Responders. Firstnet ceo testified before the Senate Commerce subcommittee on communications and the internet. This hearing is an hour and 20 minutes. Good morning. Glad to convene todays hearing with my friend and colleague Ranking Member shots. We would like to focus on the progress and the challenge thats lie ahead in deploying Public Safety network. Firstnet was established. Narrator middle class tax relief of job creation act of 2012. It is intended to address communication failures that slow Recovery Efforts during Major National emergencies, including the 9 11 attacks and hurricane katrina. In mississippi, we saw firsthand consequences of Communication Network break down. Fema, red cross, and others were hindered from providing the Emergency Recovery Services needed. The 2012 act allocated 7 dls billion from spectrum option proceeds to launch firstnet. The aws three spectrum option which concluded raised the 7 billion needed to begin the planning and development stage. Although firstnet has made commendable progress in the first years questions linger about the future viability of the network. I appreciate firstnets commitment to providing our Rural Communities with the same services as larger urban cities. But rural and remote coverage remains a major concern of mine. The cost of the coverage and maintenance of the network in these hard to reach areas needs to be addressed on the front end of the deployment. An accurate inventory of the towers and equipment is critical to ensuring that infrastructure is capable of withstanding 200 mile per hour winds during the storms similar to katrina. Each region of the country faces unique set of challenges and addressing these challenges is critical. So fulfilling Congress Goal of creating firstnet. We should ensure that the plan for deployment include technical environments that may be necessary. Firstnet will be reviewing bids of all aspects of deployment as this process moves, first may have the sophisticate to determine has only the technical capacity. But also the ability to monetize the network. Are also major concern with regard to longterm sustainability. Last years oversight hearing examine the progress that has been made and the plan to far outreach to stake holders and each stated territory. I look forward to hearing about firstnets accomplishments in the past year. What bench marks have been met and what work is still needs to be done. I want to welcome all of our witnesses and thank them for testifying this morning. Our panel today includes a number of stake holders overseeing the deployment process who could help shed light on the challenges ahead. Senator schots. Thank you, mr. Chairman. Thank you to our witnesses. I especially want to offer my welcome to hawaiis general, general logan. We are here today to discuss the progress made towards creating an interoperable nationwide Wireless Broadband Network for First Responders. In 2012, when congress created firstnet, we made an important commitment to Public Safety. The new federal entity we created as a unique Publicprivate Partnership mandated to deploy this network for First Responders. At the time this legislation was passed, we still lacked a nationwide interoperable Public SafetyCommunication Network in spite of the glaring Communications Problems that had exposed following the tragedies of september 11th, hurricane katrina. Until this network was built, our First Responders o have to carry the heavy radios for the Voice Communications and carry around a commercial smart phone for the data. There is really no reason a 16yearold with a smart phone should have more technology at their finger tips than our First Responders. Firstnet will provide First Responders venues for the first time. This network will live up to the safety specifications. Well have competitive devices and specific applications. For example, firefighters can download a blueprint before they enter. Emergency person until will not be competing commercial users for bandwidth. They will have priority on this network. Firstnets staff and board should be congratulated for releasing its rfp earlier this year which is a real milestone towards the construction of the network. They received bids and will be evaluating potential venldors during the next several months. While continuing to work with the states on their participation, as they progress, firstnet and its commercial partner have to make sure that First Responders and each state sees the value in the network. As general logan may touch upon today, we need to ensure that the specific needs of all states and territories are respected in order to accommodate for geographic and other difference as cross our great country. While congress will continue to keep a close eye on this, were in a wait and see mode until firstnet chooses the private sector partner. I expect that mr. Pothon will be able aaddress every issue because theyre in the middle after a procurement process. Once the vendor has been chosen, firstnet and all of its partners can begin to earnest to build the network and deliver on the promise that congress made to the Public Safety in 2012. Again, i want to thank you the witnesses for appearing before the committee and i look forward to hearing your testimony. Thank you, our witnesses to day are mr. Michael