Affordable Connectivity Program Expiring: What This Means For Millions Of Americans’ Internet Access

Topline

The Affordable Connectivity Program, which provides government financial assistance for monthly internet bills to 23 million American households, is set to end at the end of the month. This could result in many households losing access to home internet.

Key Facts

1. A bipartisan longshot effort to save the Affordable Connectivity Program has been introduced in the House and Senate. However, it has faced criticism from some lawmakers, including Sen. Ted Cruz (R-Texas), who called it “a massive welfare program” that is “not working as Congress intended.”
2. 206 House Democrats and 24 Republicans have co-sponsored a bill in the chamber to expand the program. Many promote it as pro-veteran, helpful for low-income households, and necessary to connect the eligible households to the internet.
3. Congress initially allocated $14.2 billion to the Affordable Connectivity Program in December of 2021. The funding is used to provide a monthly stipend toward internet bills and for a one-time discount toward the purchase of a laptop or tablet. However, this funding is running out.
4. The bill introduced to save the program would allocate an additional $7 billion to extend it through the end of the year. This would allow Congress to work on long-term changes for sustainable access.
5. Before receiving the federal internet subsidy, almost 22% of program participants had no personal internet service, and another 25% had only mobile internet, according to a survey by the Federal Communications Commission.
6. The same survey found that almost 77% of beneficiaries said they would need to make changes to their broadband plan if they stopped receiving the subsidy, with 30% saying they would need to drop internet service altogether.

What We Don’t Know

It’s not clear when or if Congress will take up votes to extend the program. The Biden administration has called for its extension.

Crucial Quote

“This takes away grocery money,” said California resident Aldredo Camacho. “Being a single father, $30 goes a long way.”

Key Background

The Federal Communications Commission launched the Affordable Connectivity Program on December 31, 2021. It provides eligible households with a monthly subsidy toward their internet bill. The program has been praised for its impact on healthcare and veterans services, as well as its ability to expand internet access in rural areas. Sen. J.D. Vance has stated that the program allowed companies to expand service to rural areas because they knew the relatively low-income customer base in those areas would be provided financial assistance.

Big Number

$2. That’s the economic benefit gained from every $1 spent on the Affordable Connectivity Program, according to a study from the Benton Institute for Broadband & Society. Subscribers are estimated to gain $16.23 billion in annual benefits from the subsidy, which costs $8.45 billion per year.

Further Reading

For more information, you can refer to the following resources:

SDGs, Targets, and Indicators

1. SDG 1: No Poverty

   • Target 1.3: Implement nationally appropriate social protection systems and measures for all, including floors, and by 2030 achieve substantial coverage of the poor and the vulnerable.
   • Indicator: The article mentions that the Affordable Connectivity Program provides financial assistance to eligible households with income at or below 200% of the federal poverty guidelines.

2. SDG 4: Quality Education

   • Target 4.4: By 2030, substantially increase the number of youth and adults who have relevant skills, including technical and vocational skills, for employment, decent jobs, and entrepreneurship.
   • Indicator: The article mentions that the program has allowed veterans to enroll in school and learn job skills.

3. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.c: Significantly increase access to information and communications technology and strive to provide universal and affordable access to the internet in least developed countries by 2020.
   • Indicator: The article discusses the Affordable Connectivity Program, which aims to provide internet access to eligible households.

4. SDG 10: Reduced Inequalities

   • Target 10.2: By 2030, empower and promote the social, economic, and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion, or economic or other status.
   • Indicator: The article mentions that the program is promoted as pro-veteran and helpful for low-income households.

5. SDG 17: Partnerships for the Goals

   • Target 17.16: Enhance the global partnership for sustainable development, complemented by multi-stakeholder partnerships that mobilize and share knowledge, expertise, technology, and financial resources.
   • Indicator: The article mentions the bipartisan effort to save the Affordable Connectivity Program and the allocation of additional funds by Congress.

Table: SDGs, Targets, and Indicators

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Fuente: forbes.com

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