News Update - November 2022
FCC Prohibits New Authorizations Of Covered List Equipment
November 25, 2022 – In a Report And Order, the Federal Communications Commission (FCC) has adopted new rules prohibiting the future authorization, marketing, and importation of equipment that has been identified on the FCC’s “Covered List” as posing an unacceptable risk to the national security of the United States. In an accompanying Further Notice Of Proposed Rulemaking, the FCC seeks comment on further revisions to the equipment authorization program and proposes a new rule related to spectrum auctions.
Pursuant to the Secure and Trusted Communications Networks Act, the FCC maintains a list of covered communications equipment and services that have been determined to pose an unacceptable risk to U.S. national security or the security and safety of U.S. persons. Currently, the Covered List contains five equipment producers (and their subsidiaries and affiliates), all of which were added in March 2021: Huawei Technologies, ZTE Corporation, Hytera Communications, Hangzhou Hikvision Digital Technology, and Dahua Technology.
Among other things, the Report And Order revises the FCC’s Part 2 rules concerning equipment authorization processes, including the following:
Prohibits any entity that has been identified on the Covered List as producing “covered” equipment from obtaining equipment authorization through the Commission’s SDoC procedures, requiring such entities instead to use the certification procedures;
No longer exempts any “covered” equipment from the need for an equipment authorization, and requires that any entity identified on the Covered List as producing “covered” equipment to obtain an equipment certification;
Requires each applicant for equipment certification designate a U.S. agent for services of process (regardless of whether the applicant is domestic or foreign);
With respect to potential revocation of equipment authorizations, (1) establishes streamlined procedures for revoking authorizations granted after adoption of the prohibition on authorization of “covered” equipment if the application has included false statement or representation relating to “covered” equipment and (2) concludes that the Commission has authority to revoke, in the future, authorizations of “covered” equipment that had been authorized prior to adoption of this Report and Order;
Prohibits authorization of all telecommunications and video surveillance equipment produced by Huawei and ZTE (and that of their subsidiaries and affiliates);
Prohibits authorization of telecommunications equipment and video surveillance equipment produced by Hytera, Hikvision, and Dahua (and their respective subsidiaries or affiliates) until such time as the Commission approves these entities’ plans and measures that will to ensure the such equipment will not be marketed and sold to for “the purpose of public safety, security of government facilities, physical surveillance of critical infrastructure, or other national security purpose;”
Requires entities named on the Covered List as producing “covered” equipment to provide the Commission information on other entities (such as their subsidiaries and affiliates) also identified on the Covered List but are not specifically named; and
Addresses various other issues raised in the proceeding (e.g., the cost effectiveness of the rules, challenges on constitutional grounds, consistency with trade obligations, enforcement).
In an accompanying Further Notice Of Proposed Rulemaking, the FCC seeks comment on the following general topics: whether component parts should be considered “covered” equipment; whether the FCC should revoke any previously authorized Covered List equipment; whether all equipment certification applicants should have a U.S.-based responsible party to help ensure compliance with FCC’s equipment authorization rules; and whether to require spectrum license auction applicants to certify that their bids do not and will not rely on financial support from any entity that the FCC has designated a national security threat to the integrity of communications networks or the communications supply chain.
FCC Removes Global UC Inc. From Robocall Mitigation Database; Orders Intermediate & Terminating Voice Service Providers To Cease Accepting Global UC Traffic
November 22 2022 – The FCC’s Enforcement Bureau has issued an Removal Order removing Global UC Inc. from the Robocall Mitigation Database. Concurrent with the Order, the Enforcement Bureau has released a Public Notice directing all intermediate providers and terminating voice service providers to immediately cease accepting traffic from Global UC Inc within two business days.
On July 1, 2021, Global UC filed a Robocall Mitigation Database certification stating it had implemented STIR/SHAKEN on part of its network, and that the remainder of the calls originating on its network were subject to a robocall mitigation program. However, the certification did not include a description of specific reasonable steps it was taking to avoid origination of illegal robocall traffic. The Enforcement Bureau removed Global UC from the Robocall Mitigation Database after the company failed to correct its deficient certification or demonstrate why its certification should not be removed following the Bureau’s October 3, 2022 order directing the company to do so.
