Broadband Updates
Eight States Win Broadband Funds From Agriculture Department
WASHINGTON, March 23, 2010 – Agriculture Secretary Tom Vilsack on Tuesday announced broadband infrastructure projects to give rural residents in eight states access to better economic and educational opportunities.
WASHINGTON, March 23, 2010 – Agriculture Secretary Tom Vilsack on Tuesday announced broadband infrastructure projects to give rural residents in eight states access to better economic and educational opportunities.
Funding is contingent upon the recipient meeting the terms of the loan, grant or loan plus grant agreement, according to the department. A complete list of recent Recovery Act broadband award recipients by state is below:
Alaska
• Copper Valley Wireless: The Cordova, Alaska, Microwave Project; $1,747,796 loan and $1,747,795 grant. The funding will extend middle-mile connectivity from Naked Island to Cordova.
Arizona
• Tohono O’odham Utility Authority: The Fiber Route – Middle Mile Project; $3,565,900 loan and $3,565,900 grant. The funding will enable high-speed DSL services throughout the reservation with Fiber-to-the-Premises and fixed wireless broadband in certain areas.
Illinois
• Norlight Telecommunications: The Rural High-Speed Ethernet Network – Southern Illinois Project; $14,230,375 loan, $8,538,224 grant and $5,692,151 of private investment. The funding will provide more than 1,600 miles of middle-mile fiber-optic network throughout 24 southern counties to deliver high-speed Ethernet connectivity.
Kansas
• South Central Telephone Association: The Lake City & Sun City Rural Fiber-to-the-House (FTTH) Project; $871,200 grant, and $3,550,800 of private investment. The funding will provide FTTH broadband service to all unserved establishments in the telephone exchanges of Lake and Sun City.
• Madison Telephone: The Madison-Lamont Fiber-to-the-Premises (FTTP) Project; $3,519,750 loan, $3,519,750 grant and $763,634 of private investment. The funding will provide FTTP last-mile broadband service to exchange areas, including the Kansas telephone exchanges of Madison and Lamont.
• J.B.N. Telephone Company: The West Cluster Plus Barnes Fiber-to-the-Premises (FTTP) Project; $5,489,250 loan, $5,489,250 grant, and $3,697,619 of private investment. The funding will provide FTTP broadband service throughout seven western exchanges (West Cluster) and the Barnes exchange (Barnes).
Minnesota
• Northeast Service Cooperative: The Northeast Minnesota Middle Mile Project; $21,749,110 loan and $21,749,110 grant. The funding will provide middle-mile, dark fiber, wavelength services to private-sector providers in rural areas of northeast Minnesota.
• Minnesota Valley Television Improvement Corporation: The Minnesota Wireless Expansion Project; $562,776 loan and $562,776 grant, and $281,388 of private investment. The funding will provide a two-way broadband internet network to unserved and underserved areas of west central and south central Minnesota, providing 34 additional wireless (WiMAX) access points.
North Dakota
• Dakota Central Telecom 1 (DCT1): The Dakota Central Telecom l Project; $2,252,250 grant, and $2,499,597 of private investment. The funding will provide Fiber-to-the-Premises (FTTP) broadband services to households, businesses and key community organizations in portions of the Streeter and Gackle exchanges that are currently unserved.
Oklahoma
• Pioneer Long Distance: The Western Oklahoma Wireless Project; $1,819,349 loan and $1,783,322 grant. The funding will provide wireless broadband service to unserved and underserved rural areas in western Oklahoma.
• Panhandle Telephone Cooperative: The Western Oklahoma Broadband Infrastructure Development Project; $3,366,188 loan, $10,098,562 grant, and $23,297,597 of private investment. The funding will provide a broadband infrastructure to rural areas within the western Oklahoma panhandle area.
Texas
• Wes-Tex Telephone Cooperative: The Western Texas Broadband Infrastructure Development Project; $16,891,875 loan, $16,891,875 grant and $28,417,425 of private investment. The funding will provide a broadband infrastructure to increase Internet availability and access speeds in rural areas of western Texas.
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Broadband Updates
Missouri’s BEAD Initial Proposal, Volume Two
The state is unsure if any of its $1.7 billion allocation will be left over after funding new infrastructure.

Missouri released a draft volume two of its Broadband Equity, Access and Deployment initial proposal on November 15.
It was part of a wave of states and territories that began seeking public comment on their drafts in recent weeks. All 56 have now done so.
After a 30-day comment period, states and territories are required to submit their proposals to the National Telecommunications and Information Administration by December 27. The proposals come in two volumes: volume one details how states will ground-truth broadband coverage data, and volume two outlines states’ plans for administering grant programs with their BEAD funds.
The Missouri Broadband Office is “not yet able to determine” whether it will have any of its $1.7 billion in BEAD money left over after funding infrastructure projects.
The state is planning to administer two rounds of funding, something the state’s broadband director BJ Tanksley has flagged as being potentially difficult given BEAD’s one year timeframe for grant awards. The MBO said in the proposal a “sub-round” might be necessary if some undeserved and underserved areas receive no applications, and the state might seek an extension from the NTIA.
Missouri is looking to release multiple “advisory figures” for its high-cost threshold, the price at which fiber becomes expensive enough for the state to consider other technologies not favored by BEAD. Cost modeling data will be used for an initial figure before the first round of grant applications, and the number will be updated based on the applications the state receives in each round.
The state will also be using the NTIA’s updated financing guidance, which gives states more options to ensure the financial viability of a project. The new guidance makes room for performance bonds and reimbursement milestones, which tie up less money than the 25 percent letter of credit required by initial BEAD rules.
The agency made the change on November 1 after months of pushback from advocates and lawmakers, who warned small providers could be edged out by the letter of credit.
The public comment period for Missouri’s volume two is open until December 15.
Broadband Updates
Alabama’s BEAD Initial Proposal, Volumes One and Two
The state is asking for a waiver to open up RDOF areas to BEAD applications.

