7 CFR 1730, Electric System Emergency Restoration Plan

Rural Utilities Service, USDA

§ 1730.3

(3) Periodic Instrument Check. Run the salt
solution two times and average the results.
If the value is more than ±5 percent of the
nominal value, the instrument needs further
calibration, following manufacturer’s recommendation.
(c) Waterborne preservatives. Treaters and
inspection agencies should purchase AWPA
Committee P-5 Standard Reference Materials to analyze on their instruments. Reference materials should be in the retention
range of the material being produced at the
plants. If the value is more than ±5 percent
of the nominal value, the instrument needs
further calibration. AWPA Committee P-5
Standard Reference Materials may be purchased from:
American Wood Preservers’ Association, P.O.
Box 286, Woodstock, Maryland 21163,
Phone: (410) 456–3169.
[58 FR 41406, Aug. 3, 1993, as amended at 69
FR 18803, Apr. 9, 2004]

PART 1730—ELECTRIC SYSTEM
OPERATIONS AND MAINTENANCE
Subpart A—General
Sec.
1730.1 Introduction.
1730.2 RUS policy.
1730.3 RUS addresses.
1730.4 Definitions.
1730.5–1730.19 [Reserved]

Subpart B—Operations and Maintenance
Requirements

OMB Control Number.

AUTHORITY: 7 U.S.C. 901 et seq., 1921 et seq.,
6941 et seq.
SOURCE: 63 FR 3450, Jan. 23, 1998, unless
otherwise noted.

Subpart A—General
§ 1730.1

Introduction.

(a) This part contains the policies
and procedures of the Rural Utilities
Service (RUS) related to electric borrowers’ operation and maintenance
practices and RUS’ review and evaluation of such practices.
(b) The policies and procedures included in this part apply to all electric
borrowers (both distribution borrowers
and power supply borrowers) and are
intended to clarify and implement certain provisions of the security instrument and loan contract between RUS
and electric borrowers regarding operations and maintenance. This part is
not intended to waive or supersede any
provisions of the security instrument
and loan contract between RUS and
electric borrowers.
(c) The Administrator may waive, for
good cause, on a case by case basis, certain requirements and procedures of
this part.
§ 1730.2

1730.20 General.
1730.21 Inspections and tests.
1730.22 Borrower analysis.
1730.23 Review rating summary, RUS Form
300.
1730.24 RUS review and evaluation.
1730.25 Corrective action.
1730.26 Certification.
1730.27 Vulnerability and Risk Assessment
(VRA).
1730.28 Emergency Restoration Plan (ERP).
1730.29 Grants and Grantees.
1730.30–1730.59 [Reserved]
APPENDIX A TO SUBPART B—REVIEW RATING
SUMMARY, RUS FORM 300

RUS policy.

It is RUS policy to require that all
property of a borrower be operated and
maintained properly in accordance
with the requirements of each borrower’s loan documents. It is also RUS
policy to provide financial assistance
only to borrowers whose operations
and maintenance practices and records
are satisfactory or to those who are
taking corrective actions expected to
make their operations and maintenance practices and records satisfactory to RUS.
§ 1730.3 RUS addresses.
(a) Persons wishing to obtain forms
referred to in this part should contact:
Program Support and Regulatory Analysis, Rural Utilities Service, U.S. Department of Agriculture, Stop 1522, 1400
Independence Ave., SW., Washington,
DC 20250–1522, telephone (202) 720–8674.
Borrowers or others may reproduce any
of these forms in any number required.

