New Hampshire loses $4.9 million digital equity grant Trump calls a ‘woke handout’
CONCORD, NH – A $4.9 million federal grant that aimed to ensure low-income, aging and veteran state residents get the digital literacy resources to access jobs, health care and education has been paused after President Trump called it a “woke handout based on race” on social media.
New Hampshire’s $4.9 million Digital Equity Capacity Fund plan was approved by the federal government in November. It’s part of a $2.75 billion program included in the $1 trillion 2021 Bipartisan Infrastructure Law that aims to close the digital literacy gap among underserved populations that is considered one of final barriers to full broadband access – if people don’t know how to use the internet and digital tools that are increasingly required of them, then broadband access is not working for them.
The state Department of Business and Economic Affairs said Tuesday the “pause” in funding the grant won’t affect New Hampshire’s broadband buildout.
“This pause will not impact the state’s goal of reaching 100% access to high-speed internet and we are still on target for that by 2027,” BEA Broadband Program Manager Matt Conserva said in response to an email inquiry from Ink Link.
Nationally, supporters of the program said Trump’s declaration that it’s “unconstitutional” and that ending it will save “billions of dollars,” is wrong. In actuality, they said, it will cost individuals and families money, health care, jobs and more.
“The Digital Equity Act is constitutional, on solid legal footing, and aims to ensure everyone in America can reap the benefits of the 21st Century’s infrastructure of opportunity: broadband,” the Benton Institute for Broadband and Society said on its website in response to Trump.
Aside from racial and ethnic minorities, the act lists “covered populations” as low-income households, “aging individuals,” veterans and people with disabilities. The money doesn’t go to the people themselves, but to nonprofits or government institutions that can provide approved digital literacy programs.
The National Telecommunications and Information Administration Friday notified BEA’s Office of Broadband Initiatives that the fund was paused, effective immediately.
“This pause affects a specific federal assignment of $4.9 million to New Hampshire intended to enhance broadband access and digital literacy for underserved populations,” BEA told Ink Link . “These funds had not yet been received by the state and do not impact BEA’s broadband buildout.”
BEA coordinated the multiyear plan in partnership with UNH Cooperative Extension, the National Collaborative for Digital Equity, and METRO’s Digital Equity Research Center.
NH officials lauded plan approval
States, when applying for DEA grants, had to identify barriers to digital equity faced by covered populations in the state, explain how those barriers were measured, and assess what impact the objectives of the act would help a state’s economic, workforce development, education, civic, social, and health care goals, plans, and outcomes.
When New Hampshire’s plan was approved in November, BEA Commissioner Taylor Caswell said the plan was complement to the state’s broadband buildout to more than 50,000 addresses in unserved and underserved areas of the state.
Caswell said the plan would provide New Hampshire residents with access to education, training, and equipment to use the internet “for everything from commerce and education to health care and other resources now accessible via computer.”
The state’s 2024 Digital Equity Plan, said, “Although a vast majority of New Hampshire residents already have access to high-speed internet (93%), and the state is amidst additional buildout to reach 100% access to broadband, many face unique challenges in getting connected. For example, over 81% of the state is forested, making it difficult to reach some rural locations in the North Country, Southwest, and Upper Valley regions with broadband and other essential services that rely on digital technologies”
The state’s population, including the large number of seniors “are often forced to adapt to more unfamiliar (and rapidly changing) technologies.”
It cited a statewide survey concerning digital equity that identified “the need for more affordable broadband services and access to devices capable of adapting to technological advancements and evolving work environments.”
The plan “provides a blueprint for the development of a statewide infrastructure of responsive technical assistance and pathways that help overcome these challenges and enable diverse populations to meaningfully participate in the digital economy.”
‘Risk being left behind’
The act’s sponsors say the foundation of the fund is that fact that “far too many individuals, many of whom are members of historically overlooked and underserved communities, lack the skills, technologies, and support needed to take advantage of the opportunities made available by a reliable broadband connection.
“Absent help, they are at risk of being left behind,” a DEA fact sheet says.
“Digital equity,” according to the act, means “the condition in which individuals and communities have the information technology capacity that is needed for full participation in the society and economy of the United States.”
The money is granted to states, which in turn partner with community anchor institutions – schools, libraries, medical or health care providers, community colleges or any nonprofit or governmental community support program that could provide digital literacy resources and support to those who need it.
It specifically names individuals who live in households that make 150% or less of the poverty guideline income; aging individuals; veterans; people with disabilities; people with a language barrier, including English learners as well as those with a low literacy level; people who live in rural areas; members of a racial or ethnic minority; and incarcerated individuals who are not in a federal prison.
It also provides support for “socially and economically disadvantaged” small businesses that need to hone digital skills.
The act also includes language from the Civil Rights Act of 1964 that’s been included in most government funding bills over the past 60 years: A nondiscrimination clause that says individuals can not be excluded “on the basis of actual or perceived race, color, religion, national origin, sex, gender identity, sexual orientation, age, or disability.”
‘Absolutely insane’
Trump on Thursday posted on social media that the fund was “racist” and “totally unconstitutional” and that it would end “Immediately.” Notices went out the next day to the BEA, and all other states and institutions that had been awarded grants.
Trump’s social post said that U.S. Secretary of Commerce Howard Lutnick agreed that the Digital Equity Act is “illegal” and that ending it will save taxpayers “billions of dollars.”
Supporters of digital equity said Trump’s assessment is wrong, and stopping the grants will cost working people not only money, but access to health care, job opportunities, education, and more.
U.S. Sen. Patty Murray, D-WA, who sponsored the bill that created the act said, “It is absolutely insane that resources meant to help red and blue communities – everyone from local school districts and libraries to workforce training programs and Tribes – close the digital divide will be illegally blocked because the President doesn’t like the word ‘equity,’”
Angela Siefer, executive director of the National Digital Inclusion Alliance, said, “Calling the Digital Equity Act unconstitutional is not only incorrect — it hurts millions of Americans who need digital navigation support and home internet to find jobs, access health care, and compete in today’s modern economy.
“Is it unconstitutional for a grandmother to learn how to protect herself from online scams?” Seifer said. “Is it unconstitutional for a veteran to access a telehealth appointment? Is it unconstitutional for a child to finish homework at home? Is it unconstitutional for a job-seeker to apply for work online?” Siefer posted. “The Digital Equity Act was not an executive order issued at the whim of one individual. It passed with overwhelming bipartisan support in Congress to help close the digital divide in rural, urban, and Tribal communities. 56 States and Territories are counting on the funds to implement essential programs across their states, and their work is already underway.”
Siefer said the impact will include people who need to apply for jobs online, parents who need internet access for their children’s education, small businesses and farmers who rely on technology to compete, as well as “veterans, seniors, and families being scammed out of thousands of dollars because they lack the tools and training to protect themselves.”
“The support they need is urgent,” she said. “It should be happening now. This decision has no policy rationale and makes no economic sense. Cutting this funding will deepen the divide and force greater costs down the road.”
Despite Trump’s assessment of the act, and apparent agreement of Lutnick, the U.S. Department of Commerce’s Digital Equity Act webpage remained unchanged as of Tuesday late morning. The webpage says the act “aims to ensure that all people and communities have the skills, technology, and capacity needed to reap the full benefits of our digital economy.”
The last news release about the act was a Jan. 17 one from the Biden administration recommending that an additional $369 billion be awarded for the program.
It listed 41 organizations that should be awarded funding, including several United Ways, an institution for people with hearing difficulties, elderly services organizations, and more.
“These investments will empower individuals and communities across the nation with the essential skills they need to thrive in today’s connected world,” the release said.