House Small Business Examines Broadband Barriers

House Small Business Rural Development Subcommittee members eyed connectivity hurdles that small businesses face, during a Wednesday hearing. “Factors like low population densities, rugged terrain and fewer subscribers to spread deployment costs among have contributed to a lack of investment in broadband networks by private companies,” said Chairman Jared Golden, D-Maine. Ranking member Jim Hagedorn, R-Minn., backed Agriculture Committee GOP leaders’ Broadband for Rural America Act (HR-3369) and criticized President Joe Biden’s broadband infrastructure spending proposal (see 2103310064). HR-3369 would codify USDA’s ReConnect broadband program and set annual funding for its rural connectivity programs at $3.7 billion (see 2105210059). The administration’s plan “to prioritize investments in municipal broadband is concerning,” Hagedorn said. “I worry that, given over one-third of our country has" municipal broadband network "restrictions in place, this will lead to implementation issues and put rural America further behind.” If “broadband infrastructure is going to achieve its promise, we need to make sure federal funds flow to the solutions these communities want, including making it much easier to fund a community-owned network,” said ConnectMaine Authority Executive Director Peggy Schaffer. It’s “critical that the vast majority of future funding should go toward providing a minimum of” 100 Mbps symmetrical “and networks capable of scaling to a gigabit or more,” said Center on Rural Innovation Executive Director Matt Dunne. “To do otherwise is only setting ourselves up for a rural-urban divide five years from now even after a massive infrastructure investment.”