Subpart C—Interconnection of Distributed
Resources

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1730.100

1730.60 General.
1730.61 RUS policy.
1730.62 Definitions.
1730.63 IDR policy criteria.
1730.64 Power purchase agreements.
1730.65 Effective dates.
1730.66 Administrative waiver.
1730.67–99 [Reserved]

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§ 1730.4

7 CFR Ch. XVII (1–1–11 Edition)

(b) Documents required to be submitted to RUS under this part are to
be sent to the office of the borrower’s
assigned RUS General Field Representative (GFR) or such other office as designated by RUS.
§ 1730.4 Definitions.
Terms used in this part have the
meanings set forth in 7 CFR Part
1710.2. References to specific RUS
forms and other RUS documents, and
to specific sections or lines of such
forms and documents, shall include the
corresponding forms, documents, sections and lines in any subsequent revisions of these forms and documents. In
addition to the terms defined in 7 CFR
Part 1710.2, the term Prudent Utility
Practice has the meaning set forth in
Article 1, Section 1.01 of Appendix A to
Subpart B of 7 CFR Part 1718—Model
Form of Mortgage for Electric Distribution Borrowers, for the purposes
of this Part.
§§ 1730.5–1730.19

[Reserved]

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Subpart B—Operations and
Maintenance Requirements
§ 1730.20 General.
Each electric program distribution,
transmission and generation borrower
(as defined in § 1710.2) shall operate and
maintain its system in compliance
with prudent utility practice, in compliance with its loan documents, and in
compliance with all applicable laws,
regulations and orders, shall maintain
its systems in good repair, working
order and condition, and shall make all
needed repairs, renewals, replacements,
alterations, additions, betterments and
improvements, in accordance with applicable provisions of the borrower’s security instrument. Each borrower is responsible for on-going operations and
maintenance programs, individually or
regionally performing a system security Vulnerability and Risk Assessment (VRA), establishing and maintaining an Emergency Restoration
Plan (ERP), maintaining records of the
physical, cyber and electrical condition
and security of its electric system and
for the quality of services provided to
its customers. The borrower is also responsible for all necessary inspections

and tests of the component parts of its
system, and for maintaining records of
such inspections and tests. Each borrower shall budget sufficient resources
to operate and maintain its system and
annually exercise its ERP in accordance with the requirements of this
part. An actual manmade or natural
event on the borrowers system in
which a borrower utilizes a significant
portion of its ERP shall count as an annual exercise for that calendar year,
provided that after conclusion of the
event, the borrower verifies accuracy
of the emergency points-of-contact
(POC) and the associated contact numbers as listed in their ERP. For portions of the borrower’s system that are
not operated by the borrower, if any,
the borrower is responsible for ensuring that the operator is operating and
maintaining the system properly in accordance with the operating agreement.
[69 FR 60540, Oct. 12, 2004]

§ 1730.21 Inspections and tests.
(a) Each borrower shall conduct all
necessary inspections and tests of the
component parts of its electric system,
annually exercise its ERP, and maintain records of such inspections and
tests. For the purpose of this part,
‘‘Exercise’’ means a borrower’s Tabletop
execution of, or actual implementation
of, the ERP to verify the operability of
the ERP. Such Exercise may be performed singly by an individual borrower, or as an active participant in a
multi-party (to include utilities, government agencies and other participants or combination thereof) Tabletop
execution or actual full implementation of the ERP. For the purpose of
this part, ‘‘Tabletop’’ means a hypothetical emergency response scenario
in which participants will identify the
policy,
communication,
resources,
data, coordination, and organizational
elements associated with an emergency
response.
(b) The frequency of inspection and
testing will be determined by the borrower in conformance with applicable
laws, regulations, national standards,
and Prudent Utility Practice. The frequency of inspection and testing will
be determined giving due consideration
to the type of facilities or equipment,

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Rural Utilities Service, USDA

§ 1730.24

manufacturer’s recommendations, age,
operating environment and hazards to
which the facilities are exposed, consequences of failure, and results of previous inspections and tests. The
records of such inspections and tests
will be retained in accordance with applicable regulatory requirements and
Prudent Utility Practice. The retention period should be of a sufficient
time period to identify long-term
trends. Records must be retained at
least until the applicable inspections
or tests are repeated.
(c) Inspections of facilities must include a determination of whether the
facility complies with the National
Electrical Safety Code, National Electrical Code (as applicable), and applicable State or local regulations and
whether additional security measures
are considered necessary to reduce the
vulnerability of those facilities which,
if damaged or destroyed, would severely impact the reliability and security of the electric power grid, cause
significant risk to the safety and
health of the public and/or impact the
ability to provide service to consumers
over an extended period of time. The
electric power grid, also known as the
transmission grid, consists of a network of electrical lines and related facilities, including certain substations,
used to connect distribution facilities
to generation facilities, and includes
bulk transmission and subtransmission
facilities as defined in § 1710.2 of this
title. Any serious or life-threatening
deficiencies shall be promptly repaired,
disconnected, or isolated in accordance
with applicable codes or regulations.
Any other deficiencies found as a result
of such inspections and tests are to be
recorded and those records are to be
maintained until such deficiencies are
corrected or for the retention period
required by paragraph (b) of this section, whichever is longer.

