1. Missouri Rural Health Conference August 22, 2018

2. USDA – Rural Development Mission
“To increase economic opportunity and improve the quality of life for all rural Americans.”

3. USDA Overview United States Department of Agriculture 17 Agencies
Rural Development is one of those agencies
Within RD there are 3 divisions
Rural Business and Cooperative Service
Rural Housing Service
Rural Utility Service
RD delivers over 40 programs to rural communities
All programs fall within the administrative oversight of one the three divisions listed above
Missouri RD has 105 staff
All staff are career with exception of State Director
Missouri RD has 25 offices; State Office and 24 Field Offices

4. Community Programs: 20,000 and below
Population Guidelines
Business Programs: 50,000 and below (exception is local foods projects)
Community Programs: 20,000 and below
Housing Programs: 35,000 and below
Water and Waste Water Programs: 10,000 and below
Populations listed are within a city, town or village. Open rural areas, such as projects located in a rural county, have no population limits. The exception is counties adjacent to Metropolitan or Urban areas.

5. Distance Learning and Telemedicine Grant
Program Purpose:
Assists rural communities to use telecommunications by purchasing equipment to connect remote locations to urban areas or other rural areas for purposes of increased education or healthcare opportunities.
Who May Apply:
Most State and Local Governments/Federally-Recognized Tribes/Non-Profits/For-Profit Corporations
Application Grant Request Limits:
MINIMUM = $50,000 MAXIMUM = $500,000
Application Match Requirements:
Minimum = 15% of Grant Request
Applications typically due in June

6. Distance Learning and Telemedicine Grant
Projects:
$265,386 to Bates County Memorial Hospital to expand upon an existing interactive telemedicine solution between Bates County Memorial Hospital, a 60-bed hospital serving rural communities in Bates County, and healthcare specialists with St. Luke Health System in Kansas City
$122,524 to Compass Health, Inc. to deploy high-definition video-teleconferencing equipment at 18 remote rural health clinics to connect patients with mental health providers & pharmacists at urban locations.

7. Business and Industry (B&I) Guaranteed Loans
Program Purpose:
Bolsters the existing private credit structure through the guaranteeing of loans for rural businesses, allowing private lenders to extend more credit than they would typically be able.
Who May Apply:
Lenders with legal authority, sufficient experience, and financial strength to operate a successful lending program
Eligible borrowers:
For-profit business, Nonprofits and cooperatives, Federally recognized Tribes, Public bodies
Loan guarantee limits:
80% for loans of $5 million or less
70% for loans between $5 and $10 million
60% for loans exceeding $10 million, up to $25 million maximum
Terms:
Interest rate negotiated between lender and borrower, subject to Rural Development review.
Real estate – 30 years, machinery and equipment -15 years and working capital – 7 years.
Initial guarantee fee of 3% with annual renewal fee of 0.5% on outstanding principal.
Projects: $59,675,000 Total Invested in 41 Projects (FY 2017)

8. Business and Industry (B&I) Guaranteed Loans
$1,445,000 to purchase and improve a fitness facility
$2,900,000 for financing expansion of residential care facility
$10,000,000 to assist with debt restructuring for a hospital district (FY 2016)
$400,000 to provide permanent working capital and restructure a short-term loan to upgrade an assisted living facility (FY 2016)

9. Rural Business Development Grant (RBDG)
Program Purpose:
Assist small and emerging businesses in rural areas
Who May Apply:
Public bodies, units of government and community-based non-profit organizations and Federally-recognized tribes
Special Considerations:
Eligible costs include real estate improvements, equipment, utility/infrastructure, feasibility studies, engineering services, and/or technical assistance to small businesses.
Competitive application process
Application Grant Request Limits:
Grants less than $100,000 have highest competitive priority
FY2017 Funded Projects:
$603,000 (16 Grants)

10. Rural Business Development Grant (RBDG)
Projects:
$61,788 to expand community college nursing program
$36,300 for the purchase of commercial paper shredding equipment to support employment at a sheltered workshop
$48,600 for the purchase of equipment for a food hub business
$22,500 to purchase equipment for use in a recycling center
$38,550 to assist with the purchase of equipment for a community theater and events building to support small business opportunities
$17,200 to purchase tools, greenhouse materials and equipment for community education center on local foods.

