Letter from Administrator Jonathan Adelstein which rescinds the broadband stimulus award made to the LENOWISCO Planning Distrcit Commission in rural Southwestern Virginia. Issued: 02-25-2011
Letter from Administrator Jonathan Adelstein which rescinds the broadband stimulus award made to the LENOWISCO Planning Distrcit Commission in rural Southwestern Virginia. Issued: 02-25-2011
Letter from Administrator Jonathan Adelstein which rescinds the broadband stimulus award made to the LENOWISCO Planning Distrcit Commission in rural Southwestern Virginia. Issued: 02-25-2011
2s ass
United States Department of Agriculture
Rural Development
Mr. Glen Skinner
Executive Director
Lenowisco Planning District Commission
Lenowisco, LLC
372 Technology Trail Lane, Suite 101
Duffield, Virginia 24244 FEB 25 2011
Mr. Paul Elswick
President and CEO
Sunset Digital Communications, Inc.
333 Fraley Avenue
Duffield, Virginia 24244
Dear Messrs. Skinner and Elswick:
The Rural Utilities Service (RUS) has been in numerous discussions with your organizations in
order to resolve the impasse of the organizations’ inability to enter into the Loan/Grant and
Security Agreement (Agreement) dated as of November 18, 2010, between Lenowisco Planning
District Commission; Lenowisco, LLC (both collectively “Lenowisco"); Sunset Digital
Communications, Inc.; and the United States of America,
We understand that Lenowisco is unwilling to move forward with the loanigrant award. After
careful review, RUS determined that the proposed transactions do not comply with the
requirements set forth in Article IV, Section 4.3(b) of the Agreement, which states that no event
has occurred which has had or could have a Material Adverse Effect. The evaluation of the
awarded application was based on the management, business plan and financials of Lenowisco
and Sunset. Because this would be a significant change to the analysis upon which the award
was based, RUS is rescinding the offer of the Broadband Initiatives Program award.
Sincerely,
Alestes
HAN ADELSTEIN
Administrator
Rural Utilities Service
"400 Independence Ave, 8. Washington DC 202500700
Web itoow idewuata 9
Comets tthe ture ofa commutes
“USOAis an equal opsruniy provide, employer ad lender
“ote «compan of daarmiaton, we USOA, Demo, Ofes of i Righis,
+400 indepensence Avenue, SW. Washington, DC 20250610 or cal 800) 798-3272 (Vle) or (202) 720-8982 (TDD)