Kansas doles out $16M for rural broadband in first of 3 funding rounds

The state of Kansas is putting its Capital Projects Fund dollars to work, handing nearly $16 million to seven internet service providers to expand rural broadband across the state. And there’s more money on the way.

Craw-Kan Telephone Cooperative took home the largest grant, receiving $4.58 million to connect 385 locations in two counties. S&A Communications wasn’t far behind, bagging $3.75 million to reach 421 locations in one county. Totah Communications got $3.24 million to reach 500 locations across two counties, while MT Networks received $2.58 million to serve 326 locations in one county. Other winners each received under $1 million and included Giant Communications, Nex-Tech and Pioneer Communications.

All told, the state’s Broadband Grant Program awarded $15.7 million to providers to connect 1,900 locations. Including partial matching funds from grant winners, the state expects a total broadband investment of $19.7 million.

The grant program is being fueled by Kansas’ Capital Projects Fund allotment. The Capital Projects Fund is a $10 billion program which was created as part of the American Rescue Plan Act to help states pay for critical infrastructure projects. Kansas was allotted $143.4 million from the fund and received an initial installment of $83.5 million in July. This week’s award round is the first of three it has planned to dole out the money.

“This is just the beginning of the work we’ll complete through the Capital Projects Fund,” Jade Piros de Carvalho, Director of Kansas’ Office of Broadband Development, said in a statement. “Providers across the state have stepped up to partner with our office and the communities they serve to meet the needs of residents and businesses.”

The application window for the Broadband Grant Program was open over the summer and closed at the end of August. State officials said they received a total of 141 applications seeking $693 million in support, meaning the program is nearly five times oversubscribed.

Thus far, the U.S. Treasury Department has distributed nearly $1.8 billion from the $10 billion Capital Projects Fund for state level broadband programs. States which have already received funds include Arkansas, Connecticut, Indiana, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nebraska, New Hampshire, North Dakota, Virginia, West Virginia and Wisconsin.