Broadband, yes this was a deployment in Kutztown, PA which I photographed in 2003. We then did 35 detailed market, engineering and business plans for markets in New Hampshire, Massachusetts and Vermont, we even got RUS funding, even built out a portion on our own, and then hit the brick wall of the greedy towns and their Franchises. This is the snake in the woodpile that this Bill somehow glosses over. Also the small fact that there may not be a business model which works.Thus it is worthwhile providing the HR1 words on broadband, and then look at facts. Somehow all the cheerleaders for broadband have never: (1) ever built anything, (2) have even had to create a business to pay salaries, (3) have any idea as to the technology, (4) ever negotiated a franchise. Regrettably I have, and I have done this in over 20 countries, the hardest is the US! Politics, the worst kind, local politics.
Now to the Bill. First the preamble:
"NATIONAL TELECOMMUNICATIONS AND INFORMATION ADMINISTRATION BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM
For an amount for ‘‘Broadband Technology Opportunities Program’’, $7,000,000,000, to remain available until September 30, 2010: Provided, That of the funds provided under this heading, $6,650,000,000 shall be expended pursuant to section 201 of this Act, of which: not less than $200,000,000 shall be available for competitive grants for expanding public computer center capacity, including at community colleges and public libraries; not less than $250,000,000 shall be available for competitive grants for innovative programs to encourage sustainable adoption of broadband service; and $10,000,000 shall be transferred to ‘‘Department of Commerce, Office of Inspector General’’ for the purposes of audits and oversight of funds provided under this heading and such funds shall remain available until expended:
Provided further, That 50 percent of the funds provided in the previous proviso shall be used to sup2 port projects in rural communities, which in part may be transferred to the Department of Agriculture for administration through the Rural Utilities Service if deemed necessary and appropriate by the Secretary of Commerce, in consultation with the Secretary of Agriculture, and only if the Committees on Appropriations of the House and the Senate are notified not less than 15 days in advance of the transfer of such funds:
Provided further, That of the funds provided under this heading, up to $350,000,000 may be expended pursuant to Public Law 110–385 (47 U.S.C. 1 note) and for the purposes of developing and maintaining a broadband inventory map pursuant to section 201 of this Act:
Provided further, That of the funds provided under this heading, amounts deemed necessary and appropriate by the Secretary of Commerce, in consultation with the Federal Communications Commission (FCC), may be transferred to the FCC for the purposes of developing a national broadband plan or for carrying out any other FCC responsibilities pursuant to section 201 of this Act, and only if the Committees on Appropriations of the House and the Senate are notified not less than 15 days in advance of the transfer of such funds: Provided further, That not more than 3 percent of funds provided under this heading may be used for administrative costs, and this limitation shall apply to funds which may be transferred to the Department of Agriculture and the FCC."
Yes indeed that is $7 billion for these many yet to be specified tasks! Now to Section 201!
SEC. 201.
The Assistant Secretary of Commerce for Communications and Information (Assistant Secretary), in consultation with the Federal Communications Commission (Commission) (and, with respect to rural areas, the Secretary of Agriculture), shall establish a national broadband service development and expansion program in conjunction with the technology opportunities program, which shall be referred to the Broadband Technology Opportunities Program. The Assistant Secretary shall ensure that the program complements and enhances and does not conflict with other Federal broadband initiatives and programs.
(1) The purposes of the program are to—
(A) provide access to broadband service to citizens residing in unserved areas of the United States;
(B) provide improved access to broadband service to citizens residing in underserved areas of the United States;
(C) provide broadband education, awareness, training, access, equipment, and support to— (i) schools, libraries, medical and healthcare providers, community colleges and other institutions of higher education, and other community support organizations and entities to facilitate greater use of broadband service by or through these organizations; (ii) organizations and agencies that provide outreach, access, equipment, and support services to facilitate greater use of broadband service by low-income, unemployed, aged, and otherwise vulnerable populations; and (iii) job-creating strategic facilities located within a State-designated economic zone, Economic Development District designated by the Department of Commerce, Renewal Community or Empowerment Zone designated by the Department of Housing and Urban Development, or Enterprise Community designated by the Department of Agriculture.
(D) improve access to, and use of, broadband service by public safety agencies; and
(E) stimulate the demand for broadband, economic growth, and job creation.
(2) The Assistant Secretary may consult with the chief executive officer of any State with respect to—
(A) the identification of areas described in subsection (1)(A) or (B) located in that State; and
(B) the allocation of grant funds within that State for projects in or affecting the State.
(3) The Assistant Secretary shall—
(A) establish and implement the grant program as expeditiously as practicable;
(B) ensure that all awards are made before the end of fiscal year 2010;
(C) seek such assurances as may be necessary or appropriate from grantees under the program that they will substantially complete projects supported by the program in accordance with project timelines, not to exceed 2 years following an award; and
(D) report on the status of the program to the Committees on Appropriations of the House and the Senate, the Committee on Energy and Commerce of the House, and the Committee on Commerce, Science, and Transportation of the Senate, every 90 days.
