California is on the verge of accepting more than $1.4 billion in federal money to expand high-speed internet access across the state, but the deal comes with strings attached that have digital rights advocates urging Gov. Gavin Newsom to slow down before signing on.
The California Public Utilities Commission voted this week to authorize its staff to take the steps necessary to finalize the state’s participation in the federal Broadband Equity, Access, and Deployment program, a Biden-era initiative aimed at closing the digital divide in rural and underserved communities. The funding would support more than 80 projects run by internet providers such as Comcast, Pacific Bell, SpaceX and Verizon, ultimately reaching an estimated 270,000 Californians who currently lack reliable broadband service.
But the Trump administration has attached new conditions to the money that require California to scale back some of its own internet regulations — including its landmark net neutrality law, widely regarded as the strongest in the country. Advocacy groups say giving up those protections could have serious consequences, from compromising emergency communications to eliminating low-cost internet options for low-income residents.
Now, groups such as the California Alliance for Digital Equity are calling on Newsom to pause before allowing the state to formally accept the funding, arguing that California should first explore legal options — including a potential lawsuit — to challenge the federal government’s new terms.
“At any point, the governor can say, ‘Don’t sign it until I’ve had a chance to look at this further,’” said Harold Feld, an attorney and vice president at the digital rights group Public Knowledge.
Although the California Public Utilities Commission has been designated since 2022 to manage the state’s broadband funding on Newsom’s behalf, critics contend the governor retains the authority to step in before any final agreement is signed.
At the heart of the dispute is California’s 2018 net neutrality law, which requires internet providers to treat all web traffic equally rather than slowing down or prioritizing certain content. The law was strengthened in 2019 after a widely publicized incident in which Verizon throttled internet service for firefighters battling a major wildfire, forcing crews to rely on personal cell phones for communication during the emergency.
Stanford law professor Barbara van Schewick, who helped craft the original net neutrality legislation, said she fears history could repeat itself if the state gives up its authority to enforce such protections.
“You don’t want to be arguing in court whether Verizon has the right to throttle firefighters while a fire is burning,” van Schewick said. “You want that answered before the emergency happens, not after.”
The federal broadband program, created by Congress in 2021, was designed to bring universal high-speed internet access to every state — an effort often compared to past federal pushes to establish nationwide telephone and electricity service. California utility officials once described the funding opportunity as a “once-in-a-century” chance to close persistent gaps in internet access.
That outlook shifted after the Trump administration revised the program’s requirements, reportedly under pressure from telecommunications companies seeking looser regulations. States accepting the funding must now agree to suspend enforcement of certain consumer protection laws, including rules addressing internet pricing and equal access to content.
The National Telecommunications and Information Administration approved California’s broadband proposal in July, and issued a formal notice of award in late August that gave the state 30 days to accept the funding under the new terms. The California Public Utilities Commission has requested more time to review the conditions, though it remains unclear whether that extension was granted. Representatives for Newsom and the state attorney general’s office have not said whether California intends to challenge the funding requirements.
California is among the last states in the nation still weighing whether to accept its share of the federal broadband program.
In a letter sent this week to Newsom, the attorney general and the utilities commission’s president, more than two dozen advocacy organizations warned that accepting the funding under its current conditions could set a troubling precedent, allowing the federal government to use financial incentives to pressure states into abandoning their own consumer protections.
Van Schewick argues the stakes go beyond net neutrality alone. She said forfeiting state authority over internet regulation could also derail low-cost broadband programs projected to save Californians more than $5 billion in the coming years.
“The idea that the state would give all of that up for $1.4 billion,” she said, “is mind-boggling.”
Original source: CalMatters
