USDA Invites Applications to Fund Community Facility Projects

Published 9:37 am Tuesday, March 29, 2016

TEMPLE, TEXAS –USDA Rural Development in Texas currently has over $68 million in funding to be dispersed for community facility projects throughout Texas during the current fiscal year. Funding is authorized through the Department’s Community Facilities Direct and Guaranteed Loan Program.

“We are pleased to announce available funding in the form of low interest loans, guaranteed loans, and grants used to develop or improve essential facilities and equipment in rural communities that have experienced a lack of capital during these challenging times,” said Paco Valentin, Rural Development Texas State Director. “Funds to promote local and regional food systems, healthcare and education broadband protocol, renewable energy/energy efficiency, public safety and public service facilities are in much demand statewide.”

USDA Rural Developments’ community programs enhance the quality of life for rural Texans by providing funds to public bodies, community-based non-profit organizations and Federally-recognized Tribes for essential community facilities and services. Funds may be used for a wide range of various community projects. These include, but are not limited to, projects such as those which will enlarge, improve or construct schools, libraries, farmers markets, medical clinics, assisted living centers, public buildings, and community centers. Funding can also be used to purchase public safety equipment such as ambulances, firefighting equipment, and other emergency required implements.

Community Programs can make and guarantee loans to develop essential community facilities in rural areas and towns of up to 20,000 in population. Loans and guarantees are available to public entities such as municipalities, counties, and special-purpose districts, as well as to non-profit corporations and tribal governments. Community Programs can guarantee loans made and serviced by lenders such as banks, savings and loans, mortgage companies which are part of bank holding companies, banks of the Farm Credit System, or insurance companies regulated by the National Association of Insurance Commissioners. Community Programs may guarantee up to 90% of any loss of interest or principal on the loan. Community Programs can also make direct loans to applicants who are unable to obtain commercial credit. In some circumstances, grants may be awarded to smaller communities.

Applications are now being accepted to fund projects meeting the criteria for community facility loan, guaranteed loan, and grant programs, as outlined on

USDA Rural Development strives to see that rural citizens can participate fully in the global economy by providing technical assistance, funding, and other programs that help rural Americans build strong economies to improve their quality of life. For further information regarding this program or any other USDA Rural Development Programs, contact your nearest Rural Development office, listed on