USDA Community Facilities Direct Loan and Grant Program
Contact the appropriate USDA Rural Development State Office.
The USDA Community Facilities Direct Loan and Grant Program provides direct loans and/or grants for essential community facilities in rural areas. Priority is given to healthcare, education, and public safety projects. Funds may be used to construct, enlarge, or improve facilities.
Projects that are more typical to receive funding include:
- Health clinics
- Mental health facilities
- Fire houses
- Community centers
- Other community-based initiatives
Applicants may apply for one of three options: the Community Facilities Direct Loan Program, the Community Facilities Grant Program, or a combination of the two.
USDA provides grants to assist in the development of essential community facilities in rural areas and towns with populations up to 20,000. Grants are available to public entities such as municipalities, counties, and special-purpose districts, as well as nonprofit corporations and tribal governments.
Loans are also available to public entities such as municipalities, counties, and special-purpose districts, as well as to nonprofit corporations and tribal governments.
Amount varies. Grants are authorized on a graduated scale. Applicants located in small communities with low populations and low incomes will receive a higher percentage of grants.
According to a USDA press release, $5,000,000 is set aside for projects that address the opioid epidemic in rural communities. Nonprofit organizations and federally recognized tribes can apply through the usual Community Facilities grant application process for grants up to $150,000 for innovative projects. Community Facilities grants may fund up to 75% of an eligible project.
Begin the application process by contacting the appropriate USDA Rural Development state office to discuss the project.
The state office will discuss funding options and refer eligible applicants to:
- Apply directly through USDA for grant and/or loan funds
- Contact an organization that has been awarded funding from USDA for the purpose of re-lending to community facilities projects
- Contact approved banks and lenders to apply through a similar, but separate separate program, the Community Facilities Guaranteed Loan Program
The Community Facilities program is part of the Strategic Economic and Community Development Program, which allows USDA to give application priority points for projects that support the implementation of regional economic development plans.
For complete information about funding programs, including your application status, please contact funders directly. Summaries are provided for your convenience only. RHIhub does not take part in application processes or monitor application status.