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7 U.S.C. § 6944 — Rural Utilities Service
Federal law — U.S. Code and appendices · legal_authorities
**(a) Establishment required** The Secretary shall establish and maintain within the Department the Rural Utilities Service and assign to the Service such functions as the Secretary considers appropriate.
**(b) Administrator**
(1) **Appointment** — The Rural Utilities Service shall be headed by an Administrator who shall be appointed by the President.
(2) **Compensation** — The Administrator of the Rural Utilities Service shall receive basic pay at a rate not to exceed the maximum amount of compensation payable to a member of the Senior Executive Service under subsection (b) of [section 5382 of title 5](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title5-section5382&num=0&edition=prelim).
**(c) Functions** The Secretary shall carry out through the Rural Utilities Service the following functions that are under the jurisdiction of the Department:
(1) Electric and telephone loan programs and water and waste facility activities authorized by law, including—
(A) the Rural Electrification Act of 1936 ([7 U.S.C. 901](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section901&num=0&edition=prelim) et seq.); and
(B) section 1926–1 11 See References in Text note below. of this title; and
(2) Water and waste facility programs and activities authorized by law, including—
(A) sections 1926, 1926a, 1926b,1 and 1926c of this title, the provisions of sections 1929 and 1929a of this title relating to assets, terms, and conditions of water and sewer programs, [section 1932(b) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1932/b&num=0&edition=prelim), and [section 1013a of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1013a&num=0&edition=prelim); and
(
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Source location: Title 7, Chapter 98, § 6944; chapter-098-department-of-agriculture-reorganization.md
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**(a) Establishment required** The Secretary shall establish and maintain within the Department the Rural Utilities Service and assign to the Service such functions as the Secretary considers appropriate.
**(b) Administrator**
(1) **Appointment** — The Rural Utilities Service shall be headed by an Administrator who shall be appointed by the President.
(2) **Compensation** — The Administrator of the Rural Utilities Service shall receive basic pay at a rate not to exceed the maximum amount of compensation payable to a member of the Senior Executive Service under subsection (b) of [section 5382 of title 5](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title5-section5382&num=0&edition=prelim).
**(c) Functions** The Secretary shall carry out through the Rural Utilities Service the following functions that are under the jurisdiction of the Department:
(1) Electric and telephone loan programs and water and waste facility activities authorized by law, including—
(A) the Rural Electrification Act of 1936 ([7 U.S.C. 901](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section901&num=0&edition=prelim) et seq.); and
(B) section 1926–1 11 See References in Text note below. of this title; and
(2) Water and waste facility programs and activities authorized by law, including—
(A) sections 1926, 1926a, 1926b,1 and 1926c of this title, the provisions of sections 1929 and 1929a of this title relating to assets, terms, and conditions of water and sewer programs, [section 1932(b) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1932/b&num=0&edition=prelim), and [section 1013a of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1013a&num=0&edition=prelim); and
(B) section 2324 of the Food, Agriculture, Conservation, and Trade Act of 1990 1 ([7 U.S.C. 1926](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title7-section1926&num=0&edition=prelim) note).
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Federal law — U.S. Code and appendices · legal_authorities
**(a) In general** The Secretary shall make or insure no loan under sections 1922, 1923, 1924, 1934, and 1935 of this title that would cause the unpaid indebtedness under such sections of any one borrower to exceed the smaller of (1) the value of the farm or other security, or (2) in the case of a loan other than a loan guaranteed by the Secretary, $600,000, or, in the case of a loan guaranteed by the Secretary, $1,750,000 (increased, beginning with fiscal year 2019, by the inflation percentage applicable to the fiscal year in which the loan is guaranteed and reduced by the amount of any unpaid indebtedness of the borrower on loans under subchapter II that are guaranteed by the Secretary).
**(b) Determination of value** In determining the value of the farm, the Secretary shall consider appraisals made by competent appraisers under rules established by the Secretary.
**(c) Inflation percentage** For purposes of this section, the inflation percentage applicable to a fiscal year is the percentage (if any) by which—
(1) the average of the Prices Paid By Farmers Index (as compiled by the National Agricultural Statistics Service of the Department of Agriculture) for the 12-month period ending on July 31 of the immediately preceding fiscal year; exceeds
(2) the average of such index (as so defined) for the 12-month period that immediately precedes the 12-month period described in paragraph (1).
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Federal law — U.S. Code and appendices · legal_authorities
Level IV of the Executive Schedule applies to the following positions, for which the annual rate of basic pay shall be the rate determined with respect to such level under chapter 11 of title 2, as adjusted by [section 5318 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title5-section5318&num=0&edition=prelim):
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Federal law — U.S. Code and appendices · legal_authorities
Notwithstanding any other provision of this chapter, any report, notification, or consultation addressing directly or indirectly the use of appropriated funds and stipulated by this chapter to be submitted to, or held with, the Congress or any Congressional committee shall also be submitted to, or held with, the Committees on Appropriations of the Senate and the House of Representatives under the same conditions and with the same restrictions as stipulated by this chapter.
