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          aCongressional
            *.Research Service






The Emergency Broadband Benefit:

Implementation and Future Policy Directions



February 23, 2021


The Consolidated Appropriations Act, 2021 (the Act) created the Emergency Broadband Benefit Program
(EBB). It subsidizes broadband service for eligible households-defined as those households that suffered
income loss during the pandemic or meet other need-based criteria specified in the Act, such as eligibility
for school lunch programs. Any broadband provider that had an established program that was widely
available as of April 1, 2020, and maintains verification processes that are sufficient to prevent fraud,
waste, and abuse may apply to participate in the program. The Act requires the Federal Communications
Commission  (FCC) to promulgate implementing regulations within 60 days of passage (by February 25,
2021).
EBB  is a temporary program funded by a congressional appropriation of $3.2 billion, available until
expended, or until six months after the current public health emergency declared by the Secretary of
Health and Human Services terminates. Even though the Appropriations Act construes EBB as a
temporary program, numerous advocacy organizations have used its passage to press for long-sought
policy reforms on behalf of low-income Americans via the FCC rulemaking process. Consumer advocates
have suggested that EBB might provide a template for a new approach to fulfilling the legislative mandate
for universal service-either through reform of the FCC's existing low-income connectivity assistance
program (known as Lifeline) or creation of a new permanent program to supplement or replace it.
EBB  as written in statute differs from Lifeline in its funding structure, benefits levels, and provider and
beneficiary eligibility requirements. The FCC funds Lifeline and other Universal Service Fund (USF)
programs through fees collected from telecommunication providers, rather than the congressional
appropriations process, as is the case with EBB. Therefore, the new program demonstrates an alternative
model of funding for these programs that some advocates support. For potential subscribers, EBB offers
broader eligibility provisions and significantly higher monthly subsidies to cover the cost of residential
broadband service-up to $50 in most cases, versus $9.25 under Lifeline, and provides discounts of up to
$100 for computing devices supplied by participating broadband providers. Finally, EBB expands
eligibility criteria for broadband providers and instructs the FCC to expedite review of new applications.
Eligible households may receive both Lifeline and EBB benefits simultaneously. (Participating providers
usually market Lifeline service as a free mobile data plan with usage caps rather than as a residential
broadband subsidy as envisioned under EBB.)
                                                                Congressional Research Service
                                                                  https://crsreports.congress.gov
                                                                                      IN11612

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