Our work to connect every household in rural America to fast, reliable and sustainable broadband took a step forward when the National Telecommunications and Information Administration (NTIA) recently released its notice of funding for the $42.5 billion Broadband Equity, Access, and Deployment (BEAD) Program. This program is unlike anything we’ve seen in a lifetime—not only for the sheer size but also in how it will flow through states. And while our team is still reviewing the details of the notice, I am encouraged by a few areas:
- First, the notice makes clear a preference for fiber-based deployments wherever feasible. This is a testament not only to NTIA’s seeing the long-term benefits of fiber but also to NTCA’s work with Congress and the Biden administration to promote future-proof networks in the months leading up to passage of the Infrastructure Investment and Jobs Act and in subsequent implementation discussions.
- I am also pleased that there is no stated preference for particular kinds of broadband providers—something NTCA advocated for to a great degree. At every turn, we have continued to emphasize the importance of leveraging proven providers and the need to avoid preferencing providers based upon nothing more than corporate or organizational form. We are pleased the notice calls for demonstrated capabilities and performance and provides a strong indication that providers of all kinds should be placed on equal footing when it comes to seeking funds.
- And while we are all eager to see new FCC broadband maps later this year, we are encouraged that for purposes of allocating BEAD grants, the reliability of technologies will be considered in identifying what is “unserved” and that providers also may not treat as “unserved” or “underserved” any location that is already subject to an enforceable federal, state, or local commitment to deploy qualifying broadband as of the date of a challenge process to come.
Of course, there are other areas of the notice that will be worth more in-depth review in coming days and weeks, including elements focused on overcoming supply chain, cybersecurity and affordability challenges. There is more work to be done, to be sure. For example, NTCA and our partner state associations will need to ensure that the gains made in NTIA’s initial rules are realized and maintained as states develop their grant programs, and we will need to make sure that decisions still to come on issues ranging from what constitutes a “high-cost area” to what locations are deemed “extremely high-cost” are made in ways that do not leave rural areas behind. But as we move on to next steps for BEAD, it’s important to note those areas where NTCA’s advocacy, in coordination with our partners, already has made a significant difference. We look forward to continuing to work with NTIA and with states to ensure effective implementation of the program and the delivery of more affordable and robust broadband connectivity in areas still waiting for such service.
Finally, as we continue to focus not only on what it takes to build the networks of the future, but also how to sustain them and keep rates affordable, I was very proud of our team’s work in advocating before the FCC to waive the budget control mechanism on certain kinds of high-cost Universal Service Fund support. In just the past five weeks, NTCA members and staff met with the commission nearly a dozen times to advocate on various universal service issues, including the budget control mechanism, and as a result, hundreds of rural carriers receiving cost-based support will avoid a projected loss of over $200 million over the next year. Last year, NTCA also successfully advocated for a budget control mechanism waiver for the previous one-year funding period, expanding USF funding by approximately $110 million.
There has never been more momentum to finish the job of connecting every American to broadband, and I am grateful for your extraordinary efforts—and those of our terrific staff. Together we accomplish many great things!