Senator Cruz asks NTIA to stop the Digital Equity Competitive Grant Program due to remove race-based grant criteria

Senator Cruz sent a letter to the NTIA urging them to stop the digital equity funding because of priority on serving “individuals who are members of a racial or ethnic minority group” as criteria in grant applications for the Digital Equity Competitive Grant Program.

The National Telecommunications and Information Administration (NTIA) is expected to soon begin distributing $1.25 billion in grants to nonprofits under the “Digital Equity Competitive Grant Program” (Program) “to support efforts to achieve digital equity, promote digital inclusion activities, and spur greater adoption of broadband among Covered Populations.”1 The Program’s Notice of Funding Opportunity (NOFO) establishes that applicants must use the funding to serve members of “Covered Populations,” defined to include “individuals who are members of a racial or ethnic minority group.”2 This instruction makes clear that NTIA will consider the race of the Program’s beneficiaries when issuing grant awards, in violation of the Fifth Amendment to the Constitution. As the Ranking Member of the United States Senate Committee on Commerce, Science, and Transportation, which oversees NTIA, I urge you to withdraw the unlawful NOFO and halt issuing Program grants before you cause real harm.

The NOFO makes clear NTIA will consider race in awarding grants under the Program. It explains the Program’s goal is to “spur greater adoption and meaningful use of broadband among the Covered Populations.”3 Therefore, entities that receive grants must establish they will use those funds for activities benefitting “Covered Populations,”4 including “to develop and implement digital inclusion activities that benefit one or more of the Covered Populations,” “to implement training programs for Covered Populations,” and “to construct, upgrade, expand or operate new or existing public access computing centers for Covered Populations.”5 The NOFO requires applicants to identify “the Covered Populations to be served including the expected number of individuals to be served within each Covered Population” and “the amount of funding to be devoted proportionally to each Covered Population.”6 And so the NTIA can measure their performance, recipients must collect information regarding “the Covered Populations being served,” “the total number of individuals being served,” and “the number of individuals that belong to each Covered Population.”7 The NOFO further states that “in assessing applications, the Assistant Secretary will consider, to the extent practicable, whether the proposed program will increase Internet access and the adoption of broadband among Covered Populations.”8 Moreover, when evaluating applications, NTIA will seek to “ensure that all Covered Populations are being served” and can aim “to balance the Covered Populations being served.”9 The problem is that the term “Covered Populations” is defined to include “individuals who are members of a racial or ethnic minority group.”10 Therefore, in issuing grants pursuant to the NOFO, NTIA will consider whether the award will benefit members of a certain race, in violation of the Fifth Amendment.

The federal government is forbidden from engaging in impermissible race-based discrimination under the equal protection component of the Fifth Amendment’s Due Process Clause.11 “When the government distributes burdens or benefits on the basis of racial classifications, that action is reviewed under strict scrutiny,” meaning that to pass muster, the program be “‘narrowly tailored’ to achieve a ‘compelling’ government interest.”12

NTIA Receives More Than 700 Applications Seeking Over $6.5 Billion for Digital Equity Projects

From NTIA (National Telecommunications and Information Administration)…

The Department of Commerce’s National Telecommunications and Information Administration (NTIA) announced today that it received more than 700 applications requesting more than $6.5 billion in funding to support digital equity projects across the country.

That is more than six times the available amount from the first round of the Digital Equity Act’s Competitive Grant Program funding.

“The overwhelming interest in our digital equity funding underscores the urgent need for access to digital resources in communities across the country,” said Assistant Secretary of Commerce for Communications and Information and NTIA Administrator Alan Davidson. “Thanks to historic funding from the Biden-Harris Administration’s Bipartisan Infrastructure Law, our program will help veterans, communities of color, older Americans and other historically underserved populations thrive in the digital world.”

The first round of funding from the Digital Equity Competitive Grant Program makes nearly $1 billion available to organizations that will work to ensure communities have access to devices and skills needed to fully participate in the digital ecosystem.

NTIA is evaluating the applications and will begin making awards on a rolling basis this winter. This Digital Equity Competitive Grant Program funding opportunity includes funds appropriated for Fiscal Years 2022-2025.

