[Federal Register Volume 75, Number 88 (Friday, May 7, 2010)]
[Notices]
[Pages 25185-25195]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-10765]


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 Notices
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  Federal Register / Vol. 75, No. 88 / Friday, May 7, 2010 / Notices  

[[Page 25185]]



DEPARTMENT OF AGRICULTURE

Rural Utilities Service

RIN 0572-ZA01


Broadband Initiatives Program

AGENCY: Rural Utilities Service, Department of Agriculture.

ACTION: Request for proposals.

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SUMMARY: The Rural Utilities Service (RUS) announced its general policy 
and application procedures for the second round of funding under the 
broadband initiatives (the Second Round NOFA), established pursuant to 
the American Recovery and Reinvestment Act of 2009 (Recovery Act) for 
the Broadband Initiatives Program (BIP), on January 22, 2010 at 74 FR 
3820. In that Second Round NOFA, RUS announced the opening of a future 
window for specific grants for Satellite, Rural Library Broadband, and 
Technical Assistance, and that any requirements would be outlined in 
the Request for Proposals (RFP). This RFP outlines those requirements.

DATES: Applications for Satellite, Rural Library Broadband, and 
Technical Assistance Projects will be accepted from May 7, 2010, until 
June 7, 2010.
    Application Submission: The application packages for all programs 
are available at http://www.broadbandusa.gov. Applications for 
Satellite, Rural Libraries Broadband, and Technical Assistance projects 
must be submitted in paper format by June 7, 2010.
    Paper Format: Paper applications must include proof of mailing 
consisting of one of the following: (i) A legibly dated U.S. Postal 
Service postmark. Please note that the U.S. Postal Service does not 
uniformly provide a dated postmark. Before relying on this method, 
Applicants should check with their local post office; (ii) A legible 
mail receipt with the date of mailing stamped by the U.S. Postal 
Service; or (iii) A dated shipping label, invoice, or receipt from a 
commercial carrier. Neither of the following will be accepted as proof 
of mailing: A private metered postmark, nor a mail receipt that is not 
dated by the U.S. Postal Service.
    Mailing Address: One original and one copy of the completed 
application must be mailed, shipped, or sent overnight express to: 
Broadband Initiatives Program, Rural Utilities Service, U.S. Department 
of Agriculture, 1400 Independence Avenue, SW., Stop 1599, Room 2868, 
Washington, DC 20250 or hand-delivered to: Broadband Initiatives 
Program, Rural Utilities Service, U.S. Department of Agriculture, 1400 
Independence Avenue, SW., Room 2868, Washington, DC 20250.
    Contact Information: For general inquiries, contact David J. 
Villano, Assistant Administrator Telecommunications Program, Rural 
Utilities Service, U.S. Department of Agriculture (USDA), email: 
[email protected], telephone: (877) 508-8364. For inquiries 
regarding BIP compliance requirements, including applicable federal 
rules and regulations protecting against fraud, waste and abuse, 
contact [email protected]. You may obtain additional 
information regarding applications for BIP via the Internet at http://www.broadbandusa.gov.

    Authority:  This notice is issued pursuant to the American 
Recovery and Reinvestment Act of 2009, Pub. L. 111-5, 123 Stat. 115 
(2009) and the Rural Electrification Act of 1936, 7 U.S.C. 901 et 
seq.

SUPPLEMENTARY INFORMATION:
    Catalog of Federal Domestic Assistance (CFDA) Number: Broadband 
Initiatives Program (BIP)--10.787.

Additional Items in Supplementary Information

    I. Overview: Describes the purposes of the Recovery Act and the 
changes in BIP from the First Round NOFA.
    II. Definitions: Sets forth the key statutory terms and other 
terms.
    III. Funding Opportunity Description: Describes funding 
categories, requirements, and the amount of funds available for each 
category.
    IV. Eligibility Information: Establishes eligibility criteria, 
eligibility factors, eligible and ineligible costs, and other 
eligibility requirements.
    V. Application and Submission Information: Provides information 
regarding how to apply, application materials, and the application 
process.
    VI. Application Evaluation Criteria: Establishes the evaluation 
criteria for application review.
    VII. Award Administration Information: Provides award notice 
information, administrative and national policy requirements, terms 
and conditions, and other reporting requirements for award 
recipients.
    VIII. Other Information: Sets forth guidance on funding, 
compliance with various laws, confidentiality, discretionary awards, 
and authorized signatures.

I. Overview

    On January 22, 2010, the Rural Utilities Service (RUS) published 
its Second Round NOFA at 74 FR 3820, identifying new funding 
opportunities for Satellite, Rural Library Broadband, and Technical 
Assistance projects. In that Second Round NOFA, the Agency also noted 
that more specific requirements would be outlined in a future Request 
for Proposals (RFP). This RFP details those requirements with respect 
to application contents, as well as eligible expenses under each 
funding opportunity. Generally, the following changes have been made to 
each funding opportunity:

Satellite

    For Satellite projects, there have been no major changes to the 
information required in the application except for the proposed amount 
per subscriber that is requested in federal assistance (``Proposed 
Subscriber Amount''). This amount represents the Applicant's bid to 
provide the required terms of service, in addition to any other 
proposed terms, to any unserved premises in the Satellite Region. The 
eligible costs provision has correspondingly been modified to reflect 
that such costs will be reimbursed on the proposed subscriber amount 
agreed to by the Agency. How a successful Applicant applies the grant 
funds per subscriber shall be at its discretion. In addition, the 
requirement that an Applicant offer a reduced service package of at 
least 25 percent of its December 2009 published rates has been 
eliminated. Upon reflection, the Agency has determined that such a 
requirement may not accomplish the desired effect, given that some 
providers may already offer better rates than other discounted rates, 
and that such an aggressive discount may not be feasible. Moreover, 
imposition of the requirement would be unfair to existing companies 
given that new

[[Page 25186]]

entrants or consortiums would not have existing rates. As such, the 
Agency is eliminating the 25 percent discount requirement, but now 
requires that the cost of its Basic Service Package, as defined in this 
RFP, not exceed $50 per month.
    The Agency will accept National Applications which cover at least 
six of the eight Satellite Regions, in addition to Regional 
Applications that cover one or more Satellite Regions. However, if an 
applicant chooses to submit a National Application, it must submit one 
national proposed subscriber amount, whereas Regional Applications may 
contain distinct regional proposed subscriber amounts in their regional 
break out. An applicant may submit both a National Application and a 
Regional Application covering the same Satellite Regions for 
consideration.
    In addition, the Agency has determined that reaching hard to serve 
unserved rural premises may best be served by awarding more than one 
Regional or National applicant for the same Satellite Region, depending 
on the proposals it receives.

Rural Library Broadband

    For Rural Library Broadband projects, there also have been no 
changes to the requirements of the application, but the scope of 
eligible costs has been amplified to encompass associated costs with 
hardware and software to connect the Rural Libraries. Connecting the 
Rural Library to a broadband network without the necessary equipment to 
that connection would not serve the purposes of the program.

Technical Assistance

    For Technical Assistance projects, the requirements of the 
application have been clarified with respect to the objective of the 
plan. Moreover, Indian tribes are not required to receive a BIP or BTOP 
award in order to be eligible to receive a grant for Technical 
Assistance.
    Eligible costs also have been modified to include up to five 
percent of pre-application expenses so that Applicants may adequately 
lay out their proposal in sufficient detail.

Rural Library Broadband and Technical Assistance

    For both Rural Library Broadband and Technical Assistance projects, 
eligible entities have been amended to clarify that in addition to the 
Awardees under the First Round NOFA and Second Round NOFA, only 
Applicants for the Second Round NOFA that ultimately receive an Award 
under that NOFA will be considered for these projects. Given the timing 
of this RFP, all Awardees under the Second Round NOFA have not been 
determined. As such, Round Two Applicants that have not yet been 
notified of the status of their application may submit an application 
for Rural Library Broadband and Technical Assistance projects at their 
own risk.

