The President announced 66 nationwide broadband projects, as part of the Recovery Act, that will increase high-speed Internet access to, according to the press release “tens of millions of Americans and over 685,000 businesses, 900 healthcare facilities and 2,400 schools in all fifty states.” These grants total $795 million dollars, still only a fraction of the $7.2 billion earmarked for broadband in the Recovery Act. Over $200 million in private investment has been added to the projects, for a total of $1 billion in investment.
This is from the release:
There are two types of awards being announced tomorrow:
Infrastructure – Middle mile awards build and improve middle mile connections to communities lacking sufficient broadband access and last mile awards connect end users like homes, hospitals and schools to their community’s broadband infrastructure (the middle mile).
Public Computing Centers – Expand computer center capacity for public use in libraries, community colleges and other public venues.
Increasing broadband access to underserved communities not only adds jobs in the short term, but builds infrastructure for businesses that can hire in those regions. Broadband investment was one of several really good ideas in the stimulus.
But there’s a problem with making such long-term investments in a short-term bill, as Matt Yglesias notes:
In the popular imagining, the big problem with government is that it’s wasteful and inefficient. So if you want to build political support for an agenda of activist government, in practice it’s crucially to be extremely careful with how you dole out the money. But care is the enemy of speed. For purposes of countering a deep collapse in aggregate demand, the important thing is to clear the relatively low bar of “this is more useful than having people sit around earning no money doing no work.” And you want to do it quickly and forcefully enough that private businesses will be confident that people will generally have jobs and money and thus that there will be customers for private firms.
All that, however, is the enemy of trying to assuage people’s doubts about government activism.
I think the Administration just ought to take their lumps here. It’s a nice talking point to say that no waste or corruption has arisen from the Recovery Act, but dribbling out the job creating investments over the space of years defeats the purpose of the stimulus. It’s inexcusable to have released only 37.5% of the broadband grants 17 months into the enactment of the program. We know the communities which lack broadband access. The Administration has to get these projects moving.




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I will take it.
It’s not an absolute good as stated, but it is not yet a colossal boondoggle.
I’lll take it too, especially because I live in a broadband deficient area. But somehow it seems that out of all th e infrastructure that is decrepit and also need for big projects to permit our shifting from carbon fuels this is an attractive gnat.
Thinking of how shallow Obama is in his understanding of ordinary people, I wonder if somehow he thinks this will gain the affection of the younger segments of the population whom he imagines are the only ones net savvy?
Free broadband for all, would be an excellent Progressive step forward…! ;-)
its really needed up here. the state of oregon does all of its unemployment applications online.
tis a start but we need a finland-like program.
Once again Obama lowers the bar on the middle class . . . what jobs?
Sounds like Help where it’s needed to me. I agree that it’s good.
Do you really think he has an agenda to target the middle class for doom?
We will see.Somehow this may end up as just chatter and the corporations
will be able to put even more of their feet on ordinary Americans neck.
We have seen Obama do this enough times to know…talk is cheap.
Isn’t broadband the responsibility of the Telecom Industry, and why would the Government fund lines for them to make money on?
Obama was fooled by the Electric Companies, into paying for modern meters by saying they would save power, but you use the same amount of power no matter what kind of meter You put on it.
The people in our Government are suckers that fall for what anyone tells them, and we have to pay for their mistakes.
Given where things are headed, I hope they have plans for homeless shelter connectivity as well as wireless connectivity for our tent cities.
Infrastructure spending is good but Obama is trying to put out a forest fire with a squirt gun.
Ain’t no such thing as free. He’s saying you people didn’t make the right choices when you didn’t pony up the billion dollars on your own (you were probably allocating your money to pay down your credit cards, feed your kids, or keep your car running)so he’s going to re-organize our priorities, take money out of our pockets (guess I won’t get to pay off the credit card as soon as I thought) and give me broadband that I would sure enough like, but I’d rather feed my kids first.
Nothing is free. The money all comes from somewhere. And somewhere someone is getting the shaft. You? Me? All of us?
Actually, I believe we’ve been paying for the broadband for quite a few years in extra fees to the TelCos that were supposed to be used by them to pay for the build out of broadband in all areas.
Instead, the TelCos have pocketed the money and called it profit.