Notice of Expansion and Proposed Restructuring of the Digital Opportunity Demonstration Program, 71586-71592 [2023-22800]

Agencies

• DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Federal Register Volume 88, Number 199 (Tuesday, October 17, 2023)]
[Notices]
[Pages 71586-71592]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-22800]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-6338-N-01]


Notice of Expansion and Proposed Restructuring of the Digital 
Opportunity Demonstration Program

AGENCY: Office of Public and Indian Housing, HUD.

ACTION: Notice, with request for comments.

-----------------------------------------------------------------------

SUMMARY: The U.S. Department of Housing and Urban Development (HUD) is 
committed to advancing digital opportunities in HUD-assisted 
communities by expanding its ConnectHomeUSA initiative to between 50 
and 100 new communities. HUD's ConnectHome pilot program was launched 
in 2015 to address the ``homework gap'' for students in grades K-12 
living in public and Indian housing. HUD partnered with interested 
public housing authorities and tribes to join forces with their city 
and tribal leadership to close this gap in twenty-eight HUD-assisted 
communities. Through this notice, HUD solicits comment on the expansion 
and restructuring of its demonstration program (ConnectHomeUSA) that is 
designed to further the collaborative efforts by government, industry, 
and nonprofit organizations to accelerate broadband internet adoption 
and use in HUD-assisted homes.

DATES: Comment Due Date: December 18, 2023.

ADDRESSES: Interested persons are invited to submit comments responsive 
to this Notice to the Office of General Counsel, Regulations Division, 
Department of Housing and Urban Development, 451 7th Street SW, Room 
10276, Washington, DC 20410-0001. All submissions should refer to the 
above docket number and title. Submission of public comments may be 
carried out by hard copy or electronic submission.

1. Submission of Hard Copy Comments

    Comments may be submitted by mail or hand delivery. Each commenter 
submitting hard copy comments, by mail or hand delivery, should submit 
comments to the address above, addressed to the attention of the 
Regulations Division. Due to security measures at all federal agencies, 
submission of comments by mail often results in delayed delivery. To 
ensure timely receipt of comments, HUD recommends that any comments 
submitted by mail be submitted at least two weeks in advance of the 
public comment deadline. All hard copy comments received by mail or 
hand delivery are a part of the public record and will be posted to 
https://www.regulations.gov without change.

2. Electronic Submission of Comments

    Interested persons may submit comments electronically through the 
Federal eRulemaking Portal at https://www.regulations.gov. HUD strongly 
encourages commenters to submit comments electronically. Electronic 
submission of comments allows the commenter maximum time to prepare and 
submit a comment, ensures timely receipt by HUD, and enables HUD to 
make comments immediately available to the public. Comments submitted 
electronically through the https://www.regulations.gov website can be 
viewed by other commenters and interested members of the public. 
Commenters should follow instructions provided on that site to submit 
comments electronically.

    Note: To receive consideration as public comments, comments must 
be submitted through one of the two methods specified above. Again, 
all submissions must refer to the docket number and title of the 
Notice.

    No Facsimile Comments. Facsimile (FAX) comments are not acceptable.

3. Public Inspection of Comments

    All comments submitted to HUD regarding this Notice will be 
available, without charge, for public inspection and copying between 8 
a.m. and 5 p.m., Eastern Time, weekdays at the above address. Due to 
security measures at the HUD Headquarters building, an advance 
appointment to review the public comments must be scheduled by calling 
the Regulations Division at 202-708-3055 (this is not a toll-free 
number). HUD welcomes and is prepared to receive calls from individuals 
who are deaf or hard of hearing, as well as individuals with speech or 
communication disabilities. To learn more about how to make an 
accessible call, please visit: https://www.fcc.gov/consumers/guides/telecommunications-relay-service-trs.
    Copies of all comments submitted are available for inspection and 
downloading at https://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Dina Lehmann-Kim, Program Manager, 
Public and Indian Housing, Department of Housing and Urban Development, 
451 7th Street SW, Room 4130, Washington, DC 20024; telephone number 
202-402-2430; email: [email protected]. HUD welcomes and is 
prepared to receive calls from individuals who are deaf or hard of 
hearing, as well as individuals with speech or communication 
disabilities. To learn more about how to make an accessible call, 
please visit: https://www.fcc.gov/consumers/guides/telecommunications-relay-service-trs.

SUPPLEMENTARY INFORMATION:

I. Background

    Many low-income communities lack adequate access to broadband 
internet, which presents barriers to community members seeking economic 
and

[[Page 71587]]

educational opportunities. This is known as the digital divide. In 
2015, HUD launched the Digital Opportunity Demonstration \1\ to narrow 
the digital divide for students living in HUD-assisted communities by 
increasing access to broadband technology. Twenty-eight communities 
were selected to participate in the demonstration. Selected communities 
received various forms of support which included technical assistance 
from HUD headquarters and field office staff as well as from HUD's 
former nonprofit partner, EveryoneOn. Communities also had access to 
special offers made by private sector stakeholder organizations to 
EveryoneOn to support pilot communities' efforts. HUD also produced 
monthly newsletters and webinars designed specifically for 
participating communities. These provided the latest information on 
funding opportunities, research, best practices, and capacity-building 
related to digital inclusion. HUD also offered an annual two-day 
summit, which allowed communities to share best practices, learn from 
researchers or other practitioners in the field, and engage with HUD 
staff and staff from other federal agencies as well as private-sector 
stakeholders.
---------------------------------------------------------------------------

