Budget Reform Bill Could Impact RUS Lending
Posted on Feb 14, 2012 in Economic Downturn, Financing, Legislative & Politics | Comments Off on Budget Reform Bill Could Impact RUS Lending
A budget reform bill passed by the U.S. House of Representatives may place unnecessary limits on Rural Utilities Service (RUS) lending to electric coops, according to the National Rural Electric Cooperative Association (NRECA). The bill, H.R. 3581, is intended to incorporate market risk into the cost of government credit programs, such as Freddie Mac and Fannie Mae, but would also sweep in lending programs like the RUS Electric Loan Program. Because coops have a track record of prompt loan repayment and because of increasing electricity costs to end users, the NRECA is urging lawmakers to revise the bill. For more details, click here.
