Fifth Round of ReConnect Program Funding Makes $700 Million Available to Bring Affordable High-Speed Internet to Rural Communities
DES MOINES, Iowa, March 22, 2024 – U.S. Department of Agriculture (USDA) Rural Development State Director in Iowa Theresa Greenfield today highlighted that the Agency has begun accepting applications for its fifth round of funding for the ReConnect Program to connect millions of people in rural America to affordable high-speed internet.
“This opportunity for telecommunications companies and cooperatives to put in for USDA funding to expand broadband services could be critical to the success of small businesses owners, ag producers, students, and even patients throughout the state,” said Director Greenfield. “By empowering high-speed internet providers to cover Iowa, USDA, under the leadership of Secretary Vilsack, is making it possible for more young people to build a good life in the hometowns they love, and for more Iowans to find new opportunity in rural communities.”
To continue connecting rural families, business owners and agricultural producers to reliable, affordable high-speed internet, USDA is making several program improvements under Round 5 of ReConnect. This will further increase the availability of funding in rural areas where residents and businesses lack access to affordable, high-speed internet.
Background
A total of $700 million is available under four funding categories:
- Up to $200 million is available for loans.
- Up to $200 million is available for loan/grant combinations.
- Up to $150 million is available for grants.
- Up to $150 million is available for grants serving Alaska Native corporations, Tribal governments, colonias, persistent poverty areas and socially vulnerable communities.
USDA is making several program improvements for this round of funding. For instance:
- USDA will award priority points to applications proposing to serve areas in states with the highest concentrations of Unserved Broadband Serviceable Locations (UBSLs).
- Organizations, including Tribes, that can meet robust financial tests will have increased ability to streamline the required elements in a ReConnect application.
- At least 90% of households within a proposed service area must lack sufficient access to high-speed internet, which is now defined as fixed, terrestrial high-speed internet speeds of 25 megabits per second (Mbps) download and 3 Mbps upload.
In part, these improvements continue to ensure that the Biden Harris Administration reaches its Internet for All goals. In addition, these changes increase the availability of funding in the hardest-to-reach rural areas where residents and businesses lack access to affordable, high-speed internet.
For a full list of program improvements, and program and application requirements, visit www.usda.gov/reconnect or see page 13036 of the Feb. 21, 2024, Federal Register.
Applications must be submitted electronically through the application system at usda.gov/reconnect by 10:59 a.m. CT on May 21, 2024.
Past Recipients of ReConnect Funding in Iowa since 2021
Prairieburg Telephone Company received ReConnect funding in 2023 (read). Kalona Cooperative Telephone Company (read), Complete Communication Services Corporation in Stratford (read), and Spring Grove Communications, based in Minnesota, with customers in Iowa (read), all received funding in 2022.
Contact USDA Rural Development
USDA Rural Development has 11 offices across the state to serve the 1.3 million Iowans living in rural communities and areas. Office locations include a state office in Des Moines, along with area offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly.
To learn more about investment resources for rural areas in Iowa, call (515) 284-4663 or visit www.rd.usda.gov/ia. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.
Under the Biden-Harris Administration, Rural Development provides loans and grants to help expand economic opportunities, create jobs, and improve the quality of life for millions of Americans 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, Tribal, and high-poverty areas.
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