Global UC is the first company to be removed from the FCC’s Robocall Mitigation Database. The FCC is actively reviewing other responses to “show cause” orders from service providers detailing concrete steps taken to protect consumer from scam robocalls and malicious caller ID spoofing.
FCC Unveils New National Broadband Map
November 18, 2022 – The Federal Communications Commission (FCC) has released an initial version of its new national broadband map that shows location-level information about broadband services available throughout the U.S. The map, publicly available online at https://broadbandmap.fcc.gov/home, shows where fixed and mobile internet services are available as of June 30, 2022. Users can enter their address and review information about fixed and mobile broadband services that are available at their location. Fixed and mobile broadband availability data shown on the map were submitted by internet service providers through the FCC’s Broadband Data Collection (BDC). Consumers, state, local, and Tribal governments, service providers, and other entities can file challenges to the fixed and mobile broadband availability data directly through the map interface to correct the information. Users also can correct information about their location or add their location to the map if it is missing. Location data comes from the Broadband Serviceable Location Fabric, which is a common dataset of all locations in the U.S. where fixed broadband internet access service can be installed. Additional information on the availability and location challenge processes is available from the FCC’s Public Notice. A fact sheet about the national broadband map was also released.
FCC Requires Fixed & Mobile ISPs To Display Broadband Labels
November 17, 2022 – The Federal Communications Commission (FCC) has approved a Report And Order that requires “ISPs to display, at the point of sale, labels that disclose certain information about broadband prices, introductory rates, data allowances, and broadband speeds, and to include links to information about their network management practices, privacy policies, and the Commission’s Affordable Connectivity Program (ACP).” Among other things, the FCC has adopted the following requirements for the broadband label rule:
The FCC has adopted one label requiring the same information and in the same format for both fixed and mobile broadband service offerings;
ISPs must display the label for each stand-alone broadband Internet access service they currently offer for purchase;
ISPs must display the label – not simply an icon or link to the label – in close proximity to an associated plan advertisement;
ISPs must make each customer’s label easily accessible to the customer in their online account portal, as well as to provide the label to an existing customer upon request;
The label must link to other important information such as network management practices, privacy policies, and other educational materials;
The label must be accessible for people with disabilities and for non-English speakers;
ISPs must make the label content available in a machine-readable format;
The label requirement applies to broadband Internet access service – “a mass-market retail service by wire or radio that provides the capability to transmit data to and receive data from all or substantially all internet endpoints, including any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service”; and
Enterprise service offerings or special access services are not “mass-market retail services,” and therefore, not covered by the label requirement.
In an accompanying Further Notice of Proposed Rulemaking, the FCC seeks “comment on further steps [it] can take to ensure that consumers have the information they need to make informed broadband service purchasing decisions.” More specifically, further comment is requested on general issues related to the following: accessibility and languages; performance characteristics; service reliability; cybersecurity; network management and privacy; formatting; and whether ISPs should submit label information to the FCC. Comments are due on or before 30 days after the further notice is published in the Federal Register. Reply comments are due 60 days after publication.
NTIA Awards Two Broadband Planning Grants: $4.9 Million To Idaho & $5.5 Million To Nebraska
November 16, 2022 – The U.S. Department of Commerce’s National Telecommunications and Information Administration (NTIA) has announced that broadband planning grants have been awarded to Idaho and Nebraska. The grants consist of Broadband Equity, Access, and Deployment (BEAD) Program funding for broadband deployment planning and Digital Equity Act funding for digital equity planning. Idaho receives $4.9 million and Nebraska receives $5.5 million.
Idaho will receive $4,376,087.09 in BEAD funding for the following: Identification of unserved and underserved locations; Outreach to diverse stakeholders across all entities and geographies within the state; Increase capacity to implement BEAD grants and build infrastructure throughout Idaho; Build a broadband infrastructure map for the State of Idaho; Asset mapping across the Eligible Entity to catalog broadband adoption, affordability, access, and deployment activities; Surveys of unserved, underserved, and underrepresented communities to better understand barriers to adoption; and Efforts to support local coordination including capacity building at the local and regional levels. Idaho will receive $564,706.00 in digital equity planning funds for the following: Development of a Statewide Digital Access Plan; Community and stakeholder engagement; and Data collection and analysis of barriers to high-speed Internet adoption.
