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Missouri aims to move rural broadband money into construction; $1.7 billion in federal authority appears in FY26 book
Summary
The Department of Economic Development told legislators a multi‑round broadband grants program funded by federal infrastructure dollars is open for applications; DED said it expects to spend down large federal allocations but timing and reimbursements mean authority may carry across fiscal years.
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The Missouri Department of Economic Development told the House Budget Committee that federal broadband grants administered through the department will support a statewide buildout focused on unserved and underserved rural areas.
Deputy and program staff said the FY26 budget book contains appropriation authority that reflects the department’s expected federal infrastructure act funding for broadband: approximately $1.7 billion in grant authority appears in the budget book to support multi‑round awards.
Applications for the initial round are open and will close in late February; DED said it expects a second round in the summer. “That will give us a better idea of what areas are going to be served,” the director said, and the application timing will align anticipated project awards with the state’s budget calendar so the committee can see estimated cash flows and reimbursement timing.
Committee members asked whether the annual appropriation number will be drawn down in future years. DED said the department intends to spend the federal allocation but that reimbursements and project construction schedules will stretch across multiple fiscal years; it therefore includes authority in FY26 and may request remaining authority in subsequent years as federal drawdowns and invoices occur.
Ending: DED asked legislators to expect multi‑year award timing and promised a post‑application schedule showing expected award amounts, project timelines and anticipated reimbursement dates so the budget committee can reconcile appropriation authority with projected cash flow.
