ion
(+138%), from $107.3 mil ion (FY2021) to $255 mil ion. The bil also includes a $14 mil ion
loan subsidy to support the program’s loan authority.
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The Distance Learning and Telemedicine Program Account
The House bil would increase funding for the DLT Program account by $201 mil ion (+28%),
from $732 mil ion (FY2021) to $933.4 mil ion (Table 4). The bil would keep funding at FY2021
levels for the Community Connect Grant Program ($35 mil ion), DLT Grant Program ($57
mil ion), and DLT Delta Health Care Services ($3 mil ion). The bil also includes a $1.8 mil ion
loan subsidy to support $11.9 mil ion in loan authority for the Broadband Loan Program, which is
the same loan authority supported in FY2021.
The bil would increase funding for the ReConnect Program by $201 mil ion (+32%), from $635
mil ion (FY2021) to $836.6 mil ion.22 The bil would al ocate $36.6 mil ion of the ReConnect
Program funding for Community Project Funding.23
Senate Appropriations
The Senate FY2022 committee-reported Agriculture appropriations bill would increase funding
by $109.7 mil ion (+6%) for the Rural WWD Program account, Rural Electrification and
Telecommunications Loan Programs account, and DLT Program account. Below is a breakdown
of the funding levels included in the Agriculture appropriations bil for each account and the
impact on the programs within those accounts.
The Rural Water and Waste Disposal Program Account
The Senate committee-reported bil would increase funding for
 the Rural WWD Program account by approximately $39.1 mil ion (+6%), from
$626.6 mil ion (FY2021) to $665.7 mil ion (Table 2);
 the WWD Grant Program by $36.7 mil ion (+8%), from $463.4 mil ion
(FY2021) to $500 mil ion;
 WWD grants for tribal lands, colonias, Alaska Native and rural vil ages, and
communities in Hawai an homelands by $5 mil ion (+7%), from $68 mil ion
(FY2021) to $73 mil ion; and
 WWD technical assistance and training grants by $2.5 mil ion (+7%), from $35
mil ion (FY2021) to $37.5 mil ion.
The Senate committee-reported bil would also provide $1.4 bil ion in loan authority for the
WWD Direct Loan Program. The bil does not include loan subsidies for this program because
program carryover funds could support the loan authority. The bil would provide $50 mil ion in
loan authority for the WWD Loan Guarantee Program with $45,000 in loan subsidies.
The Senate committee-reported bil would keep funding at the FY2021 levels for the remaining
RUS WWD programs, including the Circuit Rider Program ($20.2 mil ion), High Energy Cost
Grant Program ($10 mil ion), and the Emergency and Imminent Community Water Assistance
Grant Program ($15 mil ion).

