SB90 Alabama 2019 Session

Summary

Primary Sponsor

Clay Scofield

Republican

Session

Regular Session 2019

Title

Broadband accessibility, grant program to provide broadband in unserved areas revised, Secs. 41-23-212, 41-23-213, 41-23-214 am'd.

Summary

SB 90 expands Alabama's broadband grant program to bring service to unserved rural areas by creating a dedicated fund, redefining unserved areas, increasing funding caps, and adding stronger oversight.

What This Bill Does

It redefines what counts as an unserved area and sets higher funding limits for grants. It creates the Alabama Broadband Accessibility Fund, administered by ADECA, to award grants to private entities for unserved areas, including middle mile projects and facilities serving hospitals, schools, libraries, and public safety sites. It sets grant caps (up to 35% of project costs with specific dollar limits based on speed goals) and restricts total state funding to 60% of the project cost when combined with other funds, while requiring at least 40% of funds go to unincorporated areas. It also establishes an oversight committee and requires regular reporting, with project completion deadlines and performance testing tied to grant payments.

Who It Affects

• Residents and businesses in rural, unserved areas who would gain broadband access or faster speeds through grant-funded projects.
• Private broadband providers, hospitals, public schools, libraries, and local governments that apply for ADECA grants, along with ADECA staff and the new Rural Broadband Oversight Committee responsible for administering and monitoring the program.

Key Provisions

• Defines unserved area, end user, and middle mile project; sets a minimum service threshold for eligibility.
• Creates the Alabama Rural Broadband Accessibility Fund in the State Treasury and designates ADECA to administer the grant program under established policies.
• Allows grant awards to private entities (cooperatives, corporations, LLCs, partnerships) for unserved areas; restricts the program from expanding authority to provide broadband service.
• Grant caps: not more than 35% of project costs, with dollar caps of up to $1,500,000 for high-speed projects, $1,400,000 for 25 Mbps/3 Mbps, and $750,000 for at least 10 Mbps/1 Mbps; combined with other funding may not exceed 60% of total project costs.
• Not less than 40% of grant funds must be used in unincorporated areas; annual allocation rules limit certain subcategories to 40% of funds.
• Eligible project types include unserved areas, Middle Mile projects, and projects serving hospitals, public schools, public safety, or economic development sites with demonstrated need for higher speeds.
• Priority criteria include leveraging private investment, community support, operator capability, financial resources, cost efficiency, serving the most unserved locations, and special emphasis on hospitals and libraries.
• Consideration of pole attachment rates; preference for Disadvantaged Business Enterprises and Minority Business Enterprises; reporting on certified DBEs and MBEs used in grants.
• Grant administration includes a defined application cycle, scoring system, protest process, and payment schedule; completion within two years is required or funds may be revoked.
• Establishes the Alabama Rural Broadband Oversight Committee to oversee implementation, with quarterly and annual reporting to the Committee and leadership, plus an availability report.
• Immediate effect; does not affect grants approved before the act; provisions are severable.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Telecommunications