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Commerce outlines broadband spending: $35M state fund partly obligated, $120M capital projects and $580M BEAD program underway
Summary
The Department of Commerce told JFAC it has obligated most of a $35 million state broadband fund, is deploying $120 million in federal capital projects across 18 projects, and is preparing to allocate Idaho’s share of the $580 million BEAD program through pre-qualification and application rounds.
The Idaho Department of Commerce briefed the Joint Finance-Appropriations Committee on Oct. 12 about broadband programs and how state and federal funds are being allocated to expand service in unserved and underserved areas.
Analysts said the department now manages multiple broadband funding streams: a $35 million Idaho Broadband Fund, a $120 million capital projects fund funded through ARPA, and Idaho’s portion of the federal BEAD (Broadband Equity, Access, and Deployment) program, which the department described as a roughly $580 million federal program for Idaho. The Commerce presentation emphasized that much of the ARPA capital projects funding is already contracted to projects that aim to connect tens of thousands of homes and businesses.
Brooke Dupree, a Legislative Services Office analyst, noted the broadband office now has dedicated staff and 6 FTP in addition to Commerce’s other program staff, and that the broadband office was created in the previous legislative session to increase transparency and oversight of broadband allocations.
Department director Tom Keeley and Ramon Jabe Sanchez, broadband manager, described the current status of each fund:
- Idaho Broadband Fund (state general fund): $35,000,000 was appropriated; about $26.5 million of those dollars are already obligated, leaving roughly $8.5 million available for future projects. The Broadband Advisory Board is reviewing next steps for the remaining state funds. - ARPA Capital Projects Fund: Approximately $120,000,000 was appropriated and is contracted across 18 projects statewide to connect about 35,000 homes and businesses, the department said. - BEAD (IIJA federal program): Idaho’s allocation process is underway; Commerce described pre-qualification of potential applicants and a funding application round expected within the calendar year. The department emphasized a federal preference hierarchy that prioritizes fiber and licensed fixed wireless, with alternative technologies (including low-earth-orbit satellite services such as Starlink) allowed where appropriate and cost-effective.
Sanchez told the committee that Idaho is the only state that used some BEAD planning funds to provide local planning grants; the department said 15 local jurisdictions used those grants to support BEAD proposals and regional planning. He said the BEAD application phase will include scoring and evaluation during the summer and a federal review that could result in awards about a year after applications close.
Committee members asked whether all funds had been committed and how Commerce coordinates with private internet service providers. Keeley and Sanchez said roughly $26.5 million of the state fund is already obligated, the capital projects fund was under contract, and the BEAD process is in pre-application and planning phases. Sanchez described active collaboration with roughly 90 ISPs in Idaho and said the department has emphasized regional planning and partnerships with private providers.
No formal votes were taken. Commerce said it will return with further details as BEAD application rounds proceed and as the Broadband Advisory Board finalizes allocations for the remaining state funds.
