Federal funding for infrastructure improvements in colonias, predominately rural, Hispanic communities near the U.S.-Mexico border, including 150 in New Mexico, is getting a second look from the U.S. Government Accountability Office.

Jill Naamane, financial markets and community investment director for the GAO, said there are grant and loan programs targeting colonias to improve water and wastewater systems and housing but the U.S. Department of Agriculture does not have accurate data on the extent of program benefits.

She pointed out colonias have high poverty rates.

"Many of them started as settlements that were associated with military forts or missionary activities, so they kind of grew up outside of cities without being connected to the same infrastructure," Naamane explained.

The GAO analyzed program documentation and funding data from 2020 to 2023, conducted local interviews and made physical observations during 24 site visits in the four U.S.-Mexico border states. They recommended Congress consider revising the population requirement for colonias to continue receiving block-grant funding given population growth in the Southwest.

Naamane acknowledged many colonias face challenges in obtaining and using federal assistance because local governments do not have the staff to apply for federal funds. Without some administrative revisions, she projects nearly 60% of colonias will likely become ineligible in the future for certain targeted financial assistance.

"They're typically areas that have poor water and sewage infrastructure, substandard housing and a number of other economic and environmental challenges," Naamane outlined. "There's a continuing need for assistance in these communities."

In southern New Mexico, the designated colonia of Anthony, home to about 10,000 people, is refurbishing and expanding its wastewater treatment plant with grants and loans from the USDA. The new plant started treating wastewater this month, with the entire project scheduled for completion in November.


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A new program aims to ensure rural Mainers can take full advantage of expanding high-speed internet service.

Grant applications open this week for nonprofits, tribal entities and others to train underserved communities in technical skills and online safety.

Maggie Drummond-Bahl, senior director of digital equity and partnerships for the Maine Connectivity Authority, said the funds are directed at those most affected by the so-called 'digital divide,' including older Mainers, veterans and people with disabilities.

"We know the needs are pretty significant," Drummond-Bahl acknowledged. "This is really a down payment in starting to address some of those needs."

Drummond-Bahl pointed out the goal is to fund the agencies and organizations already connected and working to improve their communities. Maine has been awarded nearly $6 million to implement its Digital Equity Plan, which includes expanding broadband service and ensuring its affordability. Roughly 5% of rural areas in Maine still struggle with slow or unreliable internet.

The Maine Connectivity Authority aims to secure at least 25,000 donated devices for refurbishment, including laptops and tablets. Part of the new funding will be used to promote a statewide campaign to encourage businesses and organizations to contribute. Drummond-Bahl noted previous surveys revealed many Mainers are not confident in their digital skills but can learn to better use these devices in a familiar setting.

"If you're an older adult and you are already connected to your local Area Agency on Aging or another partner like that, it is a real benefit to have a digital skills training with an organization you're comfortable and already connected to," Drummond-Bahl emphasized.

Drummond-Bahl explained the campaign to recycle and reuse devices feeds into the state's environmental and climate goals to reduce waste and greenhouse gas emissions. She added funds will also help develop a new online tool to help people locate community resources and the digital skills training they need.


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By the end of June, students in seven very remote rural New Mexico school districts will get access to high-speed home internet through a state grant program.

The "Student Connect" program was established by the legislature in 2021.

Mike Curtis, public relations coordinator for New Mexico's Office of Broadband Access and Expansion, said the disparity in students with and without internet to complete homework was a source of frustration during the pandemic.

"A lot of kids who live in rural areas, while they get internet at schools, once they get home or in other parts of their communities, there's no internet," Curtis explained.

Curtis pointed out statewide, $70 million has been designated to expand broadband in unserved and underserved areas and all projects are scheduled for completion by June 30.

Curtis noted $56 million has been awarded through the Connect New Mexico Fund so far and the recent award is from a subprogram created specifically to help students. He emphasized the new broadband infrastructure will connect more than 4,600 homes, businesses, farms and other locations.

"It's an assistance program. It's not a merit program, so they're not competing with any other entities," Curtis stressed. "They apply for the money and then, within six months they'll be getting service. And they also get three years of free internet if they apply."

He said the money will go toward building towers, installing fixed wireless service and providing receivers to homes.


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Several rural communities across North Dakota are strategizing how to slow the pace of local grocery stores shutting down.

Some are making use of state grant money to aid their efforts, but challenges remain.

In North Dakota's Walsh County, the Rural Access Distribution Cooperative has been on the leading edge of establishing local grocery store co-ops, where a handful of smaller shops buy items in bulk together.

The initiative was eventually awarded a state grant to buy a bigger truck and van, making supply deliveries more manageable.

Cooperative President Alexander Bata said they continue to see progress with increased sales, and better options for area residents.

"So, there's less waste, less cost," said Bata, "and we've significantly improved the quality of food."

However, other elements of the initiative still face hurdles.

That includes utilizing food lockers, where customers can buy their food online and pick it up when they choose. But Bata said they haven't been able to make the technology work.

In 2023, the Legislature approved $1 million for interested communities to sustain grocery service in smaller towns with limited access.

The town of Milnor, with a population of around 600, was one of the early grantees - and used its money for a feasibility study.

Milnor's Community Economic Development Coordinator Carol Peterson said those findings were clear - their lone grocery store needs more storage space to stay afloat.

"It makes it very hard," said Peterson, "to order in enough product to service the community."

That limits the store from keeping prices lower.

Peterson said she worries more customers will then look at far away options, taking their tax dollars with them. While local leaders did get a read on what's needed, they haven't been able to secure additional funding for the next phase.

A key legislative sponsor of the pilot grant program says there's interest in extending it next session, but she's still gathering feedback.


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