    \1\ Advance Notice of Digital Opportunity Demonstration, U.S. 
Department of Housing and Urban Development, Federal Register Notice 
(2015), https://www.federalregister.gov/documents/2015/04/03/2015-07719/advance-notice-of-digital-opportunity-demonstration.
---------------------------------------------------------------------------

    The demonstration program was rebranded in 2017 as ConnectHomeUSA 
(CHUSA) with an expanded goal of onboarding a cumulative total of 100 
communities \2\ by 2020.
---------------------------------------------------------------------------

    \2\ HUD achieved the goal of onboarding 100 total communities in 
October 2020. Complete list of communities can be found here: 
Communities [verbar] HUD.gov/U.S. Department of Housing and Urban 
Development (HUD).
---------------------------------------------------------------------------

    Knowledge is a catalyst for upward mobility. Countries and local 
communities that cultivate access to global knowledge will thrive in an 
increasingly complex and technologically oriented world, while those 
that do not will struggle to keep pace. The adoption and use of 
broadband technology and associated programming are powerful tools to 
increase access to knowledge.
    As in 2015, the jobs of tomorrow require robust technology skills. 
For example, over 80 percent of Fortune 500 companies require job 
seekers to register an account on the companies' online career site 
before even applying for an open position.\3\ The digital divide 
disproportionately affects certain Americans. Over 43 percent of 
households with an annual income of less than $30,000 have no home 
broadband connection.\4\ More than 31 percent of American Indian and 
Alaska Native, African American, and Hispanic households do not have 
home access to high-speed internet.\5\ HUD serves these populations. 83 
percent of HUD-assisted households have an annual income of less than 
$25,000 per year and 66 percent are African American or Hispanic (46 
percent and 20 percent, respectively).\6\
---------------------------------------------------------------------------

    \3\ Jobvite.com, 2021 Fortune 500 Candidate Conversion Audit, 
https://www.jobvite.com/lp/2021-fortune-500-report/ (accessed 8/4/
2022).
    \4\ Vogels, Digital Divide Persists Even as Americans With Lower 
Incomes Make Gains In Tech Adoption, Pew Research Center, (2021) 
https://www.pewresearch.org/fact-tank/2021/06/22/digital-divide-persists-even-as-americans-with-lower-incomes-make-gains-in-tech-adoption/ (accessed 8/4/2022).
    \5\ Townsend, Disconnected: How the Digital Divide Harms Workers 
and What We Can Do About It, The Century Foundation, (2020), https://tcf.org/content/report/disconnected-digital-divide-harms-workers-can/?session=1 (accessed 8/4/2022).
    \6\ U.S. Department of Housing and Urban Development, Resident 
Characteristics Report, March 01, 2021 through June 30, 2022, 
https://www.hud.gov/program_offices/public_indian_housing/systems/pic/50058/rcr (accessed 8/4/2022).
---------------------------------------------------------------------------

    Research conducted by the U.S. Government Accountability Office 
highlighted several significant barriers that deter the adoption of 
broadband technology by the communities HUD serves.\7\ These barriers 
continue to include:
---------------------------------------------------------------------------

    \7\ U.S. Government Accountability Office, Report to 
Congressional Requesters, Broadband: Intended Outcomes and 
Effectiveness of Efforts to Address Adoption Barriers Are Unclear, 
(2015), https://www.gao.gov/products/gao-15-473 (accessed 8/4/2022).
---------------------------------------------------------------------------

     Cost: The most commonly-cited barrier to broadband 
adoption is the high cost of internet subscriptions and computer 
equipment.
     Perception: Many individuals are concerned that broadband 
does not provide sufficient utility to offset its high cost or believe 
that broadband is not relevant to their life.
     Skills: Lack of technology skills often present a barrier 
to broadband adoption for older adults and lower-income households.
     Infrastructure: Tribes and rural communities face the 
ongoing problem of lack of available broadband infrastructure. States 
with large rural areas tend to have larger digital divides.\8\
---------------------------------------------------------------------------

    \8\ Frost, Pandemic Highlights Disparities in High-Speed 
Internet Service, Joint Center for Housing Studies, Harvard 
University, (2021), https://www.jchs.harvard.edu/blog/pandemic-highlights-disparities-high-speed-internet-service (accessed 10/14/
2022).
---------------------------------------------------------------------------

    This opportunity to join CHUSA comes at a time when the federal 
government is providing unprecedented levels of funding for broadband 
networking and digital equity through various programs including the 
Affordable Connectivity Program, the Broadband Equity, Access and 
Deployment (BEAD) Program, the Digital Equity Act (DEA) and other 
programs.\9\ HUD will assist selected communities connect to these 
funding and other opportunities in order to minimize the barriers 
listed above, and close the digital divide.
---------------------------------------------------------------------------

    \9\ https://www.affordableconnectivity.gov/; https://broadbandusa.ntia.doc.gov/funding-programs/broadband-equity-access-and-deployment-bead-program; https://www.internetforall.gov/program/digital-equity-act-programs; https://www.internetforall.gov/.
---------------------------------------------------------------------------

II. Notice

    This Notice seeks to further expand CHUSA and restructure its 
program model. The goal of this expansion is to add another 50 to 100 
new communities. The program restructuring would adopt a three-tiered 
model, as described in this notice. This Notice and proposed 
restructuring also responds to Congressional interest \10\ in having 
CHUSA reach more HUD-served communities.
---------------------------------------------------------------------------

