BPD

(BPD) — The Commonwealth of the Northern Mariana Islands Broadband Policy and Development Office acknowledges the recent notification from the National Telecommunications and Information Administration regarding the termination of the Digital Equity Capacity Grant award totaling $2.1 million. This decision follows a determination by President Donald Trump and Commerce Secretary Howard Lutnick that the Digital Equity Capacity Program, under which the grant was issued, is unconstitutional due to concerns about impermissible racial preferences in grant administration.

The CNMI BPD fully understands and respects the concerns raised by President Trump and Secretary Lutnick regarding the constitutionality of the Digital Equity Capacity Program. We acknowledge the rationale behind this decision and agree that any program with potential impermissible racial preferences must be carefully reviewed. Our commitment remains unwavering: to pursue digital equity initiatives that are inclusive, constitutionally sound, and benefit every resident of the CNMI equally.

From the outset of our engagement with NTIA, the CNMI has consistently advocated for digital equity — meaning equal opportunity for every resident of Saipan, Tinian, Rota, and the Northern Islands, without exclusion or classification based on race or any other factor. Our Digital Equity 5- Year Plan prioritizes all residents as rural inhabitants under NTIA’s definitions, ensuring a constitutionally sound and inclusive approach.

While we respect and understand the reasons behind this termination, we remain focused on bridging the digital divide in the CNMI through lawful and effective initiatives. In anticipation of potential legal scrutiny, BPD had already recognized that the Digital Equity Capacity Grant awarded in December 2024 could be subject to review this year — so this outcome was not a surprise.

We have already submitted a letter to the U.S. Department of Commerce suggesting that these funds be redirected to universal programs that align with the Trump Administration’s priorities and were part of our original plans, including:

• Workforce Development in Emerging Technologies: Training all CNMI residents for careers in AI, cybersecurity, and other in-demand digital fields.

• Universal Digital Literacy Initiatives: Equipping every resident with essential digital skills.

• Broadband Access Expansion: Strengthening infrastructure to provide affordable, reliable broadband service to all communities.

Importantly, this termination does not affect the $81 million awarded to CNMI under the NTIA’s Broadband Equity, Access, and Deployment or BEAD program. As previously reported, we do not anticipate any issues with BEAD funding. We expect only regulatory adjustments over the next month, which will not impact our robust plans or timelines.

The BPD is 100% federally funded and has secured six federal grants in the last two years — totaling over $100 million. This unprecedented investment demonstrates strong confidence in our capacity to deliver high-impact broadband solutions for our islands.

The CNMI Broadband Policy and Development Office remains fully dedicated to advancing high- speed broadband access across the islands — a foundation for education, healthcare, economic growth, and government services. We continue to work closely with federal partners to ensure equitable broadband opportunities for all our residents.

We thank NTIA for its constructive engagement throughout this process and look forward to guiding future efforts that are constitutional and transformative for our entire community.

About BPD

Established in April 2023, the CNMI Broadband Policy and Development Office’s mission is to develop and implement a comprehensive broadband plan that ensures affordable, high-speed internet access for every resident of the CNMI. Broadband is essential infrastructure for economic development and social progress.

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