The Affordable Connectivity Program Has an Uncertain Future
by pedro graterol
The Affordable Connectivity Program (ACP) is facing imminent fund depletion, which will impact low-income households.
The Affordable Connectivity Program (ACP), a federal subsidy aimed at assisting low-income families in affording broadband, is facing imminent funding depletion, prompting concerns about its impact on households and the broader economy. This program, established as part of the 2021 Bipartisan Infrastructure Bill, has been instrumental in providing discounts of $30 per month to eligible households, benefiting approximately 25,000 households in Alaska alone. However, the FCC has announced that April will mark the program’s last fully funded month, prompting uncertainty about how it will impact those who benefit from it.
The Biden administration has been advocating for Congress to allocate additional funds to sustain the program. Nevertheless, Congressional opposition from some Republicans citing concerns about budget costs and eligibility has complicated efforts to secure further funding. In addition, the future of the program is further affected by the political dynamics of the House of Representatives. Despite having bipartisan support, the Republican House leadership is following a norm called the “Hastert Rule”, which forces the Speaker to only allow legislation if a majority of his party would vote for it, which is not the case regarding the ACP.
Despite its modest monthly subsidy, the ACP plays a crucial role within the broader context of broadband development. Liz Ruskin explained in an article for Alaska Public Media that a significant portion of the $2 billion allocated to Alaska is meant for constructing and upgrading rural networks. Moreover, the end of the ACP would disproportionately affect Anchorage and the Matanuska-Susitna Borough, as 70% of the program’s beneficiaries are in these areas.
According to a Brookings analysis, the discontinuation of the ACP raises concerns not only about the overall economy, but with those directly affected. Data indicates that a considerable percentage of participants fear losing their jobs, access to healthcare, and educational opportunities if broadband connectivity is severed. This is especially the case in the area of healthcare, given that tele-health services, made possible by the ACP, bring savings to veterans and the Medicaid-eligible population.
In light of the impending funding depletion, low-income households seeking alternative assistance may consider the Lifeline program. Although offering a lower subsidy of $9.25 per month, Lifeline provides support for home internet or cellphone plans and maintains eligibility criteria aligned with various federal assistance programs. If you’re facing a substantial increase in your bill due to the end of the ACP, there are alternative options to explore, such as considering different internet service providers (ISPs) available in your area. Many ISPs offer plans priced below $50 per month, and there are often opportunities to secure additional discounts by bundling services with a cellphone plan or committing to an annual contract.
Another cost-saving measure is to invest in your own equipment. Renting a modem and router from your internet provider typically incurs a monthly fee of around $15. However, purchasing your own equipment can yield savings in the long run. You can find modems and routers for as little as $100, especially if you opt for refurbished devices. Nevertheless, it’s essential to ensure that any equipment you purchase is compatible with your provider’s network before making a decision.
If you want to help to try to avoid the end of the ACP, contact your congressional representative. To do so, follow the steps listed in www.dontdisconnectus.org.
