In The News

Millions of Low-Income Families Set to Lose Internet Subsidies

Mar 23, 2024

The Affordable Connectivity Program, a $14.2 billion federal effort to make internet service more affordable, is expected to run out of funding this spring.

By Madeleine Ngo, for the New York Times

An excerpt of the full story is included below. Read the full piece here.

“…The program is part of the Biden administration’s broader initiative to connect every American to affordable, high-speed internet, which officials hope will stimulate economic growth and widen access to health care and education. The administration is spending an additional $42.5 billion to expand access to broadband to every corner of the country.

“The administration is funneling billions of dollars into the expansion of internet access largely because officials see it as a critical way to strengthen the economy. Across U.S. metros, prime-age workers who have access to high-speed internet on home computers participate in the labor force at a much higher rate than those without access, according to research from the Federal Reserve Bank of Philadelphia. Other research has found that internet connectivity can bolster economic growth in rural areas, helping to create jobs and attract workers.

“Some Democratic and Republican lawmakers have coalesced around a bill that would provide $7 billion to fund the program for about another year. Senator Peter Welch of Vermont, a Democrat who has sponsored the bill, said that he was encouraged by the bipartisan support, but that it was “tough to be optimistic.”

“It’s hard to get anything done in this Congress,” Mr. Welch said. “Anything on the budget becomes very contentious.”

To read the full piece, click here.