Satellite, Rural Library Broadband and Technical Assistance

    Some definitions have been added to effectuate the requirements of 
Satellite, Rural Library Broadband, and Technical Assistance projects.
    Based on the number of estimated applicants the Agency expects to 
receive for all three projects, it has determined that the cost of 
developing an online intake system would not be an effective use of 
Agency resources. Therefore, all applications under this RFP must be 
submitted in paper format.

II. Definitions

    The terms and conditions provided in this Request For Proposals 
(RFP) are applicable to, and for the purposes of, this RFP only. Unless 
otherwise provided in the award documents, all financial terms not 
defined herein shall have the meaning as defined by Generally Accepted 
Accounting Principles.
    Administrator means the RUS Administrator, or the Administrator's 
designee.
    Applicant means an entity requesting an award under this RFP, and 
where applicable, the First Round NOFA or Second Round NOFA.
    Award means a grant made under this RFP.
    Awardee means a grantee under this RFP, unless otherwise specified.
    Basic Service Package means Satellite Broadband Service offered at 
no greater than $50 per month to the end user.
    BIP means the Broadband Initiatives Program, administered by the 
RUS, under the Recovery Act.
    Broadband means providing two-way data transmission with advertised 
speeds of at least 768 kilobits per second (kbps) downstream and at 
least 200 kbps upstream to end users, or providing sufficient capacity 
in a middle mile project to support the provision of broadband service 
to end users.
    BTOP NOFA means the Notice of Funds Availability issued under the 
Broadband Telecommunications Opportunity Program (BTOP) administered by 
the National Telecommunications and Information Administration of the 
Department of Commerce and published in the Federal Register on January 
22, 2010 at 75 FR 3792.
    CALEA means the Communications Assistance for Law Enforcement Act, 
47 U.S.C. 1001 et seq.
    Commercial Service Package means the provision of Satellite 
Broadband Service at speeds of at least 2 megabits per second (Mbps) 
downstream and greater than 200 kbps upstream to end users.
    Critical community facilities means public facilities that provide 
community services essential for supporting the safety, health, and 
well-being of residents, including, but not limited to, emergency 
response and other public safety activities, hospitals and clinics, 
libraries and schools.
    Current ratio means the current assets divided by the current 
liabilities.
    Economic life means the estimated useful service life of an asset 
as determined by RUS.
    End-user equipment means, excluding desktop or laptop computers, 
computer hardware and software (including anti-virus, anti-spyware, and 
other security software), audio or video equipment, computer network 
components, telecommunications terminal equipment, inside wiring, 
interactive video equipment, or other facilities required for the 
provision and use of broadband transmission services.
    Expanded Service Package means the provision of Satellite Broadband 
Service at speeds of at least 1.5 Mbps downstream and greater than 200 
kbps upstream to end users.
    First Round NOFA means the NOFA published in the Federal Register, 
Vol. 74, No. 130, Thursday, July 9, 2009 at FR 33104.
    GAAP means generally accepted accounting principles.
    Grant agreement means the agreement between RUS and the Awardee for 
grants awarded under this RFP, including any amendments thereto, 
available for review at http://www.broadbandusa.gov.
    Grant documents mean the grant agreement and security documents 
between the RUS and the Awardee and any associated documents pertaining 
to the grant.
    Grant funds mean federal funds provided pursuant to a grant made 
under this RFP.
    Indian tribe means, as provided in section 4 of the Indian Self-
Determination and Education Assistance Act, 25 U.S.C. 450b, any Indian 
tribe, band, nation, or other organized group or community, including 
any Alaska Native village or regional or village corporation as defined 
in or established pursuant to the

[[Page 25187]]

Alaska Native Claims Settlement Act, 43 U.S.C.A. Sec.  1601 et seq., 
which is recognized as eligible for the special programs and services 
provided by the United States to Indians because of their status as 
Indians.
    National Application shall mean a Satellite application covering at 
least six of the Satellite Regions, and shall be treated as a single 
application.
    Proposed Subscriber Amount means, for a Satellite Project, the 
amount which the Applicant proposes to accept in federal assistance as 
payment in exchange for providing broadband service, on the terms as 
identified in its proposal and as required in this RFP, to each 
eligible unserved, rural premises.
    RE Act means the ``Rural Electrification Act of 1936,'' as amended 
(7 U.S.C. 901 et seq.).
    Recovery Act means the American Recovery and Reinvestment Act of 
2009, Public Law 111-5, 123 Stat. 115 (2009).
    Region means either multi-jurisdictional areas, as proposed by an 
Applicant, within a state, territory, or Federally-designated tribal 
land or an area that crosses state, territory, or tribal boundaries.
    Regional Application shall mean a Satellite application for one or 
more Satellite Regions, which shall be treated as a separate 
application for each of the Satellite Regions being applied for.
    Rural area means any area, as confirmed by the latest decennial 
census of the Bureau of the Census, which is not located within: (1) A 
city, town, or incorporated area that has a population of greater than 
20,000 inhabitants; or (2) an urbanized area contiguous and adjacent to 
a city or town that has a population of greater than 50,000 
inhabitants. For purposes of the definition of rural area, an urbanized 
area means a densely populated territory as defined in the latest 
decennial census of the Bureau of the Census.
    Rural Library means a library in a rural area.
    RUS Accounting Requirements shall mean compliance with U.S. GAAP, 
acceptable to RUS, as well as compliance with the requirements of the 
applicable regulations: 7 CFR 3015, 3016, or 3019 or the system of 
accounts prescribed by RUS Bulletin 1770B-1.
    Satellite Broadband Service means broadband that is delivered to 
the end user through a satellite based system and not an ancillary or 
terrestrial based system.
    Satellite Project means any project to provide Satellite Broadband 
Service to unserved rural premises (including households, businesses, 
public safety entities, and critical community facilities).
    Satellite Region means any of the eight regions available for a 
satellite project, identified in Section IV.C.1(a).
    Second Round NOFA means the NOFA published in the Federal Register, 
Vol. 75, No. 14, Friday, January 22, 2010 at FR 3820.
    Telecommunications terminal equipment means telecommunications 
equipment at the end of a circuit or path of a signal, including but 
not limited to facilities that receive or transmit over the air 
broadcast, satellite, and microwave, normally located on the premises 
of the end user, that interface with telecommunications transmission 
facilities, and that is used to modify, convert, encode, or otherwise 
prepare signals to be transmitted via such telecommunications 
facilities, or that is used to modify, reconvert, or carry signals 
received from such facilities, the purpose of which is to accomplish 
the goal for which the circuit or signal was established.
    USDA Region means either multi-jurisdictional areas, as designated 
or defined by the Secretary of Agriculture, within a state, territory, 
or Federally-designated tribal land or an area that crosses state, 
territory, or tribal boundaries.

