Nearly $800 Million Awarded To Fund Broadband Improvements In Alabama, Kentucky, Nevada, and Texas
In January 2023, the Capital Projects Fund (CPF) announced that four broadband projects – one each in Alabama, Kentucky, Nevada, and Texas – have been approved. The four states are being awarded $793.7 million to complete infrastructure projects that will bring broadband access to nearly 300,000 homes and businesses.
The Capital Projects Fund is set to allocate $10 billion to states, territories, freely associated states, and Tribal governments to fund projects that will enable work, education, and health monitoring in response to the COVID-19 public health emergency. Many states are also opting to combine their allocation from the CPF with allocations from State and Local Fiscal Recovery Funds (SLFRF) to close the digital divide within their communities and across the country.
Capital Project Fund Award Details
For the most part, the program details for each of the four states to receive awards are quite similar, although some have differing criteria for where they will prioritize funds within the state. For example, Alabama will be using the funds for last-mile projects in the state’s rural areas, while Kentucky will be utilizing them to provide affordable and reliable broadband connections to locations with no current service and then to areas with service but at speeds less than 25/3 Mbps.
Additionally, within each state, the internet service providers funded by the program must all agree to participate in the FCC’s Affordable Connectivity Program (ACP) by providing a $30/month subsidy for low-income households.
What Is the Affordable Connectivity Program (ACP)?
Enacted by the FCC, the Affordable Connectivity Program (ACP) is a benefit program that helps to ensure every household can afford the broadband internet connection they require for work, school, healthcare, and more. Through the program, eligible households are provided with a discount of up to $30 per month for internet service. For households on Tribal lands, the discount may be as much as $75 per month. Additionally, eligible households can also receive a one-time discount of up to $100 toward the purchase of a qualifying device, such as a laptop, desktop computer, or tablet. The program is limited to one monthly service discount and one device discount per household.
Who Is Eligible for ACP Assistance?
To determine if a household is eligible for the Affordable Connectivity Program, the household income must be at or below 200% of the Federal Poverty Guidelines, or a member of the household must meet at least one of the criteria below:
- Received a Federal Pell Grant during the current award year;
- Meets the eligibility criteria for a participating provider’s existing low-income internet program;
- Participates in one of these assistance programs:
- Free and Reduced-Price School Lunch Program or School Breakfast Program, including at U.S. Department of Agriculture (USDA) Community Eligibility Provision schools.
- SNAP
- Medicaid
- Federal Housing Assistance, including:
- Housing Choice Voucher (HCV) Program (Section 8 Vouchers)
- Project-Based Rental Assistance (PBRA)/Section 202/ Section 811
- Public Housing
- Affordable Housing Programs for American Indians, Alaska Natives or Native Hawaiians
- Supplemental Security Income (SSI)
- WIC
- Veterans Pension or Survivor Benefits
- or Lifeline;
- Participates in one of these assistance programs and lives on Qualifying Tribal lands:
- Bureau of Indian Affairs General Assistance
- Tribal TANF
- Food Distribution Program on Indian Reservations
- Tribal Head Start (income based)
Capital Project Fund Details: Alabama
- Total Award Amount: $191.9 million (100% of the Capital Project Fund allocation)
- Estimated Locations Served: 55,000
- Program Description: The Alabama Broadband Capital Projects Fund (ABCPF) is designed to deploy last-mile infrastructure projects in the state’s rural areas. Each internet service provider funded by the program will participate in the FCC’s Affordable Connectivity Program (ACP) – a $30/month subsidy for low-income households.
Capital Project Fund Details: Kentucky
- Total Award Amount: $182.8 million (100% of the Capital Project Fund allocation)
- Estimated Locations Served: 45,000
- Program Description: The Kentucky Broadband Deployment Fund (BDF) is designed to provide affordable, reliable broadband service to locations with no current internet service and secondarily to areas that currently lack access to internet at speeds of 25/3 Mbps. The funding aims to reach the areas of the Commonwealth that are the hardest to serve. Each internet service provider funded by the program will participate in the FCC’s Affordable Connectivity Program (ACP) – a $30/month subsidy for low-income households.
Capital Project Fund Details: Nevada
- Total Award Amount: $55.2 million (41% of Capital Project Fund allocation)
- Estimated Locations Served: 40,187
- Program Description: Nevada’s Low-Income Multi-Dwelling Units (MDU) Broadband Program is a competitive grant program designed to fund broadband infrastructure to – and within – low-income housing, including with upgrades to internet access. The program will provide internet service speeds of 100/100 Mbps. Each internet service provider funded by the program will participate in the FCC’s Affordable Connectivity Program (ACP) – a $30/month subsidy for low-income households.
Capital Project Fund Details: Texas
- Total Award Amount: $363.8 million (73% of Capital Project Fund allocation)
- Estimated Locations Served: 152,000
- Program Description: The BOOT (Bringing Online Opportunities to Texans) program is a competitive grant program designed to fund last-mile broadband infrastructure projects throughout the state. The BOOT program prioritizes projects that serve historically disadvantaged areas, provide digital literacy support, and offer affordable service options. Each internet service provider funded by the program will participate in the FCC’s Affordable Connectivity Program (ACP) – a $30/month subsidy for low-income households.
Infinity Technology Solutions for Broadband Infrastructure Projects
Infinity Technology Solutions, in partnership with Nokia, is the partner that states need to maximize the funding allocated to their communications infrastructure. We have extensive experience assisting public and private entities build fiber networks to make broadband internet access a reality for all U.S. citizens.
Contact us to learn more about how we can help you launch your broadband infrastructure project successfully.
