H.R. 7567 · 119th Congress
Farm Bill 2.0

News · May 17, 2026

Title VI Explainer: Rural Broadband, Water, and Business Programs in H.R. 7567

Title VI of H.R. 7567 reauthorizes USDA Rural Development programs for broadband, water systems, and rural business, with key changes from the 2018 Farm Bill.

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TL;DR: Title VI of H.R. 7567, the Farm, Food, and National Security Act of 2026, reauthorizes USDA Rural Development programs covering broadband infrastructure, rural water and wastewater systems, and rural business development. Key changes from the 2018 Farm Bill include stronger interagency coordination requirements, expanded eligible uses for rural business grants, and updated speed and income eligibility standards. Specific dollar figures are pending CBO scoring.

Key takeaway

Title VI of H.R. 7567 does not replicate the 2018 Farm Bill's $600 million ReConnect appropriation, instead relying on the 2021 Infrastructure Investment and Jobs Act to cover near-term broadband capital needs while tightening coordination rules to reduce duplication.

What this section does

Title VI of H.R. 7567 reauthorizes the major rural development programs administered by USDA Rural Development (USDA RD), the agency responsible for delivering infrastructure and economic development support to rural America. The title covers three broad categories: broadband infrastructure deployment, rural water and wastewater systems, and rural business and economic development programs.

Broadband: The title reauthorizes both mandatory and discretionary funding authority for rural broadband programs, with an emphasis on connecting unserved and underserved communities. The ReConnect Program, created by the 2018 Farm Bill and administered separately through USDA RD, is referenced in the broadband provisions. Specific authorization dollar figures are to be confirmed pending CBO scoring. The title also directs USDA RD to improve coordination with the National Telecommunications and Information Administration (NTIA) and the Federal Communications Commission (FCC) to avoid overlap with broadband grants already flowing through the 2021 Infrastructure Investment and Jobs Act.

Rural water and wastewater: The Water and Waste Disposal Loan and Grant Program is reauthorized with updated income eligibility thresholds for communities seeking assistance. Income-based grant terms, which provide more favorable ratios to higher-poverty communities, are retained. Specific revised population caps are to be confirmed. The full bill summary provides a program-by-program overview of all six titles.

Rural business: The Rural Business Development Grant program and related programs are reauthorized with two notable structural changes. First, matching fund requirements are adjusted. Second, eligible uses are expanded to include workforce development and entrepreneurship activities, a new category not available under the 2018 Farm Bill. The Community Facilities program, which finances capital projects for rural hospitals, schools, libraries, and emergency services, is reauthorized with inflationary adjustments to loan limits but no major structural overhaul. For a comparison of what changed versus the prior bill, see what's new vs. 2018.

What it means

For rural communities, Title VI provisions touch daily infrastructure that residents often take for granted. Water systems, emergency services, and internet connectivity are all supported by programs reauthorized in this title.

Key impacts by audience:

  • Rural communities under 50,000 population are the primary eligible beneficiaries across all three program areas. Very small communities under 5,000 often receive priority treatment or enhanced grant terms, particularly in water and community facilities programs.
  • Telecommunications providers and electric cooperatives pursuing broadband buildout in rural areas are directly affected by ReConnect reauthorization and any updated speed eligibility standards. The 2018 bill used a 10 Mbps download / 1 Mbps upload threshold to define underserved areas. H.R. 7567 is expected to update that standard to align with current FCC benchmark definitions (25/3 Mbps or higher), though exact bill language is to be confirmed.
  • Rural small businesses, cooperatives, and agricultural producers seeking capital or technical assistance will see an expanded menu of eligible uses under rural business development programs, particularly the new workforce development category, though USDA guidance on what qualifies has not yet been issued.
  • Rural hospitals, schools, libraries, and emergency services rely on the Community Facilities program for capital financing. Those institutions will see continued access under reauthorized authority, with inflation-adjusted loan limits.

The stronger interagency coordination requirements added in H.R. 7567 are a direct policy response to criticism that multiple post-2021 federal broadband programs operated from different agencies with overlapping geographic footprints, creating confusion for rural applicants. The funding breakdown page tracks authorized and appropriated spending across all titles.

What's next

As of May 2026, the bill has passed the House and is pending action in the Senate Agriculture Committee. The Senate may seek changes to funding levels or program structures in conference, particularly around how mandatory and discretionary broadband funding is split.

Several implementation steps are required before new program terms take effect:

  • USDA Rural Development must complete rulemaking to implement updated eligibility thresholds and any new program structures. The bill does not specify a timeline for that rulemaking.
  • CBO scoring of mandatory spending provisions is pending as of the drafting date. If scoring forces offsets, funding levels in this title could change.
  • USDA must issue guidance defining what qualifies as a workforce development activity under the expanded rural business grant eligible uses. Until that guidance is issued, applicants face uncertainty about what projects will be approved.
  • The unresolved interaction between Title VI broadband provisions and active NTIA broadband funding deployments already underway in many states remains a key policy risk, with the potential for geographic overlap or duplicative grants.

Track Senate progress at the Senate status page and the timeline and status page.

Frequently asked questions

Does H.R. 7567 fund new broadband buildout or just reauthorize existing programs?

H.R. 7567 reauthorizes broadband program authority, including the ReConnect Program, but does not replicate the $600 million mandatory appropriation that the 2018 Farm Bill included to launch ReConnect. The 2026 bill takes the position that the 2021 Infrastructure Investment and Jobs Act already addressed near-term broadband capital needs. Specific new mandatory dollar figures are to be confirmed pending CBO scoring.

How does rural broadband funding in the farm bill relate to money already flowing from the 2021 infrastructure law?

The 2021 Infrastructure Investment and Jobs Act directed tens of billions of dollars to broadband through NTIA and FCC programs separate from the farm bill. H.R. 7567 adds explicit interagency coordination requirements directing USDA Rural Development to work with NTIA and FCC to avoid duplication. As of May 2026, it remains unresolved how farm bill broadband provisions will interact with active NTIA deployments already underway in many states.

What population limit defines a "rural" community eligible for these programs?

USDA Rural Development generally defines rural communities as those with populations under 50,000. Very small communities with populations under 5,000 frequently receive priority or enhanced grant terms under water, broadband, and community facilities programs. Specific population caps tied to individual programs in H.R. 7567 are to be confirmed, as some thresholds are still subject to rulemaking.

Can a rural electric cooperative apply for broadband funds under this title?

Yes. Telecommunications providers and electric cooperatives are explicitly among the eligible applicant types for broadband programs, including the ReConnect Program, under Title VI. Electric cooperatives have been among the more active ReConnect applicants since the program's creation in the 2018 Farm Bill, given their existing relationships with rural customers and right-of-way infrastructure.

What rural water projects qualify for grants versus loans under the Water and Waste Disposal program?

Eligibility for grant funding versus loan funding under the Water and Waste Disposal Loan and Grant Program is generally tied to community income levels. Higher-poverty communities receive more favorable grant ratios, meaning a larger share of their project cost can be covered by a grant rather than a loan. H.R. 7567 retains income-based grant ratios with updated thresholds; specific revised figures are to be confirmed.

What changed in the Community Facilities program compared to the 2018 Farm Bill?

The Community Facilities program is largely continued from the 2018 Farm Bill with inflationary adjustments to loan limits. No major structural overhaul of the program is reported in H.R. 7567. Rural hospitals, schools, libraries, and emergency services remain the core eligible recipients. The program finances capital projects, such as building construction or equipment purchases, for essential rural public services.

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