Innovate+Educate Blog

New Mexico receives $74.4 million in federal broadband grants

August 17, 2010

Two entities in New Mexico rejoiced on Tuesday after receiving Broadband Recovery grants from the federal government through the American Recovery and Reinvestment Act (ARRA).

The North Central New Mexico Economic Development District received $10.6 million from the National Telecommunications and Information Administration (NTIA) to help deploy a “middle-mile” project across three counties and five tribal areas.

The middle-mile is the sector of the network that connects last-mile facilities such as telecom company local interconnection points (central offices) with the commercial Internet and with national and global advanced research networks. These projects aim to expand the availability of broadband interconnections to companies and organizations that offer service to end-users.

This award will fund the deployment of high-speed Internet infrastructure across the counties of Rio Arriba, Los Alamos, and northern Santa Fe, and to five Native American tribal communities. The project plans to directly connect 123 community anchor institutions, 19,227 homes, and 1,332 businesses to broadband service in order to support distance learning, telemedicine, and improve public safety communications.

The project also intends to promote energy efficiency by enabling “smart grid” applications for regional rural electric cooperatives. In addition, local Internet service providers will be able to utilize the new infrastructure to deploy new or improved high-speed Internet service to consumers and businesses.

“High-speed Internet access is increasingly important for communities to thrive in the 21st century economy,” said NTIA Deputy Administrator Anna M. Gomez. “This Recovery Act investment will create jobs, support advances in education and healthcare, and help lay the groundwork for sustainable economic growth.”

The second grant awarded on Tuesday was for $63.8 million from the Rural Utilities Service (RUS) of the U.S. Department of Agriculture to fund the Kit Carson Electric Cooperative Fiber-to-the-Home Project.

This project will deliver affordable broadband service to 29 communities comprised of 20,500 households, 3,600 businesses, 183 critical community institutions, two Native American Pueblos, and rural underserved areas in Taos, Colfax and Rio Arriba counties. The network spans 2,400 miles. In all, $63.8 million in Recovery Act funds will be invested in the project. An additional $600,000 will come from private investment sources.

“This project will give rural New Mexico residents access to the broadband they need to attract new businesses, jobs, health care and educational opportunities,” said RUS Administrator Jonathan Adelstein. “It will enable Kit Carson to deploy cutting-edge, smart grid technology that will help cut electric bills and permit sustainable energy development.”

The ARRA appropriated $7.2 billion and directed RUS and the NTIA to expand broadband access to unserved and underserved communities across the U.S., increase jobs, spur investments in technology and infrastructure, and provide long-term economic benefits.  The result was funding of the RUS Broadband Initiatives Program (BIP) and the NTIA Broadband Technology Opportunities Program (BTOP).

BIP makes loans and grants for broadband infrastructure projects in rural areas. BTOP provides grants to fund broadband infrastructure, public computer centers, and sustainable broadband adoption projects.  Of the $7.2 billion, $4.7 billion was allotted to the NTIA to award grants. The remaining $2.5 billion went to the U.S. Department of Agriculture to make loans and grants to companies building out broadband infrastructure in rural areas.

Tuesday’s announcements are part of the second round of Broadband Recovery awards nationwide, which will continue on a rolling basis. The NTIA and RUS must make all awards by Sept. 30. Thus far, the NTIA has announced 114 BTOP grants in communities throughout the country, and RUS already has been able to provide loans and grants to construct 260 broadband projects in 45 states and one territory.