22 T he FY2021 funding for the ReConnect Program includes $531 million in discretionary funding and $104 million in
funds accrued in the Cushion of Credit account.
23 Congress designated Community Project Funding earmarks for the ReConnect Program and Community Facilities
Program. For a list of projects designated by Congress to receive Community Project Funding, see U.S. Congress,
Agriculture, Rural Developm ent, Food and Drug Adm inistration, and Related Agencies Appropriations Bill, 2022 ,
report to accompany H.R. 4356, 117th Cong., 1st sess., H.Rept. 117-82 (Washington, DC: GPO, 2021), p.177.
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The Rural Electrification and Telecommunications Loan Programs
Account
The Senate committee-reported bil would increase funding by $293,000 (+1%), from $46.5
mil ion (FY2021) to $46.8 mil ion, for RUS electric and telephone programs funded in the Rural
Electrification and Telecommunications Loan Programs account and Title VII (General
Provisions) (Table 3).
The bil would increase loan authority for the Rural Energy Savings Program by $101 mil ion
(+94%), from $107.3 mil ion (FY2021) to $208.3 mil ion. The bil would also increase the loan
subsidy to support the loan authority for this program by $500,000, from $11 mil ion (FY2021) to
$11.5 mil ion. In addition, the bil would fund the Rural Energy Savings Program in Title III of
the Agriculture Appropriations Act rather than in Title VII (General Provisions).
The Senate committee-reported bil would provide $6.5 bil ion in loan authority for the Electric
Direct Loan Program. No associated loan subsidy was requested for this program because
program carryover funds would support the loan authority. The bil did not include loan authority
for the Electric Direct Loan Program funded through the FFB. The bil would provide $750
mil ion in loan authority for the Electric Guaranteed Loan Program. No associated loan subsidy
was requested for this program because program carryover funds would support the loan
authority.
The bil would provide $690 mil ion in loan authority for the Telecommunications Direct Loan
Program. No associated loan subsidy was requested for this program because program carryover
funds would support the loan authority. The bil did not include loan authority for the
Telecommunications Direct Loan Program funded through the FFB.
Unlike the Administration’s FY2022 request and the FY2022 House bil , the Senate committee-
reported bil does not include funding for modifications to the RUS rural electric loans and grants
or to RUS telecommunication direct loans.
The Distance Learning and Telemedicine Program Account
The Senate committee-reported bil would increase funding by $70.3 mil ion (+10%), from $732
mil ion (FY2021) to $802.3 mil ion, for RUS broadband and telemedicine programs funded in the
DLT Program account and Title VII (General Provisions) (Table 4). The bil would increase
funding for the Community Connect Grant Program by $2.5 mil ion (+7%), from $35 mil ion to
$37.5 mil ion. The bil would keep funding for the DLT Grant Program and DLT Delta Health
Care Services at FY2021 levels ($57 mil ion and $3 mil ion, respectively). The bil would carve
out $2.5 mil ion in funding provided for the DLT Grant Program for congressional y directed
spending. The bil did not include loan authority for the Rural Broadband Loan Program.
The bil would increase funding for the ReConnect Program by $65 mil ion (+10%), from $635
mil ion (FY2021) to $700 mil ion. The $700 mil ion would be funded through Title VII (General
Provisions) rather than Title III. The program funding includes $50 mil ion of Cushion of Credit
funding.24

24 Section 313 funding comes from funds accrued in the Cushion of Credit account. T he Cushion of Credit accrues
funds as USDA Rural Development loans are repaid.
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Table 2. Rural Utilities Service WWD Program Funding, FY2021-FY2022
(in thousands of dol ars)

FY2021
FY2022
Senate
Admin.
House passed
Committee
Program
P.L. 116-260
request
(H.R. 4502)
reported (S. 2599) Enacted
Grants, loan subsidies, and technical assistance

Circuit Rider Technical Assistance Grants
$20,157
$20,157
$20,762a
$20,157
Emergency and Imminent Community Water Assistance Grants
$15,000
$15,000
$15,000
$15,000
High Energy Cost Grantsb
$10,000
$10,000
$10,000
$10,000
Rural Decentralized Water Systems Grants (also known as Household
$5,000
$5,000
$5,000
$5,000
Water Wel System Grants)
Solid Waste Management Grants
$4,000
$4,000
$4,000
$4,000
Technical Assistance for Innovative Regional Wastewater Treatment
$5,000
$0
$5,000
$0
Solutions Grants
Water and Waste Disposal (WWD) Direct Loan Subsidy
$0
$0
$0
$0
WWD Grants
$463,350
$528,355
$538,355d
$500,000
WWD Grants for Colonias, Tribal Lands, Alaska Native and Rural
$68,000
$93,000
$93,000
$73,000
Vil ages, and Hawai an Homelandsc
WWD Loan Guarantee Subsidy
$60
$45
$45
$45
WWD Revolving Loan Fund Grants
$1,000
$1,000
$1,000
$1,000
WWD Technical Assistance and Training Grants
$35,000
$40,000
$40,000
$37,500
Total grants and loan subsidies for RUS water programs
$626,567
$716,557
$732,162
$665,702
Loan authority

