USDA Distance Learning and Telemedicine Grant: $27 Million for Rural Communities (FY 2026)

The USDA Rural Utilities Service (RUS) has opened the FY 2026 Distance Learning and Telemedicine (DLT) Grant Program, making approximately $27 million available to fund telecommunications equipment, broadband-enabled technology, and audio/video systems that bring distance learning and telemedicine services to rural communities.

With awards ranging from $50,000 to $750,000, the DLT program is one of the most accessible USDA grant programs for rural local governments, school districts, hospitals, and nonprofits looking to expand educational and healthcare access through technology.

Program Overview

The DLT program is authorized under 7 U.S.C. 950aaa and implemented by 7 CFR part 1734. It provides financial assistance to enable and improve distance learning and telemedicine services in rural areas by funding:

• Telecommunications-enabled information systems
• Audio and video equipment for interactive learning and medical consultations
• Related advanced technologies used by students, teachers, medical professionals, and rural residents

The goal is to increase rural access to education, training, and healthcare resources that are otherwise unavailable or limited in scope. Most DLT projects connect multiple sites across a rural service area, linking hub sites (like hospitals or universities) with end-user sites (like rural clinics, schools, or community centers).

Who Can Apply

The DLT program has broad eligibility, including:

• State and local governments (cities, counties, townships)
• Federally recognized Indian Tribes
• Special district governments
• Independent school districts
• Public and private institutions of higher education
• Nonprofit organizations (with or without 501(c)(3) status)
• For-profit businesses (including small businesses)

Key eligibility requirements include:

• Active SAM.gov registration with a valid UEI number
• No debarment, suspension, or outstanding federal debt
• Ability to contract with RUS and own/manage grant-funded equipment
• Only one application per applicant is allowed per fiscal year

Important: entities created solely for applying (like university or hospital foundations) should not be applicants unless they can own and manage the grant equipment themselves.

What the DLT Program Defines as "Rural"

To qualify, end-user sites must be located in a Rural Area, defined as any area not within:

• A city, town, or incorporated area with a population greater than 20,000
• An urbanized area contiguous to a city or town with a population greater than 50,000

Hub sites (like a university hospital) can be in non-rural areas as long as they provide DLT services to rural end-user sites. Applicants can verify rural eligibility using the DLT mapping tool on the USDA website.

Eligible Uses of Funds

DLT grants primarily fund equipment and technology. Eligible expenses include:

Distance Learning Equipment

• Interactive video conferencing systems for classrooms
• Computer hardware and peripherals for student access
• Audio/visual presentation equipment
• Instructional programming and digital content delivery systems
• Video conferencing platform licenses (new licenses only, capped at 10% of grant amount)

Telemedicine Equipment

• Telehealth carts and clinical peripherals (stethoscopes, otoscopes, dermatoscopes)
• Remote patient monitoring devices
• Video conferencing systems for clinical consultations
• Medical imaging transmission equipment
• Equipment for opioid and substance use disorder treatment via telehealth

Shared Infrastructure

• Network equipment connecting hub and end-user sites
• Data networking equipment and routers
• Technical installation and configuration services

Refer to the DLT Application Guide for the full list of eligible and ineligible items.

Matching Requirements

Applicants must provide a minimum 15% match of the grant amount requested. Key details:

• Match can be cash or in-kind contributions (new or non-depreciated items)
• Matching contributions must be used for approved grant purposes
• Applications without sufficient documentation of the 15% match will be deemed ineligible
• Vendor-donated matches that require purchasing from that same vendor are not permitted, as this violates federal procurement rules

Scoring Criteria

Applications are scored competitively on three criteria totaling up to 100 points:

1. Rurality (up to 40 points)

Based on the population size of communities where end-user sites are located, and whether sites are adjacent to larger urbanized areas. Smaller, more remote communities score higher. Applicants should use 2020 Census data to document population figures.

2. Economic Need (up to 30 points)

Based on county poverty percentages at end-user sites, using the Census Bureau's Small Area Income and Poverty Estimates (SAIPE) data. Higher poverty rates earn more points. Areas without SAIPE data default to a 30% poverty percentage.

3. Service Needs and Benefits (up to 30 points)

Measures how well the proposed project meets the need for distance learning or telemedicine services in the rural area. RUS evaluates:

• The benefits derived from the proposed services
• Local community involvement in planning and implementation
• How the project identifies and addresses local economic, education, or healthcare challenges
• Why the applicant cannot complete the project without grant funding

Application Requirements

The application must be submitted in a specific order. Key components include:

1. SF-424: Application for Federal Assistance (via Grants.gov)
2. Executive Summary: Narrative describing the project, including a publicly releasable section about the population served
3. Non-Duplication of Services: Documentation that the project does not duplicate existing services
4. Scoring Criteria Documentation: Evidence supporting rurality, economic need, and service benefit scores
5. Scope of Work: Narrative and budget documentation
6. Financial Information and Sustainability: How the project will be sustained after the grant period
7. Statement of Experience: Applicant's track record with similar projects
8. Funding Commitments: Worksheets and match documentation with authorized signatures
9. Telecommunications System Plan: Technical documentation of the proposed system
10. Consultation with USDA State Director: Documentation of consultation with the local USDA Rural Development office

The Application Guide provides detailed instructions and examples for each item. RUS strongly recommends following the guide closely.

Tips for a Strong Application

1. Target the most rural sites: With rurality worth up to 40 points (the highest-weighted criterion), prioritize end-user sites in the smallest, most remote communities. Use the DLT mapping tool to verify eligibility and population data.
2. Document economic need thoroughly: Use SAIPE county poverty data to demonstrate high economic need. Include the specific poverty percentages for each end-user site's county.
3. Show community involvement: Include letters of support from local leaders, healthcare providers, educators, and community organizations. Demonstrate that the project was developed with input from the community it serves.
4. Explain why you need the grant: Clearly articulate why the project cannot happen without DLT funding and how it addresses specific gaps in rural education or healthcare access.
5. Plan for sustainability: Describe how the project will continue operating after the three-year grant period. Include plans for ongoing technical support, equipment maintenance, and operational funding.
6. Consult with your USDA State Director: This is a required step. Contact your local USDA Rural Development office early in the process for guidance and to obtain the required consultation documentation.
7. Avoid vendor-written applications: Applications written by vendors who would supply the project equipment are ineligible. Ensure your application is prepared independently.

How to Apply

1. Register on Grants.gov and ensure your organization's SAM.gov registration is active
2. Download the application package from Grants.gov (Opportunity Number: RUS-26-01-DLT)
3. Review the DLT Application Guide on the USDA website
4. Consult with your USDA State Director at your local Rural Development office
5. Prepare all required documents following the prescribed order
6. Submit via Grants.gov by June 30, 2026

For eligibility questions, contact program staff at the USDA Rural Development contact page. For other inquiries, contact Shekinah Pepper at shekinah.pepper@usda.gov or (202) 720-0800.

Related Resources

• Rural Communities Opioid Response Program Grant
• Rural Emergency Hospital Technical Assistance Grant
• Complete Guide to Federal Grants

How Avila Can Help

The DLT application requires detailed documentation of project sites, scoring criteria evidence, a telecommunications system plan, and sustainability narratives. Avila uses AI to help you identify whether DLT is the right fit for your rural community, draft your application narratives, and organize your supporting materials. Book a demo to see how Avila can streamline your DLT application.