Nevada Pulls Back $52 Million From Rural Broadband Projects
Nevada is moving money earmarked for rural internet access to other state programs
WASHINGTON, Oct. 19, 2026 — Nevada is redirecting $52 million originally intended to expand rural broadband after state officials determined a contractor would not finish planned connections in time to meet a federal spending deadline.
The money came from pandemic-era federal relief funding that Nevada had set aside for broadband deployment. The state must spend the funds by Dec. 31, 2026, and officials determined the broadband project in Pahrump could not meet that deadline.
The $52 million represents more than a quarter of the $200 million Nevada originally allocated for rural broadband projects. The state plans to redirect the money toward mental health care in jails, food-insecurity programs and multifamily housing efforts. The Nevada Independent reported on Oct. 16.
“This was a decision that was a challenging decision to make,” said Britta Appel, director of the Governor’s Office of Science, Information and Technology, which oversees the broadband projects. “It was really based on the totality of the circumstances.”
The decision follows earlier assurances from state officials that the Pahrump project would meet the deadline. Stimulus Inc., the contractor responsible for the project, had been expected to complete the planned broadband connections before the end of the year.
“Are we going to be able to get these projects done by Dec. 31, 2026? The answer is yes,” then-OSIT Director Brian Mitchell said in October 2025.
Appel also expressed confidence in the project during an April legislative hearing, saying she believed it could be completed.
Nevada is still set to receive $170.6 million through the federal Broadband Equity, Access, and Deployment program to expand internet access in underserved areas. The federal program provides states with funding to connect locations that lack adequate broadband service.
The funding shift highlights the challenge states face in completing broadband projects under strict spending deadlines, even as separate federal funding remains available to address gaps in internet access.
