RUS Tweaks to Rural Broadband Loan, Loan Guarantee Program Take Effect
Rural Utilities Service modifications to its rural broadband loan and loan guarantee program took effect as a summary of a new rule was published in Thursday's Federal Register. RUS noted commenters said its broadband construction standard was too low and…
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should be raised to something more in line with the FCC's general broadband definition of 25/3 Mbps. The Department of Agriculture agency agreed consumers benefit from faster data speeds but said higher standards would mean more areas would be eligible for funding. "When limited funding is available, the Agency has to ensure that those funds are directed to the most unserved rural areas," said the summary, which noted RUS would evaluate the requirements every time a new application/funding notice is issued "and set the standards accordingly." To address potential overbuilding of existing systems, RUS said it developed a multilayer approach to ensure all terrestrial broadband providers are counted in areas where applications are being considered. "When an application is submitted, the proposed service territory maps will be posted online utilizing the RUS Mapping Tool and existing service providers may respond to the public notice. If three or more existing providers are identified in the area and they meet the minimum eligibility speeds, then that area is considered ineligible for funding. If no providers respond to the public notice, then the Agency will have its field staff visit the proposed service area and locate all broadband providers in the area," the summary said. It also provided new guidance on area eligibility, rate affordability, affiliated companies, broadband usage restrictions and wireless broadband.