The Rural Electrification Administration (REA) was a government agency that assisted in supplying electricity and telephone services to individuals residing in rural regions. It offered loans to companies interested in constructing power lines and telephone lines in these areas. In 1994, its duties were transferred to the Rural Utilities Service (RUS), which currently provides loans to rural utilities.
The Rural Electrification Administration (REA) was a former agency within the U.S. Department of Agriculture that offered loans to rural electric and telephone utilities with the aim of bringing electricity to underserved rural areas. In the 1930s, only 10% of rural homes had electricity, compared to nearly all urban homes. The REA played a key role in changing this by providing loans to rural electric cooperatives, enabling them to construct power lines and bring electricity to their communities. In 1994, the REA was succeeded by the Rural Utilities Service (RUS), which continues to provide loans for infrastructure projects to rural utilities. Today, the RUS supports initiatives such as the development of broadband networks in rural areas, helping to narrow the digital divide between urban and rural communities.
The REA is a former agency of the United States government that was created in 1935 to provide electricity to rural areas.
No, the REA was dissolved in 1994 and its functions were transferred to the Rural Utilities Service (RUS), which is part of the United States Department of Agriculture.
The REA was created to provide loans and other financial assistance to rural electric cooperatives and other entities to help them bring electricity to rural areas.
Rural electric cooperatives, public power districts, and other entities that served rural areas were eligible for REA assistance.
The REA primarily provided loans, but it also provided some grants and other forms of financial assistance.
The REA helped rural communities by providing access to electricity, which improved their quality of life and helped them to be more productive and competitive.
The REA’s efforts to bring electricity to rural areas had some environmental impact, particularly in terms of the construction of power lines and other infrastructure.
The REA’s efforts to bring electricity to rural areas had a significant impact on the economy, as it helped to spur economic development and create jobs in rural communities.
The REA’s legacy is that it helped to bring electricity to millions of rural Americans, which had a profound impact on their lives and on the development of rural communities.
The Rural Utilities Service (RUS), which took over many of the functions of the REA, still provides loans and other financial assistance to rural electric cooperatives and other entities to help them bring electricity to rural areas.
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This glossary post was last updated: 17th April 2024.
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