pothe, ceo of the firstnet, director mcleod, arthur j. Logan, the single point of contact state of hawaii and the Hawaii Attorney general and fourthly, mr. Andrew kasarus for u. S. Department of commerce with washington, d. C. Gentlemen, we appreciate all of you being with us to day and we begin with the testimony of mr. Pothe. Every single day. We are the stewards for their network. Id like to take just a moment and thank those Public Safety person fwhoel are in the audience today, senators, their presence are an indication that they are keeping all of our feet to the fire as we Work Together and make first ks net a reality. We accomplished a great deal over past 12 months, wrapped up our initial consultation meetings with every state and territory partner who requested one. Kicked off 2016 consultation with our single points of contacts meetings. And were well under way with our coordination and released the rfp and now moving forward aggressively towards award. It is around the rfp i would like to focus the majority of my dments today. Whether the firstnet chairwoman testified before the full committee around 15 months ago, she laid out the road map that firstnet was planning to move along noord to successfully conduct consultation with the state and develop a strategy that would result in a Publicprivate Partnership. Firstnet continues to honor commitments to set out what we set out to do on time and under bujtd. We have to ensure that our core objectives including cybersecurity, Public Safety adoption and Financial Sustainability could be met by the Vendor Community but we have to propose a Business Opportunity mod that will would ultimately be a win for Public Safety, a win for the states, a win for first net, and a win for our commercial partner. A true Publicprivate Partnership across the board. Based on what weve seen in the past, the financial insent sieve not enough for the commercial community to do this on their own. We know that taxpayer funds are simply not there to do this by ourselves. In essence, we develop the business proposition to fulfill the needs of both parties. In developing the rfp, we met with hundreds of commercial entities educating them on the business proposition and listening to concerns and coming up with best practice methods and bringing the commercial world to the table. Were in the marketing mode to the demand. We held numerous industry days, informational sessions with investment community, educational webinars and public speaking engagements. After years of intense work, we were tibl release the rfp back in january of this year, the rfp was open to the Vendor Community for a little over five months and was closed on this may 31st. We are confident that rfp will lead to the successful Publicprivate Partnership that congress has and were confident that well enable our partner to acheest Public Safety user adoption targets, the coverage goals, price points, and Financial Sustainability that we need. We will maximize the value of the seven billion and the 20 megahertz spectrum that congress and the american taxpayer provide at firstnet. We also know that Public Safety user base exists and use area dopgs targets will become a Contract Term. We have zinld the rft to insentivize our partner to achieve the goals and so were allowing the market to work in both our and Public Safetys advantage. We have structured oversight controls over our partner to ensure we have the ability to keep them accountable throughout the duration of the contract. Today we are in the Evaluation Phase of the project. Due to the rules that federal acquisition regulations are placed on firstnet, i can not comment on any aspects of the organization related to the procurement n 2016, we still continue consultation efforts with the states conduct outreach with state and local tribal and federal Public Safety agencies. We will select the partner from the procurement phase of the project and develop the state plan. Our previously established partnerships with the states will be critical for this phase of the effort. We cannot afford to rest for one moment. Public safety is long demanding a Broadband Network. The men and women who protect us from harms way are counting on us to deliver the network and we must do so for the sake of First Responders around the country. The need of the network has never been higher. In order to meet the expect sagss of Public Safety every, where im the organization and committed to achieving the goals that congress laid out for us just a few short years ago. Thank you again for your support and i look forward to your questions. Thank you very much. Mr. Mcleod . Im director of the home hand security and Public Safety commission for best practices. I appreciate the opportunity to appear before you as a representative of our nations governors to discuss our shared commitment to building and sustaining a nationwide Broadband Network dedicated to Public Safety. Nga was a leading add voluntary cast the Public Safety spectrum that led to the creation of firstnet. And represented governors before congress on key implementation issues and challenges facing states. My testimony today will address factors that governors must weigh in reaching a decision whether to join in the deployment of the Public SafetyBroadband