Fed funding cuts impact MN state broadband grants

The State’s Office of Broadband Development reported it can no longer fulfill grants promised to local governments, organizations and small businesses after the cancellation of more federal funding.

A total of $12 million was slated to support Minnesota’s Digital Opportunity Plan, which was approved by the U.S. Department of Commerce last year.

The funding would have been used to reduce gaps in broadband access and expand digital skills and technology availability.

The funding was canceled across the nation earlier this month when President Donald Trump declared the Digital Equity Act to be unconstitutional in a post on Truth Social.

"This sudden and unprecedented cancellation of awarded funding could hurt DEED’s work to expand broadband access and digital technology to Minnesotans who are most underserved: seniors, Greater Minnesota residents, veterans, low-income Minnesotans, people of color, people with disabilities, and more," stated the agency in a release.

While Trump’s reason for cancellation appeared related to race, The New York Times reports the law hardly mentions race and is primarily focused on broadband expansion to rural and underserved areas.

The move is expected to be challenged in the courts.