Internet service provider ZiTEL will now complete the West broadband project covering Patrick, Henry and Franklin counties, replacing RiverStreet Networks, according to a release from the West Piedmont Planning District Commission (WPPDC).
The WPPDC and the three counties requested that the Department of Housing and Community Development (DHCD) amend the Virginia Telecommunication Initiative (VATI) grant contract in late July. The contract was officially changed in early August.
RiverStreet initially received the VATI 2022 and 2023 funds, as well as Rural Digital Opportunity Fund (RDOF) funding, for the project.
In April 2024, RiverStreet Director of Business Development and Government Affairs Rob Taylor said the company would pass 8,376 locations in Patrick County, with approximately 621 miles of fiber to be installed.
According to the release, RiverStreet was unable to complete the project because it could not secure the remaining necessary funding.
WPPDC Executive Director Michael Armbrester said the organization has full confidence in ZiTEL’s ability to move the West broadband project forward and deliver high-quality internet access to communities.
“We sincerely appreciate the patience and understanding shown by our local partners and residents as we resolve the challenges with this project. With ZiTEL, we are poised to fulfill our mission of expanding broadband access across the region,” Armbrester stated in the release.
Del. Wren Williams, R-Stuart, said he is excited the broadband project is moving forward again because residents were becoming increasingly concerned.
“It looks like a lot of the local supervisors across the state actually along with their representatives who are already working with RiverStreet to make a transition. It’s kind of like RiverStreet has sort of laid down its arms, and they were working to rebid and be replaced by other providers. It seems like these guys have a track record of recent success because there’s been a number of these buildouts across the state, it’s just RiverStreet is the one who unfortunately ultimately failed,” Williams said.
Patrick County Administrator Michael McGuinness said he received an email July 30 regarding the project’s transfer.
In an email to DHCD and WPPDC, McGuinness said he appreciates the efforts being made and is optimistic about the change.
“We do hope that parameters are set in place, a matrix, or a timeline if you will, so we as a county could start to see progress,” he stated in the email.
McGuinness, who was not serving as county administrator when the project began, said he believes the project lacked sufficient structure from the beginning.
“There was absolutely no type of matrix. You just don’t give someone a blank check and tell them we want broadband. A statement of work, a scope of work, there needed to be parameters set in place and how do we know going forward that parameters are set in place,” he said.
During a meeting with ZiTEL before the change was announced, McGuinness said the company indicated it plans to provide monthly invoices detailing its work and the amount of fiber installed.
“They’ll break that down for us and then they’ll be able to say, I think the figure was $22,000 a mile of fiber, so they should be able to say, ‘hey, we put in five miles of fiber this month. Okay, there’s $110,000, cut them a check, pay them. But you just don’t give someone a big pile of money. You just don’t give them money and tell them to put in broadband. I mean look at RiverStreet, they failed miserably,” McGuinness said.
McGuinness said he is excited for ZiTEL to take over the project.
“I have a lot more faith in them from day one when I became County Administrator than with RiverStreet. ZiTEL says the right things, we believe in them, they’re connected to Patrick County a little bit, so they were excited to serve our county and our citizens,” he said.
Henry County Administrator Dale Wagoner said the county knows many residents have been frustrated by the project’s delays.
“We share that frustration. Our responsibility is to the people of Henry County, and when it became clear this project needed a new path forward, we worked with our partners to make that happen. It’s good news for the project, and we’re excited about getting a vendor that can move us forward for our residents,” he said.
Wagoner said he has confidence in ZiTEL’s ability to complete the project and deliver on the promise of countywide broadband.
“We’re grateful to all of our partners for their continued commitment and patience throughout this process. Projects of this scale require tremendous collaboration, and organizations like the Harvest Foundation and HCPS (Henry County Public Schools) have remained focused on the same goal we have from the beginning. We appreciate their partnership and look forward to working together with ZiTEL to bring this project to a successful completion,” Wagoner said.
Moving forward, Wagoner said ZiTEL has a timeline the county expects it can meet without jeopardizing the project’s federal funding.
The West broadband project is scheduled to be completed by the end of 2027, with 14,161 fiber internet connections planned.
