Katherine Sims, who runs the Northeast Kingdom Collaborative, knows that broadband expansion for rural areas is not a top priority for state or federal officials. So she was glad when she heard Gov. Phil Scott say in his annual budget address Thursday that he would seek to spend $1 million in bonding available for municipal broadband in the areas that still need it.

It’s not a lot of money, but it’s a good sign, said Sims.

“It’s not enough to solve the problem for everyone, but I think it’s a step in the right direction,” said Sims, whose organization is a regional economic development group that works with the U.S. Department of Agriculture. “And hopefully our communities can use some of that funding to leverage additional federal dollars.”

On Dec. 5, the NEK collaborative gathered more than 40 people in Lyndon for a meeting on expanding broadband access to the less populated areas of the Northeast Kingdom. Sims said the three counties that make up the northeastern region of the state are home to 16 of the 20 most underserved towns in the state. A third or more of the addresses in the area can’t even purchase basic internet service, Sims said in a report on the meeting.

In his speech on Thursday, Scott said he was aware many communities are trying to expand their internet infrastructure.

“While there are grants and loans, they don’t always fit with local plans or budgets,” Scott said. He said 75 percent of Vermont has access to high-speed broadband or better.

Katherine Sims. Courtesy photo

“There is clearly work to do to make this essential tool available to more homes and businesses, and we have to acknowledge it’s not just about access – we need to increase speeds,” he said.

The Vermont Department of Public Service has some grant money available through its connectivity fund to pay service providers for “last mile” connections to areas that otherwise would not get internet service. But it’s not possible to pay for this type of expansion statewide, especially not all at once, said June Tierney, DPS commissioner. The $1 million proposed by Scott would go into this fund, which is the only source of money in the state for broadband development, according to DPS.

“Is it going to connect every last mile address? No,” said Tierney of the proposed $1 million. “But the connectivity fund was created with the idea in mind that slow and steady progress can be made with funds available. What the governor is doing is recognizing that in a situation where the funding is very low, it’s important to put other monies toward that project.”

Sims recalled hearing from some friends who have a second home in Barton about their painfully slow internet service.

“She works for HBO and they would love to move here and work remotely, but the speed was mind-numbing – so slow it was nearly impossible to use,” Sims said.

“It’s not dissimilar to the rural electrification challenges our communities faced a long time ago,” Sims said. “It’s hard and expensive to bring it to every house down the dirt road, but it’s an essential part of life these days.”

Anne Wallace Allen is VTDigger's business reporter. Anne worked for the Associated Press in Montpelier from 1994 to 2004 and most recently edited the Idaho Business Review.