The USDA Is Helping Expand Rural Broadband, But Providers Face Equipment Shortages

The U.S. Department of Agriculture is providing millions of dollars to expand broadband in rural areas, but rural internet providers are facing shortages and long waits for equipment.

The USDA is allocating $167 million in grants and loans to broadband providers in Oklahoma, Missouri, Colorado, Georgia, North Dakota, Arizona, Alaska, South Carolina, Tennessee, Texas, Utah and Virginia in the latest round of the ReConnect program. The funds are part of $550 million Congress provided for the program in 2020 and 2021.

The Senate sent a $1 trillion infrastructure bill, which includes $65 billion for broadband expansion, to the House this week.

Broadband providers already are having a hard time getting equipment. Shirley Bloomfield, the CEO of the National Rural Broadband Association, says providers says that they can’t get 30-40% of the needed equipment to install broadband. This includes fiber, which she says companies are waiting up to 71 weeks to be delivered.