PolicyBrief
H.R. 2975
119th CongressApr 21st 2025
Broadband Incentives for Communities Act
IN COMMITTEE

This Act establishes a grant program to incentivize local governments to streamline their permitting processes to accelerate broadband deployment.

Lizzie Fletcher
D

Lizzie Fletcher

Representative

TX-7

LEGISLATION

New Act Offers Grants to Local Governments to Fast-Track Broadband Permits and Cut Fees

If you’ve ever tried to get a new internet connection in a rural or underserved area, you know the waiting game often feels endless. While billions in federal money are already earmarked for building out the physical lines, the Broadband Incentives for Communities Act tackles a less glamorous but crucial bottleneck: local government paperwork.

This bill sets up a new competitive grant program run by the Assistant Secretary of Commerce for Communications and Information. The goal is simple: offer cash incentives to local governments—cities, counties, and tribes (referred to as "covered entities")—to stop dragging their feet on permits. Essentially, the government is paying local entities to get their act together and streamline the process for building new fiber and wireless networks (SEC. 3).

The Permit-Speeding Checklist

To even apply for this grant money, local governments have to prove they’re ready to move fast. They can’t just promise to be efficient; they must already have processes in place. This includes adopting fast-track methods like micro-trenching—a quick way to bury fiber optic cables without tearing up the entire street—and making sure they can efficiently approve projects that reuse existing infrastructure, like attaching new cables to utility poles (SEC. 3).

But here’s the key part that affects the cost of deployment: the bill puts a hard limit on what local governments can charge in fees. For applications involving the efficient reuse of existing infrastructure, the fee can only cover the actual, provable, and reasonable costs of processing that application. For all other applications, fees must be uniform, objectively reasonable, and published ahead of time. This is a big deal because it stops local entities from using permitting fees as a revenue stream, which often drives up the cost of deployment and slows down service expansion (SEC. 3).

What the Money Buys

If a local government wins one of these grants, the money isn't for building the broadband itself. It's strictly for administrative capacity. They can use the funds to hire and train staff, or buy the necessary software and equipment to process applications faster, even allowing for remote work capabilities. Think of it as upgrading the city planning department's operating system so they can handle the massive influx of applications expected from the $42.5 billion already set aside for broadband expansion (SEC. 2).

For a small town currently relying on one overworked planning official, this grant could mean hiring a dedicated permit reviewer, potentially cutting the approval time for a new fiber line from six months to six weeks. This directly benefits the infrastructure companies, who can deploy faster, and the residents who get connected sooner.

Where the Devil Might Hide

While this bill is a net positive for speeding up connectivity, there are a couple of points to watch. First, the bill establishes a Local Broadband Advisory Council to study deployment issues and report back within a year. The Assistant Secretary gets to pick who sits on this council, which will include industry and local government reps. We’ll need to see how balanced that group is to ensure it genuinely reflects the needs of communities, not just the big players (SEC. 4).

Second, the requirement that fees for non-reuse applications be “objectively reasonable” is a little vague (SEC. 3). If the Assistant Secretary doesn't clearly define what that means, local governments and infrastructure companies could end up in disputes over what constitutes a fair charge. For those local governments that don't win the competitive grants, or choose not to apply, they'll still face the increased volume of applications but without the funding to hire extra staff, potentially making their permitting process even slower and more cumbersome.