Federal Broadband Programs

The US Treasury Department awarded Kansas $15 million for digital equity work, with the money going toward public Wi-Fi, digital skills training, and more. In addition, 20 other states have applied for digital equity funding from the same source, with other awards expected to be made soon. “Kansas is just the first of many more to come,” said Joseph Wender director of the Treasury Department's Capital Projects Fund (CPF), which is part of the American Rescue Plan Act (ARPA).

Over the past two years, millions of low-income US households have received broadband internet at a discount through two consecutive government programs. But they could soon lose that benefit. More than 16 million US households are currently enrolled in the federal government’s Affordable Connectivity Program (ACP) which offers a $30 discount on broadband services to qualifying low-income households.

The Federal Communications Commission committed over $20 million in a new funding round through the Emergency Connectivity Program (ECP), which provides digital services for students in communities across the country. This funding commitments support applications from all three filing windows benefiting approximately 190,000 students across the country, including students in California, Florida, Maine, Oklahoma, Washington, and Wisconsin. This commitment will support over 90 schools, 8 libraries, and 5 consortia.

Much of the hype around broadband funding is focused on the $42.5 billion Broadband Equity, Access, and Deployment (BEAD) program, but money continues to flow from the Capital Projects Fund (CPF). To date, the US Treasury Department has awarded nearly $5 billion from the CPF across 33 states. That amount is almost half of the Treasury Department’s $10 billion allotment for the fund. States that have received funding thus far expect to connect 1.4 million households as a result. The CPF was created in March 2021, but Treasury only began approving state funding requests June 2022.

Many residents of federally assisted multifamily—also called affordable rental—housing lack access to broadband service and face persistent challenges in getting a connection.

ACA Connects President and CEO Grant Spellmeye underscored the top-of-mind issues pervading the broadband industry. Unsurprisingly, the allocation of federal funds was front and center. First, ACA wants to make sure broadband funding is going where it’s supposed to be, as Spellmeyer noted the organization is “very concerned” about overbuilding using government support. The biggest pot of broadband money comes from the Broadband Equity, Access, and Deployment (BEAD) Program.

The Infrastructure Investment and Jobs Act of 2021 includes a historic investment of $65 billion to help close the digital divide and ensure that everyone in America has access to affordable, reliable, high-speed Internet service. The Department of Commerce’s National Telecommunications and Information Administration (NTIA) is responsible for distributing more than $48 billion in funding through several different programs.

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In late December 2021, President Donald Trump signed the Consolidated Appropriations Act, 2021, a $2.3 trillion COVID relief and government spending bill that extended unemployment benefits and ensured the government kept running. Through that law, Congress allocated $7 billion to help improve connectivity in the U.S. including a new $300 million broadband deployment grant program at the National Telecommunications and Information Administration (NTIA).

The Link Up Idaho initiative encourages Idahoans to submit information about their internet to provide insight into broadband availability across the state. Idaho residents can submit information about their internet by March 15, 2023.