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Federal law — U.S. Code and appendices · legal_authorities
**(a)** Subject to regulations prescribed by the Office of Personnel Management, there shall be established a range of rates of basic pay for the Senior Executive Service, and each senior executive shall be paid at one of the rates within the range, based on individual performance, contribution to the agency’s performance, or both, as determined under a rigorous performance management system. The lowest rate of the range shall not be less than the minimum rate of basic pay payable under section 5376, and the highest rate, for any position under this system or an equivalent system as determined by the President’s Pay Agent designated under section 5304(d), shall not exceed the rate for level III of the Executive Schedule. The payment of the rates shall not be subject to the pay limitation of section 5306(e) or 5373.
**(b)** Notwithstanding the provisions of subsection (a), the applicable maximum shall be level II of the Executive Schedule for any agency that is certified under section 5307 as having a performance appraisal system which, as designed and applied, makes meaningful distinctions based on relative performance.
**(c)** No employee may suffer a reduction in pay by reason of transfer from an agency with an applicable maximum rate of pay prescribed under subsection (b) to an agency with an applicable maximum rate of pay prescribed under subsection (a).
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Federal law — U.S. Code and appendices · legal_authorities
### Statutory Notes
#### Codification
Section, act July 22, 1937, ch. 517, title III, § 34, 50 Stat. 526, related to appropriations and expired by its own limitations at end of fiscal year 1940.
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Federal law — U.S. Code and appendices · legal_authorities
**(a) In general** The Secretary shall provide grants in accordance with this section to assist the residents of rural areas and small communities to secure adequate quantities of safe water—
(1) after a significant decline in the quantity or quality of water available from the water supplies of such rural areas and small communities, or when such a decline is imminent; or
(2) when repairs, partial replacement, or significant maintenance efforts on established water systems would remedy—
(A) an acute, or imminent, shortage of quality water; or
(B) a significant decline, or imminent decline, in the quantity or quality of water that is available.
**(b) Priority** In carrying out subsection (a), the Secretary shall—
(1) give priority to projects described in subsection (a)(1), particularly to projects to address contamination that—
(A) poses a threat to human health or the environment; and
(B) was caused by circumstances beyond the control of the applicant for a grant, including circumstances that occurred over a period of time; and
(2) provide at least 70 percent of all such grants to such projects.
**(c) Eligibility** To be eligible to obtain a grant under this section, an applicant shall—
(1) be a public or private nonprofit entity; and
(2) in the case of a grant made under subsection (a)(1), demonstrate to the Secretary that the decline referred to in such subsection occurred, or will occur, within 2 years of the date the application was filed for such grant.
**(d) Uses**
(1) **In general** — Grants made under this section may be used—
(A) for waterline extensions from existing systems, laying of new waterlines, repairs, significant maintenance, digging of new wells, equipment replacement, and hook and tap fees;
(B) for any other appropriate
Source: Supplied U.S. Code snapshot — release unconfirmed · 7 U.S.C. § 1926b
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Federal law — U.S. Code and appendices · legal_authorities
This chapter may be cited as the “Rural Electrification Act of 1936”.
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Federal law — U.S. Code and appendices · legal_authorities
Page 1063
TITLE 7—AGRICULTURE
§ 1926
amendment relates, see section 1101(b)(3) of Pub. L.
102–237, set out as a note under section 1421 of this title.
§ 1925. Limitations on amount of farm ownership
loans
(a) In general
The Secretary shall make or insure no loan
under sections 1922, 1923, 1924, 1934, and 1935 of
this title that would cause the unpaid indebted-
ness under such sections of any one borrower to
exceed the smaller of (1) the value of the farm or
other security, or (2) in the case of a loan other
than a loan guaranteed by the Secretary,
$600,000, or, in the case of a loan guaranteed by
the Secretary, $1,750,000 (increased, beginning
with fiscal year 2019, by the inflation percentage
applicable to the fiscal year in which the loan is
guaranteed and reduced by the amount of any
unpaid indebtedness of the borrower on loans
under subchapter II that are guaranteed by the
Secretary).
(b) Determination of value
In determining the value of the farm, the Sec-
retary shall consider appraisals made by com-
petent appraisers under rules established by the
Secretary.
(c) Inflation percentage
For purposes of this section, the inflation per-
centage applicable to a fiscal year is the per-
centage (if any) by which—
(1) the average of the Prices Paid By Farm-
ers Index (as compiled by the National Agri-
cultural Statistics Service of the Department
of Agriculture) for the 12-month period ending
on July 31 of the immediately preceding fiscal
year; exceeds
(2) the average of such index (as so defined)
for the 12-month period that immediately pre-
cedes the 12-month period described in para-
graph (1).
