The Kansas Affordability Plan
Thursday, June 27, 2024
Digital Beat
The Kansas Affordability Plan
More than 70,000 Kansas households lack broadband access and over 35,000 additional households’ existing service options render them “underserved.” In addition, many of Kansas’ 8,500 community anchor institutions (CAIs) lack gigabit-level broadband service that would better allow them to provide full levels of support to their communities. The Kansans impacted by these service gaps are disproportionately members of what Congress defined in the Infrastructure Investment and Jobs Act as "covered populations."
While the primary purpose of Broadband Equity, Access, and Deployment (BEAD) Program funds is to expand broadband access, the Kansas Digital Equity team is working to ensure the needs of covered populations are an integral part of BEAD planning, implementation, and follow-up. This approach is aimed at ensuring all Kansans have broadband service and the accompanying tools, knowledge, service, and support to fully participate in today’s increasingly technology-driven society. Progress and partnerships with ISPs will benefit all covered populations, including those in rural areas, those in mostly urban multiple dwelling units (MDUs) with inadequate service, and those served by CAIs with improved service.
The Kansas Office of Broadband Development (KOBD) recognizes that broadband adoption and affordability efforts are vital aspects of the success of BEAD-supported infrastructure deployment projects. BEAD applicants in Kansas will be asked to demonstrate the affordability of the products and services offered within proposed funding areas, addressing current barriers to broadband access in their project proposals. Applicants are encouraged to partner with housing agencies to leverage programs benefiting MDU residents.
The Low-Cost Broadband Service Option for BEAD Networks in Kansas
The Kansas Office of Broadband Development defines Low-Cost Option broadband services as a plan that is $30 per month or less ($75 per month or less for households on Tribal Lands); all recurring fees include monthly subscription, Wi-Fi router or modem fees, and any taxes or surcharges applied. No charges for repair or maintenance of qualified broadband service will be allowed. No charges will be allowed for installation.
KOBD supports rural broadband service rates and urban rates should be reasonably comparable. To define the $30 per month Low-Cost Option, KOBD examined the 2023 FCC Urban Rate Study. For broadband service (excluding DSL) at 100 Mbps, advertised prices ranged from $9.95 to $94.95. Of the 25 urban census blocks sampled in Kansas, 17 census blocks were $30 per month or less and 11 census blocks were $30 exactly; only 8 census blocks exceeded the $30 per month rate. Cable, fiber-to-the-household (FTTH), and fixed wireless technologies were all used to provide $30 or less broadband service.
Before the Federal Communications Commission closed down the Affordable Connectivity Program (ACP), BEAD applicants in Kansas were going to be required to participate in the program. An applicant was going to have to be a registered ACP participant or have an ACP application submitted prior to the closure of the BEAD application window. If there is a successor program post-ACP, subgrantees will have to participate in it. Network subscribers that are eligible for a broadband service subsidy will be allowed to apply the subsidy to the proposed service option. Kansas' goal was that the barrier for affordability is eliminated for ACP participants. Their net end-user cost would be zero dollars ($0).
When ACP ended earlier this year, about 134,000 households were relying on the program to make internet access more affordable.
The Kansas Office of Broadband Development recognized the possibility of ACP's demise, making it clear that without ACP renewal or a successor program, there would be no changes to the Low-Cost option requirements. KOBD will explore options to subsidize subscriber costs with state, local, or non-for-profit funding to continue to support adoption and affordability. Providers will be required to continue the $30 Low-Cost Option for the life of the project regardless of whether ACP is renewed or replaced.
Low-Cost Option must also include:
- The greater of (a) typical download speeds of at least 100 Mbps and typical upload speeds of at least 20 Mbps [or the fastest speeds the infrastructure is capable of if less than 100 Mbps/20 Mbps] or (b) whatever broadband benchmark speeds the FCC adopts.
- Typical latency measurements of no more than 100 milliseconds;
- No data caps, surcharges, or usage-based throttling, and is subject only to the same acceptable use policies to which subscribers to all other broadband internet access service plans offered to home subscribers by the participating subgrantee must adhere; and
- In the event the provider later offers a low-cost plan with higher speeds downstream and/or upstream, permits Eligible Subscribers that are subscribed to a low-cost broadband service option to upgrade to the new low-cost offering at no cost.
KOBD also adopted quality of service and pricing to maximize adoption and affordability:
- Service installed within 10 calendar days of a service request consistent with evidence for Availability challenges;
- Provide service outage credits, measured at 1/30 of the monthly rate per day for an outage of over 12 hours;
- Enforceable commitment not to raise the $30 per month for the 100/20 Mbps service for 2 years from the infrastructure deployment date for each BSL and may only increase annually for the next 3 years at a rate no greater than the Consumer Price Index for All Urban Consumers (CPI-U) for the Midwest Region;
- The plan is well-marketed, publicly available, and easily accessible. [The low-cost option and ACP subsidy description and subscriber application must be offered in all contacts with potential subscribers including monthly bills, calls, or emails to customer service representatives and prominently displayed on the provider website for online inquiry.]
The KOBD is requiring applicants to include the following in their narrative:
- Describe any activities planned to increase broadband adoption awareness,
- Describe resources the applicant will be contributing to the adoption efforts, such as digital literacy training, marketing campaigns, surveys, and low-cost service options, and
- Provide supporting documentation demonstrating the organization’s participation in subsidy programs to optimize digital inclusivity and adoption including partnering with school districts and colleges to raise awareness of subsidy programs (such as the FCC's Lifeline program).
