---
kind: "section"
citation: "47 C.F.R. § 54.604"
title: "47"
number: "54.604"
heading: "Determining the urban rate."
url: "https://uscodex.org/cfr/47/54.604"
---

# §54.604. Determining the urban rate.

- (a) **Effective funding year 2024—**
  - (1) If a rural health care provider requests support for an eligible service to be funded from the Telecommunications Program that is to be provided over a distance that is less than or equal to the “standard urban distance,” as defined in [paragraph (a)(3)](#a-3) of this section, for the state in which it is located, the “urban rate” for that service shall be a rate no higher than the highest tariffed or publicly-available rate charged to a commercial customer for a functionally similar service in any city with a population of 50,000 or more in that state, calculated as if it were provided between two points within the city.
  - (2) If a rural health care provider requests an eligible service to be provided over a distance that is greater than the “standard urban distance,” as defined in [paragraph (a)(3)](#a-3) of this section, for the state in which it is located, the urban rate for that service shall be a rate no higher than the highest tariffed or publicly-available rate charged to a commercial customer for a functionally similar service provided over the standard urban distance in any city with a population of 50,000 or more in that state, calculated as if the service were provided between two points within the city.
  - (3) The “standard urban distance” for a state is the average of the longest diameters of all cities with a population of 50,000 or more within the state.
  - (4) The Administrator shall calculate the “standard urban distance” and shall post the “standard urban distance” and the maximum supported distance for each state on its website.
- (b) As of funding year 2025, if a rural health care provider requests support for an eligible service to be funded from the Telecommunications Program the “urban rate” for that service shall be a rate no higher than the highest tariffed or publicly-available rate charged to a commercial customer for a functionally similar service in any city with a population of 50,000 or more in that state, calculated as if it were provided between two points within the city.

## Notes

### Amendments

[89 FR 1845, Jan. 11, 2024]

### Source

Source: 84 FR 54979, Oct. 11, 2019, unless otherwise noted.

### Authority

Authority: 47 U.S.C. 151, 154(i), 155, 201, 205, 214, 219, 220, 229, 254, 303(r), 403, 1004, 1302, 1601-1609, and 1752, unless otherwise noted.

### Source

Source: 62 FR 32948, June 17, 1997, unless otherwise noted.

### Amendments

[89 FR 1845, Jan. 11, 2024]