USDA Invests $19 Million in Broadband for Rural Texas Communities |
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ELMENDORF, Texas, Feb. 28, 2020 – Today, Agriculture Secretary Sonny Perdue announced a $19 million investment in three, high-speed broadband infrastructure projects that will create or improve rural e-Connectivity for almost 7,000 rural households, 46 farms, 32 pre-subscribed businesses, 19 critical community facilities and 15 educational facilities in rural Texas. This is one of many funding announcements in the first round of the United States Department of Agriculture’s (USDA) ReConnect Pilot Program investments.
“Our core mission at USDA is to increase rural prosperity through boosting economic opportunity in rural America,” Perdue said. “We know that rural communities need robust, modern infrastructure to thrive, and that includes having access to broadband e-Connectivity. Under the leadership of President Trump, USDA is proud to partner with rural communities to deploy this critical infrastructure, because we know when rural America thrives, all of America thrives.”
Senator John Cornyn added, “Without access to broadband, simple tasks like checking the weather forecast or paying a bill become difficult, and more involved tasks like applying for government benefits or an out-of-town job became near inaccessible. I was proud to support this funding in the Senate, and I thank the Trump Administration for prioritizing infrastructure in rural Texas communities.”
Border to Border Communications will use a $5 million ReConnect grant and a $5 million ReConnect loan to deploy a Fiber-to-the-Premises (FTTP) network in rural Texas. The funded service area includes 5,153 households, 20 farms, 15 pre-subscribed businesses, 15 educational facilities, and 10 critical community facilities spread over 938 square miles in Webb and Zapata counties.
Mid-South Synergy will use a $6 million ReConnect grant to deploy a Fiber-to-the-Premises (FTTP) broadband network in rural Texas. This network will be capable of symmetrical transmission speeds of at least 100 megabits per second (Mbps). The service area includes 786 households, 26 farms, 17 pre-subscribed businesses and seven critical community facilities spread over 385 square miles in Brazos, Grimes, Madison and Walker counties.
Peoples Telephone Cooperative Inc. will use a $3 million ReConnect grant to deploy a Fiber-to-the-Premises (FTTP) broadband network in rural areas of Texas. The funded service area includes 914 households and two critical community facilities spread over 28 square miles in Titus, Camp and Wood counties.
Background:
In March 2018, Congress provided $600 million to USDA to expand broadband infrastructure and services in rural America. On Dec. 13, 2018, Secretary Perdue announced the rules of the program, called “ReConnect,” including how the loans and grants will be awarded to help build broadband infrastructure in rural America. USDA received 146 applications between May 31, 2019, and July 12, 2019, requesting $1.4 billion in funding across all three ReConnect Program funding products: 100 percent loan, 100 percent grant, and loan-grant combinations. USDA is reviewing applications and announcing approved projects on a rolling basis. Additional investments in all three categories will be made in the coming weeks.
These grants, loans and combination funds enable the federal government to partner with the private sector and rural communities to build modern broadband infrastructure in areas with insufficient internet service. Insufficient service is defined as connection speeds of less than 10 megabits per second (Mbps) download and 1 Mbps upload.
In December 2019, Agriculture Secretary Perdue announced USDA will be making available an additional $550 million in ReConnect funding in 2020. USDA will make available up to $200 million for grants, up to $200 million for 50/50 grant/loan combinations, and up to $200 million for low-interest loans. The application window for this round of funding opened on Jan. 31, 2020. Applications for all funding products will be accepted in the same application window, which will close on March 16, 2020.
A full description of 2020 ReConnect Pilot Program funding is available on page 67913 of the Dec. 12, 2019, Federal Register (PDF, 336 KB). To learn more about eligibility, technical assistance and recent announcements, visit www.usda.gov/reconnect.
USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural areas. For more information, visit www.rd.usda.gov.
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