This federal aid program is managed by:
Rural Development, Department of Agriculture
To facilitate the development of small and emerging private business, industry, and related employment for improving the economy in rural communities.
(Project Grants) FY 09 $40,200,000; FY 10 est $42,800,000; FY 11 est $39,000,000
Uses and Use Restrictions:
Rural business enterprise grant (RBEG) funds may be used to create, expand or operate rural distance learning networks or programs that provide educational or job training instruction related to potential employment or job advancement to adult students; develop, construct or acquisition land, buildings, plants, equipment, access streets and roads, parking areas, utility extensions, necessary water supply and waste disposal facilities; refinancing; services and fees; and to establish a revolving loan fund. Television demonstration grant (TDG) funds may be used for television programming to demonstrate the effectiveness of providing information on agriculture and other issues of importance to farmers and other rural residents. All uses must assist a small and emerging private business enterprise except for the TDG Program. All uses must assist a small and emerging private business enterprise except for the TDG Program.
Examples of Funded Projects:
Fiscal Year 2010: No Current Data Available Fiscal Year 2011: No Current Data Available Fiscal Year 2012: No Current Data Available
Types of Assistance:
Range and Average of Financial Assistance:
$25,000 to $500,000. Average is less than $100,000.
Length and Time Phasing of Assistance:
Generally, 90 120 days, subject to the availability of funding. See the following for information on how assistance is awarded/released: Grant funds are disbursed in multiple draws, generally on a reimbursement basis upon the written request of the grantee.
Applicants eligible for RBE grants are public bodies and nonprofit corporations serving rural areas such as States, counties, cities, townships, and incorporated towns and villages, boroughs, authorities, districts and Indian tribes on Federal and State reservations which will serve rural areas. Applicants eligible for TD grants are statewide, private, nonprofit, public television systems whose coverage is predominantly rural. Rural area for this program is defined as a city, town, or unincorporated area that has a population of 50,000 inhabitants or less, other than an urbanized area immediately adjacent to a city, town, or unincorporated area that has a population in excess of 50,000 inhabitants.
A small and emerging private business enterprise which will employ 50 or less new employees and has less than $1.0 million in projected gross revenue. Public bodies, private non- profit corporations, and Federally recognized Indian tribes receive the grant to assist a business. Grants are not made directly to the business.
After the preapplication has been reviewed by the RD local office, it is forwarded to the RD State Office for review and processing instructions. Following approval by the State Office, funds are made available to the local office for final delivery. Notification of awards must be made to the designated State Central Information Reception Agency.
Contact Info for Headquarters Office:
Director, Specialty Programs Division, Rural Business-Cooperative Service, Department of Agriculture, 1400 Independence Ave SW, Rm 6870, Stop 322, Washington, District of Columbia 20250-3222 Phone: (202) 720-1400.