Arkansas Loses $10.7M Telemedicine Grant as Federal Digital Equity Program Gets Axed

Digital Equity Dreams Shattered: UAMS Left in Limbo as $10.7 Million Broadband Grant Pulled Amid Program Shutdown

UAMS and partners left scrambling as a multi-million dollar federal grant for Arkansas internet and telehealth access disappears in 2025 shakeup.

Quick Facts:

  • $10.7M – Federal grant lost for Arkansas digital equity efforts
  • 5 – Key Arkansas organizations impacted
  • $2.5B – Total Digital Equity Program funding eliminated
  • 1.25B – Public broadband grant impacted nationwide

The digital future for Arkansas just hit a major roadblock.

Months after celebrating its top recommendation for a $10.7 million federal grant aimed at expanding telemedicine and broadband access, the University of Arkansas for Medical Sciences (UAMS) and a coalition of Arkansas organizations learned the funding is off the table.

The reason? The abrupt shutdown of the Digital Equity Act program, a nationwide initiative once poised to bridge the connectivity gap for millions in rural and underserved communities.

The Plug Pulled on Broadband Progress
In early 2024, UAMS was among only 24 projects chosen across 39 states and Guam by the National Telecommunications and Information Administration (NTIA) to receive crucial digital equity funding. The grant promised to transform healthcare for Arkansas’ older adults, lower-income households, and rural families through enhanced telehealth services in libraries, digital literacy training, and subsidized broadband access.

But a political tidal wave in May 2025 swept away that hope. Former President Donald Trump, on his Truth Social platform, announced his administration would immediately end the Digital Equity Act—calling it unconstitutional and a waste of taxpayer money. The $2.5 billion digital inclusion initiative was, as of that moment, finished.

While UAMS had only received a recommendation rather than a formal award, project collaborators were informed the grant was “dead,” effectively wiping out plans for telehealth hubs in libraries, lending programs for digital devices, and a robust network of digital coaches.

Who Misses Out? Arkansas Libraries, Schools, and Seniors
Five main Arkansas partners were set to benefit:

– Central Arkansas Library System (CALS) stood to gain $1.2 million for digital navigators and telemedicine kits—including laptops, blood pressure monitors, and privacy screens for patrons.
– The City of Little Rock, a “non-fiduciary partner”, was set to receive telemedicine equipment for senior centers and digital literacy workshops.
– The Academies of Central Arkansas had mapped out new internships and career pathways in cybersecurity and IT for high school students, expanding opportunities for dozens of youth in Pulaski County.
– The Arkansas Foundation for Medical Care and the Arkansas State Library were also part of the collaboration.

The needs are urgent. According to broadband advocacy data, as many as 30% of Arkansas residents in some rural regions lack reliable high-speed internet. For those in poverty, telemedicine at a local library is sometimes the only feasible healthcare option.

For more on how federal programs impact connectivity, visit the National Telecommunications and Information Administration.

Q: What Was the Digital Equity Act and Why Was It Shutdown?

The Digital Equity Act, born out of the $1 trillion 2021 bipartisan infrastructure law, aimed to close the digital divide with billions allocated for broadband expansion, device availability, and digital literacy programs. Announced in 2024, Arkansas’s UAMS was the state’s sole recommended recipient.

But the program became a political lightning rod. Leaders behind the shutdown argued the act funneled money inequitably and questioned the constitutionality of its grants. Without a formal award letter, UAMS never technically lost the money—but the effect has been just as devastating.

How Can Arkansas Communities Bridge the Digital Gap Now?

With federal funds now evaporated, organizations like CALS are scrambling to fill the gap. The path forward for Arkansas?

– Seek alternative grant opportunities from private foundations and corporations.
– Expand local public and private partnerships to increase digital literacy and telehealth resources.
– Advocate for renewed state-level investment in broadband infrastructure.

Residents who need digital access or health resources can check with the Arkansas State Library and local branches to find ongoing tech assistance programs.

Q: What’s Next for Telehealth and Broadband in Arkansas?

Leaders across Arkansas insist the fight isn’t over. While this major funding loss stings, momentum is building to push local policymakers and businesses to step up where federal dollars have dried up. Expect community-driven initiatives and state grants to take center stage, bolstered by advocacy from groups like Benton Institute for Broadband & Society.

Be part of the digital solution: Demand action and support local efforts to bring broadband and telehealth access to all corners of Arkansas!

Checklist for Digital Access Advocacy:

  • Connect with library digital navigator programs in your area
  • Urge state leaders to prioritize broadband infrastructure funding
  • Support local fundraising for device lending and digital literacy efforts
  • Help neighbors sign up for internet assistance programs
  • Stay informed with trusted news on technology policy from Reuters and CNN

References

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ByHannah Piquet

Hannah Piquet is an esteemed author and thought leader in the realms of new technologies and fintech. With a degree in Business Administration from George Washington University, she honed her expertise in financial systems and technological innovation. Hannah's career includes significant experience at HubSpot, where she contributed to pioneering projects that bridged the gap between technology and finance. Her insights into emerging fintech trends have been featured in various industry publications, and she is a sought-after speaker at conferences worldwide. Through her writing, Hannah aims to demystify complex technologies and empower readers to navigate the evolving financial landscape with confidence.

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