III. Funding Opportunity Description

A. Funding Categories

1. Satellite Projects
    Applicants must propose to serve only unserved rural premises in 
any of the Satellite Regions listed in Section IV.C.1(a) of this RFP. 
Applicants may propose to serve more than one Satellite Region by 
submitting a Regional Application which is broken out for each 
Satellite Region it proposes to serve, and/or by submitting a National 
Application covering at least six of the Satellite Regions. National 
Applications, however, must contain only one national proposed 
subscriber amount, whereas Regional Applications broken out for each 
Satellite Region may contain distinct proposed subscriber amounts. One 
or two Applicants may be selected to serve each Satellite Region. Funds 
will be disbursed among the eight Satellite Regions listed in Section 
IV.C.1(a), as the Agency determines is necessary to promote geographic 
diversity of funding throughout each Satellite Region, and funds will 
be divided within the same Satellite Region, if two awardees are 
chosen, based on the strength of each proposal.
    At a minimum, an application for Satellite projects must commit to 
providing no cost customer premise equipment CPE (including no 
installation, activation, or other fees) for all packages offered. In 
addition, the Basic Service Package must be offered at a rate no higher 
than $50 per month for at least one year with no length of service 
requirements, unless the Applicant offers the Basic Service Package at 
less than $40 per month. In such case, the Applicant may propose a one-
year contract requirement, if an unconditional 30-day cancellation 
clause is provided. There are no length of service requirements or 
price requirements for Expanded Service Packages or Commercial Service 
Packages.
    If no applications are received for a given Satellite Region, the 
Administrator may request applications for that Satellite Region from 
existing Applicants under this RFP. Moreover, if the Administrator 
determines that no applications are acceptable for a Satellite Region, 
the Agency may request Applicants that submitted applications for that 
Satellite Region to submit amended applications. If the Agency is still 
unable to receive an acceptable application from such Applicants, then 
the Administrator reserves the right to request applications from 
Applicants for other Satellite Regions, or not to award the Satellite 
Region.
2. Rural Library Broadband Grants
    Awardees under the First Round NOFA or Second Round NOFA, or 
Applicants under the Second Round NOFA may submit a grant request for 
providing a broadband connection to any rural library in their proposed 
funded service area that was constructed or to be constructed with 
funding from USDA's Community Facilities program of the Rural Housing 
Service and that is without broadband service. The grant request must 
include the broadband connection to such rural library. Such costs need 
not have been addressed in the original application submitted under the 
First Round NOFA or Second Round NOFA. If the costs were addressed, 
however, in the original application, the Applicant may request that 
such costs be converted to grant funds. Rural libraries that already 
have a broadband connection are ineligible for this program.
    In addition to the connection to these unserved rural libraries, 
Applicants may also request funds to accommodate up to 10 workstations, 
as well as critical End-user Equipment and Telecommunications Terminal 
Equipment, as defined herein, to ensure that broadband service is not 
only

[[Page 25188]]

available, but can be used by the residents of the community to be 
served.
    If the Applicant will not be solely responsible for grant assets 
located in the rural library, then the rural library must be a co-
applicant for the grant.
3. Technical Assistance Grants
    Awardees under the First Round NOFA or Second Round NOFA, 
Applicants under the Second Round NOFA, or Indian Tribes may submit an 
additional grant request for funding regional broadband development 
planning activities associated with regions or USDA Regions in rural 
areas. In order to leverage these grants with the Rural Business 
Opportunity Grants (RBOG) of USDA's Rural Business--Cooperative Service 
(RBS), see 75 FR 15406 (Mar. 29, 2010), RUS is likewise encouraging 
applications that are designed to help rural areas in the region create 
wealth so that they are self-sustaining, repopulating, and thriving 
economically. Applicants must specifically address the following RBOG 
key strategy: Use of broadband and other critical infrastructure as a 
strategy to facilitate local entrepreneurship and expansion of market 
opportunities for small businesses. Similar to the RBOG program, RUS 
also seeks applications that attempt to promote broadband strategies 
through a regional approach. Regions can be either multi-jurisdictional 
areas within a state, territory, or Federally-designated tribal land or 
can cross state, territory, or tribal boundaries, either defined by the 
applicant or defined or designated by the Secretary.
    Regional applications should focus on the broadband-related 
outcomes that promote economic integration and cohesion of their self-
defined geographic area. This approach is intended to combine the 
resources of the Agency with those of State and local governments, 
educational institutions, and the private and nonprofit sectors to 
implement regional economic and community development strategies. In 
addition, in order to effectively leverage other resources, Applicants 
should identify other related programs such as those of the Department 
of Transportation, Health and Human Services, Education, Homeland 
Security, the Federal Communications Commission (FCC), Telemedicine 
Program of the Indian Health Service, and similar State and local 
programs. For example, a local community with limited broadband 
connectivity has proposed an industrial park to bring new jobs to the 
community. A regional proposal could include the proposal for a new 
industrial park identifying and leveraging State and Federal Department 
of Transportation resources for road construction, broadband 
infrastructure loans and grant from the RUS, and resources from Health 
and Human for a regional hospital and business models to attract new 
businesses to the area. The goal being to develop comprehensive plans 
that foster collaboration and leveraging of resources between local, 
state and federal agencies and focus on wealth and job creation through 
the use of broadband. Regional broadband development strategy proposals 
may be used by Awardees and regionally-based community leaders to 
support applications for other local, federal and state programs in 
order to meet the overall objectives of the plan.
    By fostering the development of rigorous regional broadband 
strategies, RUS anticipates that Technical Assistance Awardees will 
also be able to submit more focused applications in the future to RUS' 
Infrastructure Telecommunications, Rural Broadband Access, Community-
Oriented Connectivity Broadband, and Distance Learning and Telemedicine 
grant and loan programs. As such, Applicants are encouraged to consider 
the creation of a market study, an engineering plan for a broadband 
network, and a pro forma financial analysis of any potential loan.
    Applicants are encouraged to consider all available resources in 
their geographic area that can contribute to supporting this broadband 
strategy. After selection, in addition to grant funding under this RFP, 
grantees may be provided with targeted technical assistance by USDA or 
other federal agencies as available and appropriate. To ensure that a 
broad range of communities have the opportunity to benefit from the 
program, individual grants will be limited to $200,000. The amount of 
the request should cover the costs of developing the plan. RUS, in its 
discretion, may decrease the requested award amount based on its 
evaluation of an application and based on the level of funding 
available for this program.

B. Available Funds

1. General
    Subject to Section III.B.5 below, approximately $105,000,000 in 
funding has been set aside for funding opportunities under the Second 
Round NOFA for the following projects and this RFP.
2. Funding Targets
    Award amounts under this RFP will be targeted as follows:
a. Satellite Projects
    Up to $100,000,000 is available for grants for Satellite projects.
b. Rural Library Broadband Projects
    Up to $2,000,000 is available for grants for Rural Library 
Broadband projects.
c. Technical Assistance Projects
    Up to $3,000,000 is available for grants for Technical Assistance 
projects.
3. Award Period
    All awards must be made and funding obligated by September 30, 
2010.
4. Type of Funding Instrument
    The funding instruments will be grants.
5. Additional Available Funding From the First and Second Round NOFAs
    Funding that remains available from the First Round NOFA or the 
Second Round NOFA may be used to provide additional funding for the 
categories listed above in Section III.B.2.

IV. Eligibility Information

A. General

    Applicants must satisfy the following eligibility requirements to 
qualify for funding.

B. Eligible Entities

1. Satellite Projects
    a. A satellite Internet Service Provider (ISP);
    b. A reseller of satellite ISP service;
    c. A distributor or dealer of satellite ISP service; and
    d. A consortium of a, b, or c above, except for a consortium of 
more than one satellite ISP.
2. Rural Library Broadband Projects
    The following entities are eligible to apply for assistance:
    a. Awardees under the First Round NOFA or Second Round NOFA; and
    b. Applicants under the Second Round NOFA.\1\
---------------------------------------------------------------------------

    \1\ Applicants under the Second Round NOFA that have not yet 
been notified of the status of their application may apply for 
assistance; however, such submissions are at the applicant's own 
risk. Only those applicants that are ultimately selected as Awardees 
under the Second Round NOFA will be eligible to receive an award for 
Rural Library Broadband projects.
---------------------------------------------------------------------------

3. Technical Assistance Projects
    The following entities are eligible to apply for assistance:
    a. Awardees under the First Round NOFA or Second Round NOFA;

[[Page 25189]]

    b. Applicants under the Second Round NOFA \2\; and
---------------------------------------------------------------------------

