The department said it has provided about $280m to enhance rural electric infrastructure in 13 states and the funds include construction of over 1,900 miles of new or improved electric line.

Out of the total funding, Mor-Gran-Sou Electric Cooperative will receive a $15m loan to build 125 miles of distribution line and four miles of transmission line.

The funding also requires Mor-Gran-Sou to make other system improvements for Native American and other customers in North and South Dakota.

In Minnesota, the Wild Rice Electric Cooperative will receive a $12m loan to construct over 106 miles of distribution line and $680,000 fund for smart grid projects.

Agriculture Secretary Tom Vilsack said that the partnership between USDA and rural electric utilities helps to enhance service to customers and has made it easier for rural businesses to expand and create jobs.

"As part of President Obama’s plan to improve the rural economy, we will continue to fund projects that increase system reliability," Vilsack added.

"We also promote the expansion of smart grid technology which cuts peak demands and improves system reliability."