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Small Telcos Push for Broadband-Focused Universal Service Reform

WASHINGTON, December 7, 2009 – Broadband should be the central focus of the next generation of the Universal Service Fund, OPASTCO said Monday in comments filed with the Federal Communications Commission. TheOrganization for the Promotion and Aid of Small Telecommunications Companies’ comments highlight a plan to push affordable broadband to the rural areas those carriers serve.

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WASHINGTON, December 7, 2009 – Broadband should be the central focus of the next generation of the Universal Service Fund, OPASTCO said Monday in comments filed with the Federal Communications Commission. TheOrganization for the Promotion and Aid of Small Telecommunications Companies’ comments highlight a plan to push affordable broadband to the rural areas those carriers serve.

Under the OPASTCO proposal, the USF would support one fixed service and one mobile provider in each designated geographic area. Under the same plan, the current copper-based Public Switched Telephone Network would be transitioned to an all-broadband Voice over IP network after a seven year period.

OPASTCO’s plan, as submitted to the FCC, has seven main points in addition to supporting one landline and one wireless provider per area. Rural incumbent carriers could “opt-in” to the program by demonstrating that actual costs of providing services exceed a qualifying threshold.

If permitted to join the new system, initial levels of support would be based off of current levels provided under the current Universal Service Fund regime.

Intercarrier compensation would be eliminated over a seven year transition period under the OPASTCO plan. As PSTN networks are transitioned over to broadband-based networks, ICC revenues would be folded into the overall level of USF support a carrier would receive under the new program.

“Our nation needs a reformed, sustainable High-Cost universal service program that addresses our country’s growing thirst for high-speed broadband,” said Stuart Polikoff, OPASTCO’s vice president of regulatory policy and business development.

Broadband service would be a required offering for any USF-eligible provider under the OPASTCO plan, as all landline providers receiving support would be required to commit to offering broadband service at speeds equal to the national average broadband speed. End-user rates for those services would have to be reasonable comparable to the national average rate. Any recipient of USF funding would be required to submit to quality of service testing and oversight. In addition, programs to provide low income households with service would also be expanded to support broadband services for qualifying households.

“OPASTCO’s plan gives rural ILECs the necessary resources they need to serve as fixed broadband carriers of last resort, and each carrier can choose when to opt-in to the plan,” Polikoff said. “This ensures that residents and businesses everywhere, no matter where they are located, have access to the same advanced broadband services.”

Andrew Feinberg is the White House Correspondent and Managing Editor for Breakfast Media. He rejoined BroadbandBreakfast.com in late 2016 after working as a staff writer at The Hill and as a freelance writer. He worked at BroadbandBreakfast.com from its founding in 2008 to 2010, first as a Reporter and then as Deputy Editor. He also covered the White House for Russia's Sputnik News from the beginning of the Trump Administration until he was let go for refusing to use White House press briefings to promote conspiracy theories, and later documented the experience in a story which set off a chain of events leading to Sputnik being forced to register under the Foreign Agents Registration Act. Andrew's work has appeared in such publications as The Hill, Politico, Communications Daily, Washington Internet Daily, Washington Business Journal, The Sentinel Newspapers, FastCompany.TV, Mashable, and Silicon Angle.

FCC

Federal Communications Commission Implements Rules for Affordable Connectivity Program

The agency implemented new rules on the Affordable Connectivity Program, which makes a new subsidy permanent.

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Photo of Jessica Rosenworcel by Rob Kunzig of Morning Consult

WASHINGTON, January 24, 2022 – The Federal Communications Commission adopted rules Friday for its Affordable Connectivity Program that changes and, in some cases narrows, the eligibility requirements for the subsidy to allow for more households to be connected.

An extension of the former Emergency Broadband Benefit Program, which offered discounts to broadband service providers to subsidize connectivity and devices, the new program will make it easier for providers to get in the program by automatically making eligible providers in good standing.

Additionally, the FCC maintains that the monthly discount on broadband service is limited to one internet discount per household rather than allowing the benefit for separate members of a household. “Adopting a one-per-household limitation best ensures that Program funding is available to the largest possible number of eligible households,” the agency said in its report.

