BEAD program puts lawmakers at odds over rate regulation

Lawmakers are butting heads over a provision within the Broadband Equity Access and Deployment (BEAD) program that allows states to require low-cost service options from participating service providers. Democrats are calling it an affordability policy. Republicans say it's heavy-handed government regulation. As part of the BEAD planning process, the National Telecommunications and Information Administration (NTIA) is considering each state’s definition of a low-cost option, provided that it meets the standards laid out in the program’s statute. NTIA has already approved some state BEAD plans that set $1 as the amount for a required low-income service option. In a May 15 hearing focused on the 2025 budget for NTIA, Reps Cathy McMorris Rodgers (R-WA), Bob Latta (R-OH), and Frank Pallone (D-NJ) disagreed on whether or not the low-cost requirement should be considered rate regulation.