Transcript Slide 1

Federal Stimulus Funding,
Broadband and America’s Libraries
Hosted by
The American Library Association
Washington Office
The Bill & Melinda Gates Foundation
The ARRA – an Overview
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
International Speed and Price
Comparison
Japan
South Korea
Sweden
France
Australia
United States
0.0
10.0
20.0
30.0
Average Speed
May 12, 2009
40.0
50.0
60.0
70.0
Price per Month
Federal Stimulus Funding, Broadband and
America’s Libraries
3
United States Broadband
Subscribership: 2002-2008
30.00
25.00
20.00
15.00
United States
10.00
5.00
0.00
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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BB Subscriber Growth: US/Europe
40.00
35.00
Denmark
Netherlands
30.00
Norway
25.00
Sweden
20.00
United Kingdom
France
15.00
Germany
10.00
United States
Spain
5.00
Ireland
Italy
0.00
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
5
Foreign Government
Investments in Broadband
• Japan announced e-Japan in 2000, u-Japan
in 2006, focused on fiber deployment.
• Sweden spent $800M to build municipal
broadband, now investing more in fiber.
2009:
• Australia spending AUS$43B (US$30B) to
build a nationwide fiber to the home network;
• Greece announces $2.7B plan to build fiber
connections to 2 M homes (open access)
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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Broadband Funding in the
American Recovery and Reinvestment Act
(ARRA) $7.2 Billion
NTIA
RUS
• Broadband Technology
Opportunities Program
(BTOP)
• Dept. of Commerce
• $4.7 B
May 12, 2009
• Distance Learning,
Telemedicine and
Broadband Program [?]
• Dept. of Agriculture
• $2.5 B
Federal Stimulus Funding, Broadband and
America’s Libraries
7
4 Pots of BTOP Funding
$
200 Million
(minimum)
• Expanding public computer center capacity
$
250 Million
(minimum)
• Stimulate broadband demand and usage
$
350 Million
(maximum)
• Broadband Mapping
$ ~3.75 Billion
• Broadband Deployment Grants
NTIA may use about $150 Million for Administrative Expenses and Audits
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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Five BTOP Purposes
(1) provide access to broadband service to consumers
residing in unserved areas of the United States;
(2) provide improved access to broadband service to
consumers residing in underserved areas of the
United States;
(4) improve access to, and use of, broadband service by
public safety agencies;
(5) stimulate the demand for broadband, economic
growth, and job creation.
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
9
Five BTOP Purposes (cont’d)
(3) provide broadband education, awareness, training,
access, equipment, and support to—
(A) 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;
(B) organizations and agencies that...[service] lowincome, unemployed, aged, and otherwise vulnerable
populations; and
(C) job-creating strategic facilities located within a
State-designated economic zone...
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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Notes about Purpose #3:
• Promotes both deployment and use;
• Is not limited to unserved/underserved
areas (in other words, urban and suburban
libraries are eligible);
• Can include “equipment” (Computers?
Routers? Inside wire?)
• Can include “education” and “training”
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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Statutory BTOP Grant Rules (selected)
• All awards must be made before Sept. 30, 2010.
• 20% match using non-federal funds required (unless
waived for “financial need”);
• Must be “substantially complete” within 2 years; (no
funding for operating expenses?)
• NTIA shall “consider” whether applications increase
affordability, serve greatest number of people with
greatest speed, and improve health care;
• Must comply with non-discrimination and network
interconnection.
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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RUS Broadband Program Criteria
(Selected)
• Loans, loan guarantees or grants
• At least 75% of each project’s service
territory must be a rural area w/o
sufficient high-speed broadband;
• Preference for former RUS borrowers;
• Preference for applications permitting a
choice of multiple service providers.
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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Selected Comments
Cable:
AT&T:
Microsoft:
May 12, 2009
Concerned about subsidizing their
competition; funding should stimulate
demand and use.
Concerned about subsidizing competition;
funding should go to schools, libraries and
hospitals.
Funding should go to schools, libraries and
hospitals; anchor institutions will provide
greatest bang for the buck.
Federal Stimulus Funding, Broadband and
America’s Libraries
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Selected Comments
Local Gov’ts:
• Suggests priorities for anchor institutions
(schools, libraries); no deference to states.
• Emphasize affordability, adoption strong
Consumer
non-discrimination.
Organizations:
K-12 Schools
• In-kind contributions should satisfy 20%
match; to the classroom.
EDUCAUSE
• Suggests priority for “middle mile”
extensions of existing state networks.
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
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NTIA & RUS
What to Expect Based on
What We Know
NTIA – Mission and Experience
• “Principal advisor to the President on telecommunications
and information policy.” Also federal spectrum manager.
