Unpacking Approved BEAD Volume 2s: Montana

BEAD
funding
Author

Michael Santorelli

Published

August 8, 2024

NTIA recently approved Montana’s Initial Proposal Volume 2. The ACLP compared the final version with the draft initially submitted by Montana to NTIA last fall. A redlined comparison is available here. The following changes were evident:

Subgrantee Selection Process

Scoring – Affordability

The state clarified that max points will go to applicants that commit to pricing gig service “at the same rates they offer in their existing markets in other areas of the state” (italicized portion added in the final version).

Scoring – Secondary Criteria

The state clarified that:

  • Max points in the Unserved Areas category will go to applications with PAs that contain 40% unserved locations.
  • Max points in the Length of Service in MT category will go to entities that have “been providing [broadband] service in Montana for 40 years.”
  • Points in the Number of Locations Served category will be awarded relative to the number of eligible BSL and CAI included in the PA.

Low-Cost Option

The state noted that it “philosophically disagrees with NTIA’s position that rate requirements [for the low-cost option] are not rate setting.” Even so, the state “worked diligently to find a data-driven solution that meets NTIA’s requirements, improves the potential for companies to participate….and serves all Montanans.”

That approach involved calculating the average price for service in Western states by using FCC Urban Rate Survey data for the last few years. This exercise yielded a price of $70, which the state will revisit and revise as appropriate each year.