North Florida Broadband Auth: Another County pulls out. Dixie says throwing away money a major issue.
Posted September 13, 2012 07:31 am | Part XXIV
LAKE CITY, FL – The saga of the $30,000,000 stimulus funded behind schedule North Florida Broadband Authority (NFBA) continues with another casualty, as the Observer has recently learned that Dixie County, on July 19, 2012, officially pulled out of the NFBA. As it struggles to stay afloat on a soon to disappear stream of millions of mismanaged Obama dollars, there were no press releases by the NFBA announcing this event. On May 9, 2012, Dixie County's County Manager came to an NFBA meeting, spoke out and questioned the NFBA about its progress. The NFBA cleansed its minutes of all of Dixie County's remarks. The Observer begins the story here.
May 9, 2012: There is no record of this in the NFBA minutes
On May 9, 2012, Dixie County's County Manager, Mike Cassidy had some serious concerns regarding the NFBA, the design of the network and the leases for its towers and other assets to the NFBA. He shared these concerns with the NFBA management and Board.
County Manager (CM) Cassidy said that Dixie County "needed more backbone up. We need that middle mile." The backbone, also referred to as the middle mile of the NFBA network, is what brings the internet to an area and then allows it to be sent further away to another area.
CM Cassidy pointed out on a map an underserved area in Dixie County. "That is the largest populated area with the most demand, the most underserved and unserved for internet high speed service." The NFBA did not have plans to bring service to that area.
CM Cassidy asked if there was a list and a time line available to see where the NFBA or a last mile provider was planning to go.
The NFBA's staff Project Manager, Donny Lort, explained it was part of the ongoing network design. He said, "It is ongoing from now to the end of the year.
The NFBA has consistently refused to release the network re design that was spoken of in the beginning of 2012 and sent to the NTIA for approval. The NFBA network has been redesigned many times.
Part of the NFBA grant agreement requires the NFBA to accumulate what are known as in-kind assets, such as towers and land, and lease them from municipalities.
CM Cassidy wanted to know if the leases could be cancelled if the NFBA or a provider didn't use the asset.
Mr. Lort answered, "Yeah, you could do that. That's not a problem."
The NFBA's heralded and just announced partner, Mainstreet Broadband's CEO, told CM Cassidy that as soon as the assets were booked Mainstreet was ready to go. Two months later Mainstreet went bankrupt; disappeared; and barely a word was spoken by the NFBA.
CM Cassidy said that if Dixie County couldn't see a time line for the unserved and underserved, "There is no future benefit for us in this."
He explained that in Dixie County, everywhere the NFBA backbone went, "there is DSL." He asked if the leases could be contingent upon an agreement that services would be available.
"You asked us to commit in-kind assets about 24 months ago, but we didn't commit to what you are about to ask for now. We committed them for the project before, but we didn't have the details at the time, otherwise it would be just paperwork changes vs. fifty year leases. Is that correct?"
Mr. Lort explained it was negotiable.
CM Cassidy said, "You just can't go out and commit a blanket list. It is a lot easier to say we can commit it contingent upon service and a time line... If there was a change, we should have known about it twenty four months ago."
Mr. Lort agreed.
Mr. Lort concluded the discussion, "Let's get back on track. It [this] was a great discussion."
All of the preceding, other than Mr. Cassidy being listed on the attendance list, was scrubbed from the secretive NFBA's minutes.
NFBA Road Show Traveled To Dixie County: Throwing away money a major issue
On July 3, 2012, the NFBA General Manager, Richelle Sucara, and Project Manager, Donny Lort traveled to Dixie County looking for Dixie County's in-kind assets.
The NFBA refuses to release to the press, or anybody else, any calendar of these NFBA visits. The following regarding Dixie County is gleaned from the Dixie County draft minutes of that meeting. Dixie County does not record its meetings.
The NFBA showed up in Dixie County with a map "outlining parts of Dixie County in Gilchrist County." The map was wrong.
County Manager (CM) Cassidy said the staff's opinion was the NFBA had not focused on Dixie County and the attitude of the NFBA was that "We need your assets and we will put them where we want to," and added that the NFBA's throwing away of money was a major issue for Dixie County.
There was a discussion regarding what took place before the arrival of General Manager Sucara. Then there appeared to be a discussion regarding employment at the NFBA.
The minutes state the following: Mr. Lorte [Lort] stated there is no one in Dixie County that has the skill sets to fill the positions that were open for employment. The Board found this statement quite offensive.
Dixie County Commissioner Jason Holifield asked if the NFBA was willing to pay the County for the use of its towers and was told by GM Sucara that would not work.
The discussion continued with the Board agreeing that it wanted broadband in Dixie County, but not at the expense of mishandled funds. The board did not foreclose on the idea of leasing its assets to the NFBA. Then CM Cassidy reminded the Board that it could withdraw from the NFBA.
The Board decided to wait until the next meeting to decide on a resolution to withdraw from the NFBA.
July 19th, Dixie County pulls out of the NFBA
A little over two weeks later, after plenty of time to consider its position, the Dixie County Board of County Commissioners pulled out of the North Florida Broadband Authority citing the following reasons:
As of May 30, 2012, the NFBA could not provide any specific operational plans to expand Broadband in Dixie County beyond the areas already being served by existing providers, which limits service opportunity to the unserved and underserved, failing to meet the intent of the grant, neither could it identify/provide specific plans for the use of any in-kind assets previously listed.
The NFBA has been challenged with issues relative to project management, project costs, project progression, and project completion.
The NFBA has a staff cost that is largely inconsistent with other governmental entities within the RACEC [Rural Area of Critical Economic Concern], as well as principles and practices that are largely inconsistent with Dixie County's principles and practices.
Additionally, Dixie County wished the NFBA well; would consider lease agreements on a case by case basis and stated that it would work cooperatively with the NFBA.
Epilogue
The North Florida Broadband stimulus funded project has been a horror show almost from the beginning. It has been mismanaged and plagued by charges of waste, fraud and abuse to this day. The federal investigation has been covered up and ignored by the Obama administration.
Anyone who has spoken out against the mismanagement of this project has been subject to extreme pressure, character assassination, attack and or insults. Dixie County, in joining the other brave souls who have walked away, refused to join or called for an investigation of this project, took a brave step in joining the select few who have stood up for the principles of good government.