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Two Alabama Cooperatives Win Grant Funding to Expand Fiber Service

Alabama Governor Kay Ivey's office has unveiled a new round of broadband grants that will expand fiber access to unserved homes and businesses across 23 Alabama counties. This latest round of grants should help fund 2,347 miles of new fiber deployment, bringing broadband availability to more than 15,000 locations scattered across the Yellowhammer state.

The funding – made largely possible by 2021 American Rescue Plan Act (ARPA) money that both of the state’s Senators voted against – comes on the heels of another $150 million broadband funding round announced back in February.

“With these latest grants, Alabama takes another all-important step to supplying high-speed Internet availability to more rural Alabama communities and neighborhoods,” Ivey said in a statement. “Upon completion of these projects, more children will have better learning opportunities, more businesses will have greater opportunities to compete worldwide, and emergency response departments and medical clinics will be able to offer improved services.”

Both funding rounds were heavily dominated by large private telecoms like AT&T, Charter, and Brightspeed. But the state has also been doling out some sizable awards to local cooperatives in a bid to shore up rural fiber access.

Alabama Electric Cooperatives Power Ahead With $35 Million In New State Broadband Grants

Alabama has announced the release of $148.3 million in new broadband grants via the state’s Capital Projects Fund (CPF), made possible by the 2021 American Rescue Plan Act (ARPA). While regional monopolies like Charter nabbed the lion’s share of state funding (once again), cooperatives also secured significant funding to tackle the rural digital divide.

“High-speed internet service continues to strengthen and expand across the state, and we are taking the necessary strides on this journey to achieve full broadband access for Alabama,” Alabama Governor Kay Ivey said in a prepared statement. “This has been a monumental task, but it is one that will pay multiple dividends for our state and its residents. Today is an exciting day as we announce these latest projects.”

Cable giant Charter Communications (Spectrum) was the biggest winner of state funds, awarded 23 grants totaling $44.8 million to shore up access to 22,000 underserved homes across 25 Alabama counties. The next biggest award recipient was Mediacom, which received $22.8 million in grants to fund deployment to 8,000 homes across six Alabama counties.

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All told, 16 providers were awarded grants to expand access to 48 different Alabama counties. While regional monopolies were heavily represented in the awards, four different Alabama cooperatives received $34.8 million in grant funding to expand fiber access to more than 11,092 rural Alabama homes and businesses.