On September 4, all states and territories must submit their Broadband Equity and Access Deployment (BEAD) project proposals to the National Telecommunications and Information Administration (NTIA). The proposals will outline how they will spend their BEAD allotments to expand broadband access to underserved regions.
The BEAD Program was included as part of the Infrastructure Investment and Jobs Act (IIJA) and provided $42.45 billion divided between all states and territories for expanding broadband to underserved regions. Despite the record funding, no projects have broken ground throughout the country. Under the previous administration, the NTIA was slow to approve projects under BEAD.
What Changed Under the Trump Administration: In early June, the U.S. Department of Commerce, which has oversight of the NTIA, announced new guidance for the BEAD program that moved it from a fiber-optics priority to a technologically-neutral approach, meaning that states will be able to award funds to low Earth satellite-internet providers in addition to traditional fiber-optic cables. Under the updated guidelines, all states and territories must modify their initial proposals to make their BEAD proposals technologically neutral, meaning that states will be able to award funds to low Earth satellite-internet providers in addition to traditional fiber-optic cables. The administration’s new guidance required all states to submit their final spending plan proposals for BEAD projects on September 4.
Where the States Stand on BEAD: As of September 2, 29 states have resubmitted their BEAD project proposals. Despite the BEAD program now being technologically neutral, most state project proposals are either majority or plurality fiber, with two-thirds of all BEAD projects proposed being fiber-based. West Virginia’s proposal has the highest level of fiber at 94.25% while Montana has the lowest use of fiber at 20.24%.
What Comes Next: Following the September 4 deadline, the state proposals will enter a 90-day comment period before the NTIA makes their final approval or rejection of the proposals. Despite the increase in low earth orbit (LEO) satellite projects, Starlink, the SpaceX LEO entity, has complained to some states, such as Louisiana and Virginia, that they are still prioritizing fiber in their project proposals.
For more information, please contact John Chambers.