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Florida, Georgia, Iowa, Minnesota, Missouri and Utah to Receive Nearly $1 Billion in American Rescue Plan Funds

The states will use their funding through the Capital Projects Fund to connect more than 180,000 homes and businesses.

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WASHINGTON, December 1, 2022 – The U.S. Treasury Department on Thursday announced the approval of broadband projects in an additional six states under the American Rescue Plan’s Capital Projects Fund Florida, Georgia, Iowa, Minnesota, Missouri and Utah.

Together, these states will use their funding to connect more than 180,000 homes and businesses to affordable, high-speed internet.

The Capital Projects Fund provides $10 billion to states, territories, freely associated states, and Tribal governments to fund critical capital projects that enable work, education, and health monitoring in response to the public health emergency. In addition to the $10 billion provided by the CPF, many governments are using a portion of their State and Local Fiscal Recovery Funds toward connecting to affordable, reliable high-speed internet.

“The pandemic upended life as we knew it—from work to school to connecting with friends and family—and exposed the stark inequity in access to affordable and reliable high-speed internet in communities across the country in rural, Tribal, and other underrepresented communities,” said Deputy Secretary Wally Adeyemo. “This funding will lay the foundation for the Biden-Harris Administration’s historic investments to increase access to high-speed internet and reduce internet bills for American households and businesses.”

In accordance with Treasury’s guidance, each state’s plan requires service providers to participate in the Federal Communications Commission’s new Affordable Connectivity Program.

The Affordable Connectivity Program helps ensure that households can afford the high-speed internet they need for work, school, healthcare, and more by providing a discount of up to $30 per month (or up to $75 per eligible household on Tribal lands). Experts estimate that nearly 40% of U.S. households are eligible for the program.

The Administration also commitments from 20 leading internet service providers to offer all ACP-eligible households high-speed, high-quality internet plans for no more than $30 per month. As a result, ACP-eligible households can receive internet access at no cost and can check their eligibility for free internet and sign up at GetInternet.gov.

In addition to requiring funding recipients to participate in the Affordable Connectivity Program, Treasury’s guidance requires recipients to consider whether the federally funded networks will be affordable to the target markets in their service areas and encourages recipients to require that a federally funded project offer at least one low-cost option at speeds that are sufficient for a household with multiple users.

The following descriptions summarize the six state plans that Treasury approved today:

  • Florida is approved for $248 million for broadband infrastructure, which the state estimates will connect 48,400 households and businesses – representing approximately 10% of locations still lacking high-speed internet access. Florida’s award will fund Florida’s Broadband Infrastructure Program (BIP), a competitive grant program designed to expand last mile broadband access to homes and businesses in rural areas of the state. Funding from CPF will help Florida continue to prioritize fiber-optic networks and projects proposing affordable service. The BIP is designed to provide internet service with speeds of 100 * 100 Mbps symmetrical to households and businesses upon project completion. Florida submitted plans for the remainder of their CPF funds and these applications are currently under review by Treasury.
  • Georgia is approved to receive $250 million for broadband infrastructure, which the state estimates will connect 70,000 households and businesses – representing 15% of locations still lacking high-speed internet access. Georgia’s award will fund the Georgia Capital Projects Fund grant program, a competitive grant program that is designed to fund broadband infrastructure projects that provide service to areas identified by the state to currently lack access to reliable broadband that can meet or exceed 25 * 3 Mbps, and that adopt practices that support both efficient broadband expansion and community engagement. The Georgia Capital Projects Fund is designed to provide internet service with speeds of 100* 100 Mbps symmetrical to households and businesses upon project completion. Georgia submitted plans for the remainder of their CPF funds and these applications are currently under review by Treasury.
  • Iowa is approved for $152.2 million for broadband infrastructure, which the state estimates will connect 18,972 households and businesses – representing approximately 16% of locations still lacking high-speed internet access. Iowa’s award will fund the Empower Rural Iowa Broadband Program, a competitive grant program designed to address inequities in access to broadband throughout the state of Iowa. Using a three-step process, the program combines mapping data, input from communities, and applications from service providers. Funding from CPF will help Iowa bring broadband service to areas identified having a critical need for broadband. Empower Rural Iowa Broadband Program is designed to provide internet service with speeds of 100 * 100 Mbps symmetrical to households and businesses upon project completion. The plan submitted to Treasury and being approved today represents 100% of the state’s total allocation under the CPF program.
  • Minnesota is approved for $44 million for broadband infrastructure. Minnesota’s award will fund two additional broadband infrastructure programs: Minnesota’s Line Extension Program, a competitive grant program designed to address the needs of individuals who are located near infrastructure for high-quality broadband service but where the cost of the last mile connection is a barrier; and the Low-Density Pilot Program, a competitive grant program that provides financial resources for new and existing providers to invest in building broadband infrastructure in low-density areas of the state that currently lack high-speed internet. Funding from CPF will help Minnesota continue its efforts to provide reliable internet access to predominately rural locations previously facing cost barriers. Both programs are designed to provide internet service with speeds of 100 * 100 Mbps symmetrical to households and businesses upon project completion. Minnesota submitted plans for the remainder of their CPF funds and these applications are currently under review by Treasury.
  • Missouri is approved for $196.7 million for broadband infrastructure, which the state estimates will connect 37,979 households and businesses – representing approximately 8% of locations still lacking high-speed internet access. Missouri’s award will fund the Missouri Broadband Infrastructure Grant Program, a competitive grant program designed to fund broadband infrastructure projects in areas that currently lack access to high-speed, reliable broadband. Funding from CPF will help Missouri bring service to areas where broadband infrastructure projects would not be feasible without assistance. The Missouri Broadband Infrastructure Grant Program is designed to provide internet service with speeds of 100 * 100 Mbps symmetrical to households and businesses upon project completion. The plan submitted to Treasury and being approved today represents 100% of the state’s total allocation under the CPF program.
  • Utah is approved for $10 million for broadband infrastructure, which the state estimates will connect 3,080 households and businesses – representing approximately 5% of locations still lacking high-speed internet access. Utah’s award will fund the Broadband Infrastructure Gap Networks Grant Program (Gap Networks Grant Program), a competitive grant program designed to address gaps in broadband infrastructure where reliable broadband service is currently unavailable. Funding from CPF will help Utah continue its efforts to bridge the state’s remaining digital divide. The Gap Networks Grant Program is designed to provide internet service with speeds of 100 * 100 Mbps symmetrical to households and businesses upon project completion. Utah submitted plans for the remainder of their CPF funds and these plans are currently under review by Treasury.

Broadband Breakfast is a decade-old news organization based in Washington that is building a community of interest around broadband policy and internet technology, with a particular focus on better broadband infrastructure, the politics of privacy and the regulation of social media. Learn more about Broadband Breakfast.

Funding

In State of the Union Address, Joe Biden Underlines Importance of ‘Buy America’ Rules for Broadband

President links longstanding provision of federal law, strengthened in Infrastructure Investment and Jobs Act, to ‘fiber-optic cables’

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Pool photo of Joe Biden at Tuesday's State of the Union by Jacquelyn Martin

WASHINGTON, February 8, 2023 – President Joe Biden underlined the importance of ”made in America” rules to the re-vitalization of the country’s physical and internet infrastructure in his State of the Union address on Tuesday.

Bringing high-tech industry and more modern infrastructure to America emerged as an early theme of the president’s annual address to Congress. Biden highlighted historic federal government investments in broadband and other infrastructure, and the CHIPS and Science Act, major bipartisan legislation passed last year that subsidized American-made semiconductors.

Join the Broadband Breakfast Live Online event, The Build America, Buy America Law’s Impact on Infrastructure on Wednesday, February 8, 2023, at 12 Noon ET.

