DEED broadband office outlines BEAD progress, remaining gaps and tight timelines for line-extension funds

Brie Mackey, executive director of the Office of Broadband Development at the Minnesota Department of Employment and Economic Development, told the House Agriculture Finance and Policy Committee that the office has completed a statewide BEAD planning resubmission and in December received NTIA approval and a subsequent notice of award from a federal partner.

Mackey said Minnesota’s BEAD allocation remains about $652,000,000 but that awarded grant requests in the most recent round totaled roughly $378,000,000, leaving a gap the office says is awaiting federal guidance on how to use the remaining “non‑deployment” dollars. “We have not received guidance from NTIA yet on how those…non‑deployment dollars can be used,” Mackey said.

The office presented mapping and fieldwork statistics intended to show program progress: DEED staff visited and tested more than 35,000 locations during monitoring and closeouts, and the state has closed more than 58 projects in 2025 and served about 120,000 locations through state programs to date. Mackey said the state’s mapping program—run with vendor Connected Nation—shows urban/rural disparities: statewide 93.8% of locations report 25/3 service but only about 85.2% in rural areas; 100/20 service gaps are larger, with the office reporting roughly 155,000 BSLs lacking the 100/20 benchmark.

On technology outcomes under the BEAD award, Mackey said that among the 75,000 targeted locations the mix of awarded approaches is roughly 58% fiber, 25% low‑earth‑orbit (LEO) satellite solutions and 17% fixed wireless. She emphasized that a June NTIA policy notice required a tech‑neutral, lowest‑cost approach and that the state’s earlier effort to prioritize fiber was constrained by that requirement.

The committee also heard details about the state line‑extension program, created in 2022 to connect unserved locations directly to existing networks. Line extension offers up to $25,000 per broadband service location (BSL), though Mackey said averages tend to be nearer $5,000–$6,000 per location. She told members that capital‑projects dollars for a fifth round must be fully expended by December of this year, which will require Internet service providers to shorten build timelines and meet aggressive deliverables.

Mackey flagged operational issues that could affect construction and contracting timelines, including supply shortages and potential NTIA waivers for non‑BABA (Buy America, Build America) supplies, ongoing NEPA and permitting work, and workforce constraints. On workforce she said ISPs have been planning work schedules and partnering with community colleges but conceded that national simultaneous buildouts create labor pressure.

Committee members asked about cost estimates to finish the state’s identified unserved locations. Mackey referenced a prior cost analysis suggesting roughly $1.2 billion would be needed to complete service to the remaining locations and said a multi‑year appropriation (for example $125–$150 million per year) could accelerate progress.

Concluding her presentation, Mackey noted outreach and assistance options—applications by phone, paper or online—upcoming permitting webinars in April and a Connecting Minnesota Broadband Summit on April 29 to help providers and local officials navigate BEAD contracting and mapping questions. Chair Anderson thanked the presenters and moved the committee to the next agenda items.