Treasury Announces Three Additional Capital Projects Fund Awards, Connecting Nearly 190,000 Homes and Businesses to Affordable, High-Speed Internet

Arizona, Tennessee, and Wyoming are approved to receive approximately $354.9 million under the American Rescue Plan and will connect nearly 190,000 homes and businesses to affordable, high-speed internet   

Over 1.4 million locations will be connected as a result of Capital Projects Fund investments 

WASHINGTON — Today, the U.S. Department of the Treasury announced the approval of high-speed internet projects in three additional states under the American Rescue Plan’s Capital Projects Fund in President Biden’s American Rescue Plan: Arizona, Tennessee, and Wyoming. Together, these states will use their funding to connect nearly 190,000 homes and businesses to affordable, high-speed internet. A key priority of the Capital Projects Fund program is to make funding available for reliable, affordable high-speed internet infrastructure, advancing President Biden’s goal of affordable, reliable, high-speed internet for everyone in America. 

The Capital Projects Fund (CPF) provides $10 billion to states, territories, freely associated states, and Tribal governments to fund critical capital projects that enable work, education, and health monitoring in response to the public health emergency. In addition to the $10 billion provided by the CPF, many governments are using a portion of their State and Local Fiscal Recovery Funds (SLFRF) toward meeting the Biden-Harris Administration’s goal of connecting every American household to affordable, reliable high-speed internet. Together, these American Rescue Plan programs and the Bipartisan Infrastructure Law are working in tandem to close the digital divide – deploying high-speed internet to those without access and lowering costs for those who cannot afford it. 

“The pandemic upended life as we knew it and exposed the stark inequity in access to affordable and reliable high-speed internet in communities across the country, including rural, Tribal, and other underrepresented communities,” said Deputy Secretary Wally Adeyemo. “This funding is a key piece of the Biden-Harris Administration’s historic investments to increase access to high-speed internet for millions of Americans and provide more opportunities to fully participate and compete in the 21st century economy.” 

“Today’s investment in Arizona increases connectivity across our state, ensuring everyday Arizonans have access to high-speed internet no matter where they live,” said Senator Kyrsten Sinema. “By closing the digital divide, we’re delivering real solutions to Arizonans as they gain meaningful careers, access needed health care services, continue their educations, and connect with loved ones they hold dear.”
 
In accordance with Treasury’s guidance, each state’s plan requires service providers to participate in the Federal Communications Commission’s (FCC) new Affordable Connectivity Program (ACP). The Affordable Connectivity Program, funded by President Biden’s Bipartisan Infrastructure Law, helps ensure that households can afford the high-speed internet they need for work, school, healthcare, and more by providing a discount of up to $30 per month (or up to $75 per eligible household on Tribal lands). Experts estimate that nearly 40% of U.S. households are eligible for the program. 
 
To further lower costs, President Biden and Vice President Harris announced the Administration had secured commitments from 20 leading internet service providers—covering more than 80% of the U.S. population—to offer all ACP-eligible households high-speed, high-quality internet plans for no more than $30 per month. As a result of this agreement and the ACP, eligible households can receive internet access at no cost and can check their eligibility and sign up at GetInternet.gov.
 
Treasury began announcing state awards in June of last year. To date, 33 states have been approved to invest approximately $4.85 billion of Capital Project Funds in affordable, reliable high-speed internet, which those states estimate will reach more than 1.4 million locations. Treasury will continue approving state and Tribal plans on a rolling basis. 
 
The following descriptions summarize the four state’s plans that Treasury approved today: 
 

• Arizona is approved to receive $99.4 million for high-speed internet infrastructure, which the state estimates will connect an estimated 127,807 households and businesses to high-speed internet access. Arizona’s award will fund the two high-speed internet infrastructure programs that aim to provide reliable internet access to areas of the state lacking adequate service. The Arizona Broadband Development Rural Infrastructure Grant program (ABDG-Rural) is a competitive grant program designed to expand high-speed broadband in the state’s thirteen rural counties. The Arizona Broadband Development Urban Infrastructure Grant program (ABDG-Urban) is a competitive grant program designed to improve and expand broadband infrastructure in the state’s two urban counties. Each of the internet service providers funded by the program will participate in the FCC’s Affordable Connectivity Program. The plan submitted to Treasury and being approved today represents 52% of the state’s total allocation under the Capital Project Funds program.  Arizona submitted plans for the remainder of their Capital Project Funds and these applications are currently under review by Treasury. 
   

• Tennessee is approved to receive $185 million for high-speed internet infrastructure, which the state estimates will connect an estimated 50,000 households and businesses to high-speed internet access. Tennessee’s award will fund two high-speed internet infrastructure programs that aim to provide reliable internet access in areas of the state lacking adequate service. Tennessee’s Last Mile Connection program is a competitive grant program designed to provide service to remote areas of the state where internet infrastructure projects would not be feasible without assistance. Tennessee’s Middle Mile Buildout Program is a competitive grant program designed to deploy middle mile infrastructure in rural areas of the state to improve and expand last mile connections. Each of the internet service providers funded by the program will participate in the FCC’s Affordable Connectivity Program. The plan submitted to Treasury and being approved today represents 86% of the state’s total allocation under the Capital Project Fund program. Tennessee submitted plans for the remainder of their Capital Project Funds and these applications are currently under review by Treasury. 
   
• Wyoming is approved to receive $70.5 million for high-speed internet infrastructure, which the state estimates will connect an estimated 11,700 households and businesses to high-speed internet access. Wyoming’s award will fund the Connect Wyoming grant program, a competitive grant program designed to fund last mile broadband infrastructure projects in areas throughout the state that currently lack access to internet at speeds of 100/20 Mbps to facilitate access to work, education, and health monitoring. Each of the internet service providers funded by the program will participate in the FCC’s Affordable Connectivity Program. The plan submitted to Treasury and being approved today represents 64% of the state’s total allocation under the CPF program. Wyoming submitted plans for the remainder of their CPF funds and these applications are currently under review by Treasury. 
   

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