In our Nov. 11 e-lert, JSI informed clients that RUS and NTIA, the two agencies administering the Broadband Stimulus programs through the American Recovery and Reinvestment Act, had released a Request for Information (RFI) seeking comment on changes that should be made in the rules for the second, and final, round of applications. With the RFI's publication in the Federal Register, the comments are due on Nov. 30.

JSI plans to file comments on some of the general issues included in the RFI and certainly welcomes client input on these issues. JSI also encourages clients interested in applying in the final round of funding to file comments on issues they believe will affect their company's prospects to obtain funds. We recommend that such comments focus on specific concerns that companies encountered with the rules governing the first round, as well as examples of how the agencies can improve the rules and processes.

All JSI clients that participated in filing responses to applications challenging the "unserved" or "underserved" status of proposed funded service areas should take note that the RFI seeks comment on possible changes to this process. In assisting clients with their responses, JSI observed that the process placed unnecessary burdens on them, most notably having to provide data and draw maps according to the applicants' proposed funded service areas, rather than using the clients' own existing data. In many instances, this meant that clients had to spend significant time and expense reprocessing data they had already compiled and filed on the FCC's Form 477. Accordingly, we encourage all clients that took part in the response process to provide us with examples of problems your company experienced with this process, as well as suggestions for changes that should be made. We also encourage clients to address this issue in their company-specific comments.

To assist clients in determining the issues of importance to them, JSI offers the following review of the RFI. We will post a more thorough analysis of the issues raised in the RFI for clients, along with recommendations on how to address them, on MyJSI in the next day or so. JSI staff can also help in drafting comments, but given the short turn-around time to the deadline, clients that would like our assistance need to contact us no later than Thursday, Nov. 19.

Overview of Issues Raised in the RFI on Which Comment is Sought

The RFI has two major sections: Applications and Review Process, and Policy Issues.

1. Application and Review Process
Under the Application and Review section, the RFI asks commenters to provide input on how the application process can be streamlined. Commenters should document issues that their company had with the process itself and make recommendations for improvement. This may include concerns that a company had with the online filing system, help-desk, mapping tool, and the amount and/or type of attachments required. The RFI also requests input on the use of consortiums in the application process and the agencies' progress on their goals in transparency, outreach, and review processes.

Because the issues in this section are general in nature, JSI plans to address many of them in its comments and welcomes client input. Clients filing individual comments, however, that were affected by the burdensome process of applying to both RUS and NTIA if they required more than 50 percent in grant funds would certainly want to address the disparity between the mix of loan and grant funding requirements between the BIP (RUS) and BTOP (NTIA) programs and offer recommendations for change.

2. Policy Issues Section
Many of the items raised in the policy section are ones on which comments would vary depending on company-specific circumstances. Accordingly, JSI cannot respond to these matters in our comments, but strongly encourages clients to address them in theirs. Some of the policy issues on which comment is sought are: funding priorities and objectives, program definitions, public notice of service areas, interconnection and nondiscrimination requirements, sale of project assets, and cost effectiveness.

The RFI also requests comment on the funding priorities for the second Notice of Funds Available (NOFA). Specifically, the RFI asks if the second NOFA should be limited to projects that would create "comprehensive communities" by delivering middle-mile infrastructure facilities to a group of communities and connect key anchor institutions there. In addressing this proposal, commenters that already serve anchor institutions should provide specific examples of the services they provide and the impact such a proposal would have on the services they provide to the community at large.

Companies filing comments may also want to address the evaluation criteria as they are such a key factor in determining the applications that will be awarded funds. In addressing the evaluation process, companies may want provide specific examples of how the scoring criteria can be improved to ensure that the types of projects for which your company would be applying would receive the highest scoring and justification for why the highest scores should be awarded to such projects.

Certainly, JSI emphasizes, companies would want to consider commenting on any changes to the definitions of "remote," "unserved," "underserved," and "broadband" to the extent that any of the definitions were detrimental to your company in the first-round applications. We would be glad to discuss options with you regarding how these terms could be defined based on your company-specific circumstances.

Other policy issues on which comments are sought include: the Public Notice Filing (PNF) response process by which existing service providers challenge the "unserved" and "underserved" assertions made in the applications, possible changes to the interconnection and nondiscrimination requirements, restrictions on the sale of project assets, and cost effectiveness that was an evaluation criterion for the NTIA program.

Clients that have questions regarding the RFI or the application process, would like JSI's assistance in drafting company-specific comments, or would like to provide input for the comments that JSI will submit should contact John Kuykendall (jkuykendall@jsitel.com) or Valerie Wimer (vwimer@jsitel.com) in JSI's Maryland office at 301-459-7590.