Alabama in early stages of plans for using half-billion dollars for high-speed internet expansion

Alabama has committed $537 million in federal funds for high-speed internet under plans state lawmakers and Governor Kay Ivey (R-AL) approved during a special session. About one-fifth of addresses in Alabama lack access to high-speed internet, and about three-fourths do not have access to the speed officials consider the standard for the next decade. Alabama has chipped away at filling those gaps with a state-funded grant program for five years, but the federal money far exceeds that state funding. The money allocated is one-fourth of the $2 billion Alabama received from the federal American Rescue Plan Act (ARPA). The money will provide grants to companies that install the fiber-optic cable and other equipment needed to deliver broadband internet to areas that do not have it. Alabama allocated 2022's $277 million into two grant categories: $82 million for middle-mile projects, those that extend or fill gaps in fiber networks; and $192 million for last-mile projects, which will connect to the homes, businesses, schools, and other places to allow people to subscribe to high-speed internet through a private provider. The Legislature did not specify how the state will use the $260 million approved in March 2023. But officials say Alabama has a framework in place to send it where it is needed.