With American Rescue Plan funds flowing into state government coffers, about a third of the nation’s 50 states have announced what portion of their Rescue Plan dollars are being devoted to expanding access to high-speed Internet connectivity.

The federal legislation included $350 billion for states to spend on water, sewer, and broadband infrastructure, though everything we have seen suggests that the vast majority of that will not go to broadband. There is also another $10 billion pot of rescue plan funds, called the Capital Projects Fund, that mostly must be used to expand access to broadband.

Laboratories of Broadband-ification 

As expected, each state is taking their own approach. California is making a gigantic investment in middle-mile infrastructure and support for local Internet solutions while Maryland is making one of the biggest investments in municipal broadband of any other state in the nation. And although Colorado does not prioritize community-driven initiatives, state lawmakers there have earmarked $20 million for Colorado’s two federally-recognized Indian tribes to deploy broadband infrastructure with another $15 million devoted to boosting telehealth services in the state.     

Undoubtedly, individual states’ funding priorities vary. Some states may be relying on previously allocated federal investments to boost broadband initiatives and/or have been persuaded the private sector alone will suffice in solving its connectivity challenges. And in some states, such as Illinois, Minnesota, and Maine, lawmakers have prioritized using state funds to support broadband expansion efforts while other states may be waiting on the infrastructure bill now making its way through Congress before making major broadband funding decisions.

As of this writing, 17 states have earmarked a portion of their Rescue Plan money (totaling about $7.6 billion) to address the digital divide within their borders. Those states are Arizona, Arkansas, California, Colorado, Delaware, Hawaii, Indiana, Kentucky, Maine, Maryland, Montana, Missouri, Virginia, Tennessee, Vermont, Washington, and Wisconsin.

Five electric cooperatives in three states have joined forces to form a new broadband co-op with a mission to bring high-speed Internet service to the unserved rural parts of Virginia, Maryland and Delaware.

The formation of the Virginia, Maryland & Delaware Association of Broadband Cooperatives (VMDABC) was announced at the start of the new year, harkening back 76 years ago when those same three states formed the Virginia, Maryland & Delaware Association of Electric Cooperatives (VMDAEC) to bring electricity to the rural areas in those states.

“This association is the first of its kind in the nation,” said VMDABC Board Chairman Casey Logan, CEO of the Waverly, Va.-based Prince George Electric Cooperative, and its broadband subsidiary, RURALBAND.

“This is truly a historic day,” Logan said when the tri-state association was announced in January. “Much like the Virginia, Maryland & Delaware Association of Electric Cooperatives was created 76 years ago during the formative years of rural electrification, today’s formal organization of a broadband association will improve the quality of life for our members.”

The VMDABC will begin its work with five founding “Class A members,” each of which are in various stages of building Fiber-to-the-Home (FTTH) networks.

In addition to Prince George Electric Cooperative, the four other founding Class A members are the BARC Electric Cooperative, based in Millboro, Va., and its subsidiary, BARC Connects; the Arrington, Va.-based Central Virginia Electric Cooperative, and its subsidiary, Firefly Fiber Broadband; the Choptank Electric Cooperative in Denton, Md., and its subsidiary, Choptank Fiber LLC; and the Mecklenburg Electric Cooperative, based in Chase City, Va., and its subsidiary, EMPOWER Broadband. Collectively, they provide electric service to 135,000 members.

Envisioning a Path Forward

The Expanding Potential in Communities (EPIC) Grant deadline funded by Truist Bank and administered by the Internet Society has been extended by two weeks from its original deadline of February 19 in the wake of the weather hammering eligible areas over the last few days. There's nothing like a severe winter event that knocks power out for millions to break up the monotony of a raging pandemic. 

Grant applications are now due March 5th by 11:59pm. 

Read our original story about the grant program below:

A new grant program funded by Truist Bank's philanthropic initiative and administered by the Internet Society will disburse $1 million in funds to seven community broadband projects over the next year and a half. The Expanding Potential in Communities (EPIC) Grant program is currently soliciting applications, with grants to be disbursed to eligible communities across the southeast United States, including Washington D.C. and Texas, ranging from $125,000-180,000. The program is aimed at kickstarting Covid 19 relief efforts but also providing essential, locally owned broadband infrastructure to unserved and underserved communities.

From the grant program website:

The COVID-19 pandemic has brought the importance of broadband Internet connectivity into focus as work, school, healthcare, and more shift online. Internet connectivity is more important than ever in keeping our lives moving . . . The $1 million Expanding Potential in Communities (EPIC) Grant program supports broadband initiatives in the southeastern United States . . . As the administrating partner, the Internet Society will support local broadband expansion by funding complementary Internet connectivity solutions to help alleviate disparities in education, employment, and social welfare that are exacerbated by lack of access to broadband.

