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Tennessee officials consider spending $500M in federal recovery cash on broadband

They say the money would be used to boost broadband internet access and subsidize some low-income subscribers.
Credit: ra2 studio - stock.adobe.com

NASHVILLE, Tenn. — Tennessee officials plan to use $500 million in federal COVID-19 recovery money to boost broadband internet access and subsidize some low-income subscribers.

At a meeting Wednesday, the state's Financial Stimulus Accountability Group announced plans to use the American Rescue Plan money for broadband and to inject $1.35 billion into sewer and water projects statewide. 

The two spending topics make up about half of Tennessee's $3.7 billion State Fiscal Recovery Fund through the federal stimulus package.

Officials say $400 million will go toward broadband provider grants to expand in areas deemed unserved. 

The other $100 million will primarily fuel credits to reduce internet bills for low-income Tennesseans.

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