    \10\ See FY21 Congressional Appropriations Conference Report: 
https://docs.house.gov/billsthisweek/20201221/BILLS-116RCP68-JES-DIVISION-L.pdf; and see FY22 Congressional Appropriations Conference 
Report: BILLS-117RCP35-JES-DIVISION-L.pdf (house.gov).
---------------------------------------------------------------------------

    HUD's goal is to identify new communities from urban and rural and 
Tribal locations with both small and large populations that have the 
capacity to effectively narrow the digital divide, including expanding 
programs and capabilities over time. HUD seeks communities where state, 
local or Tribal leadership has already taken steps to support the goals 
of CHUSA, as measured by both the community's participation in other 
complementary Federal initiatives such as the Affordable Connectivity 
Program \11\ which enhance internet access in communities and by local 
broadband plans and strategies for implementation. HUD seeks to partner 
with new communities, as well as existing CHUSA communities that wish 
to continue their work, and provide technical assistance to these 
communities to identify financial, in-kind and other resources to 
accomplish the goals of CHUSA. In this vein, HUD encourages applicants 
to familiarize themselves with other Federal programs that are funding 
broadband, such as the

[[Page 71588]]

Broadband Equity, Access and Deployment grant ($42.45 billion) and the 
Digital Equity Act grant program ($2.75 billion) by going to this 
comprehensive website: www.internetforall.gov.
---------------------------------------------------------------------------

    \11\ The Affordable Connectivity Program provides a monthly 
subsidy of up to $30 ($75 on qualifying Tribal lands) to cover the 
cost of internet service for low-income Americans. For more 
information to go: Affordable Connectivity Program [verbar] Federal 
Communications Commission (fcc.gov).
---------------------------------------------------------------------------

    The number of communities served by CHUSA will depend on the number 
of communities that commit to narrowing the digital divide and that 
meet certain criteria. Exhibit A below sets forth these proposed 
criteria to restructure the program to create optimal conditions to 
accelerate the adoption and use of broadband technology and expand this 
technology within new and existing communities.
    HUD would restructure the program to establish three tiers. Each 
tier is intended to be flexible, recognizing the diverse set of 
communities being considered for or already participating in CHUSA. 
Tier 1 addresses new communities. Tier 2 concerns existing communities, 
including those that can assist new communities. Tier 3 are those 
communities that complete the criteria of Tier 2 and wish to further 
evaluate and refine their existing connectivity solution to ensure it 
best meets their community's needs. HUD will not solicit any Tier 3 
communities at this stage.
    There is no Congressional funding for CHUSA; the program 
implementation is contingent upon HUD resources such as staffing and 
technical assistance. As this expansion proceeds, HUD will continue to 
assess community interest and the availability of HUD staffing 
resources to support participation by additional communities. HUD will 
also assess the effectiveness of the selection criteria within the 
three tiers on an ongoing basis. Such assessment may expand the number 
of participating communities, revise the selection criteria, or both to 
reflect HUD's experience in implementing CHUSA.

III. Evaluating ConnectHomeUSA

    HUD intends to extend the outcomes of CHUSA, with the goal of 
increasing the number of participating communities. To this end, HUD 
will work with entities across the government, its nonprofit partner, 
EducationSuperHighway,\12\ and the research community to rigorously 
measure outcomes associated with the work of CHUSA to narrow the 
digital divide.\13\ The participating communities are expected to 
participate in any efforts designed to identify and share best 
practices with other HUD-assisted communities. In addition, 
participating communities will be required to measure and report 
outputs and outcomes.
---------------------------------------------------------------------------

    \12\ https://www.educationsuperhighway.org/.
    \13\ In 2018, HUD conducted a study of the original pilot 
program and found that the ConnectHome intervention helped 71% use 
the internet for activities they could not previously undertake due 
to reliance on a cell phone with limited data (p. 39). See: 
ConnectHome Initiative--Full Report (huduser.gov/portal/publications/ConnectHome.html).
---------------------------------------------------------------------------

IV. Solicitation of Public Comments

    In accordance with 24 CFR part 10 and section 470 of the Housing 
and Urban-Rural Recovery Act of 1983 (42 U.S.C. 3542), HUD is seeking 
comment on this expansion and restructuring of the CHUSA initiative in 
this Federal Register notice for 60-days of public comment. The public 
comment period provided allows HUD the opportunity to consider comments 
and be in a position to commence implementation of the expansion 
following the conclusion of the 60-day period. [Note: Do not submit 
application documents as public comments. See Section E in Exhibit A 
below for CHUSA application instructions.] HUD is also interested in 
receiving comments about specific areas. HUD will evaluate responses to 
the questions below and may modify the design of the program. If HUD 
decides to announce any changes to the program, HUD will provide notice 
to the public prior to requesting applications.

1. The Digital Inclusion Stool (See Paragraph A.1 in Exhibit A)

    The primary focus of CHUSA addresses the three legs of the digital 
inclusion stool. HUD asks Tier 2 and Tier 3 communities to use their 
accomplishments in addressing the digital inclusion stool as a platform 
for helping residents achieve other outcomes by entering into 
agreements with quality-of-life partners. Should HUD ask communities to 
focus on other areas such as employment and education?

