1 edit | reply to Leechy
Re: Small companies build out then nationals buy up later said by Leechy :
You didn't read the NOFA. The "special conditions" apply for the life of the funded assets. If a small ISP wins a grant for a fiber network, that network has to be open, neutral, etc for the life of the fiber, even if the ISP goes bankrupt and sells the fiber to Comcast or Verizon.
»broadbandusa.sc.egov.usda.gov/files/nofa.htm
2. Sale or Lease of Project Assets
The sale or lease of any portion of the award-funded broadband
facilities during their life is prohibited, except as provided herein.
The agencies may approve a sale or lease if it is: a. For adequate
consideration; b. the purchaser or lessee agrees to fulfill the terms
and conditions relating to the project after such sale or lease; and c.
either: i. the sale or lease is set forth in the original application
and is part of the applicant's proposal for funds; or ii. the agencies
waive this provision for any sale or lease occurring after the tenth
year from the date of issuance of the grant, loan or loan/grant award. Generally you are correct, but I'll bet the awarding agencies will make exceptions if the alternative is shut down of the assets. And bankruptcy courts have wide powers to override the conditions of any existing contracts.
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