The U.S. Department of Agriculture is accepting loan and grant applications for a $1 billion program to increase high-speed internet in rural areas.
USDA started accepting applications Sept. 6 for the ReConnect Program's loan competitions with $150 million available, grants in the amount of $700 million and loan/grant awards of $300 million, according to a Sept. 9 news release.
“Ensuring that the people of rural America are connected with reliable, high-speed internet brings new and innovative ideas to the rest of our country, and it remains a core priority for President Biden,” U.S. Agriculture Secretary Tom Vilsack said in the release. “That’s why high-speed internet is an important part of USDA Rural Development’s work with rural communities. Reliable high-speed internet opens the world’s marketplace to rural business owners. It enables them to expand their businesses and give more jobs and opportunities to people in their own community.”
USDA has made several changes to the ReConnect Program for the current round of applications, the news release said. Those include creating a new funding category, with no matching funds required, for projects where 90% of households don't have access to high-speed internet and allowing applicants to serve areas where at least half of the households lack sufficient internet access.
The funds were allocated as part of the Bipartisan Infrastructure Law, the release reported. The law offers an unprecedented $65 billion investment from the federal government to increase access to low-cost, high-speed internet in all American communities.
Matching requirements have also been waived for Alaska Native Corporations, projects proposing to serve persistent poverty counties, Tribal governments and project proposing service in socially vulnerable communities and colonias, according to the release.
All recipients under this financing cycle will be required to apply to participate in the Bipartisan Infrastructure Law's Affordable Connectivity Program to make sure rural households in need of internet connectivity can afford it, the release reported. Low-income households that meet the requirements can receive a discount of up to $30 per month on internet access, and those that reside on eligible Tribal lands can receive a discount of up to $75 per month.
