TPA Blasts Gibson Amendment to increase Rural Utilities Service Broadband Program by $10 million
Today, the Taxpayers Protection Alliance urged House Agriculture Committee members to vote against an amendment by Rep. Chris Gibson (R-N.Y.) which would increase funding for the Rural Utilities Service (RUS) Broadband Loan program from $25 million to $35 million, of which $10 million is for grants that DON'T have to go to unserved areas. RUS’s primary goal is to provide loans to help bring Internet broadband service to unserved rural communities, which are generally defined as communities with populations of less than 20,000. A March, 2009 report by the U.S. Department of Agriculture’s (USDA) Office of Inspector General (OIG) observed that while the 2008 Farm Bill modified the broadband program and narrowed the definition of “rural area,” the RUS continued to issue loans in exurban and suburban areas. Instead of funding deployment in unserved rural areas, the RUS had funded service in 148 communities which were within 30 miles of cities with 200,000 inhabitants, including communities near very large urban areas such as Chicago and Las Vegas.