Trump Overhaul Puts $21 Billion in Broadband Grants at Risk

A Senate Republican has drafted legislation that would redirect over $21 billion in broadband grants to the US Treasury for deficit reduction, according to a leaked draft of the bill. The proposed legislation, which would complement the Trump administration's overhaul of the $42.45 billion Broadband Equity, Access, and Deployment (BEAD) program, would effectively cut the program in half, from $42 billion to $20 billion. The Trump administration's overhaul of the BEAD program required states to rewrite their grant plans, reducing the overall projected spending and diverting some of the money from fiber projects to satellite. As a result, over $21 billion is projected to be left over after money is allocated to projects that expand broadband access. Under current US law, nondeployment funds can be used for other broadband-related purposes, such as providing Wi-Fi and Internet-capable devices to US residents. The draft bill, which was leaked and published last week by the Benton Institute for Broadband Society, would change the law to redirect all the remaining money to the US Treasury for deficit reduction. When contacted about the draft bill, Sen. Joni Ernst's office did not provide a formal statement or confirmation of the bill's existence. However, a spokesperson for the Benton Institute for Broadband Society stated that the organization is "concerned about the potential impact of this legislation on broadband expansion efforts." The BEAD program was established to provide funding for states to expand broadband access to underserved communities. The program's overhaul was intended to make the program more efficient and effective, but critics argue that it has had the opposite effect. "The Trump administration's changes to the BEAD program have made it more difficult for states to access the funding they need to expand broadband access," said a spokesperson for the National Association of State Broadband Directors. The proposed legislation has sparked concerns among broadband advocates, who argue that redirecting the funds to the US Treasury would undermine the program's purpose. "This legislation would be a step backward for broadband expansion efforts," said a spokesperson for the Benton Institute for Broadband Society. "We urge lawmakers to reconsider this proposal and prioritize the needs of underserved communities." The current status of the proposed legislation is unclear, as Sen. Ernst has not formally filed the bill. However, the draft bill's publication has sparked a debate among lawmakers and broadband advocates about the future of the BEAD program. As the debate continues, it remains to be seen whether the proposed legislation will become law and what impact it will have on broadband expansion efforts in the US.