WWD Direct Loans Program
$1,400,000
$1,400,000
$1,400,000
$1,400,000
WWD Loan Guarantee Program
$50,000
$50,000
$50,000
$50,000
Total loan authority for RUS water programs
$1,450,000
$1,450,000
$1,450,000
$1,450,000
CRS-13

Source: Compiled by CRS using the enacted FY2021 Agriculture appropriations bil , FY2022 Administration’s budget request, FY2022 House Agriculture appropriations
bill, and FY2022 Senate committee-reported Agriculture appropriations bill.
a. Funds include $605,000 approved in an amendment to Division B of Rules committee print 117-12 (Agriculture Appropriations Division) offered by Rep. Pete
Stauber.
b. The High Energy Cost Grants Program includes the Denali Commission High Energy Grant Program and the State Bulk Fuel Revolving Loan Fund.
c. The WWD Grants for FY2021 include only grants for colonias communities, tribal lands, and Alaska Native and rural vil ages. The WWD Grants for the FY2022
Administration’s request and House FY2022 Agriculture appropriations bil include grants for colonias communities, tribal lands, Alaska Native and rural vil ages, and
Hawai an homeland communities.
d. Funds include $5 mil ion approved in an amendment to Division B of Rules committee print 117-12 (Agriculture Appropriations Division) offered by Rep. Ron Kind.

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Table 3. Rural Utilities Service Electric and Telephone Program Funding, FY2021-FY2022
(in thousands of dol ars)

FY2021
FY2022
Admin.
House passed
Senate committee
Program
P.L. 116-260
request
(H.R. 4502)
reported (S. 2599)
Enacted
Grants, Loan Subsidies, and Other Expenses

Administrative expenses
$33,270
$33,270
$33,270
$33,270
Electric decarbonization pilot grants and loan subsidya
$0
$400,000
$150,000
$0
Electric Direct Loan Subsidy
$0
$0
$0
$0
Electric Direct Loan Subsidy, Federal Financing Bank (FFB)
$0
$0
$0
$0
Electric Guaranteed Loan Subsidy
$0
$0
$0
$0
Rural Energy Savings Subsidy
$11,000b
$22,000
$14,000
$11,500
Telecommunications Direct Loan modifications pilot subsidya
$0
$25,000
$25,000
$0
Telecommunications Direct Loan Subsidy
$2,277
$2,070
$2,070
$2,070
Telecommunications Direct Loan Subsidy, FFB
$0
$0
$0
$0
Total grants, loans subsidies, and other expenses for
$46,547
$482,340
$224,340
$46,840
selected RUS electric and telephone programs
Loan Authority

Electric Direct Loan Program
$0
$6,500,000
$5,500,000
$6,500,000
Electric Direct Loan Program, FFB
$5,500,000
$0
$0
$0
Electric Guaranteed Loan Program
$750,000
$0
$750,000
$750,000
Rural Energy Savings Programb
$107,317
$398,551
$255,000
$208,333
Telecommunications Direct Loan Program
$345,000
$690,000
$690,000
$690,000
Telecommunications Direct Loan Program, FFB
$345,000
$0
$0
$0
Total loan authority for selected RUS electric and
$7,047,317
$7,588,551
$7,195,000
$8,148,333
telephone programs
CRS-15

Source: Compiled by CRS using the enacted FY2021 Appropriations bil , FY2022 Administration’s budget request, FY2022 House Agriculture appropriations bill, and
FY2022 Senate committee-reported Agriculture appropriations bil .
a. The Administration’s budget request and the FY2022 House-passed bil do not specify loan authorization levels for the proposed Electric and Telecommunications
pilot programs.
b. Rural Energy Savings Program funding for FY2021 includes funding provided in Title VII (General Provisions) of the Consolidat ed Appropriations Act, 2021.

