Rural Utilities Service Distance Learning and Telemedicine Rural

Rural Utilities Service Distance Learning and Telemedicine Rural Development Rural Utilities Service 1400 Independence Ave. Washington, DC 20250 www. rurdev. usda. gov/rus/ Harry M. Hutson GFR Telecommunications

2002 Distance Learning and Telemedicine Program

DLT Goals • Meet the Educational and Health Care requirements of rural America • Provide financial assistance to enhance learning and health care opportunities for rural residents • Make modern telecommunications technology affordable and available to rural residents

DLT Policies • • RUS does not mandate technology “Technology is a means, not an end” Use of existing infrastructure when appropriate Non-duplication of facilities providing adequate service • Collaboration is the key to success • Intended to work “hand-in-hand” with other Programs (E-rate, NTIA, Dept. of Ed. , etc. )

Successful Concepts for DLT projects • • • Dynamic technology versus passive technology Networking characteristics versus single entities Cost effectiveness of technology Solutions for a specific need Utilization and long-term sustainability

Eligibility for Funding • All entities must operate an educational or medical facility – Public or private, profit or non-profit – Consortium or partnership – Indian Tribe • • Project must meet minimum Rurality Requirement Project must be sustainable for at least 10 years RUS-financed Telcos are eligible for Loans Only IHS funded (medical) end user sites operated by the IHS are Ineligible.

DLT Financial Assistance • 100% Grant • Combination Loan and Grant • 100% Loan

100% Grant Financing • • Competitive $500, 000 Maximum $26. 0 million available FY 2002 (Tentative) 15% Matching Fund requirement Targets end-user equipment Submittal Oct. ? ? , 2001 Deadline March ? ? , 2002

Eligible Grant Purposes • Eligible Equipment • Instructional Programming • Technical Assistance and Instruction – limited to 10% of the Grant

Minimum Matching Fund Requirement • 15% of eligible total project costs • Cash or in-kind items for eligible Grant purposes • Federal Funds excluded in this calculation

Criteria for Scoring Grant Applications • The need for services and benefits derived from services • The comparative rurality of the project service area • The economic need of the applicant’s service area as estimated by the NSLP or other supplemental objective criteria

Criteria for Scoring Grant Applications (cont. ) • The ability of the applicant to leverage resources • Innovativeness of the project • The cost effectiveness of the system • Project participation in EZ/EC (Empowerment Zone and Enterprise Communities) and Champion Communities.

Combination and 100% Loan Financing • First come, first served • Combos - $77 million (2001 Levels) – $7 million Grant – $70 million Loan • 100% Loans – $300 million • $10 million Maximum for Loans

Combination and 100% Loan Financing Schedule • Loan purposes expand on Grant purposes • No Matching Fund requirement • Local filing and processing with RD State Offices in addition to RUS Applications can be submitted ANYTIME!

Eligible Combination Purposes • All Grant Purposes • Medical or Educational equipment and facilities • Links between teachers and students or medical professionals located in the same facility • Site development and alteration of buildings • Land, buildings, or building construction

Eligible Loan Purposes • All Combo Purposes • Acquiring telecommunications transmission facilities • Eligible recurring or operating expenses incurred during the first 2 years of operation – Excludes salaries and administrative expenses • All costs needed to provide distance learning broadcasting to rural areas

Loan Characteristics • Up to 10 years based on the security provided and economic life of the facilities financed • Interest Rates based on Cost of Money to the US Treasury – Yields on Treasury Securities at Constant Maturity – http: //www. bog. frb. fed. us/releases/H 15/update

APPLICATION SUBMITTAL • Grants (must be submitted to RUS Wash DC) – Consultation (General help only) – Conformance with the State Strategic Plan • Combination and Loans (can also be submitted to RUS-GFR or RD State Director) – Guidance and Submission

RUS LOCAL Contact Las Vegas, NV. • Harry M. Hutson, GFR – 702 -655 -5155 – hhutson@rus. usda. gov

AWARDED DLT GRANTS • • • Kayenta Unified School No. 27 AZ Borad of Regents, (Whiteriver) AZ Board of Regents (Hopi Reservation) Tohono O’odham Nation Tohono O’odham Community College