• PTFP
• DTV Coupons
• Public Safety Interoperability
• ENHANCE 9-1-1 grants
• TOP
– Demonstration of “innovative” applications
– Public safety, telemedicine, community networking
– $15 million to $45 million
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
RUS – Mission and Experience
• Mission: Rural development a community at a time
• Well established constituency – RLECs
• Telecommunications loans (60+years)
– Communities of 5,000 or less
• DL/Telemedicine grants (16 years)
– Communities of 20,000 or less
• Broadband loans (8 years)
– Communities of 20,000 or less
• Community Connect grants (8 years)
– Communities of 20,000 or less
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Differences
• NTIA
– Focus: Urban, suburban, rural and international
– Innovative technologies
• Spectrum management
• ITS Lab in Boulder, Colorado
– Commerce Committee oversight
• RUS
–
–
–
–
May 12, 2009
Rural focus
Established constituency to protect
Specific engineering and financial expertise
Agriculture Committee oversight
Federal Stimulus Funding, Broadband and
America’s Libraries
NTIA Application Procedures
• TOP:
– 8 page narrative
– Peer reviewed
• PTFP:
– Peer reviewed
– Coordination with FCC
• DTV:
– Outsourced
– Direct consumer contact
• Interoperability:
– Deferred to DHS
• ENHANCE 9-1-1 Grants:
– Deferred to DOT
– Established a state formula grant process
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
RUS Application Procedures
• Community Connect grants:
–
–
–
–
One community at a time
Objective scoring criteria
Many pages, many federal forms including standard budget forms
Very strict existing service test
• Broadband loans:
–
–
–
–
First come – first serve
Volumes in boxes
12 month review common
Strict non-duplication test
• DL/Telemedicine grants:
– End-user equipment only – No transmission covered
– Many pages, many federal forms including standard budget forms
– Objective scoring criteria
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
ARRA –
Creating the Odd Couple?
• White House desire for close coordination &
common application procedures
• Trumping
• ARRA Statute requirements
– NTIA:
• Multiple purposes
• Role of states
– RUS:
• Overlay on existing programs
• Creating “choice among carriers”
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Key Issues to Watch For
• Effect of:
– RUS non-duplication rule
– New 75% “not sufficient broadband available” rule
• Role of states
• Policy agendas – e.g., interconnection and
non-discrimination
• One application or common application
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
On the Ground—Things to
Watch for
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
E-rate and BB Stimulus Funds
• In general, E-rate funded
telecommunications services are for:
• Commercially available leased wide area network
services (recurring services)
• In general, broadband stimulus funds are
for:
• Infrastructure development and expansion (nonrecurring services)
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
NTIA/BTOP Grant Limitations
• In awarding grants, the Asst. Secretary
shall consider whether an application to
deploy infrastructure in an area…
• Will, if approved, not result in “unjust enrichment”
as a result of support for non-recurring costs
through another Federal program for service in the
area…
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Things to Watch/Do Now
• Watch for official notices and be familiar with
ongoing activities
– www.ntia.doc.gov/broadbandgrants
– http://www.usda.gov/rus/
• Know and understand the comments made by
others in your state
– http://broadbandcensus.com/2009/04/thebroadbandcensuscom-list-of-ntia-comments/
• General stimulus information and reporting
– http://www.recovery.gov
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Things to Watch/Do Now
• Know who else is applying for funds in your
state
– Are they competition or potential partners?
– Are they part of an initiative coordinated by your
Governor’s office?
• Is it possible for you to participate in the Governor’s
initiative?
– Is the “competition” applying for the same
purpose you are, e.g. Purpose 3 vs. Purpose 1
and 2?
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Things to Watch/Do Now
• Start Collecting Data
• Do you have a Needs Assessment?
• Document meetings, participants, and
geographic coverage
• Document any evidence of planning
• Have a “Plan B” and make certain you can
adjust to specific program guidelines
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Things to Watch/Do Now
• Pay close attention to any project
evaluation scoring
• Can you clearly articulate your Project
Purpose?
• Have you developed a plan for
sustainability?
• Can you define realistic, measurable
outcomes?
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Matching Funds
• What is the source of your 20% match?
– Don’t count on a waiver being approved given
the competition for funds.
– Are there other non-Federal programs from
which you can obtain matching funds?
– Do you have project partners that can
contribute to the match requirements?
– Both Cash and In-kind contributions have
been allowed in previous NTIA programs.
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Match May be Limited to Project
• Statutory language appears to limit Federal share
and matching share to the Project (DOC, Title VI,
Sec. 6001 (f)).
• Previous TOP program: “With respect to in-kind
donations, it is essential to remember that an item
which is not eligible for federal support cannot be
included as a match.”
• Example: Project Manager vs. On-going costs
• Non-Discounted portion of E-rate as match?
(Unlikely)
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Can BTOP funds be used to match Erate Non-discounted portion? (Unlikely)
• That, notwithstanding any other provision of
law, no entity that receives
telecommunications services at preferential
rates under section 254(h) of the Act (47
U.S.C. 254(h)) … may use funds under a
grant under this heading to cover any costs
of the entity that would otherwise be
covered by such preferential rates or such
assistance, as the case may be…
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Project Management
• Likely to be significant reporting
requirements
– plan for adequate staffing to manage project
and file reports (likely quarterly.)
• Can your project realistically be completed
in 24 months?
– Develop Timeline
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Be prepared for:
• Quick turnaround on application period—45-60
days
• If online application process is
available/required, don’t wait until the deadline
to apply
– Potential problems for sluggish submission and
site overload
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Be Prepared:
• Do you have a DUNS number?
• Do you have an indirect cost rate?
• Does your state require intergovernmental
review of Federal programs? (E.O. 12372)
– State SPOC contacts:
• http://www.whitehouse.gov/omb/grants/spoc.html
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
John Windhausen
[email protected]
Greg Rohde
[email protected]
Linda Schatz
[email protected]
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries
Federal Stimulus Funding,
Broadband and America’s Libraries
Hosted by
The American Library Association
Washington Office
The Bill & Melinda Gates Foundation
May 12, 2009
Federal Stimulus Funding, Broadband and
America’s Libraries