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    Home»Funds»Federal Funds and State Regulations: Pennsylvania’s Broadband Expansion in Jeopardy
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    Federal Funds and State Regulations: Pennsylvania’s Broadband Expansion in Jeopardy

    August 17, 2024


    Pennsylvania’s ambitious plans to expand broadband connectivity using federal funds could be hindered by state labor classifications, according to the Broadband Communications Association of Pennsylvania (BCAP). The association warns that the classification of workers as high-cost electric linemen instead of teledata linemen or cable splicers could inflate project costs, potentially stalling progress.

    BCAP President Todd Eachus highlighted the pressing issue of prevailing wage statutes in a recent press release, noting that the misclassification could lead to inflated costs as federal funding begins to roll out over the next few years. “The No. 1 issue in Pennsylvania is the prevailing wage statute,” Eachus stated. “We have simply asked for an appropriate classification of teledata lineman or cable splicer instead of the vastly more expensive electric lineman.”

    The federal Broadband Equity Access and Development (BEAD) program, which has yet to distribute funds since its approval in 2021, aims to identify and connect unserved and underserved areas. Over 330,000 locations in Pennsylvania have been identified as needing service. The Pennsylvania Broadband Development Authority is currently accepting grant applications and will submit a final proposal in May 2025, with plans to continue spending through 2032.

    Eachus, who also serves on the PBDA’s technical sub-committee, voiced these concerns in August during a roundtable with FCC Commissioner Brendan Carr, hosted by Congressman John Joyce. Topics such as permitting processes and pole attachment delays were discussed, highlighting the bureaucratic challenges facing broadband deployment.

    Commissioner Carr expressed support for reforms, stressing the urgency of the situation. “It has been 995 days since the bill was passed but not a single home or business has been connected,” Carr remarked, emphasizing the need for a course correction.

    Critics argue that the BEAD program’s complexity and slow rollout have not only delayed progress but have also led to increased costs due to inflation, with estimates suggesting a 20%-30% rise in expenses since the program’s inception. Doug Dawson, a telecoms consultant, criticized the delays, suggesting that states could have achieved more if the funds had been released earlier. “If you would’ve given the money to states in 2020 and said, ‘you just go get it built,’ they would’ve gotten twice as much done with the money than they will because of all this nonsense,” Dawson said.

    As Pennsylvania continues to navigate these regulatory and financial challenges, the path to widespread broadband access remains fraught with potential obstacles.





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