It’s been a busy few days in the broadband world.  As many of you probably know, the Notice of Funding Availability (NOFA) for the broadband stimulus program was announced last week, outlining the rules for both the Broadband Initiatives Program (BIP) and the Broadband Technology Opportunities Program (BTOP).  The massive NOFA document is 120+ pages – clearly far too long to re-hash in a blog post – but I did want to talk about a couple of things that stood out to me.

• The minimum requirements for speed will be 768kbps down and 200kbps up.  These speed definitions may seem low to those of us based in well-served areas – when I first read them, I thought the same thing.  However, it’s important to remember there are challenges to bringing high-speed connections to remote areas of the country.  For them, 768kbps is a vast improvement over dial-up or no service.  The rules also encourage higher speeds where possible, which I was pleased to see.  I spoke to Brad Reed from Network World about this last week and he included a few more of my thoughts in an article.

• Applicants for grants will have to match 20% of the funding to their project.  I had heard rumors of this in the past few months, so it’s not totally unexpected.  This could certainly box out companies and organizations that aren’t well funded, especially in this environment when raising funds is such a challenge.  On the flip side, it may also help weed out the companies that don’t have a solid business model, plan and overall strength to see the project through.

• Funds can to go pretty much any type of organization – private, public, non-profit organization, etc.  As Stacey Higginbotham from GigaOM noted, “At one point, there were concerns that only nonprofits would reap the cash.”  Most people in the broadband industry – as well as those living in the underserved and unserved areas – will likely appreciate this rule.  I think it will make the grant process more competitive because more organizations will be allowed to apply.  As I’ve said before, competition breeds innovation so this is a good thing.

• States will also have a chance to be involved in the selection and vetting process.  While some may think this will create a “too many cooks in the kitchen” scenario, I think it will help the underserved/unserved.  Every state’s needs are different and involving them in the decision making process will help ensure their needs are met.

I’d like to close the post with an excerpt from a recent AP story (by Dan Nephin) including a quote from Vice President Joe Biden about the stimulus that I think sums up the importance of this program nicely.

“We believe we are in the process of transforming rural America … so it’s integrated with the country, without losing its character,” he said.  The program also covers inner-city areas without broadband access.  ”Getting broadband to every American is a priority for this administration.” Biden said.

What do you think of the stimulus plan’s rules?  Is there anything you wish had been addressed?  How do you think the plan will work for underserved/unserved Americans?