link to page 1 
April 18, 2024
The End of the Affordable Connectivity Program:
What Next for Consumers?
Introduction
4 in 5 “older adults say they want Congress to appropriate
The Federal Communications Commission’s (FCC’s)
money for the program,” according to survey results.
Affordable Connectivity Program (ACP), established by the
If Congress does not provide additional funding for the
Infrastructure Investment and Jobs Act (P.L. 117-58) in
ACP, ACP participants may seek other options for
2021, provides a subsidy toward monthly internet access
affordable home internet. While there is no single
payments for most households that earn up to 200% of
alternative that would fully replace the ACP, there are other
federal poverty guidelines. The subsidy is $30 per
programs that some participants may qualify for, such as
household and $75 per household on tribal lands. ACP also
the FCC Lifeline program, various Department of Veterans
provides a one-time subsidy of up to $100 toward the
Affairs (VA) programs, and discounted plans from
purchase of a connected device (e.g., mobile phone, laptop).
providers. Consumers may be eligible for more than one
Currently 23 million U.S. households receive ACP support.
program. For example, a veteran would be eligible to
The last full funded month for ACP is April 2024. The
participate in Lifeline and VA programs, as well as
program stopped accepting applications February 7, 2024.
subscribe to a discounted service from a broadband
provider.
On April 9, 2024, the FCC announced reduced maximum
reimbursements for May 2024, the final month of the
Congressional Action
program (Table 1).
Two bills introduced in the 118th Congress would
Table 1. Affordable Connectivity Program Benefit
appropriate funds for ACP: H.R. 6929 and S. 3565. These
Types and Amounts
bills would each appropriate $7 billion in FY2024, to
remain available until expended. Both bills were introduced
Statutory
Max Reimbursement
on January 10, 2024, and referred to their respective
Benefit Type
Max Amount
for May 2024
Appropriations Committees, but no further action has been
taken on either bill. Funding for ACP was not provided in
Non-Tribal
$30 per month
$14
enacted FY2024 appropriations bills.
Service Benefit
Instead of a one-time supplement, another option for
Tribal Lands
$75 per month
$35
Congress could be to provide ongoing support for ACP
Service Benefit
through a fee assessed to service providers, like FCC
programs under the Universal Service Fund (USF).
ACP
$100 per device
$47
Connected
Whether it provided ACP a one-time supplement or
Device Benefit
ongoing funding, Congress could consider changing the
income or other enrollment requirements (e.g., making
Source: Federal Communications Commission, Wireline
them more or less stringent to affect enrollment or set limits
Competition Bureau Announces the Maximum Partial
on the time participants could remain in the program) to
Reimbursement Amounts for May 2024, Affordable Connectivity
adjust the structure of the program.
Program Benefits, WC Docket 21-450, DA 24-342, April 9, 2024,
https://docs.fcc.gov/public/attachments/DA-24-342A1.pdf.
Apart from providing ACP additional funding, Congress
could expand the eligibility requirements and increase the
Impact on Consumers
subsidy provided by the USF’s Lifeline program. It could
According to the White House, beneficiaries of the program
decide not to provide ACP additional funding, determining
represent “communities that have been left behind for too
that existing subsidy programs are adequate.
long.” Roughly half of ACP households are military
FCC Lifeline Program
families, roughly a quarter are Black, and roughly a quarter
The FCC’s Lifeline program
are Latino. ACP provides benefits to 320,000 households
subsidizes the cost of home
on tribal lands. According to the White House, 4 million
broadband and phone service for low-income consumers,
seniors and 10 million Americans over the age of 50
including seniors. While the goals of the ACP and the
“benefit from this program.”
Lifeline program overlap, Lifeline is funded through the
USF. The USF is supported by required contributions from
According to a Benton Strategy Group survey, 95% of ACP
telecommunications carriers—costs commonly passed on to
participants say the end of the program will cause financial
consumers. USF funds cannot be transferred and used for
difficulties and 65% fear losing their job or source of
non-USF programs such as the ACP.
income if they lose ACP benefits. AARP reports that nearly
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link to page 2 link to page 2 The End of the Affordable Connectivity Program: What Next for Consumers?
