The proposed rule defines broadband infrastructure as cables, fiber optics, wiring or other permanent infrastructure, including wireless, as long as the installation results in broadband infrastructure in each dwelling unit meeting the current Federal Communications Commission (FCC or Commission) definition of 25 Mbps down and 3 Mbps up, regardless of whether any Internet Service Provider offers such access in a given area. HUD also specifies that when the FCC updates its speed definitions, the HUD rule would update to reflect the Commission's new rules. While the rules seeks to provide flexibility and technology neutrality to maximize what these housing developments can include in their units, companies should consider in their plans what technologies will accommodate increasing speeds over time.

HUD's proposed rule would require the installation of broadband infrastructure at the time of new construction or substantial rehabilitation for the following programs: Choice Neighborhoods, Community Development Block Grant, Continuum of Care, HOME Investment Partnerships, Housing Opportunities for Persons with AIDs, Housing Trust Fund, Project-Based Voucher, Public Housing Capital Fund, Section 8, and Supportive Housing for Elderly and Persons with Disabilities. This excludes rental housing that only has a mortgage insured by HUD's Federal Housing Administration or those operating under a HUD loan guarantee program. While the rules also will not require that the housing properties provide a regular subscription to broadband service to current and future residents, entities may want to think about how to promote broadband adoption among residents living in HUD-financed units who may not be a traditional broadband user, aligning with the ConnectHome and Presidential initiative to connect more Americans to high-speed broadband. Alternatively, both K-12 and adult education students will need robust enough access to be able to do their homework at home and access distance learning programs. Again, companies will need to consider what technologies and speeds are appropriate for bandwidth-heavy use.

According to the Federal Register notice, HUD considers the installation of broadband infrastructure to be common practice and is simply proposing to codify the industry standard of including broadband infrastructure into new builds and retrofits. However, HUD acknowledges there may be instances where installation of broadband infrastructure is infeasible due to cost, location or structural concerns and will require program recipients to maintain documentation justifying the recipient's determination of infeasibility. Acknowledging that not all construction is created equal, some projects, whether new or an upgrade, may not be conducive for a single solution. There may also be environmental considerations on retrofitting older buildings.

As discussed above, HUD is seeking public comment on applying this proposed rule to other HUD programs including single family housing, the proposed definition of substantial rehabilitation, the cost to add the installation of broadband to pre-planned new construction or rehabilitation projects, the most cost-effective way to install broadband infrastructure during new construction or a rehabilitation project, and the infeasibility exception. With broadband technology advancing rapidly and 5G on the horizon, companies may want consider how to plan for these new rules and to share their experiences with HUD so HUD can adopt rules which account for such a dynamic landscape and ensure residents will have the seamless connections needed to reap the benefits of broadband.

Comments are due on July 18.

This announcement builds on the successes of ConnectED, the White House effort with the Department of Education and Federal Communications Commission (FCC) which brings broadband access to 20 million K-12 classrooms and libraries, and ConnectHome, the White House effort with the Department of Housing and Urban Development (HUD), which brings 28 communities together to ensure kids living in public housing have reliable access to get online and do their homework. ConnectALL integrates these efforts into a comprehensive approach to making broadband available and accessible to all Americans by:

Submitting Formal Recommendations to the FCC Proceeding on Modernizing Lifeline

Under ConnectALL, the Department of Commerce's National Telecommunication & Information Administration (NTIA) submitted formal recommendations, on the Administration's behalf, to the FCC on modernizing the Universal Service Lifeline program. NTIA recommended that the FCC maintain support for affordable voice service and create a process to periodically assess and calibrate the Lifeline subsidy, noting that $9.25 may not be adequate to foster the zero-to-low cost options that will encourage the level of adoption required to bridge the digital divide. NTIA also argued that the FCC should further examine costs and benefits before imposing minimum service standards for broadband, stating that Lifeline consumers should have the ability to use their subsidy to purchase the broadband services that meet their needs.

