The objective of the Capital Project Fund: Broadband Infrastructure Program is administered through the Kansas Office of Broadband Development is to provide access to high-quality, reliable broadband in Kansas with priority given to applications that address unserved areas, economically distressed communities, and areas of compelling need. Applicants are expected to engage community leaders and stakeholders in the development of projects that are strategic, scalable, and bridge critical access gaps to support quality of life considerations and economic viability for Kansas citizens and communities.

Key Information:

• Coronavirus Capital Projects Fund for Infrastructure total funding for the State of Kansas: $83.5M
• Required applicant match: 5% to 90% of total project cost.  Applicant match will be as low as 5% for difficult to serve areas, especially in rural Kansas, to as high as 90% in areas adjacent to existing well-served areas involving cost efficient expansion. 
• Solicitation date: July 25, 2022
• Rolling application window:  4 weeks
• Potential award date:  Mid-September through early November, based on an application window opening date of July 25, 2022.
• Project period:  24 months from award.
• Maximum individual award:   $10M*

* – Note:  Projects over $10M may be submitted but will only be considered as a multi-phased approach with a maximum of $10M awarded in the first phase.  If the initial phase is funded, the Kansas Office of Broadband Development does not guarantee future phases will be automatically funded as each successive project phase will need to be re-submitted for award consideration.

• Opportunity Announced, Grant Webinar, Guidelines Posted, Intent to Apply (upon approval)
• Application Window: 4 weeks
• Public Comment Window: 2 weeks per application
• Applicant Public Comment Response: 2 weeks per application
• Applicant Interviews and Final Applicant Deliberations: 4 weeks
• Awards Announced mid-September through early November, based on an application window opening date of July 25, 2022. 

Applicants must be authorized to provide broadband services in the area proposed to be served.   Eligible applicants include:

• Political subdivisions or entities of political subdivisions
• Corporations
• Limited liability companies
• Partnerships or other business entities
• Non-profit organizations
• Those authorized to provide broadband services in the proposed service area  

Service providers will be required to be an active participant in federal subsidy programs prior to application submission to optimize digital inclusivity and adoption including partnering with school districts and colleges to raise awareness of subsidy programs. (i.e., Lifeline, Affordable Connectivity Program, Emergency Connectivity Fund).  Service providers are also encouraged to partner with local housing agencies to take advantage of programs that benefit multi-dwelling units.  Applicant must be an established service provider that has been operating for a minimum of three years in the State of Kansas.

The purpose of the grant is to facilitate broadband access to unserved and underserved areas with demonstrated need and may include residential, business, and community anchor institution locations.  Unserved is defined as a designated geographic area in which households or businesses are without a fixed, terrestrial connection supporting at least 100 Mbps download and 20 Mbps upload speeds.  An underserved area is defined as a designated geographic area in which households or businesses are without a fixed, terrestrial connection supporting less than 100 Mbps download and 100 Mbps upload speeds and greater than 100 Mbps download and 20 Mbps upload.  Proposed service areas are not required to be contiguous.  However, non-contiguous areas more than 10 miles apart must include an explanation of how the economic and community impact is the same for the proposed areas.  Middle-mile expenses are eligible for grant funding only when they are necessary for the provision of last-mile services described in the application. All projects must directly enable work, education, and healthcare monitoring.  

Applications may be considered for areas with certified awards through the FCC Rural Development Opportunity Fund (RDOF) served by wireless with less than 100/20 Mbps speeds enabled (Minimum Performance Tier (<25/3Mbps) and Baseline Performance Tier (<50/5Mbps)).  Recipients must ensure there is additional public benefit and a justification for using additional public funding to deploy to those locations.  Service areas with certified awards through the FCC with more than 100/20 Mbps wireline/fiber will be considered ineligible for grant award.

• Information provided by the applicant should include an Assessment of the Current Level of Broadband Access in the Proposed Service Area including the FCC Form 477 data (and other supporting documentation) that proves that current service providers within the proposed area are not providing qualifying speeds
• Applicants may refer to the most current FCC Form 477 data and/or the NTIA’s National Broadband Availability Map (NBAM) to determine existing service levels and identify unserved areas.
• Evidence to determine broadband availability may include, but is not limited to:
  • Survey or speed test data for a majority of consumers in the designated area
  • Documentation of the location of existing infrastructure attributes indicating eligibility; or
  • Documentation from the website of reported service provider stating service is unavailable in this area or for a specific address.

Applications must include a proposed service area map with proposed service locations clearly identified.  Applications must include a spreadsheet listing the Census Block Identifiers (2020 Census Data) for the proposed project area as outlined in the Project Proposal and the Technical Project Plan.