11. Rural Economic Development Loans and Grants (REDLG)
Program Purpose:
Assist economic and community development projects in rural areas
Who May Apply:
Rural electric or telecommunications cooperatives
Special Considerations:
Real estate improvements, equipment, working capital
Pass-through funding from cooperatives to ultimate beneficiary (community project)
20% Match Required from cooperatives
Application Request Limits:
Up to $1,000,000 Loan
Up to $300,000 Grant
Terms:
All funds must be paid back to cooperative.
Re-paid Grant may become Revolving Loan Fund for cooperative
Re-paid Loan is paid to USDA – Rural Development
Loan term is 0% for 10 years

12. Rural Economic Development Loans and Grants (REDLG)
Projects:
$1,000,000 Loan to assist medical center create a new childcare learning center
$800,000 Loan to construct new recreation facility
$250,000 Loan to provide working capital to programs to assist residents with developmental disabilities
$500,000 Loan to construct new building at a regional port authority
$1,000,000 Loan to construct new family theme park

13. Rural Energy for America Program (REAP)
Program Purpose:
Assist rural small businesses and agricultural producers by conducting and promoting energy audits, and providing renewable energy development assistance.
Who May Apply:
Farmers and rural small businesses
Special Considerations:
Grant is 25% of eligible project costs
Application Grant Request Limits:
$500,000 maximum for renewable energy projects
$250,000 maximum for energy efficiency
$100,000 maximum for energy audit and rural energy development assistance
FY2017 Funded Projects:
$5,000,000 Loan Guarantee (1 Loan)
$962,403 (49 Grants)

14. Rural Energy for America Program (REAP)
Projects:
$20,000 Grant to assist fitness center with solar array energy system purchase
$12,500 Grant to assist home healthcare business with purchase of a solar array system
$2,862 Grant to assist bed and breakfast with purchase and installation of energy efficiency improvements
$12,707 Grant to assist upholstery and furniture repair business to purchase a solar array system
$48,915 Grant to assist feed and fertilizer business with energy efficiency improvements
$6,890 Grant to assist cabinet manufacturing business with energy efficiency improvements
$27,623 Grant to assist grocery store with energy efficiency improvements
$20,000 Grant to assist a hotel with purchase of a solar array system
$20,000 Grant to assist a pharmacy with purchase of a solar array system

15. Community Facility Grant and Loan Program
Program Purpose:
Provides affordable funding to develop essential community facilities
Who May Apply:
Public body, community-based non-profit organization or Federally-recognized tribes
Special Considerations:
Essential community facility is defined as a facility that provides an essential service to the local community for
the orderly development of the community.
Does not include private, commercial or business undertakings.
Provides direct loans, loan guarantees and grants
Loan term: lesser of useful life of facility, state statutes, applicant’s authority or 40 years
Interest rate: currently 3.875% for direct loan. Established by lender under loan guarantee
Loan guarantee maximum is 90% with a one-time guarantee fee of 1%
Application Grant Request Limits:
Grants for up to 15%, 35%, 55% or 75% of proposed project depending upon population and MHI of proposed service area
FY 2017 Funded Projects:
$9,535,300 (25 Loans/32 Grants)
Applicants must have significant ties with the local rural community.
Association with, or controlled by, a local public body or bodies, or broadly based ownership and control by members of
the community

