Middle-Mile Broadband Initiative Update

MMBI Progress

With $2.9 billion of $3.6 billion already at work and creating jobs, and with more than 6,500 miles of the network under contract, the Middle-Mile Broadband Initiative (MMBI) has reached the critical milestones of pre-construction, construction, purchase, and/or executed leases to deliver broadband to unserved and underserved California communities. Currently, the State has contracted 3,485 miles of leased, 2,615 miles of joint build, and 435 miles of purchased fiber (purchase agreement to be signed in August 2024). MMBI’s partner Caltrans, is on track to complete preconstruction of 4,000 miles by the end of this calendar year.   

Customer Sounding

The MMBI team launched a customer sounding initiative to better understand how potential customers plan to interconnect with the Middle-Mile Broadband Network (MMBN), and to source input about the range of MMBN services. Input is sought from entities who are building and supporting last-mile networks which includes local government leaders, last-mile Internet Service Providers, and others. MMBI welcomes ongoing participation. If you would like to participate in the customer sounding, please get in touch with us here.

The customer sounding is a follow-up to the recently announced Market Sounding Report. This report details findings from CDT’s recent effort to better understand and analyze the operations of other successful networks and includes a recommendation for how to proceed with the sustainable operation of the MMBI network. The report is available here.

Departmental Cooperation

The success to date of the MMBI is a testament to the strong collaboration among various state departments. Our partners Caltrans and CPUC have played important roles in this progress. This month, CDT and Caltrans collaborated to provide program updates to Caltrans district leads by highlighting several significant milestones in the project, including a statewide status update about the network and a high-level overview about the progress for the RFI2 solicitation. Leadership teams have fostered relationships with county and city governments and Native American tribes to enhance efficiency and extend broadband service to more communities. As the network continues to progress, we meet with our partners weekly to address potential barriers. 

Electronics Contract Awarded

This month, MMBI awarded its electronics RFP to Presidio Networked Solutions Group which will implement a state-of-the-art network solution to manage network infrastructure and allow middle-mile broadband services to be delivered across the MMBN. This high-performance network solution will be installed in every hut across the state to establish the network. The contract on Cal eProcure can be found here.

Construction and Installation Updates

The State continues to move from planning to construction. Between Caltrans and CDT’s other partners, more than 950 miles of the MMBI network are currently under construction. Of the 950 miles, the following 366 miles reflect significant advancements in the last month.

Caltrans:

Caltrans continues to make progress in completing pre-construction of the middle mile network and the following projects are beginning to move from pre-construction to installation:

• Mendocino County: construction on a 10-mile segment along State Route 20 is nearing completion as the contractor begins the process of pulling and testing the fiber optic cable. Work is expected to be completed this summer.
• Lake County: construction is commencing on a six-mile segment along State Route 29.
• Shasta County: construction is commencing on an eight-mile segment along Interstate 5. 
• Lassen County: construction will be commencing in the coming weeks on a four-mile segment along State Route 36.

Joint Build & Lease:

Lumen has started the fiber pull on two segments:

• El Cajon to Winterhaven (165 miles, with 10 miles complete).
• Sacramento to Palo Cedro (173 miles, with 10 miles complete).

The construction from lease partner TPN (TPN-299) along State Route 299 is more than 71 percent complete and is on track to close out construction by the end of 2024.

In Southern California, Caltrans completed all construction (installation of fiber, conduit, and vaults) on an 18-mile Joint Build segment of State Route 67 in San Diego County. 

Note: All miles discussed in the narrative above are rounded to the nearest whole mile.

We encourage everyone to check the “What’s New” section of the MMBI website for the latest program updates. 

Last Mile Program Update

Federal Funding Account Updates

The Federal Funding Account, administered by the California Public Utilities Commission (CPUC), is a $2 billion grant program for last-mile broadband infrastructure projects to connect unserved Californians in accordance with Senate Bill 156 (Chapter 112, Statutes of 2021).

