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Newspaper
Comanche Chief
Location
Comanche, Texas, United States of America
Date
Jul 28, 1955
Page
6
The REA began on May 21 1935 to bring farm electricity via long term, low interest loans. Farmers formed nonprofits with $5 memberships while REA supplied 100 percent of capital, despite inexperience and doubts about profitability. Builders faced organization, legislation, and finance hurdles before lines reached farms.
Congressman Charles Melvin Price lauds the REA repayment record before the House on May 11 describing rural electrification as a remarkable nationwide achievement with high repayment reliability and substantial tax contributions from borrowers.
The organization faced a decision on the geographic area it will cover and estimated its potential revenue. It weighed regional demand, competitive landscape, and cost structure to project future earnings and service scope.
A historical overview describes REA efforts to loan funds and provide technical assistance for rural electrification. It covers loan practices starting in 1932 1935 the evolving role of field representatives and the shift from mere lending to boosting management and cooperation among rural utilities.
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