Federal Communications Commission Dispenses $544 Million in Rural Broadband Funds

WASHINGTON, October 20, 2021 – The Federal Communications Commission said Wednesday that it would authorize another $554 million for expansion of broadband service through the Rural Digital Opportunity Fund.

The funding announcement represented the finalization of a relatively small portion of the funding awarded as part of $9.3 billion granted in the first phase of the RDOF reverse auction in October and November 2020.

Together with other recent press announcements dribbling out details of RDOF awards, Wednesday’s news puts the FCC’s awards at just more than $1 billion of the $9.3 billion originally awarded at auction.

The FCC, which says that it aims to place broadband infrastructure in areas where it is not currently available, denied LTD Broadband’s petition seeking waiver of the deadline to be designated as an Eligible Telecommunication Carrier in Iowa, Nebraska and North Dakota. Becoming an ETC was a necessary prerequisite to receiving RDOF funds.

The agency also denied NW Fiber’s petition seeking waiver of the deadline for submission of a post-auction “long form” application.

With the latest wave of funding, 11 internet providers will be able to bring fiber-to-home gigabit broadband service to more than 180,000 locations across 19 states.

Michigan and Georgia were the states that received the most funding in this wave with $188 and $149 million, respectively. The FCC has cited broadband expansion as an even more necessary priority since the onset of the coronavirus pandemic.

“Broadband is an essential service and during the pandemic we’ve seen just how critical it is for families, schools, hospitals and businesses to have affordable internet access,” said Acting Chairwoman Jessica Rosenworcel.

The FCC also said that they were working to “clean up” the program and address some of the controversial aspects of RDOF funding decisions.

These decisions included:

• Sending letters to 197 applicants concerning areas where there was evidence of existing service or questions of waste. Bidders have already chosen not to pursue support in 5,094 census blocks in response to the Commission’s letters.
• Denying waivers for winning bidders that have not made appropriate efforts to secure state approvals or prosecute their applications.  These bidders would have otherwise received more than $344 million.
• Pulishing a list of areas where providers had defaulted, thereby making those places available for other broadband funding opportunities.
• Conducting an exhaustive technical, financial, and legal review of all winning bidders.