USDA Rural Development currently lists the Community Facilities Direct Loan & Grant Program as open. Applications are accepted for processing from eligible public bodies, community-based nonprofit corporations, and federally recognized Tribes on an ongoing October 1–September 30 cycle.
Healthcare and telehealth fit
The program finances essential community facilities in rural areas. USDA expressly lists hospitals, medical clinics, dental clinics, nursing homes, assisted living facilities, public-safety services, educational services, and telemedicine or distance-learning equipment among eligible examples. Funds may support purchase, construction or improvement of essential facilities, equipment, and related project expenses.
Eligibility
Eligible borrowers are public bodies, community-based nonprofit corporations, and federally recognized Tribes. The facility must serve a qualifying rural area with no more than 20,000 residents. Applicants must have legal authority to borrow, obtain security, repay loans, construct, operate and maintain the proposed facility; must be unable to finance the project from their own resources or commercial credit at reasonable rates and terms; must demonstrate substantial community support; and must complete an acceptable environmental review.
Funding structure
Support can include low-interest direct loans, grants, or a combination, and may be combined with the Community Facilities guaranteed-loan program or commercial financing when requirements are met. Grant participation is graduated based on population and service-area income, with maximum grant shares of 75%, 55%, 35%, or 15% of eligible project costs under USDA’s stated thresholds, subject to grant availability.
Current direct-loan interest rates shown by USDA for April 1 through September 30, 2026 are 4.500% poverty, 4.625% intermediate, and 4.750% market. Repayment may extend up to the useful life of the facility or 40 years, subject to the program rules and applicant authority.
Economic Impact Initiative grant pathway
USDA Rural Development’s official Economic Impact Initiative Grants fact sheet identifies a year-round Community Facilities grant pathway for essential community facility projects in rural communities experiencing extreme unemployment and severe economic depression. Eligible applicant classes include public bodies, nonprofit organizations, and federally recognized Tribes. Eligible uses include constructing, enlarging, or improving healthcare, public safety, and public service facilities. USDA examples include hospitals, medical clinics, dental clinics, nursing homes, assisted living facilities, telemedicine and distance-learning services, and other essential community infrastructure.
Economic Impact Initiative assistance may be combined with Community Facilities direct or guaranteed loans, applicant contributions, or other acceptable funding. USDA does not publish a current FY2026 national EII award pool or universal per-project ceiling in the current program materials. Applicants should confirm EII funding availability, local unemployment and economic-distress qualification, project-specific grant share, and state-office requirements before relying on this pathway.
Strategic Economic and Community Development priority
Community Facilities is also a covered program under USDA Rural Development’s FY2026 Strategic Economic and Community Development (SECD) priority. Projects implementing qualifying multi-jurisdictional and multi-sector strategic community investment plans may submit Form RD 1980-88 with the underlying Community Facilities application for priority consideration under the FY2026 SECD framework.
Atlas assessment
N9+ Fit Score: 92/100. The program expressly recognizes telemedicine equipment and healthcare facilities, making clinician-directed remote physical examination, vitals and clinical-data capture, rural telehealth encounters, mobile/community care, school-based care, EMS/community paramedicine, chronic-care workflows and related clinical-access technology legitimate potential uses when the specific project and budget are approved by USDA.
Dr. Miltie direct-applicant fit: low. Dr. Miltie, LLC should not be represented as the direct Community Facilities borrower because ordinary for-profit vendors are not among the listed eligible borrower classes. The more defensible role is technology/vendor or service partner to an eligible public, nonprofit or Tribal applicant.
Application controls
Applicants should contact the USDA Rural Development state office serving the project before completing the application. A Unique Entity ID and active SAM.gov registration are required. Direct loans are governed by 7 CFR Part 1942, Subpart A; grants by 7 CFR Part 3570, Subpart B. Assistance Listing: 10.766.
Official sources: USDA Rural Development — Economic Impact Initiative Grants fact sheet; USDA Rural Development — Community Facilities Direct Loan & Grant Program; USDA Rural Development — Strategic Economic and Community Development.