Areas already receiving funding for broadband expansion from other sources are ineligible. Ineligible areas include but are not limited to:

• Areas awarded Coronavirus Relief Fund Connectivity Emergency Response Grants (CERG) with more than 100/20 speeds enabled
• Areas awarded Broadband Acceleration Grants for Year 1 (Acceleration Year 1)
• Areas awarded NTIA Tribal Broadband Grants
• Areas with certified awards thru the FCC Rural Development Opportunity Fund (RDOF) with more than 100Mbps / 20 Mbps wireline/fiber speeds enabled.

Note:  Areas where applicants forfeited grant awards will remain eligible

Previous Kansas Office of Broadband Development programs that have been awarded to a municipality to serve community anchor institutions for public safety or an enterprise-focused award will not be disqualified for a new residential proposal.  Applicants falsifying location eligibility may be subject to grant rescindment and/or restricted from future program participation.

The Capital Project Fund project funds up to $83.5M of the eligible broadband infrastructure deployment costs for an eligible broadband project. Eligible broadband project expenses are capital expenses directly related to the deployment of a qualified broadband project, including pre-project development costs and uses, including data gathering, feasibility studies, engineering design, work related to environmental historical, and cultural reviews, permitting, materials, supplies, equipment and construction of “last-mile” infrastructure expenses.   Last-mile is defined as the final leg connecting a broadband service provider’s network to the end-user customer’s on-premises telecommunication equipment.  Broadband infrastructure must provide access to additional residential, business, and community anchor institution locations.  Middle-mile expenses are eligible for grant funding only when associated with last-mile services described in the application.  Grant expenses must be incurred, and funds expended during the project period per the official grant agreement.

Ineligible costs include, but are not limited to:

• Maintenance expenses related to the project.
• Infrastructure not directly connected to service provision for an end-user in the proposed area.
• Indirect labor costs (fringe/benefits, travel, meals, lodging, paid time off, etc.)
• Long term capital asset purchases/leases, although cost allocation for use during the project period will be considered on a case-by-case basis

Potential applicants should submit an Intent to Apply within 1 week after Guidelines are published. The Intent to Apply is for communication purposes and capacity planning for the grant administration process. It does not eliminate potential grantees from applying should the deadline be missed, nor does it commit an applicant to apply.

To ensure transparency and the best use of taxpayer funds, the application and selection process will include a two-week public comment period followed by a two-week applicant response period. This period is intended to provide an opportunity for providers, elected officials, and constituents to either express support or to inform the Kansas Office of Broadband Development of any issues or concerns with an application or its proposed service area. All comments collected during the public comment period are subject to public disclosure, except for the specific location of infrastructure assets deemed “proprietary.”

The application information allows potential applicants to begin formulating a response to the grant opportunity.  The application window will be open for four weeks.  After initial applications have been reviewed and grant funds awarded, if additional funds are available then a new round of application period will be implemented.  The Kansas Office of Broadband Development reserves the right to modify the program guidelines as needed to generate an adequate number of viable projects.  

The application contains three primary sections: Project Proposal, Technical Project Plan, and Project Budget.  The submission will include documents designated for public posting during a public comment period.  A Technical Planning Guide and templates will be posted to assist applicants.  If there are multiple applications that cover the same service area, the Kansas Office of Broadband Development will select the project that provides the greatest benefit to Kansans.  

Key project data will be captured for the applicant and the project including:

• Primary Organizational Contacts (Project and Technical)
• Total Project Amount, Grant Funds Requested and Matching Amount
• City(ies) and County(ies) impacted
• Projected upload and download speeds of the proposed project
• Anticipated impact: # of premises, # of households, # of businesses # of community anchors

The Project Proposal should provide a compelling case for a project and includes:

1. EXECUTIVE SUMMARY OF THE PROJECT – This narrative overview should include the goals of the project, needs addressed, a description of the proposed service area, community partners, stakeholders involved, and the intended impact.  

2. PUBLIC PROPOSED SERVICE AREA MAP – For the proposed service area including detail for the proposed service locations.  

3. COMMUNITY PARTNERS, ROLES & LETTERS OF COMMITMENT – Applicants will be asked to provide a list of partners involved, along with a description of their role. 

4. JUSTIFICATION FOR THE PROJECT – Applicant must provide evidence of how the project will address the compelling need, provide economic and community impact, and meet overall program requirements including directly enabling work, education, and health-monitoring.  Project must also address a critical need that resulted from or was made apparent or exacerbated by the COVID-19 public health emergency.