(Pub. L. 87–128, title III, § 305, Aug. 8, 1961, 75
Stat. 308; Pub. L. 91–620, § 1, Dec. 31, 1970, 84 Stat.
1862; Pub. L. 92–419, title I, § 103, A
Source: Supplied 2024 U.S. Code historical extraction · 7 U.S.C. § 1926
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Federal law — U.S. Code and appendices · legal_authorities
Page 1938
TITLE 7—AGRICULTURE
§ 6944
1 See References in Text note below.
1 See References in Text note below.
Code, see Short Title note set out under section 1441 of
Title 42 and Tables.
AMENDMENTS
1996—Subsec. (b)(2), (3). Pub. L. 104–127 redesignated
par. (3) as (2), substituted ‘‘section 2008d of this title’’
for ‘‘sections 2008 through 2008d of this title’’, and
struck out former par. (2) which read as follows: ‘‘Pro-
grams and activities authorized under section 1932(i) of
this title and related provisions of law.’’
§ 6944. Rural Business and Cooperative Develop-
ment Service
(a) Establishment authorized
Notwithstanding any other provision of law,
the Secretary is authorized to establish and
maintain within the Department the Rural Busi-
ness and Cooperative Development Service and
to assign to the Service such functions as the
Secretary considers appropriate.
(b) Functions
If the Secretary establishes the Rural Busi-
ness
and
Cooperative
Development
Service
under subsection (a), the Secretary is authorized
to assign to the Service jurisdiction over the fol-
lowing:
(1) Section 313 and title V of the Rural Elec-
trification Act of 1936 (7 U.S.C. 940c and 950aa
et seq.).
(2) Subtitle G 1 of title XVI of the Food, Ag-
riculture, Conservation, and Trade Act of 1990.
(3) Sections 306(a)(1) and 310B of the Consoli-
dated Farm and Rural Development Act (7
U.S.C. 1926(a)(1) and 1932).
(4) Section 1323 of the Food Security Act of
1985 (Public Law 99–198; 7 U.S.C. 1932 note).
(5) The Act of July 2, 1926 (44 Stat. 802, chap-
ter 725; 7 U.S.C. 451 et seq.).
(Pub. L. 103–354, title II, § 234, Oct. 13, 1994, 108
Stat. 3220.)
Editorial Notes
REFERENCES IN TEXT
The Rural Electrification Act of 1936, referred to in
subsec. (b)(1), is act May 2
Source: Supplied 2024 U.S. Code historical extraction · 7 U.S.C. § 6944
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Federal law — U.S. Code and appendices · legal_authorities
Page 518
TITLE 7—AGRICULTURE
§ 901
Sec.
918b.
Acquisition of existing systems in rural com-
munities with high energy costs.
918c.
Rural and remote communities electrifica-
tion grants.
SUBCHAPTER II—RURAL TELEPHONE SERVICE
921.
Congressional declaration of policy.
921a, 921b. Repealed.
922.
Loans for telephone service.
923.
State regulation of telephone service.
924.
Definition of telephone service and rural
area.
925.
Loan feasibility.
926.
Certain rural development investments by
qualified telephone borrowers not treated
as dividends or distributions.
927.
General duties and prohibitions.
928.
Prompt processing of telephone loans.
SUBCHAPTER III—RURAL ELECTRIC AND
TELEPHONE DIRECT LOAN PROGRAMS
930.
Congressional declaration of policy.
931.
Rural Electrification and Telephone Revolv-
ing Fund.
931a.
Level of loan programs under Rural Elec-
trification and Telephone Revolving Fund.
932.
Liabilities and uses of Rural Electrification
and Telephone Revolving Fund.
933.
Moneys in the Rural Electrification and Tele-
phone Revolving Fund.
934.
Authorized financial transactions; interim
notes; purchase of obligations for resale;
sale of notes and certificates; liens.
935.
Insured loans; interest rates and lending lev-
els.
936.
Guaranteed loans; accommodation and subor-
dination of liens; interest rates; assign-
ability of guaranteed loans and related
guarantees.
936a.
Prepayment of loans.
936b.
Sale or prepayment of direct or insured loans.
936c.
Refinancing and prepayment of FFB loans.
936d.
Eligibility
of
distribution
borrowers
for
loans, loan guarantees, and lien accom-
modations.
936e.
Administrative prohibitions applicable to cer-
tain electric borrowers.
936f.
Substantially underserved trust areas.
937.
Source: Supplied 2024 U.S. Code historical extraction · 7 U.S.C. § 901
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