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A temporary hold has been placed on all disbursements of BEAD dollars by the Texas Broadband Development Office, the AP is reporting.

By Brad Randall, Broadband Communities

A reason was not given for a new hold on funding disbursements, placed by the Texas Broadband Development Office on billions of dollars in federal funding intended for the state’s broadband buildout, the AP reported August 12.

The hold, which has been placed until Monday, and which will allegedly exist “until further notice,” according to an email from the office obtained by the AP, comes after lawmakers in Texas have accused the office of giving special treatment to satellite providers.

Last month, Kevin Lyons, a spokesperson for the Texas Comptroller’s office, told The Texas Tribune that the allegations “appear to be driven by certain companies’ dissatisfaction with the outcome of an impartial process.”

While more details weren’t revealed about the nature of the disbursement freeze by the AP, recent events could shine some light on how things have unfolded in Texas.

To kick off August, Texas Comptroller Don Huffines announced a comprehensive performance review of the Comptroller’s office, of which the broadband office is a part.

“The people of Texas demand efficiency from their government,” said Huffines, who was recently sworn into office, in an August 4 release. “Every state and local official should be working toward continuous improvement to determine if savings and operational improvements can be identified.”

Texas broadband officials to be on hand at Summit ’26

Representatives from the Texas Comptroller’s office (Bryant Clayton, Director, Texas Comptroller of Public Accounts) and the Texas Broadband Development Office (Lauren Weber, Digital Opportunity Coordinator) will be on hand in Houston later this month as Broadband Communities Summit 2026 gets underway.

Join the discussion about broadband in Texas. Get tickets to Summit ’26!

Over 27% of the technology distribution in Texas’ BEAD plan includes low-Earth orbit satellite coverage, according to Connected Nation’s BEAD tracker.

SpaceX also has the largest number of locations assigned to a provider in Texas, with nearly 64,000 locations to be served. The company was awarded grants worth over $108 million in Texas, Connected Nation’s BEAD tracker reports.

Allegations of mismanagement and favoritism have also mired the BEAD program at the national level, as has been previously reported by Broadband Communities.

This story will be updated as more details become available.

Don’t miss critical updates from the Texas Broadband Development Office at Broadband Communities Summit 2026 in Houston. Learn more about Summit ’26 or subscribe to the Broadband Communities newsletter!

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