2. Tiered Model

    a. Is the support HUD describes sufficient for each Tier, or should 
HUD consider other forms of support? If so, what kind? To answer this 
question, HUD recommends reviewing paragraph B.3 in Exhibit A.
    b. Should HUD consider other achievements in order for Tier 1 
communities to be able to graduate to Tier 2 and for Tier 2 communities 
to graduate to Tier 3? To answer this question, HUD recommends 
reviewing paragraph C in Exhibit A.
    c. The proposed focus of Tier 3 is connectivity; should Tier 3 
focus on other elements instead or in addition to connectivity?

3. Required Levels of Engagement (See Section C in Exhibit A)

    a. Staffing. During the implementation of both the pilot 
ConnectHome and expansion CHUSA programs, HUD found communities with 
dedicated staff support were generally more successful. For this 
reason, HUD is asking communities to identify a staff person who would 
be responsible for leading this work. HUD is interested in 
understanding whether this requirement is overly burdensome.
    b. Data Collection. HUD is proposing that selected communities 
report on a quarterly basis the number of in-home internet connections, 
devices, and digital skills trainings residents complete each quarter. 
Is this frequency enough, is it burdensome, and what challenges to 
collecting this data should HUD be aware of? Should HUD consider other 
metrics? Finally, how should HUD share or display the data collected--
should it be available to the public or shared only with participating 
communities?
    c. Three-year commitment. HUD is asking communities to commit to a 
three-year program. Is this period long enough to help communities 
realize gains in each area of the digital inclusion stool or should HUD 
consider a different time period?

4. Digital Badges (See Paragraph B.5 of Appendix A)

    HUD is proposing a variety of digital badges to recognize 
programmatic achievements. Some of these badges will be required to 
graduate to a higher tier. Are there other ways HUD could recognize 
community achievements or other achievements HUD should recognize?

5. Resources

    There are new federal funding resources available to address the 
three legs of the digital inclusion stool, such as the Affordable 
Connectivity Program which covers up to $30 for internet service (and 
up to $75 on tribal lands) for qualifying families. There are also 
forthcoming Digital Equity Act funds that will provide funding for the 
types of activities CHUSA communities undertake. In addition to these 
resources as well as access to HUD staff, HUD-provided technical 
assistance, and EducationSuperHighway's expertise, HUD is interested in 
understanding whether there are other resources that communities would 
find useful in order to implement a CHUSA program.

[[Page 71589]]

6. Selection Criteria (See Sections C and D of Appendix A)

    Are there other factors HUD should consider when evaluating 
applications?

Dominique Blom,
General Deputy Assistant Secretary--Public and Indian Housing.

Exhibit A

Restructuring the ConnectHomeUSA Program

A. Background

    The U.S. Department of Housing and Urban Development (HUD) has 
long understood the importance of bridging the digital divide. Since 
1995, HUD has engaged in various digital inclusion efforts, 
including community-based programs such as Neighborhood Networks and 
CHUSA. HUD has also updated regulations to assess the need for and 
allow the use of HUD funding for broadband-related uses.\14\ These 
efforts have helped to ensure HUD-assisted residents' broadband 
needs are addressed within the parameters of HUD's existing 
authorities and funding.
---------------------------------------------------------------------------

    \14\ Narrowing the Digital Divide Through Installation of 
Broadband Infrastructure in HUD-Funded New Construction and 
Substantial Rehabilitation of Multifamily Rental Housing (December 
2016); Modernizing HUD's Consolidated Planning Process to Narrow the 
Digital Divide and Increase Resilience to Natural Hazards (December 
2016); and Use of Public Housing Funding to Support internet 
Connectivity for Residents (January 2021).
---------------------------------------------------------------------------

    HUD is committed to further narrowing the digital divide in HUD-
assisted communities. The further expansion of CHUSA announced in 
this Notice builds on best practices and lessons learned from the 
100 communities that have joined ConnectHome or CHUSA since 2015. 
The expansion also responds to Congressional interest \15\ in seeing 
CHUSA grow. With the support of HUD's new nonprofit partner, 
EducationSuperHighway (ESH), this expansion will create a new tiered 
model to support participating communities' digital inclusion and 
digital equity goals.
---------------------------------------------------------------------------

    \15\ See FY21 Congressional Appropriations Conference Report: 
https://docs.house.gov/billsthisweek/20201221/BILLS-116RCP68-JES-DIVISION-L.pdf; and see FY22 Congressional Appropriations Conference 
Report: BILLS-117RCP35-JES-DIVISION-L.pdf (house.gov).
---------------------------------------------------------------------------

    The opportunity to join CHUSA comes at a time when the federal 
government is providing unprecedented levels of funding for 
broadband networking and digital equity through various programs 
including the Affordable Connectivity Program, the Broadband Equity, 
Access and Deployment Program, the Digital Equity Act and other 
programs.\16\ HUD will assist selected communities to connect to 
these funding opportunities.
---------------------------------------------------------------------------

    \16\ https://www.affordableconnectivity.gov/; https://broadbandusa.ntia.doc.gov/funding-programs/broadband-equity-access-and-deployment-bead-program; https://www.internetforall.gov/program/digital-equity-act-programs; https://www.internetforall.gov/.
---------------------------------------------------------------------------

1. Goals of CHUSA

    The overarching goal of CHUSA is to assist participating 
communities to effectively bridge the digital divide by addressing 
the three primary barriers to internet adoption in low-income 
communities:
     High cost or lack of internet service;
     High cost or lack of computing devices (smart phones 
are not considered computing devices for the purposes of CHUSA); and
     The need for hands-on digital literacy training.

