Affordable Connectivity Program (was Emergency Broadband Benefit Program)

In August 2020, during the heart of the covid-19 pandemic when many schools were closed, social media and news outlets were awash with a picture of two grade school students sitting outside of a Taco Bell, attempting to do their schoolwork.

What would Jesus do about extending the Affordable Connectivity Program (ACP)? That may be the most important telecommunications policy question answered in 2024.

New customer sign-ups in the US broadband industry slowed down dramatically in the first quarter of this year, according to a pair of analyst groups.

I’ve heard rumors for years that the policymakers in DC never expected the Affordable Connectivity Program (ACP) to be permanent. The expectation of the original architects of the plan was that ISPs would bow to public pressure to fill the void when ACP ran dry. However, the giant ISPs are not likely to self-fund the discounts and smaller ISPs can’t afford to do so. I’ve seen some recent articles that argue that the Federal Communications Commission could employ the Universal Service Fund.

President Joe Biden’s administration called on Republicans in Congress to extend funding for the Federal Communications Commission’s Affordable Connectivity Program (ACP), a consumer broadband rebate program used by more than 23 million households. The the $14.2 billion ACP was signed into law in November 2021 and began accepting enrollments at the end of that year.

According to state broadband officials in Michigan, Vermont and Pennsylvania, the termination of the Affordable Connectivity Program (ACP) could not only impact the 23 million households on the program, but also those who live in areas where broadband is being built out. In Michigan, for instance, the state wants to require broadband companies receiving grants under the Broadband Equity, Access and Deployment (BEAD) program to charge lower-income people no more than $30 a month.

April is the last fully funded month for the Affordable Connectivity Program (ACP), and the forecast for its future is looking grim. On March 23, the Senate Appropriations Committee approved Congress’ final, fiscal year 2024 spending package, worth a whopping $1.2 trillion. The kicker? The over-1000-page legislation contained no mention of additional funding for the ACP. And the numbers aren’t looking pretty. The Federal Communications Commission (FCC) has appropriated a total of around $17 billion for the ACP and its predecessor the Emergency Broadband Benefit program.

I am writing to provide an update on the Affordable Connectivity Program (ACP), which is on the brink of shutting down due to lack of funding.  This program is the largest broadband affordability effort in our Nation’s history.  Today, more than 23 million households nationwide count on it to get online and stay online, including vulnerable seniors, veterans, school-aged children, and residents of rural and Tribal communities.

The importance of high-speed internet was seared into the American psyche by scenes of children sitting in parking lots and outside fast-food restaurants to attend school online during the COVID-19 pandemic. During that same period, health care providers and patients like Cindy Westman say being connected also became a vital part of today’s health care delivery system. Affordable Connectivity Program (ACP) participant Westman said her internet connection has become so important to her access to health care she would sell “anything that I own” to stay connected.

A number of former Federal Communications Commission (FCC) officials are pointing to expanding the Lifeline program, under the Universal Service Fund (USF), as the way to save a version of the Affordable Connectivity Program (ACP), and prevent tens of millions of people from losing access to the monthly broadband subsidy. One way the FCC could do that was outlined in a recent petition for expedited rulemaking filed