tions and tests are also to be reviewed
and analyzed to identify any trends
which could indicate deterioration in
the physical or cyber condition or the
operational effectiveness of the system
or suggest a need for changes in security, operations or maintenance policies, practices and procedures. For portions of the borrower’s system that are
not operated by the borrower, if any,
the borrower’s written analysis would
also include a review of the operator’s
performance under the operating agreement.
(b) When a borrower’s security, operations and maintenance policies, practices, and procedures are to be reviewed and evaluated by RUS, the borrower shall:
(1) Conduct the analysis required by
paragraph (a) of this section not more
than 90 days prior to the scheduled
RUS review;
(2) Complete RUS Form 300, Review
Rating Summary, and other related
forms, prior to RUS’ review and evaluation; and
(3) Make available to RUS the borrower’s completed RUS Form 300 (including a written explanation of the
basis for each rating) and records related to the operations and maintenance of the borrower’s system.
(c) For those facilities not included
on the RUS Form 300 (e.g., generating
plants), the borrower shall prepare and
complete an appropriate supplemental
form for such facilities.

[63 FR 3450, Jan. 23, 1998, as amended at 69
FR 60540, Oct. 12, 2004]

RUS will initiate and conduct a periodic review and evaluation of the operations and maintenance practices of
each borrower for the purpose of assessing loan security and determining
borrower compliance with RUS policy
as outlined in this part. This review
will normally be done at least once
every three years. The borrower will
make available to RUS the borrower’s

§ 1730.22 Borrower analysis.
(a) Each borrower shall periodically
analyze and document its security, operations and maintenance policies,
practices, and procedures to determine
if they are appropriate and if they are
being followed. The records of inspec-

[63 FR 3450, Jan. 23, 1998, as amended at 69
FR 60541, Oct. 12, 2004]

§ 1730.23 Review rating summary, RUS
Form 300.
RUS Form 300 in Appendix A shall be
used when required by this part.
§ 1730.24

RUS review and evaluation.

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§ 1730.25

7 CFR Ch. XVII (1–1–11 Edition)

policies, procedures, and records related to the operations and maintenance of its complete system. Reports
made by other inspectors (e.g., other
Federal agencies, State inspectors,
etc.) will also be made available, as applicable. RUS will not duplicate these
other reviews but will use their reports
to supplement its own review. RUS
may inspect facilities, as well as
records, and may also observe construction and maintenance work in the
field. Key borrower personnel responsible for the facilities being inspected
are to accompany RUS during such inspections, unless otherwise determined
by RUS. RUS personnel may prepare
an independent summary of the operations and maintenance practices of
the borrower. The borrower’s management will discuss this review and evaluation with its Board of Directors.

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§ 1730.25 Corrective action.
(a) For any items on the RUS Form
300 rated unsatisfactory (i.e., 0 or 1) by
the borrower or by RUS, the borrower
shall prepare a corrective action plan
(CAP) outlining the steps (both short
term and long term) the borrower will
take to improve existing conditions
and to maintain an acceptable rating.
The CAP must include a time schedule
and cost estimate for corrective actions, and must be approved by the borrower’s Board of Directors. The CAP
must be submitted to RUS for approval
within 90 days after the completion of
RUS’ evaluation noted in § 1730.24.
(b) The borrower must periodically
report to RUS in writing progress
under the CAP. This report must be
submitted to RUS every six months
until all unsatisfactory items are corrected unless RUS prescribes a different reporting schedule.
§ 1730.26 Certification.
(a) Engineer’s certification. Where provided for in the borrower’s loan documents, RUS may require the borrower
to provide an ‘‘Engineer’s Certification’’
as to the condition of the borrower’s
system (including, but not limited to,
all mortgaged property.) Such certification shall be in form and substance
satisfactory to RUS and shall be prepared by a professional engineer satisfactory to RUS. If RUS determines