5. ADOPTION, AFFORDABILITY AND DIGITAL INCLUSION EFFORTS – Adoption is a key aspect of the success of these projects.  Applicants will be asked to describe activities planned to increase adoption awareness.  Applicants are encouraged to demonstrate the affordability of the products and services within the proposed service area and how this will address current barriers to broadband access in their project proposal.  Applicants are expected to participate in ACP. 

The Technical Project Plan details the technical elements of the proposed build including:

• Technical Project Summary
• If 100/100 Mbps cannot be achieved to all locations in the proposed service area, must provide a justification of why only 100/20 Mbps is possible.
• Network Architecture Diagram  
• Public and Proprietary Detailed Map of the Proposed Area
• List of census block address identifiers for the proposed service
• Project Plan and Milestones
• Long term investment viability:  scalability and future proofing defined as the ability to achieve up to 10Gb/s speeds through initial deployment or capability to upgrade within minimal incremental investment.

An Application Planning Guide will be posted online to assist applicants in developing this portion of the grant application.

Levels of participation through matching funding and other co-investment mechanisms is expected to vary statewide on a project-by-project basis in recognition of the variable costs of installing broadband infrastructure.  Applicant matching levels are based on percentages of the total project cost and establishes the minimum match an applicant must contribute to a project.  Applicants can contribute more than the minimum match for additional consideration during the evaluation process. 

•   Applicant matching levels are based on percentages versus the total project cost.
• in-kind match of up to 50% of the total match.  An In-Kind match requires valuation documentation and is subject to the Kansas Office of Broadband Development’s approval.

Project budget and financial submission requirements include Budget Narrative, Project Budget Spreadsheet, and financial validation documentation.

The Kansas Office of Broadband Development will conduct a webinar informing potential applicants of the Coronavirus Capital Projects Fund for Infrastructure grant opportunity and the guidelines will be posted online for applicants to review. Technical guidelines will be posted to assist with the application submission process. To apply for the grant award, applicants will be invited to submit information on an established online portal. This information will then be reviewed by an executive committee. This process will evaluate the project proposal, the technical project plan, and the proposed budget. Business, economic, and community development professionals and technical experts will be enlisted to review project submissions. Applicants being considered for the award will participate in a final interview to be held via an interactive meeting platform. Once the final recommendation has been developed, the Kansas Department of Commerce leadership will review and finalize the award recommendations.

Application evaluation will be based on the overall quality of the application including the Project Proposal, Technical Project Plan and Financial information presented.  The Kansas Office of Broadband Development will be evaluating applications based on projects that optimize stewardship of public infrastructure dollars through collective investment and include:

• Projects that address a critical need that resulted from, was made apparent or exacerbated by the COVID-19 public health emergency
• An unserved or underserved area defined as an area in which households or businesses are without a fixed, terrestrial connection supporting at least 100 Mbps download and 100 Mbps upload speeds.
• An economically distressed area
• Community need based on the social vulnerability index
• Prioritize fiber-optic infrastructure
• Anticipated Impact (locations passed)
• Cost reasonableness
• Demographics
• Affordability of Services/Offer Pricing
• Rurality
• Technical viability
• Partnerships
• Dig Once collaboration (through KDOT)
• Speeds delivered and associated latency
• Scalability beyond 1 gigabit per second
• Municipal and/or County projects that are part of a local strategic broadband plan.
• Co-investment partnership projects involving local municipalities, community anchors
• service providers match

The Coronavirus Capital Projects Fund for Infrastructure will provide structured reimbursements for validated grant expenditures submitted. Grantees are expected to submit supporting documentation for expenditures (i.e., invoices, receipts) and proof of payment if requested. Grantees must submit all required legal and contractual agreements/ documents prior to funds disbursement.

The Kansas Office of Broadband Development will provide a collaborative partnership, and overall support for Coronavirus Capital Projects Fund for Infrastructure Grantees in this effort by offering technical support related to report and compliance requirements as listed in the following paragraphs.

Monthly Reporting

In addition to periodic Grantee meetings, the Kansas Office of Broadband Development will streamline reporting by providing baseline reporting templates and clear expectations for grantees participating in the program.

Closeout reporting will be required within 45 days of project completion.  Project completion and submission of the closeout report are required prior to the final payment.  Closeout reporting includes, but not limited to, the following:

• Validation that the broadband infrastructure project build has been completed, will provide service at the locations and service level speeds specified in the application.
• Grantees must complete/submit the required financial documents, legal agreements, and reports.
• The Kansas Office of Broadband Development reserves the right to amend the scope of grant awards or partially fund applications.

