---
kind: "section"
citation: "43 C.F.R. § 2866.14"
title: "43"
number: "2866.14"
heading: "Under what circumstances am I exempt from paying rent?"
url: "https://uscodex.org/cfr/43/2866.14"
---

# §2866.14. Under what circumstances am I exempt from paying rent?

- (a) **You are exempt from rent under this part if—**
  - (1) You are a Federal, State, or local governmental entity (except as provided by [paragraph (b)](#b) of this section);
  - (2) You have been granted an exemption under a statute providing for such; or
  - (3) Your facilities were financed in whole or in part, or are eligible for financing, under the Rural Electrification Act of 1936, as amended (REA) ([7 U.S.C. 901](/usc/7/901.md) et seq.) or are extensions of such facilities. However, when a holder who is exempt from rent under REA adds non-eligible tenant uses on the authorization, the holder will become subject to rent in accordance with [§§ 2866.30 through 2866.44](/cfr/43/2866.30..2866.44.md).
- (b) **Exceptions—**
  - (1) **The exemptions in this section do not apply if you are in trespass.**
  - (2) If you are a governmental entity, you are not exempt from rent when:
    - (i) The facility, system, space, or any part of the authorization is being used for commercial purposes;
    - (ii) You are a municipal utility or cooperative whose principal source of revenue is customer charges; or
    - (iii) You charge the United States rent for occupancy within or on your facility beyond standard operation and maintenance fees.

## Notes

### Authority

Authority: 43 U.S.C. 1733, 1740, 1763 and 1764.

### Source

Source: 89 FR 25965, Apr. 12, 2024, unless otherwise noted.