that the Engineer’s Certification discloses a need for improvements to the
condition of its system or any other
operations of the borrower, the borrower shall, upon notification by RUS,
promptly undertake to accomplish
such improvements.
(b) Emergency Restoration Plan certification. The borrower’s Manager or
Chief Executive Officer shall provide
written certification to RUS stating
that a VRA has been satisfactorily
completed that meets the criteria of
§ 1730.27 (a), (b), (c), or (d), as applicable
and § 1730.27(e)(1) through (e)(8), and
that the borrower has an ERP that
meets the criteria of § 1730.28 (a), (b),
(c), or (d), as applicable, and § 1730.28
(e), (f), and (g). The written certification shall be in letter form. Applicants for new RUS electric loans, loan
guarantees or grants shall include the
written certification in the application
package submitted to RUS. If the selfcertification of an ERP and VRA are
not received as set forth in this section, approval of the loan, loan guarantees or grants will not be considered
until the certifications are received by
RUS.
[63 FR 3450, Jan. 23, 1998, as amended at 69
FR 60541, Oct. 12, 2004]

§ 1730.27 Vulnerability and Risk Assessment (VRA).
(a) Each borrower with an approved
RUS electric program loan as of October 12, 2004 shall perform an initial
VRA of its electric system no later
than July 12, 2005. Additional or periodic VRA’s may be necessary if significant changes occur in the borrower’s
system, and records of such additional
assessments shall be maintained by the
borrower.
(b) Each applicant that has submitted an application for an RUS electric program loan or grant prior to October 12, 2004, but whose application
has not been approved by RUS by such
date, shall perform an initial VRA of
its electric system in accordance with
§ 1730.27(a).
(c) Each applicant that submits an
application for an RUS electric program loan or grant between October 12,
2004 and July 12, 2005 shall perform an
initial VRA of its electric system in accordance with § 1730.27(a).

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Rural Utilities Service, USDA

§ 1730.28

(d) Each applicant that submits an
application for an RUS electric program loan or grant on or after July 12,
2005 shall include with its application
package a letter certification that such
applicant has performed an initial VRA
of its electric system. Additional or
periodic VRA’s may be necessary if significant changes occur in the borrower’s system, and records of such additional assessments shall be maintained by the borrower.
(e) The VRA shall include identifying:
(1) Critical assets or facilities considered necessary for the reliability and
security of the electric power grid as
described in § 1730.21(c);
(2) Facilities that if damaged or destroyed would cause significant risk to
the safety and health of the public;
(3) Critical assets or infrastructure
owned or served by the borrower’s electric system that are determined, identified and communicated as elements
of national security by the consumer,
State or Federal government;
(4) External system impacts (interdependency) with loss of identified system components;
(5) Threats to facilities and assets
identified in paragraphs (e)(1), (e)(2),
(e)(3), and (e)(4) of this section;
(6) Criticality and risk level of the
borrower’s system;
(7) Critical asset components and elements unique to the RUS borrower’s
system; and
(8) Other threats, if any, identified by
an individual borrower.