The overall $1.25 billion Competitive Grant Program is part of the Biden-Harris Administration’s “Internet for All” initiative. Additional funding opportunities from the program will be available in the future. The Competitive Grant Program complements the $1.44 billion State Digital Equity Capacity Grant Program.

Applications for this first round of funding were due September 23, 2024. Eligible applicants include political subdivisions of states, such as city and county governments; Native entities including Indian Tribes, Alaska Native entities, or Native Hawaiian organizations; certain nonprofits; community anchor institutions; local educational agencies; and workforce development organizations. United States Territories are eligible to apply for funding under a separate set-aside.

About the Digital Equity Act  

As part of the Bipartisan Infrastructure Law, the Digital Equity Act provides $2.75 billion to establish three grant programs that promote digital equity and inclusion.

In 2022, NTIA began awarding $60 million to states, D.C., and territories from the State Digital Equity Planning Grant Program. Since then, all 56 eligible entities (states, D.C., and U.S. territories) submitted their Digital Equity Plans and NTIA has accepted all plans.

In March 2024, NTIA made available over $800 million to states, D.C. and territories, and Native entities to apply for funding from the $1.44 billion State Digital Equity Capacity Grant Program. This funding allows states and territories to begin implementation of their digital equity plans and allows Native entities to create digital equity plans and other digital equity projects. NTIA will continue to announce awards from the State Capacity Grant Program on a rolling basis.

OPPORTUNITY: NTIA Digital Equity Competitive Grant Program Notice of Funding Opportunity

Advice and resources from the NTIA…

On July 24th NTIA launched our Digital Equity Competitive Grant Program Notice of Funding Opportunity. A wide variety of applicants will apply for part of nearly $1 billion to fund digital equity efforts in their communities. The application window will be open for 60 days and close on September 23, 2024 at 11:59 PM ET. Complete, territory-wide applications from the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands must be received no later than 11:50 PM ET on October 22, 2024. As applicants work on their applications, it is critical to keep in mind the importance of sustainable project planning and meaningful change.

 

Measurable Impact and Meaningful Change

Meaningful change can create a lasting, measurable impact that resonates for years to come.

Successful Digital Equity Projects should be designed with both the present and future in mind, ensuring that the benefits extend well beyond the initial grant period. These projects must focus on Covered Populations – those most impacted by the digital divide. By addressing the needs of those who are often left behind, we create stronger, more connected communities where everyone has the opportunity to participate and succeed.

 

Bridging the Digital Divide with Long-Term Solutions

Imagine the digital divide as a vast canyon, with the digital economy thriving on one side and marginalized or underserved populations on the other. Crossing this canyon isn’t simply a matter of desire or effort; there are barriers like the expense of high-speed Internet service, inadequate digital literacy training, or restrictive policies that prevent many from making the journey. While there are some who may find a way across this gap, applications for this program should focus on those who cannot.

Effective projects should address the root causes of these barriers with sustainable, long-lasting solutions. Take these two hypothetical proposals for example:

  • A short-term project may suggest subsidizing Internet access for underserved community members who otherwise cannot afford it. This may solve an immediate need to get people online, but once funding runs out, the community must explore new opportunities.
  • A long-term project, on the other hand, might propose a device distribution initiative coupled with digital skills programs tailored to the specific needs of the community. By emphasizing a targeted approach that empowers individuals with lifelong skills they need to fully participate in the digital economy, this approach helps prevent communities from falling back into digital exclusion by promoting long-term resilience and opportunity. This long-term project offers sustainable, holistic solutions that build capacity within the community, compared to the short-term project, which provides only a temporary fix without addressing underlying issues.

 

Regardless of applicant size, capacity, or experience, it is critical to include measures that address systemic issues Covered Populations face when trying to access the digital world. This may look different for each Covered Population, especially for those who identify with more than one Covered Population.

Applications should be forward-looking while addressing the needs of Covered Populations and communities now. This may mean working with Covered Population community stakeholders, whether through partnership applications or other forms of collaboration to ensure buy-in for long-lasting impact.

 

A Once-in-a-Generation Investment

This is our generation’s big moment to close the digital divide and equip those most impacted by it with the tools they need to thrive in the modern digital economy.

Strong applications will be built on sustainable, long-term solutions that address the unique needs and intersections of Covered Populations, while also fostering inclusion and belonging.