Nebraska will receive $4,999,817.07 in BEAD funding for the following: Identification of unserved and underserved locations; Capacity building of the state's broadband office; Creating a framework through which grants are distributed to subgrantees based on the structure in place for the Nebraska Broadband Bridge Program (NBBP) grant program; Improved understanding of the specific areas of need for high-speed Internet service; and Outreach to communities throughout Nebraska. Nebraska will receive $598,745.97 in digital equity planning funds for the following: Developing Nebraska's Digital Equity Plan; Community outreach and engagement through public comments, regional or tribal digital equity planning committees, site visits and regional listening sessions; Surveying for digital equity assets to understand barriers to high-speed Internet adoption; and Subawards to Nebraska's eight economic development districts to develop seven regional digital equity plans.
FCC Announces Process For Entities That Are Not Broadband Service Providers Or Governments To Obtain License To Utilize The Broadband Serviceable Location Fabric
November 15, 2022 – The FCC’s Broadband Data Task Force, Wireline Competition Bureau, and Office of Economics and Analytics have announced that entities that are not broadband service providers or governments can now access the FCC’s Broadband Serviceable Location Fabric (Fabric) under a new license agreement established by the FCC and its Fabric contractor, CostQuest. These parties may obtain a license for purposes of preparing and submitting challenges through the FCC’s Broadband Data Collection (BDC). The Broadband Serviceable Location Fabric is a common dataset of all locations in the U.S. where fixed broadband internet access service can be installed, and is the underlying foundation of the FCC’s new BDC broadband availability maps. The process for obtaining a license is generally described as follows:
To access the Fabric data, each entity must register in the Commission Registration System (CORES), log into the BDC system, and execute a limited end-user license agreement for the Fabric. Depending on your organization type, you may need to provide a brief description of how your use of the Fabric data aligns with BDC purposes and how your organization is involved in issues around broadband availability.
NTIA Provides Progress Report On Internet For All Initiative
November 15, 2022 – The U.S. Department of Commerce’s National Telecommunications and Information Administration (NTIA) has released a report on its progress with implementing the Internet For All initiative. The Biden Administration’s Internet for All initiative is comprised of the following three broadband funding programs authorized by the Infrastructure Investment and Jobs Act of 2021: Broadband Equity, Access, and Deployment (BEAD) Program ($42.5 billion); Enabling Middle Mile Broadband Infrastructure Program ($1 billion); and, State Digital Equity Act programs ($1.5 billion). NTIA lists the following as accomplishments in the first year of the Internet For All initiative:
Crafting Notices of Funding Opportunity – ahead of Congress’ deadline – for the Broadband Equity, Access, and Deployment (BEAD); Enabling Middle Mile Broadband Infrastructure; and State Digital Equity Planning Grant programs explaining how funding will be awarded and establishing application deadlines for states and territories.
Obtaining applications from all eligible states and territories—56 in total—to participate in Internet For All.
Securing 247 applications for Middle Mile program grants, which will reduce the cost of bringing high-speed Internet service to unserved and underserved communities.
Awarding more than $1.5 billion in grants to Tribal entities and minority-serving institutions—including more than $300 million from the Infrastructure Act—to ensure communities that are often the hardest to reach can deploy high-speed Internet service.
Calling more than 2,500 Internet service providers to encourage them to provide data for the forthcoming map of high-speed Internet availability from the Federal Communications Commission (FCC), on which NTIA will base its state budget allocations for the BEAD program.
Hiring Federal Program Officers to cover every state and territory participating in Internet For All to ensure each has a point of contact within NTIA for help with their broadband funding needs.
Co-hosting local coordination events in six states—and counting!
Holding 20 listening sessions and office hours as well as 22 webinars to address concerns and questions from applicants.
Hosting seven consultations with hundreds of Tribal leaders to solicit their input on program rules.
Conducting more than 70 one-on-one technical assistance sessions for applicants of non-competitive programs.
Responding to more than 360 inquiries across the BEAD, Digital Equity, and Middle Mile programs.
Addressing state and local government stakeholder groups such as the African American Mayors Association, the Council of State Governments, the National Association of Latino Elected and Appointed Officials, the National Governors Association, the U.S. Conference of Mayors, and the National Organization of Black Elected Legislative Women.
