A U.S. Department of Agriculture program that will allow the federal government to partner with the private sector and rural communities to build broadband infrastructure in areas with insufficient service is accepting applications.
The ReConnect Rural Broadband Pilot Program will provide at least $600 million for rural broadband projects, through $200 million in grants, $200 million in loan and grant combinations, and $200 million in low-interest loans. Congress first appropriated money for the program last year. It is proof-of-concept, which means the USDA “can create and implement innovative options for rural connectivity by providing various financial packages to our customers,” the agency said in a news release.
The $600 million appropriation from Congress more than doubles federal funding available through USDA’s longstanding broadband programs.
Insufficient service is defined as connection speeds of less than 10 megabits per second download and 1 megabit per second upload.
“Reliable, high-speed broadband internet e-connectivity is critical for economic prosperity and quality of life in the 21st century, from education to health care to agriculture to manufacturing and beyond,” Secretary of Agriculture Sonny Perdue said in the release. “We at USDA are very excited to begin accepting applications for funds from this new and innovative program, which will bring critical infrastructure investments to homes, farms, ranches, schools and health care sites in rural America.”
USDA Rural Development State Director Timothy P. Hobbs said, “Rural Maine communities, businesses, and individuals rely on reliable, affordable, and dependable connectivity to help them thrive and succeed every day. The USDA Reconnect Program offers providers and other organizations the opportunity to expand broadband to towns and areas in rural Maine who would benefit greatly from these vital services.”
According to BroadbandNow, 97.3% of Mainers have access to internet of 10 Mbps or more, but 10% are underserved as far as quality of connection. The state’s spread-out rural population and geography makes that gap tough to fill, which can’t be covered by the private sector alone, according to the report, which advocates a public-private mix that includes state and federal money.
The application deadlines are:
May 31 for projects seeking federal funds from the grants-only package;
June 21 for projects seeking a combination of federal loans and grants; and
July 12 for projects seeking low-interest federal loans.
Future rounds of funding for ReConnect will be announced later this year.
In April 2017, the federal Interagency Task Force on Agriculture and Rural Prosperity was formed to identify legislative, regulatory and policy changes that could promote agriculture and prosperity in rural communities. The findings from the task force in January 2018 included 31 recommendations to align the federal government with state, local and tribal governments to take advantage of opportunities in rural America, the news release said. Increasing investment in rural infrastructure, including rural broadband infrastructure, is a cornerstone recommendation of the task force, the release said.