California to Vote on Catalina Island Internet Grant
The commission will decide on October 29 whether to terminate a $37.5 million fiber project for island residents.
Updated on Oct. 28, 2026 in Telecommunications
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The California Public Utilities Commission will vote on October 29, 2026, whether to terminate a $37.5 million internet infrastructure grant awarded to AVX Networks. Staff allege the firm lacks the operational capacity to complete a planned fiber-optic link to Catalina Island.
Why it matters
The project is intended to replace unreliable wireless internet links for Catalina Island's 4,000 residents, which frequently suffer outages during peak tourism. The potential cancellation threatens to delay necessary infrastructure upgrades that connect the island to the state's broader broadband backbone.
The proposed infrastructure would establish a subsea fiber-optic connection spanning the San Pedro Channel from Catalina Island to Huntington Beach. This segment is designed to integrate into the Middle Mile Broadband Network located in Stanton.
The players
California Public Utilities Commission
The state agency that regulates private utility providers and oversees the allocation of public telecommunications infrastructure grants.
AVX Networks
A telecommunications infrastructure provider tasked with building a fiber-optic link to serve Catalina Island.
The details
The project aims to install fiber-optic cables, which transmit data as light through glass strands, across the seabed to provide a more stable, high-capacity alternative to current wireless connections. Regulators contend that AVX Networks has failed to provide sufficient justification for submitted invoices or demonstrate the technical capacity required for such specialized subsea deployment. The commission's scrutiny centers on whether the firm can fulfill the administrative and engineering requirements of the state-funded project.
Timeline
December 2025: AVX Networks received the initial $37.5 million grant award.
July 2026: CPUC staff formally accused the firm of violating spending and program requirements.
October 29, 2026: The commission is scheduled to vote on the contract termination.
The Tech Race
The project is a vital component of the Middle Mile Broadband Network initiative, which seeks to expand high-speed connectivity throughout the state. Successfully reaching Catalina Island is critical to the broader goal of hardening regional infrastructure against the limitations of wireless-only service.
Residents on Catalina Island face continued uncertainty regarding internet service stability as the current wireless links remain prone to outages. The outcome of the upcoming vote will determine whether the planned fiber upgrade proceeds or if the project remains in limbo.
The takeaway
The commission's vote on October 29 will indicate whether the state will proceed with the current contractor or move to re-evaluate the project delivery model for the island. Residents should monitor the official commission meeting minutes for the final ruling on the grant status.
Further reading
For broader trends in state network deployment, see Telecommunications.
Source note: This article includes information reported by LAist.
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Should the state maintain grant funding for broadband projects currently under regulatory investigation?
