Community Facilities Relending Program


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Fact Sheet


Applications accepted on an ongoing basis


USDA Rural Development (USDA RD)


Offers low-interest direct loans to community lending institutions that will re-lend the funds in order to finance infrastructure projects in rural areas with high poverty or counties with persistent poverty. Aims to help rural communities gain access to capital in the form of affordable, long-term, low-interest loans. Provides technical assistance and financial expertise through local lending institutions to assist communities in acquiring, maintaining, building, or renovating essential community facilities that can impact the quality of life for people in rural areas.

Loan funds may be used by local communities to purchase, construct, and improve infrastructure, purchase equipment, and cover related project costs. Examples of essential community facilities include but are not limited to:

  • Healthcare facilities such as hospitals, medical clinics, dental clinics, nursing homes, and assisted-living facilities
  • Town halls, courthouses, and other public facilities
  • Street improvements and repairs
  • Community support services, including childcare centers, transitional housing, community centers, and fairgrounds
  • Public safety services such as fire departments, police stations, prisons, police vehicles, fire trucks, public works vehicles or equipment
  • Public or private schools and colleges, libraries, museums, and other educational services

Amount of Funding

There is no limit on loan amounts that can be requested by re-lender institutions. Interest rates are fixed, with terms up to 40 years.

The rates and terms for loans made by re-lenders to community applicants must be negotiated by the two parties.

Who Can Apply

To be eligible as a re-lender for this program, a community lending institution must:

  • Have an existing portfolio in which 30% of the loans are made in rural, high, or persistent poverty areas
  • Be able to obtain an irrevocable letter of credit from a financial institution covering principal and interest payments for the first 5 years of the loan

In addition, eligible re-lenders must meet at least one of the following criteria:

  • Be regulated and supervised by a federal or state banking authority and not be on any watch list
  • Have an Aeris Financial Strength and Performance Rating of 1 or 2 within the last 2 years
  • Obtain an Aeris Financial Strength and Performance Rating of 1 or 2 before any funds are advanced
  • Prove to be a financially sound institution as determined by a USDA Rural Development risk assessment

Community applicants eligible to receive loans from a re-lender include:

  • Public bodies
  • Nonprofit organizations with significant ties to the local community
  • Federally recognized tribes

Re-lenders may be located anywhere in the United States. Applicants funded through this program must be located in a rural area. Under this funding opportunity, an eligible rural area is defined as a city, village, township, town, or federally recognized tribal land with no more than 20,000 residents.

Geographic Coverage


What This Program Funds

Buildings and Facilities • Equipment

Application Process

Application instructions, requirements, and other information can be found in the Federal Register.

Both re-lender institutions and community applicants should contact the Community Facilities Relending national program office to begin the application process.

This program is not currently accepting applications from re-lender institutions.

Applicant frequently asked questions


This program is not currently accepting applications from re-lender institutions.


For program questions:
Nathan Chitwood

Topics This Program Addresses

Healthcare Facilities • Infrastructure