Tuesday, March 4, 2025
Headlines Daily Digest
From the Ground Up: Investing in the Human Infrastructure of Broadband
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Senate pushes for tax-free BEAD grants. Why it matters.
How digital literacy impacts economic, educational, and health outcomes in America
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As we patiently wait for news on the Broadband Equity, Access and Deployment (BEAD) Program, the U.S. Senate is pushing for legislation that could make it less costly for rural ISPs to apply for BEAD. Or so the industry hopes. Sens Jerry Moran (R-KS) and Mark Warner (D-VA) led a bill that would amend the Internal Revenue Service code so federal broadband deployment funding would not be considered taxable income. Sounds straightforward enough, except Congress already tried to move such legislation forward - the Broadband Grant Tax Treatment Act - both in 2022 and 2023. Neither of those bills went anywhere. Sadly, that's not surprising if you're familiar with the saga of trying to get more funding passed for the Affordable Connectivity Program. But here's why this newest bill matters. Federal broadband grants are currently subject to a 21 percent corporate tax rate, which wasn't the case until the passage of the 2017 Tax Cuts and Jobs Act. Previously, broadband grants were generally exempt from taxation, according to Keller and Heckman partner Casey Lide. However, that law amended IRS tax code so that “contributions to capital” made from the government or a non-profit can be taxable.

Connected Nation (CN) released a new research report titled, “Beyond access: Learning the digital skills to thrive online,” which can be found here. The report describes what the term “digital literacy” means, details its importance, and discusses different approaches to teaching digital skills. Digital literacy refers to the ability to access, manage, understand, integrate, communicate, elevate, and create information safely and appropriately through digital technologies. The report goes on to detail how digital skills are taught, what classes are offered, and real-world examples of CN’s programs in action. These efforts, like classes in internet basics, email basics, and internet safety, are expanding this work further—either through CN directly, partnerships, or similarly modeled programs.

“We are on a mission to help residents overcome the digital divide,” says Rachel Williams, the first digital navigator for Washington County (ME) who brings essential digital skills to the community’s older population. The National Digital Equity Center (NDEC) is utilizing a Google.org grant through the National Digital Inclusion Alliance's (NDIA) National Digital Navigator Corps program for Rachel and the team of Digital Navigators to help residents in this remote part of the state become more connected to the digital world. In rural Washington County, the older residents who make up much of the population often feel overwhelmed by technology or unsure where to turn for help. Rachel and the team’s role as Digital Navigators are changing that. NDEC partners with community organizations, libraries, town halls, churches, and senior centers to provide digital training and guidance, transforming spaces that locals trust into digital learning hubs. Their approach is rooted in patience and understanding, offering one-on-one support and leaning on NDEC Digital Skills staff to teach digital skills tailored to each community’s needs.

Harvard Business School research continues to reveal the contours of a workforce changed by COVID-19. And yet, despite the technological advancements of the past five years, a digital divide persists.Some things we learned include:
- Many workers are lagging in digital literacy: Researchers found that rural areas significantly lagged behind cities in digital usage. More digital usage occurs in more densely-populated areas with more broadband access, higher incomes, and more education. There is lessusage in areas with older populations, and more male and White residents.
- Migrant-local collaborations benefit communities: Researchers held a two-day entrepreneurial boot camp as a field experiment. Among the participating boot camp members by team, compared to the teams made up entirely of local residents, the teams with locals mixed with migrants were more likely to address important social problems and help more people.
- Many people would give up pay for remote work: When researchers asked more than 2,000 workers if they would be willing to give up part of their salaries to keep their flexibility rather than return to the office five days a week or find a new job, 40 percent said they would accept a pay cut of 5 percent or more. Another 9 percent of respondents would trade 20 percent or more of their salaries to avoid the office.

With the growing use of telemedicine, remote patient monitoring devices, and other digital healthcare services, it’s become clear companies must address the digital divide in healthcare to increase access and promote patient engagement, especially among underserved and rural populations. Mobile technology can help bridge this gap, allowing insurers and healthcare providers to deliver patient education and a range of healthcare services that potentially improve care quality — regardless of what patients can afford, where they live, or the level of digital access in their communities. Beyond the pandemic, the digital divide in healthcare could have long-term implications for patients and providers. Without a mobile phone or internet service, patients may not have access to health tracking apps that issue medication reminders or remote monitoring devices that help their doctors better manage their care. They may have limited access to preventive services that improve chronic disease management. They may not see a doctor regularly or have access to educational resources that empower them to make more informed healthcare decisions. All of these things can widen existing healthcare disparities, especially among populations that already face healthcare access and cost challenges, such as Medicaid members, rural residents and low-income populations. Insurers can use mobile technology in several ways to address these challenges, advance health equity and better prepare for the future of insurance in a digital world.
Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org), Grace Tepper (grace AT benton DOT org), and Zoe Walker (zwalker AT benton DOT org) — we welcome your comments.
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