Affordability/Cost/Price

Bonds, Broadband Bonds

February 4 was the deadline for written public input on the Infrastructure Investment and Jobs Act broadband programs that the National Telecommunications and Information Administration (NTIA) will administer. Much attention is rightly being paid to the many billions of dollars NTIA will distribute to states in the coming months to ensure broadband networks reach everyone in America. However, there's been less attention given to a provision in the new law creating a new vehicle for broadband deployment: private activity bonds.

What's Next for the Affordable Connectivity Program?

As Congress found in the Infrastructure Investment and Jobs Act, access to affordable, reliable, high-speed broadband is essential to full participation in modern life in the United States. The aim of the Affordable Connectivity Program is to ensure broadband is affordable for any household no matter its income. Although the Federal Communications Commission has met an incredibly tight timeline to adopt rules and launch the new Affordable Connectivity Program, there is still a great deal of work to be done. Here's a quick look at what remains on the FCC's agenda.

Introducing the Affordable Connectivity Program

Congress created the Affordable Connectivity Program through the Infrastructure Investment and Jobs Act, building on the Emergency Broadband Benefit Program created earlier in 2021. For the EBB Program, Congress provided the Federal Communications Commission with $3.2 billion to make monthly broadband service bills more affordable for low-income households. The Infrastructure Investment and Jobs Act adds an additional $14.2 billion for the Affordable Connectivity Program, while leaving in place the EBB Program's basic framework.

Rosenworcel & Davidson: With Leadership in Place, NTIA and FCC Must Now Work Together to Close the Digital Divide

On January 11, the U.S. Senate voted 60-31 to confirm the nomination of Alan Davidson to be the Assistant Secretary of Commerce for Communications and Information. Once sworn in, Davidson will lead the National Telecommunications and Information Administration (NTIA), which is President Joe Biden's principal adviser on telecommunications and information policy.

Your Chance to Weigh in on the Future of the Universal Service Fund

In November 2021, President Joe Biden signed into law the largest U.S. investment ever in broadband access, affordability, and adoption. With $65 billion flowing to broadband, Congress also asked the Federal Communications Commission to determine what impact the Infrastructure Investment and Jobs Act will have in achieving universal service goals for broadband. This week, the FCC launched a proceeding seeking public comment on how to best make sure everyone in the U.S. can use broadband.

Affordability and the Digital Divide

Understanding affordability of internet service and its role in adoption are crucial for developing solutions to close the digital divide.The goals of this study were first to understand the barriers to connectivity and efficacy of low-cost internet service options; and second, to use the findings to inform digital inclusion policies, advocacy efforts, and other initiatives that aim to drive digital equity. The findings were informed by a national survey on broadband adoption among low- and lower-middle income households.

An Evolving Level of Service

How will the Infrastructure Investment and Jobs Act impact universal service policy and, specifically, the Lifeline program? The new law sets up a transition from the Emergency Broadband Benefit, a program that is only six months old, to the new, more permanent Affordable Connectivity Program.

Growth in EBB Enrollment since June has been in Large Cities and Places with Low Broadband Adoption

Since the Emergency Broadband Benefit launched in May 2021, enrollment has grown steadily. By the end of June, 3.1 million households had enrolled, a figure that rose to 7.4 million by the beginning of November. Analysis of the geography of this growth shows that it was not evenly distributed. South Florida, Detroit, Chicago, and New York City have all seen very strong growth in enrollment since June. In the Los Angeles area, more than 100,000 additional households have signed up since then.

USDA Prime Broadband

Last week, the US Department of Agriculture (USDA) announced that on November 24, USDA will begin accepting applications for up to $1.15 billion in loans and grants to expand the availability of broadband in rural areas. USDA's Rural Utilities Service is making the funding available through the ReConnect Program and plans to make ava