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Columbia County Observer

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North Florida Broadband Authority: Feds resume funding – Put small vendors first

The North Florida Broadband Authority got back on track to bring high speed internet service to 15 north central Florida rural counties when the Federal Government, listening to the pleas for help from the many small vendors, who have been left reeling from the suspension of the project's funding, turned the money back on late yesterday afternoon. The Feds put it this way, "... NTIA has recommended that NOAA approve a partial draw down of your initial request of $7,682,813.22 ... in the amount of $1,659,683.83 in order to immediately satisfy the credit demands of certain small vendors." The NFBA will remain under heightened scrutiny and still has many questions to answer.

At a NFBA transition team meeting held in Live Oak late yesterday morning, Denise Hamilton, CFO of Rapid Systems, whose Tampa company is recognized as one of the leading experts in the wireless broadband industry and whose contract was terminated under questionable circumstances for "convenience" told the NFBA members:

Ms. Hamilton's complete remarks on the the lack of funding.

 "We really have a very crucial situation. There are vendors that are putting their homes up for mortgage to pay their employees. Something has to be done."

Rapid Systems has laid out approximately $500,000 of its own money and had to lay off over 10 employees due to the suspension.

NFBA Chairman Fulford responded, "We're at their [the Feds] mercy. They hold the money."

Rapid Systems is on the list of vendors to receive payment.

Link:  The Department of Commerce letter is here, along with the list of vendors authorized to be paid.

Early yesterday evening, the U.S. Department of Commerce sent the NFBA a letter, explaining the release of some of the funds and giving them the word that work on the project can begin again.

Under heightened scrutiny

Two of the firms that were forced to resign and have repeatedly claimed that they will be vindicated of any wrong doing, Government Services Group (GSG) and Capital Solutions – Tallahassee, have had invoices withheld for payment. GSG remains under Federal scrutiny, as does the whole project, which is under investigation by the Office of the Investigator General, known as the OIG.

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Links to the NFBA series:

• North Florida Broadband Authority: FL's Public Record Laws the latest casualty
(Part XXXIII) (January 6, 2013)

North Florida Broadband Authority: Foot dragging, lack of info cause Suwannee Cnty to call "strike 3" on the NFBA – They're out
(Part XXXII) (January 3, 2013)

North Florida Broadband Authority: Suwannee County tells the NFBA – One more strike and you're out
(PartXXXI) (December 20, 2012)

North Florida Broadband Authority: Wracked by gross mismanagement from the feds on down, the NFBA has become the poster child for non disclosure
(Part XXX) (December 18, 2012)

North Florida Broadband Authority: More bad news. Last Mile Wifi CEO, "I knew they were going to extort me."
(Part XXIX) December 10, 2012

North Florida Broadband Authority: NFBA failed to make the grade in Gilchrist County
(Part XXVIII) (November 29, 2012)

North Florida Broadband Authority: Columbia County Pulls Out of Obama Funded Stimulus Project
(Part XXVII) (November 2, 2012)

North Florida Broadband Authority: The NFBA road show traveled to an unprepared Columbia County with misinformation, half truths, and just plain lies
(Part XXVI) (Posted October 9, 2012)

North Florida Broadband Authority: Woebegotten Stimulus funded authority gets another black eye. No one bids to service the $30 mil 14 county network.
(Part XXV) (Posted October 1, 2012)

• North Florida Broadband Auth: Another County pulls out. Dixie says throwing away money a major issue.
(Part XXIV) (Posted September 13, 2012)

North Florida Broadband Authority: NFBA road shows moves to Lake City for a double dose of free money
(Part XXIII) (Posted September 5, 2012)

North Florida Broadband Authority: Secrecy and a lawyer's spread sheet. It's business as usual at the NFBA.
(Part XXII) (Posted August 22, 2012)

North Florida Broadband Authority:  Mainstreet Broadband, NFBA's touted business partner, goes bust
(Part XXI) (Posted August 2, 2012)

• North Florida Broadband Authority: Two cities say "no mas." Refuse free tower space to NFBA
(Part XX)  (Posted July 26, 2012)

North Florida Broadband Authority: Taylor County Says Goodbye, "I don't think our county should be involved."
(Part XIX) (Posted April 18, 2012)

• North Florida Broadband Authority: Perry Pulls Out, City Manager tells Council, "It's just out of whack"
(Part XVIII) (Posted April 11, 2012)

North Florida Broadband Authority: Bradford County Says "No Mas" – Pulls Out
(Part XVII) (Posted April 4, 2012)

North Florida Broadband Authority: Operating in the shadows with the help of the Feds, the NFBA saga continues
(Part XVI) (posted March 29, 2012)

Lake City, City Manager Wendell Johnson looks to make White Elephant deal with troubled North Florida Broadband Authority
(Part XV) (Posted Feb 28, 2012)

North Florida Broadband Authority: Propped up by the Feds, financed by the American People - Who can you trust?
(Part XIV) (Posted Feb 25, 2012)

North Florida Broadband Authority:
"Sunlight is the best disinfectant." Not for them

(Part XIII) (Posted Jan 13, 2011)

North Florida Broadband Authority:
A Lawyer's Dream. A Look At The Numbers
(Part XIIb) (Posted Dec 29, 2011)

North Florida Broadband Authority:
A Lawyer's Dream. Money Is No Object
(Part XIIa) (Posted Dec 28, 2011)

North Florida Broadband Authority:
Feds come to town – Working under the cover of darkness was their MO

(Part XI) (Posted November 23, 2011)

North Florida Broadband Authority:
Feds continue investigation - Interim GM rehires resigned firms employees

(part X) (Posted Nov 11, 2011)

North Florida Broadband Authority: "The greatest threat to this project is the Government"
(Part IX) (Posted November 2, 2011)

• Federal grant for broadband access in rural Louisiana rescinded: Could the North Florida Broadband Authority Be Far Behind?
(Posted October 28, 2011)

• North Florida Broadband Authority: Redefining "Good Business Sense?"
(Part VIII) (Posted October 25, 2011)

• North Florida Broadband Authority: Feds resume funding – Put small vendors first
(Part VII) (Posted October 20, 2011)

North Florida Broadband Authority: Small vendors in big trouble | NFEDP/FSU's Hendry may resign (Part VIb)  (Posted Oct 14, 2011)

North Florida Broadband Authority: Blood in the street (Part VIa)  (posted Oct 13, 2011)

North Florida Broadband Authority: "I don't want to die on principle and not have broadband." (Part V)  (posted Oct. 6, 2011)

NFBA future in limbo - Fed keeps funds locked down - Suspend project  (Part IV) (posted Sept 28, 2011)

The North Florida Broadband Authority. Its world was about to change (part III)  (posted Sept 16, 2011)

"I think we have a failure to communicate." The N Florida Rural Broadband saga continues (Part II)  (posted Sept 14, 2011)

Feds close spigot on $30 million broadband stimulus grant. 15 north central Florida counties waiting for money to flow again
(Part I)  (posted Sept 12, 2011)