After much debate and negotiation among progressive and moderate Democrats, the House voted late Friday (Nov. 5) to approve the $1.2 trillion Infrastructure Investment and Jobs Act bill (H.R. 3684) that includes tens of billions of dollars for broadband, including grants to all the states and territories and for middle mile and last mile connectivity.

There is also money for a broadband consumer disclosure labeling regime.

Although infrastructure investment has bipartisan support, the vote was along primarily party lines, but with some key Republican supporters. The vote was 228 to 206, with 215 Democrats voting yes, but six voting no. Two hundred Republicans voted no, and 13 voted yes. 

The Senate has already approved the bill, so the next stop is the President's desk.

Cable broadband operators are all for the government investment. NCTA has said the legislation addresses two critical challenges, "first, a focused effort to prioritize and build internet infrastructure in areas without service, and second, a stronger government program to help low-income Americans subscribe to and use this critical service," said NCTA president Michael Powell when the Senate passed the bill back in August.

Part of the deal struck by progressives, they have agreed to vote next week on the Build Back Better bill, which also includes more than a billion dollars for broadband.

"We are long overdue for improving our nation’s crumbling roads and bridges, modernizing our rail, and ensuring Americans have access to reliable, affordable internet," said Sen. Richard Blumenthal (D-Conn.).

“ACA Connects appreciates the U.S. House of Representatives’ work to address the broadband needs of consumers across the country. Our member companies, who provide broadband service to urban and rural customers in all 50 states, know just how vital broadband is," said ACAC president Matt Polka. “They have worked to upgrade and extend their networks to reach the unserved, and they have developed programs to connect in-need consumers. To that end, ACA Connects appreciates that the legislation targets deployment of funding in a technologically neutral way to where it is most needed -- to unserved and underserved areas -- with a robust challenge process to limit overbuilding, and dedicates funds to get low-income consumers connected, giving them the critical communications tools they need for school, work, and other day-to-day needs."

“This is a historic moment in broadband policy, demonstrating bipartisan agreement around a single idea: Universal, affordable broadband means a stronger future for communities across the country," said Kathryn de Wit, project director for Pew’s broadband access initiative. “The Infrastructure Investment and Jobs Act provides an unprecedented investment in broadband infrastructure, devices, digital literacy, and affordability and will accelerate America’s progress toward universal high-speed internet access. It continues Congress’ efforts to improve federal standards for speed, accountability, and equity in broadband. And, for the first time, Congress has empowered entities closest to the problem of insufficient and unaffordable broadband access—state and local governments—to solve it. Some of them have already made inroads."

“Today’s passage of the bipartisan infrastructure bill is a historic achievement and a win for the American people," said the Internet Innovation Alliance. "Greenlighting the largest investment in nearly a century in our nation’s physical infrastructure, including high-speed broadband, will accelerate social progress, encourage economic growth and ensure America’s ability to remain a global leader. IIA applauds the bill's inclusion of funds to close the digital divide, so the benefits of broadband can reach all Americans as quickly as possible.”

“The Infrastructure Investment and Jobs Act is a sweeping commitment to upgrade the physical and digital infrastructure that reinforces the United States’ economic competitiveness," said ITI president Jason Oxman. "These investments are critical in closing the digital divide and ensuring every American has access to broadband service, internet-connected devices, and digital literacy skills, which provide a foundation for participation in the 21st-century global economy and ensure U.S. companies continue to be global leaders in innovation. We look forward to partnering with government to implement this all-important legislation.”

USTelecom president Jonathan Spalter said the bill was imperfect but that, "on balance, [it] represented meaningful progress to advance America’s shared connectivity goals, adding: "At the end of the day, the best and highest purpose of this infrastructure funding is to augment private capital and ingenuity to finish the job of connecting every home, business, student, healthcare provider and innovator in the country. That’s exactly what we’re built to do."

Not joining in the applause was house Energy & Commerce Committee Ranking Member Cathy McMorris Rodgers (R-Wash.). She called the bill a "reckless tax and spending spree." 

