Mainstream Fiber says county permit fees threaten $1.7M BEAD broadband project

Pete Nemeth, legal and regulatory counsel for Mainstream Fiber Networks, told commissioners the company has a conditional BEAD subgrant from the Indiana Broadband Office for $1,700,000 and would add $2,100,000 in private capital to build fiber in unincorporated parts of Warrick County.

"If the ordinance goes back to what it was, we can take the money from the state, we can put our money forward, and we can do the project," Nemeth said, citing a state deadline of Aug. 16 to sign the subgrantee agreement. He said a county ordinance adopted in 2024 (cited in the meeting as Ordinance 2024-10) added linear-mileage fees that make the BEAD math no longer work for the company.

Commissioners asked legal staff about options. The county attorney said he needed to review ordinance language and the board discussed either waiving fees for the single BEAD project, drafting discretionary language, or pursuing a right-of-way contract similar to one used in Chandler, Ind. The chair said staff could prepare language for review and, if necessary, the board could take a consensus vote and ratify it at the next meeting to meet the state deadline.

Nemeth offered examples of local solutions in other towns and said the fee change could unlock additional private investment: "Outside of the BEAD project, we have projects totaling up to $9,000,000 of private investment that could happen if the permit fees go back to where they were," he said.

The board did not take immediate formal action; commissioners instructed legal staff to review options and return with recommended language or approaches before Aug. 16.