Phyllis Jackson, a retired administrative assistant in Monroeville, Pennsylvania, cherishes her time spent online. Whether she’s looking up recipes, practicing for her line dance group, or watching YouTube videos, the internet serves as her companion, making her feel less lonely. Jackson, like many others, initially gained access to the internet through the Affordable Connectivity Program (ACP), a fund established during the pandemic to help low-income households afford internet services by providing $30 to $75 a month.
However, in May, the $14.2 billion program came to an end, leaving Jackson and 23 million households facing an increase in their internet bills. Some households, about 13% of ACP subscribers, even considered canceling their service after the program’s termination. The ACP was a significant step towards addressing the digital divide by focusing on making internet services more affordable, as opposed to just expanding broadband infrastructure, which has been the primary focus of federal spending in the past.
For many ACP users, the end of the program meant adjusting their budgets to accommodate the increased internet costs. Serena Salisbury, one of the recipients who signed up during the pandemic, had to cut back on household items and electricity expenses to continue affording the internet. Similarly, Kathleen Wain, a resident of Bryson City raising two grandchildren, found that the ACP provided her family with some financial flexibility, which they will now have to forego.
The sudden end of the ACP has forced many local organizations to revert to pandemic-era strategies to keep people connected. While some internet service providers continued providing discounts even after the program’s expiration, the lack of federal funding has left many in limbo. Efforts to secure an extension for the ACP have faced challenges, despite the program’s popularity among voters.
The economic impact of the ACP’s termination is estimated to be significant, with billions in lost savings across various sectors. Proponents argue that the program essentially pays for itself, as it contributes to the nation’s gross domestic product and supports work opportunities, telehealth savings, and student benefits. The end of the ACP could also jeopardize other programs, like the Broadband Equity Access and Deployment (BEAD) program, which relies on affordability support to drive investments in deployment.
While there are existing low-income internet resources available, the absence of the ACP has left many in search of alternatives. Efforts to secure funding for an extension of the program remain uncertain, with various bills sitting in Congress awaiting approval. The future of affordable internet access for millions of Americans hangs in the balance as policymakers grapple with addressing the digital divide.