NTIA To Announce BEAD Program Allocation Levels By June 30, 2023
November 10, 2022 – The National Telecommunications and Information Administration (NTIA) has announced it will communicate Broadband Equity, Access, and Deployment (BEAD) Program allocation levels to eligible entities by June 30, 2023. NTIA made the announcement via a press release shortly after the FCC announced it will release a pre-production draft of its new broadband availability map on Friday, November 18, 2022. The BEAD Program will provide $42.45 billion in grants to expand high-speed broadband internet access by funding planning, infrastructure deployment, and adoption programs in all 50 U.S. states, Washington D.C., and U.S. territories. Each U.S. state, DC, and Puerto Rico will receive an initial allocation of $100 million to support planning efforts, including building capacity in state broadband offices and outreach and coordination with local communities, while another $100 million will be divided among the remaining U.S. territories for the same purposes. Remaining BEAD Program funding will then eventually be distributed using a statutorily defined formula that considers the number of unserved and high-cost locations in a state, based on the FCC’s new broadband availability maps. NTIA’s announcement included the following timeline:
FCC To Release Draft Version Of New Broadband Availability Map On November 18
November 10, 2022 – The Federal Communications Commission has announced it will release a pre-production draft of its new broadband availability map on Friday, November 18, 2022. This will be the first map based on data submitted by broadband providers under the FCC’s Broadband Data Collection. It will show the availability of broadband services at the location level throughout the country, as of June 30, 2022. The map will be interactive. Users will be able “to search for their address, and review and dispute the services reported by providers at their location.” Users also will be able to submit challenges and corrections to location information contained in the Broadband Serviceable Location Fabric directly through the map’s interface. Additional information about the new broadband availability map, submitting challenges to Fabric locations, and challenging fixed broadband availability data is available on the FCC’s Broadband Data Collection website.
FCC To Hold November 30th Workshop On Bulk Challenges To Fixed Broadband Availability Map
November 10, 2022 – The FCC’s Broadband Data Task Force has announced it will hold a virtual technical workshop on November 30, 2022, at 4:00 pm EDT, to assist entities in preparing to file bulk challenges to fixed broadband availability data shown on the FCC’s new Broadband Data Collection (BDC) maps. Interested parties can register online to attend the virtual workshop. Questions about bulk fixed availability challenges may be submitted in advance of or during the workshop to BDCWebinar@fcc.gov.
On Friday, November 18, 2022, the FCC will release a pre-production draft of its new broadband availability map, which will be based on data submitted by broadband providers under the FCC’s Broadband Data Collection. It will show the availability of broadband services at the location level throughout the country, as of June 30, 2022. The initial draft version of the map will not reflect any challenges to location or availability data. It will serve “as the starting point for an ongoing and iterative challenge process designed to help the FCC assure the accuracy of the map.”
To help state, local, and Tribal governments, ISPs, and other entities file challenges, the FCC’s Broadband Data Task Force has released two video tutorials, available on YouTube. The first video provides an overview of the fixed bulk availability challenge process, and is available at: https://www.youtube.com/watch?v=vKL_p8ieFDo. The second video walks filers through the process of submitting bulk fixed availability challenge data in the BDC system, and is available at: https://www.youtube.com/watch?v=XaOlwJN_1RY. Additional information about the new broadband availability map, submitting challenges to Fabric locations, and challenging fixed broadband availability data is available on the FCC’s Broadband Data Collection website.
FCC Enforcement Bureau Issues Robocall Enforcement / Call Blocking Notice For Urth Access, LLC For Apparent Origination Of Student Loan-Related Robocalls
November 10, 2022 – The FCC’s Enforcement Bureau has issued a Public Notice which advises U.S.-based voice service providers about substantial amounts of apparently unlawful student loan-related robocalls originating from Urth Access, LLC. Furthermore, the Enforcement Bureau’s notice informs “all U.S.-based voice service providers that they may block voice calls or cease to accept traffic from certain originating/intermediate providers listed in this Notice, without liability under the Communications Act or the Commission’s rules.” The USTelecom Industry Traceback Group identified Urth Access as the originator for substantial volumes of apparently unlawful student loan-related robocalls, which resulted in the Enforcement Bureau sending a cease-and-desist letter to the company.
