OTTAWA COUNTY — The size and scope of Ottawa County's broadband project has been significantly reduced, from 400 miles of fiber to 250.
That's according to information presented during a finance and administration committee meeting Tuesday, July 2, when commissioners approved an amendment to the county's broadband plan with 123Net.
Director of Strategic Impact Paul Sachs informed the committee the county’s ROBIN grant funding allocation came in lower than expected. As a result, the project will service fewer homes in the county and the county’s required matching funds will be lower.
The county’s grant funding was reduced from $14 million to $8.8 million; matching funds decreased from $7.5 million to $4 million; the miles of fiber dropped from 400 to 250; and the number of homes that will be passed by the fiber is reduced from around 10,000 to around 6,000.
More: Ottawa County Board approves agreement to expand broadband access
Sachs said his department will continue to pursue other avenues to provide connectivity in the county.
“We know there are continued gaps in access that will occur after this grant funding, so we’re diligently pursuing other paths,” he said. “There are some opportunities to use that remaining $3.5 million from the original $7.5 million that you dedicated to this work to effectively, diligently and thoughtfully.”
Sachs assured commissioners any potential use of the $3.5 million removed from the agreement with 123Net would be brought before the board before being allocated.
The county entered a partnership with 123Net in December to construct a fiber network in underserved and unserved areas of the county. The county is using ARPA dollars for matching funds.
“High-level design” for the project is nearing completion, Sachs said Tuesday, and the county will make its first payment to 123Net soon. The next step will be “granular level” design, which 123Net will contract out. The county’s next payment to 123Net won’t take place until 20% of homes outlined in the project have fiber passing their property.
Changes to financial policy
A separate group of commissioners held a first reading for a policy update Tuesday, July 2, regarding the county budget.
The primary focus was codifying a policy to transfer excess balances in special revenue funds — such as the Ottawa County Department of Public Health or Friend of the Court — to the general fund.
More: Commissioners approve reallocating health department funds
A new addition to the fund balance policy states: “Special revenue funds that are supported by a general operating transfer(s) of money from the general fund will only maintain a fund balance to the extent that the funds are one or more of the following types: restricted; non-spendable; or committed by separate resolution of the (board)."
Interim County Administrator Jon Anderson said the policy change came from the fiscal services department and were reviewed by corporate counsel.
“(The policy) was updated just to reflect the way we’ve been operating in the county,” Anderson told the planning and policy committee. “If a department has excess general funds, they would be transferred on the ledger, just mostly accounting purposes, back into the general fund.”
Fiscal Services Director Karen Karasinski was not in attendance at the meeting.
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Earlier this year, the board voted to transfer unrestricted funds from the OCDPH budget to the general fund. At that time, some commissioners questioned why only OCDPH funds were being moved and whether the county should have a blanket policy for all funds.
Commissioners then requested Karasinski draft such a policy. The committee voted 5-0 to approve.
Items given initial approval Tuesday will be on the agenda for the full board July 9.
— Contact reporter Mitchell Boatman at mboatman@hollandsentinel.com .
This article originally appeared on The Holland Sentinel: Ottawa County broadband project significantly reduced in scope
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