The 73-minute address, Biden’s longest, covered many topics and even included some moments of partisan back-and-forth with Republicans in the chamber, who took control of the House of Representatives last month.

The emphasis on “made in America,” domestic revitalization, and competition with China redounded throughout the speech.

“America used to make nearly 40% of the world’s chips,” Biden explained early in the address, part of a Constitutional requirement for the president to report to Congress annually.

“But in the last few decades, we lost our edge and we’re down to producing only 10%. We all saw what happened during the pandemic when chip factories overseas shut down.”

What to Know About Build America, Buy America Provisions in the Bipartisan Infrastructure Law: Will providers be required to use equipment that is not readily available within the United States?

Biden linked the shutdown of foreign factories to inflation and other woes: Because today’s cars require up to 3,000 chips a piece, “American automakers couldn’t make enough cars because there weren’t enough chips.”

“We can never let that happen again,” Biden said. “We’re making sure the supply chain for America begins in America.”

Better broadband for America, and solving supply chain woes

As in last year’s address, in which he touted anticipated U.S.-based investment by American manufacturer Intel, Biden said Tuesday, “outside of Columbus, Ohio, Intel is building semiconductor factories on a thousand acres – a literal field of dreams.”

He used these remarks about chip-production to pivot to broadband and other infrastructure.

Noting America’s decline from number 1 in the world to 13th in the world on infrastructure, Biden said that “we’re coming back because we came together to pass the Bipartisan Infrastructure Law, the largest investment in infrastructure since President Eisenhower’s Interstate Highway System.”

With the $1.7 trillion funding bill, the Infrastructure Investment and Jobs Act, passed in November 2021, Biden said that the nation “will put hundreds of thousands of people to work rebuilding our highways, bridges, railroads, tunnels, ports and airports, clean water, and high-speed internet across America,” including people living in urban, suburban, rural and tribal areas.

Linking American infrastructure, including on broadband, to ‘Buy American’ rules

Biden added more details to the quest to “mak[e] sure that every community has access to affordable, high-speed internet. No parent should have to drive to a McDonald’s parking lot so their kid can do their homework online.”

In the very next line, he added: “And when we do these projects, we’re going to Buy American.

“Buy American has been the law of the land since 1933. But for too long, past administrations have found ways to get around it. Not anymore.

“Tonight, I’m also announcing new standards to require all construction materials used in federal infrastructure projects to be made in America. American-made lumber, glass, drywall, fiber optic cables.”

Some observers speculated that the administration might permit a waiver of “Buy American” rules for the broadband provisions of IIJA, as the Obama administration did under the American Recovery and Reinvestment Act of 2009.

In September, that agency proposed what it described as a “limited applicability nonavailability waiver of the Buy America domestic content procurement preference as applied to recipients of middle mle grant program awards.”

The National Telecommunications and Information Administration of the Commerce Department put that waiver forward in the lead up to the September 30 deadline for $1 billion middle mile program funding.

The agency had been fielding complaints about the provision, stemming from concern that projects will be stalled or incomplete without adequate access to foreign supply.

Many had wondered whether the NTIA would take a similar stance over the much larger, $42.5 billion Broadband, Equity Access and Deployment program.

But Biden’s forceful denunciation of efforts to undercut the law might – particularly in a reference to “fiber optic infrastructure” – might make it hard for the administration to do so.

Other topics including Big Tech, relations with China

In addition to bipartisan infrastructure and CHIPS Act legislation, competitiveness with China was another dominating theme in Biden’s speech.

“We’ve already created 800,000 manufacturing jobs even without this law,” referencing the CHIPS Act. “With this new law, we will create hundreds of thousands of new jobs across the country,” he said.

He also highlighted a growing theme of the administration regard to Big Tech, when he said, “we must finally hold social media companies accountable for the experiment they are running on our children for profit. And it’s time to pass bipartisan legislation to stop Big Tech from collecting personal data on kids and teenagers online, ban targeted advertising to children, and impose stricter limits on the personal data these companies collect on all of us.”