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Table 4. Rural Utilities Service Broadband and Telemedicine Program Funding, FY2021-FY2022
(in thousands of dol ars)

FY2021
FY2022
P.L. 116-
Admin.
House passed
Senate committee
Program
260
request
(H.R. 4502)
reported (S. 2599)
Enacted
Grants and Loan Subsidies

Community Connect Grants
$35,000
$35,000
$35,000
$37,500
Distance Learning and Telemedicine (DLT) congressional y directed spending
$0
$0
$0
$2,510
DLT Delta Healthcare Services Grants
$3,000
$3,000
$3,000
$3,000
DLT Grants
$57,000
$57,000
$57,000
$57,000
ReConnect Grants and Loan Subsidya
$635,000b
$700,000b
$836,605b
$700,000b
Rural Broadband Direct Loan Subsidy
$2,000
$1,772
$1,772
$2,272
Total loan subsidies and grants for RUS broadband programs
$732,000
$796,772
$933,377
$802,282

Loan Authority

Rural Broadband Direct Loan Program
$11,869
$11,869
$11,869
$0
Total loan authority for RUS broadband programs
$11,869
$11,869
$11,869
$0

Source: Compiled by CRS using the enacted FY2021 Appropriations bil , FY2022 Administration’s budget request, FY2022 House Agriculture appropriations bil , and
FY2022 Senate committee-reported Agriculture appropriations bil .
a. Congress authorized $200 mil ion in loan authority for the ReConnect Program for the FY2021 enacted budget. The Administration’s request for FY2022 would
increase the loan authority to $300 mil ion for this program. The FY2022 House Agriculture Appropriations Act and the FY2022 Senate committee-reported
Agriculture Appropriations Act did not include information on the loan authority for the ReConnect Program.
b. FY2021 funding includes $531 mil ion of discretionary funding and $104 mil ion from the Cushion of Credit account. The Administration’s FY2022 funding request
includes $650 mil ion in discretionary funding and $50 mil ion from the Cushion of Credit account. FY2022 House bil includes $786.6 mil ion of discretionary
funding and $50 mil ion from the Cushion of Credit account. The FY2022 Senate committee bil includes $650 mil ion of discretionary funding and $50 mil ion from
the Cushion of Credit account.