16. Community Facility Grant and Loan Program
Projects:
$1,000,000 Loan to construct a new nursing home facility
$44,400 Grant to purchase new cooling tower and fund HVAC upgrades for a hospital
$17,400 Loan and $84,600 Grant to cover construction cost overruns for 14-bed assisted living facility
$15,600 Grant to replace kitchen appliances and equipment in a community nutrition center.
$148,200 Loan and $27,400 Grant to purchase 911 call center equipment
$12,900 Loan and $5,500 Grant to purchase power stretcher for ambulance
$6,400 Grant to replace school cafeteria equipment
$62,600 Loan and $21,400 Grant to purchase telemedicine equipment for FQHC
$987,750 Loan to make improvements and add an additional 14 beds to psychiatric hospital
Applicants must have significant ties with the local rural community.
Association with, or controlled by, a local public body or bodies, or broadly based ownership and control by members of
the community

17. Economic Impact Initiative (EII) Grant Program
Program Purpose:
Provides funding to assist in the development of essential community facilities in rural communities with extreme unemployment and severe economic depression
Who May Apply:
Public body, community-based non-profit organization and Federally-recognized tribes.
Special Considerations:
Essential community facility is defined as a facility that provides an essential service to the local community for
the orderly development of the community.
Grants may made in combination with other Rural Development financial assistance.
Community facilities may include: healthcare, public facilities, public safety and local food systems.
FY2017 Funded Projects:
$146,650 (13 Grants)

18. Economic Impact Initiative (EII) Grant Program
Projects:
$8,300 Grant to purchase equipment to outfit new fire truck.
$17,600 Grant to assist with the purchase of four-wheel drive police vehicle.
$17,775 Grant to purchase replacement cab chassis for a fire rescue unit, new self-contained breathing apparatus and related fire rescue equipment.
$6,800 Grant to purchase a used police vehicle.
$11,900 Grant to purchase an early warning storm siren.
$8,700 Grant to purchase two police SUVs.
$5,235 Grant to purchase first responder equipment.

19. Value-Added Producer Grant
Program Purpose:
This program helps agricultural producers enter into value-added activities related to the processing and/or marketing of bio-based, value-added products. Generating new products, creating and expanding marketing opportunities, and increasing producer income are the goals of this program.
Who May Apply:
Independent producers, agriculture producer groups, farmer- or rancher-cooperatives and majority-controlled producer-based business ventures.
Eligible Uses:
Grant and matching funds can be used for planning activities or for working capital expenses related to producing and marketing a value-added agricultural product. Examples of planning activities include conducting feasibility studies and developing business plans for processing and marketing the proposed value-added product. Examples of working capital expenses include:
• Processing costs
• Marketing and advertising expenses
• Some inventory and salary expenses

20. Intermediary Relending Program (IRP)
Program Purpose:
Provides low-interest loans to local intermediaries that re-lend to businesses and for community development projects in rural communities.
Who May Apply:
Public Bodies, Nonprofits, cooperatives, federally-recognized tribes and public bodies
Limits to Intermediaries:
Up to $2 million for first financing
Up to $1 million at a time thereafter
Total aggregate debt is capped as defined by funding notice
Terms for Intermediary:
Interest rate is fixed at 1%
Maximum term is 30 years
Interest-only payments may be permitted for the first 3 years
Recipient Loans:
Maximum loan is $250,000; or 75% of total cost of recipient’s project for which loan is being made, whichever is less.
Interest rate and term are set by intermediary.

21. Rural Community Development Initiative (RCDI) Grant
Program Purpose:
Provide technical assistance and training funds to qualified, intermediary organizations to develop their capacity to undertake housing, community facilities, and community and economic development projects
Who May Apply:
Public bodies, non-profit organizations and Federally-recognized tribes.
Eligible Uses:
Training sub-grantees; for example, home-ownership or minority business entrepreneur education
Technical assistance such as strategic plan development, board training, effective fundraising techniques
Application Grant Request Limits:
$50,000 minimum award
$250,000 maximum award
Matching funds equal to the amount of the grant award
FY2015 Funded Projects:
$155,000 (1 Grant)

