First Awards Under the Affordable Housing Connectivity Program Will Secure New $10/Month Broadband Service for Over 14,000 Low-Income Households in Buffalo, New York City and Rochester

Part of Governor Hochul’s ConnectALL Initiative To Transform Broadband Infrastructure and Bridge the Digital Divide Statewide

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Governor Kathy Hochul today announced the first grant awards under the Affordable Housing Connectivity Program that will deliver high-speed internet to thousands of lower income households. The inaugural awards from the Affordable Housing Connectivity Program will provide broadband service at $10 per month and Gigabit-speed service at $30 per month to an anticipated 14,167 lower income households across Buffalo, Rochester, upper Manhattan and the Bronx through 2034. The $13.1 million in total grant funding will connect 780 buildings, all of which include affordable housing and some of which are public housing properties.

“In today's digital age, access to reliable, affordable high-speed internet isn't just about convenience – it's about ensuring every New Yorker can participate fully in our modern economy and society,” Governor Hochul said. “Through these strategic investments, we're not only installing fiber and infrastructure, we're opening doors to education, healthcare and economic opportunity. By delivering affordable broadband solutions to our affordable housing communities and supporting county-led initiatives, we're creating a more connected and equitable New York.”

Empire State Development President, CEO, and Commissioner Hope Knight said, “These strategic investments are critical to achieving digital equity across New York State. Under Governor Hochul’s leadership, we are providing the infrastructure necessary for communities to thrive, supporting residents in affordable housing and ensuring rural counties have access to modern broadband solutions. Through the ConnectALL initiative, we're not just laying fiber – we're laying the foundation for stronger, more connected communities where every New Yorker has the tools they need to succeed in the digital economy.”

New York State Homes and Community Renewal Commissioner RuthAnne Visnauskas said, “This $13 million investment will help bridge the digital divide and make our communities more connected for generations to come. Thanks to Governor Hochul, the Affordable Housing Connectivity Program is improving quality-of-life for over 14,000 households across the state by ensuring all families, especially those in underserved neighborhoods, have the tools they need to thrive.”

US Senate Majority Leader Charles Schumer said, “Access to high-speed internet is as vital as electricity for everyday life. I’m proud to deliver over $13.1 million to help expand broadband infrastructure to boost affordable, high-quality internet access across New York State. This will help families stay connected to education, healthcare, economic opportunity, and each other. When I led the American Rescue Plan to passage, I ensured there was funding for long-term investments like this that would create good-paying jobs, helping build the 21st century infrastructure needed to make high-speed internet reach nearly every corner of the state regardless of zip code. I’m grateful for Governor Hochul’s work putting these federal dollars to work to ensure all New Yorkers get the equitable access to the high-speed internet that they deserve.”

The first round of grants under the Affordable Housing Connectivity Program are awarded to Flume Internet to expand its service footprint in New York City and bring its service for the first time to the Buffalo and Rochester areas. Flume will offer residents broadband service options of 100/20 Mbps for $10/month, 200/200 Mbps for $15/month, and 1000/1000 Mbps for $30/month, all with Wi-Fi. Those rates are locked in through 2034. Construction on all three projects will be complete and service will be available to all households by the end of 2026. All of the property owners have opted into the program, but must still approve the installations for Flume to reach all of the residents. Flume is partnering with local nonprofit organizations to provide comprehensive digital literacy support, including multilingual digital health and wellness programming, community outreach, and workshops. Flume will construct or acquire an estimated 39 miles of fiber optic infrastructure across the three markets and will use fixed wireless to extend the network to all the buildings.

The totals for the three grants are:

• New York City Region: $4,573,875 to connect 88 properties across the Bronx and New York counties, encompassing 126 buildings and 4,854 units and approximately 13 miles of fiber
• Finger Lakes Region: $3,930,473 to serve 51 properties in the Rochester metro area (Monroe and Ontario counties), covering 305 buildings and 4,280 units and approximately 12 miles of fiber
• Western New York Region: $4,678,197 to connect 39 properties in the Buffalo metro area (Erie County), serving 349 buildings and 5,033 units and approximately 14 miles of fiber

The Affordable Housing Connectivity Program, a partnership between Empire State Development's ConnectALL Office and New York State Homes and Community Renewal, has a goal of $100 million in grants to connect 100,000 homes across the state.The primary funding for the Program comes from the U.S. Treasury Department Capital Projects Fund, established under the American Rescue Plan Act.

Governor Hochul’s ConnectALL Initiative

Governor Hochul has made expanding broadband access a cornerstone of her administration's efforts to create a more equitable New York. Through the ConnectALL initiative, New York State is investing $1 billion to transform the state's digital infrastructure, enhance competition among providers, and ensure that every New Yorker has access to reliable, affordable high-speed internet.

To date, ConnectALL has overseen the successful launch and implementation of several programs to advance broadband access, including:

• The Digital Equity Program will invest $50 million, including a federal allocation of at least $37 million, to implement the New York State Digital Equity Plan to close the digital divide. The Plan outlines New York’s statewide strategy to increase capacity to improve digital literacy and digital job readiness skills, facilitate access to affordable internet and devices, enhance digital privacy and safety and make government services more accessible through the internet.
• The Municipal Infrastructure Program has awarded over $224 million for the construction of publicly-owned broadband infrastructure and delivery of affordable broadband service across the state. The program, primarily funded by the U.S. Department of the Treasury under the American Rescue Plan’s Capital Projects fund, facilitates a variety of models of municipal broadband, public-private partnerships, and open access networks to provide New Yorkers with affordable, high-quality service options. The Beta ConnectALL Projects Dashboard provides details on projects funded by the Municipal Infrastructure Program.
• The ConnectALL Deployment Program will fund internet service providers to reach unserved and underserved locations. ConnectALL released the program’s Request for Applications for approximately $644 million in December 2024, drawing on federal funding from the Broadband Equity, Access, and Deployment Program, as described in the ConnectALL Broadband Deployment Initial Proposal.