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HomeMy WebLinkAboutAgenda 05-07-24; 12-5 - Information Item - Memorandum - Update on BEAD Funding for Remaining Unserved Broadband Addresses ORANGE COUNTY NORTH CAROLINA TO: Board of County Commissioners FROM: Todd McGee, Community Relations Director DATE: May 7, 2024 SUBJECT: Update on BEAD funding for remaining unserved Broadband addresses Orange County and Lumos Fiber formed a public-private partnership in April 2022 to bring ultra-high- speed fiber internet service to approximately 6,400 locations that previously had little or no internet service.The county appropriated $10 million in funding from the American Rescue Plan Act to subsidize the project. Prior to issuing the RFP,the county undertook a strenuous effort to identify all areas that were considered unserved, utilizing existing data from the FCC and other means. We have since discovered many addresses and neighborhoods were incorrectly identified as being served in old FCC maps. Newer maps detail broadband availability at an address level and revealed these errors. The county and Lumos have been discussing the best options for reaching the remaining pockets of unserved homes and businesses in the county,which Lumos estimates to be fewer than 600, including utilizing funding from the North Carolina Broadband Infrastructure Office (NCBIO). NCBIO will distribute the state's share of federal Broadband Equity,Access, and Deployment(BEAD) program. North Carolina received $1.53 billion from the program. To receive its share of BEAD funding, NCBIO must develop a detailed plan to connect every unserved location in the state and contract with different internet providers to build to those locations. NCBIO's BEAD plan is expected to be approved by the end of 2024. When the plan is approved, Lumos will apply for a grant to bring fiber internet to the remaining unserved areas of Orange County. Other providers may also apply to receive grants. Funding is expected to be awarded to providers in early 2025 with the expectation that the areas will receive service by the end of 2026. Lumos continues to make progress on the current project.The company recently received the second payment installment of$3 million for enabling connections to more than 3,000 of the 6,370 contracted addresses.The county has so far paid $4 million of the$10 million,with the final payment due upon completion. Lumos has experienced a few delays due to unexpected issues but is on target to finish construction on the network to bring service to the remaining contracted addresses prior to the end of 2024. 300 W.Tryon Street, Hillsborough, NC 27278 1 www.orangecountync.gov 1 919.732.8181