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ReConnect Round 3 and Round 4 FOA Update

Presented by: Brad Clausen

Telecommunications Program

Utah Broadband Advisory Council

July 13, 2022

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Rural Development’s (RD) Mission�

USDA Rural Development

Committed to helping improve the economy and quality of life in rural America.

  • Provide loans, grants, and loan guarantees that support essential services, such as:
    • Housing
    • Economic Development
    • Health Care
    • First Responder Services and Equipment
    • Water, Electric, and Telecommunications Infrastructure

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ReConnect Program

Available Funding

Program Updates

FY2019

$550 million available

FY2020

$655 million available in FY2020 (includes CARES funding)

FY2021

$635 million available

FY2022

$2.3 billion received in appropriations

  • $1.9 billion received in the Infrastructure Investments and Jobs Act (IIJA)
  • $436.6 million received in annual appropriations

FY2019 – “Round One”

146 Applications processed: $1.4 billion

    • 76 active awards: $656 million/33 States impacted

FY2020 – “Round Two”

172 Applications submitted: $1.57 billion requested

    • 105 active awards: $852 million/37 States impacted

FY2021 – “Round Two” cont..

172 Applications submitted: $1.57 billion requested

    • 181 active awards: $1.5 billion/38 States impacted

FY2022 – “Round 3”

305 Applications submitted: $4.8 billion requested

Funding Type

Rural Focus

Funding Thresholds

Matching Requirement

Broadband Service Speeds

How to Apply

When Applications are Accepted

Loan/Grants/Loan-Grant Combinations

Areas with populations ≤ 20K

≤$50 million for loans & loan-grant combinations

≤$25 for grants

For grant-only: 25% of requested grant amount*

Broadband Service: <100/20 Mbps

Broadband Buildout Speed: ≥100/100 Mbps

Submit through the RUS online application system

Applications are not accepted at this time

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“Rural eConnectivity Program” regulation has been published. Highlights of the new regulation include:

    • Broadband speeds, funding limits, scoring criteria, and protected areas will be announced in Federal Register notices or Funding Opportunity Announcements when new application windows are opened
    • If awarded, grant funds may be used for eligible preapplication expenses in the first advance request

See 7 CFR 1740 published in the Federal Register on February 26, 2021 for the regulation text.

ReConnect Program

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ReConnect Round 3

  • FOA released 10/25/21
  • 90-day Application Window opened 11/24/21
  • Application Window closed to 03/09/22, 11:59 am EST
  • Application Summary
    • 305 ReConnect FOA 3 Application Count
    • Initial Funding Requested $4,805,103,996
      • 23 100% loan applications
      • 40 50/50 loan/grant combo
      • 134 100% grant
      • 108 SVC/ Tribal

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ReConnect Round 3

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ReConnect Round 3

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ReConnect Round 3

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ReConnect Round 3

Round 3: Sharp Escalation in Funding Requests Over Funding Available

ReConnect Rounds 1, 2, 3 Comparison

 

Applications

Requested Funding

# of Awards

$ Awarded

Request for Funds Over Funded Amount

 

 

$ Billion

 

$ Million

Percent

Round 1

146

$ 1.4

76

$ 656

213%

Round 2

172

$ 1.57

105

$ 854

184%

Round 3

305

$ 4.8

tbd

$ 1,150

418%

Round 3 Review in Process, # Awards TBD

Rd3 Available Funding

Projected

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Round 4 FOA

Outreach

    • Preparing for ReConnect Round 4 Webinars held:
      • June 2, 2022
      • June 29, 2022
    • Open hours sessions (to be held weekly)
    • Webinars (Dates to be published)

USDA Rural Development (govdelivery.com)

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Rural Utilities Service Telecommunications Key Contacts

Laurel Leverrier, Assistant Administrator, Telecommunications

laurel.leverrier@usda.gov / 202.720.9556

Assistant Administrator

Shawn Arner, Telecommunications Program

shawn.arner@usda.gov/ 202.720.9556

Peter Aimable, Portfolio Management & Risk Assessment Division

peter.aimable@usda.gov / 202.720.1025

Randall Millhiser, Loan Origination & Approval Division

randall.millhiser@usda.gov / 202.720.0800

Kenneth Kuchno, Policy & Outreach Division

kenneth.kuchno@usda.gov / 202.690.4673

Deputy Assistant Administrators

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General Field Representative Coverage - www.rd.usda.gov/contact-us/telecom-gfr

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Brad Clausen�CO/UT GFR�bradley.clausen@usda.gov�Office: 385.285.6498

Rural Development | Rural Utilities Service�Telecommunications Program

U.S. Department of Agriculture �1400 Independence Ave., S.W.

Washington, D.C. 20250�www.rd.usda.gov

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Questions?

Questions?

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End Slide

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