U.S. Commerce Department says it will use $48 billion 'to help close the digital divide'

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U.S. Department of Commerce in Washington. | facebook.com/Commerce.gov

U.S. Commerce Department says it will use $48 billion 'to help close the digital divide'

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The U.S. Department of Commerce will use billions in recently allocated Infrastructure Investment and Jobs Act funds to help expand low-cost broadband access across the nation.

The Department of Commerce expects to "play a pivotal role in rolling out the broadband resources included in this legislation," according to a fact sheet posted on the department's website. About $48 billion has been allocated to the department's National Telecommunications and Information Administration (NTIA).

"We stand ready, in coordination with other federal agencies, including the Departments of Agriculture and Treasury and the Federal Communications Commission (FCC), to implement once-in-a-generation broadband funding programs aimed at firmly closing the digital divide by bringing broadband resources directly to the communities that need them most," the DOC says in the fact sheet.

The Infrastructure Investment and Jobs Act was signed by President Joe Biden on Nov. 15. It is part of the administration’s plan to provide Americans with fast, reliable, and affordable internet. The bipartisan bill earmarked $65 billion to enhance broadband access nationwide.

The money is expected to help create low-cost broadband options and subsidize services for low-income households. The fact sheet cited a Pew Research Center poll that found 90% of Americans consider internet access essential to them during the pandemic. Yet many lack broadband access, especially in tribal and rural communities.

The infrastructure deal gives NTIA responsibility for broadband programs that include $42.45 billion in grants awarded to states, the District of Columbia, Puerto Rico and territories to fund high-speed broadband deployment. Each state is expected to receive at least $100 million, and each territory a minimum of $20 million, for broadband expansion and/or affordability programs.

"The remaining money will be allocated by need, primarily based on the number of household and business locations in that state or territory that are unserved by highspeed broadband," the fact sheet said. "States will be required to work with broadband providers to ensure that each broadband provider that receives funding offers at least one affordable service plan. The Department of Commerce will work closely with the FCC to determine exactly where the unserved locations are, and with states and territories to fund projects that will help us reach universal broadband access."

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