Grantee shall create, maintain, and preserve sufficient records to demonstrate their compliance with the requirements of this program.  Grantee shall provide such records to the Kansas Office of Broadband Development promptly upon written request.  The Kansas Office of Broadband Development requests may include, but not be limited to, the following:

• Information regarding offer service at the pricing and speed levels specified in the application for the duration of the grant period.
• The right to recoup funding for incomplete projects or for lack of adherence to program guidelines.
• The right to desk or field audit the project at any time.   The project may be subject to state or federal audits.
• Grantees are required to retain all records for up to five (5) years upon project completion.

Adoption Efforts

Adoption goes beyond access to high-speed internet and speaks to the ability of individuals and communities to harness access for quality-of-life implications.  These efforts may include digital literacy training, low-income assistance programs (for equipment and/or broadband service), partnerships with co-working or entrepreneurship organizations, awareness or marketing campaigns, service provision to community anchor institutions and/or additional programing, and other programs designed to meet the needs of the local community.

Applicant Match

At the time of application submission, the applicant must demonstrate available cash reserves in an account(s) of the applicant equal to at least the required amount specified in the sliding scale match table.  Matching funds must be used solely for the Project and shall not include any financial assistance from federal sources unless there is a federal statutory exception specifically authorizing the federal financial assistance to be considered as such.  An applicant must provide evidence of its ability to comply with this requirement in its application. (www.ecfr.gov)

Broadband

Broadband or high-speed Internet access allows users to access the Internet and Internet-related services at significantly higher speeds than those available through “dial-up” services. Broadband speeds vary significantly depending on the technology and level of service ordered.

For additional information, visit the source of this information: Getting Broadband Q&A | Federal Communications Commission (fcc.gov)

Co-Investment

Any funds provided by sources other than the applicant such as local, county, and eligible state programs or other contributors.

Community Anchor Institution

Community anchor institutions means schools, libraries, medical and healthcare providers, public safety entities, community colleges and other institutions of higher education, and other community support organizations and agencies that provide outreach, access, equipment, and support services to facilitate greater use of broadband service by vulnerable populations, including low-income, unemployed, and the aged (www.usac.org).

Economically Distressed Community

An area is economically distressed if it has a per capita income of 80 percent or less of the national average, or if it has an unemployment rate that is, for the most recent 24-month period for which data are available, at least 1 percent greater than the national average unemployment rate. (http://www.statsameri- ca.org/distress/distress.aspx)

Last Mile

Last mile refers to the network infrastructure that carries signals from the network to and from the end-user premise. Depending on the network design and density of the area served, the actual distance of the last mile can be relatively short or may be considerably longer than a mile.

Middle Mile

Middle mile refers to the portion of the telecommunications network that connects a network operator’s core network to the local network (last mile) plant.  Middle-mile facilities provide fast, large capacity connections and can range from a few miles to a few hundred miles. Grant funding can only be used for middle-mile related costs if it is necessary in order to provide last-mile service.

Partnership

A formal relationship between two or more parties that enter into an agreement for the sake of advancing broadband enablement.  

Phased Approach

All projects over $10M need to be broken down into a series of project stages to spread awards over multiple stages.  There will be future funding opportunities to potentially cover remaining stages that have not been awarded in the current grant program.

Required Applicant Match

The percentage of funds required by the applicant for the program.

Scalability

The capacity to change the size or scale of the broadband architecture to achieve substantially higher speeds (up to 10Gbps) with minimal to no investment.

Sliding Scale

A measure to determine the contribution level required by the State of Kansas based on cost per location passed.

Subsidy

Assistance program applicants are enrolled in to assist with the monthly cost of services. Federal programs include the Affordable Connectivity Program (ACP), Emergency Broadband Benefit (EBB), or Lifeline.

Underserved

For purposes of the Coronavirus Capital Projects Fund for Infrastructure program, an underserved area is defined as a designated geographic area in which households or businesses are without a fixed, terrestrial connection supporting less than 100 Mbps download and 100 Mbps upload speeds and greater than 100 Mbps download and 20 Mbps upload.  (https://home.treasury.gov/system/files/136/Capital-Projects-Fund-Guidance-States-Territories-and-Freely-Associated-States.pdf)

Unserved

For purposes of the Coronavirus Capital Projects Fund for Infrastructure program, an unserved area is defined as a designated geographic area in which households or businesses are without a fixed, terrestrial connection supporting at least 100 Mbps download and 20 Mbps upload speeds.  (https://home.treasury.gov/system/files/136/Capital-Projects-Fund-Guidance-States-Territories-and-Freely-Associated-States.pdf)