### Question
How is the term development cost defined?


### Answer
The term **development cost** is defined in *7 U.S.C. § 1926* as the following:

> the cost of construction of a facility and the land, easements, and rights-of-way, and water rights necessary to the construction and operation of the facility

#### Citation:
  - *7 U.S.C. § 1926*
  - Heading: **CHAPTER 50-AGRICULTURAL CREDIT > SUBCHAPTER I-REAL ESTATE LOANS**

