We are currently in the middle of the process to distribute $42.5 billion of government funds to companies that will win Broadband Equity, Access, and Deployment (BEAD) funds. To provide an update on the status and progress of the BEAD grant application process, we consulted with Carol Mattey, a broadband consultant and former deputy bureau chief with the FCC.
Several states, such as Missouri, Montana, Wyoming, and Louisiana, are allowing pre-qualification applications for BEAD grants. These applications require basic information about the company’s history, key management personnel, financials, and past broadband experience. However, applicants cannot yet write narratives for specific locations they want to bid on due to the lack of announced BEAD-eligible locations.
The most crucial aspect affecting the timeline is the need for the National Telecommunications and Information Administration (NTIA) to approve each state’s list of eligible locations resulting from their mapping challenge process. Despite this, state broadband offices have other tasks to focus on, such as developing their fair labor strategy, supply chain, and climate resilience plans in advance of the application window opening.
While the specific details of the grant applications remain unknown, states are in the process of setting up their BEAD application portals with the help of contractors. Large operators have already established BEAD teams to closely monitor developments at the state level and are preparing flexible templates to align with each state’s scoring rubric.
NTIA has pre-determined 75% of the scoring criteria for BEAD sub-grantee winners, focusing on factors such as cost, affordability, and fair labor practices. The remaining 25% allows states to prioritize certain aspects, pending NTIA approval. The emphasis on cost in the scoring rubric aims to select bids that require the least government funding.
Despite concerns from some Republicans about excessive regulation in the BEAD process, most service providers are expected to participate to avoid losing out on funding opportunities. Mattey highlighted the risk for service providers neglecting certain areas with broadband services if they choose not to participate, potentially allowing competitors to win BEAD funds and expand broadband access in those underserved locations.
