The Maine Connectivity Authority (MCA) received notification that the federal government terminated $35 million of funding to provide digital skills and online safety for rural Mainers, small businesses, veterans and low-income residents, it said in a May 13 news release.

Approximately 130,000 people in Maine would have been directly served through three grants, the release said.

The release follows:

MCA, the agency leading the statewide expansion of broadband and digital opportunity in Maine, received a notification from the National Telecommunications and Information Administration (NTIA) that as of Friday, May 9, it has terminated three grants totaling $35 million in funding for Maine.

These grants funded programs to improve digital skills, provide internet safety education and ensure people have affordable devices. This notification was part of a nationwide termination of grants across all states and territories and 65 other organizations.

The elimination of this funding will disproportionately impact older, rural residents, small businesses, veterans, low-income households, and students. Programs funded through the awards ensure that all people have the skills and technology necessary to safely participate in an increasingly digital society. 

• $10 million was awarded to the MCA to fund the Digital Opportunity Networks grant program (with awards planned for announcement next month), a statewide device donation and refurbishment campaign, and an educational platform for technical assistance.

• $13.8 million was awarded to the National Digital Equity Center (NDEC) to provide digital skills training, technical support, telehealth access, and affordable device programs. NDEC was partnering with 19 organizations, including the Maine State Library, Maine Community College System, Maine Adult Education Association, and Medical Care Development.

$11 million was awarded to the Greater Portland Council of Governments (GPCOG) to provide STEM education, digital services for municipal governments, device programs, digital skills education, and business support programs. GPCOG was partnering with 13 Regional and Wabanaki Broadband Partners, including economic and community organizations and councils in all 16 Maine counties. 

“This announcement is deeply disappointing, and MCA is exploring Maine’s options to respond to the legality of the grant termination,” said MCA President Andrew Butcher. “Our team is evaluating how to best proceed with critical programming and investments currently underway through our statewide digital equity strategy."

The Digital Equity State Capacity and Competitive Grant Programs were created and funded by the bipartisan Digital Equity Act of 2021.

As of Friday, May 9, the Federal government terminated these grants for all states and territories that received Capacity grants and 65 additional recipients of the Competitive Grant Program.

MCA and its statewide partners have been preparing for the use of these funds since 2022 through the development of Maine’s Digital Equity Plan — the first plan approved in the country. Digital Equity Act programs are separate from Maine’s state and federally funded broadband infrastructure grant programs, but were designed to amplify the impact of those critical infrastructure investments.

“The loss of these federal funds will have a ripple effect across Maine, impacting the economy as well as access to education, work, and healthcare,” said Maggie Drummond-Bahl, Senior Director of Partnerships for MCA. “Maine’s ability to secure awards of $25M of funding with over two dozen partners reflects both the need for funding like this and the breadth of community involvement."

Nearly 130,000 people would have been served directly through these programs in Maine.

A 2023 statewide survey conducted by MCA revealed that 93% of Maine people said they are worried about staying safe online and do not feel they have the tools to effectively protect themselves and their families.

This is further emphasized by a recently published study by the Federal Reserve Bank of Boston documenting that more than 2,000 people in Maine fell victim to internet crime, costing over $31 million, just in 2023. And, more than 50% of Maine veterans surveyed said they are less confident in accessing telehealth, with challenges fully accessing their benefits and health care due to the transition to online platforms. 

“The National Digital Equity Center is saddened by this news. We have been offering digital opportunities to Maine residents since 2018, and have provided digital skills training to over 40,000 participants," said Susan Corbett, Founder and Executive Director at National Digital Equity Center. "With the loss of this funding, NDEC and our partners: libraries, adult education programs, older adult organizations, health care facilities, and community organizations will be limited in providing digital learning support to our most vulnerable community members."

“These programs are not abstract policy initiatives – they are lifelines for thousands of Maine residents who depend on digital access for education, healthcare, employment and basic communication,” said Kristina Egan, Executive Director of the Greater Portland Council of Governments. “The digital divide is not just a technological challenge – it's a fundamental issue of access and opportunity. Maine cannot afford to take steps backward."

As the oldest state in the nation, with the highest concentration of rural population, it is critical to address the barriers to safe internet adoption faced by older adults, rural residents, and other populations. Terminating these funds increases the difficulty for individuals and families to use the internet to meaningfully improve their lives and livelihoods. MCA will continue to share transparent, timely updates with our partners, Maine’s federal delegation, and the public, as developments occur.

Timeline and Program Details

2022-2023
Maine’s Digital Equity Plan developed in coordination with thousands of Maine individuals, and hundreds of organizations and agencies.

February 2024
Maine’s Digital Equity Plan is the first plan in the nation to be approved.

December 2024

MCA receives a State Capacity Grant award of $5.7 million for Year 1, part of a 3-year allocation of $10 million.

January 2025
MCA launches the Digital Opportunity Networks grant program to distribute the state’s funding.

January 2025
Digital Equity Competitive Grants over $24M are awarded to two non-profit organizations and 23 collaborating partners in Maine. 

The National Digital Equity Center (NDEC) is awarded $13.8 million with 19 partners, including Maine State Library, Maine Community College System, Maine Adult Education Association, and Medical Care Development. 

Activities funded: digital skills training, technical support, telehealth access, and affordable device programs

The National Digital Equity Center (NDEC) is awarded $13.8M with 19 partners, including: Maine State Library, Maine Community College System, Maine Adult Education Association, and Medical Care Development. 

Activities funded: digital skills training, technical support, telehealth access, and affordable device programs

March 2025

Digital Opportunity Network Grant Program receives 25 applications requesting over $15M.

May 9, 2025

The National Telecommunications and Information Administration notifies MCA and partners that $35 million in grant funding through the Digital Equity Act has been terminated.