These three elements are commonly referred to as ``the three legs of 
the digital inclusion stool.''

    Successfully addressing the digital inclusion stool requires 
contributions from various organizations--no single organization can 
do this work alone. For this reason, the collective impact model 
\17\ is the organizing principle around which CHUSA is based. This 
principle relies on one organization acting as the conductor, or 
leader, that organizes the symphony of partners towards achieving 
the agreed-upon goal of narrowing the digital divide in the targeted 
community. In the case of CHUSA, the housing entity such as a PHA 
usually serves as the lead organization.
---------------------------------------------------------------------------

    \17\ https://socialinnovation.usc.edu/wp-content/uploads/2018/06/Collective-Impact-Handout.pdf.
---------------------------------------------------------------------------

    During the course of a three-year commitment, Tier 1 communities 
establish goals and partnerships that address all three legs of the 
digital inclusion stool. Tier 2 and Tier 3 communities continue this 
work and use it as a platform for enhancing the economic, 
educational, and social well-being of the public and assisted 
housing residents in their targeted neighborhoods. Tier 2 and 3 
communities will be asked to enter into an agreement with a 
``quality-of-life'' partner such as a community college, 
apprenticeship program, local employer, or other organization.

B. Scope of Expansion and Timeline for Selection

1. Scope of Expansion

    With this Notice, HUD is announcing a 50-100 community expansion 
of the CHUSA program. HUD seeks applicants from the Public and 
Indian Housing and Multifamily Housing programs from all HUD 
regions.
    HUD recognizes that some communities may be new to the work of 
digital inclusion while others may be ready for a deeper investment, 
and still others might fall somewhere in between. For this reason, 
HUD has established a three-tiered model that would allow 
communities to take an incremental approach to this work. All 
communities, except existing CHUSA communities, would apply to join 
Tier 1. Existing CHUSA communities are encouraged to apply as Tier 2 
communities. If selected, HUD (with support from its nonprofit 
partner, ESH) will work with communities to help them reach the 
level of engagement, or tier, they are most interested in pursuing.

2. Eligible Applicants

    HUD seeks applicants from all ten HUD regions, Public and Indian 
Housing, and Multifamily Housing programs (including (but not 
limited to) Section 8 Project-Based Rental Assistance, Section 202, 
and Section 811 programs). Applications can be submitted by:
     Public Housing Agencies or their nonprofit affiliates;
     Tribes/Tribally Designated Housing Entities; and
     Multifamily owners and operators.

3. Tiered Model

    Closing the digital divide requires many organizations working 
together. The new CHUSA program allows communities to build their 
capacity and partnerships over time. This approach facilitates the 
creation of robust and sustainable digital inclusion programs.
    Tier 1 helps communities put in place the key components around 
the digital inclusion stool that are necessary for building a 
comprehensive digital inclusion program. Tier 2 will support 
communities' plans to grow their programs by offering more hands-on 
assistance tailored to the individual community's needs from HUD 
Headquarters and field staff as well as support from ESH. The areas 
of assistance offered could range from connecting to local partners, 
assisting with the development of the CHUSA Action Plan and 
convenings, providing information about funding opportunities, or 
other technical assistance. Tier 3 is reserved for communities that 
have met the requirements of Tier 2 and wish to evaluate their 
existing connectivity solution, refine it, or develop a customized 
connectivity solution that best meets the needs of their targeted 
neighborhoods and properties while still providing programs that 
address the three legs of the digital inclusion stool and their 
quality-of-life goals. With the exception of existing CHUSA 
communities, this Notice is asking interested applicants to sign on 
as Tier 1 communities. Former or current CHUSA communities are 
encouraged to apply to join as Tier 2 communities.
    Each tier will have reporting requirements that will allow 
communities to demonstrate achievement of specific metrics that 
signal progress and will allow communities to eventually graduate to 
a higher tier. HUD will award distinct electronic badges for each 
metric attained. Communities can use these badges to display on 
their websites, social media sites, marketing or other 
communications materials, and share with potential funders. See 
paragraph 5 below for a description of the badges HUD will award.

a. Tier 1: Basic Engagement Requirements

    This introductory level asks participating communities to commit 
to closing the digital divide in their communities by:
     Using existing CHUSA technical assistance tools and 
products \18\ to deepen their understanding of digital inclusion; 
and
---------------------------------------------------------------------------

    \18\ CHUSA TA products include: The CHUSA Playbook; webinars 
tied to Playbook chapters; toolkits, guides and planning documents; 
and the annual CHUSA Summits. Note: Tier 1 communities will have 
access to in-person summits on a space-available basis, but will 
have access to all virtual broadcasting of the summits. https://www.hudexchange.info/programs/connecthomeusa/.

---------------------------------------------------------------------------

[[Page 71590]]

     Assigning a staff lead to begin establishing the 
necessary elements and partnerships to close the digital divide in 
their communities (see Section C, ``Application and Criteria for 
Participation'' below).
    Interested communities can qualify for this tier by submitting a 
Letter of Intent indicating their interest in joining the 
initiative. See Section C ``Application and Criteria for 
Participation'' below for Letter of Intent requirements.

