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Oklahoma Broadband Office: $1.3B in federal funds, deadlines and 10-year obligations outlined to committee

2320449 · February 13, 2025
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Summary

Director Sanders, director of the Oklahoma Broadband Office, told a legislative committee the office is administering more than $1.3 billion in federal and state funds to expand high‑speed Internet in largely rural Oklahoma.

Director Sanders, director of the Oklahoma Broadband Office, told a legislative committee the office is administering more than $1.3 billion in federal and state funds to expand high‑speed Internet in largely rural Oklahoma.

Sanders said the office’s governing board made its first awards from the American Rescue Plan Act (ARPA) state and local fiscal recovery fund totaling about $374,000,000 and later awarded about $159,000,000 from the U.S. Department of the Treasury’s Capital Projects Fund, for roughly $500 million in awards in 2024. “This is federally funded, 100%,” Sanders said, adding that all grant agreements for those programs have been executed.

The presentation emphasized accountability and timelines. Eden Rolls, chief strategic officer, described the office’s risk‑based grant compliance approach and monthly reporting cadence for higher‑risk providers. Rolls said the office follows federal guidance, including 2 CFR 200, and uses grant analysts and reporting staff to review invoices before drawing down federal reimbursements. “There was never any change,” Rolls said in response to a constituent’s allegation that scoring rules were changed midprocess; she added the U.S. Treasury required certain limits and the office used overbuild‑prevention and challenge processes to confirm locations had not already been funded.

Why it matters: the committee heard the office expects projects to be operational by Oct. 2, 2026, and that ARPA and CPF awards carry a 10‑year post‑completion monitoring obligation. That long‑term requirement means some state monitoring or reporting functions will remain after the office sunsets; Sanders said the office is expected to shrink to a smaller auditing/reporting apparatus later and likely be absorbed by another agency when federal programs end.

Key program and budget details presented - Total public investment the office expects to administer before program sunsets: more than $1,300,000,000. - 2024 awards: about $374,000,000 (SLFRF) and about $159,000,000 (CPF); the office said more than 180 Oklahoma projects will receive at least one project. - Administrative caps cited for program funds (as reported to the committee): ARPA SLFRF administrative component and CPF administrative cap figures were presented; Rolls provided precise dollar cap figures for each program (see clarifying details). - Operational deadline for ISP projects funded under these awards: projects must be operational no later than Oct. 2, 2026. - Post‑completion obligations: the office will monitor equipment and required speeds for 10 years after grant completion to ensure sustained compliance.

Technology, providers and selection process Sanders said roughly 35 companies received awards for the first round of grants and that the project mix for the 180 awarded projects is approximately 90% fiber and 10% fixed wireless. The minimum speed standard the office uses for awards is 100 Mbps down and 20 Mbps up, with many projects targeting 100/100 symmetrical service. Sanders also noted satellite and other technologies may be part of the solution in the highest‑cost, hardest‑to‑reach portions of the state.

On provider selection and project design, Rolls described an overbuild‑prevention or challenge process that allows providers to submit proof of recently built locations (for example, previous USDA or FCC awards) so the office avoids funding duplicative builds. The office also uses a cost‑per‑pass metric (cost to extend service to a single home, business, farm or ranch) in scoring; Rolls said the governing board set cost thresholds after negotiating with the Treasury.

Staffing and funding of the office Rolls said the office currently has 20 full‑time employees and expects to add several more (Sanders and other staff described a need for roughly five to six additional grant analysts for the next, larger program). The office said it receives no recurring state appropriation for day‑to‑day operations and that most operating dollars are covered by allowable administrative uses of the federal grants it is administering. Rolls explained the office operates primarily on a reimbursement basis and must submit invoices to draw down federal funds.

Committee members asked about long‑term staffing and financial obligations when federal funds expire. Sanders said work remaining after the office sunsets will be absorbed by another agency and that the state will retain post‑award monitoring responsibilities required by federal rules.

Quotes and accountability - “This is federally funded, 100%,” Director Sanders said when introducing the office’s work. - “There was never any change,” Eden Rolls said about the scoring rules after a constituent questioned whether criteria had been changed midprocess.

Ending Committee members thanked Sanders and the staff and raised questions about mapping, timelines and the office’s future staffing; Sanders and Rolls said they would respond to constituent inquiries and continue to provide data and maps on the office website, broadband.okay.gov, which the office said shows award maps, project areas and related federal funding footprints.