The Role of BEAD Funding in Bridging the Digital Divide
The digital divide has long been a challenge for communities around the world. With the rapid advancement of technology, the gap between those with access to high-speed internet and those without continues to grow. However, the implementation of 5G fixed wireless networks has the potential to bridge this divide. In order to achieve this goal, it is essential to understand the role of BEAD funding in making this technology more accessible and affordable for all.
Who is the BEAD Funding for?
The BEAD Program was created by Congress to tackle the ongoing digital divide in the United States. Congress outlined three main priorities for the use of the funds: building infrastructure, developing broadband action plans, and supporting programs that encourage people to use new networks. The National Telecommunications and Information Administration (NTIA), the agency responsible for overseeing the program, clarified in its June 2022 Notice of Funding Opportunity that BEAD spending should focus on the following:
- Prioritizing fiber connectivity that directly connects to the end user.
- Giving priority to areas that do not have access to 25-megabit-per-second (Mbps) download service and 3-Mbps upload service (commonly referred to as 25/3-Mbps service).
- Considering proposals that improve affordability to ensure that networks built using taxpayer dollars are accessible to all Americans.
In addition, it is recommended by BEAD Funding, although not mandatory, that eligible organizations:
- Create good quality jobs with high wages.
- Encourage diverse businesses, especially those owned by minorities or economically disadvantaged individuals, to apply as sub grantees.
- Consult FEMA-approved hazard mitigation plans to identify risks and ensure grant-funded projects are climate-resilient.
- Stay in touch with NTIA while developing proposals to receive feedback and align with federal priorities.
What is the BEAD Funding Implementation Timeline?
The BEAD Funding Program is divided into four phases: the letter of intent and planning, funding allocation, initial proposal, and final proposal and implementation. Each phase has a specific timeframe and requires states, territories, or the NTIA to fulfill certain requirements before progressing to the next phase. This structure is based on research conducted by The Pew Charitable Trusts and other organizations. Their findings indicated that extensive coordination, planning, and data collection are essential for effectively utilizing these funds, as well as other significant state and federal investments in broadband and digital equity during the pandemic. The ultimate goal of these efforts is to achieve universal access to broadband internet.
BEAD Funding by State
State | Award Amount |
---|---|
Alabama | $1,401,221,901.77 |
Alaska | $1,017,139,672.42 |
Arizona | $993,112,231.37 |
Arkansas | $1,024,303,993.86 |
California | $1,864,136,508.93 |
Colorado | $826,522,650.41 |
Connecticut | $144,180,792.71 |
Delaware | $107,748,384.66 |
District of Columbia | $100,694,786.93 |
Florida | $1,169,947,392.70 |
Georgia | $1,307,214,371.30 |
Hawaii | $149,484,493.57 |
Idaho | $583,256,249.88 |
Illinois | $1,040,420,751.50 |
Indiana | $868,109,929.79 |
Iowa | $415,331,313.00 |
Kansas | $451,725,998.15 |
Kentucky | $1,086,172,536.86 |
Louisiana | $1,355,554,552.94 |
Maine | $271,977,723.07 |
Maryland | $267,738,400.71 |
Massachusetts | $147,422,464.39 |
Michigan | $1,559,362,479.29 |
Minnesota | $651,839,368.20 |
Mississippi | $1,203,561,563.05 |
Missouri | $1,736,302,708.39 |
Montana | $628,973,798.59 |
Nebraska | $405,281,070.41 |
Nevada | $416,666,229.74 |
New Hampshire | $196,560,278.97 |
New Jersey | $263,689,548.65 |
New Mexico | $675,372,311.86 |
New York | $664,618,251.49 |
North Carolina | $1,532,999,481.15 |
North Dakota | $130,162,815.12 |
Ohio | $793,688,107.63 |
Oklahoma | $797,435,691.25 |
Oregon | $688,914,932.17 |
Pennsylvania | $1,161,778,272.41 |
Puerto Rico | $334,614,151.70 |
Rhode Island | $108,718,820.75 |
South Carolina | $551,535,983.05 |
South Dakota | $207,227,523.92 |
Tennessee | $813,319,680.22 |
Texas | $3,312,616,455.45 |
Utah | $317,399,741.54 |
Vermont | $228,913,019.08 |
Virginia | $1,481,489,572.87 |
Washington | $1,227,742,066.30 |
West Virginia | $1,210,800,969.85 |
Wisconsin | $1,055,823,573.71 |
Wyoming | $347,877,921.27 |
Guam | $156,831,733.59 |
American Samoa | $37,564,827.53 |
Northern Mariana Islands | $80,796,709.02 |
U.S. Virgin Islands | $27,103,240.86 |
Total | $41,601,000,000.00 |
Credit: Ready.net
Industry Leaders' Reaction to BEAD Funding
The Fiber Broadband Association, ACA Connects, INCOMPAS, and the Telecommunications Industry Association (TIA) expressed their support for the BEAD Funding notice.
Matthew Polka, the CEO of ACA Connects, stated that these notices provide guidelines for ACA Connects Members, who are experienced community-based broadband providers, to work towards closing the digital divide.
Chip Pickering, the CEO of INCOMPAS, added that fiber is crucial for various broadband strategies, including wired, wireless, 5G, and satellite infrastructure. He expressed satisfaction in NTIA’s stance against investing in outdated networks that lack the capacity to support future industries and jobs.
However, David Stehlin, the CEO of TIA, acknowledged that there is still more work to be done. He mentioned the need to reconcile the Buy American requirement with the current realities of the supply chain. TIA supports U.S.-based technology development, manufacturing, and construction, but recognizes that globalized ICT supply chains cannot be shifted to the U.S. overnight. TIA advocates for a waiver to prevent any risks to America’s digital infrastructure investment.
Credit: Fierce Telecom
BEAD Funding FAQ
Yes, BEAD funds are available for use by U.S. territories and the District of Columbia.
In creating the BEAD program, the Bipartisan Infrastructure Law created a multi-step, multi- year process. NTIA will work as expeditiously as possible to effectively implement the program. The chart below summarizes the key milestones of the BEAD Program and additional information about program sequencing can be found in Section IV.B. of the NOFO
An unserved service project is defined as a project in which not less than 80 percent of broadband-serviceable locations served by the project are unserved locations. An “Unserved Service Project” may be as small as a single unserved broadband serviceable location (NOFO Section I.C.ee). An unserved location is defined as a broadband-serviceable location that the Broadband DATA Maps show as (a) having no access to broadband service, or (b) lacking access to Reliable Broadband Service offered with – (i) a speed of not less than 25 Mbps for downloads; and (ii) a speed of not less than 3 Mbps for uploads; and (iii) latency less than or equal to 100 milliseconds (NOFO Section I.C.dd).
An underserved service project is defined as a project in which not less than 80 percent of broadband-serviceable locations served by the project are unserved locations or underserved locations. An “Underserved Service Project” may be as small as a single underserved broadband- serviceable location (NOFO Section I.C.cc). An underserved location is defined as a broadband-serviceable location that is (a) not an unserved location, and (b) that the Broadband DATA Maps show as lacking access to Reliable Broadband Service offered with – (i) a speed of not less than 100 Mbps for downloads; and (ii) a speed of not less than 20 Mbps for uploads; and (iii) latency less than or equal to 100 milliseconds (NOFO Section I.C.bb).
Credit: Broadband USA