US states could lose $21 billion of broadband grants after Trump overhaul

"The current law also says that if a state fails to use its full allocation, the National Telecommunications and Information Administration (NTIA) "shall reallocate the unused amounts to other eligible entities with approved final proposals." The law gives the NTIA chief latitude to spend the money for "any use determined necessary... to facilitate the goals of the Program." Arielle Roth, who has overseen the BEAD overhaul in her role as head of the NTIA, has said she's open to sending the remaining funds to states."

"Arielle Roth, who has overseen the BEAD overhaul in her role as head of the NTIA, has said she's open to sending the remaining funds to states. Roth said in an October 28 speech that the NTIA is "considering how states can use some of the BEAD savings-what has commonly been referred to as nondeployment money-on key outcomes like permitting reform" but added that "no final decisions have been made." The Ernst bill would take that decision out of the NTIA's hands."

"After Congress created BEAD, the Biden administration spent about three years developing rules and procedures for the program and then evaluating plans submitted by each US state and territory. The process included developing new maps that, while error-prone due to false submissions by ISPs, provided a more accurate view of broadband coverage gaps than was previously available. By November 2024, the Biden administration had approved initial funding plans submitted by every state and territory."

BEAD funds are authorized for uses beyond provider subsidies, including connecting community anchor institutions, data collection, broadband mapping, planning, installing Internet and Wi‑Fi infrastructure, subsidizing multi‑family building broadband, and providing Internet-capable devices. The statute requires NTIA to reallocate unspent state allocations to other eligible entities with approved proposals and grants the NTIA chief discretion to use funds as necessary to meet program goals. NTIA leadership has indicated openness to allowing states to use BEAD savings for outcomes like permitting reform, though no final decision has been made. Recent rule changes removed fiber preference and emphasized lower-cost deployments, affecting state implementation timelines.

Read at Ars Technica