    \2\ Applicants under the Second Round NOFA that have not yet 
been notified of the status of their application may apply for 
assistance; however, such submissions are at the applicant's own 
risk. Only those applicants that are ultimately selected as Awardees 
under the Second Round NOFA will be eligible to receive an award for 
Technical Assistance projects.
---------------------------------------------------------------------------

    c. Indian Tribes

C. Eligible Grant Expenses

1. Satellite Award Expenses
a. Unserved Rural Premises
    Grant funds may only be expended for eligible purposes, as provided 
in Section IV.C.1.b below, to unserved rural premises in the Satellite 
Region(s) for which the Applicant has applied. The eight Satellite 
Regions encompass the following states: Region 1 Washington, Oregon, 
California, Nevada, Idaho, Utah, Arizona; Region 2 Montana, Wyoming, 
North Dakota, South Dakota, Nebraska, Minnesota, Iowa, Wisconsin, and 
Illinois; Region 3 Colorado, New Mexico, Kansas, Oklahoma, Texas, 
Missouri, Arkansas, and Louisiana; Region 4 Michigan, Indiana, Ohio, 
Kentucky, West Virginia, Pennsylvania, and Virginia; Region 5 
Tennessee, Mississippi, Alabama, Georgia, Florida, South Carolina, and 
North Carolina; Region 6 Maryland, Delaware, New Jersey, New York, 
Connecticut, Rhode Island, Massachusetts, New Hampshire, Vermont, and 
Maine; Region 7 Alaska; and Region 8 Hawaii.
    Notwithstanding, unserved rural premises within the existing 
service area of current RUS borrowers currently in build-out, or the 
service areas of Last Mile Awardees under the First Round NOFA, Second 
Round NOFA or the BTOP NOFA shall be ineligible for grant funding, 
regardless of whether the premises are unserved, so as to not compete 
with RUS or Recovery Act projects being built. These areas can be found 
at http://www.broadbandUSA.gov.
    b. To reimburse costs for the provision of broadband service to 
eligible, unserved rural premises defined in Section IV.C.1.a above, at 
the agreed upon proposed subscriber amount.
2. Eligible Rural Library Broadband Expenses
    a. Award funds must be used by the Applicant to pay for the last 
mile connection to the rural library;
    b. Award funds may be used by the Applicant to pay for the 
following:
    1. The costs for up to 10 desktop or laptop computers and 
individual workstations located within the rural library;
    2. End-user equipment needed to carry out the project;
    3. The costs for the improvement of the rural library in order to 
accommodate, if necessary, the individual workstations; or
    4. The cost of providing broadband service, free of charge, to the 
rural library for up to 2 years.
3. Eligible Technical Assistance Expenses
    Award funds may be used by the Applicant:
    a. To fund the proposed technical assistance for regional broadband 
development planning activities associated with a region or USDA region 
in rural areas. Such technical assistance must include planning, 
technical and economic expertise;
    b. To reimburse up to 5 percent of the costs of the total proposed 
budget for pre-application expenses incurred no earlier than the date 
of the publication of the Second Round NOFA, January 22, 2010;
    c. To fund the cost of a market study of the selected region;
    d. To fund the cost of an engineering design for a broadband 
network to cover the selected region; and
    e. To fund the cost of creating a pro forma financial analysis of a 
proposed future loan.

V. Application and Submission Information

A. Request for Application Package

    Complete application packages, including required federal forms and 
instructions, will be available at http://www.broadbandusa.gov. 
Additional information can be found in the Application Guidelines at 
http://www.broadbandusa.gov. This Web site will be updated regularly.

B. Registration

1. DUNS Number
    All Applicants must supply a Dun and Bradstreet Data Universal 
Numbering System (DUNS) number. Applicants can receive a DUNS number at 
no cost by calling the dedicated toll-free DUNS number request line at 
1-866-705-5711 or via the Internet at http://www.dunandbradstreet.com.
2. Central Contractor Registration (CCR)
    All Applicants must provide a CCR (CAGE) number evidencing current 
registration in the CCR database. If the Applicant does not have a 
current CCR (CAGE) number, the Applicant must register in the CCR 
system available at http://www.ccr.gov/StartRegistration.aspx. 
Applicants are encouraged to register early due to potential delays in 
registration.

C. Contents of the Application

1. Requirements for Applications for Satellite Projects
    A complete application will include the following, broken out to 
the extent possible for each Satellite Region being applied for if not 
a National Application:
    a. The identity of the Applicant or co-applicants and general 
Applicant and project information including:
    i. A description of the project that will be made public consistent 
with the requirements of the Recovery Act;
    ii. The Congressional District of the Applicant's headquarters;
    b. An executive summary of the project, including the Satellite 
Region(s) for which the Applicant is applying, whether it is a National 
Application, and the number of unserved rural premises proposed to be 
served by the applicant within the Satellite Region(s);
    c. A description of the Applicant's ability to cover the entire 
Satellite Region(s) being applied for;
    d. A description of the proposed service offerings, including 
quality of service, transmission speed, associated pricing plans for a 
Basic Service Package, an Expanded Service Package, and a Commercial 
Service Package, how its rates will be affordable to low-income 
households, and how the service will be marketed throughout the entire 
Satellite Region(s) being applied for. The proposed service offerings 
of the proposal must include the provision of no cost CPE (including no 
installation, activation, or other fees) for all packages offered. In 
addition, the Basic Service Package must be offered at a rate no higher 
than $50 per month for at least one year with no length of service 
requirements, unless the Applicant offers the Basic Service Package at 
less than $40 per month. In such case, the Applicant may propose a one-
year contract requirement, if an unconditional 30-day cancellation 
clause is provided. There are no length of service requirements or 
price requirements for Expanded Service Packages or Commercial Service 
Packages;
    e. R[eacute]sum[eacute]s of key management personnel, a description 
of the organization's readiness to manage a broadband services network, 
and an organizational chart showing any parent organizations and/or 
subsidiaries and affiliates;
    f. A legal opinion (as set forth in the application) that: (1) 
Addresses the

[[Page 25190]]

Applicant's ability to enter into the award documents; (2) describes 
all material pending litigation matters; and (3) addresses the 
Applicant's ability to pledge security as required by the award 
documents;
    g. The total amount of the proposal, the amount which the Applicant 
is requesting in assistance, and the proposed subscriber amount (note 
only regional applications may contain distinct proposed subscriber 
amounts);
    h. Pro forma financial analysis related to the sustainability of 
the project, including subscriber estimates and proposed service 
offerings in addition to broadband Internet access; annual financial 
projections including balance sheets, income statements, and cash flow 
statements and supporting assumptions for a five-year forecast period 
as applicable; and evidence of committed sources of capital funding 
required to sustain the operation;
    i. Historical financial statements, Certified Public Accountant 
(CPA) audits if applicable, for the previous two calendar years;
    j. Certifications required in the application;
    k. The pricing package being offered to critical community 
facilities, if any;
    l. A list of all outstanding and contingent obligations, including 
copies of existing notes, loan and security agreements, and guarantees;
    m. A detailed description of working capital requirements and the 
source of these funds;
    n. A description of measurable service metrics and target service 
level objectives (SLOs) (e.g., the speed with which new service will be 
established, service availability, and response time for reports of 
system failure at a residence) that will be provided to the customer, 
and a description of the approach and methodology for monitoring 
ongoing service delivery and service quality for the services being 
employed.
2. Requirements for Rural Library Broadband Projects
    A complete application will include the following:
    a. The identity of the Applicant, and co-Applicant, if any, and 
general Applicant and project information;
    b. A description of the project that will be made public consistent 
with the requirements of the Recovery Act; and
    c. The estimated dollar amount of the funding request, including an 
itemized budget for the associated costs for the last mile connection 
to the rural library, and any additional costs the Applicant seeks, 
such as required improvements to the rural library to accommodate 
individual workstations, up to 10 desktop or laptop computers and 
individual workstations to be located within the rural library, end-
user equipment and telecommunications terminal equipment needed to 
carry out the project, and the cost of providing free broadband service 
to the rural library for up to 2 years;
    d. An executive summary of the project as detailed in the 
application;
    e. A certification that no broadband connection exists to the rural 
library, and that the rural library has or will receive a Community 
Facilities award;
    f. A description of the quality of the service being provided;
    g. A description of the benefits to the community or communities to 
be served by the rural library broadband connection; and
    h. A completed Environmental Questionnaire, other documentation 
requests, and required environmental authorizations and permits, 
including those required by the National Environmental Policy Act of 
1969, as amended (42 U.S.C. 4321 et seq.) (NEPA), the National Historic 
Preservation Act of 1966, as amended (16 U.S.C. 470 et seq.) (NHPA), 
and the Endangered Species Act of 1973, as amended (16 U.S.C. 1534 et 
seq.) (ESA) as applicable.
3. Requirements for Technical Assistance Projects
    A complete application, which must not exceed twenty (20) 
consecutively numbered, 8.5 x 11-inch pages of single-spaced, standard 
12-point type with 1-inch margins, must provide the following 
information:
    a. An overview of the plan to address the following USDA key 
strategy: Use of broadband and other critical infrastructure as a 
strategy to facilitate local entrepreneurship and expansion of market 
opportunities for small businesses;
    b. The description of the identified Region or USDA Region in need 
of assistance;
    c. An explanation of the economic integration and cohesion that 
will be created in the Region or USDA Region with the Award. Proposals 
with detailed plans for a market study, engineered broadband network, 
or pro forma financial analysis will be favored. The qualifications of 
consultants to provide such work should also be addressed;
    d. Evidence of resources which will be used to implement the 
regional economic and community development strategies, such as letters 
of endorsement from State and local governments, educational 
institutions, and the private and nonprofit sectors;
    e. The identity of communities within the Region or USDA Region 
that would be eligible under RUS' Infrastructure Telecommunications, 
Rural Broadband Access, Community-Oriented Connectivity Broadband, and/
or Distance Learning and Telemedicine grant and loan programs, and 
basic data regarding population, numbers of households, numbers and 
types of businesses, local revenue and employment should be provided;
    f. The amount of the grant request, supported by a detailed budget 
estimate to create the plan;
    g. A list of the objectives of the plan and why the objectives are 
important. This section should also include any background or 
introductory information that would help explain the objectives.
    h. An outline of the research design, methods, analytical tools, 
and techniques that the applicant intends to use in meeting the 
objectives stated above. Methods must be clearly stated so that the 
agency can evaluate the appropriateness of the applicant's approach and 
tools to be used. A statement such as: ``we will evaluate the data 
using the usual statistical methods'' is not specific enough for 
evaluation.
    i. Describe the expected results, benefits, and outcomes the 
applicant expects to achieve if awarded the grant and the potential 
benefits of the results to the communities and region served in the 
plan. A clear, concise description will help the agency understand the 
merits of the proposal; and
    j. Discuss other information relevant to the potential success of 
the project. This should include facilities, personnel expertise/
experience, project schedules, proposed management, interactions with 
other institutions, etc. Applications for multi-investor projects must 
identify project management and the functions of each investigator in 
each team and describe plans to communicate and share data.

D. Material Representations

    The application, including certifications, and all forms submitted 
as part of the application will be treated as a material representation 
of fact upon which RUS will rely in awarding grants.

VI. Application Evaluation, Processing, and Implementation Procedures

A. Satellite Projects

    The United States will be divided into eight service area regions 
eligible for Satellite applications (Satellite Regions). Applicants 
must propose serving only unserved rural premises in any of the eight 
Satellite Regions listed in Section IV.C.1(a) in this RFP; provided,

[[Page 25191]]

however, existing service areas where broadband capable service is in 
the process of being built-out by current RUS borrowers, or the service 
areas of Last Mile Awardees under the First Round NOFA, Second Round 
NOFA, or BTOP NOFA shall be ineligible for grant funding, regardless of 
whether the premises are unserved. Applicants may submit an application 
for more than one Satellite Region; however, each Satellite Region in 
the application must be broken out so that the Agency can analyze the 
proposal for each Satellite Region individually. Applicants may also 
submit a National Application covering at least six Satellite Regions, 
but such application will be limited to providing only one proposed 
subscriber amount for federal assistance.
    Regional and National Applications will be evaluated on the 
strength of their proposals and the extent to which unserved rural 
premises will benefit under their proposals. The price of the service 
to the end-user, the proposed subscriber amount, the length of any 
proposed discounted service, the quality and transmission speed of the 
proposed services, especially the Basic Service Package, how potential 
requests for service will be handled, and the amount of outside 
investment in the project will all be considered as a whole.
    Successful Applicants will be notified of the details of the award, 
and must accept the offer within the time specified in the grant offer. 
Applicants that are not able to do so will be rejected, and the next 
qualifying Applicant may be selected for the Satellite Region. RUS, at 
its discretion, reserves the right to decline funding in any Satellite 
Region for which no satisfactory application is received.
    Awardees will be advanced funds no more than once per month for 
reimbursing the connection of new unserved, rural premises. The Awardee 
shall be entitled to the approved proposed subscriber amount of federal 
assistance for each new eligible subscriber.
    If no applications are received for a given Satellite Region, the 
Administrator may request applications for that Satellite Region from 
existing Applicants under this RFP. Moreover, if the Administrator 
determines that no applications are acceptable for a Satellite Region, 
the Agency may request Applicants that submitted applications for that 
Satellite Region to submit amended applications. If the Agency is still 
unable to receive an acceptable application from such Applicants, then 
the Administrator reserves the right to request applications from 
Applicants for other Satellite Regions, or not to award the Satellite 
Region.

B. Rural Library Broadband Grants

    Applications for Rural Library Broadband grants will be evaluated 
in terms of the benefit to the rural library benefitting from the 
grant, as well as the benefits to the community to be served. The 
quality of the broadband service being provided, the length of any 
proposed free service or additional discounted service, the conditions 
of the community to be served, such as unemployment rate or income 
levels, and the reasonableness of costs will all be considered as a 
whole. RUS, in its discretion, may increase or decrease the requested 
award amount based on its evaluation of the reasonableness of the costs 
and the level of funding available for this program.

C. Technical Assistance Grants

    Applications for Technical Assistance grants will be evaluated on 
the strength and scope of the regional broadband development strategies 
and plan to address the logical components of a broadband plan. 
Moreover, the extent to which existing infrastructure will be 
integrated in the region, the number of unserved communities that will 
be connected, how regional economic development will be promoted, and 
the strength of the Applicant will all be considered in the evaluation. 
Applicants may request up to $200,000. RUS, in its discretion, may 
decrease the requested award amount based on its evaluation of the 
application and the level of funding available for this program. The 
Agency reserves the right to reject Applications that do not conform to 
the page, font, and spacing requirements of Section V.C.3.

VII. Award Administration Information

A. Award Notices

    Successful Applicants will receive award documents from RUS 
following award notification. Applicants may view sample award 
documents at http://www.broadbandusa.gov.

B. Administrative Requirements

1. Pre-Award conditions
    No funds will be disbursed under this program until all other 
sources of funding have been obtained and any other pre-award 
conditions have been met. Failure to obtain one or more sources of 
funding committed to in the Application or to fulfill any other pre-
award condition within 30 days of award announcement will result in 
withdrawal of the award.
2. Failure To Comply With Award Requirements
    If an Awardee fails to comply with the terms of the award as 
specified in the award documents, RUS may exercise rights and remedies.
3. Advance Procedures
    RUS grant advances are made at the request of the Awardee according 
to the procedures stipulated in the grant documents.
4. Accounting, Monitoring, and Reporting Requirements
    Awardees must follow RUS' accounting, monitoring, and reporting 
requirements. These requirements, which are specified in the award 
documents, include, but are not limited to, the following:
    a. Awardees must adopt a GAAP system of accounts acceptable to RUS, 
and which complies with RUS Accounting Requirements, as defined herein;
    b. Awardees must submit annual audited financial statements along 
with a report on compliance and on internal control over financial 
reporting, and a management letter in accordance with the requirements 
of 7 CFR part 1773. The CPA conducting the annual audit is selected by 
the Awardee and must be approved by RUS as set forth in 7 CFR 1773.4;
    c. Awardees must submit to RUS the information as specified in 
Section VII.D.2 of this RFP;
    d. Awardees must comply with all reasonable RUS requests to support 
ongoing monitoring efforts. The Awardee shall afford RUS, through its 
representatives and representatives of the USDA Office of Inspector 
General, reasonable opportunity at all times during business hours and 
upon prior notice, to have access to and the right to inspect the 
broadband system, and any other property encumbered by the mortgage or 
security agreement, and any or all books, records, accounts, invoices, 
contracts, leases, payrolls, timesheets, cancelled checks, statements, 
and other documents, electronic or paper of every kind belonging to or 
in the possession of the Awardee or in any way pertaining to its 
property or business, including its subsidiaries, if any, and to make 
copies or extracts therefrom.
5. Assistance Instruments
    a. Terms and conditions of grants are set forth in the non-
negotiable standard grant agreement found at http://www.broadbandusa.gov.
    b. Grant documents appropriate to the project must be executed 
prior to any advance of funds.