Middle-Class Affordability in Kansas
Middle-class affordability is addressed by the following KOBD program elements: 1) BEAD Subgrantee Selection Scoring Criteria, 2) Recommended Service Plans, 3) Continuous Monitoring, and 4) Multi-Dwelling Units Promotion.
1. BEAD Subgrantee Selection Scoring Criteria
Points assigned to affordability in the scoring criteria will be the primary means KOBD will ensure high-quality broadband services are made available at reasonable prices to all middle-class families in a BEAD-funded network’s service area.
Affordability will form 15% of the total available scoring to prospective subgrantees. Specifically, for each project funding area, each applicant offering symmetrical gigabit service for $90 or less per month (inclusive of all taxes, fees, and monthly charges billed to the customer) will receive the full 15% scoring, while other applications will receive a percentage of points reflective of the distance from the target price of $90. All non-fiber proposals are required to offer service plans for 100/20 Mbps service for $60 or less per month (inclusive of all taxes, fees, and monthly charges billed to the customer). In both cases, the applicants offering the targeted pricing for their respective required service plans will receive maximum points for this scoring category.
These service plans are required to remain in place for two years from the BEAD grant agreement date. Subsequent increases in pricing for the next 3 years may not exceed a rate greater than the Consumer Price Index for All Urban Consumers (CPI-U) for the Midwest Region.
2. Recommended Service Plans
To be eligible to receive maximum points for affordability, the prospective subgrantees must provide the recommended service plan to the entire proposed project funding area and all prospective customers within it. The recommended service plan must meet, at a minimum, the following criteria:
- Total package costs $90 per month or less, inclusive of all taxes, fees, and charges billed to the customer, for 1Gbps service that consistently, verifiably, and reliably provides 1Gbps download and upload speeds.
- Enforceable commitment not to raise the $90 per month for the 1Gbps symmetrical service for 2 years from the infrastructure deployment date for each broadband serviceable location (BSL) and then, may only increase annually for the next 3 years at a rate no greater than the Consumer Price Index for All Urban Consumers (CPI-U) for the Midwest Region.
- Total package costs $60 per month or less, inclusive of all taxes, fees, and charges billed to the customer, for 100/20 Mbps service that consistently, verifiably, and reliably provides 100 Mbps download and 20 Mbps upload speeds.
- Enforceable commitment to not raise the $60 per month for the 100/20 Mbps service for 2 years from the infrastructure deployment date for each BSL and then, may only increase annually for the next 3 years at a rate no greater than the Consumer Price Index for All Urban Consumers (CPI-U) for the Midwest Region.
- Must provide service installation within 10 calendar days of service request.
- Provide latency measurements of no more than 100 milliseconds.
- Is not subject to data caps, surcharges, or usage-based throttling, and is subject to the same acceptable use policies offered to other home subscribers of other internet access service plans.
- Provide service outage credits, measured at 1/30 of the monthly rate per day for an outage of over 12 hours.
- Will waive installation charges for any service installation that exceeds the 10-calendar day commitment.
- The plan is well-marketed, publicly available, and easily accessible.
3. Continuous Monitoring
KOBD will establish a regime of continued monitoring through grantee and public reporting to ensure high-speed internet connections are maintaining or improving the rates required in KOBD's proposal.
4. Multi-Dwelling Units Promotion
KOBD will work with Education Superhighway, the Kansas Housing Resources Corporation (KHRC), public housing commissions, neighborhood associations, and U.S. Department of Housing and Urban Development affiliates to promote middle-class and low-cost affordability options to the tenants, owners, and renters of multi-dwelling unit (MDU) structures. In addition, free Wi-Fi access should be provided to communal areas in MDUs, along with basic digital and cybersecurity training opportunities.
Additional Coverage on Kansas Broadband Priorities
- U.S. Treasury Helps Accelerate Broadband Deployment in Kansas
- A Digital Equity Plan to Connect All Kansans
See the latest Kansas broadband news
More in this Series
- Louisiana's Plan for Affordable Broadband
- Pennsylvania's Plan for Affordable Broadband
- Washington State's Plan for Affordable Broadband
- The Kansas Affordability Plan
- Affordable Broadband for Nevada
- Will BEAD Networks Deliver Affordable Broadband for All in West Virginia?
- Delaware Wants to be the First State to Achieve Universal Broadband—Affordability is a Key Component
- Eliminating the Digital Divide in the District of Columbia Requires a Focus on Affordability
- A Plan to Bridge the Digital Divide in Colorado
- Ensuring All Hoosiers Have Reliable and Affordable Broadband
- Increasing Broadband Availability, Accessibility, and Affordability for the Benefit of All Utahns
- The Connection Between Affordability and Internet Adoption in Oregon
- How Maryland is Working to Make Broadband More Affordable
- Arizona Aims to Make the "6th C" More Affordable
- Illinois Committed to Changing the Broadband Affordability Picture
- Broadband Affordability is First and Foremost in Maine
- Universal Access to Affordable, Reliable Broadband in Kentucky
- Hawai'i is Working to Connect All to Affordable Broadband
The Benton Institute for Broadband & Society is a non-profit organization dedicated to ensuring that all people in the U.S. have access to competitive, High-Performance Broadband regardless of where they live or who they are. We believe communication policy - rooted in the values of access, equity, and diversity - has the power to deliver new opportunities and strengthen communities.
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