See eligibility requirements below:

A new grant program funded by Truist Bank's philanthropic initiative and administered by the Internet Society will disburse $1 million in funds to seven community broadband projects over the next year and a half. The Expanding Potential in Communities (EPIC) Grant program is currently soliciting applications, with grants to be disbursed to eligible communities across the southeast United States, including Washington D.C. and Texas, ranging from $125,000-180,000. The program is aimed at kickstarting Covid 19 relief efforts but also providing essential, locally owned broadband infrastructure to unserved and underserved communities.

From the grant program website:

The COVID-19 pandemic has brought the importance of broadband Internet connectivity into focus as work, school, healthcare, and more shift online. Internet connectivity is more important than ever in keeping our lives moving . . . The $1 million Expanding Potential in Communities (EPIC) Grant program supports broadband initiatives in the southeastern United States . . . As the administrating partner, the Internet Society will support local broadband expansion by funding complementary Internet connectivity solutions to help alleviate disparities in education, employment, and social welfare that are exacerbated by lack of access to broadband.

See eligibility requirements below:

The small seaside community of Lewes, Delaware, is considering investing in a Fiber-to-the-Home (FTTH) Internet network for connectivity to its 3,000 inhabitants.

Consideration

According to the Lewes Board of Public Works (BPW) General Manager Darrin Gordon, the city electric utility has a plan to connect to Fibertech Networks infrastructure, which reaches Lewes. Fibertech obtained a $1 million state grant in 2015 to expand its infrastructure in rural areas of Delaware.

BPW has been investigating the possibility of bringing high-quality Internet access to households and businesses for a while now. The BPW plan envisions a publicly owned network that connects to the Fibertech network and extends throughout Lewes that will be deployed in four phases. "The rolling deployment will help recover costs and help with funding the next phases," Gordon said. 

"We want to take it slow to ensure that whoever does take the service that it's the very best and everything we promised it was going to be," Gordon said. "We know that word of mouth around here can be the saving grace or the death knell."

BPW anticipates that the first phase could be finished as soon as four to five months from commencement and the second phase two months later. The first two phases will be aerial deployment with later phases consisting of underground plant.

The city is working with a consultant to estimate a final cost to make the investment and to determine what residents and businesses would pay for the service. BPW will survey customers to obtain a better idea of the amount of interest before moving forward.

Lewes, Delaware

Lewes describes itself as “the first town in the first state,” having started as a trading post by Dutch settlers in 1631. The community changed names and hands several times between the English and the Dutch; William Penn and gave it the name “Lewes” in 1682 and it’s kept the name ever since.

Newark, Delaware, prides itself on its small-city status: a bike-friendly place with a great main street and home to 30,000 residents. Some, however, consider poor Internet access Newark's biggest small-city problem.

In December, the City Council decided to move forward with a feasibility study for a municipal broadband network. In a 4-3 vote, the city council hired a consulting firm to investigate the city’s options for connectivity. For $69,000, the firm will answer Newark's questions, and the city will attempt to make an informed decision on the possibility of a municipal network.

Process for a Feasibility Study

As we reported in September, residents have driven the push toward a publicly owned network; the city council took notice and began considering the possibility. In October 2015, They hosted a public meeting to bring together community stakeholders and interested residents. At that point, community leaders heard from a consulting company about what a feasibility study would entail.

Originally priced at $10,000 for a basic analysis, the cost of the feasibility study increased to $69,000 over the next several months because the city council chose to expand the depth of the study. They wanted an extensive analysis of all the options, especially connecting to the local University of Delaware to any proposed municipal network. At the city council meeting in December, members decided to greenlight the feasibility study. The funding will come out of the budget for the Legislative Department’s legal and consulting services.

Why A Municipal Network?

In 2014, the city installed smart electric and water meters which run on a Wi-Fi mesh network. Having greater connectivity could encourage expansion for other uses. High-quality Internet access for businesses and residents, high-speed data transport for local healthcare clinics, parking meters, surveillance, public safety, and cloud computing are only few potential uses for a municipal fiber network. 

The City of Newark, population 30,000 and home to the University of Delaware, is considering commissioning a feasibility study but first will host a workshop to discuss the potential of a municipal network. City leaders want to bring together members of the community, broadband providers, experts, and municipal employees before it commits to the $10,000 study. 

Residents spoke at a recent city council meeting, demanding that the City inquire into the potential for a municipal broadband network, reported Delaware’s News Journal. Community interest led City Information Technology manager Josh Brechbuehl to research the City’s pre-existing Internet infrastructure, as well as speak with a wide array of broadband experts. Brechbuehl delivered a presentation to the city council on July 27 (transcript of the council meeting minutes here), during which he laid out his vision for bringing high-speed Internet to Newark:

Admittedly I started off pretty pessimistic about the opportunity and the possibility of achieving something like this, and I will say that through my research, I’ve become somewhat of a believer, a cautious believer, but definitely a believer that says this should be investigated.

The City currently has access to a wireless mesh network, but Brechbuehl believes fiber would be a better investment in the long term:

“We do have a WiFi network. It is very, very slow and that is by design. It was never designed to handle active devices such as smartphones, tablets, desktop computers, laptop computers...It was designed to carry very, very tiny bits of information a few times a day and that’s it,” he told the council.