Coming Attractions The RUS Broadband Pilot Christopher A. McLean Acting Administrator Rural Utilities Service Oct 10, 2018 E-connectivity Pilot Program 1
From The Producers of Title II and Title IV A Sequel to the $500 + million FY 2018 Blockbuster Hit that featured a cast of 13 Infrastructure Loans ($427 million) 2 Broadband Loans ($24 million) 146 DLT Grants ($28.5 million) 22 Community Connect Grants ($27.4 million) E-connectivity Pilot Program 2
Adapted from the Original – The FY 18 Omnibus Appropriations Act One-time appropriation of $600 million for a “new broadband loan and grant pilot program” 1. USDA may offer loans, grants or loan/grant combo 2. To be eligible for funding, projects must serve rural areas: • Where households lack sufficient access to broadband service of 10mbps/1mbps (this speed is an eligibility threshold, not a build-to speed) • Not served by an entity that received a broadband loan from the Rural Utilities Service • With populations of 20,000 or less 3. Timing: • USDA is “directed to expedite program delivery methods” • No deadline to expend funds E-connectivity Pilot Program 3
The Setting for the Story Rural area - any area not located within: (1) a city, town, or incorporated area that has a population of greater than 20,000 inhabitants; or (2) an urbanized area contiguous and adjacent to a city or town that has a population of greater than 50,000 inhabitants Eligible service area - proposed funded service area where 90% of the households to be served do not have sufficient access to broadband Lacking sufficient access to broadband - no existing service to the household at 10 mbps download /1 mpbs upload service E-connectivity Pilot Program 4
Following the Script 1. Follow legal requirements 2. Ensure USDA is a good steward of taxpayer money ü Customer-oriented process and products ü Efficient, effective administration ü Due diligence in reviewing applications, for projects with solid engineering, business plans, and management 3. Stretch federal funds as far as possible ü Leverage existing structures (physical and organizational) ü Seek projects with others’ “skin in the game” (matching funds from other sources) ü Avoid using funds to “overbuild” existing service that is 10 mbps/1mbps or greater E-connectivity Pilot Program 5
Complex Characters 1. Broadband service characteristics? • How to define “sufficient access” to broadband at rural households, and should affordability be a factor? • How much “speed” is needed and how can we best measure that at the household? • How do rural American citizens and businesses most want to use broadband? • So, what kind of service/performance should be built with the Pilot funds? (aiming to require a reasonable minimum “build-out” speed, yet motivate optimal infrastructure) 2. Best ways to reduce private-sector risk, and financial constraints of underserved communities? • Loans with low interest rate and long-term payback period? • How much should be grants versus loans? • How to encourage partnerships? 3. Amount of time in the application window? • Enable reasonable time for customers to assemble applications • Spread out evaluation workload for USDA staff E-connectivity Pilot Program 6
The Story Board Formal Rulemaking & Regulations are NOT required • Contract for outsourced execution 1. Publish Notice • Create, test, and of Funding Set up publish web operations Availability ü Eligibility application (includes details ü Score based portal of product on criteria offerings, ü Evaluate Announce 1. Open for eligibility, scoring Review Funding project Business Applications • Formal criteria, etc.) Awards engineering & public business plan Gather comment 2. Provide public ü Clear • Website Technical input environmental feedback Assistance approvals form 3. Begin accepting applications • Funding OMB aspects Approval E-connectivity Pilot Program 7
Promotional Events July 27 - September 10 • Federal Register for formal comments Reviewing Now • Web portal for basic feedback (in development, will be published soon) • Events: o Stakeholder meetings o Webinars o Outreach E-connectivity Pilot Program 8
You’ll be Invited to the Premiere! Thank You Christopher A. McLean christopher.mclean@usda.gov E-connectivity Pilot Program 9
Recommend
More recommend
