Shelby County refers $100,000 state broadband grant and Innovate Memphis contract to committee

The Shelby County Commission on a 9–1 vote on Jan. 27 moved a $100,000 state broadband grant and a proposed contract with Innovate Memphis back to committee for more detail on how the funds and devices would be targeted.

The grant, from the Tennessee Department of Economic and Community Development’s Broadband Ready Communities program, would provide $100,000 to Shelby County; Innovate Memphis proposed a contract with the county not to exceed $94,000 to manage part of the work. Hannah McCarthy of the Mayor’s Office of Innovation and Strategic Communications told commissioners the award focuses on the “devices” leg of a three-part digital equity approach — devices, connection to internet service providers and training — and that Innovate Memphis would partner with local nonprofits to distribute equipment.

Jessica Lotz, executive director of Innovate Memphis, said in the meeting the budget was written to place roughly $80,000 toward buying devices, which she estimated could buy between about 1,516 devices at the prices used when the grant was drafted. Lotz said Innovate Memphis planned to partner with eight nonprofits, prioritizing groups that serve low‑income families and provide digital literacy or broadband sign‑up help, and to hand out devices through partners with regular face‑to‑face client contact.

Commissioner Heidi Thornton, who pulled the item for discussion, pressed for a specific list or map of planned service areas. McCarthy and Lotz said they had used a Microsoft digital equity dashboard and FCC/census data to identify high need areas, noting concentrations of need in North and South Memphis, but they had not yet finalized partner organizations because the county’s approval was pending. Thornton moved to send the item back to committee for February 5 to allow staff to present a more specific scope and partner list; Commissioner Morrison objected to the referral on the floor, saying he preferred to move the item forward without delay.

McCarthy said acceptance of the grant is flexible but that funds must be expended by a date in 2026. The commission voted 9 in favor of referral (Clay Bibbs, Caswell, Sugarman, Bradford, Thornton, Brooks, Lowry, Avant, Chairman Whaley) and 1 opposed (Commissioner Morrison). The referral means the county will not accept or contract for the funds until the committee reviews a narrower plan.

Why it matters: County officials said the device-focused use of the grant is intended to close parts of the digital divide that affect access to health care, education and jobs. Commissioners who pressed for more detail said the award amount is small relative to overall need and want assurance the limited devices will be distributed to the neighborhoods with the highest unmet need.

What’s next: The referral sends staff back to committee for a Feb. 5 meeting where commissioners expect a prioritized geography and a recommended set of nonprofit partners for device distribution. Lotz and McCarthy offered to meet with commissioners in the interim to refine partner selection.

Votes at a glance: The motion to refer Item 2 to committee passed 9–1; the commission recorded the nay from Commissioner Morrison.