A monthly update regarding the important work of RCRC's affiliated entities, providing innovative services for the benefit of rural communities.
Golden State Connect Authority Project Update
While waiting for decisions on Federal Fund Account (FFA) Last Mile grant applications from the California Public Utilities Commission (CPUC), preparations are underway to complete CPUC Loan Loss Reserve program applications. Golden State Connect Authority will be submitting thirty-seven applications to the Loan Loss Reserve program – one to support the financing structure for project areas in each of GSCA’s FFA Last Mile grant applications.
Both the FFA Last Mile program and the Loan Loss Reserve program were established under SB 156 in July 2021. The FFA Last Mile program provides $2 billion to internet service providers and network administrators specifically for the deployment of broadband infrastructure. The state established the Loan Loss Reserve program with an initial allocation of $750 million to provide funds to local governments, tribes, and non-profit organizations to securitize debt (bonds, loans, etc.) used for deploying broadband infrastructure.
Throughout the two intervening state budget cycles, the allocation for both these programs has been reduced despite the need, as evidenced in the massive amount requested, more than $4.6 billion, in the 484 FFA Last Mile applications received. It is anticipated that the Loan Loss Reserve program will be similarly over-subscribed. Every dollar reduced from the initial allocation under SB 156 equates to households and businesses that will not have access to quality broadband.
Golden State Connect Authority will be ready to submit applications when the Loan Loss Reserve program application window opens!