A $9.1 million Nevada broadband project has vanished into thin air, exposing corruption, mismanagement, and taxpayer abuse. DOGE NV investigates how this government failure happened, why the private market should have handled it, and how taxpayers can avoid future disasters.
The promise was simple: bring high-speed internet to rural Lovelock, Nevada. But nearly two years later, the only thing that’s been delivered is fraud, lawsuits, and millions of taxpayer dollars unaccounted for. This debacle, funded by a $9.1 million grant from the Nevada Department of Transportation (NDOT), is yet another example of how government mismanagement and lack of oversight lead to colossal waste.
Where Did the Money Go?
The project, led by Uprise Fiber, was supposed to lay internet infrastructure along Interstate 80. But instead of fiber optics, all Lovelock got was deception. Contractors weren’t paid, vendors lost millions, and bank records show Uprise Fiber’s owner, Steve Kromer, withdrew $5 million from company accounts—leaving just $10,000 behind. Meanwhile, the state, NDOT, and federal agencies are in full damage-control mode, dodging responsibility.
Attorney Mark Simons, representing one of the unpaid contractors, summed it up best: “NDOT has no idea where the money is.”
Legal Battles and More Bureaucratic Finger-Pointing
Several lawsuits have been filed:
• Contractor CommNV is suing Uprise Fiber, alleging the company wrongfully diverted funds intended for the project.
• A construction supplier, Stuart C. Irby, is suing Uprise and CommNV, claiming it delivered materials on credit but was never paid.
• Uprise’s attorney has quit, filing an emergency motion in federal court stating there has been “an irreconcilable breakdown in communication” with his client.
As legal battles mount, government officials are scrambling to avoid accountability. NDOT insists they’re not responsible for what Uprise did with the money. The USDA, which oversaw the project, refuses to comment. And despite being a vocal supporter of this funding, Senator Catherine Cortez Masto has suddenly gone silent, declining to address the missing millions.
This Is What Happens When Bureaucrats Play Venture Capitalists
This case is a textbook example of why the government should not be in the business of funding private enterprises with taxpayer dollars. The $9.1 million came from NDOT as a match for a $27 million USDA grant, a program meant to expand rural broadband. But instead of due diligence, oversight, or accountability, Nevada officials rubber-stamped this funding and walked away.
How the Private Market Would Have Done It Better
Instead of throwing tax dollars at a failed initiative, Nevada should have allowed the private market to solve the broadband issue—saving taxpayers money, reducing costs for consumers, and providing better service. Here’s how:
1. Market-Driven Investment – Private ISPs already have the infrastructure and capital to expand broadband. Instead of funneling money through a bloated government process, offering regulatory incentives for private expansion would have created competition and driven prices down.
2. Efficiency and Cost Control – Unlike government-funded projects, which are notorious for waste, private companies are driven by efficiency and results. If the project was financially viable, private businesses would have expanded naturally—without the risk of fraud.
3. Better Service for Consumers – Private providers compete on speed, reliability, and price. Government-run projects, however, have zero accountability and no market pressure to improve performance. This is why federally funded broadband programs consistently fail.
4. No Risk to Taxpayers – In a market-driven approach, if a company mismanaged funds like Uprise Fiber did, investors—not taxpayers—would bear the cost. In contrast, this failure means Nevadans are left paying the bill for incompetence.
What Needs to Change?
At DOGE NV, we believe that transparency, oversight, and accountability must be mandatory before the government spends a single taxpayer dollar. Here’s what needs to happen next:
1. Full forensic audit of Uprise Fiber and NDOT’s role in this scandal. Every dollar must be accounted for, and criminal charges should be pursued if wrongdoing is found.
2. Immediate halt on government-funded private enterprise projects unless strict financial oversight is implemented.
3. Legislative action to prevent taxpayer dollars from being handed over without accountability.
4. Reduce barriers to private sector broadband expansion by eliminating unnecessary regulations and offering tax incentives for private ISPs to expand their reach.
Nevadans deserve better. We must demand transparency and accountability before more taxpayer dollars disappear into the abyss of government mismanagement.
DOGE NV is dedicated to exposing waste, fighting corruption, and making Nevada’s government more efficient. If you know of wasteful government spending, report it anonymously by clicking here.
The opinions expressed by contributors are their own and do not necessarily represent the views of Nevada News & Views.
