New Mexico Launches Rulemaking for Broadband Affordability Program
The state program will offer eligible households discounts toward broadband service beginning Dec. 1.
WASHINGTON, Aug. 4, 2026 – New Mexico regulators launched rulemaking for what state officials call the nation’s first direct replacement for the Affordable Connectivity Program.
The New Mexico Public Regulation Commission opened a formal rulemaking for a statewide broadband affordability program that will offer eligible households monthly internet discounts of up to $30, or up to $70 on Tribal lands, once applications open Dec. 1.
The Low-Income Telecommunications Assistance Program, being administered jointly by the Public Regulatory Commission (PRC) and the state’s Office of Broadband Access and Expansion (OBAE), is expected to benefit about 27,000 households in its first year, with the potential to reach more than 100,000 over time.
Stemming from Senate Bill 152, which Gov. Michelle Lujan Grisham signed into law in March, and which took effect July 1, the new broadband affordability law authorizes $10 million in broadband funding to specifically assist low-income families with affording high-speed internet.
The money comes from the State Rural Universal Service Fund which is administered by the PRC. After the first year, the PRC may approve up to $45 million to offer broadband subsidies.
Under the proposed rules, state-approved internet providers will inform customers about available discounts and verify their income eligibility through a federal database. Once confirmed, providers apply the savings directly to the customer’s bill and seek reimbursement from the state fund.
“This program will help address affordability challenges faced by New Mexico families,” OBAE Director Jeff Lopez said in a statement, adding that the goal extends beyond building infrastructure to “make this vital infrastructure affordable to all New Mexicans.”
Key stakeholders are invited to review the proposed rules and share their feedback. Written comments may be submitted through September 11. The rulemaking record closes Oct. 6, and the commission must finalize the rules by Jan. 1, 2027.
States fill the ACP void
OBAE says New Mexico is the first state to build its own direct replacement for the federal Affordable Connectivity Program.
Created by Congress in 2021, the program provided eligible households up to $30 a month toward broadband service, or up to $75 on Tribal lands, before lawmakers allowed the program to lapse in 2024 after funding ran out.
An analysis by the Southern New Mexico Journalism Collaborative, using Federal Communications Commission data, found New Mexico had 160,785 households enrolled in the ACP, a 38 percent enrollment rate, and the third-highest enrollment rate among the nation’s 10 poorest states, behind only Louisiana (46%) and Kentucky (43%).
More than two years after Congress let the Affordable Connectivity Program lapse, a handful of states have moved to build their own broadband affordability programs intended to supplement the program.
California launched its LifeLine Home Broadband Pilot in January, offering eligible households up to $30 a month toward home internet service, matching the ACP’s standard benefit level.
Under legislation passed in June 2025, Oregon enhanced its Lifeline benefit to provide up to roughly $24 to $25 a month, layered on top of the federal Lifeline discount. The Oregon program also includes a one-time $100 device discount.
New York and Connecticut model differs
New York and Connecticut have opted for a different model. Both states require large internet service providers operating within their borders to offer qualifying households low-cost broadband plans.
New York’s Affordable Broadband Act, adopted in 2021, predates the ACP’s creation but only became enforceable after a prolonged legal challenge from industry groups. The bill requires providers to offer plans in the $15 to $20 a month range.
Connecticut’s broadband affordability law requires internet providers to offer broadband plans capped at $40 per month for eligible households. The law takes effect on October 1, 2026.
Industry trade groups including CTIA, NCTA and USTelecom have repeatedly challenged state low-cost broadband mandates. Courts, including the Supreme Court, have so far declined to block states’ authority to enact them.
Several other states have bills in progress but have not yet enacted or launched programs.
Illinois state Sen. Rachel Ventura, D-Joliet, introduced Senate Bill 3612 in February, which would cap broadband prices for qualifying low-income households at $15 a month for 25 Megabits per second (Mbps) service or $20 a month for plans of at least 200 Mbps. The bill remains in the Senate Energy Committee since the general assembly wrapped its regular spring legislative session on June 1, still awaiting a hearing.
Maryland lawmakers also introduced affordability-focused broadband legislation this session. The bill was heard February 26 and hasn’t moved since.