HUD Support

    If selected for Tier 1, you will receive:
     An electronic badge indicating your official 
participation in Tier 1. This badge can be used to announce your 
participation in this national initiative, posted on your website, 
shared with potential funders, and used in other communications 
materials;
     Access to all future CHUSA technical assistance 
announcements including invitations to webinars, special events, and 
summits (Note: Tiers 2 and 3 will receive priority for in-person 
events);
     Invitations to collaborate on CHUSA events that may be 
facilitated by HUD; and
     Information about and support for connecting to 
opportunities funded under the Broadband Equity, Access and 
Deployment Program, and the Digital Equity Act.

b. Tier 2: Intermediate Engagement Requirements

    Existing CHUSA communities can qualify for this tier by 
submitting a Letter of Intent indicating their interest in 
continuing participation for an additional three years (See Section 
C, ``Application and Criteria for Participation'' below for Letter 
of Intent requirements).

HUD Support

    If selected for Tier 2, you will receive:
     All HUD support included in Tier 1;
     Electronic badges indicating specific accomplishments 
(e.g., number of residents trained) which can be used to demonstrate 
accomplishments to partners and funders;
     Access to HUD staff for organizational assistance with 
local CHUSA convenings and troubleshooting challenges;
     Technical assistance from HUD and ESH to help address 
connectivity challenges and support for the initial development of a 
customized connectivity plan (if applicable);
     Specific guidance around BEAD and DEA funding 
requirements and opportunities;
     Access to all stakeholder offers that may be limited to 
CHUSA communities;
     Access to CHUSA VISTA positions on a first-come, first-
served basis; and
     Priority registration for the CHUSA annual summit.

c. Tier 3: Advanced Engagement Requirements

    Tier 2 communities that have fulfilled all requirements can move 
to Tier 3 by demonstrating an interest in evaluating their existing 
connectivity solution, refining it, and/or developing a customized 
connectivity solution that would allow for free or very affordable 
service for their residents that:
     Creates innovative and sustainable connectivity 
solutions that can serve as replicable models for other affordable 
housing providers;
     Continues to provide digital literacy training and 
access to affordable devices; and
     Creates pathways into apprenticeships and/or employment 
in fields requiring digital skills (in collaboration with the 
existing quality-of-life partner or other organizations).

HUD Support

    If selected for Tier 3, you will receive:
     All HUD support included in Tier 2;
     If funds allow, a dedicated HUD staff person to support 
your work;
     Ongoing support from HUD and ESH to provide technical 
assistance towards developing and implementing a customized 
connectivity solution; and
     Enhanced HUD collaboration around community-driven 
outreach and goals.

4. Changing Tiers

    Communities selected to participate in Tier 1 or Tier 2 may 
submit a request to move to the next tier at any time during the 
three-year term. They must submit a Letter of Intent to 
[email protected] that demonstrates they have met the requirements 
of their existing tier (see Section C, ``Application and Criteria 
for Participation'' below) and are ready to implement the 
requirements of the tier they wish to join.

5. Electronic Badges

    HUD will award badges to officially recognize communities 
participating in this program for key accomplishments. Receipt of 
key badges will be necessary to move to the desired tier. As the 
program unfolds, additional badges may be created. The types of 
badges include:

 Designation as CHUSA Community:
    [cir] Tier 1 ConnectHomeUSA Badge
    [cir] Tier 2 ConnectHomeUSA Badge
    [cir] Tier 3 ConnectHomeUSA Badge
 Program Accomplishments:

----------------------------------------------------------------------------------------------------------------
                                                                                                Training (number
                                                            Connectivity     Devices (number     of  residents
                                                           (percentage of       of devices         completing
                      Badge level                           target units    distributed, % of    digital skills
                                                             connected)           goal)          training, % of
                                                                                                     goal)
----------------------------------------------------------------------------------------------------------------
Bronze.................................................                 25                 25                 25
Silver.................................................                 50                 50                 50
Gold...................................................                 85                 85                 85
Platinum...............................................             90-100             90-100             90-100
----------------------------------------------------------------------------------------------------------------

 Program Milestones:
    [cir] Baseline Survey Completed
    [cir] Convening Held
    [ssquf] Bronze (Year 1)
    [ssquf] Silver (Year 2)
    [ssquf] Gold (Year 3)
    [ssquf] Platinum (for Tier 3)
    [cir] Action Plan Submitted and Approved
    [ssquf] Bronze (Year 1)
    [ssquf] Silver (Year 2)
    [ssquf] Gold (Year 3)
    [ssquf] Platinum (for Tier 3)
    [cir] Memorandum of Understanding (MOU) with State or City/
Tribal Leadership Finalized
    [cir] MOU with Quality-of-Life Partner Finalized
    [cir] Data Leader
    [cir] Digital Ambassador Program Established
    [cir] Digital Inclusion Coalition Established
    [cir] Designated Mentor Community (for other CHUSA communities)

6. Number of Communities To Be Selected

    HUD will select between 50 and 100 communities to join Tier 1. 
Existing CHUSA communities wishing to continue their participation 
in the initiative can apply to join as Tier 2 communities.

7. Application Due Date

    Letters of Intent are due February 15, 2024. Letters of Intent 
must be submitted to the following email address: 
[email protected].

8. Date of Announcement of Selected Communities

    HUD will announce selected communities by MAY 15, 2024.

9. Commitment Period

    Communities will be expected to commit to participation in CHUSA 
for a period of three years.

