- NTIA today announced that states can conduct a second BEAD funding round to pick-up additional unserved locations
- NTIA spent several months getting feedback about what to do with these funds
- Most states will consider today’s news a win-win so that more money can be spent on broadband deployments.
Finally, the National Telecommunications and Information Administration (NTIA) has decided what to do with the remaining Broadband Equity, Access, and Deployment (BEAD) funds. Congress originally allocated $42.5 billion toward BEAD. But after Trump modified the program, and NTIA recently approved the BEAD final proposals of all 56 states and territories, there remains about $21 billion in left-over funds.
We have been calling these left-over monies “non-deployment funds.” But that term is no longer appropriate because NTIA says it will allow states and territories to conduct a new round of funding to use these monies for further broadband deployment.
The funds can be applied toward newly identified unserved locations that were not previously included in the FCC’s broadband map, as well as other locations that have become eligible as a result of defaults or changes in previous federal and state broadband programs.
“Congress designed the BEAD program to be the final federal broadband deployment program, ensuring universal broadband availability for America,” said NTIA Administrator Arielle Roth. “Thanks to Secretary Lutnick’s Benefit of the Bargain reforms, NTIA achieved $21 billion in savings, which we can now use to address newly identified locations that may lack service. Through this targeted use of funding, we are ensuring that we close the digital divide once and for all while also protecting taxpayer dollars.”
NTIA has spent several months soliciting public input about how to best use the BEAD left-over monies. “One consistent theme emerged: the need to connect locations that were identified after the submission of eligible entities’ final proposals,” stated NTIA today.
NTIA made its announcement in Alaska where Senator Dan Sullivan (R-AK) said NTIA’s determination will make about 5,000 more locations in Alaska eligible for broadband funding.
The Fiber Broadband Association (FBA) issued a statement saying, “NTIA’s decision to prioritize a cleanup round aimed at reaching locations that still lack reliable broadband service should be applauded. States and territories will play the leading role in executing this effort. The broadband offices understand their communities, the locations that remain unserved, and the practical challenges involved in reaching them.”
Senator Deb Fischer (R-NE) posted on X, “The BEAD program is essential to getting all of Nebraska connected to broadband. I’m thankful NTIA answered our call to make additional funding available to serve unconnected locations. We need to keep these funds working for Nebraskans, and I will be working hard to allow unobligated BEAD funding to be utilized for other critical purposes like precision ag technologies.”
In Nebraska’s case, only around $44.5 million of its BEAD allocation was spent, leaving approximately $340 million in left-over funds.
NTIA's awkward situation
Originally, Congress said that BEAD non-deployment funds should be used for such things as expanding telehealth, beefing up the digital workforce and improving digital skills. But most of those things are anathema to the Trump administration.
After the administration revised the rules to BEAD in June 2025 to favor cheap satellite technology over more expensive fiber broadband, it became apparent that there was going to be a lot more left-over money in the program than anyone ever anticipated.
Then NTIA was put in the awkward position of deciding what to do with $21 billion in funds that Congress had specifically allocated to close the digital divide. It was a bad look to have this much money sitting in a slush fund. NTIA has taken months to make a decision and missed its self-imposed deadlines more than once.
Most states will consider today’s news a win-win so that more money can be spent on actual broadband deployments.
Read more about BEAD
A $20B fight looms over BEAD non-deployment funds
NTIA chief says 2 states have deployed BEAD dollars – but not for fiber
Cost overruns are the biggest concern for BEAD winners now
NTIA signs off on Illinois BEAD final proposal — the last of 56 proposals