Lifeline Subsidies for Low-Income Consumers
Internet Service Provider Programs for
The Lifeline subsidy provides $9.25 per month to low-
Low-Income Consumers
income households for home internet or mobile phone plans
Some internet service providers (ISPs) offer reduced rates
(households on tribal lands can receive up to $34.25 per
for some low-income consumers. Table 3 lists some of
month)—well below the subsidy offered by ACP. Its
these ISP programs. Eligibility and prices vary. The FCC’s
eligibility requirements are stricter than those of the ACP:
broadband map allows consumers to find local ISPs.
households that earn 135% or less than the federal poverty
Table 3. Some ISP Programs for Low-Income
guidelines may qualify. Participants in the following federal
Consumers
programs qualify for the program: Medicaid Supplemental
Nutrition Assistance Program (SNAP), Supplemental
Max Speed,
Security Income (SSI), Federal Public Housing Assistance,
Program
Monthly Price
Mbps
tribal programs, and residents of federally recognized tribal
lands. Table 2 lists the maximum income requirements for
Access from AT&T
$30
100
the program.
Table 2. Lifeline Eligibility, 2024, Annual Household
Astound Internet First
$10
50
Income
Cox Connect2Compete
$10
100
Contiguous
Household
States
AK
HI
Cox ConnectAssist
$30
100
1
$19,683
$24,584
$22,640
Mediacom
$10
25
Connect2Compete
2
$26,622
$33,264
$30,618
Optimum Advantage
$15
50
3
$33,561
$41,945
$38,597
Spectrum Internet Assist
$25
50
4
$40,500
$50,625
$46,575
Verizon Forward
$20-$81
50-2,000
5
$47,439
$59,306
$54,554
WOW! Internet Select 50
$10
50
6
$54,378
$67,986
$62,532
Xfinity Internet Essentials
$10
50
7
$61,317
$76,667
$70,511
Source: CNET, “Affordable Connectivity Program Expires Soon:
These Low-Income Internet Options Can Help Fil the Void,” April
8
$68,256
$85,347
$78,489
10, 2024, https://www.cnet.com/home/internet/affordable-
connectivity-program-expires-soon-these-low-income-internet-
Each Add’l
$6,939
$8,681
$7,979
options-can-help-fil -the-void/.
Source: Universal Service Administrative Company, “Do I Qualify?”
Note: Mbps=Megabits per second.
https://www.lifelinesupport.org/do-i-qualify.
Selected Additional Resources
Resources
In addition to federal programs, there are non-profit
Lifeline Program: Do I Qualify?
organizations that provide resources to help with monthly
Apply for Lifeline
internet costs and/or provide internet-connected devices.
Programs for Veterans
For example:
Veterans may be eligible for specific programs
• Connect All provides refurbished computers to some
administered by the Department of Veterans Affairs.
low-income users.
According to the FCC, 15% of veteran households do not
•
have a way to connect to the internet at home. The VA
EveryoneOn helps consumers find low-cost internet
Telehealth Services has developed the Digital Divide
plans and computers, enroll in digital skills courses, and
Consult and the Connected Device Program to help
find local events that distribute devices.
qualifying veterans receive VA-loaned equipment to access
• Human-I-T sells refurbished devices at a discount and
telehealth services and benefits.
offers low-cost internet using mobile hotspots to
Many veterans are eligible for Lifeline benefits, including
military veterans, low-income households, seniors, and
those who meet eligibility requirements, or participate in
other qualifying groups.
the federal programs listed above, or in the VA pension and
For additional reading, see CRS Report R47621, The
VA survivors’ pension programs.
Future of the Universal Service Fund and Related
Resources
Broadband Programs, by Patricia Moloney Figliola.
Telehealth VA: Bridging the Digital Divide
Connecting Veterans to Telehealth Care
Patricia Moloney Figliola, Specialist in Internet and
Telecommunications Policy
IF12637
https://crsreports.congress.gov
The End of the Affordable Connectivity Program: What Next for Consumers?
Disclaimer
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https://crsreports.congress.gov | IF12637 · VERSION 1 · NEW