Rural eConnectivity Pilot Program (ReConnect Program)

Source
U.S. Department of Agriculture
Deadline
04/29/2019
Award
$600,000,000.00
Website State(s)
AL, AK, AZ, AR, CA, CO, CT, DE, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, WV, WI, WY, DC
Cluster(s)
Instruction
Purpose
The Rural eConnectivity Pilot Program (ReConnect Program) provides grants, loans, and loan/grant combinations to facilitate broadband deployment in rural areas. In facilitating the expansion of broadband services and infrastructure, ReConnect will fuel long-term rural economic development and opportunities in rural America. One of the essential goals of the ReConnect Program is to expand broadband service to rural areas without sufficient broadband access, defined as 10 megabits per second (Mbps) downstream and 1 Mbps upstream. 
Eligibility
Only projects that are determined to be financially feasible and sustainable will be eligible for an award. An eligible project must demonstrate a positive ending cash balance as reflected on the cash flow statement for each year of the forecast period and demonstrate positive cash flow from operations in year five of the forecast period. Eligible projects must also meet at least two of the following requirements in year five of the forecast period: a minimum Times Interest Earned Ratio (TIER) requirement of 1.20, a minimum Debt Service Coverage Ratio (DSCR) requirement of 1.20, and a minimum Current Ratio of 1.20.