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[69 FR 60541, Oct. 12, 2004]

§ 1730.28 Emergency Restoration Plan
(ERP).
(a) Each borrower with an approved
RUS electric program loan as of October 12, 2004 shall have a written ERP no
later than January 12, 2006. The ERP
should be developed by the borrower individually or in conjunction with other
electric utilities (not all having to be
RUS borrowers) through the borrower’s
unique knowledge of its system, prudent utility practices (which includes
development of an ERP) and the borrower’s completed VRA. If a joint electric utility ERP is developed, each
RUS borrower shall prepare an addendum to meet the requirements of para-

graphs (e), (f), and (g) of this section as
it relates to its system.
(b) Each applicant that has submitted an application for an RUS electric program loan or grant prior to October 12, 2004, but whose application
has not been approved by RUS by such
date, shall have a written ERP in accordance with § 1730.28(a).
(c) Each applicant that submits an
application for an RUS electric program loan or grant between October 12,
2004 and January 12, 2006, shall have a
written ERP in accordance with
§ 1730.28(a).
(d) Each applicant that submits an
application for an RUS electric program loan or grant on or after January
12, 2006 shall include with its application package a letter certification that
such applicant has a written ERP.
(e) The ERP shall include:
(1) A list of key contact emergency
telephone numbers (emergency agencies, borrower management and other
key personnel, contractors and equipment suppliers, other utilities, and
others that might need to be reached in
an emergency);
(2) A list of key utility management
and other personnel and identification
of a chain of command and delegation
of authority and responsibility during
an emergency;
(3) Procedures for recovery from loss
of power to the headquarters, key offices, and/or operation center facilities;
(4) A Business Continuity Section describing a plan to maintain or re-establish business operations following an
event which disrupts business systems
(computer, financial, and other business systems); and
(5) Other items, if any, identified by
the borrower as essential for inclusion
in the ERP.
(f) The ERP must be approved and
signed by the borrower’s Manager or
Chief Executive Officer, and approved
by the borrower’s Board of Directors.
(g) Copies of the most recent approved ERP must be made readily
available to key personnel at all times.
(h) The ERP shall be Exercised at
least annually to ensure operability
and employee familiarity. Completion
of the first exercise of the ERP must
occur on or before January 12, 2007.

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§ 1730.29

7 CFR Ch. XVII (1–1–11 Edition)

(i) If modifications are made to an
existing ERP:
(1) The modified ERP must be prepared in compliance with the provisions of paragraphs (e), (f), and (g) of
this section; and
(2) Additional Exercises may be necessary to maintain employee operability and familiarity.
(j) Each borrower shall maintain
records of such Exercises.
[69 FR 60541, Oct. 12, 2004]

§ 1730.29 Grants and Grantees.
For the purposes of this part, the
terms ‘‘borrower’’ shall include recipients of RUS electric program grants,
and ‘‘applicant’’ shall include applicants
for such grants. References to ‘‘security
documents’’ shall, with respect to recipients of RUS electric program
grants, include grant agreements and
other grant-related documents.
[69 FR 60541, Oct. 12, 2004]

§§ 1730.30–1730.59

[Reserved]

§ 1730.62

SOURCE: 74 FR 32409, July 8, 2009, unless
otherwise noted.

§ 1730.60 General.
Each electric program distribution
borrower (as defined in § 1710.2) is responsible for establishing and maintaining a written standard policy relating to the Interconnection of Distributed Resources (IDR) having an installed capacity of not more than 10
megavolt amperes (MVA) at the point
of common coupling.
§ 1730.61 RUS policy.
The Distributed Resource facility
must not cause significant degradation
of the safety, power quality, or reliability on the borrower’s electric power
system or other electric power systems
interconnected to the borrower’s electric power system. The Agency encourages borrowers to consider model policy templates developed by knowledgeable and expert institutions, such as,
but not limited to the National Association of Regulatory Utility Commissioners, the Federal Energy Regulatory

Definitions.

‘‘Distributed resources’’ as used in
this subpart means sources of electric
power that are not directly connected
to a bulk power transmission system,
having an installed capacity of not
more than 10 MVA, connected to the
borrower’s
electric
power
system
through a point of common coupling.
Distributed resources include both generators and energy storage technologies.
‘‘Responsible party’’ as used in this
subpart means the owner, operator or
any other person or entity that is accountable to the borrower under the
borrower’s interconnection policy for
Distributed Resources.
§ 1730.63

Subpart C—Interconnection of
Distributed Resources

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Commission and the National Rural
Electric Cooperative Association. The
Agency encourages all related electric
borrowers to cooperate in the development of a common Distributed Resource policy.

