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Talbot County to return $400,000 of state broadband grant after funding recheck

3576926 · May 28, 2025
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Summary

County officials recommended returning $400,000 of a $1.1 million Maryland DHCD ‘difficult-to-serve’ grant because other funding sources are more cost effective for remaining properties; council approved the recommendation.

Talbot County officials told the council they will return $400,000 of a $1.1 million Maryland Department of Housing and Community Development (DHCD) grant aimed at difficult-to-serve broadband properties, and the council approved the recommendation.

Hodra Ben, director of economic development for Talbot County, and John Horner, president and CEO of Easton Utilities, said the county remains fully funded to complete its countywide broadband project and expects to finish by or before the end of next calendar year. They recommended returning the DHCD funds because other grants — including a USDA ReConnect offer — provide more flexible or cost-effective funding for the remaining properties.

“As an example, the USDA Reconnect program offered us an additional $1,500,000 in grant funding that we could use for all purposes associated with broadband, including drops for customers,” Horner said, explaining constraints tied to the DHCD award. Horner said the DHCD funding imposes limits on allowable dollars per property and requires higher matching shares for those properties, making it the “least cost effective” source for some locations.

Ben told the council DHCD officials suggested jurisdictions consider returning unused funds to share with other counties. “We did not want to get to the end of this project and have $400,000 in funding left and be asked why we didn’t consider returning the funds earlier,” Ben said.

Council members praised the recommendation as an example of stewardship. Council member Pete Lesher thanked the team for the work and said the county’s progress will result in new customers and constituents gaining broadband access. Council President Callahan moved to return $400,000 of the grant as recommended; the motion passed on a council vote.