1.6 Million Texas Residents May Lose Internet Service When Federal Money Runs Out

Texas (KPEL News) -  During the COVID pandemic, we all realized how essential internet service is at home. We realized how many people didn't have broadband and struggled to keep up professionally and academically. The federal government set out to address the issue in a couple of ways for residents in Texas and states across the country, in part, by allocating a whole bunch of money to the problem through the Affordable Connectivity Program (ACP).

More than 1.6 million Texas internet customers may lose service when the federal money runs out.

WHAT IS ACP?

In 2021, the federal government allocated more than $14 billion in funding available to low income households so they could connect for school, work, and healthcare. The program provided $30 per month to qualifying families and $75 per month if they lived on Tribal lands. ACP also offered a one-time discount of $100 to purchase a computer or tablet.

The FCC originally anticipated that ACP funding would be available for roughly 5 years, but the overwhelming number of people signing on depleted that amount quicker.

Texas has the fourth largest number of households participating in ACP at 1,666,632. To continue the subsidy program for another 12 months would cost nearly $600 million just for Texas residents.

WHY WOULD RESIDENTS LOSE INTERNET SERVICE?

The majority of broadband providers who provide service in the state of Texas created plans that allowed customers to hook up to the internet for $30 per month which equaled the amount of the subsidy. Those folks, who likely had incomes at or below 200% of the poverty level, were able to access internet at their homes.

When the benefit goes away, they may not be able to afford to keep their service.

ARE THERE OTHER OPTIONS FOR CUSTOMERS WHO ARE LOSING ACP?

If a Texas resident is participating with ACP and will lose it, they could simply pay the bill going forward. The FCC suggests talking to the broadband provider about available plans that they can afford and shopping providers to check prices.

The FCC does offer a program called Lifeline, but the eligibility requirements are more stringent than for ACP.

Also, the benefit is substantially less at $9.25 per month.

ELIGIBILITY FOR LIFELINE

• Participation in Federal Assistance Programs:
  Medicaid
  SNAP
  SSI
  Federal Public Housing Assistance
  Veterans Pension/Survivor Benefit
• Household income at or below 135% of the Federal Poverty Guidelines

Texas residents who participate in the Affordable Connectivity Program should decide now before the program ends in April 2024. The FCC has offered information and resources to help the 20 million Americans, 1.6 million of which are in Texas, "wind-down" with ACP.