IDR policy criteria.

(a) General. (1) The borrower’s IDR
policy and procedures shall be readily
available to the public and include, but
not limited to, a standard application,
application process, application fees,
and agreement.
(2) All costs to be recovered from the
applicant regarding the application
process or the actual interconnection
and the process to determine the costs
are to be clearly explained to the applicant and authorized by the applicant
prior to the borrower incurring these
costs. The borrower may require separate non-refundable deposits sufficient
to insure serious intent by the applicant prior to proceeding either with
the application or actual interconnection process.
(3) IDR policies must be approved by
the borrower’s Board of Directors.
(4) The borrower may establish a new
rate classification for customers with
Distributed Resources.
(5) IDR policies must provide for reconsideration and updates every five
years or more frequently as circumstances warrant.
(b) Technical requirements. (1) IDR
policies must be consistent with prudent electric utility practice.

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Rural Utilities Service, USDA

Pt. 1730, Subpt. B, App. A

(2) IDR policies must incorporate the
Institute of Electrical and Electronic
Engineers (IEEE): IEEE 1547TM—Standard for Interconnecting Distributed Resources with Electric Power Systems,
approved June 12, 2003, and IEEE
1547.1TM—Standard Conformance Test
Procedures
for
Equipment
Interconnecting Distributed Resources with
Electric Power Systems, approved June
9, 2005. Copies of the IEEE Standards
1547TM and 1547.1TM may be obtained
from the IEEE Operations Center, 445
Hoes Lane, Piscataway, NJ 08854–4141,
telephone 1–800–678–4333 or online at
http://www.standards.ieee.org. Copies of
the material are available for inspection during normal business hours at
RUS, Room 1265, U.S. Department of
Agriculture, Washington, DC 20250.
Telephone (202) 720–3720, e-mail [email protected], or at the National Archives and Records Administration (NARA). For information on
the availability of this material at
NARA, call 202–741–6030, or go to:http://
www.archives.gov/federallregister/
codeloflfederallregulations/
ibrllocations.html.
(3) IDR policies must provide for appropriate electric power system disconnect facilities, as determined by the
borrower, which shall include a lockable disconnect and a visible open, that
are readily accessible to and operable
by authorized personnel at all times.
(4) IDR policies must provide for borrower access to the Distributed Resources facility during normal business
hours and all emergency situations.
(c) Responsible Party obligations. IDR
policies must provide for appropriate
Responsible Parties to assume the following risks and responsibilities:
(1) A Responsible Party must agree
to maintain appropriate liability insurance as outlined in the borrower’s
interconnection policy.
(2) A Responsible Party must be responsible for the Distributed Resources
compliance with all national, State,
local government requirements and
electric utility standards for the safety
of the public and personnel responsible
for utility electric power system operations, maintenance and repair.
(3) A Responsible Party must be responsible for the safe and effective op-

eration and maintenance of the facility.
(4) Only Responsible Parties may
apply for interconnection and the Responsible Party must demonstrate that
the facility will be capably developed,
constructed and operated, maintained,
and repaired.
§ 1730.64

Power purchase agreements.

Nothing in this subpart requires the
borrower to enter into purchase power
arrangements with the owner of the
Distributed Resources.
§ 1730.65

Effective dates.

(a) All electric program borrowers
with an approved electric program loan
as of July 8, 2009 shall have an IDR policy board approved and in effect no
later than July 8, 2011.
(b) All other electric program borrowers that have pending applications
or submit an application to the Agency
for financial assistance on or after July
8, 2009 shall provide a letter of certification executed by the General Manager that the borrower meets the requirements of this subpart before such
loan may be approved.
§ 1730.66

Administrative waiver.

The Administrator may waive in all
or part, for good cause, the requirements and procedures of this subpart.
§§ 1730.67–1730.99
§ 1730.100

[Reserved]

OMB Control Number.

