After proposed BEAD changes, state lawmakers pen concerns to Commerce Department

A bipartisan group of 115 state legislators representing 28 states sent Commerce Secretary Howard Lutnick a letter Thursday outlining several concerns about his proposed changes to the department’s $42.45 billion Broadband Equity, Access, and Deployment program.

Lutnick’s proposed changes, which he announced this month, include “ripping out” several “pointless requirements” added by former President Joe Biden. The changes, Lutnick said, would remove “woke mandates, favoritism towards certain technologies, and burdensome regulations.”

In the letter organized by the Benton Institute for Broadband & Society, the legislators pointed at Lutnick’s proposal to undo the program’s strong preference for fiber-optic cable installations. This change would allow states to give more of their BEAD award allotments to low-earth orbit satellite service providers, such as Elon Musk’s Starlink.

These changes, the legislators wrote, could delay BEAD deployments by a year or more and in some cases force states to restart their broadband grant programs. The letter notes that the three states that have completed their BEAD planning have different provider make-ups, showcasing the BEAD program’s flexibility. Louisiana’s plan includes 95% fiber coverage, 3% wireless/cable, and 2% satellite; Nevada proposed 83% fiber coverage, 7% wireless/cable, and 9% satellite; and Delaware proposed 100% fiber coverage.

“These are incredible results, and the flexibility to prioritize fiber while still incorporating wireless and satellite technologies will bring our constituents high-quality, affordable service at reasonable costs,” the letter reads.

The letter is also addressed to members of Congress; Adam Cassady, principal deputy assistant secretary and deputy administrator of the National Telecommunications and Information Administration, which administers several broadband programs; and Arielle Roth, President Donald Trump’s nominee to lead the NTIA.

The letter comes as federal lawmakers weigh measures to reform the program. Rep. Richard Hudson, R-N.C., this month introduced the Streamlining Program Efficiency and Expanding Deployment for BEAD, or “SPEED for BEAD” Act. Similar to Lutnick’s proposal, the bill would remove the preference for fiber so any “reliable broadband service” provider that meets the law’s performance criteria would be eligible to compete for projects.

While some changes to the program would be welcome — as evidenced by a letter Louisiana Gov. Jeff Landry sent also sent Lutnick in January asking for any program reforms to include easier paths for states to spend BEAD broadband grant money on satellite internet service — the legislators asked that any changes be optional for states.

“As state legislators, we understand that no program is perfect. Indeed, we welcome some changes. However, we ask that you defer to our states about which changes we adopt,” the letter reads. “State BEAD and [digital equity] programs have been designed by and for state stakeholders, and they are poised to bring high-speed, reliable, affordable, and scalable broadband to virtually every last one of our constituents. Please respect the results of this process.

“At this late stage, major changes would undermine our work and delay deployment by years. The health, safety, education, and economic success of our communities depend on these programs. We ask that you tread cautiously when changing them.”