*In partnership with Broadband Breakfast, we occasionally republish each other's content. The following story by Broadband Breakfast Reporter Taormina Falsitta was originally published here.

Experts expressed concern that federal support for municipal broadband is limited, prompting uncertainty about future funding and operational sustainability at a Fiber for Breakfast event Wednesday.

Tyler Cooper, editor-in-chief of Broadband Now, a website that provides resources for internet providers, said that Broadband, Equity, Access, and Deployment (BEAD) grants are less promising for municipal broadband deployments despite initial promises.

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"We want to make sure BEAD funding areas have a vibrant competitive marketplace for decades to come," said Cooper. “It is here that I think municipal providers stand to make the most impact over time.”

“Municipal providers have been a lifeline to residents in these areas. They spur competition and innovation, they build future-proof technologies, primarily fiber, and they're more in tune in general with the needs of their communities than other providers.”

However, Cooper expressed concern that BEAD rules and requirements may not favor municipal networks, potentially favoring larger ISPs. BEAD has “become a much less promising vehicle for deploying municipal broadband nationwide.”

[See our recent story here on how local officials are seeing this play out in Massachusetts]  

The NTIA (National Telecommunications and Information Administration) insists that the 17 state laws that hamper nationwide community broadband deployments won’t delay a massive looming infusion of infrastructure broadband subsidies. But one industry group isn’t so sure.

BroadbandNow, a website dedicated to tracking the U.S. broadband industry, issued a report claiming that state restrictions on community broadband networks could delay the delivery of more than $42.45 billion in BEAD (Broadband Equity, Access and Deployment) grants made possible by the recently-passed Infrastructure Investment and Jobs Act (IIJA).

Such bills, often ghost written by the telecom industry by policy and lobbying intermediaries, often limit the construction or financing of community broadband networks, even in unserved areas that regional telecom monopolies have long neglected.

Covid’s home education and telecommuting boom highlighted the restrictive and often counterproductive nature of such bills, leading two states — Arkansas and Washington — to remove the barriers. And in Colorado earlier this month, Gov. Jared Polis signed Senate Bill 23-183 into law that eliminates an older 2005 law backed by regional telecom monopolies, which imposed cumbersome and onerous restrictions on Colorado towns and cities looking to build better, more affordable community-owned and operated broadband networks.