The Information collection requirements in this part are approved by the
Office of Management and Budget and
assigned OMB control number 0572–
0141.
APPENDIX A TO SUBPART B OF PART
1730—REVIEW RATING SUMMARY,
RUS FORM 300
Borrower Designation llll
Date Prepared llll
Ratings on form are:
0: Unsatisfactory—no records
1: Unsatisfactory—corrective action needed
2: Acceptable, but should be improved—see
attached recommendations
3: Satisfactory—no additional action required at this time
N/A: Not applicable

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Pt. 1730, Subpt. B, App. A

7 CFR Ch. XVII (1–1–11 Edition)

PART I—TRANSMISSION and
DISTRIBUTION FACILITIES
1. Substations (Transmission and Distribution)
a. Safety, Clearance, Code Compliance—
Rating: llll
b. Physical Condition: Structure, Major
Equipment, Appearance—
Rating: llll
c. Inspection Records Each Substation—
Rating: llll
d. Oil Spill Prevention—Rating: llll
2. Transmission Lines
a. Right-of-Way: Clearing, Erosion, Appearance, Intrusions—
Rating: llll
b. Physical Condition: Structure, Conductor, Guying—Rating: llll
c. Inspection Program and Records—Rating: llll
3. Distribution Lines—Overhead
a. Inspection Program and Records—Rating: llll
b. Compliance with Safety Codes: Clearances—Rating: llll
Compliance with Safety Codes: Foreign
Structures—Rating: llll
Compliance with Safety Codes: Attachments—Rating: llll
c. Observed Physical Condition from Field
Checking: Right-of-Way—Rating: llll
Observed Physical Condition from Field
Checking: Other—Rating: llll
4. Distribution—Underground Cable
a. Grounding and Corrosion Control—Rating: llll
b. Surface Grading, Appearance—
Rating: llll
c. Riser Poles: Hazards, Guying, Condition—Rating: llll
5. Distribution Line Equipment: Conditions
and Records
a. Voltage Regulators—Rating: llll
b. Sectionalizing Equipment—
Rating: llll
c. Distribution Transformers—
Rating: llll
d. Pad Mounted Equipment—Safety: Locking,
Dead
Front,
Barriers—Rating:
llll
Pad
Mounted
Equipment—Appearance:
Settlement, Condition—Rating: llll
e. Kilowatt-hour and Demand Meter Reading and Testing—Rating: llll

jdjones on DSKHWCL6B1PROD with CFR

PART II—OPERATION AND
MAINTENANCE
6. Line Maintenance and Work Order Procedures
a. Work Planning and Scheduling—
Rating: llll
b. Work Backlogs: Right-of-Way Maintenance—Rating: llll
Work Backlogs: Poles—Rating: llll
Work Backlogs: Retirement of Idle Services—Rating: llll

Work Backlogs: Other—Rating: llll
7. Service Interruptions
a. Average Annual Hours/Consumer by
Cause (Complete for each of the previous
5 years)
1. Power Supplier llll
2. Major Storm llll
3. Scheduled llll
4. All Other llll
5. Total llll
Rating: llll
b. Emergency Restoration Plan—Rating:llll
8. Power Quality
General Freedom from Complaints—Rating:llll
9. Loading and Load Balance
a. Distribution Transformer Loading—Rating:llll
b. Load Control Apparatus—Rating:llll
c. Substation and Feeder Loading—Rating:llll
10. Maps and Plant Records
a. Operating Maps: Accurate and Up-toDate—Rating:llll
b. Circuit Diagrams—Rating:llll
c. Staking Sheets—Rating:llll
PART III—ENGINEERING
11. System Load Conditions and Losses
a. Annual System Loses, llll%—Rating:llll
b. Annual Load Factor, llll%—Rating:llll
c. Power Factor at Monthly Peak,
llll%—Rating:llll
d. Ratio of Individual Substation Peak kW
to kVA, llll—Rating:llll
12. Voltage Conditions
a. Voltage Surveys—Rating:llll
b. Substation Transformer Output Voltage
Spread—Rating:llll
13. Load Studies and Planning
a. Long Range Engineering Plan—Rating:llll
b.
Construction
Work
Plan—Rating:llll
c. Sectionalizing Study—Rating:llll
d. Load Data for Engineering Studies—
Rating:llll
e. Load Forecasting Data—Rating:llll
PART IV—OPERATION AND
MAINTENANCE BUDGETS
For Previous 2 Years:
Normal Operation—Actual $llll
Normal Maintenance—Actual $llll
Total—Actual $llll
For Present Year:
Normal Operation—Budget $llll
Normal Maintenance—Budget $llll
Total—Budget $llll
For Future 3 Years:
Normal Operation—Budget $llll
Normal Maintenance—Budget $llll