(4) To be eligible for a grant under the program an applicant shall—
(A) be a State or political subdivision thereof, a nonprofit foundation, corporation, institution or association, Indian tribe, Native Hawaiian organization, or other non-governmental entity in partnership with a State or political subdivision thereof, Indian tribe, or Native Hawaiian organization if the Assistant Secretary deter mines the partnership consistent with the purposes this section;
(B) submit an application, at such time, in such form, and containing such information as the Assistant Secretary may require;
(C) provide a detailed explanation of how any amount received under the program will be used to carry out the purposes of this section in an efficient and expeditious manner, including a demonstration that the project would not have been implemented during the grant period without Federal grant assistance;
(D) demonstrate, to the satisfaction of the Assistant Secretary, that it is capable of carrying out the project or function to which the application relates in a competent manner in compliance with all applicable Federal, State, and local laws;
(E) demonstrate, to the satisfaction of the Assistant Secretary, that it will appropriate (if the applicant is a State or local government agency) or otherwise unconditionally obligate, from non-Federal sources, funds required to meet the requirements of paragraph (5);
(F) disclose to the Assistant Secretary the source and amount of other Federal or State funding sources from which the applicant receives, or has applied for, funding for activities or projects to which the application relates; and
(G) provide such assurances and procedures as the Assistant Secretary may require to ensure that grant funds are used and accounted for in an appropriate manner.
(5) The Federal share of any project may not exceed 80 percent, except that the Assistant Secretary may increase the Federal share of a project above 80 percent if—
(A) the applicant petitions the Assistant Secretary for a waiver; and
(B) the Assistant Secretary determines that the petition demonstrates financial need.
(6) The Assistant Secretary may make competitive grants under the program to—
(A) acquire equipment, instrumentation, networking capability, hardware and software, digital network technology, and infrastructure for broadband services;
(B) construct and deploy broadband service related infrastructure;
(C) ensure access to broadband service by community anchor institutions;
(D) facilitate access to broadband service by low-income, unemployed, aged, and otherwise vulnerable populations in order to provide educational and employment opportunities to members of such populations;
(E) construct and deploy broadband facilities that improve public safety broadband communications services; and
(F) undertake such other projects and activities as the Assistant Secretary finds to be consistent with the purposes for which the program is established.
(7) The Assistant Secretary—
(A) shall require any entity receiving a grant pursuant to this section to report quarterly, in a format specified by the Assistant Secretary, on such entity’s use of the assistance and progress fulfilling the objectives for which such funds were granted, and the Assistant Secretary shall make these reports available to the public;
(B) may establish additional reporting and information requirements for any recipient of any assistance made available pursuant to this section;
(C) shall establish appropriate mechanisms to ensure appropriate use and compliance with all terms of any use of funds made available pursuant to this section;
(D) may, in addition to other authority under applicable law, deobligate awards to grantees that demonstrate an insufficient level of performance, or wasteful or fraudulent spending, as defined in advance by the Assistant Secretary, and award these funds competitively to new or existing applicants consistent with this section; and
(E) shall create and maintain a fully searchable database, accessible on the Internet at no cost to the public, that contains at least the name of each entity receiving funds made avail1 able pursuant to this section, the purpose for which such entity is receiving such funds, each quarterly report submitted by the entity pursuant to this section, and such other information sufficient to allow the public to understand and monitor grants awarded under the program.
(8) Concurrent with the issuance of the Request for Proposal for grant applications pursuant to this section, the Assistant Secretary shall, in coordination with the Federal Communications
Commission, publish the non-discrimination and network interconnection obligations that shall be contractual conditions of grants awarded under this section.
(9) Within 1 year after the date of enactment of this Act, the Commission shall complete a rulemaking to develop a national broadband plan. In developing the plan, the Commission shall—
(A) consider the most effective and efficient national strategy for ensuring that all Americans have access to, and take advantage of, advanced broadband services;
(B) have access to data provided to other Government agencies under the Broadband Data Improvement Act (47 U.S.C. 1301 note);
(C) evaluate the status of deployments of broadband service, including the progress of projects supported by the grants made pursuant to this section; and
(D) develop recommendations for achieving the goal of nationally available broadband service for the United States and for promoting broadband adoption nationwide.
(10) The Assistant Secretary shall develop and maintain a comprehensive nationwide inventory map of existing broadband service capability and avail ability in the United States that entities and depicts the geographic extent to which broadband service capability is deployed and available from a commercial provider or public provider throughout each State: Provided, That not later than 2 years after the date of the enactment of the Act, the Assistant Secretary shall make the broadband inventory map developed and maintained pursuant to this section accessible to the public."
That's all folks! Now it is worth looking at details.
There is a lot of money going to Hawaii! Why, one can only guess! Then it also requires that the projects be complete in 2 `years! Try and get a franchise in that time, then get equipment, then pull on the poles etc. No way can this be done! It is physically impossible, but I forgot this was Congress, reality plays no role. Also the NTIA has no infrastructure, policies, procedures and the like to accomplish this. That in itself will take years and if not done properly will result in massive fraud. USDA and its agency RUS has decades of experience and a group of competent and dedicated people. They are not being used.
This is doomed to failure. Say goodbye to $7 billion. This is not a stimulus it is a total and complete waste of the taxpayers money. Finally it is in the purview of the State to select the areas to be built out, in effect the States create market plans, and then somehow third parties submit bids for these parcels. States in charge of markets, again unlikely to work.
Posts
