7 CFR § 1737.101 - Amounts spent for preloan activities.

---
identifier: "/us/cfr/t7/s1737.101"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "7 CFR § 1737.101 - Amounts spent for preloan activities."
title_number: 7
title_name: "Agriculture"
section_number: "1737.101"
section_name: "Amounts spent for preloan activities."
chapter_name: "RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE"
part_number: "1737"
part_name: "PRE-LOAN POLICIES AND PROCEDURES COMMON TO INSURED AND GUARANTEED TELECOMMUNICATIONS LOANS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "7 U.S.C. 901  1921  and 6941"
regulatory_source: "54 FR 13356, Apr. 3, 1989, unless otherwise noted. Redesignated at 55 FR 39396, Sept. 27, 1990."
cfr_part: "1737"
---


# 1737.101 Amounts spent for preloan activities.

If the borrower desires to credit amounts spent for preloan activities against any equity or general funds required by the loan contract, it shall submit an itemized statement of such expenditures to the Area Office. These expenditures will be accounted for on RUS Form 503, “Release of Telephone Loan Funds,” if RUS determines that the amounts spent are reasonable based on normal industry practice and that the procedures set forth in 7 CFR part 1737, subpart D, have been complied with. Statements of preloan expenditures will be verified as to accuracy by loan fund audits.

(Approved by the Office of Management and Budget under control number 0572-0085)