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Rural Utilities Service, USDA

Pt. 1735

Additional (Deferred) Maintenance—Budget
$llll
Total—Budget $llll
14. Budgeting:
Adequacy of Budgets For Needed Work—Rating:llll
15. Date Discussed with Board of Directors
llll
Remarks: llll
EXPLANATORY NOTES
Item No. llll Comments llll
Rated by llll llll Title llll Date
llll
Reviewed by llll Manager llll Date
llll
Reviewed by llll RUS GFR llll Date
llll

PART 1735—GENERAL POLICIES,
TYPES OF LOANS, LOAN REQUIREMENTS—TELECOMMUNICATIONS PROGRAM

1735.45 Extension of payments.
1735.46 Loan security documents.
1735.47 Rescissions of loans.
1735.48–1735.49 [Reserved]

Subpart E—Basic Requirements for Loan
Approval
1735.50 Administrative findings.
1735.51 Required findings.
1735.52 Findings required for particular loan
purposes.
1735.53–1735.59 [Reserved]

Subpart F—Mortgage Controls on
Acquisitions and Mergers
1735.60 Specific provisions.
1735.61 Approval criteria.
1735.62 Approval of acquisitions and mergers.
1735.63–1735.69 [Reserved]

Subpart G—Acquisitions Involving Loan
Funds

Subpart A—General
Sec.
1735.1 General statement.
1735.2 Definitions.
1735.3 Availability of forms.
1735.4–1735.9 [Reserved]

Subpart B—Loan Purposes and Basic
Policies
1735.10 General.
1735.11 Area coverage.
1735.12 Nonduplication.
1735.13 Location of facilities and service for
nonrural subscribers.
1735.14 Borrower eligibility.
1735.15 Civil rights.
1735.16 Minimum loan amount.
1735.17 Facilities financed.
1735.18 Additional equity.
1735.19 Mergers and consolidations.
1735.20 Acquisitions.
1735.21 Refinancing loans.
1735.22 Loan security.
1735.23–1735.29 [Reserved]

Subpart C—Types of Loans
1735.30 Hardship loans.
1735.31 RUS cost-of-money and RTB loans.
1735.32 Guaranteed loans.
1735.33 Variable interest rate loans.
1735.34–1735.39 [Reserved]

jdjones on DSKHWCL6B1PROD with CFR

Subpart H—Acquisitions or Mergers Not
Involving Additional Loan Funds
1735.80 Submission of data.
1735.81–1735.89 [Reserved]

Subpart I—Requirements for All
Acquisitions and Mergers
1735.90 Preliminary approvals.
1735.91 Location of facilities.
1735.92 Accounting considerations.
1735.93 Notes.
1735.94 Final approval and closing procedure.
1735.95 Unadvanced loan funds.
1735.96–1735.99 [Reserved]

Subpart J—Toll Line Acquisitions

Subpart D—Terms of Loans
1735.40
1735.41
1735.42
1735.43
1735.44

1735.70 Use of loan funds.
1735.71 Nonrural areas.
1735.72 Acquisition agreements.
1735.73 Loan design.
1735.74 Submission of data.
1735.75 Interim financing.
1735.76 Acquisition of affiliates.
1735.77 Release of loan funds, requisitions,
advances.
1735.78–1735.79 [Reserved]

1735.100
1735.101

General.
Notes.
[Reserved]
Payments on loans.
Prepayment premiums.

Use of loan funds.
With nonloan funds.

AUTHORITY: 7 U.S.C. 901 et seq., 1921 et seq.,
and 6941 et seq.

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