Since 2003 over $20 billion in government funding has gone toward the construction, improvement and acquisition of facilities and equipment for the provision of telecommunications and broadband service in eligible rural communities through programs administered by the USDA’s Rural Utilities Development Program (RUS or RDUP).

Borrowers who are awarded these funds are required to shop off of the List of Materials Acceptable for Use on Telecommunications Systems of RUS Borrowers RUS Information Publication (IP) Bulletin 345-2 (List of Materials or LOM), with limited exceptions. To get on the LOM you must prepare and file an application with RDUP/RUS in accordance with their rules and regulations.

RDUP has a tremendous amount of interest in loan security and protection of the Government's interest over the long term life of a loan, which is generally secured by a first mortgage security instrument and amortized over a period of up to 35 years. Therefore, the Agency necessarily has a strong interest in the business, financial, and operating aspects of its borrowers.

Consequently, RUS Bulletin 345-2 establishes Agency policy that materials and equipment purchased by RUS telecommunications borrowers or accepted as contractor-furnished material must conform to RUS standards and specifications where they have been established and, if included in RUS IP 344-2 List of Materials Acceptable for Use on Telecommunications Systems of RUS Borrowers, must be selected from that list or must have received technical acceptance from RUS. Such equipment is referred to as Accepted, or Technically Accepted.

Applications for equipment acceptance are reviewed by RUS "Committee A" at meetings scheduled throughout the year. Manufacturers are notified of their acceptance or rejection in writing and the official List of Materials is updated within weeks with the product additions.

The application process can take from six weeks to over six months depending on the state of the business and marketing plan, development of the hardware including testing, field trials and the equipment's designated country of origin (regarding Buy American compliance status).

Companies retain our firm to streamline and expedite the application process. Our experience, know-how and close working relationship with RUS saves companies time and money while increasing their chance of success. We have managed through some very complicated applications over our years in the business and learned a number of tricks and workarounds should they ever be needed.

If you do not seek Acceptance, RUS has the right to deny any program funding for the purchase of the equipment. There are government checkpoints throughout any build out of taxpayer funded broadband systems. Being included in the plans and specs phase of an application is no guarantee that when the funds are drawn down for the purchase of your equipment it will be approved. Mitigate your risk and file an application for Acceptance. We can help you with our turn-key service.

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