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Feenstra Leads Legislation to Lower Broadband Costs for Rural Iowa Communities

June 17, 2025

HULL, IOWA – Today, U.S. Rep. Randy Feenstra (R-Hull) introduced the Lowering Broadband Costs for Consumers Act to help construct broadband in rural Iowa.

This legislation would require that the largest financial beneficiaries of the networks, also known as “edge providers” – such as Amazon, Google, Facebook, Microsoft, Apple, and Netflix – contribute their fair share toward the networks that are built and maintained by the Universal Service Fund (USF) and by consumers who own landlines throughout the country. 

Rep. Teresa Leger Fernandez (D-NM) is the co-lead of this legislation.

“Access to high-speed internet is critical to our economic growth in rural communities. Families, farmers, and businesses across rural Iowa go to great lengths to collect and deploy the necessary funds to build reliable, affordable broadband. However, Big Tech companies use these networks once completed but rarely contribute their fair share towards the cost. It is completely unfair,” said Rep. Feenstra. “It’s why I introduced legislation to ensure that Big Tech companies contribute to the full cost of building high-speed broadband in rural Iowa. Connecting our schools, farms, businesses, homes, and hospitals to the internet is an important priority for me, and this bill will help achieve this mission more affordably and effectively.”

“Strong broadband networks are vital to connect Americans to the internet and to each other,” said Rep. Leger Fernandez. This bipartisan bill will help sustain our rural broadband networks and make sure that the big corporations that profit from those networks also contribute to them. Let’s close the digital divide.”

“A strong and sustainable Universal Service Fund is mission-critical to connecting rural America,” said Brandon Heiner, Senior Vice President of Government Affairs at US Telecom – The Broadband Association. “Representative Feenstra’s proposal is a step toward modernizing the USF to meet the demands of today’s communications landscape. Congress should act with urgency to secure and strengthen this essential national commitment.”

“WTA supports the Lowering Costs for Broadband Consumers Act and applauds Representatives Feenstra and Leger Fernadez for introducing this bipartisan legislation,” said Derrick Owens, WTA’s Senior Vice President of Government & Industry Affairs. “The Universal Service Fund is an important tool for ensuring rural residents and businesses have access to affordable broadband. This legislation provides the FCC the authority it needs to engage in needed modernization of USF to ensure that all businesses that profit from the broadband network support the construction, maintenance, and upgrades of the network. We look forward to working with Congress to make sure this modernization takes place.”

“NTCA applauds the introduction of the Lowering Broadband Costs for Consumers Act and thanks Representatives Randy Feenstra (R-Iowa) and Leger Fernandez (D-N.M.) for their leadership. This legislation would promote more predictable and stable funding to preserve and advance the statutory mission of universal service,” said Shirley Bloomfield, Chief Executive Officer of NTCA. “As traditional telecommunications revenues decline, the assessment on the remaining consumers of such services increases, resulting in a disproportionate burden on those consumers even though they are not the most significant users of services or beneficiaries of underlying networks. Common-sense reforms like those directed by this legislation will shore up the foundation of universal service funding, spread contribution obligations more equitably among all of those that use and benefit from broadband networks, and ultimately help the low-income and rural consumers and schools, libraries, and rural health care facilities that depend on critical universal service programs.”

“Rural Americans deserve access to affordable, high-quality broadband, and that requires a USF contribution system that is both fair and sustainable. For too long, the burden of supporting our nation’s broadband infrastructure has fallen disproportionately on consumers and small and rural providers, including RWA members. This legislation appropriately requires that the largest beneficiaries of our digital economy—edge providers and big tech companies—pay their fair share,” said Carri Bennet, General Counsel for the Rural Wireless Association.

“On behalf of the National Tribal Telecommunications Association, I need to thank Congressman Feenstra and Congresswoman Leger Fernandez for their introduction of the Lowering Broadband Costs for Consumers Act of 2025. It is gratifying to know that they are trying to reduce the financial burden that Native American families have every day. Rural broadband in the remote parts of our country is very expensive. We do expect those that financially benefit from the networks pay something towards the construction and operation of our networks to help reduce that burden. Therefore, NTTA endorses this federal bill,” said Godfrey Enjady, President of the National Tribal Telecommunications Association.

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