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Home»Money»Most of the BEAD money may not hit until 2026
Money

Most of the BEAD money may not hit until 2026

James D RodriquezBy James D RodriquezOctober 1, 2024No Comments5 Mins Read
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Most Of The Bead Money May Not Hit Until 2026
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A panel at the upcoming Broadband Nation Expo will discuss when the BEAD money will start flowing. Realistically, most early states may not issue funds to subgrantees until fall 2025. The panel will also discuss important BEAD milestones that still need to be reached.

When will BEAD money start flowing? That’s the billion dollar question — just kidding. Most states have Vol. 1 and Vol. 2 processes approved by the National Telecommunications and Information Administration (NTIA), according to the NTIA Progress Dashboard. Volume 1 focuses on the mapping challenge process, and Volume 2 consists of the rest of the state’s BEAD implementation plan. Still, the wait continues.

Jade Piros de Carvalho, vice president of broadband advocacy and partnerships with Bonfire and moderator of a panel at Fierce Network’s upcoming Broadband Nation Expo, told Fierce Network: ” This will definitely be one of the topics of her panel discussion next week, when the state broadband director will discuss the status of the Broadband Equity, Access, and Deployment (BEAD) program.

One of the difficulties with this program is knowing the overall status. The NTIA dashboard “doesn’t tell us which states have hidden milestones,” she said, and even though all Vol. 1s have been approved, some states are still waiting to verify their challenge results. He added that he was waiting.

Some states, such as Louisiana, Montana, West Virginia, Nevada, and Colorado, are far ahead of others and are currently working on their grant recipient processes as part of Volume 2. , which will be submitted to the NTIA for approval.

De Carvalho said it is unclear how long approval will take after that, but it will probably take three months. Hopefully, while states wait for these approvals, they will work behind the scenes to help companies line up workers to build the actual fiber networks.

Ultimately, all states will need to submit final proposals, which will be open for public comment for 30 days. She said many things need to be done at the same time rather than sequentially.

“We’re hoping to have shovels in the ground in Louisiana by late spring,” De Carvalho said. But other early states may not issue grants until fall 2025.

I think most of this money will be on the streets in 2026.

Jade Piros de Carvalho, Vice President of Broadband Advocacy and Partnerships, Bonfire

“I think the majority of this money will be on the streets in 2026,” she said.

The fact that the goalposts seem to be moving further away is disappointing to many who were hoping that BEAD would start awarding grants. But NTIA says it is working as quickly as possible.

alternative technology

In late August, NTIA issued draft guidance on alternative technologies, saying states could use unlicensed radio spectrum technologies and satellite broadband for BEAD projects.

However, Mr De Carvalho warned that fiber broadband was still preferred. The new draft guidelines mean there is a cascade of technologies that states can consider in order of priority. First priority is fiber broadband. However, in locations where costs are prohibitive, hybrid fiber-coaxial cable or licensed fixed wireless access can be considered. Then, only if there are sites that do not receive a bid, can we begin to consider satellite and unlicensed fixed wireless technologies.

There was some controversy over whether low-orbit satellites should be eligible for BEAD funding.

But De Carvalho said: “At the end of the day, it will only be allowed in areas where there are no bets. It’s like a last resort scenario for airlines.”

Additionally, NTIA is only issuing draft guidance, so other amendments may be made to the final guidance.

Some states did not list satellite broadcasting and unlicensed broadcasting in Volume 2. 2. Approved. Now, the question is how it is solved.

non-deployed funds

Finally, the Broadband Nation Expo panel will likely discuss non-deployment funds, which are the surplus funds that remain after some states complete all BEAD construction.

When Congress established a way to distribute $42.5 billion to all states and territories, it appeared to give more to states with larger populations of underserved people. Many of these states are in the South. On the other hand, states with large landmass and small populations, many in the Midwest and West, appear to receive less funding.

Currently, some states, primarily in the South, probably have hundreds of millions of dollars in surplus funds.

“We estimate that more than a dozen states will experience significant surpluses,” de Carvalho said.

These funds can also be used for purposes beyond deployment, including digital equity, affordability programs, workforce development, and device assistance. But these states will need to plan for spending money beyond deployment.

In addition to the public debating when the money will start flowing, De Carvalho said, in addition to discussing when the money will start flowing, whether each state will have enough money to meet its goals and what the timeline for each state will be, the money will start flowing in. He said the panel could also touch on topics such as whether Some difficult decisions have to be made regarding technology.

Fierce Network is preparing for the Broadband Nation Expo in Washington, DC, October 9-11, where broadband leaders will gather to talk about BEAD. Don’t miss the opportunity to meet your industry peers. Please register here!

BEAD hit money
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James D Rodriquez

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