With regard to China, Biden said that he had told the nation’s president Xi Jinping that “we seek competition, not conflict.”

He added that the nation would “invest[] in American innovation, in industries that will define the future, and that China’s government is intent on dominating.”

The point, he said, was to be “Investing in our alliances and working with our allies to protect our advanced technologies so they’re not used against us.”

Reporting for this story was provided by Tim Su.

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NTIA Officials Urge Use of Agency Resources for Digital Equity Planning

Agency officials outlined helpful material for states looking to develop digital equity plans.

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Screenshot of Katarina Smiley, digital equity advisor at the NTIA

WASHINGTON, January 31, 2023 – National Telecommunications and Information Administration officials are urging states to take advantage of available resources when developing digital equity plans. 

The NTIA provides general technical assistance resources that the Commerce Department agency said both stakeholders and states will find helpful, including a list of best practices for digital inclusion activities, recommendations for preparing planning requirements, and a plan template. 

Accessing federal resources will set states on a “great path forward” to promote digital equity, said Richelle Crotty, technical assistance advisor for digital equity at an NTIA event Wednesday. 

Because stakeholder involvement is a crucial element to the program, the NTIA provides specific guidance on how to conduct accessible meetings and discuss keys to successful coalition operations.  

Stakeholder involvement cannot be overemphasized, stressed Katarina Smiley, digital equity advisor at NTIA. Communicate what the divide looks like in your community, share digital inclusion models and advocate for community research, she urged state leaders. 

The BEAD-DE Alignment Guide can help states align program requirements and coordinate activities across the NTIA’s $42.5 billion Broadband Equity, Access and Deployment Program and the Digital Equity Program. 

As part of the Infrastructure, Investment and Jobs Act, the $2.5 billion Digital Equity Program created three sub-programs to “ensure that all communities can access and use affordable, reliable high-speed Internet.” 

The first program, which is currently underway, provides $60 million for states to develop digital equity plans. The subsequent steps include $1.44 billion for implementing plans and $1.25 billion toward digital equity and inclusion activities. 

Currently, all 50 states have been awarded Digital Equity Planning Grants upwards of $4 million. Plans are required to identify the key barriers to digital equity faced by its population, measurable objectives for promoting broadband technology, steps to collaborate with key stakeholders, and a digital equity needs assessment. 

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Funding

Mayors Urged to Get Moving on State Conversations for Federal Broadband Funding

Time is running out to have cities’ voices heard at state broadband roundtables.

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Photo of Scott Woods (left) and Jase Wilson

WASHINGTON, January 18, 2023 – Representatives from a company that helps internet service providers and local governments get federal broadband money urged mayors of cities across the country Wednesday to quickly get involved in the process by actively engaging their state broadband offices or get left behind.

Scott Woods and Jase Wilson, vice president for community engagement and strategic partnerships and CEO, respectively, at Ready.net told the 91st United States Conference of Mayors in Washington that time was running out to have their voices heard at state roundtables.

Woods noted that the current version of the Federal Communications Commission’s maps are “overstated,” meaning there are inaccuracies in it. But if cities don’t have a plan or don’t come to the state broadband offices and plead their case for better connectivity, they will be left out.

The pair asked the packed conference hall at the Capitol Hilton whether they had conversations with their state broadband offices, but the vast majority did not raise their hands.

“The opportunity is now,” Wilson urged, adding the company’s Broadband.money has created a site and a broadband audit allowing mayors to get them up to speed. Broadband.money is a sponsor of Broadband Breakfast.

The National Telecommunications and Information Administration, which administers the $42.5 billion Broadband Equity, Access and Deployment program, has said that the accurate delivery of the money to connect the underconnected will be contingent on the readiness of the FCC map, which had a deadline to challenge its contents on January 13, 2023.

Each states is expected to be allocated at least $100 million by June 30, with many states receiving much, much more. After the June 30 kickoff, entities, including cities, can apply for a piece of the pie.

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