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Congress Attacks Rural Broadband Program
Money getting funneled to already served communities...
by Karl Bode 10:13AM Wednesday May 02 2007
Lawmakers yesterday attacked the operators of the USDA's Rural Utilities Service, a $1.2 billion program tasked with expanding broadband Internet services to rural communities. The program was taken to task for missing many unserved rural areas in the country, while "channeling hundreds of millions of dollars in subsidized loans to companies in places where service already exists."

Since 2001, more than half the funds haven't gone to rural areas. "An Internet provider in Houston got $23 million in loans to wire affluent subdivisions, including one that boasts million-dollar houses and an equestrian center," cites the Post. Add a splash of admitted FCC failure at tracking broadband penetration, and throw in a dash of partisan policy gridlock for good measure.

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