[[Page 25192]]

C. Award Terms and Conditions

1. Scope
    Awardees, including all contractors and subcontractors, are 
required to comply with the obligations set forth in the Recovery Act 
and the requirements established herein. Any obligation that applies to 
the Awardee shall extend for the life of the awarded-funded facilities.
2. Sale or Lease of Project Assets
    The sale or lease of any portion of the award-funded broadband 
facilities shall be governed by the applicable Grant Agreement and the 
Department's grant regulations at 7 CFR parts 3015, 3016, and 3019. 
Terms under which grant assets can be sold are outlined in the 
Department's grant regulations cited above.
3. Certifications
    a. The Applicant must certify that he or she is authorized to 
submit the application on behalf of the eligible entity(ies) listed on 
the application; that the Applicant has examined the application, that 
all of the information in the application, including certifications and 
forms submitted, all of which are part of the application, are material 
representations of fact and true and correct to the best of his or her 
knowledge; that the entity(ies) that is requesting funding pursuant to 
the application and any subawardees will comply with the terms, 
conditions, purposes, and federal requirements of the program; that no 
kickbacks were paid to anyone; and that a false, fictitious, or 
fraudulent statement or claim on this application is grounds for denial 
or termination of an award, and/or possible punishment by a fine or 
imprisonment as provided in 18 U.S.C. 1001 and civil violations of the 
False Claims Act (31 U.S.C. 3729 et seq.);
    b. The Applicant certifies that the entity(ies) he or she 
represents have and will comply with all applicable Federal, state, and 
local laws, rules, regulations, ordinances, codes, orders, and 
programmatic rules and requirements relating to the project.\3\ The 
Applicant acknowledges that failure to do so may result in rejection or 
deobligation of the award. The Applicant acknowledges that failure to 
comply with all Federal and program rules could result in civil or 
criminal prosecution by the appropriate law enforcement authorities;
---------------------------------------------------------------------------

    \3\ See Recovery Act section 6001(e)(4), 123 Stat. at 514.
---------------------------------------------------------------------------

D. Reporting Requirements

1. General Recovery Act Requirements
a. OMB Reporting Requirements Implementing the Recovery Act
    Any grant awarded under the Second Round NOFA and this RFP shall be 
subject to the applicable statutes and regulations regarding reporting 
on Recovery Act funds.\4\ If Recovery Act funds are combined with other 
funds to fund or complete projects and activities, Recovery Act funds 
must be accounted for separately from other funds and reported to RUS 
or any federal web site established for Recovery Act reporting 
purposes. Moreover, recipients of funds under this RFP must also comply 
with the accounting requirements as established or referred to in this 
RFP.
---------------------------------------------------------------------------

    \4\ See, e.g., 2 CFR pt. 176; OMB, Interim Final Guidance for 
Federal Financial Assistance, 74 FR 18449 (Apr. 23, 2009); 
Implementing Guidance for Reports on Use of Funds Pursuant to the 
American Recovery and Reinvestment Act of 2009 (OMB M-09-21 June 22, 
2009); and Updated Guidance on the American Recovery and 
Reinvestment Act of 2009 (OMB M-10-08 Dec. 18, 2009).
---------------------------------------------------------------------------

b. Required Data Elements
    The Awardee and each contractor engaged by the Awardee must submit 
the following information to the relevant Agency:
    i. The total amount of Recovery Act funds received;
    ii. The amount of Recovery Act funds received that were expended or 
obligated to projects or activities;
    iii. A detailed list of all projects or activities for which 
Recovery Act funds were expended or obligated, including (1) the name 
of the project or activity; (2) a description of the project or 
activity; (3) an evaluation of the completion status of the project or 
activity; (4) an estimate of the number of jobs created and the number 
of jobs retained by the project or activity; and (5) for infrastructure 
investments made by state and local governments, the purpose, total 
cost, and rationale of the Agency for funding the infrastructure 
investment with Recovery Act funds, and name of the person to contact 
at the Agency if there are concerns with the infrastructure investment; 
and
    iv. Detailed information on any subcontracts or subgrants awarded 
by the Awardee to include the data elements required to comply with the 
Federal Funding Accountability and Transparency Act of 2006 (Pub. L. 
109-282, 120 Stat. 1186 (to be codified at 31 U.S.C. 6101 note), 
allowing aggregate reporting on awards below $25,000 or to 
individuals.\5\
---------------------------------------------------------------------------

    \5\ Recovery Act section 1512(c), 123 Stat. at 287.
---------------------------------------------------------------------------

    Awardees that must report information according to paragraph b(iv) 
of this section (re: Subcontracts or subgrants) must register with the 
CCR database (http://www.ccr.gov/) or complete other registration 
requirements as determined by the Director of OMB.
c. Reporting Deadlines
    Recovery Act reports are due no later than 10 calendar days after 
each calendar quarter in which the Awardee receives the assistance 
award funded in whole or part with award funds. The final report should 
summarize the Awardee's quarterly filings and state whether the 
project's goals have been satisfied. Pursuant to OMB Guidelines, 
reports should be submitted electronically to http://www.federalreporting.gov. If the Awardee fails to submit an acceptable 
quarterly report or audited financial statement within the timeframe 
designated in the grant award, the agencies may suspend further 
payments until the Awardee complies with the reporting requirements. 
Additional information regarding reporting requirements will be 
specified at the time the award is issued.
2. BIP-Specific Reporting Requirements
    In addition to the general Recovery Act reporting requirements, 
Satellite Awardees shall submit to RUS 30 calendar days after the end 
of each calendar year quarter, balance sheets, income statements, 
statements of cash flow, rate package summaries, and the number of 
unserved, rural premises taking broadband service utilizing RUS' 
Broadband Collection and Analysis System (BCAS). BCAS is an electronic 
reporting system that is accessed through the Internet.

VIII. Other Information

A. Funding Rounds

    This is the final funding round for BIP.

B. Discretionary Awards

    The government is not obligated to make any award as a result of 
this announcement, and will fund only projects that are deemed likely 
to achieve the program's goals and for which funds are available.

C. Limitation on Expenditures

    The Recovery Act imposes an additional limitation on the use of 
funds expended or obligated from appropriations made pursuant to its 
provisions. Specifically, for purposes of this RFP, none of the funds 
appropriated or otherwise made

[[Page 25193]]

available under the Recovery Act may be used by any state or local 
government, or any private entity, for any casino or other gambling 
establishment, aquarium, zoo, golf course, or swimming pool.\6\
---------------------------------------------------------------------------

    \6\ Id. Section 1604, 123 Stat. at 303.
---------------------------------------------------------------------------

D. Recovery Act Logo

    All projects that are funded by the Recovery Act shall display 
signage that features the Primary Emblem throughout the construction 
phase. The signage should be displayed in a prominent location on site. 
Some exclusions may apply. The Primary Emblem should not be displayed 
at a size less than six inches in diameter.

