A federal program that provided internet discounts to low-income people may yet be resuscitated.
A Senate committee on Wednesday voted for $7 billion in funding for the Affordable Connectivity Program, and House of Representatives members have introduced legislation that would put $6 billion into the dormant initiative.
For two years, the program known as ACP provided $30 discounts per month, or $75 a month for people on tribal land, and included one-time $100 discounts on laptop, desktop, or tablet purchases. The $14.2 billion Congress provided via the Bipartisan Infrastructure Law ran out earlier this year.
More than 23 million households were enrolled, including about 346,000 in Virginia, according to the Federal Communications Commission. That number included about 119,000 Southwest and Southside Virginia households.
All discounts were discontinued after May, despite FCC requests to extend the program.
A bipartisan duo, U.S. Reps. Nikki Budzinski, D-Ill., and Mike Carey, R-Ohio, on Tuesday introduced legislation to renew the ACP. The Secure and Affordable Broadband Extension Act also would fund U.S. telecommunications companies to remove and replace wireless internet equipment from such Chinese corporations as Huawei and ZTE.
Their bill would pay for both initiatives by renewing the FCC’s ability to auction Advanced Wireless Service-3 bands to telecom providers. A January 2015 auction raised a net $41 billion, with 31 bidders winning 1,611 licenses, according to the National Telecommunications and Information Administration.
According to the FCC’s website, the commission since 1994 has auctioned licenses and permits to electromagnetic spectrum for wireless and broadcast services. In a news release last year, FCC Chairwoman Jessic Rosenworcel said that the agency’s 100 auctions had raised more than $233 billion for the U.S. Treasury.
The House bill, referred to the Committee on Energy and Commerce, would narrow eligibility for discounts. Previously, households reporting income at or below 200% of the federal poverty line were eligible. The new legislation would reset it for households at or below 135%, which is consistent with standards for such federal programs at Lifeline and Medicare Part D, according to a news release from Budzinski’s office. The act would also repeal the device subsidy.
Rep. Morgan Griffith, R-Salem, said through a spokesman in April that a bipartisan group with members from the House and Senate was working on the issue. On Thursday, his spokesman said that as the House is out of session, Griffith had yet to see the bill.
“The Congressman and legislative team will need time to review the bill,” Griffith spokesman Jackson Krug said in an email exchange.
The Senate Commerce, Science and Transportation Committee on Wednesday pushed forward a $7 billion funding amendment to the PLAN (Proper Leadership to Align Networks) for Broadband Act. Committee chair Maria Cantwell, D-Wash., and Sen. Peter Welch, D-Vt., proposed the amendment, which passed 14-12 along partisan lines, according to the Senate website.
The PLAN Act would authorize a national strategy to improve the coordination and management of federally supported programs for expanding internet access, according to a Senate summary.
Sen. Ted Cruz, R-Texas, opposed the amendment, saying it was unfunded and lacked provisions that would reform the ACP, according to the industry news site Broadband Breakfast. Cantwell said the FCC could borrow money from the U.S. Treasury and repay the debt with proceeds from its spectrum auctions, Broadband Breakfast reported.
Sen. Mark Warner, D-Va., co-authored the legislation that created the ACP. Emails sent to his office had not been answered by 5 p.m. Thursday, but he said in April through a spokeswoman that he continued to support the program and had urged colleagues to take action. He and his Virginia Democratic colleague, Sen. Tim Kaine, are among 33 senators who have signed letters to congressional leadership in recent months, urging further funding.