The Commission plans a rolling process for issuing recommended Federal Funding Account grants for public comments. These recommended grants are published as staff Draft Resolutions that batch multiple awards and counties. In addition, a small number of applications qualify for an award by letter (ministerial approval).

Sign up for Federal Funding Account program updates here, and sign up for the “CASF Distribution List” here to receive notices about proposed grant awards. Learn more about the Last-Mile Federal Funding Account on the website.

Loan Loss Reserve Fund

The Loan Loss Reserve Fund received more than 38 applications for over $451 million in the first application window that closed April 9, 2024. The program provides credit enhancements that support local governments, Tribes, and non-profits to fund broadband infrastructure projects. The program enables more favorable borrowing rates for bonds, loans, and letters of credit.

Visit the Loan Loss Reserve Fund webpage for webinars, information sheets, application information, updates on future funding windows, and to subscribe to announcements. 

California Advanced Services Fund Updates

Broadband Public Housing Account

The California Advanced Services Fund (CASF) Broadband Public Housing Account provides grants supporting free broadband for low-income residents of eligible housing communities. On May 17, 2024, the CPUC sent a Notice of Availability regarding Draft Resolution T-17824 for six public housing infrastructure projects. Please refer to the Broadband Public Housing Account webpage here for application instructions and materials per Decision (D.) 24-03-021 and information about program eligibility requirements and application process.  

Tribal Technical Assistance Grants

The Tribal Technical Assistance Grant Program provides grants to California Tribes for eligible pre-construction work that enables broadband internet connectivity. Tribes may receive up to $250,000 each fiscal year to fund activities including market studies, feasibility studies, and business plans. Applications are accepted four times a year by the 1st of January, April, July, and October. Find out more about the program here.

Broadband Infrastructure Grants

Three broadband infrastructure awards for approximately $40 million to serve over 2,000 households are available for public comment and can be adopted by the Commission as soon as the June 20, 2024 public meeting.

The three California Advanced Services Fund (CASF) Infrastructure Grant Account Draft Resolutions include: Draft Resolution T-17817, Draft Resolution T-17823, and Draft Resolution T-17817. The 2024 application deadline has yet to be announced. Learn more about the Infrastructure Grant Account on the website.

Broadband Adoption Grants

The CASF Broadband Adoption Account provides grants to eligible applicants to increase publicly available or after-school broadband access and digital inclusion, such as grants for digital literacy training programs and public education to communities with limited broadband adoption. On May 7, 2024, the CPUC released a Notice of Availability regarding Draft Resolution T-17819 for some projects submitted in the January 2024 application round.

In addition, on May 7, 2024, the CPUC approved approximately $3.45 million for 36 grants to 14 grantees. Collectively, these projects will provide digital literacy training to approximately 6,700 participants and broadband access to 11,190 participants. Learn more about the Broadband Adoption Account on the website. 

CPUC Broadband Caseworkers

The CPUC’s broadband caseworkers engage with rural, urban, and Tribal communities throughout California as they pursue solutions to the digital divide. Caseworkers share expertise and help entities navigate funding programs/models. The broadband caseworker website provides a collection of technical, funding, and policy resources. Questions may be directed to the team at BroadbandCaseworkers@cpuc.ca.gov.

Broadband Adoption and Affordable Connectivity Program (ACP) Update

In a recent May letter to Affordable Connectivity Program Outreach Grantees, FCC Chairwoman Jessica Rosenworcel thanked the many grantees nationwide, including 15 here in California, for their contributions to the success of the Affordable Connectivity Program.

Before the enrollment freeze on February 8, 2024, over 23 million households nationwide, and 2,945,282 in California were enrolled in ACP. According to analysis provided by the FCC which outlines the ACP by State, the total impact of ACP subsidies to California was nearly $1.7 billion over the life of the program.

While the Lifeline program will not fully replace the ACP benefit and has different requirements under the law, it may be able to help alleviate the pressure ACP households will face after the end of the program.

