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NTIA / RUS Grant WritingAccessDelray encourages any potential NTIA or RUS grant/loan applicant to peruse all the information available on this website. The BTOP/NTIA/RUS Response to their Joint RFI is garnering much attention on Google and hopefully is getting the same attention from NTIA and RUS officials. Please contact Brad Bowman (561.400.7194 or bbowman@accessdelray.org) should you have any questions... BTOP (NTIA), RUS Grant/Loan FAQ's and InformationWhat is the Broadband Stimulus Funding Program? The American Recovery and Reinvestment Act of 2009 (“Recovery Act” or the “Act”), contains $7.2 billion of new spending on broadband infrastructure deployment and related broadband matters, of which $4.7 billion will be administered by the National Telecommunications and Information Administration (NTIA) and $2.5 billion will be administered by the Rural Utility Service (RUS), a division of the U.S. Department of Agriculture (USDA). NTIA Broadband Grant Program (The Broadband Technology Opportunities Program (BTOP)). NTIA’s broadband grant program (BTOP) will be used to provide grants for broadband infrastructure deployment and programs aimed at increasing broadband adoption, access and use by un-served and underserved communities and a variety of public service organizations, such as schools and colleges, libraries, medical and health care centers and community support organizations. RUS Broadband Funding Program. The funds provided by the Recovery Act to RUS will be distributed as grants under a new program that will be established by RUS for that purpose. All funding distributed by RUS under the Act, whether grants, loans or loan guarantees, is required to be used for projects which serve areas that are at least 75 percent rural. RUS’s primary existing program provides broadband loans and loan guarantees to non-profit and for-profit entities, but generally excludes governmental organizations and entirely excludes telecom providers that serve more than two percent of the total number of subscriber lines in the United States, such as Verizon, AT&T and Qwest. NTIA and RUS Cooperation and Implementation Timetables. NTIA and RUS intend to closely coordinate the implementation of their respective programs. The two agencies intend to use similar timetables for awarding funding and may provide a streamlined means of apply for funding from their respective programs When will these monies be available? Finalized policy and rules are expected sometime in late May, 2009. Each agency intends to offer three tranches of funding with each tranche representing roughly one-third of the funding available. Applications for the first tranche of funding are likely to be due towards the end of the second quarter of 2009; applications for the second tranche of funding are likely to be due in the fourth quarter; and applications for the third tranche are likely to be due in the second quarter of 2010. What Agencies or Entities can apply? NTIA - Schools, community colleges and higher education institutions; libraries; medical and healthcare providers; community support organizations; organizations and agencies that facilitate greater use of broadband service by low-income, unemployed, aged and otherwise vulnerable populations; and job-creating strategic facilities located in certain state and federal economic zones. RUS - RUS has not provided any guidance to date as to how it will divide its funding allocation between grants and loans and loan guarantees but here is what we do know. - Most for-profit and no-profit entities are eligible to receive financing,including Indian tribes, but financing is not available to (i) entities that already serve more than two percent of the total number of subscriber lines in the United States, which effectively excludes the larger national and regional carries; and (ii) to partnerships comprised of individuals.
- Financing must be used to provide broadband services to incorporated or unincorporated places that have no more than 20,000 residents according to the most recent census and that are not located in a standard metropolitan statistical area, although RUS may permit the facilities that will be used to provide such service to be located outside of the community to be served. However, RUS will not provide financing to more than one entity intending to serve a single area.
- Financing must be used to provide broadband services to incorporated or unincorporated places that have no more than 20,000 residents.
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Strategy for Seeking NTIA and/or RUS Broadband Funding. Because either NTIA nor RUS have provided firm requirements or procedures for awarding funding, it is recommended that agencies undertake proactive advocacy with NTIA and /or RUS, interested congressional members, executive branch personnel and/or appropriate state agencies. Also, applicants intending to seek first-tranche NTIA or RUS funding immediately should begin outlining their projects and developing any desired partnerships. As NTIA and RUS will determine who will be the first beneficiaries of the new broadband stimulus it is also important to point out that these programs will lead to development and deployment of a national broadband plan. |