The Flatwater Free Press printed an article on November 16, 2025, stating that Nebraska may return $350 million in federal funding meant to boost Nebraskans’ broadband. Although this headline is technically correct, there is much more to the story than the headline suggests.

During the Biden administration, when the federal government was shoveling money out of Washington, a $1.2 trillion infrastructure bill was passed into law in 2021. The law included the Broadband Equity Access and Deployment (BEAD) program. The State of Nebraska was allocated $405 million to get broadband access of at least 100/20 Mbps to unserved and underserved locations in the state – largely in low-populated, rural areas – with a preference for fiber to the home expansion. U.S. Senator Deb Fischer characterized the funding as a once-in-a-generation investment to bring Nebraskans the connectivity they deserve.

Letters of intent (LOI) regarding a state’s desire to participate in BEAD were due to the federal Department of Commerce’s National Telecommunications and Information Administration (NTIA) in July 2022, and Nebraska’s LOI was timely filed by then-Governor Ricketts and the Nebraska Public Service Commission. It took several months for the NTIA to release Initial Planning Funds so that states could begin developing their Five Year Plan in conformance with the BEAD program rules at the time. Meanwhile, Nebraskans were voting to elect Jim Pillen as our 41st Governor.

In anticipation of the BEAD funding, and given the importance of the rollout, Governor Pillen announced the creation of the Nebraska Broadband Office (NBO) on his second day in office in January 2023. This office would report directly to him to ensure BEAD would get the priority it needed. The Legislature formally approved a bill to transition BEAD oversight to the NBO, which was approved in May 2023. Patrick Haggerty was hired the following month to oversee the program as its director. Patrick has a strong background in broadband and was the perfect person to serve in that position.

The final state allocations were announced in June 2023, with Nebraska eligible to receive $405 million. States were then asked to develop Initial Proposals, in two volumes, in late 2023 as part of a collaborative process with the NTIA, which included opportunities for public comment.

It was not until 2024 that the state challenge process regarding mapped locations was undertaken. Only once finalized locations were released mid-year could broadband carriers submit their own LOIs to participate in a state’s program. LOIs were submitted in the midst of the 2024 Presidential election, in which Donald Trump unseated Joe Biden.

BEAD grant rounds began in early 2025, but on June 6, 2025, the NTIA announced it was voiding all previously approved Final Proposals and restructuring key elements of the BEAD program. Although several changes were made, the most important for a state like Nebraska was the change from a fiber-preferred program to a technology-neutral program. States were given only 30 days to submit revised Initial Proposals and complete a new selection process within 90 days. This selection process required all applicants to compete on an equal basis, regardless of technology type or prior participation, with the primary scoring criterion being which proposal was the lowest total BEAD program cost per location.

Naturally, more sparsely populated areas can be served by satellite or wireless technology at a lower price tag. Without the ability to prioritize fiber expansion, the new rule drove the dollars required to meet the goal down significantly. The question then became whether Nebraska would be allowed to use the funding for other purposes. So far, that answer has been “NO.” Thus, Nebraska will be required to return any unused funds. There were no missteps by the Broadband Office; it was simply a change in the rules that cost us the funding.

We are all disappointed that the federal change will stymie fiber expansion in Nebraska. Although the unserved and underserved locations in Nebraska will still get access to high-speed Internet at speeds of at least 100/20 Mbps, fixed wireless and satellite service are not equal in performance to fiber. There is a role for all technologies – and undoubtedly fixed wireless and satellite would have played some role in the prior BEAD rollout – but the amount shifted significantly with the new program requirements. There are clear cost differences and limitations for each technology, and we have to play by the federal rules for these funds.

State Senator Jana Hughes invited several other rural senators and me to join Director Haggerty in her office a couple of months ago to hear directly from him the status of the funding and program administration. He was very open and honest about the challenges presented by the rule changes. He earned my respect that day, and I am confident his office did its best to maximize Nebraska’s use of the funds.

It is a privilege to represent you in the Nebraska Legislature, and I look forward to continuing to hear about issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.