Releasing a Study on the Economic Benefits of Broadband

The Council of Economic Advisors (CEA) released a new study on the economic importance of broadband. Building on data from the Department of Commerce's 2014 American Community Survey and CEA's prior research, the study highlights the progress made in connecting Americans to broadband while noting a significant digital divide. The study finds while 75% of American households subscribe to an internet connection, under half of households in the bottom income quintile use the Internet at home compared to 95% of households in the top income quintile. The study also highlights that broadband can improve labor market outcomes, increase economic growth, provide access to better health care and enhance civic participation. Addressing the digital divide will require a focus on affordability through policies that promote competition, access to devices and digital literacy.

Increasing Access to Digital Literacy Training and Devices

The Corporation for National and Community Service and the Institute of Museum and Library Services are launching a Digital Literacy Pilot Project. AmeriCorps VISTA members will support libraries, museums and community organizations located in tribal and rural areas to build capacity and enhance existing digital literacy training.

To increase access to devices, the General Services Administration (GSA) is re-engineering its Computers for Learning Program, which provides surplus federal computer equipment to schools and libraries. GSA will expand Computers for Learning to more organizations providing digital literacy training for low-income Americans.

Empowering Communities to Accelerate Broadband Planning

In yesterday's blog post, I discussed NTIA's Community Connectivity Initiative, designed to help local communities accelerate local broadband planning efforts. The White House announcement highlights those organizations who are partnering with NTIA's BroadbandUSA to help develop and design the Community Connectivity Initiative:

American Library Association; Blandin Foundation; ConnectME Authority; EveryoneOn; ICMA, The International City/County Management Association; National Association of Counties; National Association of Telecommunications Officers and Advisors; National Digital Inclusion Alliance; National League of Cities; New America's Open Technology Institute; Next Century Cities; NTCA-The Rural Broadband Association; Schools, Health and Libraries Broadband Coalition; and US Ignite

Additionally, the initial communities supporting the effort are:

Ammon, ID; Arvada, CO; Baltimore, MD; Bettendorf, IA; Boston, MA; Charlotte, NC; Greenbelt, MD ; Hopewell, VA.; Hot Springs, AK.; Hurst, TX; Kansas City, MO.; Kenmore, WA; Lenexa, KS.; Oak Harbor, WA; Putnam, CT; SeaTac, WA; Red Wing, MN; Sammamish, WA; and Seattle, WA.

This initiative is designed as a public-private partnership. Any private sector entities interested in participating should plan to attend the half-day workshop on March 22 in Seattle, Washington or alternatively, either of the webinars scheduled for March 24 and April 12.

Choice Neighborhoods is HUD's signature place-based initiative designed to address struggling neighborhoods with distressed public housing and/or HUD-assisted housing through a comprehensive approach to neighborhood transformation. Community leaders, residents and stakeholders—including public housing authorities, cities, schools, police, business owners, nonprofits and private developers—work together to create a plan to transform distressed HUD housing while addressing the challenges in the surrounding neighborhood. Broadband is a key element in rebuilding communities, expanding learning opportunities, creating opportunities for jobs, and providing access to healthcare.

The four three-year Planning and Action Grants, available for $2 million each, demonstrate a commitment to "doing while planning." Under the Choice Neighborhoods grant, the planning process activities occur under the first 24 months, which identifies Action Activities that will be carried out during the last 12 months. Action Activities are physical improvement, community development and economic development projects that enhance and accelerate neighborhood transformations. Neighborhood broadband and W-Fi are specifically named as Action Activities. The four applicants that score highest will each receive a $2 million grant, while the next highest scoring applicants will receive one of four $500,000 Planning Grants.

Choice Neighborhoods requires applicant to develop and implement a neighborhood revitalization strategy that seeks to replace distressed public and assisted housing with high-quality mixed income housing, improve educational outcomes and intergenerational mobility for youth, and create the conditions necessary for public and private reinvestment in distressed neighborhoods. Applicants must focus on the revitalization of at least one severely distressed public and/or HUD-assisted housing project.

While private sector entities are not eligible to apply, Public Housing Authorities, local governments, tribal entities and non-profit organization are eligible. For companies interested in taking advantage of this program, we encourage you to partner with one or more of the eligible entities to provide community Wi-Fi and take advantage of this opportunity.

Applications are due February 9.

For more information on Choice Neighborhoods, ConnectHome, or the Broadband Opportunities Council, please contact Jennifer Holtz at [email protected]