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Officials say BEAD planning funds were partially spent; carryover exemption will be needed if program continues

2165993 ยท January 28, 2025

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Summary

NDIT briefed the subcommittee on federal BEAD planning funds: the state received $5 million for planning, some dollars have been spent, and agency staff said they will need carryover authority (an exemption) because reimbursement is drawn down over time.

Subcommittee members asked state IT officials about the status of BEAD (Broadband Equity, Access and Deployment) planning funds and whether recent White House memoranda might affect future awards.

"For BEAD, for example, we got $5,000,000 for the planning and a portion of those funds have been already spent," Craig Valkley, NDIT chief technology officer, told lawmakers. Greg Hoffman, deputy CIO, confirmed the agency will need carryover authority to continue drawing down reimbursements: "We will need the exemption again to continue the authority to spend the money."

Officials said some planning dollars were used for consultants and early project activities and that the state is still on a schedule to submit its final BEAD proposal in summer 2025. NDIT staff also said federal memoranda (M-25-11 and a later M-25-13) are under review and could affect future awards; agency staff were in active federal conversations with Treasury and Commerce at the time of the hearing.

Ending: Committee members asked for more precise carryover figures and for NDIT to monitor federal guidance closely. Lawmakers did not take further action during the meeting.