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Telecom Order CRTC 2022-188

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Ottawa, 19 July 2022

Public record: 1011-NOC2019-0372

Broadband Fund – Acceptance of statement of work for TELUS Mobility’s access and mobile project in northern Alberta

Background

  1. In Telecom Decision 2021-255, the Commission awarded up to $1,852,538 to TELUS Mobility to build access and mobile infrastructure for the project proposed in its application filed in response to the second call for applications for funding from the Broadband Fund. The Commission later received written acceptance of this funding award from TELUS Mobility.
  2. The Commission received TELUS Mobility’s proposed statement of work, including the information package regarding its access and mobile project in northern Alberta (the project).

Commission’s analysis

TELUS Mobility’s request for an increase in funding

  1. During the development of its statement of work, TELUS Mobility submitted a request for a $606,408 increase in funding for the project. TELUS Mobility submitted that this request was a result of (i) changes in equipment that would increase the reliability of the access component and increase backhaul capacity; and (ii) an increase in the costs of contract labour that were not anticipated when the company submitted its application.
  2. The Commission is satisfied that this request is well supported in the particular circumstances of this project. Accordingly, the Commission approves funding for up to $2,458,946 for the project.

The statement of work

  1. Having reviewed the documents submitted, the Commission approves the finalized statement of work and will provide it separately and in confidence to TELUS Mobility.
  2. Provided that TELUS Mobility complies with all conditions of funding set out in Telecom Decision 2021-251, constructs the project as described in Schedule A: Statement of Work, and complies with all procedural requirements to submit reports, invoices, and requests for funding, the Commission will direct the Central Fund Administrator to make payments to TELUS Mobility in respect of the project. Failure to comply with these conditions and requirements could result in funding being delayed or not being disbursed.
  3. The Commission reminds TELUS Mobility of the condition of funding set out in subparagraph 35(f) of Telecom Decision 2021-251. This condition is that if TELUS Mobility becomes aware of a risk of adverse impact on an Aboriginal or treaty right and a duty to consult exists, TELUS Mobility must advise the Commission within 20 days and submit a plan detailing the form and process for fulfilment of the duty. Should such circumstances arise, release of any additional funding will be contingent on TELUS Mobility demonstrating that any necessary consultations were held to the Crown’s satisfaction.
  4. TELUS Mobility is required to submit, quarterly, a progress report and expense claim beginning no later than 17 October 2022, or as otherwise agreed to with the Commission, and every three months thereafter until the project is completed.
  5. Further, in accordance with the Commission’s determinations in Telecom Decision 2021-251, TELUS Mobility must offer and provide broadband services using facilities funded through the Broadband Fund once the infrastructure is built, as committed to in its application and updated and approved in Schedule B: Project Services.

Policy Directions

  1. The 2006 Policy DirectionFootnote 1 and the 2019 Policy DirectionFootnote 2 (collectively, the Policy Directions) state that the Commission, in exercising its powers and performing its duties under the Telecommunications Act (the Act), shall implement the telecommunications policy objectives set out in section 7 of the Act, in accordance with the considerations set out therein,Footnote 3 and should specify how its decisions can, as applicable, promote competition, affordability, consumer interests, and innovation.
  2. The Commission considers that its approval of funding from the Broadband Fund for the project described in this order is consistent with the Policy Directions. Specifically, the decision to allocate funding towards improving broadband services in Alberta will help to close the gap in connectivity in underserved areas and will respond to the social and economic needs of consumers. In doing so, this order will implement the telecommunications policy objectives, including those set out in paragraphs 7(a), (b), and (h) of the Act.Footnote 4

Secretary General

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