---
kind: "section"
citation: "7 C.F.R. § 1710.301"
title: "7"
number: "1710.301"
heading: "Financial forecasts—distribution borrowers."
url: "https://uscodex.org/cfr/7/1710.301"
---

# §1710.301. Financial forecasts—distribution borrowers.

- (a) Financial forecasts prepared by distribution borrowers shall cover at least a ten-year period, unless a shorter period is authorized by other RUS regulations.
- (b) In addition to the requirements set forth in [§ 1710.300](/cfr/7/1710.300.md) of this part, financial forecasts prepared by distribution borrowers in support of a loan application shall:
  - (1) Include expenditures for any maintenance determined to be needed in the current system's operation and maintenance review and evaluation in order to comply with mortgage covenants and prudent utility practice;
  - (2) **Fully explain the basis for the power cost projections used.** Generally, the power supplier's most recent forecasted rates shall be used; and
  - (3) **Use RUS Form 325 or computer-generated equivalent reports.**

## Notes

### Authority

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

### Source

Source: 57 FR 1053, Jan. 9, 1992, unless otherwise noted.