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Governor Walz, Lieutenant Governor Flanagan Announce $67 Million in State Grants to Expand Broadband Access

6/28/2023 9:33:38 AM

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[ST. PAUL, MN] – Governor Tim Walz and Lieutenant Governor Peggy Flanagan today announced $67 million in state grants for internet providers to expand broadband coverage to tens of thousands of Minnesotans, furthering the administration's commitment to providing high-speed broadband for all Minnesotans. The announcement comes days after the federal government announced a $652 million investment in Minnesota's broadband infrastructure.

"There is extraordinary momentum behind our work to connect more Minnesotans to broadband," said Governor Tim Walz. "Broadband is an essential component of our state's infrastructure and it's a lifeline for Minnesota students, workers, small businesses, families, and communities. We're making big investments in the future of our economy and workforce, while ensuring Minnesotans stay connected to the people who matter most."

"Every Minnesotan deserves reliable and affordable high-speed internet," said Lieutenant Governor Flanagan. "It's how we run our businesses, do our homework, and connect to our loved ones. I'm so proud of the incredible investments we're making so that whether you live in Moorhead or St. Paul, Thief River Falls or Owatonna, every Minnesotan will have access to this basic necessity."

In total, 30 broadband expansion projects around Minnesota will receive grants from two broadband programs administered by the Department of Employment and Economic Development's (DEED) Office of Broadband Development. Providers estimate the funding will extend new high-speed broadband access to more than 13,100 Minnesota homes and business in 26 counties. Grant awards by project can be found below and on DEED's website.

"Broadband is crucial for Minnesota's economy. It provides unrivaled flexibility for workers and businesses and helps develop local economies across the state," said DEED Commissioner Matt Varilek. "We're proud to award these grants to broadband providers who will help us foster more connected and equitable communities everywhere."

Broadband expansion is a major priority for the Walz-Flanagan Administration and DEED. The state is pursuing a 2026 goal that every Minnesota home and business has access to at least one broadband provider with download speeds of at least 100 megabits per second (Mbps) and upload speeds of at least 20 Mbps.

Today's announcement includes investments from two DEED programs:

  • The Border-to-Border Broadband Development Grant Program, through which grantees can use the funds to reimburse up to half the eligible cost of deploying broadband infrastructure, with funding for a single project capped at $5 million. Projects must offer speeds of at least 100 Mbps download and 20 Mbps upload.
  • The Low-Population Density Program, which funds up to 75% of eligible project costs to help providers build out broadband infrastructure in some of the more remote or costly-to-serve areas of the state.

"We're grateful for the partnership of so many broadband providers and we're excited to work with them to connect more Minnesotans to high-speed broadband," said Bree Maki, Executive Director of the DEED Office of Broadband Development.

More funding coming soon

The grants announced today are part of a concerted strategy to expand broadband statewide.

This is the eighth time DEED has provided funding through the Border-to-Border program since 2014. More than 103,000 homes and businesses have received high-speed broadband access through nearly $296 million in previous awards to over 270 grantees.

In May, Governor Walz signed legislation providing $100 million to the program next biennium. DEED will open its next Border-to-Border grant round this fall.

DEED is also administering the Line Extension Program, which connects residents and businesses that lack broadband to local service providers and then helps pay to extend broadband to those locations. Residents and businesses who believe they are unserved can learn more and apply online or by calling 651-259-7610 or emailing DEED.broadband@state.mn.us. To date, nearly 2,500 homes and businesses have registered for the program.

List of Border-to-Border Grantees by County

County

Applicant Name

Grant

Aitkin SCI $794,822
Anoka Comcast-Xfinity $2,549,413
Benton Benton Cooperative Telephone $2,988,275
Carlton SCI $1,271,835
Clay 702 Communications $2,624,830
Douglas Gardonville Cooperative Telephone $857,013
Douglas Gardonville Cooperative Telephone $665,950
Fillmore Harmony Telephone Company $2,991,038
Fillmore Harmony Telephone Company $1,044,436
Hennepin Midco $1,519,500
Isanti, Chisago East Cental Energy $4,900,000
Jackson Federated Rural Electric Assoc. $7,068,222
Kandiyohi Meeker Coop Light & Power $533,959
Kandiyohi Meeker Coop Light & Power $1,428,066
Kittson, Marshall Wikstrom Telephone Co. $2,531,488
Koochiching Koochiching County $77,300
Marshal, Polk Garden Valley Technologies $1,488,322
Olmsted, Dodge KMTelecom $1,931,046
Otter Tail Otter Tail Telcom $2,331,792
Sherburne Arvig (Tekstar) $182,576
St. Louis Paul Bunyan Rural Telephone Coop $5,569,281
Stearns Runestone Telephone Assoc. $4,800,000
Washington Comcast-Xfinity $2,908,829
Washington Midco $1,580,300
Wilkin Red River Rural Telephone Assoc. $2,227,363
Wilkin Red River Rural Telephone Assoc. $2,035,500
Wright Arvig (Tekstar) $879,747
Wright Frontier $829,800
Wright Meeker Coop Light & Power $1,270,132
Yellow Medicine Interstate Telecommunications Company $4,988,174$
TOTAL:   $66,869,009

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