E. Environmental and National Historic Preservation Requirements

    Awarding agencies are required to analyze the potential 
environmental impacts, as required by the NEPA and the NHPA for 
Applicant projects or proposals seeking Recovery Act funding. All 
Applicants are required to complete the Environmental Questionnaire 
under the description of program activities and to submit all other 
required environmental documentation with the application.
    It is the Applicant's responsibility to obtain all necessary 
federal, state, and local governmental permits and approvals necessary 
for the proposed work to be conducted. Applicants are expected to 
design their projects so that they minimize the potential for adverse 
impacts to the environment. Applicants also will be required to 
cooperate with the granting agencies in identifying feasible measures 
to reduce or avoid any identified adverse environmental impacts of 
their proposed projects. The failure to do so may be grounds for not 
making an award.
    Applications will be reviewed to ensure that they contain 
sufficient information to allow Agency staff to conduct a NEPA analysis 
so that appropriate NEPA documentation can be submitted to the 
agencies, along with the recommendation for funding of the selected 
applications. Applicants proposing activities that cannot be covered by 
existing environmental compliance procedures will be informed after the 
technical review stage whether NEPA compliance and other environmental 
requirements can otherwise be expeditiously met so that a project can 
proceed within the timeframes anticipated under the Recovery Act.
    If additional information is required after an application is 
accepted for funding, funds can be withheld by the agencies under a 
special award condition requiring the Awardee to submit additional 
environmental compliance information sufficient for the Agency to make 
an assessment of any impacts that a project may have on the 
environment.

F. Davis-Bacon Wage Requirements

    Pursuant to section 1606 of the Recovery Act, any project using 
Recovery Act funds requires the payment of not less than the prevailing 
wages for ``all laborers and mechanics employed by contractors and 
subcontractors on projects funded directly by or assisted in whole or 
in part by and through the Federal Government.'' \7\
---------------------------------------------------------------------------

    \7\ Id. Section 1606, 123 Stat. at 303.
---------------------------------------------------------------------------

G. Financial and Audit Requirements

    To maximize the transparency and accountability of funds authorized 
under the Recovery Act, all Applicants are required to comply with the 
applicable regulations set forth in OMB's Interim Final Guidance for 
Federal Financial Assistance.\8\
---------------------------------------------------------------------------

    \8\ See OMB, Interim Final Guidance for Federal Financial 
Assistance, 74 FR 18449 (Apr. 23, 2009).
---------------------------------------------------------------------------

    Recipients that expend $500,000 or more of federal funds during 
their fiscal year are required to submit an organization-wide financial 
and compliance audit report. The audit must be performed in accordance 
with the U.S. General Accountability Office, Government Auditing 
Standards, located at http://www.gao.gov/govaud/ybk01.htm, and OMB 
Circular A-133, Audits of States, Local Governments, and Non-Profit 
Organizations, located at http://www.whitehouse.gov/omb/circulars/a133/a133.html. Awardees are responsible for ensuring that sub-recipient 
audit reports are received and for resolving any audit findings.

H. Deobligation

    The RUS reserves the right to deobligate awards to recipients under 
this RFP that demonstrate an insufficient level of performance, or 
wasteful or fraudulent spending, and award these funds competitively to 
new or existing Applicants prior to September 30, 2010.

I. Confidentiality of Applicant Information

    Applicants are encouraged to identify and label any confidential 
and proprietary information contained in their applications. The Agency 
will protect confidential and proprietary information from public 
disclosure to the fullest extent authorized by applicable law, 
including the Freedom of Information Act, as amended (5 U.S.C. 552), 
the Trade Secrets Act, as amended (18 U.S.C. 1905), the Economic 
Espionage Act of 1996 (18 U.S.C. 1831 et seq.), and CALEA (47 U.S.C. 
1001 et seq.). Applicants should be aware, however, that the Recovery 
Act requires substantial transparency. For example, RUS is required to 
make publicly available on the Internet a list of each entity that has 
applied for a grant, a description of each application, the status of 
each application, the name of each entity receiving funds, the purpose 
for which the entity is receiving the funds, each quarterly report, and 
other information.\9\
---------------------------------------------------------------------------

    \9\ See Recovery Act section 6001(i)(5), 123 Stat. at 515.
---------------------------------------------------------------------------

J. Disposition of Unsuccessful Applications

    Applications accepted for review for Fiscal Year 2010 BIP will be 
retained for two years, after which they will be destroyed.

K. State Certifications

    With respect to funds made available under Recovery Act to state or 
local governments for infrastructure investments, the governor, mayor, 
or other chief executive, as appropriate, must certify that the 
infrastructure investment has received the full review and vetting 
required by law and that the chief executive accepts responsibility 
that the infrastructure investment is an appropriate use of taxpayer 
dollars. This certification must include a description of the 
investment, the estimated total cost, and the amount of funds to be 
used, and must be posted on the recipient's website and linked to 
http://www.recovery.gov. A state or local Agency may not receive 
infrastructure investment funding from funds made available under the 
Recovery Act unless this certification is made and posted.\10\
---------------------------------------------------------------------------

    \10\ See id. sections 1511, 1526, 123 Stat. at 287, 293.
---------------------------------------------------------------------------

L. Compliance With Applicable Laws

    Any recipient of funds under this RFP shall be required to comply 
with all applicable federal and state laws, including but not limited 
to: i. The nondiscrimination and equal employment opportunity 
requirements of Title VI of the Civil Rights Act of 1964, as amended 
(42 U.S.C. 2000e et seq., 7 CFR part 15); ii. section 504 of the 
Rehabilitation Act (29 U.S.C. 794 et seq.; 7 CFR part 15b); iii. The 
Age Discrimination Act of 1975, as amended (42 U.S.C. 6101 et seq.; 45 
CFR part 90); iv. Executive Order 11375, amending Executive Order 
11246, Relating to

[[Page 25194]]

Equal Employment Opportunity (3 CFR part 102). See 7 CFR parts 15 and 
15b and 45 CFR part 90, RUS Bulletin 1790-1 (``Nondiscrimination among 
Beneficiaries of RUS Programs''), and RUS Bulletin 20-15:320-15 
(``Equal Employment Opportunity in Construction Financed with RUS 
Loans''). The RUS Bulletins are available at http://www.broadbandusa.gov.; v. The Architectural Barriers Act of 1968, as 
amended (42 U.S.C. 4151 et seq.); vi. The Uniform Federal Accessibility 
Standards (UFAS) (Appendix A to 41 CFR subpart 101-19.6); and vii. The 
Council on Environmental Quality Regulations for Implementing the 
Procedural Provisions of NEPA and certain related federal environmental 
laws, statutes, regulations, and Executive Orders found in 7 CFR part 
1794. A more complete list of such requirements can be found in the 
applicable grant agreement.

M. Communications Laws

    Awardees will be required to comply with all applicable federal and 
state communications laws and regulation as applicable, including, for 
example, the Communications Act of 1934, as amended, (47 U.S.C. 151 et 
seq.) the Telecommunications Act of 1996, as amended (Pub. L. 104-104, 
110 Stat. 56) (1996), and CALEA. For further information, see http://www.fcc.gov.