"The Democrats’ radical agenda to spend a reckless amount of money will raise costs and make it even harder for people to build a better life," she said. 

Michael Powell, president of NCTA-The Internet & Television Association, is not happy with the Biden infrastructure plan's focus on subsidizing government-built broadband networks or potentially regulating the prices of private ones. He suggested the Biden has misdiagnosed the problem--which is getting broadband to where it isn't--and its remedy would roll back decades of successes.

Also Read: Biden Plan Pledges Universal Broadband By Decade's End

ISPs have long pushed for limits on government broadband buildouts that can wind up overbuilding existing service or end up with networks that can't support ongoing operations, leaving taxpayers to pick up the slack.

President Biden's just-announced, multi-trillion-dollar infrastructure plan includes $100 billion for universal, high-speed broadband subsidies targeted to cities and nonprofits combined with an effort to reduce the price of "overpriced" service from commercial ISPs, though just how that would happen is not clear.

In responding to the plan, Powell, former chairman of the FCC and a proponent of closing the digital divide as well, said that while the White House has elected to go big with broadband infrastructure, it was risking making a big "wrong turn" by "discarding decades of successful policy," which is subsidizing hard-to-reach and low-income residents so ISPs can continue to make the money that allows them to invest in build-outs and upgrades.

He said the Biden plan suggests that "the government is better suited than private-sector technologists to build and operate the internet."

Part of the problem, he said, is "mistakenly lumping in our successful modern digital networks with our decaying roads, bridges, waterways and electric grids." Powell has pointed out before that while infrastructure spending is mostly about fixing broken things, broadband networks aren't broken, but instead are continually upgraded.

"While we have seen repeated examples of traditional infrastructure failures in recent years, America’s broadband has been a reliable workhorse as millions of Americans have worked, learned and stayed connected from home during the pandemic," he said in a statement. "Simply put, the high caliber of our broadband networks kept millions of Americans safe and will continue to revolutionize work, healthcare, education and more."

Also Read: Powell on Broadband Subsidies: Spend Smart

Powell said government is needed get service where it is lacking, but that goal is not served by suggesting, without foundation, that the network is "ailing" or that the solution is to favor government-owned networks, micromanage private ones, or regulate prices, adding: "As every doctor knows, the crucial step to prescribing the right remedy is to make the right diagnosis."

FCC chairman Ajit Pai said he has begun the process of identifying broadband-buildout hampering regs, and will begin scrapping them once they are so identified.

In a speech Wednesday (March 15) at Carnegie Mellon University in Pittsburgh, Pai also said he supports making broadband part of an infrastructure bill, but has definite ideas about how that money should be spent.

"I’ve instructed all of the commission’s bureaus to identify FCC rules that are raising the costs of broadband buildout," he said. "If the benefits of those rules don’t outweigh their costs, we’ll begin the process of repealing them.

"I believe that every American who wants to participate in our digital economy should be able to," he added. "Access to digital opportunity shouldn’t depend on who you are or where you’re from. Whether you live in Manhattan, New York, or Manhattan, Montana (population 1,520), we want you to be digitally empowered."

Pai early on signaled that broadband access and connectivity, particularly in rural areas, would be a priority under his chairmanship.

That digital participation was one of the four guiding principles Pai outlined, the others being the power of the Internet-based technology top create jobs, that the free market is key to investment and innovation, and that a "healthy respect" for that free market does not mean the government has no role. He said that government role includes protecting consumers, promoting public safety and freeing up more wireless spectrum.

Pai said he supports the President's vision for a major infrastructure upgrade bill, and added that it should include broadband, but said he had some advice on how the broadband investments should be made. One is that the money should be administered through the FCC's Universal Service Fund and two, Congress should include his proposal for Gigabit Opportunity Zones, where tax incentives would be provided for ISPs to supply high-speed broadband in low-income neighborhoods.

He said directing the money through the USF fund would help prevent waste, fraud and abuse, and that the FCC has the expertise already in place.