VTX1’s broadband project for Karnes County to go ahead, despite TBDO ‘pause’

KARNES CITY, Texas – A $50 million-plus broadband infrastructure project VTX1 Internet is working on in Karnes County will go ahead, despite a statewide pause on similar projects imposed by the Texas Broadband Development Office.

The pause was imposed because of uncertainty over what the new administration in Washington, DC, will or will not fund going forward.

“Due to ongoing federal government realignment to meet the priorities of the new administration, the Broadband Development Office (BDO) will pause all grants and contracts related to the state’s allocation of the federal State Digital Equity Capacity Grant Program,” the TBDO stated, in a press release issued earlier this week.

“Given this uncertainty, the BDO wants potential applicants to avoid investing significant time and resources into preparing applications until the office receives more clarity on the future of the program from the National Telecommunications and Information Administration (NTIA). We understand the importance of these opportunities and the resources needed to pursue them. For that reason, we want to ensure all efforts adhere to and are consistent with program guidelines before funds are made available.

“The BDO will continue to engage with NTIA regarding the future direction of the program and communicate any updated guidance that becomes available. Please send questions regarding this program update to digital.opportunity@cpa.texas.gov.”

VTX1 Internet CEO Patrick McDonnell signs a broadband infrastructure agreement with Karnes County officials. (Photo credit: Karnes County)

Sandra Rocha, planning and coordination administrator for VTX1, told the Rio Grande Guardian that her company is aware of the TBDO statement but that the company has been reassured funding for Karnes County will stay in place.

Rocha said VTX1 has been awarded a $51 million BOOT II grant by the TBDO to expand broadband infrastructure across Karnes County. “This significant investment will enhance connectivity for residents and businesses, driving economic growth and digital accessibility in the region,” Rocha said.

To successfully complete this project by December 2026, VTX1 Internet has partnered with Brownstone Consultants, Cobb Fendley & Associates, Inc., Quanta Telecommunication Solutions, LLC, Halff, and the Lower Colorado River Authority (LCRA), Rocha explained.

“VTX1 Internet is honored to receive this award and is committed to working diligently with Karnes County to bridge the digital divide,” Rocha said.

Karnes County Commissioners Court discussed the project at a recent meeting. VTX1 leaders were present. Karnes County Judge Wade Hedtke said the TBDO award, totaling $51,073,236.00 will fund broadband infrastructure to deliver fast, reliable, and affordable internet service to 5,460 homes across Karnes County.

Hedtke pointed out Karnes County, located in South-Central Texas, spans 754 square miles and has a population of 14,710. He said the county’s rural landscape has long made broadband access a challenge. However, he said the new funding will provide residents with the high-speed internet needed for work, education, healthcare, and economic development.

“This broadband grant is a game-changer for Karnes County,” Hedtke said. “Access to high-speed internet is no longer a luxury—it’s a necessity. It will open doors for our residents in ways we’ve never seen before, from expanding economic opportunities to providing better access to healthcare and education.”

Hedtke said he and Karnes County commissioners remain committed to securing additional broadband funding for the county in future state and federal initiatives.

“This is just the beginning,” Hedtke added. “We will continue to push for the resources necessary to ensure that every Karnes County resident has access to affordable, reliable broadband.”

One of the VTX1 leaders present at the commissioners court meeting was Patrick McDonnell, the company’s CEO.

“We’ve been serving our community since 1952, initially providing phone services as Valley Telephone Cooperative. Fast forward to today, VTX is providing high speed internet services to those areas where others have refused to go,” McDonnell said.

“As we like to say, we are big enough to do what the big guys can do, but small enough to do the things that they won’t.”

McDonnell added: “VTX1 is committed to serving South Texas. As I said, We’ve been around since 1952 we’re not going anywhere.”

Dr. Adalberto Garza is president of VTX1. He, too, was at the commissioners court meeting. 

“I was raised in a rural community… not only do we have that sense of family, but we have the sense of rural, very rural values. We want our children to have the same opportunities in rural Texas and rural America that everybody else has, that everyone else’s children has, whether they live in New York City or they live in Karnes City.  Everybody should have the same opportunity,” Garza said.

“So that is our vision at VTX1. And we’re very happy to partner with this incredible community.”

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