S. 3084: ReConnecting Rural America Act of 2025

The ReConnecting Rural America Act of 2025 aims to enhance broadband telecommunications access in rural areas of the United States. The bill proposes amendments to the Rural Electrification Act of 1936 to create the ReConnect program, which provides financial assistance to eligible entities for constructing, improving, or acquiring broadband infrastructure.

Purpose and Goals

The primary goal of the ReConnect program is to ensure rural areas have reliable broadband service by providing assistance in the form of grants, loans, or a combination of both. The focus will be on areas where at least 75% of households currently lack adequate broadband access.

Definitions

For the purposes of this legislation:

• Broadband Service: Refers to technologies that allow high-quality transmission of voice, data, graphics, and video.
• Rural Area: Defined as any area not classified as an urban area with a population over 20,000.

Funding and Eligibility

The Secretary of Agriculture will oversee the distribution of funds, which will be available through grants or loans to eligible entities. These entities can include state or local governments, tribes, cooperatives, and corporations. In total, $650 million is authorized for each fiscal year from 2026 to 2030 to support this initiative.

To be eligible, entities must:

• Submit an application with required information.
• Agree to complete the broadband project within five years.
• Participate in federal affordability programs for internet services.

Project Requirements

For projects to qualify for funding, they must:

• Offer broadband services with at least 100 Mbps downstream and 100 Mbps upstream capabilities.
• Be located in areas where at least 75% of households lack current access to comparable service.

Priority Considerations

The legislation specifies priority for funding will be given to projects in areas where:

• At least 90% of households lack access to sufficient broadband service.
• The population is under 10,000 and has experienced outmigration or low-income families.

Broadband Buildout Standards

The Secretary will review and adjust broadband service standards at least once every two years, ensuring that rural residents receive high-quality internet service.

Technical Assistance

The bill allows for assistance and training for eligible entities to help them prepare applications and manage projects effectively, with 3-5% of the funds allocated specifically for this support.

Funding Allocation and Terms

Funding for the ReConnect program is expected to be approximately $350 million per year for additional rural broadband loans after 2030. However, grants cannot be utilized in areas where another provider has obtained funds unless that provider does not adequately serve at least 75% of households in that area.

Timeline and Limitations

The program will remain effective until September 30, 2030, after which no new financial assistance will be granted under this section.

Relevant Companies

• AT&T (T) - May experience increased competition and investment opportunities in rural areas as broadband expansion occurs.
• Verizon (VZ) - Could face both opportunities and challenges in expanding their services following the bill’s initiatives.
• Comcast (CMCSA) - May need to adapt their services or expand offerings in newly connected rural regions.