This blog kicks off our three-part “Stronger Together” Digital Equity blog series, which prepares potential applicants to apply to the Digital Equity Competitive Program. Stay tuned for our next blog, which will focus on the importance of measurable objectives in Digital Equity Competitive Grant Program applications. Continue to visit NTIA.Gov and our Get Ready Page for additional details.

 

Additional Resources:

As part of the Biden-Harris Administration’s Internet for All initiative, there are a variety of resources you can use to create data-driven applications.

If those resources do not provide the information you need, you can reach out to NTIA at DigitalEquity@NTIA.gov

OPPORTUNITY: PCs for People is looking for partners

I am delighted to share this opportunity from PCs for People, who have partnered with Blandin Foundation in the past with Blandin Broadband Communities and Minnesota Intelligent Rural Communities…

PCs for People has the opportunity to apply for the NTIA Digital Equity Competitive Grant which would allow us to distribute even more devices to our partners and their clients over the next four years. I am reaching out to gauge your interest in further collaborating with us.

If awarded this grant, we would be able to provide our BEST category laptops for $87.50 each and/or hotspots for $30 with 3 months of service at no cost to your clients. We would need a letter of support (more info to come on this) and an estimate of how many devices you would purchase over the next four years at the above costs.

Per the stipulations of the grant, the devices would need to go to “covered populations” which are defined as:

– Households with income from the most recently completed year of not more than 150% of the federal poverty level (FPL);

– Aging individuals;

– Incarcerated individuals, other than individuals who are incarcerated in a Federal correctional facility;

– Veterans;

– Individuals with disabilities;

– Individuals with a language barrier, including English learners and those with low levels of literacy;

– Individuals who are members of a racial or ethnic minority group; and/or

– Individuals who primarily reside in a rural area.

With a tight turn around deadline of September 23 and a variety of moving pieces, time is of the essence!

Please let me know if you’re interested in further discussing this opportunity for both our organizations to help bridge the digital divide.

If you are interested, please contact Kira Welle kwelle@pcsforpeople.org or 651-354-2552.

NTIA: Upcoming Webinars on the Digital Equity Competitive Grant Program

From the NTIA…

Events | BroadbandUSA (ntia.gov)

Digital Equity Competitive Grant Program Resource Page (For FAQs, the application packet, etc.)

Digital Equity Competitive Grant NOFO

Digital Equity Grants 101 Webinar

Wednesday, August 7, 2024 – 2:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It is geared towards those who have little to no experience with federal grants administration an introduction to the grants lifecycle and important roles and responsibilities throughout the life cycle of the grant.

Digital Equity Competitive Application Webinar, Part 1: Standard Forms

Thursday, August 8, 2024 – 3:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It will focus on standard forms.

Digital Equity Competitive Application Webinar, Part 2: Registration, Partnerships, LOCs

Wednesday, August 14, 2024 – 2:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It will focus on registration, partnerships, and Letters of Commitment.

Digital Equity Competitive Application Webinar, Part 3: Project Narrative

Thursday, August 15, 2024 – 3:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It will focus on the elements required for the project narrative.

Digital Equity Competitive Application Webinar, Part 4: Plans (Risk, Etc.)

Wednesday, August 21, 2024 – 2:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It will focus on required plan components of the application.

Digital Equity Competitive Application Webinar, Part 5: Consolidated Budget Form

Thursday, August 22, 2024 – 2:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It will focus on the consolidated budget form.

Digital Equity Competitive Application Webinar: Troubleshooting the NGP

Wednesday, September 4, 2024 – 2:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. This time will be dedicated to providing potential applicants with tech support for the NTIA Grants Portal (NGP).

Digital Equity Competitive Application Webinar: Digital Equity Competitive Grant Program FAQ Webinar

Tuesday, September 10, 2024 – 3:00 PM CST

This webinar is meant to provide guidance to applicants for the Digital Equity Competitive Application Grant. It will cover the latest published Frequently Asked Questions (FAQs) regarding the Digital Equity Competitive Grant Program.

Missed one of our previous webinars? Review past PowerPoint presentations and webinar recordings.

Please direct questions to: DigitalEquity@NTIA.gov

They will be archived: Past Events | BroadbandUSA (doc.gov)