Louisiana’s Fiber Internet Funding at Risk Due to BEAD Changes

News Summary

Recent modifications to the federal Broadband Equity Access and Deployment program threaten $1.3 billion in fiber internet funding for Louisiana. The changes jeopardize the advancement of high-speed internet access in rural areas, reversing commitments made by the Biden administration. Local providers, including Cajun Broadband, face uncertainty regarding anticipated funding, impacting efforts to connect underserved regions. Amidst service outages and challenges in accurate connectivity mapping, state officials are advocating for the restoration of funding to uphold the promise of reliable internet access for all residents.

Baton Rouge, Louisiana – Recent changes to the federal Broadband Equity Access and Deployment (BEAD) program are jeopardizing $1.3 billion in promised fiber internet funding for the state of Louisiana. This development threatens the planned expansion of high-speed internet access in rural areas, reversing the Biden administration’s previous “fiber-first” approach aimed at enhancing connectivity in underserved regions.

The state was set to initiate the distribution of grant funds this year through the groundwork of its GUMBO 2.0 program. Notably, Louisiana was the first state to have its BEAD deployment plan approved, positioning it ahead in the race for federal funding aimed at improving rural internet access.

However, Commerce Secretary Howard Lutnick announced new guidance last week that revoked Louisiana’s federal approval, significantly complicating the state’s broadband expansion initiatives. This reversal pushes Louisiana back to earlier stages of its deployment process, disrupting commitments to expand fiber internet infrastructure.

Cajun Broadband, a local internet service provider founded in 2017, received 11 GUMBO 1.0 grants in 2022 to support its fiber expansion efforts. The company had relied on an anticipated $33 million in BEAD funding to connect approximately 15,000 locations across the state. Unfortunately, this funding is now uncertain as delays in the federal program continue to mount.

The initial phase of the GUMBO program, known as GUMBO 1.0, is expected to enhance internet access for about 65,000 homes and businesses across 48 parishes in Louisiana. Building on this success, GUMBO 2.0 was designed to facilitate further improvements in fiber internet access, particularly for regions that have been historically underserved.

Adding to the urgency of this situation, AT&T recently faced service outages in Louisiana due to instances of vandalized fiber lines. The company has indicated that it is addressing the disruption, and while emergency 911 services remained operational, local law enforcement experienced challenges in receiving calls. State representatives expressed concern regarding AT&T’s lobbying against safety regulations that might have prevented the damage to fiber infrastructure.

According to the Federal Communications Commission (FCC), fiber internet is currently available to only about 37% of Louisiana residents, with many areas still lacking sufficient connectivity and reliable service. These statistics underscore the imperative need for expanded broadband access to enhance digital equity throughout the state.

The delay in the rollout of BEAD funding largely stems from challenges in generating accurate maps that reflect current connectivity levels in various regions. These maps are crucial for federal funding approvals, leading to further complications in broadband expansion efforts.

During the COVID-19 pandemic, Cajun Broadband saw a surge in demand for reliable internet service, prompting a transition from fixed wireless services to fiber connectivity. The company has also engaged in community partnerships, providing free internet services to local centers to improve access to vital resources for underserved populations.

Given the emerging issues surrounding fiber internet expansion and the implications of funding changes, local officials and rural internet providers are actively advocating for federal funding restoration. They emphasize the need to fulfill the high-speed internet promise made to residents and ensure that everyone has access to reliable and fast internet services, which are becoming increasingly essential in today’s digital world.

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