Broadband Equity, Access, and Deployment (BEAD) Program

I have been asked my opinion several times about Rural Digital Opportunity Fund (RDOF) amnesty—letting RDOF winners walk away from their obligations without big penalties. There is no easy answer to the question. It’s certainly a timely topic, since we are seeing internet service providers (ISPs) walk away from RDOF. There are several good arguments to be made that favor some kind of amnesty.

The 2021 Infrastructure Investment and Jobs Act (IIJA) provides $42.45 billion in grant funding to states via the Broadband Equity Access and Deployment Program (BEAD). IIJA also underscores that any state receiving these funds may not exclude local governments from applying to use these funds to build their own broadband networks.

On May 15, the House Subcommittee on Communications and Technology held a hearing titled “The Fiscal Year 2025 National Telecommunications and Information Administration Budget.” House Commerce Committee Chair Cathy McMorris Rodgers (R-WA), Subcommittee Chair Bob Latta (R-OH), and Assistant Secretary of Commerce for Communications and Information Alan Davidson all delivered remarks.

The Minnesota broadband scene is heating up as service providers rally against new legislation they say will stifle the state’s Broadband Equity, Access and Deployment (BEAD) plan. Minnesota was awarded over $651 million as part of the federal BEAD program. The state’s initial BEAD plan was submitted last year and is still awaiting approval from the National Telecommunications and Information Administration (NTIA).

The Department of Commerce’s National Telecommunications and Information Administration (NTIA) has approved Pennsylvania’s Initial Proposals for the Broadband Equity, Access, and Deployment (BEAD) program, a cornerstone of the Biden-Harris Administration’s “Internet for All” initiative.

On May 14, the Biden-Harris Administration hosted a Rural Communities in Action event at the White House to highlight how the Administration is investing in rural communities.

Eric Frederick, the Chief Connectivity Officer for the Michigan High-Speed Internet Office, is supremely confident. “I do believe it’s going to be enough,” he said when asked whether the $1.5 billion in Broadband, Equity, Access, and Deployment (BEAD) funding allotted to the state will be enough to get broadband to everyone. The healthy allocation leads Frederick to exclaim rather confidently that Michigan’s unserved and underserved will be largely connected with fiber.

If all goes well, the $42.5 billion in BEAD funding that Congress allotted in the Infrastructure Investment and Jobs Act should be enough to extend broadband coverage across the country. But it will depend on how states and territories use the money. The first half of 2024 is a critical juncture as states solicit feedback and approval of their Initial Proposals from the National Telecommunications and Information Administration (NTIA), which administers the BEAD program.

Rules for the $42.5 billion Broadband, Equity, Access, and Deployment (BEAD) rural broadband funding program give individual states considerable leeway in how they define project areas—and broadband providers applying for funding should expect to see considerable variation from one state to the next. Depending on the state, providers may even be able to define their own project areas. There is considerable variation among states that are allowing providers to define their own project area. For example, Louisiana established clusters of Hex9s, which the state calls sub project areas (SPAs).

Treasury Secretary Janet Yellen visited a recently completed Comcast rural broadband project in Stafford County, Virginia, highlighting that this is a public-private project between Comcast and the county. The giant cable company is involved in public-private partnerships across its national footprint. For years cable operators such as Comcast, Charter and Cox have fought hard against municipal broadband projects, always crying that it’s wrong for taxpayer dollars to compete against their private investments.