Network as proposed by firstnet or to opt out and take on the responsibility of deploying, operating, and maintaining a Radio Access Network in their state. Specifically, im going to focus on three issues, one, coverage, two, cost, and three, the consultation process for which firstnet is required to engage. I would like to summarize remarks and ask my full written testimony be submitted to the record. Primary consideration for governor is the networks ability to offer reliable coverage statewide. This is a top concern in states with large rural areas and in states with challenging geography. First net is set for the buildout and maintenance of the network and rural areas is funneleded primarily from excess fees generated from the user base in more densely Populated Areas. They are likely to prioritize before rural areas. However, the financial needs of the network must be balanced with the needs of the Public Safety community. States are required that network be built in rural areas where commercial access is more limited. In addition to concerns about coverage, questions of cost top the agenda for many governors. Governors want to know whether the network can be built with existing cost mod ldz, two, what the user fee to connect the network will be and, three, what are the long term administrative and operation costs . The financial miles that underpin the long term sustainability requires a robust and diverse user base. If these are too high, they do not utilize the network. Network could be in jeopardy. States remain concerned that this could lead to user fees that exceed current outlays on Public Communications technology. Given the unprecedented nature of building and maintaining a network of this size and complexity, states are concerned about the possibility of unforeseen costs being shifted to them. Regarding firstnets outreach to governors on the consultation piece, some have expressed concern about the tone of the engagement. During the consultation process, firstnet has referred to states as constituents. While they may appear to be just word choice, it alters the tenor of the engagement and lessens the focus on partnership. Firstnet must view states as full partners in this endeavor. States have key information, processes and expertise that must be brought to bear on the full range of firstnet activities. In closing, to many states, the optout scenario is a false choice. While there are a number of likely significant financial liabilities associated with building, operating and maintaining and upgrading a full regular Access Network in their states, if they choose to opt out. Finally, id like to note that transition in governors administrations with the coming election cycles presents a continuing communication and education challenge for firstnet. On behalf of nga and our members, thank you for the opportunity to testify. Ill look forward to any questions the committee may have. Well, thank you very much. General logan. Chairman wicker, Ranking Member schatz, all the members of the senate committee, thank you very much for the opportunity to be here today. Im Major General arthur logan, the adjutant general for the state of hawaii and the governor appointed me as the state single point of contact for firstnet january of 2015. And when he first called me to this spot, i had to think back to star trek in the 1970s and i had to touch the top of my ears to make sure they werent pointed, but i gather theyre rounded, so everything was good. But im also the director of Emergency Management on the Homeland Security adviser to the governor. And if thats not enough, i also receive the hawaii army and air national guard. From those perspectives in my 20 years of Law Enforcement experience, i want to share with the members of this committee the importance of firstnet. At the time i was appointed in january 2015, the team had already been engaged in hawaii in the preparing for the deployment of firstnet. Much of the effort focused on education and outreach to Public Safety and Public Policy stakeholders as well as working towards establishing governance, governors model and strengthening hawaiis Public Safety communications infrastructure. My first year and a half on the job involved briefings from key staff in hawaii, meeting with firstnet leadership, and attendance to the biannual Firstnet Spock meetings and leading state efforts to develop key Public Safety communications commands. Let me cover just a few of the brief activities. Hawaii sponsored the first firstnet forum for noncontiguous states in territories in july of 2014, so hawaii had the foresight to anticipate the needs and concerns of noncontiguous states, such as hawaii, alaska, guam, american samoa, the commonwealth of the northern mariannas islands, puerto rico and virgin islands. And we know were different than our sister states of the lower 48, who are connected by borders and could share coverage. To that end, 2014, hawaii sponsored their first ever noncontiguous states and territories meeting on the island of kwai. The meeting included policymakers in government and Public Safety and communication subject Matter Experts from hawaii and alaska and the territories from virgin islands, puerto rico, guam, american samoa. Firstnets leadership and the leadership of the department of