To accommodate the volume of eligible households enrolling in the ACP, the FCC allowed providers until March 22 – 60 days after its Friday order is published in the Federal Register– to make necessary changes to ensure that the ACP can be applied to providers’ currently sold plans.

“So much of our day to day—work, education, healthcare and more—has migrated online. As a result, it’s more apparent than ever before that broadband is no longer nice-to-have, it’s need-to-have, for everyone, everywhere,” said FCC Chairwoman Jessica Rosenworcel. “But there are far too many households across the country that are wrestling with how to pay for gas and groceries and also keep up with the broadband bill. This program, like its predecessor, can make a meaningful difference.”

The Infrastructure Investment and Jobs Act transformed the EBB to the longer-term Affordable Connectivity Program by allocating an additional $14.2 billion to it.

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FCC Chairwoman Rosenworcel Shares Proposal to Promote Broadband Competition In Apartment Buildings

If adopted, the FCC’s regulations would increase broadband options for tenants.

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FCC Chairwoman Jessica Rosenworcel

WASHINGTON, January 21, 2022––Federal Communications Commission Chairwoman Jessica Rosenworcel shared a draft regulation that aims to would promote competition and greater broadband choice for tenants in apartment buildings.

If adopted, the regulations would prevent practices that keep tenants from choosing their own broadband provider.

“With more than one-third of the U.S. population living in apartments, mobile home parks, condominiums, and public housing, it’s time to crack down on practices that lock out broadband competition and consumer choice,” said Rosenworcel.

The proposal would prohibit broadband providers from entering into revenue-sharing agreements with apartment building owners. If approved by her fellow commissioners and hence adopted as official agency rules, the regulation would also require providers to disclose any existing marketing arrangements they have with building owners to tenants.

“Consumers deserve access to a choice of providers in their buildings. I look forward to having my colleagues join me in lifting the obstacles to competitive choice for broadband for the millions of tenants across the nation,” Rosenworcel said.

Her proposal builds on a September 2021 notice that invited a new round of comments during an examination of broadband access In apartment and office buildings. The FCC said the proceedings revealed “a pattern of new practices that inhibit competition, contrary to the Commission’s goals, and limit opportunities for competitive providers to offer service for apartment, condo and office building unit tenants.”

More than one third of the U.S. population lives in condominiums or apartment buildings.

Exclusive agreements between broadband providers and buildings owners limit options for tenants, who are precluded from access to new carriers. “Across the country throughout the pandemic, the need for more and better broadband access has never been clearer,” Rosenworcel added.

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FCC

FCC Announces Largest Approval Yet for Rural Digital Opportunity Fund: $1 Billion

The agency said Thursday it has approved $1 billion to 69 providers in 32 states.

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Photo illustration from the Pelican Institute

WASHINGTON, December 16, 2021 – The Federal Communications Commission announced its largest approval yet from the $9.2-billion Rural Digital Opportunity Fund, greenlighting on Thursday $1 billion from a reverse auction process that ended with award announcements in December but that the new-look agency has been scrutinizing in recent months.

The agency said in a press release that this fifth round of approvals includes 69 providers who are expected to serve 518,000 locations in 32 states over 10 years. Its previous round approved $700 million worth of applications to cover 26 states. Previous rounds approved $554 million for broadband in 19 states, $311 million in 36 states, and $163 million in 21 states.

The agency still has some way to approve the entirety of the fund, as it’s asked providers that were previously awarded RDOF money in December to revisit their applications to see if the areas they have bid for are not already served. So far, a growing list have defaulted on their respective areas, some saying it was newer FCC maps that showed them what they didn’t previously know. The agency said Thursday that about 5,000 census blocks have been cleared as a result of that process.

The FCC also said Thursday it saved $350 million from winning bidders that have either failed to get state certification or didn’t follow through on their applications. In one winning bidder’s case, the FCC said Thursday Hotwire violated the application rules by changing its ownership structure.

“This latest round of funding will open up even more opportunities to connect hundreds of thousands of Americans to high-speed, reliable broadband service,” said FCC Chairwoman Jessica Rosenworcel.  “Today’s actions reflect the hard work we’ve put in over the past year to ensure that applicants meet their obligations and follow our rules.  With thoughtful oversight, this program can direct funding to areas that need broadband and to providers who are qualified to do the job.”

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