1. 1 Miller & Van Eaton P.L.L.C Broadband Stimulus: Where We Stand Today Gerard Lavery Lederer April 29, 2009

2. 2 Miller & Van Eaton P.L.L.C Gerry Lederer Presenter This presentation is provided as a service to you by Miller & Van Eaton and TeleCommUnity. It is not intended to provide legal advice nor create an attorney client relationship. Your use of this information is at your own risk and without any warranties by the presenters.

3. 3 Miller & Van Eaton P.L.L.C Questions We Seek to Answer What's at stake -- dollars and programs What are the open issues, and what did the different parties tell NTIA Are there things that I should be doing right now? What do we know about the BTOP application process? What did NTIA require the last time it issued money? What am I obligated to do if I get a grant?

4. 4 Miller & Van Eaton P.L.L.C Question We Do Not Seek to Answer What is in the Stimulus Bill –For an hour long program on the stimulus visit: –http://www.millervaneaton.com/co ntent.agent?page_name=HT+Feder al+Stimulushttp://www.millervaneaton.com/co ntent.agent?page_name=HT+Feder al+Stimulus

5. 5 Miller & Van Eaton P.L.L.C Checklist for Action Complete all preregistration forms. (Good chance City has already done for other stimulus dollars such as Energy Efficiency Block Grant) Employ TOPs program as template Steal every good idea you can find.

6. 6 Miller & Van Eaton P.L.L.C What is at Stake? $7.2 billion for broadband projects NTIA $4.7 billion –NTIA $ is all “grants” –80/20 match, waiver possible RUS $2.5 billion. –RUS $ is loans, loan guarantees, plus grants –Assume 75% of project must be “rural” Other money elsewhere? –E.g. $2B available in Health IT programs. –Billions in highway funds

7. 7 Miller & Van Eaton P.L.L.C What “They” Are Saying Clinton NTIA head Larry Irving – “Vast majority of the broadband stimulus money will go to public and non- profit applicants.” Mary Campanola, outreach coordinator for the RUS -- “Probably all money will go 100% rural.” Susan Crawford – FCC transition chief and newest member of President Barack Obama's National Economic Council: –Looking for middle mile backhaul networks in rural areas and community anchor institutions for urban access –Want ARRA grants to test what works //Need to experiment with new models –Universities are particularly important nodes –Understand Australia and Singapore as models

8. 8 Miller & Van Eaton P.L.L.C Specific $ Allocations That Should be of Interest to Local Governments >$200M: “expanding public computer center capacity” (community colleges and public libraries) >$250M: innovative programs to encourage sustainable broadband adoption. Parties seem to agree that these programs as well as linking anchor institutions are not contingent on unserved or underserved status.

9. 9 Miller & Van Eaton P.L.L.C Broadband Stimulus Timeline Stimulus bill signed into law NOI issued Comments Due NOFA Issued 1 st Round Of Applications NOF A Award Application Feb 17 2009 Mar 12 2009 Apr 13 2009 May 21 2009 Jun 21 2009 Jul 21 2009 Sept 21 2009 Oct – Dec 2009 Round 2 NOFA Application Last Award Round 3 Apr – Jun 2010 Sept 30 2010

10. 10 Miller & Van Eaton P.L.L.C Round One Stimulus bill signed into law NOI issued Comments Due NOFA Issued 1 st Round Of Applications Feb 17 2009 Mar 12 2009 Apr 13 2009 May 21 2009 Jun 21 2009 Jul 21 2009 Sept 21 2009

11. 11 Miller & Van Eaton P.L.L.C Round Two NOFA Application Award Oct – Dec 2009

12. 12 Miller & Van Eaton P.L.L.C Round Three NOFA Application Final Award Apr – Jun 2010 Sept 30, 2010

13. 13 Miller & Van Eaton P.L.L.C What Are The Open Issues? What Did The Different Parties Tell NTIA? Unserved, Underserved, Broadband, Public interest test, State role Does the determination of any of the above matter for applications that fund anchor institutions, broadband adoption programs and computer labs?

14. 14 Miller & Van Eaton P.L.L.C Are There Things That I Should Be Doing Right Now? Obtain a DUNS number. DUNS website: http://www.dnb.com/US/duns_update/ Register with the CCR. CCR website: http://www.ccr.gov/ Create and account for Fed Connect http://www.ccr.gov/ Register with FedConnect to submit their application. FedConnect website: www.fedconnect.netwww.fedconnect.net The registration process can take three to five business days or one to three weeks depending on your organization and if all steps are met in a timely manner.

15. 15 Miller & Van Eaton P.L.L.C Application Process

16. 16 Miller & Van Eaton P.L.L.C Application Steps Be an eligible applicant Submit an application that meets the terms outlined by NTIA (see infra); “Provide a detailed explanation of how any amount received under the program will be used to carry out the purposes … [of the Act] in an efficient and expeditious manner, including a showing that the project would not have been implemented during the grant period without Federal grant assistance.

