Biden administration announces $40+ Billion grants for broadband internet access

The Biden administration today revealed new details about how $40+ billion from the Bipartisan Infrastructure Law will be spent in the years ahead to connect more Americans to high-speed internet. The funds will flow into a Commerce Department program with checks set to begin flowing to states early next year.

High-speed internet is no longer a luxury – it is necessary for Americans to do their jobs, to participate equally in school, access health care, and to stay connected with family and friends. Yet, more than 8.5 million households and small businesses are in areas where there is no high-speed internet infrastructure, and millions more struggle with limited or unreliable internet options.

High-speed internet infrastructure deployment will be funded by the Broadband Equity Access and Deployment (BEAD) program—a $42.45 billion grant program created in the Bipartisan Infrastructure Law and administered by the Department of Commerce. This announcement—the largest internet funding announcement in history—kicks off the three-week Administration-wide Investing in America tour, where President Biden, Vice President Harris, First Lady Jill Biden, Cabinet members, and Senior Administration Officials will fan out across the country to highlight investments, jobs, and projects made possible by President Biden’s economic agenda.

Highlights:

  • Awards range from $27 million to over $3.3 Billion, with every state receiving a minimum of $107 million.
  • 19 states received allocations over $1 billion with the top 10 allocations in Alabama, California, Georgia, Louisiana, Michigan, Missouri, North Carolina, Texas, Virginia and Washington.
  • With these allocations and other Biden administration investments, all 50 states, DC, and the territories now have the resources to connect every resident and small business to reliable, affordable high-speed internet by 2030.

Details related to the BEAD allocation for the states, D.C., and territories, as well as the total Federal investment in high-speed internet in each State and Territory are available here.

In addition to helping connect everyone in America to high-speed internet, this funding will support manufacturing jobs and crowd in private sector investment by using materials Made in America.  For example, anticipating this major investment in high-speed internet infrastructure deployment, earlier this year, fiber optic cable manufacturers CommScope and Corning announced $47 million and $500 million expansions of their domestic manufacturing capacity, which will create hundreds of good-paying American jobs in North Carolina.

These investments are part of the nearly $500 billion in private sector manufacturing and clean energy investments spurred by the President’s Investing in America agenda. The Investing in America agenda represents the most significant upgrade to our nation’s infrastructure in generations—an investment larger than FDR’s Rural Electrification effort, Eisenhower’s effort to build the Interstate Highway system, and the construction of the Panama Canal.

President Biden’s American Rescue Plan also included over $25 billion for high-speed internet, including:

  • The Department of Treasury’s Capital Projects Fund (CPF) provides $10 billion to states, territories, and Tribes for which high-speed internet is an eligible use. Today, over $7 billion has already been dedicated to high-speed internet deployment and connectivity across 45 states;
  • The Coronavirus State and Local Fiscal Recovery Funds (SLFRF) delivered funding across the country to support the response to and recovery from the COVID-19 pandemic. About $8 billion is being used by states, territories, Tribes, and local governments for high-speed internet deployment and connectivity; and,
  • The Federal Communications Commission’s (FCC) $7 billion Emergency Connectivity Fund program helped schools and libraries close the “homework gap,” providing schools and libraries with 10.5 million connected devices and over 5 million internet connections.

NTIA will issue a formal notice of allocation to recipients on June 30. Once they receive that notice, eligible entities (all 50 states, the District of Columbia and U.S. territories) will have 180 days to submit initial proposals describing how they plan to run their grant programs. Initial proposals can be submitted beginning July 1st.  Once NTIA approves a state’s initial proposal, that state will be able to request access to at least 20% of its BEAD allotment.

Additional information on Biden-Harris high-speed internet programs and funding is available at InternetForAll.Gov.

References:

https://www.whitehouse.gov/briefing-room/statements-releases/2023/06/26/fact-sheet-biden-harris-administration-announces-over-40-billion-to-connect-everyone-in-america-to-affordable-reliable-high-speed-internet/