Affordable Connectivity Program (was Emergency Broadband Benefit Program)

The fate of the Affordable Connectivity Program (ACP) hangs in the balance. Amid warnings that the internet subsidy program will shut down this spring without additional funds, Congress proposed legislation that would allocate another $7 billion to the ACP pool. But chances of the bill becoming law is “significantly below 50%,” said New Street Research’s Blair Levin. The $7 billion allotment is slightly higher than the $6 billion figure the Federal Communications Commission requested, saying it would extend ACP benefits through the end of the year.

The Federal Communications Commission's Wireline Competition Bureau (Bureau) announced requirements and guidance for the wind-down of the Affordable Connectivity Program (ACP).  The FCC currently projects that the last month for which the ACP can fully reimburse providers for the ACP benefits provided to enrolled households is April 2024. Should Congress not appropriate additional money, the existing funds will be exhausted, the FCC will have to end the ACP, and providers will stop providing discounts to enrolled households.

While continuing to fight for Affordable Connectivity Program (ACP) funding, we must also prepare for a future without the program if Congress doesn’t act. We spoke with NDIA community members about what you need to help consumers transition off of ACP.  On January 8, NDIA officially filed a letter with the Federal Communications Commission sharing your needs and requests and advocating for what consumers and organizations working with ACP recipients need in this challenging time. Our requests to the FCC: 

U.S. Senators Peter Welch (D-VT), JD Vance (R-OH), Jacky Rosen (D-NV), and Kevin Cramer (R-ND) and U.S. Representatives Yvette D. Clarke (D-NY) and Brian Fitzpatrick (R-PA) led their colleagues in the bicameral, bipartisan introduction of the Affordable Connectivity Program Extension Act. This legislation would provide $7 billion for the Affordable Connectivity Program, which provides affordable high-speed internet options to qualifying households across the U.S.

The Affordable Connectivity Program (ACP) has been a transformative force, connecting over 22 million households, but it's in trouble. This proposal would allow this national commitment to continue uninterrupted, bring greater accountability to Big Tech, and create a stable, permanent source of funding that would safeguard the program from the uncertainties of the annual appropriations process. 

• Step One: Maintain Connectivity- Congress needs to immediately provide stop-gap funding to keep the program operational while a permanent fix is put in place.

“The Affordable Connectivity Program has helped close the digital divide by connecting over 25,000 Vermont households to lower-cost internet—an essential for working, learning, and staying connected to our communities. Access to high-speed internet isn’t a luxury anymore, it’s a necessity.

One of President Biden’s top economic objectives is “lowering prices” for high-speed internet. Central to the Biden Administration’s plan to accomplish this goal is the Affordable Connectivity Program (ACP). ACP is based on a temporary program initiated during the COVID-19 pandemic to provide a subsidy for eligible low-income households. The subsidy is paid directly to participating broadband service providers. Contrary to the President’s intentions,  ACP enrollment is associated with higher monthly charges for fixed broadband internet.

With less than four months before the projected Affordable Connectivity Program end date and without any immediate additional funding, the Federal Communications Commission expects to begin taking steps to start winding down the program to give households, providers, and other stakeholders sufficient time to prepare. The FCC expects funding to last through April 2024, and run out completely in May 2024. The FCC has released a fact sheet on the ACP which can be viewed here.

On January 8, 2024, Federal Communications Commission Chairwoman Jessica Rosenworcel wrote a letter updating lawmakers on the status of the Affordable Connectivity Program (ACP). Launched in 2021 under the Infrastructure Investment and Jobs Act, the Affordable Connectivity Program is the largest internet affordability program in US history, and has enrolled nearly 23 million households, helping close the digital divide by bringing more households online. The FCC expects funding for the ACP to last through April 2024, and

New polling shows that the Affordable Connectivity Program (ACP) continues to be overwhelmingly popular among Republican, Democratic, and Independent voters alike. Among Independents, the margin of support for ACP has jumped from 40 percent to 56 percent over the last year.