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Policy-Related Provisions
Agriculture appropriations bil s set funding levels and can include policy-related provisions that
direct the executive branch on how to carry out the appropriations. These provisions provide
guidance for the fiscal year in which they are enacted. Table 5 compares the policy provisions in
the FY2021 Agriculture appropriations bil (P.L. 116-260) with the policy provisions included in
the House FY2022 Agriculture appropriations bil (H.R. 4356) and the Senate FY2022
committee-reported Agriculture appropriations bil (S. 2599). Table 5 separates the policy
provisions by the following RUS accounts: (1) the Rural WWD Program account, (2) Rural
Electrification and Telecommunications Loans Program account, and (3) Distance Learning,
Telemedicine, and Broadband Program account.
Table 5. Rural Utilities Service Program Policy-Related Provisions
FY2021
FY2022
H.Rept. 116-446 for P.L. 116-20
H.Rept. 117-82 for H.R. 4356
S.Rept. 117-34 for S. 2599
Rural Water and Waste Disposal (WWD) Program Account
WWD Grants for tribal lands,
Same as FY2021 enacted.
Same as FY2021 enacted.
colonias, Alaska Native and
rural villages. Directs not more
than 2% of the funding provided to
be used by the State of Alaska for
training and technical assistance
programs, and not more than 2%
may be used by a consortium
formed to provide training and
technical assistance programs.
WWD Technical Assistance
Same as FY2021 enacted.
Same as FY2021 but provides $9
and Training Grants. Al ows the
mil ion, rather than $8 mil ion, to be
Secretary of Agriculture to
made available if the Secretary
determine if there is extreme need,
determines there is extreme need.
in which case $8 mil ion shal be
made available to qualified
nonprofit, multistate organizations
with experience in working with
smal communities on WWD
issues. The grant shal be used to
assist rural communities with
populations of 3,300 residents or
less to improve planning, financing,
development, operation, and
management of WWD systems.
Not less than $800,000 of the
funding shal be for a qualified
national Native American
organization to provide technical
assistance to tribal communities.
No comparable provision.
No comparable provision.
Directs up to $1 mil ion of the $2.5
mil ion increase for technical
assistance to be used to support
manufactured homes.
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FY2021
FY2022
H.Rept. 116-446 for P.L. 116-20
H.Rept. 117-82 for H.R. 4356
S.Rept. 117-34 for S. 2599
High Energy Costs Program.
Same as FY2021 enacted.
Same as FY2021 enacted.
Directs that $10,000,000 of the
appropriations within this account
be transferred to and merged with
the Rural Utilities Service (RUS)
High Energy Costs Grants account.
It also directs that any prior year
money remaining in the High Energy
Costs Grants Program be
transferred to the RUS High Energy
Costs Grants account.
No comparable provision.
Rural WWD Program account
No comparable provision.
programs. RUS shal apply the
Environmental Protection Agency’s
definition of public water systems
while implementing the domestic
preference provision for utilizing
iron and steel products produced in
the United States.
No comparable provision.
Urges USDA to prioritize funding
No comparable provision.
rural water systems that are out of
compliance with federal and/or
state drinking water and/or
wastewater standards and to bring
those municipalities back into
compliance.
No comparable provision.
No comparable provision.
Encourages USDA to prioritize
proposed projects that mitigate and
reduce septic-related pol ution and
establish comprehensive sewer
services to homes and businesses in
rural areas where such projects
would be essential to preserving
environmental health and the
health, safety, and general welfare
of local citizens.
No comparable provision.
WWD Loan and Grant
Encourages Treasury to fund pilot
Program. Encourages USDA to
projects intended to provide
make better use of the authority
decentralized smal -scale water and
provided by the 2018 farm bil to
wastewater services to
utilize its Water and Wastewater
communities in distressed counties
Loan and Grant Program to help
within Central Appalachia.
address the needs of rural
communities impacted by PFAS
pol ution.

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USDA Rural Broadband, Electric, and Water Programs: FY2022 Appropriations

FY2021
FY2022
H.Rept. 116-446 for P.L. 116-20
H.Rept. 117-82 for H.R. 4356
S.Rept. 117-34 for S. 2599
Rural Electrification and Telecommunications Loans Program Account
Electric Direct Loan Program,
No comparable provision.
No comparable provision.
Federal Financing Bank. Directs
that up to $2,000,000 be used for
the construction, acquisition, design
and engineering or improvement of
fossil-fueled electric generating
plants (whether new or existing)
that utilize carbon subsurface
utilization and storage systems.
No comparable provision.
Modifications of electric grants
No comparable provision.
and loans. Directs $150 mil ion for
the modification of electric loans
and grants to transition them to
renewable energy. Five percent of
this amount is designated for
administrative expenses (i.e., $7.5
mil ion).
No comparable provision.
Modifications of
No comparable provision.
telecommunication loans.
Directs $25 mil ion to modify
telecommunication direct loans.
Funds would be used to modify
terms of existing RUS
telecommunications loans where
the borrower is under financial
distress. The funds would also be
used to refinance outstanding RUS
telecommunications loans.
No comparable provision.
Rural Energy Savings Program.
Same as FY2022 House bil .
Directs that the $14 mil ion
al ocated for this program shal
contribute to reducing greenhouse
gases. The current program funds
projects that increase energy
efficiency but does not specify that
projects must reduce greenhouse
gases.
No comparable provision.
No comparable provision.
Telecommunications Direct
and Guaranteed Loans. Up to
$2 bil ion shal be used for the
construction, acquisition, design,
and engineering or improvement of
new or existing fossil fueled electric
generating plants that utilize carbon
subsurface utilization and storage
systems.

