Title 7, AgricultureRelease 119-102

§908 Limitations on Use of Assistance

Title 7 › CHAPTER 31 — RURAL ELECTRIFICATION AND TELEPHONE SERVICE › SUBCHAPTER I — RURAL ELECTRIFICATION › § 908

Last updated Aug 21, 2026|Official source

Summary

The Secretary can let someone who gets a grant, loan, or loan guarantee set aside up to 10 percent of the money to provide retail broadband, but those funds can only be used where service is below the minimum level set under section 950bb(e) unless the recipient meets the conditions in section 950bb(d); nothing here stops a borrower from financing or deploying services allowed by this chapter, and the Secretary must not approve the set‑aside if it would cause competitive harm to any such grant, loan, or loan guarantee.

Full Legal Text

Title 7, §908

Agriculture, Source: USLM XML via OLRC

(a)Subject to subsections (b) and (c) of this section, the Secretary may allow a recipient of a grant, loan, or loan guarantee under this subchapter to set aside not more than 10 percent of the amount so received to provide retail broadband service.
(b)A recipient who sets aside funds under subsection (a) of this section may use the funds only in an area that is not being provided with the minimum acceptable level of broadband service established under section 950bb(e) of this title, unless the recipient meets the requirements of section 950bb(d) of this title.
(c)Nothing in this section shall be construed to limit the ability of any borrower to finance or deploy services authorized under this chapter.
(d)The Secretary shall not provide funding under subsection (a) if the funding would result in competitive harm to any grant, loan, or loan guarantee referred to in subsection (a).

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

A prior section 908, acts May 20, 1936, ch. 432, title I, § 8, 49 Stat. 1366; Oct. 28, 1949, ch. 776, § 2, 63 Stat. 948; Oct. 13, 1994, Pub. L. 103–354, title II, § 235(a)(4), 108 Stat. 3221, related to

Transfer of Functions

of Rural Electrification Administration created by Executive Order No. 7037, prior to repeal by Pub. L. 104–127, title VII, § 776, Apr. 4, 1996, 110 Stat. 1150.

Reference

Citations & Metadata

Citation

7 U.S.C. § 908

Title 7, Agriculture

Last Updated

Aug 21, 2026

Release point: 119-102