Rural Digital Opportunity Fund: FCC Authorizes RDOF Support For 497 Winning Bids (15th RDOF Authorization)
November 10, 2022 – The FCC’s Wireline Competition Bureau has authorized Rural Digital Opportunity Fund (RDOF) Phase I auction support for 497 winning bids. This is the fifteenth Public Notice authorizing RDOF support. Attachment A to the Bureau’s Public Notice contains a list of the authorized winning bids. One authorized winning bid belongs to Shenandoah Cable Television, LLC in Virginia, while the other bids belong to California Internet, L.P. dba GeoLinks in Arizona and Nevada. Attachment B to the Bureau’s Public Notice contains a list of winning bids associated with winning bidders or their assignees that have notified the Bureau that they do not intend to pursue all or some of their winning bids in a state. They belong to Peoples Communication, LLC in Texas, and Shenandoah Cable Television, LLC in Virginia.
The 497 winning bid authorizations were granted after the Bureau reviewed long-form application information for each authorized winning bidder, including letters of credit and Bankruptcy Code opinion letters, and concluded the submissions were acceptable. Consequently, the Bureau has directed and authorized the Universal Service Administrative Company to obligate and disburse Universal Service Fund support to each winning bidder. Support will be disbursed in 120 monthly payments, beginning at the end of November 2022. The first service obligation that must be met by the RDOF support recipients authorized by the Public Notice is the deployment of broadband service to 40% of locations in a state by December 31, 2025. The broadband service must meet the standards for which support was received (i.e., speed levels and latency). After that, these RDOF support recipients must achieve the following broadband service deployment obligations: 60% of locations in a state by December 31, 2026; 80% of locations in a state by December 31, 2027; and 100% of locations in a state by December 31, 2028.
FCC Final Agenda For November 17 Open Meeting
November 10, 2022 – The Federal Communications Commission has issued the following final agenda for its next open meeting on November 17, 2022:
Improving 911 Reliability – Amendments to Part 4 of the Commission’s Rules Concerning Disruptions to Communications (PS Docket Nos. 13-75); Improving 911 Reliability (PS Docket No. 15-80); and New Part 4 of Commission’s Rules Concerning Disruptions to Communications (ET Docket No. 04-35) – The Commission will consider a Report and Order to promote public safety by ensuring that 911 call centers receive timely and useful notifications of disruptions to 911 service.
Updating Resources Used to Determine Local TV Markets – Updating Resources Used to Determine Local TV Markets (MB Docket No. 22-239) – The Commission will consider a Report and Order that would update its rules to use the most up-to-date market information for determining a television station’s local market for carriage purposes.
Enforcement Bureau Action – The Commission will consider an enforcement action.
Kansas Capital Project Funds Broadband Grant Program Awards $15.7 Million To Seven Broadband Providers
November 4, 2022 – Kansas Governor Laura Kelly has announced that $15.7 million is being awarded under the Kansas Capital Project Funds (CPF) Broadband Grant Program to deploy high-speed broadband service to underserved, economically distressed, and low-population areas of Kansas. Seven broadband providers are receiving the funding to “connect more than 1,900 homes, businesses, schools, healthcare facilities, and other public institutions to fast, reliable internet in the next 24 months.” This is the first of three rounds of awards under Kansas’ CPF Broadband Grant Program, which is funded by an $83.5 million allocation from the U.S. Department of Treasury’s Coronavirus Capital Projects Fund. A total of 141 applications requesting $693 million in CPF funding were submitted. Additional information on the program is available from the Kansas Office of Broadband Development. The seven broadband providers receiving awards under the first round include:
Craw-Kan Telephone Cooperative (Anderson and Allen counties) – $4,584,590 to connect 385 premises,
Giant Communications (Jackson County) – $895,295 to connect 163 premises,
MT Networks LLC (Coffey County) – $2,581,932 to connect 326 premises,
Nex-Tech (Thomas County) – $541,320 to connect 64 premises,
Pioneer Communications (Hamilton County) – $202,484 to connect 54 premises,
S&A Telephone (Lyon County) – $3,746,870 to connect 421 premises, and
Totah Communications (Montgomery and Chautauqua counties) – $3,244,793 to connect 500 premises.