N. Buy American Notice

1. General Prohibition and Waiver
    None of the funds appropriated or otherwise made available by the 
Recovery Act may be used for the construction, alteration, maintenance, 
or repair of a public building or public work (as such terms are 
defined in 2 CFR 176.140) unless all of the iron, steel, and 
manufacturing goods used in the project are produced in the United 
States.\11\ On July 1, 2009, the Department of Agriculture published a 
notice in the Federal Register at 74 FR 31402 stating that the 
Secretary of Agriculture has determined that applying the Buy American 
provision for the use of certain broadband equipment in public BIP 
projects would be inconsistent with the public interest.
---------------------------------------------------------------------------

    \11\ Id. section 1605, 123 Stat. at 303.
---------------------------------------------------------------------------

    As explained below, to the extent that an Applicant wishes to use 
broadband equipment or goods that are not covered by the Secretary's 
waiver, it may seek an additional waiver on a case-by-case basis as 
part of its application for Recovery Act funds.
2. OMB Buy American Notice Requirement
    Pursuant to OMB guidance on the Recovery Act,\12\ RUS is required 
to provide the following notice:
---------------------------------------------------------------------------

    \12\ See 2 CFR part 176.
---------------------------------------------------------------------------

Section 176.170 Notice of Required Use of American Iron, Steel, and 
Manufactured Goods (Covered Under International Agreements)--Section 
1605 of the American Recovery and Reinvestment Act of 2009

    When requesting applications or proposals for Recovery Act 
programs or activities that may involve construction, alteration, 
maintenance, or repair of a public building or public work, and 
involve iron, steel, and/or manufactured goods covered under 
international agreements, the agency shall use the notice described 
in the following paragraphs in the solicitation:
    (a) Definitions. Designated country iron, steel, and/or 
manufactured goods, foreign iron, steel, and/or manufactured good, 
public building and public work, and steel, as used in this 
provision, are defined in 2 CFR 176.160(a).
    (b) Requests for determinations of inapplicability. A 
prospective applicant requesting a determination regarding the 
inapplicability of section 1605 of the American Recovery and 
Reinvestment Act of 2009 (Pub. L. 111-5) (Recovery Act) should 
submit the request to the award official in time to allow a 
determination before submission of applications or proposals. The 
prospective Applicant shall include the information and applicable 
supporting data required by 2 CFR 176.160(c) and (d) in the request. 
If an Applicant has not requested a determination regarding the 
inapplicability of section 1605 of the Recovery Act before 
submitting its application or proposal, or has not received a 
response to a previous request, the Applicant shall include the 
information and supporting data in the application or proposal.
    (c) Evaluation of project proposals. If the Federal Government 
determines that an exception based on unreasonable cost of domestic 
iron, steel, and/or manufactured goods applies, the Federal 
Government will evaluate a project requesting exception to the 
requirements of section 1605 of the Recovery Act by adding to the 
estimated total cost of the project 25 percent of the project cost 
if foreign iron, steel, or manufactured goods are used based on 
unreasonable cost of comparable domestic iron, steel, or 
manufactured goods.
    (d) Alternate project proposals.
    (1) When a project proposal includes foreign iron, steel, and/or 
manufactured goods, other than designated country iron, steel, and/
or manufactured goods, that are not listed by the Federal Government 
in this Buy American notice in the request for applications or 
proposals, the Applicant may submit an alternate proposal based on 
use of equivalent domestic or designated country iron, steel, and/or 
manufactured goods.
    (2) If an alternate proposal is submitted, the Applicant shall 
submit a separate cost comparison table prepared in accordance with 
paragraphs 2 CFR 176.160(c) and (d) for the proposal that is based 
on the use of any foreign iron, steel, and/or manufactured goods for 
which the Federal Government has not yet determined if an exception 
applies.
    (3) If the Federal Government determines that a particular 
exception requested in accordance with 2 CFR 176.160(b) does not 
apply, the Federal Government will evaluate only those proposals 
based on use of the equivalent domestic or designated country iron, 
steel, and/or manufactured goods, and the Applicant shall be 
required to furnish such domestic or designated country items.

O. Executive Order 12866

    The Recovery Act appropriated $2.5 billion to RUS for broadband 
grants and loans. Of that, this RFP reserves $2 million for Rural 
Library Broadband projects and $3 million for Technical Assistance 
projects. The Agency has determined that these programs are not 
``economically significant.'' This RFP also reserves $100 million for 
Satellite projects, which may be supplemented by funds that remain 
available under the First Round NOFA and Second Round NOFA. The Agency 
has determined this program to be ``economically significant'' under 
Executive Order 12866, and has accordingly performed an economic 
analysis outlining the costs and benefits of implementing the Satellite 
program. The complete analysis is available from RUS upon request. 
Awards for all three programs must be made no later than September 30, 
2010.

P. Executive Order 13132

    It has been determined that this notice does not contain policies 
with federalism implications as that term is defined in Executive Order 
13132.

Q. Administrative Procedure Act Statement

    This RFP is being issued without advance rulemaking or public 
comment. The Administrative Procedure Act of 1946, as amended (5 U.S.C. 
553) (APA), has several exemptions to rulemaking requirements. Among 
them is an exemption for ``good cause'' found at 5 U.S.C. 553(b)(B), 
which allows effective government action without rulemaking procedures 
where withholding the action would be ``impracticable, unnecessary, or 
contrary to the public interest.''
    USDA has determined, consistent with the APA that making these 
funds available under this RFP for broadband development, as mandated 
by the Recovery Act, is in the public interest. Given the emergency 
nature of the Recovery Act and the extremely short time period within 
which all funds must be obligated, withholding this RFP

[[Page 25195]]

to provide for public notice and comment would unduly delay the 
provision of benefits associated with these broadband initiatives and 
be contrary to the public interest.
    For the same reasons, the Agency finds good cause under 5 U.S.C. 
553(d)(3) to waive the 30-day delay in effectiveness for this action. 
Because notice and opportunity for comment are not required pursuant to 
5 U.S.C. 553(d)(3) or any other law, the analytical requirements of the 
Regulatory Flexibility Act of 1980, as amended (5 U.S.C. 601 et seq.) 
are inapplicable. Therefore, a regulatory flexibility analysis is not 
required and has not been prepared.

R. Paperwork Reduction Act

    Copies of all forms, regulations, and instructions referenced in 
this RFP may be obtained from RUS by e-mailing [email protected]. 
Data furnished by the Applicants will be used to determine eligibility 
for program benefits. Furnishing the data is voluntary; however, the 
failure to provide data could result in program benefits being withheld 
or denied.
    The Information Collection and Recordkeeping requirements contained 
in the RFP have been approved by emergency clearance under OMB Control 
Number 0572-0145. In accordance with the Paperwork Reduction Act of 
1995 (44 U.S.C. chapter 35), RUS invites comments on this information 
collection for which the Agency intends to request approval from the 
Office of Management and Budget (OMB).
    Comments on this notice must be received by July 6, 2010. Comments 
are invited on (a) whether the collection of information is necessary 
for the proper performance of the functions of the agency, including 
whether the information will have practical utility; (b) the accuracy 
of the agency's estimate of burden including the validity of the 
methodology and assumption used; (c) ways to enhance the quality, 
utility and clarity of the information to be collected; and (d) ways to 
minimize the burden of the collection of information on those who are 
to respond, including through the use of appropriate automated, 
electronic, mechanical, or other technological collection techniques or 
other forms of information technology.
    Comments may be sent to Michele Brooks, Director, Program 
Development and Regulatory Analysis, Rural Utilities Service, U.S. 
Department of Agriculture, 1400 Independence Ave., SW., Stop 1522, Room 
5162 South Building, Washington, DC 20250-1522.
    Title: Broadband Initiatives Program--Rural Libraries, Technical 
Assistance, and Satellite Grants.
    Type of Request: New collection.
    Estimate of Burden: Public reporting burden for this collection of 
information is estimated to average 22 hours per response.
    Respondents: Businesses and other for-profits.
    Estimated Number of Respondents: 134.
    Estimated Number of Responses per Respondent: 2.8.
    Estimated Total Annual Burden on Respondents: 8,427 hours.
    Copies of this information collection can be obtained from Michele 
Brooks, Program Development and Regulatory Analysis, at (202) 690-1078.
    All responses to this information collection and recordkeeping 
notice will be summarized and included in the request for OMB approval. 
All comments will also become a matter of public record.

S. Recovery Act

    Additional information about the Recovery Act is available at 
http://www.Recovery.gov.

T. Authorized Signatories

    Only authorized grant officers can bind the Government to the 
expenditure of funds.

    Dated: May 3, 2010.
Jonathan Adelstein,
Administrator, Rural Utilities Service.
[FR Doc. 2010-10765 Filed 5-6-10; 8:45 am]
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