Virginia funds broadband deployment within the Commonwealth through several programs. The largest and main program is the Virginia Telecommunication Initiative (VATl).

VATI provides grants to localities partnered with internet service providers to finance the deployment of high-speed broadband to locations (called a "passing") that are determined to be "unserved." Passings are places where the internet can be accessed; thus, it could be a business, community anchor, a home, or an apartment complex. A passing is unserved(*1) if it lacks access to internet speeds of 100 megabits per second (Mbps) download and 20 Mbps upload ("100/20").

This quarterly report is required by statute and has been prepared by the Office of Broadband located within the Virginia Department of Housing and Community Development (DHCD). This report tracks the technical performance of the VATI provider partners in their work to deploy broadband. This report adheres to the factors that the General Assembly directed to be tracked and presents them in the manner directed by the General Assembly.

Below are the key takeaways from the report. Only open projects are !isled in the summary tables provided at the end of this report. Completed projects are not listed in these tables; however, their total figures are listed in the summary bullets below.

• Total passings: VATI FY 2022, FY 2023, and FY 2024 projects will provide access to broadband infrastructure to 320,402 passings across Virginia.

• Leveraged local and private funding: In addition to $822.8 million in state and federal funding awarded, FY 2022, FY 2023, and FY 2024 projects leverage a total of $1.198 billion in private and local match funding. To date, $557 million of these awarded funds and $833.3 million of these matching funds have been expended.

-Note: Projects that have been completed and closed out are not listed in the tables below. Therefore, expenditure totals listed in this narrative may exceed the total of project expenditures in the table below.

• Locations Built-To: To date, projects have provided broadband access to 231,377 locations.

-Note: Only active projects are included in the project tables below in this report. Projects that have been completed and closed out are not included in the project tables below. Therefore, the number of "Locations Built-To" provided in this summary narrative exceeds the "Total Passings Provided Broadband Access to Date " metric from the active project summary tables below.

• Maximum Speeds Available: More than 93.4% of projects funded in FY 2022, FY 2023, and FY 2024 offer functionally gigabit (1,000 Mbps) download speeds, and over 73.7% offer functionally gigabit upload speeds.

In conclusion, 14 out of the 41 open projects funded from the American Rescue Plan Act of 2021 (ARPA) and General Funds from FY 2022, FY 2023, and FY 2024 are scheduled to be completed by their original contract date as of this report's submission. DHCD identifies 27 projects with either high or low risk determinations. Justification for project delays include the make-ready effort, which includes preparing existing electric poles for aerial broadband network construction, as well as supply chain and labor markets, streamlining utility locate efforts, railroad crossings, the permitting process to lay fiber in state-owned rights of way along roads, and permitting to cross federally owned lands. DHCD will continue its ongoing work to monitor these projects, assisting where appropriate in mitigating these broadband deployment challenges.

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(*1) In the FY22 VATI process, the definition of unserved was set at 25/3. This definition of unserved has been upgraded to those passings lacking access to broadband at speeds of 100/20 for the FY2026 VATI process.