17. 17 Miller & Van Eaton P.L.L.C Application Steps Demonstrate ability to comply with federal, state and local laws; Show that you have ability to meet 20% match requirements from non- Federal funds; and Meet any other requirements established by NTIA, including regular reporting obligations.

18. 18 Miller & Van Eaton P.L.L.C How Will My Application Be Judged?  Grants will be judged on a competitive basis based on priorities outlined in the bill. These are outlined in detail in the next slide.  Speed delivered to consumers can serve a tie breaker, but no set speed is established.

19. 19 Miller & Van Eaton P.L.L.C Priorities – How To Increase Your Chance Of Winning Follow the Rules and priority is to be given to projects which: o Enhance public safety or emergency response; o Increase the affordability of broadband subscribership to the greatest population of underserved users; o Enhance health care delivery or education; o Enhance computer ownership or literacy; o Will not result in unjust enrichment from another Federal program; o Improve interoperable broadband communications for public safety; and o Engage a socially and economically disadvantaged small business concern.

20. 20 Miller & Van Eaton P.L.L.C Other Ways To Enhance Winning Ensure your project demonstrates it will: –Make broadband more affordable and increase subscribership in your area; –Increase speed of service in area; –Enhance service for health care delivery, education, and children; and –Not result in unjust enrichment.

21. 21 Miller & Van Eaton P.L.L.C What Rules Governed the Last Time NTIA Had a Grant Program

22. 22 Miller & Van Eaton P.L.L.C Review Tops Program http://www.ntia.doc.gov/top/grants/docu ments/guidelines2004.html http://www.ntia.doc.gov/top/grants/docu ments/guidelines2004.html –Standard Form 424, Application for Federal Assistance (original signature required) –Executive Summary (one page) –Project Narrative (up to 8 pages) Appendices (up to 27 pages) –Standard Form 424A, Budget Information — Non- Construction Programs –Budget Narrative (no page limit) –Statement of Matching Funds

23. 23 Miller & Van Eaton P.L.L.C Executive Summary (1 page) –What are the goal(s) of the project? –What services will you provide through the project and to whom? –What are the anticipated outcomes and impact of the project? –How many sites are there and where are they located? –What technologies are to be employed? –What will users do with the technology? –Who are the communities to be served? –What organizations are participating as partners?

24. 24 Miller & Van Eaton P.L.L.C Project Narrative (8 pages) Here you describe the problem(s) you are trying to solve, The solution(s) you propose, The expected outcome(s) of your project, How you plan to achieve these outcomes, the partners and end users that will be involved, and How you plan to evaluate and share what you learn.

25. 25 Miller & Van Eaton P.L.L.C Review Criteria Project Purpose (20%) Innovation (30%) Community Involvement (10%) Evaluation (10%) Project Feasibility (20%) Project Budget (10%)

26. 26 Miller & Van Eaton P.L.L.C Budget Narrative

27. 27 Miller & Van Eaton P.L.L.C Matching Funds Matching funds may be in the form of cash or in-kind donations. –You cannot count an item or a service as an in-kind contribution simply because it has value. In general, in-kind contributions might include the following: –Donated equipment, computers, telecommunications facilities –Commitments of time from individuals outside the applicant's organization. –Contributions of services from organizations such as telephone companies, network access providers, Internet Service Providers, satellite companies, cable television operators, etc.

28. 28 Miller & Van Eaton P.L.L.C What Am I Obligated To Do If I Get A Grant? In this area, there really are no precedents to reference. Obligations are found in ARRA.

29. 29 Miller & Van Eaton P.L.L.C METRICS #1 MEASURING SUCCESS OF PROJECT The Act requires grant recipients to report quarterly on: –Use of grant funds –Progress in fulfilling the objectives of the grant proposal. Act permits NTIA to de-obligate award if recipients –Demonstrates an insufficient level of performance, or –wasteful or fraudulent spending.

30. 30 Miller & Van Eaton P.L.L.C METRIC #2 MEASURING SUCCESS OF BTOP Act permits NTIA to establish additional reporting and information requirements to include: –whether an individual proposal has successfully complied with the statutory obligations and project timelines? –Reporting on a set of common data elements so that the relative success of individual proposals may be measured?

31. 31 Miller & Van Eaton P.L.L.C Questions

32. 32 Miller & Van Eaton P.L.L.C Gerard Lavery Lederer glederer@millervaneaton.com Miller & Van Eaton, P.L.L.C. 1155 Connecticut Avenue, N.W. Suite 1000 Washington, D.C. 20036-4301 Phone:202-785-0600 Fax:202-785-1234 Website: www.millervaneaton.com Miller & Van Eaton: We Assist Local Governments In Achieving The Full Benefits Of The Communications Age For Their Communities