Tuesday, June 27, 2023
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NTIA Announces State Allocations for $42.45 Billion BEAD Program
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The Department of Commerce’s National Telecommunications and Information Administration (NTIA) has allocated funding to all 50 states, the District of Columbia, and five territories to deploy affordable, reliable high-speed Internet service to everyone in America. States, Washington (DC), and territories will use funding from the $42.45 billion Broadband Equity, Access, and Deployment (BEAD) program from the Infrastructure Investment and Jobs Act to administer grant programs within their borders. The BEAD 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 funding can be used to pursue eligible access-, adoption-, and equity-related uses. States, DC, and territories (“Eligible Entities”) will receive their formal notice of allocation on June 30, 2023. Under the Infrastructure Investment and Jobs Act, Eligible Entities have 180 days from the date of that formal notice to submit their Initial Proposals describing how they propose to run their grant programs. Eligible Entities can begin submitting their Initial Proposals starting July 1, 2023. Once NTIA approves an Initial Proposal, which will occur on a rolling basis, Eligible Entities will be permitted to request access to at least 20 percent of their allocated funds. [For your state's allocation, visit the link below]

I get asked a lot what I think of the Federal Communication Commission's Broadband Map and the National Telecommunications and Information Administration's (NTIA) allocation of the $42.5 billion in broadband funding from the Infrastructure Investment and Jobs Act (IIJA). Here’s what I think: this has been a fair process and a fair outcome. As far as I’m aware, no state has cause to be very upset. I highly doubt we’ll see lawsuits and angry senators yelling at Federal Communications Commission and National Telecommunications and Information Administration officials. After a lot of work (with a lot more to do) the FCC and NTIA deserve a lot of credit for getting us to this point. In particular, I want to highlight Michigan. The day after the “new map” was published, I highlighted that things looked unfair in Michigan. Their allocation dropped $416 million from my previous estimates, due largely to two fixed wireless providers significantly increasing their coverage area. I don’t know exact details of what transpired. I suspect many phone calls were made. Many conversations were had. And their allocation is up $141 million to $1.56 billion. That’s more equitable. I’ve updated my spreadsheet with the official allocation, and shortly I’ll update it with distribution of Unserved and Underserved locations by state and county, according to the update of the FCC map posted this morning, with data as of June 15, 2023.

I finished updating the number of Served, Underserved, and Unserved based on the National Broadband map with updates and corrections as of June 15, 2023. Those numbers are available in this tab of the spreadsheet. The National Telecommunications and Information Administration (NTIA) appears to have done the $4.2 billion (10%) high-cost allocation, as I guessed in a previous post. Following the statute, it allocated the high-cost funding based on high-cost locations in 80%+ Unserved areas, of which there aren’t many. While I don’t think it’s fair to high-cost states like Nebraska, Iowa, and the Dakotas, it’s hard to blame NTIA for this outcome: the law clearly directed NTIA on how to allocate the funding. Another small follow-up about Michigan: Whereas previously the two wireless providers responsible for almost tanking Michigan’s allocation filed coverage over 575,420 locations, in the latest update to the map, they’re down to 253,775 locations. As a result, Michigan’s Unserved locations are up from 315,620 to 366,910 — a difference of 52,768 and an increase in allocation of $141 million from the estimates.

Word has been circulating that the National Telecommunications and Information Administration (NTIA) recently informed State Broadband Offices that they must submit a final Broadband Equity, Access, and Deployment (BEAD) plan to the NTIA one year after receiving approval of the Initial Proposal of grant rules. The ugly twist is that the NTIA is expecting the Final Proposal to include a final list of all BEAD grant winners. Everybody has always assumed that the Final Proposal would be just that – a proposal that describes and fine-tunes the rules being used to award grants. Most State Grant Offices have assumed that they would have multiple years to pick BEAD grant winners. The BEAD grants are complex, and reviewing and resolving grants that ask to serve overlapping areas is going to add a lot of complication to the process. If the NTIA really insists on a speedy timeline, it will be creating a Rural Digital Opportunity Fund (RDOF)-type disaster. The only way to get this process done in a year (or even 18 months) would be through a single round of grants – done hastily. With a tight time frame, the grants won’t be reviewed closely and grants that include errors will be pushed through. broadband providers that aren’t really qualified will sneak through. I’m hoping that this is just a trial balloon being circulated by the NTIA to get feedback, and if so, every State Broadband Office needs to push back hard.
Education
Remarks of Chairwoman Jessica Rosenworcel to the American Library Association Annual Conference

