3. Water / Wastewater Planning Grants Search Pre- Development Pop 2,500 10,000 MHI $38,205 $38,205 Match 0% 25% Grant $30,000 $25,000 3% of our annual grant allocation USDA Rural Development – Montana Rural Utilities Service

4. Water and Environmental Program WEP Interest Rates Poverty Rate …1.875% When MHI of the area served is equal to or below $38,205 and the project is necessary to alleviate a health and/or sanitation problem. Intermediate Rate..2.50% When the MHI of the area served is less than $47,757 and there are no documented health /sanitation problems. Market Rate… 3.125% When the MHI of the area served is greater than $47,757 Interest Rates Effective January 1 st, 2016 USDA Rural Development – Montana Rural Utilities Service

5. 13 Projects funded $ 8,415,000 Loan $ 7,447,172 Grant Total $ 15,862,172 $ 10,882,000 Base Allocation $ 4,980,172 Pooling Funds USDA Rural Development – Montana Rural Utilities Service Water Programs FY 2012

6. 15 Projects funded $ 22,160,000 Loan $ 13,877,600 Grant Total $ 36,037,600 $ 12,836,000 Base Allocation $ 23,201,600 Pooling Funds USDA Rural Development – Montana Rural Utilities Service Water Programs FY 2013

7. USDA Rural Development – Montana Rural Utilities Service $49,471,500 FY 2013 –w-Partners

8. 16 Projects funded $ 14,464,000 Loan $ 15,999,500 Grant Total $ 30,463,500 $ 16,113,000 Base Allocation $ 14,350,500 Pooling Funds 3 Projects $ 7,738,000 Declined funding USDA Rural Development – Montana Rural Utilities Service Water Programs FY 2014

9. USDA Rural Development – Montana Rural Utilities Service $ 50,801,625 FY 2014 –w-Partners

10. 14 Projects funded $ 22,707,000 Loan $ 8,201,235 Grant Total $ 30,808,235 $ 16,081,000 Base Allocation $ 14,727,235 Pooling Funds USDA Rural Development – Montana Rural Utilities Service Water Programs FY 2015

11. USDA Rural Development – Montana Rural Utilities Service $60,431,235 FY 2015 –w-Partners

12. Entity Facility/Project Population Median Household Income (MHI) Credit Elsewhere Needs Test USDA Rural Development – Montana Rural Utilities Service Areas of Eligibility

13. Loans are made by a bank or other lender and guaranteed against loss by the USDA Rural Development Loans are made at lenders normal and customary rates and terms Guarantee allows lenders to make loans that they other- wise could not Cannot guarantee loans secured by tax-exempt obligations USDA Rural Development – Montana Rural Utilities Service WEP Guaranteed Loans

14. Facility must serve a rural area <10,000 population: Units of Local Government-City, Town, County, Special Districts, etc. -Community Based Non-Profit Corps. -Federally Recognized Indian Tribes USDA Rural Development – Montana Rural Utilities Service WEP Direct Loan Grant Programs

15. Eligible Loan and Grant Fund Uses: Construction Engineering and Inspection Services Legal Fees Land and rights Construction Interest * In some cases, startup costs * *These Costs are loan only USDA Rural Development – Montana Rural Utilities Service WEP Direct Loan Grant Programs

16. Est. Allocation 12.6M Loan 3.4M grant RD Funds Pooled in April 8, 2016 and August 12, 2016 Poverty Goal 20 / 20 / 2016 New Electronic Application Process RD APPLY- Russell Room Thursday USDA Rural Development – Montana Rural Utilities Service Water Programs FY 2016

17. USDA Rural Development – Montana Rural Utilities Service GOT Questions?

18. USDA Rural Development – Montana Rural Housing Service

19. Community Facilities FINANCE THE DEVELOPMENT AND IMPROVEMENT OF ESSENTIAL PUBLIC FACILTIES THAT SERVE RURAL AREAS AND ARE FOR PUBLIC USE ANY FACILITY NEEDED FOR THE ORDERLY DEVELOPMENT OF A RURAL COMMUNITY. MEDICAL CLINICS, FIRE STATIONS, FIRE TRUCKS, ASSISTED LIVING FACILITIES, ROADS, BRIDGES, ETC. USDA Rural Development – Montana Rural Housing Service

