4. Discussion

Audeamus filed the application to remove and transfer the above mentioned CBG's from CVB's grant area because CVB did not get Recovery Act funding for four of these CBGs already granted to Audeamus.

The Recovery Act rules state that:

"[Rural Utilities Service] RUS will not fund more than one project to serve a given geographic area. If more than one application would serve any overlapping area, the application with the highest score will be funded; other applications for the same area will be rejected in their entirety unless RUS, in its discretion, determines that the extent of the overlap is de minimus." ⁴

Based on the Recovery Act rules, even if CVB re-submitted its application in the second round, these duplicate areas would once again be rejected since Audeamus has already received funding approval from the Recovery Act. Therefore, for the four duplicate CBGs, CVB will not be able to meet the CASF funding contingency in Res T-17245 that requires it to receive Recovery Act funding approval.

This decision does not affect other CBGs in CVB's Res. T-17245, and CVB should continue to deploy broadband as allowed by Res. T-17245A.

⁴ Notice of Funds Availability and Solicitation of Applications, RIN 0572-ZA01, Section IV(C)(5)(b)(i) (Friday, January 22, 2010)