USDA Announces Funding Opportunities under Community Connect Grant Program; Investments Designed to Benefit Economic Growth and Education in Rural Areas

The provision of broadband transmission service is vital to the economic development, education, health, and safety of rural Americans. The purpose of the Community Connect Grant program http://www.usda.gov/rus/telecom/initiatives/index_initiatives.htm#broadband is to provide financial assistance in the form of grants to eligible applicants that will provide currently unserved areas, on a "community-oriented connectivity" basis, with broadband transmission service that fosters economic growth and delivers enhanced educational, health care, and public safety services.

The Department of Agriculture’s Rural Utilities Service has announced the opening of the "application window" for Community Connect Grant Program FY 2006 funding. A total of $8.9 million has been identified available for grants. USDA has established a minimum grant amount of $50,000 for FY 2006; there is no maximum grant amount for FY 2006.

Eligible entities include:

* incorporated organization,

* Indian tribe or tribal organization

* a state or local unit of government,

* a cooperative, private corporation or limited liability company organized on a for-profit or not-for-profit basis.

To be eligible for a grant, the project must serve a rural area where broadband transmission service does not currently exist (to be verified by USDA Rural Development prior to the award of the grant). The project must also serve one and only one Community recognized in the latest U.S. Census, which shall encompass any community added through the Count Question Resolution Process, as well as any Census Designated Place.

Grant funds may be used to finance:

* the construction, acquisition, or leasing of facilities, including spectrum, to deploy broadband transmission service to all participating critical community facilities and all required facilities needed to offer such service to residential and business customers located within the proposed Service Area;

* the improvement, expansion, construction, or acquisition of a Community Center that furnishes free access to broadband Internet service, provided that the Community Center is open and accessible to area residents before, during, and after normal working hours and on Saturday or Sunday. Grant funds provided for such costs shall not exceed the greater of five percent (5%) of the grant amount requested or $100,000;

* end-user equipment needed to carry out the project;

* Operating expenses incurred in providing broadband transmission service to critical community facilities for the first 2 years of operation and in providing training and instruction.

* The purchase of land, buildings, or building construction needed to carry out the project.

USDA notes these application submission requirements:

* Paper copies must carry proof of shipping no later than May 15, 2006 to be eligible for FY 2006 grant funding. Late applications are not eligible for FY 2006 grant funding.

* Electronic copies must be received by May 15, 2006 to be eligible for FY 2006 grant funding. Late applications are not eligible for FY 2006 grant funding.

The full application content requirements may be found in the March 14 FEDERAL REGISTER http://a257.g.akamaitech.net/7/257/2422/01jan20061800/edocket.access.gpo.gov/2006/E6-3575.htm . The informational flyer and application guide will be available at the USDA Community Connect Web site http://www.usda.gov/rus/telecom/commconnect.htm .

(Many thanks to Chris Gibbons and Kevin Thompson for passing this opportunity along. Russ)