Auditors with the inspector general spent a week in Charleston last month, reviewing documents and inspecting sites where the state had installed routers, which cost $22,600 each.
Gianato said the inspector general's review shouldn't cause future delays.
"The IG review caused a redirect of staff time away from working on the project," he said in an email Thursday. "That time has been made up by the respective members of our team, and the time lost has been made up. As of this quarter, this will be a negligible factor."
In his quarterly report, Gianato also cited leftover funding as an additional "challenge" with the broadband project. Gianato estimated the state would have $9 million in unspent funds once the project is completed.
He said the state would have to get the NTIA's approval to put the leftover grant money to another use. Also, it would be difficult to complete any new broadband-related projects that require environmental studies by Feb. 13, he said.
"Time is the most critical factor," he said Thursday.
In the quarterly report, Gianato also told federal officials:
• The $126.3 million project has created 131 jobs. Frontier has hired the bulk of workers for the broadband project, followed by Jane Lew-based Premier Construction, which is building microwave towers designed to improve emergency communications across West Virginia. In the state's application for the stimulus money, officials cited a Communications Workers of America report that predicted the project would create more than 2,000 jobs.
• Premier has finished building nine microwave towers. The company plans to build eight additional towers -- three new ones and five that will replace existing towers that have structural defects.
• Frontier has installed 570 miles of fiber cable, and plans to build an additional 166 miles. In West Virginia's application for the stimulus funds, state officials said Frontier would build 2,400 miles of fiber. The project was scaled back after the state discovered that many sites scheduled to receive high-speed fiber already had it.
Reach Eric Eyre at erice...@wvgazette.com or 304-348-4869.