10. Extension Periods

    Participating communities may request to extend their period of 
participation beyond three years. For example, communities in Tier 1 
that advance to Tier 2 during the course of their first three-year 
term, may wish to continue participating for a longer period to 
achieve the goals associated with Tier 2.

[[Page 71591]]

    Communities wishing to extend their participation should email 
their request to [email protected]. HUD staff will work with the 
community to determine if an extension is warranted.

C. Application and Criteria for Participation

    Applicants interested in either Tier 1 or Tier 2 must submit a 
Letter of Intent to [email protected]. Interested 
applicants should familiarize themselves with the application 
requirements and program expectations described below. Tier 2 is 
reserved for communities that were part of the ConnectHome pilot 
program or the CHUSA program.

Tier 1: Basic Engagement--Application Requirements

Application Requirements

    In order to indicate your interest in joining the CHUSA 
initiative as a Tier 1 community, you must submit a Letter of Intent 
indicating that you will begin working to close the digital divide 
in your community. The letter must indicate how you will meet the 
required levels of engagement outlined in the paragraph below. The 
letter must be submitted to [email protected], must include 
a primary point of contact, and must be signed by your Executive 
Director or other official authorized to make this commitment.

Required Levels of Engagement

    If selected, you will be asked to commit to the following over a 
three-year period:
     Assign a staff member(s) to lead the work (learning 
about digital inclusion, sharing findings with key staff, developing 
an initial Action Plan. See the Launchpad chapters of the CHUSA 
Playbook \19\ and the associated Toolkits \20\);
---------------------------------------------------------------------------

    \19\ https://static1.squarespace.com/static/590bfab229687fec92f55513/t/5df26fd4d153a4617e035aad/1576169435094/ConnectHomeUSA+Playbook+2019+1-8_Final.pdf.
    \20\ https://www.hudexchange.info/programs/connecthomeusa/playbook-toolkits-and-guides/.
---------------------------------------------------------------------------

     Indicate which developments you are targeting; please 
include the addresses and number of units;
     Administer a baseline resident survey to understand the 
level of need for connectivity, devices, and digital skills training 
by the end of the first year of receiving your CHUSA designation;
     Establish annual internet adoption, device, and 
training goals for each of the three years of your participation;
     Participate in CHUSA-sponsored training events such as 
webinars and conferences. (NOTE: Tier 1 communities will be able to 
participate in annual in-person CHUSA summits on a space-available 
basis but they will be able to participate in any virtual portions);
     Participate in community of practice forums that may be 
established for this Tier; and
     Submit quarterly reports on the achievement of the 
metrics associated with Tier 1 as relevant (see below).

Graduating to Tier 2

    At any time during the initial three-year period, if your 
community is interested in moving to Tier 2, you will be required to 
submit a new Letter of Intent that matches the application 
requirements for Tier 2 and demonstrates the accomplishment of the 
criteria outlined below:
     Using your baseline survey results as a guide, describe 
annual connectivity, device, and training goals leading to a three-
year goal of connecting 85% of your target population by the end of 
three years;
     Hold a convening of local and national stakeholders and 
partners who can assist you in reaching your goals (see CHUSA 
Playbook Chapter 4 on Convenings and the associated Convening 
Toolkit);
     Submit to your local HUD ConnectHomeUSA lead a CHUSA 
Action Plan outlining your goals (see the Action Plan template \21\ 
and Playbook Launchpad Chapters 1-5) and receive HUD approval;
---------------------------------------------------------------------------

    \21\ https://www.hudexchange.info/resource/6723/connecthomeusa-action-plan-toolkit/.
---------------------------------------------------------------------------

     Enter into a formal partnership agreement with your 
state or municipal leadership and a quality-of-life partner; and
     Commit to submitting quarterly reporting on the number 
of connections, devices, and digital literacy training completions.

Tier 1 Badges Required for Graduating to Tier 2

 Baseline Survey Completed
 Convening Held
 Action Plan Submitted and Approved
 MOU with City/Tribal Leadership Finalized
 MOU with Quality-of-Life Partner Finalized

Tier 2: Intermediate Engagement

    With this Notice, HUD is asking existing CHUSA communities (or 
previous pilot communities) to formally opt into this expansion by 
submitting a Letter of Intent that addresses the elements outlined 
in the ``Application Requirements'' paragraph below. CHUSA 
communities accepted into Tier 2 will also be expected to meet the 
requirement specified in the ``Required Levels of Engagement'' 
paragraph below.
    Tier 2 requires active engagement by three entities: the housing 
provider, state or municipal leadership, and a quality-of-life 
partner. The three entities must commit to working together to close 
the digital divide and leverage connectivity gains to help residents 
make progress in other socio-economic areas.

Application Requirements

    CHUSA communities interested in continuing their participation 
in this initiative must submit a Letter of Intent that:
     Identifies key staff person(s) responsible for carrying 
out your CHUSA program;
     Quantifies your connectivity, device, and training 
achievements to date. This will serve as a baseline against which to 
measure your future progress;
     Indicates the targeted developments for this phase of 
your participation and the number of units;
     Commits to administering another baseline survey in the 
first six months to inform your ongoing connectivity, device, 
training, and other goals;
     Describes your vision and goals (including for 
connectivity, devices, and training) for this phase of your 
participation (Note: goals may be updated after results are obtained 
from the baseline survey) and how this work will be supported by 
your organization's leadership;
     Identifies a state or municipal or tribal partner 
agency and contact; and
     Identifies a quality-of-life partner and contact.

