§950bb–1 Expansion of Middle Mile Infrastructure Into Rural Areas

Summary

Provides grants, loans, and loan guarantees to help build, improve, or buy "middle mile" broadband that links underserved rural areas to the main internet network. Middle mile means broadband systems that do not go directly to homes or businesses, such as backhaul, interoffice transport, data centers, or special access to rural areas. To get help, an applicant must file an application that meets the Secretary’s rules, agree to finish the project within 5 years after funds are made available, and give a plan showing the project will work. The plan must show how retail providers in the service area will connect or be helped to connect affordably, that enough capacity will be leased or sold before approval, and that other Secretary requirements will be met. Assistance can only fund projects where adequate middle mile is not already available at the application date. At least 75 percent of interconnection points must serve eligible rural areas, and the Secretary must find the network can support retail broadband meeting the maximum broadband buildout requirement under section 950bb(e)(4). Grants cannot exceed 20 percent of total project cost and are limited to places where low population density or geography makes building infeasible without grants. Loans and loan guarantees get the security and terms the Secretary requires; if long leases reduce security, the Secretary can require other acceptable security. Recipients may also apply for extra funds to provide retail service. Funding of $10,000,000 is authorized for each fiscal year 2018 through 2023.