Vonage Settles FTC Complaint Over Illegal Dark Patterns & Junk Fees; Will Pay $100 Million
November 3, 2022 – The Federal Trade Commission (FTC) has entered into a Stipulated Order For Permanent Injunction, Monetary Judgment, And Other Relief with VoIP service provider Vonage, which settles the FTC’s investigation into Vonage’s tactics that made it difficult for subscribers to cancel services. The FTC, in its complaint, generally alleges Vonage failed to provide required disclosures and simple mechanisms for customers to cancel their telephone services and charged customers without their consent. The FTC also alleges Vonage surprised customers with expensive junk fees when they tried to cancel, and continued to charge customers even after they canceled service. Vonage and the FTC have settled the case by entering into the Stipulated Order For Permanent Injunction, Monetary Judgment, And Other Relief. It requires Vonage to stop unauthorized charges; simplify its service cancellation process; stop using dark patterns that make it difficult for subscribers to cancel their services; be upfront with consumers about subscription plans; and pay $100 million which will be used for subscriber refunds.
ISP Grande Communications Found Secondarily Liable For Copyright Infringement, Must Pay $46.7 Million In Statutory Damages
November 3, 2022 – A jury has determined that Grande Communications, LLC is contributorily liable for copyright infringement of 1,403 copyrighted works owned by a group of record labels. It also concluded Grande’s contributory infringement was willful. The jury awarded the record labels a total of $46,766,200.00 in statutory damages.
In April 2017, a group of the largest record labels in the U.S. (UMG, Capitol Records, Warner Bros. Records, Sony Music, Roc-A-Fella Records, and numerous others) filed a copyright infringement lawsuit against Grande Communications Networks, a telecom company that, among other things, offers high-speed broadband Internet access in Austin, Dallas, San Antonio and other parts of Texas. The record labels alleged Grande is secondarily liable for copyright infringement for allowing its broadband subscribers to repeatedly infringe the record labels’ copyrighted material using BitTorrent and other peer-to-peer file sharing applications.
The Recording Industry Association Of America released the following statement on the jury’s decision finding Grande liable:
Federal law does not allow internet providers to be willfully blind to online piracy on their networks. In this case, the jury found that internet provider Grande Communications failed to meet its legal obligations and was liable for willful copyright infringement.
The decision follows several other high-profile cases and settlements addressing repeat infringement on internet provider networks including Cox Communications and Bright House Networks/Charter.
RIAA’s Chairman and CEO Mitch Glazier released the following statement in response: “This is the latest validation by US courts and juries that unchecked online infringement will not stand. The jury’s strong action here sends an important message to Internet Service Providers. Artists, songwriters, rightsholders, fans and legitimate services all depend upon a healthy digital music ecosystem that effectively protects creative works online.”
USAC Files Estimated First Quarter 2023 Universal Service Funding Requirements
November 2, 2022 – The Universal Service Administrative Company (USAC) has filed the Federal Universal Service Support Mechanisms Fund Size Projections for the first quarter of 2023. The filing details the universal service fund’s (USF) total projected funding requirements for 1Q 2023, which includes costs that can be directly attributed to the High Cost, Low Income, Rural Health Care, and Schools and Libraries Support Mechanisms, as well as Connected Care Pilot Program costs, and projected administrative expenditures of each mechanism. USAC’s data shows the following total projected 1Q 2023 funding requirements for each USF support mechanism:
High Cost Support Mechanism – $1.152 billion (the 4Q 2022 projected funding requirement was $1.085 billion; 3Q 2022 was $992.51 million; 2Q 2022 was $880.14 million; and 1Q 2022 was $1.04452 billion). USAC initially calculated the funding requirement as $1.038 billion, but the amount was increased by prior period adjustments of $96.31 million and increased by administrative costs of $18.11 million.
Low Income Support Mechanism – $201.21 million (the 4Q 2022 projected funding requirement was $211.43 million; 3Q 2022 was $269.22 million; 2Q 2022 was $220.47 million; and 1Q 2022 was $137.51million). USAC initially estimated funding requirements of $278.62 million for Lifeline and $0.05 million for Link-Up, resulting in a total of $278.67 million. This amount was decreased by prior period adjustment of $100.73 million and increased by $23.27 million in administrative costs.
Rural Health Care Support Mechanism – $70.79 million (the 4Q 2022 projected funding requirement was $0.11 million; 3Q 2022 was $159.25 million; 2Q 2022 was negative $7.62 million; and 1Q 2022 was $11.72 million).