Additional resources include:

• Letter from Chair Rosenworcel
• ACP Impact by State

Low-Cost Offer Finder

To promote broadband affordability, CDT provides the low-cost offer finder tool, with information from EveryoneOn and CETF, as a public service to California residents. The information and services provided assist Californians with finding programs in their areas that offer low-cost internet services, computer equipment, and digital skills training. 

Digital Equity and Broadband Equity, Access, and Deployment (BEAD) Updates

State Digital Equity Plan (SDEP) and NTIA State Digital Equity Capacity Grant Notice of Funding Opportunity (NOFO) Briefing Recap

Thank you to all who attended the SDEP and NTIA State Digital Equity Capacity Grant NOFO Briefing on May 23. More than 540 participants registered for the briefing. CDT engaged digital equity stakeholders about the SDEP implementation, NTIA State Digital Equity Capacity Grant NOFO, and opportunities to further collaborate and provide input on the Capacity Grant program design.

If you missed the event, the meeting recording, presentation slides, minutes, and transcript can be found here.

SDEP Implementation and Capacity Grant Program Design Questionnaire

CDT is eager to receive input from stakeholders on items to consider regarding Digital Equity Plan implementation and Capacity Grant Program and sub-grant program design. Please take a few moments to complete the questionnaire.

Responses are due no later than July 2, 2024.

Broadband Equity, Access, and Deployment Program Updates

California was awarded $1.86 billion in federal BEAD funding to build infrastructure and expand internet access in rural and historically underserved communities. The BEAD program is being implemented in California by the CPUC.

The CPUC submitted for federal approval an Initial Proposal (Volume I and Volume II) outlining how the State will grant BEAD funding awards. The NTIA approved with modifications, the CPUC’s Initial Proposal Volume I on April 4, 2024. The CPUC voted 4-0 to adopt Volume I as approved by the NTIA on May 9. Volume I governs the BEAD Challenge Process whereby eligible entities may challenge BEAD locations prior to subgrantee selection.

The Challenge Process is critical to ensuring that the national FCC Broadband Map used to determine eligibility for BEAD funds accurately reflects broadband access and availability across our state by identifying if a broadband serviceable location should or should not be designated as served, unserved, or underserved. Learn more about the Challenge Process here.

Pre-registration is now open to permissible challengers. Consistent with NTIA program rules, permissible challengers include local governments, Tribal governments, nonprofit organizations, and broadband service providers. Permissible challengers may also opt-in to submit challenges on behalf of residents. Please visit the Challenge Portal to submit a registration request.

Visit the BEAD webpage for general BEAD Program information and to sign up for email updates. A list of events and links to register for BEAD webinars and office hours are available on the BEAD Events page.

Community Spotlight

LA County & WeLink Sign Historic Public-Private Partnership to Bring Internet to Areas Impacted by the Digital Divide

The County of Los Angeles’ Internal Services Department (ISD) and WeLink Communications (WeLink) have partnered to bring affordable and reliable broadband internet to underserved areas in East Los Angeles/Boyle Heights and South Los Angeles. WeLink will offer a ground-breaking low-cost internet plan for qualifying households, ultra-high speed broadband internet, and services including multilingual support, fixed pricing, and consumer-friendly terms. 

Read the full article here.

Note: If your organization is interested in spotlighting the work you are doing to close the digital divide in California, please email submissions for consideration to broadbandforall@state.ca.gov.  

Upcoming Events

Date	Time	Event	Locations and Links
Friday, July 19, 2024	10:00-11:30 a.m.	Middle-Mile Advisory Committee Meeting (Hybrid)	(New location) California Environmental Protection Agency (CalEPA), Byron Sher Auditorium – 1001 I Street, Sacramento, CA 95814 Zoom
Tuesday, July 23, 2024	9:30-11:30 a.m.	California Broadband Council Meeting (Hybrid)	California Environmental Protection Agency (CalEPA), Byron Sher Auditorium – 1001 I Street, Sacramento, CA 95814 Zoom

Job Opportunities

Keep an eye on CDT Broadband job postings and CPUC job postings. Visit CalCareers  for more information and to apply for open positions.