Alabama released a draft of its Broadband Equity, Access and Deployment initial proposal on November 14.
It was part of a wave of states and territories that began seeking public comment on their drafts in recent weeks. All 56 have now done so.
After a 30-day comment period, states and territories are required to submit their proposals to the National Telecommunications and Information Administration by December 27. The proposals come in two volumes: volume one details how states will ground-truth broadband coverage data, and volume two outlines states’ plans for administering grant programs with their BEAD funds.
Volume one
The state is planning to adopt the NTIA’s model challenge process to accept and adjudicate claims of incorrect broadband data. The Federal Communications Commission’s largely provider-reported coverage map was used to allocate BEAD money, but is not considered accurate enough to determine which specific locations lack broadband.
Local governments, nonprofits, and broadband providers are able to submit those challenges on behalf of consumers under the model process.
Alabama is also electing to use one of the NTIA’s optional modifications to the model process. The state’s broadband office will designate all homes and businesses receiving broadband from copper telephone lines as “underserved” – and thus eligible for BEAD-funded infrastructure. The move is an effort to replace older technology with the higher speed fiber-optic cable favored by the program.
The state will administer two optional challenge types the NTIA laid out: area and MDU challenges. States are not required to use these, but most are planning to do so.
An area challenge is initiated if six or more locations in a census block group challenge the same technology from the same provider with sufficient evidence. The provider is then required to show evidence they provide the reported service to every location in the census block group, or the entire area will be opened up to BEAD funds.
An MDU, or multiple dwelling unit, challenge is triggered when three units or 10 percent of the total units in an apartment building challenge a provider’s service. It again flips the burden of proof, requiring providers to prove they give the reported service for the entire building, not just units that submit challenges.
Alabama’s broadband office is requesting a waiver from the NTIA’s rule around enforceable commitments from other funding programs. The state wants areas set to get broadband from the FCC’s Rural Digital Opportunity Fund to be considered unserved for the purposes of BEAD.
That fund, the state argues, has a deployment deadline too far in the future – six to eight years to BEAD’s four years – and is too prone to defaults to be a reliable alternative to BEAD.
Volume two
Alabama does not expect to have any of its $1.4 billion BEAD allocation left over after funding broadband infrastructure.
The state is planning to award that money in a single round of grant applications, but may administer a second, according to its proposal.
Like most states, Alabama won’t be setting a high-cost threshold before looking over all BEAD grant applications. That’s the price point at which the state will look to non-fiber technologies to serve the most expensive, hardest to reach areas.
Alabama’s broadband office is seeking comment on using the NTIA’s updated financing guidance, but plans on implementing it.
That updated guidance allows options which tie up less capital, like performance bonds. BEAD rules initially required a 25 percent letter of credit, which advocates and lawmakers warned could prevent small providers from participating in the program.
The public comment period for Alabama’s initial proposal is open until December 14.
Broadband Updates
Arkansas’s BEAD Initial Proposal, Volume Two
The state is planning to expand its fiber technician training program after funding infrastructure projects.

Arkansas released a draft volume two of its Broadband Equity, Access and Deployment initial proposal on November 14.
It was part of a wave of states and territories that began seeking public comment on drafts in recent weeks. All 56 have now done so.
After a 30 day comment period, states and territories are required to submit their proposals to the National Telecommunications and Information Administration by December 27. The proposals come in two volumes: volume one details how states will ground-truth broadband coverage data, and volume two outlines states’ plans for administering grant programs with their BEAD funds.
Arkansas expects its roughly $1 billion BEAD allocation will be enough to serve the estimated 190,000 homes and businesses in the state without adequate internet.
The state is planning to have at least $20 million left over after funding infrastructure projects. The bulk of that will be used to expand the Arkansas Fiber Academy, a state-run fiber technician training program. The state said in its proposal the expansion will help address a shortage of the skilled workers necessary for deploying fiber-optic cable.
The Arkansas broadband office will be soliciting two rounds of BEAD grant bids from broadband providers. The first round will be used to identify “Buy It Now” bids, applications that score enough points on the BEAD rubric to be tentatively granted over competing bids, and a minimum point threshold, above which applications will be tentatively granted in the absence of competing bids.
Arkansas will also be using the NTIA’s updated financing guidance, which gives states more options to ensure the financial viability of a project. The new guidance makes room for performance bonds and reimbursement milestones, which tie up less money than the 25 percent letter of credit required by initial BEAD rules.
The agency made the change on November 1 after months of pushback from advocates and lawmakers, who warned small providers could be edged out by the letter of credit.
Like most states, Arkansas will only set a high-cost threshold after both tranches of BEAD applications. That’s the cost of fiber at which the state will start accepting projects using other technologies. The state says it only plans to create such a threshold if it’s necessary to reach all unserved and underserved areas.
The public comment period for Arkansas’s volume two is open until December 14.
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