22. Water and Waste (Water) Disposal Loan/Grant
Program Purpose:
Provides funding for drinking water systems, sanitary sewage disposal, sanitary solid waste disposal and storm water drainage.
Who May Apply:
Most state and local governmental entities, private non-profits and Federally-recognized tribes
Special Considerations:
User rate must be at least 2% of MHI, based on actual use (Missouri policy)
Funding Available:
Long-term, low-interest loans. If funds are available, a grant may be combined with a loan.
Loan Term:
35-year payback period, based on the useful life of the facilities financed with a fixed interest rate.
Application Grant Request Limits:
Grant must be needed to establish financial feasibility
Depending upon availability, grants for up to 45% or 75% of total project costs depending upon MHI of service area
FY2017 Funded Projects:
$44,806,000 (28 Loans)/$11,443,420 (14 Grants)

23. Single Family Housing 502 Direct Loan Program
Program Purpose:
Provides assistance to low- and very-low-income applicants to obtain decent, safe and sanitary housing in eligible rural areas.
Who May Apply:
Applicants must meet income eligibility for a direct loan.
Applicants must be without decent, safe and sanitary housing.
Applicants must be unable to obtain a loan from other resources on terms and conditions that can reasonably be expected to meet.
Applicants must have the legal capacity to incur a loan obligation.
Eligible Uses:
Funds can be used to build, repair, renovate or relocate a home, or to purchase and prepare sites, including providing water and sewage facilities.
Terms:
Fixed Interest Rate, No down payment and up to 33-year payback period
FY2017 Funded Projects:
$18,519,376 (168 Loans)

24. Single Family Housing 502 Loan Guarantee Program
Program Purpose:
Assists approved lenders in providing low- and very-low-income households the opportunity to obtain decent, safe and sanitary housing in eligible rural areas.
Who May Apply:
Applicants must meet income eligibility.
Applicants must purchase a home which meets program criteria.
Applicants must have the legal capacity to incur a loan obligation.
Eligible Uses:
Funds can be used to build, repair, renovate or relocate a home, or to purchase and prepare sites, including providing water and sewage facilities.
Terms:
Provides a 90% loan note guarantee to approved lenders to reduce risk
FY2017 Funded Projects:
$682,676,583 (5,791 Loans)

25. Single Family Housing 504 Loan/Grant Program
Program Purpose:
Provides loans to very-low-income homeowners to repair, improve, or modernize their homes or provides grants to elderly very-low-income homeowners to remove health and safety hazards.
Who May Apply:
Homeowner and occupant of the house
Homeowner must be unable to obtain affordable credit elsewhere
Homeowner must have a family income below 50 percent of the area median income
For grants, homeowner must be age 62 or older and not be able to repay a repair loan
Eligible Uses:
Loans may be used to repair, improve, or modernize homes or to remove health and safety hazards.
Grants must be used to remove health and safety hazards.
FY2017 Funded Projects:
$400,404 (83 Loans)/$711,832 (128 Grants)

26. Housing Preservation Grant (HPG) Program
Program Purpose:
Provides grants to sponsoring organizations for the repair or rehabilitation of housing occupied by low- and very-low-income families and individuals.
Who May Apply:
State and local government entities, non-profit organizations and Federally-recognized tribes
Individual homeowners are not eligible
Eligible Uses:
Home must be in a rural area or community under 20,000 population
Repairing or replacing electrical wiring, foundations, roofs, insulation, heating systems, water/waste disposal systems
Handicap accessibility features
Labor and materials
FY2017 Funded Projects:
$100,506 (2 Grants)

27. Jeff Case, State Director, jeffrey.case2@mo.usda.gov
Tim Rickabaugh, Assistant to State Director,
Pam Anglin, Housing Programs Director,
Matt Moore, Business Programs Director,
Clark Thomas, Community Programs Director,
Chris Collins, RUS General Field Representative,
Greg Batson, Program Support Director,

28. Missouri Rural Development State Office 601 Business Loop 70 West Parkade Center, Suite Columbia, MO Telephone: (573) TDD: (573) FAX: (855)

29. Thank you!