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What does the do?

Updates published annually

The Rural Utilities Service (RUS) is a subdivision of the Department of Agriculture responsible for providing financing to improve utilities infrastructure in rural areas. It was established in 1935.

In FY 2024,

$1.5B

was spent by the Rural Utilities Service
In FY 2024,

0.7%

of Dept. of Agriculture spending was by the Rural Utilities Service

How much does the Rural Utilities Service spend?

The Rural Utilities Service spent a net total of $1.5 billion in fiscal year (FY) 2024. This was 0.7% of the $203.4 billion spent by the Department of Agriculture, which itself was 3% of all federal spending. The RUS ranked 12th among USDA subdivisions in net spending.
Net spending is the difference between agency spending and any financial accounts generating funds from the agency’s own activities, like fees or rent. When these funds offset all spending, net spending appears negative. Some agencies tend to operate with positive net spending while others will register negative net spending sometimes or often.

The Rural Utilities Service ranked 12th among Department of Agriculture divisions in net spending in 2024.

USDA net spending by division, FY 2024

Like the overall federal budget, agency spending may shift over time due to population growth, changes in policy and programs, and emerging problems to address. Adjusting for inflation, the Rural Utilities Service’s federal spending has increased from -$952.9 million in 1994 to $1.5 billion in 2024.

The Rural Utilities Service’s federal spending in FY 2024 was higher than in FY 1994.

Yearly federal net spending by RUS, adjusted for inflation (2024 dollars), FYs 1994–2024

Since 1994, Rural Utilities Service spending has increased 257.9%, while overall spending has increased 118.1%.
As a percentage of the overall federal budget, a positive number means agency net spending made up some positive share of total federal spending; a negative number means that net generated funds offset a portion of total spending. RUS spending grew less than overall federal spending since 1994, which means that its share of the federal budget decreased. In 2024, RUS accounted for 0.022% of overall federal spending.

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Major legislation, internal or global economic conditions, and acute events like the COVID-19 pandemic can affect spending year to year. For example, the federal budget fluctuated during the pandemic, rising from $5.3 trillion (in 2023 dollars) in 2019 to $7.7 trillion in 2020 and $7.8 trillion in 2021.

The Rural Utilities Service’s share of federal spending in FY 2024 was higher than in FY 1994.

Net spending by RUS as a share of federal spending, FYs 1994–2024

Most federal spending can be categorized as direct or indirect. Direct spending refers to money the federal government spends on budget items such as federal programs, employee salaries, and debt interest. Indirect spending refers to federal transfers to state and local governments.
In FY 2024, the Rural Utilities Service transferred 58.1% of its total spending to states and local governments.
The chart below outlines all net RUS spending.

How did the Rural Utilities Service spend its budget in 2024?

Federal government net spending isolated to RUS, FY 2024

Who leads the Rural Utilities Service?

RUS is led by an administrator. This individual is Secretary of Agriculture and reports to the Undersecretary for Rural Development. There is no fixed term for this position.

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Methodology

USAFacts standardizes data, in areas such as time and demographics, to make it easier to understand and compare.

Page sources

USAFacts endeavors to share the most up-to-date information available. We sourced the data on this page directly from government agencies; however, the intervals at which agencies publish updated data vary.

  • Office of Personnel Management

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  • Office of Management and Budget and US Department of the Treasury

    Budget of the US Government and Monthly Treasury Statement

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