Federal Broadband Programs

In less than two months, if Congress does not act, tens of millions of people could find themselves unable to stay connected to high-speed internet.

A coalition of nearly 70 broadband experts, internet service providers (ISPs), community leaders, and nonprofits wrote to the Federal Communications Commission with a request to grant a limited amnesty designed to prevent the exclusion of America’s least connected rural communities from upcoming federal broadband subsidies. Under the rules of the Broadband Equity Access and Deployment (BEAD) program, communities that are already covered by grants awarded under programs like the Rural Digital Opportunities Fund (RDOF) and Connect America Fund II (CAF II) are not eligible to receive BEAD fund

Our federal deficit is exploding, and America’s financial house is in disarray. The country’s borrowing costs are at their highest level in over 20 years, and the national debt has surpassed $34 trillion for the first in history. In this environment, implementing stringent fiscal policy should be the standard operating procedure for all conservatives.

The future of affordable broadband internet access is uncertain for 1 in 6 households across Missouri as the Affordable Connectivity Program (ACP) runs out of funding. Launched in December 2021, the ACP allows households that qualify to save up to $30 a month on their internet bill. The program also helps households obtain technology, such as laptops and other computers. 394,043 Missouri households are currently enrolled in the program. But that number could soon drop to zero as funding for the program is running out.

Recently, we surveyed over 1,700 Affordable Connectivity Program (ACP) enrollees who use the Providers app about what the broadband benefit has meant to them and how their lives will change if it expires. Here’s what we found:

State broadband offices are asking internet service providers interested in Broadband Equity, Access, and Deployment (BEAD) funding to self-fund a $30 discount for low-income customers after the end of Affordable Connectivity Program. Since this request came from multiple states, I have to imagine the idea came from the National Telecommunications and Information Administration. I can’t think of any better proof that policymakers are out of touch with the reality of rural business plans. Even providers that are successful in rural markets are going to have small margins.

Poor infrastructure, small number of customers, bottom of the list: That is the story of rural broadband in the United States. The situation is much more than an annoyance for the 7 million U.S. households that still do not have access to broadband internet — 90 percent of them in rural areas. Many times that number are “underserved,” with speeds below 100 mbps, or have high-speed broadband infrastructure but can’t afford service.

When we released the proposed Build America, Buy America (BABA) waiver in August 2023, we estimated that our approach would mean close to 90% of BEAD funds spent on equipment would be spent on equipment manufactured in the U.S.

This week, the U.S. Department of Agriculture's Rural Utilities Service (RUS) announced the latest window to receive applications for Rural eConnectivity (ReConnect) Program support to extend broadband networks in rural areas.

February 8 marked the Affordable Connectivity Program’s enrollment freeze as the Federal Communications Commission prepares for it to run out of money in April. This is happening as ACP hit a major milestone—connecting 23 million households to get affordable, reliable access to America’s Excellent Internet. New stats from the White House show the true scope of the ACP’s impact: