Sen. Wicker, colleagues detail concerns regarding Treasury Department’s broadband rule in relation to COVID-19 funds

U.S. Sen. Roger Wicker (R-MS) recently joined 10 colleagues to express their concerns regarding the agency’s final rule for broadband infrastructure funding related to Coronavirus State and Local Recovery Funds.

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Wicker, ranking member of the Senate Committee on Commerce, Science and Transportation, and his colleagues forwarded correspondence to Department of Treasury Secretary Janet Yellen, urging her to ensure broadband funding focuses on unserved areas nationwide.

“We write to express our deep concern with the Treasury’s recently-announced final rule for the Coronavirus State and Local Fiscal Recovery Funds (SLFRF) as it relates to funding made available for broadband infrastructure,” the legislators wrote. “As you know, the authority provided by Congress to Treasury to make investments in broadband infrastructure was born out of the challenges posed by the pandemic, when much of daily life was forced online and when consumers lacking internet access faced even greater economic and personal hardship. We are profoundly disappointed that Treasury’s final rule lacks the proper guidance and constraints needed to ensure that federal funds are used efficiently and for their intended purpose.”

The lawmakers maintain the final SLFRF rule increases the risk of overbuilding existing broadband investments.

“The final rule eliminates a key requirement that eligible broadband projects provide service to unserved or underserved households or businesses that lack access to minimum speeds of 25 Mbps download/3 Mbps upload,” the legislators concluded. “Instead, recipients can invest in projects designed to serve locations with “an identified need for additional broadband infrastructure investment”—a vague and subjective standard. The rule also permits recipients to invest in projects regardless of whether there is an existing federal or state funding commitment.”