Commerce Department’s Rejection of ACORN Application Belies Alternative Funding Sources

An ACORN affiliate that submitted applications totaling over $6 million in federal grant money for broadband projects has been declared ineligible as a result of guidance issued by the Office of Management and Budget (OMB).

The ACORN Institute, a 501 (c) 3 group founded in 2000, submitted two separate applications to the U.S. Commerce Department’s National Telecommunications and Information Administration (NTIA) earlier this year. One was in the amount of $3,172,042 and the other was for $2,999,903.

Funding for the grant program was included as part of the American Recovery and Reinvestment Act and was set up to “help bridge the technological divide and create jobs building Internet infrastructure,” according to the NTIA.

On its web site, the ACORN Institute (AI) describes itself as “a nationally respected provider of training and technical assistance in organizing principles and methods, a center for research and public policy development on issues of economic and social justice, and a provider of various services to low- to moderate-income individuals.” AI also includes an “experienced team” of “financial educators,” “tax preparers” and “benefits assistance specialists.”

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