USDA has removed unnecessary regulations to increase private investment in rural businesses and economic development projects and to improve customer service within four flagship loan guarantee programs. The Agency implemented a standard set of requirements, processes and forms for these programs. Only lenders are eligible to apply. The programs are:
This notice provides applicants with the Guarantee Fee rates, Guarantee percentage for Guaranteed Loans, the Periodic Retention Fee, and Fee for Issuance of the Loan Note Guarantee Prior to Construction Completion for Fiscal Year (FY) 2024, to be used when applying for guaranteed loans under the guaranteed loan types listed above.
This part contains the regulations for Community Facilities, Water and Waste Disposal, Business and Industry, and Rural Energy for America Program loans guaranteed by the Agency and applies to lenders, holders, borrowers, and other parties involved in making, guaranteeing, holding, servicing, and liquidating such loans.
FY 2024 Annual Notice for Guarantee Fees and Rates
Ahead of Fiscal Year 2024, USDA released fees and guarantee percentages that will apply to the four loan guarantee programs critical to supporting investments in rural businesses, infrastructure and community development. The fees in this notice are effective October 1, 2023.
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Fiscal Year 2024 obligations, remaining balances and number of applications to date by program. Updated - December 5, 2023
Program | Funding | Funds Obligated YTD | Funding Status - Remaining Balances |
Total Loan Amounts of Pending Guarantee Requests |
---|---|---|---|---|
Business & Industry Guaranteed Loan (1% +3%) | $1,062,133,272 | $316,126,338 | $746,006,934 | $1,688,652,592 |
Rural Energy for America Guaranteed Loan Program | $6,064,000 | $0 | $6,064,000 | $409,738,010 |
Community Facilities Guaranteed Loan Program | $500,000,000 | $63,216,644 | $436,783,356 | $103,995,693 |
Water and Waste Disposal Guaranteed Loan Program | $6,555,000 | $0 | $6,555,000 | $0 |
As USDA’s four flagship guarantee loan programs are streamlined under the OneRD Guarantee Loan Initiative, a core team of program experts are available to help you prepare for the new policies and procedures included in the final rule.
Lenders may submit questions to OneRDGuarantee@usda.gov.
USDA assist agencies, staff offices, award recipients, and subrecipients by providing information about the Build America, Buy America Act (BABAA) requirements, guidance documents on the waiver and comment process, and a list of published waivers.
The Agency is making resources available to help lenders get started on their applications to programs under the OneRD Guarantee Loan Initiative. Resources will be added to this website as they become available. Learn more about each resource below:
To file an application for programs under this initiative, lenders are encouraged to complete the following steps:
Submit Requests Online: Non-Regulated Lenders Seeking Approved Status
All non-regulated lenders must request approval status with the Agency to participate in programs under the OneRD Guarantee Loan Initiative. All previously granted lender approval authority are no longer valid. Rural Development has created a portal to upload all of your documents to request approval status. To use this portal, complete the following steps:
For more information on eligibility and requirements for approval, please review the final rule
Lenders unable to submit their application package through this portal may contact OneRDlenderapproval@usda.gov for assistance.
Ahead of Fiscal Year 2024, USDA released fees and guarantee percentages that will apply to the four loan guarantee programs critical to supporting investments in rural businesses, infrastructure and community development. The fees in this notice are effective October 1, 2023.
Fees and percentages for each program are listed below:
Instructions
Sample Documents
Important Notice: Potential applicants can view these forms in the Internet Explorer (IE) and Edge browsers. In Chrome or Safari, you must first download the forms to view form content.
Below are frequently asked questions that we have addressed. This list will grow as new questions are asked and answers are given.
Q: Which programs are included under the OneRD Guarantee Loan Initiative?
Q:What are the major changes in this final rule?
Q: When did changes in the regulation take effect?
Q: Whom do I contact for more information?
Q: Will this regulation affect my Fiscal Year 2020 guarantee loan application?
Q: When did the application windows open for the four programs under OneRD Guaranteed Loan Initiative?
Q: When will forms and other materials to help me apply for loan guarantee programs under this initiative become available?
Q: Will USDA provide training to lenders to help prepare for the new policies and procedures under the OneRD Guarantee Loan Initiative?
Where can lenders apply?
Can lenders pay brokers for referrals or packaging under the regulation?
What are the Agency’s credit evaluation standards for lenders under this initiative?
How can lenders become approved to participate in programs under the OneRD Guarantee Loan Initiative?
Is interim financing an option with OneRD guarantee?
Q: What are the eligible uses for a OneRD guaranteed loan?
Q: What are the loan requirements for a loan guarantee under this initiative?
Q: What Collateral Is Required?
Q: Can programs under the OneRD Guarantee Loan Initiative be used to finance construction?
Q: What amount of equity is required for nre businesses and existing businesses?
Q: Are there feasibility study requirements?
Q: What fees are associated with the OneRD Guarantee Loan Initiative?
Q: What is the maximum amount of a loan guarantee for is programs under the initiative?
Q: Does this regulation apply to the Business and Industry CARES Act Program?
Q: Does this regulation apply to the Business and Industry CARES Act Program?
Q: How should multi-state lenders submit applications for B&I CARES Act loans?
Q: How should in-state lenders submit applications for B&I CARES Act loans?
Q: Are Rural Energy for America Program (REAP) grants affected by the OneRD Guarantee Loan Initiative?
Below are resources including presentations, fact sheets and other information documents.