Telecom
Feds Help Co-op Broadband Efforts
Twelve electric co-ops from around the country have received some $280 million in federal grants and loans to assist in their efforts to upgrade communications infrastructure in rural areas.
Co-ops’ investment in broadband will improve communications for members in rural areas. (Photo By: iStockphoto)
Two tribal utility authorities belonging to NRECA also received funding, which was awarded over a period of several months.
“Rural electric cooperatives understand that a robust communications infrastructure is vital to the sustainability of rural communities in 21st-century America,” said NRECA CEO Glenn English.
“With a substantial stake, both literal and figurative, in their communities, rural co-ops are eager to partner in building the middle and last mile of the communications highway,” English added.
The co-ops’ funding was among $7.2 billion in stimulus-based assistance for broadband grant and loan programs, $2.5 billion from the Rural Utilities Service and $4.7 billion from the National Telecommunications and Information Association.
Federal grant and loan funding was extended to:
- Arrowhead Electric Cooperative, Lutsen, Minn., $16,137,484.
- Consolidated Electric Cooperative, Mount Gilead, Ohio, as part of the Central Ohio Rural Fiber Optic Network, $2,433,912.
- French Broad Electric Membership Corp., Marshall, N.C., $1,775,692.
- Kit Carson Electric Cooperative, Taos, N.M., $63,768,671.
- Lumbee River Electric Membership Corp., Red Springs, N.C., $19,947,739.
- Navajo Tribal Utility Authority, Fort Defiance, Ariz., $32,190,067.
- North Alabama Electric Cooperative, Stevenson, Ala., $19,100,909.
- North Georgia Network Cooperative, Inc., partly owned by Habersham Electric Membership Corp., Clarkesville, Ga., and Blue Ridge Mountain EMC, Young Harris, Ga., $33,500,000.
- Plumas-Sierra Rural Electric Cooperative, Portola, Calif., $13,770,240.
- Ralls County Electric Cooperative, New London, Mo., $19,097,817.
- Sho-Me Technologies LLC, Marshfield, Mo., $26,600,000.
- Tohono O’Odham Utility Authority, Sells, Ariz., $17,4382,800.
- United Electric Cooperative, Inc., Maryville, Mo., $21,213,106.
“Historically, broadband has not been deployed in low-population, low-income rural areas because the return on investment is not sufficient to maintain the service, much less repay loans made available under traditional federal or state programs,” said David Predmore, NRECA corporate counsel.
“These awards will help assure that these rural broadband projects generate sufficient revenue, fostering sustainable business and economic development,” he noted.