Connected Care Pilot Program – $8.5 million (the 4Q 2022 projected funding requirement was $8.36 million; 3Q 2022 was $8.34 million; 2Q 2022 was $7.81 million; and 1Q 2022 was $9.21 million).
E-Rate Schools and Libraries Support Mechanism – $697.13 million (the 4Q 2022 projected funding requirement was $609.07 million; 3Q 2022 was $606.99 million; 2Q 2022 was $563.22 million; and 1Q 2022 was $637.95 million).
USAC projects a consolidated budget of $67.28 million for 1Q 2023. This breaks out to $33.88 million in direct costs for all four support mechanisms, and $33.40 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. The 1Q 2023 consolidated budget of $67.28 million is $8.35 million less than USAC’s administrative costs projected last quarter (USAC projected consolidated budgets of $75.63 million for 4Q 2022; $61.60 million for 3Q 2022; $58.09 million for 2Q 2022; and $55.57 million for 1Q 2022).
The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount to calculate the quarterly USF contribution factor. Copies of USAC’s historical USF filings are available on its website.
FCC Notice Of Inquiry On Caller ID Authentication For Non-IP Networks
November 1, 2022 – The Federal Communications Commission (FCC) has released a Notice of Inquiry on caller ID authentication for non-Internet Protocol (IP) networks. Comments are due on or before December 12, 2022. Reply comments are due January 11, 2023.
To fight illegal robocalls, Congress passed the TRACED Act in 2019, which directed the FCC to require voice service providers to implement caller ID authentication technology. On IP networks, voice service providers utilize the STIR/SHAKEN framework for caller ID authentication. Voice service providers were required to implement STIR/SHAKEN in the IP portions of their networks by June 30, 2021, unless subject to a specific extension. Because STIR/SHAKEN only works on IP networks, for any non-IP portions of a network, the FCC’s rules require voice service providers to either upgrade to IP or work to develop an authentication solution for non-IP networks. As for finding a solution for non-IP networks, the Alliance for Telecommunications Industry Solutions created the Non-IP Call Authentication Task Force to do so. The Task Force has published two solutions: an “out-of-band” approach and a “non-IP in-band” approach.
In the Notice of Inquiry, the FCC seeks comment on the following topics:
Industry progress toward developing a caller ID authentication framework for non-IP networks;
The Task Force’s two published caller ID authentication solutions for non-IP networks;
The status of voice service providers’ transition to all-IP networks; and
Whether the FCC’s efforts can and should be focused on encouraging the IP transition instead of or in addition to promoting caller ID authentication for non-IP networks.
State Of New York Submits Bulk Challenge To FCC Broadband Serviceable Location Fabric: 31,798 Missing Locations
November 1, 2022 – New York Governor Kathy Hochul has announced that New York’s ConnectALL Office has submitted a bulk challenge to the FCC’s Broadband Serviceable Location Fabric consisting of 31,798 location addresses throughout the state. The 31,798 addresses are unserved or underserved locations that the state of New York says should be included in the Fabric and the forthcoming broadband availability map.
The Broadband Serviceable Location Fabric is the underlying foundation of the FCC’s new Broadband Data Collection (BDC) which will soon produce detailed fixed broadband availability maps. In September 2022, state, local, and Tribal governments, service providers, and other entities began filing bulk challenges to the Fabric. Governor Hochul’s press release announcing the challenge includes the following additional information:
This challenge was made possible due to New York’s first-of-its-kind, interactive broadband map launched earlier this year, which contains detailed information of the State’s broadband infrastructure down to the street-level. The challenge process is a critical step in determining New York’s funding allocation for broadband from the Infrastructure Investment and Jobs Act (IIJA). ConnectALL will continue to analyze the FCC maps. The 31,798 records in the State’s challenge are all among the 138,598 addresses identified as unserved or underserved by the Department of Public Service’s (DPS) Broadband Assessment Program and include evidence that they meet the FCC’s definition for inclusion in the federal map. The ConnectALL Office collaborated with DPS and the Office of Information Technology Services (ITS) to analyze and challenge the FCC maps.
