---
kind: "section"
citation: "7 U.S.C. § 1936a"
title: "7"
title_heading: "Agriculture"
number: "1936a"
heading: "Use of rural development loans and grants for other purposes"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/1936a"
units:
  - "Chapter 50 — Agricultural Credit"
  - "Subchapter I — Real Estate Loans"
---

# §1936a. Use of rural development loans and grants for other purposes


If, after making a loan or a grant described in [section 2009d(d) of this title](/usc/7/2009d.md?p=d), the [Secretary](/usc/7/499a.md?p=b-2) determines that the circumstances under which the loan or grant was made have sufficiently changed to make the project or activity for which the loan or grant was made available no longer appropriate, the [Secretary](/usc/7/499a.md?p=b-2) may allow the loan [borrower](/usc/7/1991.md?p=b-1) or grant recipient to use property (real and personal) purchased or improved with the loan or grant funds, or proceeds from the sale of property (real and personal) purchased with such funds, for another project or activity that (as determined by the [Secretary](/usc/7/499a.md?p=b-2))—

- (1) will be carried out in the same area as the original project or activity;
- (2) meets the criteria for a loan or a grant described in [section 2009d(d) of this title](/usc/7/2009d.md?p=d); and
- (3) satisfies such additional requirements as are established by the [Secretary](/usc/7/499a.md?p=b-2).

## Source credit

(Pub. L. 87–128, title III, § 310G, as added Pub. L. 107–171, title VI, § 6018, May 13, 2002, 116 Stat. 361.)