7 CFR 1779.25 - Ineligible loan purposes.
Loan funds may not be used to finance:
(a) Facilities which are not modest in size, design, and cost;
(b) Loan or grant finder's fees;
(c) The construction of any new combined storm and sanitary sewer facilities;
(d) Any portion of the cost of a facility which does not serve a rural area;
(e) That portion of project costs normally provided by a business or industrial user, such as wastewater pretreatment;
(f) Rental for the use of equipment or machinery owned by the applicant;
(g) For other purposes not directly related to operating and maintenance of the facility being installed or improved; or
(h) The payment of a judgment which would disqualify an applicant for a loan under § 1779.20(a).