Required Levels of Engagement

    If selected, you will be asked to commit to the following over a 
three-year period:
     Assign a staff person(s) responsible for carrying out 
your CHUSA program;
     Administer a baseline resident survey within the first 
six months to understand the level of community need for 
connectivity, devices, digital literacy training; and other areas of 
interest (e.g., workforce development and apprenticeships, etc.). 
The results will be used to refine the goals you outlined in your 
application;
     Host a local convening (may be virtual) of current and 
potential CHUSA stakeholders to form partnerships. The convening 
must be completed no later than six months after being selected (see 
ConnectHomeUSA Playbook Chapter 4);
     Submit an Action Plan (See template on HUD Exchange, 
Playbook Launchpad chapters 1-5, and the accompanying Launchpad 
Toolkit) targeting the identified needs from the baseline survey to 
HUD CHUSA staff no later than 3 months after your convening;
     Establish annual internet adoption, device, and 
training goals for each of the three years of your participation;
     Your connectivity goal should lead to 85% connectivity 
of your target community by the end of the three years;
     Enter into an agreement with a third-party partner to 
bring employment, education, or other related opportunity to the 
targeted community by the end of the first year;
     Use HUD or ESH-indicated reporting tool to track 
progress on a quarterly basis (see Tier 2 Badges paragraph below);
     Participate in monthly regional HUD calls and/or other 
community of practice forums that may be established;
     Participate in the annual CHUSA Summits (either 
virtually or in-person).

Tier 2 Badges

    Using data you submit during the course of your participation in 
Tier 2, you will be eligible to receive badges for achievements 
related to connectivity, devices, training as well as badges that 
recognize project milestones.

 By the end of year 1, we will expect the following badges 
to be earned:
    [cir] Bronze badges for all three legs of the digital inclusion 
stool
    [cir] Baseline Survey Completed
    [cir] Convening Held (Bronze)
    [cir] Y1 Action Plan Submitted and Approved
    [cir] MOU with City/Tribal Leadership Finalized
    [cir] MOU with Quality-of-Life Partner Finalized

[[Page 71592]]

 By the end of year 2, we will expect the following badges 
to be earned:
    [cir] Silver badges for all three legs of the digital inclusion 
stool
    [cir] Y2 Action Plan Submitted and Approved (Silver badge)
    [cir] Convening Held--Silver (Optional but encouraged)
 By the end of year 3, we will expect the following badges 
to be earned:
    [cir] Gold badges for all three legs of the digital inclusion 
stool
    [cir] Y3 Action Plan Submitted and Approved (Silver badge)
    [cir] Convening Held--Gold (Optional but encouraged)

Graduating to Tier 3

    Tier 2 communities that have made significant strides in 
connecting residents to in-unit internet service, devices and 
training (attainment of silver badges in two of these areas will be 
required as a minimum) and that wish to deepen their digital 
inclusion work by evaluating their existing connectivity solution, 
refining it, and/or developing a customized connectivity solution 
that best meets the needs of their targeted communities may contact 
their HUD CHUSA staff to join Tier 3.

Tier 3: Advanced Engagement

    HUD and ESH staff will work closely with these communities to 
help them assess their current connectivity solution, refine and/or 
create customized connectivity solutions, address challenges, and 
identify outside resources to support the work. These communities 
will be required to continue to report and to develop an Annual 
Action Plan for the duration of their participation (between 1-3 
years).

D. Selection Criteria

Tier 1: Basic Engagement

    HUD is looking for comprehensive and detailed responses to the 
criteria outlined under Section C, ``Application and Criteria for 
Participation'' for this tier. Letters of Intent should clearly 
demonstrate a strong interest in narrowing the digital divide in the 
target communities.

Tier 2: Intermediate Engagement

    HUD is looking for comprehensive and detailed responses to the 
criteria outlined under ``Application and Criteria for 
Participation'' for this tier. Letters of Intent should clearly 
demonstrate a strong commitment to narrowing the digital divide in 
your target communities and demonstrate strong partnerships with 
state, local or Tribal government and a quality-of-life partner. 
Letters of Intent should clearly describe how the applicant's 
organization will support the work and how this work can complement 
the organization's other self-sufficiency efforts or programs.

Tier 3: Advanced Engagement

    No applications for this Tier are being accepted at this time. 
Tier 2 communities that demonstrate significant progress in each 
area of the digital inclusion stool (silver-level badges will be 
required for at least two of the three legs of the stool) as well as 
ongoing commitment to this work through the active engagement of 
staff and regular reporting, will be able to move to this tier and 
benefit from the tailored assistance aligned with this tier.

E. CHUSA Application Instructions

    Eligible entities interested in applying to join this expansion 
of CHUSA should send a Letter of Intent to: 
[email protected]. This Letter of Intent serves as an 
application to participate in the CHUSA expansion detailed in this 
notice. See Section C, ``Application and Criteria for 
Participation'' for details regarding the Letter of Intent.
    Applications will be accepted by HUD beginning 61 days after the 
publication of this notice in the Federal Register. All applications 
must be submitted by February 15, 2024. Any application submitted 
after this deadline will not be accepted.

[FR Doc. 2023-22800 Filed 10-16-23; 8:45 am]
BILLING CODE 4210-67-P