GREENCASTLE, Ind. Aug. 13, 2004 –- Deputy Secretary of Agriculture James R. Moseley today announced the approval of a Rural Development broadband loan of $106.7 million to Cinergy, Ind. The funds will allow for the expansion of broadband access to high-speed Internet to residents and businesses in 11 rural Indiana communities as part of the Bush Administration's effort to expand universal access to broadband technology by the year 2007.

   "Providing access to broadband technology and services will greatly enhance the economic competitiveness of rural Indiana," said Moseley during a ceremony here with area mayors. "By bringing broadband to rural communities, we are helping rural communities compete with new levels of technology."

   The proposed broadband system will include advanced voice, video and high-speed data services. The services are expected to provide access to 71,039 homes and 5,532 businesses. Cinergy will use a fiber backbone to connect all the communities to the service nodes and fiber-to-the-premises technology, to connect each home and business. Communities impacted include Bedford, North Manchester, Connersville, North Vernon, Greencastle, Seymour, Huntington, Vincennes, Madison, Wabash and New Castle.

   Funding will be contingent upon meeting the conditions of the loan agreement. USDA provides a number of other important tools to advance broadband service in rural America, including the Distance Learning and Telemedicine grant program which provides advance technologies for educational and health care needs.

   Since the beginning of the Bush Administration, over $2 billion in telecommunication funding has provided over one million rural homes and businesses with access to high speed broadband connections. To learn more about available funding through USDA's broadband program, visit http://www.usda.gov/ or contact USDA Rural Development broadband staff at (202) 720-9554.

   USDA Rural Development's mission is to deliver programs in a way that will support increasing economic opportunity and improve the quality of life of rural residents. As a venture capital entity, Rural Development provides equity and technical assistance to finance and foster growth in homeownership, business development, and critical community and technology infrastructure. Further information on rural programs is available at a local USDA Rural Development office or by visiting USDA's web site at http://www.rurdev.usda.gov.