Cooperative Finance Corporation (CFC)

Lending services -- cfc provides loans to its members, Rural electric cooperatives and their related organizations, and generates interest income from these loans. To fund its lending services, cfc raises funds in the capital markets or private third party transactions and pays a rate of return commensurate with current economic conditions for the use of those funds. These raised funds permit cfc to meet the borrowing needs of its members so they can continue to provide electric and power services to the consumers and businesses in the Rural territories serviced by those members/borrowers. Cfc operates in such manner to obtain funding based on cost available to it and passes the costs and resulting savings along to its borrowers.

Integrity fund -- utilizing a restricted cash account, cfc manages a voluntary fund established for the purpose of assisting cooperatives in defending their Cooperative territories and protecting Cooperative principles.

Education fund -- each statewide association and eligible regional association will submit an application form describing the program for which the grant will be used. Cfc calculates the amount allotted to each applicant during the fiscal year based upon the total number of co-ops which are members of cfc and of the association, with respect to statewide associations, the number of states each applicant represents, and the number of co-ops that are 100% cfc borrowers. The senior vice president of cfc's corporate relations group approves the applications made by the associations.