---
kind: "section"
citation: "7 C.F.R. § 1784.11"
title: "7"
number: "1784.11"
heading: "Restrictions."
url: "https://uscodex.org/cfr/7/1784.11"
---

# §1784.11. Restrictions.


Grant funds may not be used to:

- (a) **Pay any annual recurring costs that are considered to be operational expenses of a facility.**
- (b) **Pay basic/rental fee or depreciation for the use of the recipient community's equipment.**
- (c) **Purchase existing systems.**
- (d) **Pay for items not associated with Rural Utilities Service's approved scope of work.** This includes projects developed from other funding sources.
- (e) **Except as provided in this part, finance any public or commercial facility.**

## Notes

### Authority

Authority: 7 U.S.C. 1926d.

### Source

Source: 80 FR 52609, Sept. 1, 2015, unless otherwise noted.