FTC Takes Action Against Drizly And Drizly’s CEO For Failing To Protect Consumers’ Data From Hackers
November 1, 2022 – The Federal Trade Commission (FTC) has issued a Complaint and proposed Decision And Order against Drizly, LLC and Drizly’s CEO, James Cory Rellas, for violating provisions of the Federal Trade Commission Act by failing to use appropriate information security practices to protect consumers’ personal information.
In the Complaint, the FTC alleges that Drizly and Drizly’s CEO: failed to implement basic security measures; stored critical database information on an unsecured platform; neglected to monitor network for security threats; and exposed customers to hackers and identity thieves.
In the proposed Decision And Order, the FTC requires Drizly and Drizly’s CEO to: destroy unnecessary data; limit future data collection; and implement an information security program.
In the press release announcing the action, the FTC provides the following statement on targeting Drizly’s CEO James Cory Rellas in the Complaint and proposed Decision And Order:
Notably, the order applies personally to Rellas, who presided over Drizly’s lax data security practices as CEO. In the modern economy, corporate executives frequently move from company to company, notwithstanding blemishes on their track record. Recognizing that reality, the Commission’s proposed order will follow Rellas even if he leaves Drizly. Specifically, Rellas will be required to implement an information security program at future companies if he moves to a business collecting consumer information from more than 25,000 individuals, and where he is a majority owner, CEO, or senior officer with information security responsibilities.
This action is part of the FTC’s aggressive efforts to ensure that companies are protecting consumers’ data and that careless CEOs learn from their data security failures. Last year, the Commission secured its first order requiring a firm to minimize data collection and has worked in subsequent orders to ensure companies only collect what they need to conduct their business. The Commission is also taking steps to bolster security market-wide, including by finalizing updates to the Safeguards Rule, issuing a policy statement on the Health Breach Notification Rule, and initiating an advance notice of proposed rulemaking on commercial surveillance and lax data security practices.
Evergy Constructing Private Wireless LTE Network In Kansas & Missouri
November 1, 2022 – Evergy, an investor-owned utility headquartered in Topeka, Kansas, and Kansas City, Missouri, is constructing a private wireless LTE network to help enable its electric grid modernization efforts. Evergy’s LTE network will utilize two spectrum bands: 900MHz and 2.5GHz. Evergy is leasing 900MHz spectrum licenses from Anterix covering about 3.88 million people in Evergy’s service areas in Kansas and Missouri. The leases run for 20 years with two ten-year renewal options, and will cost Evergy $30.2 million. Evergy’s private wireless LTE network will reportedly “support a variety of utility use cases, including accelerating decarbonization of the grid, engineering access, fault circuit indicators, line regulators and advanced metering infrastructure solutions.”
NLRB General Counsel Issues Memo On Workplace Surveillance
November 1, 2022 – The National Labor Relations Board’s (NLRB) General Counsel has released a memo which announced the NLRB’s “intention to protect employees, to the greatest extent possible, from intrusive or abusive electronic monitoring and automated management practices through vigorously enforcing current law and by urging the Board to apply settled labor-law principles in a new framework.” In the memo, titled Electronic Monitoring and Algorithmic Management of Employees Interfering with the Exercise of Section 7 Rights, the NLRB first explains that businesses are utilizing various technologies to monitor and manage their employees, some of which “record workers’ conversations and track their movements using wearable devices, cameras, radio-frequency identification badges and GPS tracking devices.” More intrusive technologies are being used by employers to “monitor employees’ computers with keyloggers and software that takes screenshots, webcam photos, or audio recordings throughout the day.” Employers then use the data produced by the surveillance technology to “manage employee productivity, including disciplining employees who fall short of quotas, penalizing employees for taking leave, and providing individualized directives throughout the workday.” Ultimately, the NLRB’s General Counsel makes the following recommendations in the memo:
The General Counsel will urge the Board to adopt a new framework for protecting employees from employers’ abuse of technology by holding that an employer has presumptively violated the Act where an employer’s surveillance and management practices, viewed as a whole, would tend to interfere with or prevent a reasonable employee from engaging in activity protected by the Act. If the employer’s business need outweighs employees’ Section 7 rights, unless the employer demonstrates that special circumstances require covert use of the technologies, she will urge the Board to require the employer to disclose to employees the technologies it uses to monitor and manage them, its reasons for doing so, and how it is using the information it obtains.