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USDA Rural Broadband, Electric, and Water Programs: FY2022 Appropriations

FY2021
FY2022
H.Rept. 116-446 for P.L. 116-20
H.Rept. 117-82 for H.R. 4356
S.Rept. 117-34 for S. 2599
Distance Learning and Telemedicine (DLT) Program Account
No comparable provision.
No comparable provision.
DLT Account. Directs USDA to
provide quarterly updates on the
progress of the interagency
agreement between the Federal
Communications Commission
(FCC), National
Telecommunications and
Information Administration, and
USDA.
ReConnect Program. The
No comparable provision.
No comparable provision.
Secretary may consider
communities that do not meet the
eligibility requirements to be “rural
in character” and be considered
eligible for the ReConnect Program.
Up to 10% of funds may be used for
“rural in character” communities.
Directs that at least 90% of
Directs that at least 90% of
No comparable provision.
households to be served by a
households to be served by a
project be in a rural area without
project be in rural areas without
sufficient access to broadband.
sufficient broadband access.
Sufficient access is defined as 10
Sufficient access shal be defined as
megabits (Mbps) downstream and 1
25 Mbps downstream and 10 Mbps
Mbps upstream. The Secretary of
upstream. The Secretary of
Agriculture shal reevaluate and
Agriculture shal reevaluate and
redefine the definition as needed on redefine the definition as needed on
an annual basis.
an annual basis.
Encourages USDA to take action to
Same as FY2021 enacted.
No comparable provision.
increase access to broadband on
rural tribal lands and supports
consultation with federal y
recognized Indian Tribes, Alaska
Native vil ages and corporations,
and entities related to Hawai an
homelands.
Encourages USDA to explore
No comparable provision.
No comparable provision.
alternative map options that use
more accurate information to
determine eligibility until Congress
and FCC are able to produce higher
quality broadband access maps for
rural areas.
DLT Delta Health Care Service Same as FY2021 enacted.
Same as FY2021 enacted.
Grants Program. Directs that
funding for grants in this program
may be provided only to entities
that meet the eligibility criteria for a
consortium as established by §379G
of the Consolidated Farm and Rural
Development Act.
Congressional Research Service

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USDA Rural Broadband, Electric, and Water Programs: FY2022 Appropriations

FY2021
FY2022
H.Rept. 116-446 for P.L. 116-20
H.Rept. 117-82 for H.R. 4356
S.Rept. 117-34 for S. 2599
No comparable provision.
Entities receiving loans or grants
Same as FY2022 House bill.
shal not use funds to overbuild or
duplicate broadband service in a
service area by any entity that has
received a broadband loan from
RUS, unless service does not meet
minimum service threshold.
No comparable provision.
Encourages USDA to examine and
No comparable provision.
appropriately adjust and lower the
col ateral requirements within
ReConnect Program loan
agreements, grant agreements, or
loan/grant agreements to ensure
greater program access.
No comparable provision.
Directs that $36,604,792 of the
No comparable provision.
program funding be used for
Community Project Funding.
No comparable provision.
No comparable provision.
Community Connect Program.
Requests that the Secretary
prioritizes awarding funding in areas
with mountainous terrain.
No comparable provision.
No comparable provision.
DLT Program. Congressional y
directed spending shal be provided
for certain activities and locations.
Recipients of these funds are stil
required to apply for the funding
and must meet al statutory and
regulatory requirements.
Source: Compiled by CRS using the enacted FY2021 appropriations bil , FY2022 House-passed Agriculture
appropriations bil , and FY2022 Senate committee-reported Agriculture appropriations bil .

Author Information

Lisa S. Benson

Analyst in Agricultural Policy

Congressional Research Service

22

USDA Rural Broadband, Electric, and Water Programs: FY2022 Appropriations

Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan
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under the direction of Congress. Information in a CRS Report should n ot be relied upon for purposes other
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