20. FY 2012 3 Guaranteed Loans = $ 21,400,000 12 Direct Loans = $ 46,106,800 12 Grants * = $ 1,282,556 20 Projects Total = $ 68,789,356 * Tribal College = $951,936 RCDI Grants = $200,000 Regular + Eii = $130,620 USDA Rural Development – Montana Rural Housing Service

21. FY 2013 0 Guaranteed Loans = $ 0 5 Direct Loans = $ 6,551,000 12 Grants * = $ 1,004,368 18 Projects Total = $ 7,555,358 * Tribal College = $878,843 Regular + EII = $125,525 USDA Rural Development – Montana Rural Housing Service

22. FY 2014 0 Guaranteed Loans = $ 0 1 Direct Loans = $2,290,000 10 Grants * = $ 1,224,829 11 Projects Total = $ 4,124,107 * (Tribal College expect 7 grants for = $1,015,812) Regular + EII = $56,525, RDCI $152,492 USDA Rural Development – Montana Rural Housing Service

23. FY 2014 0 Guaranteed Loans = $ 0 1 Direct Loans = $2,290,000 10 Grants * = $ 1,224,829 11 Projects Total = $ 4,124,107 * (Tribal College expect 7 grants for = $1,015,812) Regular + EII = $56,525, RDCI $152,492 USDA Rural Development – Montana Rural Housing Service

24. FY 2015 1 Guaranteed Loans = $ 1,150,000 1 Direct Loans = $9,950,000 12 Grants * = $ 1,229,632 14 Projects Total = $12,399,632 * (Tribal College expect 7 grants for = $1,124,870) Regular + EII = $174,762 USDA Rural Development – Montana Rural Housing Service

25. FY 2016 Est. Appropriations Guaranteed Loans = $ 0 Direct Loans = $19M Grants = $ 150K Est. Tribal College = $1.0M $20.15M USDA Rural Development – Montana Rural Housing Service

26. Base Entity Eligibility Public Bodies - City, Town, County, District, etc. Non-Profit Corporations (BROAD BASED LOCAL CONTROL) Federally Recognized Indian Tribes Under 20,000 population USDA Rural Development – Montana Rural Housing Service

27. Base Loan Eligibility Loan Interest Rates Through March 31, 2016 : 3.125% MHI of the area served is equal to or below $47,757 and the Population is under 20,000 Max. Loan Term Life of the security up to 40 years Debt coverage 110% / positive cash flow Other Credit - Not eligible if project can be funded by commercial credit or use of a Guaranteed Loan USDA Rural Development – Montana Rural Housing Service

28. Base Grant Eligibility Not able to fund from own resources Not able to fund form use of a loan Only the amount needed to make the project feasible Max grant amount $50K USDA Rural Development – Montana Rural Housing Service

29. Base Grant Eligibility Max. Grant 75% When MHI of the area served is equal to or below $28,654 and the Population is under 5,000 Max. Grant 55% When MHI of the area served is equal to or below $33,429 and the Population is under 12,000 Max Grant 35% When MHI of the area served is equal to or below $38,205 and the Population is under 20,000 Max. Grant 15% When MHI of the area served is equal to or below $42,981 and the Population is under 20,000 USDA Rural Development – Montana Rural Housing Service

30. Loans are made by a bank or other lender and guaranteed against loss by the USDA Rural Development Loans are made at lenders normal and customary rates and terms. Guarantee ( max =90%) allows lenders to make loans that they other-wise could not make. Cannot guarantee loans secured by tax-exempt obligations USDA Rural Development – Montana Rural Utilities Service CF Guaranteed Loans

31. Priorities: First Responders Health care Medical Records (HIT) Libraries 20/20/2016 USDA Rural Development – Montana Rural Housing Service

32. Priorities: USDA Rural Development – Montana Rural Housing Service

33. USDA Rural Development – Montana Rural Housing Service Questions ?