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HomeMy WebLinkAboutIR 23-1783 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 23-1783 To the Mayor and Members of the City Council December 5, 2023 Page 1 of 2 xA. SUBJECT: TEXAS BROADBAND EQUITY, ACCESS, AND DEPLOYMENT VA (BEAD) UPDATE The purpose of this Informal Report is to provide an update on the Broadband Equity Access and Deployment (BEAD) Program. Background on the BEAD Program The Broadband Equity, Access, and Deployment (BEAD) Program is a federal program that provides $42.45 billion to expand high-speed internet access by funding planning, infrastructure deployment and adoption programs in all 50 states. Texas was allocated $3.3 billion to support infrastructure deployment, mapping and adoption, including planning and capacity-building within the State. Role of the Texas Broadband Development Office (BDO) The Broadband Development Office (BDO) will create a competitive process for potential subrecipients to apply for funding. The National Telecommunications and Information Administration (NTIA) issued a Notice of Funding Opportunity requiring the State to submit a Five-Year Action Plan and "Initial Proposal". The Initial Proposal is the "first draft" of an Eligible Entity's Final Proposal for BEAD grant funding, and, among other things, should explain how State will ensure that every resident has access to a reliable, affordable, and high-speed broadband connection, drawing on all funding available to accomplish this goal, including but not limited to BEAD Program funds. Opportunity for Public Comment The BDO issued their draft Initial Proposal (IP) in two volumes in early November and solicited public comments that are due by December 41". Staff reviewed the draft proposals and are encouraged to find that there are opportunities for service providers to apply for BEAD funding to address service needs in Fort Worth. The City is providing comments to the State in the following areas of the plan: The final accepted proposal will cover all unserved locations, with underserved locations being addressed after unserved. • Public Engagement— The NTIA requires the State to include comprehensive public engagement with many stakeholder groups in the State's IP. The State outlines engagement in Section 2.3 Local Coordination. However, there is no representation on the Statewide Working Group of public housing or low-income multi-dwelling units. Living units within these multi-dwelling and multi-tenant facilities are where many of the underserved and unserved broadband serviceable locations in urban areas are located. A greater focus on both the service to low income MDUs and supporting the residents who occupy these living units should be included in the IP. The City of Fort Worth successfully challenged the FCC broadband availability maps for dozens of these locations that were designated as served. ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 23-1783 To the Mayor and Members of the City Council December 5, 2023 Page 2 of 2 xA. SUBJECT: TEXAS BROADBAND EQUITY, ACCESS, AND DEPLOYMENT VA (BEAD) UPDATE • Low-Cost Broadband Service Option — BDO proposes that the low-cost option for 100/20 service would be 2% of the monthly income of a family that has income that is 150% of the poverty level. This equates $62.15 per month. Many national providers already offer a $30 per month plan under the Affordable Connectivity Plan. The density and high incidence of MDU facilities makes a $30 per month low-income price point sustainable fand affordable to families in higher density urban areas like Fort Worth. • Middle Class Affordability— BDO proposes no rate for scoring purposes for middle class affordability. There is no prohibition for the State to set a rate for scoring purposes. The City will recommend a specific rate of $30 per month for 100/100 and $75 per month for gigabit service to be designated as part of the scoring criteria. Next Steps Public comments on the initial proposal are due on December 4, 2023. The BDO will incorporate the comments into the IP which must be submitted to the NTIA for approval by December 27, 2023. Once the State receives approval of the IP, the BDO will initiate the competitive process to select and award to subrecipients in the State. The BDO indicates that the Notice of Funding Opportunity (NOFO) for the Texas BEAD program with likely be issued around January 2025. The City partnered with Sprocket Networks to improve access to high speed broadband in the community as well as to deliver the City network to support City services. Sprocket will be the applicant for Texas BEAD funding with the City supporting the application as a Public-Private Partnership. The City is planning to dedicate resources to assist with navigating the process for application of the low cost ACP (Affordable Care Program) as well as supporting the grant process overall. If you have any questions for comments, please reach out to Kevin Gunn at kevi n.g u n n(a�fo rtwo rthtexas.gov. David Cooke City Manager ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS