Department of Commerce announces state allocations for $42.45B in broadband funding

After months of negotiation, the Department of Commerce’s National Telecommunications and Information Administration published its state allocations for $42.45 billion in Broadband Equity, Access, and Deployment (BEAD) program funding. The funding will be distributed via grants to help states and territories build out high speed broadband networks.

“What this announcement means for people across the country is that if you don’t have access to quality, affordable high-speed Internet service now—you will,” said Secretary of Commerce Gina Raimondo in a statement. “Whether it’s connecting people to the digital economy, manufacturing fiber-optic cable in America, or creating good paying jobs building Internet infrastructure in the states, the investments we’re announcing will increase our competitiveness and spur economic growth across the country for years to come.”

States that received more than $1 billion in funding include Alabama, Alaska, Arkansas, California, Florida, Georgia, Illinois, Kentucky, Louisiana, Michigan, Mississippi, Missouri, North Carolina, Pennsylvania, Texas, Virginia, Washington, West Virginia, and Wisconsin. Texas received the most funding, at $3.3 billion. Notably, the broadband funding will bring high speed internet to some of the most rural regions of the United States.

“What we’re doing is, as I said, not unlike what Franklin Delano Roosevelt did when he brought electricity to nearly every American home and farm in our nation,” said Pres. Joe Biden in a speech about the awards. “It’s the biggest investment in high-speed Internet ever, because for today’s economy to work for everyone, Internet access is just as important as electricity was or water or other basic services.”

A statement about the allotments notes the funding will be used to deploy or upgrade broadband networks to ensure that everyone has access to reliable, affordable, high-speed Internet service. Once deployment goals are met, any remaining money can be used to pursue eligible access-, adoption-, and equity-related uses.

“This is a watershed moment for millions of people across America who lack access to a high-speed Internet connection. Access to Internet service is necessary for work, education, healthcare, and more,” said Assistant Secretary of Commerce for Communication and Information Alan Davidson. “States can now plan their Internet access grant programs with confidence and engage with communities to ensure this money is spent where it is most needed.”

Formal notices for states will be sent out June 30. And from that date, under the Bipartisan Infrastructure Law, eligible organizations will have 180 days to submit initial proposals describing how they’ll use the funding. A full list of all state allocations can be found on the federal government’s Internet for All website.

As communities across the country prepare to invest their allotment of funding, the National League of Cities (NLC) published a brief Tuesday reviewing the landscape for local governments looking to equitably expand municipal broadband. Among the findings, researchers highlighted preemption challenges administrators face when moving to expand broadband. Between 2019 and 2022, for example, 15 have continuously used preemption measures that limit local authority as it relates to municipal broadband.

“The last few years have shown the critical need for high-speed and reliable broadband to connect residents to opportunities, reduce the digital divide and connect businesses to customers beyond their geographic boundaries. States overreach and limitations on local governments create unnecessary obstacles for local leaders’ efforts to connect their residents and communities to the broad benefits of the Internet,” said NLC CEO and Executive Director Clarence Anthony in the statement.

The brief can be found on NLC’s website.