Stimulus funds allocated to rural areas go to some places in metro areas; definition of 'rural' at issue

"Nearly a quarter" of the $12 billion in economic-stimulus funds that has been paid out after being designated for rural areas, most of it in loan guarantees for home buyers, has gone to localities in "the nation's biggest metropolitan areas," Brad Heath reports for USA Today. "The spending reignites a longstanding debate over what 'rural' really means in an increasingly urban nation." Congress wrote definitions into the bill that allowed the aid to "small, far-flung suburbs" in metropolitan areas, Heath writes. Because metro areas are deifned by county lines and commuting patterns, much rural territory can be included. For a detailed explanation of how the federal government can define "rural," click here.

UPDATE, Dec. 30: Dawn House of The Salt Lake Tribune reports that few Utahns have taken advantage of the loan guarantees and none have applied for stimulus-funded business loans, both administered by the Department of Agriculture. "The loan programs aren't well known because the agency has no money for advertising -- and few think of the USDA as a bank," House writes. "Rural residents often find out about programs through word of mouth or when a state or federal agency refers them to the USDA Rural Development office." (Read more)