Pole attachment requirements added late in the Broadband Equity, Access, and Deployment (BEAD) program rollout have become a sticking point for electric cooperatives, already pushing some out of the program. In an interview with Telecompetitor, NRECA CEO Jim Matheson said the BEAD provision marks a sharp break from decades of federal policy and is one reason several cooperatives have decided the program is no longer worth pursuing.
Under the National Telecommunications and Information Administration’s (NTIA’s) revised terms, an electric cooperative that accepts BEAD funding for any part of its territory becomes subject to Federal Communications Commission (FCC) pole attachment rates across its entire service area, not only the funded portion.
Electric cooperatives have long been exempt from FCC pole attachment regulation under Section 224 of the Communications Act, which caps the rates pole owners may charge companies that string broadband lines and sets deadlines for processing attachment requests. Cooperatives set their rates locally, and Congress preserved the exemption in recognition of the sparsely populated, hard-to-serve areas co-ops typically cover.