I know the evolution of libraries as the place where the public goes for books to the place where the public goes for everything is creating new challenges as you address new needs. But we know millions of people in this country are on the wrong side of the digital divide. Libraries help fill that gap. You have computer labs. You teach digital skills. And you help enroll people in our programs to support internet for all, like the Affordable Connectivity Program. I am pleased to announce that I am putting forward a new proposal at the Federal Communications Commission to help you better serve your communities in the digital age. What I have learned from all of this policymaking and from traveling the country is that E-Rate has done a wonderful job of connecting libraries and schools, but too often, that connectivity ends at the edge of the building. The Emergency Connectivity Fund was a great down payment on narrowing that gap—which I’ve long called the Homework Gap—but it is time for a permanent solution. It is time for an E-Rate program that supports students and library patrons wherever they are. Call it Learning Without Limits. Here’s what Learning Without Limits means:
- First, I will ask my colleagues at the FCC to join me in an updated ruling to allow E-Rate support to be used for Wi-Fi connections on school buses. This could make a big difference in rural areas where students spend long hours on school buses just to get to class and home again. We can turn ride time into connected time for homework. We can take E-Rate policies from two decades ago that supported mobile phones on these buses and modernize them so we have Wi-Fi on wheels—and students can Learn Without Limits.
- Then, I will share a new proposal to modernize E-Rate. Every library and every school library in this country should be able to loan out Wi-Fi hotspots to keep their patrons and kids connected. And we can use the FCC E- Rate program to do it. So, I am asking my FCC colleagues to join me in a rule-making to modernize the E-Rate program to support Wi-Fi hotspots for loan in libraries nationwide.
- And finally, as we modernize E-Rate, we also know that network security is a growing concern for schools and libraries. That is why at the end of [2022], we sought public input on this challenge, and we plan to announce next steps soon.

Think about internet access in a community like a plate of crumbly cookies: Even if an internet service provider (ISP) takes a big bite out of each of the treats by servicing most addresses, the plate will still have broken pieces left behind. Such is the logic for statewide line extension programs around the US. The purpose of these programs is connecting homes and businesses just out of reach of existing last-mile infrastructure. However, delivering service to even the closest outlier isn’t so straightforward. From 2020 to 2022, the state of Vermont initiated a pandemic-era Line Extension Customer Assistance Program (LECAP) using an initial round of funding from the Coronavirus Aid, Relief, and Economic Security (CARES) Act, with an additional boost from the American Rescue Plan Act (ARPA). A go-to image to describe the need for line extensions in Vermont is a dirt road with a dead end. The entire road may have five houses on it, but only four have internet access. The house at the dead end may be left with DSL, dial-up, laggy satellite or no internet access at all. Even fixed wireless solutions have trouble reaching them because of the density of trees and mountains. Due to that fact, small towns across the state were historically left to fend for themselves, which led to the creation of Vermont’s Communications Union Districts (CUD). Each CUD contains bands of towns that work together as a municipality to negotiate with ISPs and find community-driven broadband solutions. As for whether Broadband Equity, Access, and Deployment (BEAD) Program projects will go after the remaining line extensions necessary across the state, Rob Fish, director of the Vermont Community Broadband Board doesn’t believe that the previous program’s framework lends itself to BEAD very well.

Comments on the proposed modification of an existing system of records, FCC/OIG–3, Investigative and Audit Files are due July 26, 2023. The Federal Communications Commission uses the investigative and audit files contained in the records in this system to carry out its duties and responsibilities under the Inspector General Act of 1978. The modification changes the scope of this system of records to add new routine uses, to update the exemptions the FCC claims for this system and to make other changes. The routine uses will become effective on July 26, 2023, unless written comments, which are due July 26, 2023, are received that require a contrary determination.
Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org), Grace Tepper (grace AT benton DOT org), and David L. Clay II (dclay AT benton DOT org) — we welcome your comments.
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