All in Broadband

NTCA Presses FCC To Review High-Cost USF Budget

Recent ex parte filings made by NTCA–The Rural Broadband Association and rural broadband providers show that the FCC’s fixed budget for the high-cost portion of the universal service fund is obstructing rural broadband deployment. It’s estimated that the high-cost budget will produce a support shortfall of $173 million over the next 12 months, which has already forced rural carriers to roll back deployment plans. NTCA claims the FCC is obligated to review the budget by the end of this year, which presumably will lead the FCC to conclude that the budget is insufficient to maintain and increase deployment of rural broadband networks. NTCA’s assertion is based on language in the Tenth Circuit’s decision upholding the 2011 USF/ICC Transformation Order. Is the FCC required to make a review or is this something that is merely within the discretion of the FCC?

NTCA Survey Says: High-Cost USF Shortfall Harming Rural Broadband Deployment

In the 2016 Rate-of-Return Reform Order, the Federal Communications Commission imposed a strict budget control mechanism over the $2 billion rate-of-return portion of the total $4.5 billion universal service high-cost fund. However, the fixed USF budget will result in a shortfall of support estimated at $173 million over the next 12 months. A recent survey conducted by NTCA—The Rural Broadband Association shows that rural broadband providers have already decided to roll back network investment over the next 12 months because of reduced USF support.

Airband – Microsoft’s Moonshot To Connect Rural America Using TV White Spaces

Microsoft has announced an ambitious plan to help bring broadband to the approximately 23.4 million rural Americans that lack service with speeds of 25 Mbps downstream. Through its new “Airband” initiative, Microsoft will partner with rural telecommunications companies by covering certain capital costs of deploying TV White Space networks. Microsoft has set a goal of bringing broadband connectivity to 2 million people in rural America by July 4, 2022.

GAO Recommends Moving Universal Service Funds To U.S. Treasury

As part of its recent report on various problems with the Lifeline program, the U.S. Government Accountability Office  recommended that the money that makes up the universal service fund be moved from a private bank account to the U.S. Treasury. According to the GAO, one “benefit” of the move is that USF money could be used to offset federal debts. Is this a good idea?

Sun Sets On Sandwich Isles’ Exclusive License After FCC Determines It Violates Section 253 Of The Communications Act

The Federal Communications Commission has determined that an exclusive license to provide telecommunications services granted by the state of Hawaii to Sandwich Isles Communications, Inc. violates Section 253(a) of the Communications Act, and as a result, has preempted enforcement of the license.

NTCA and US Telecom Seek Forbearance of USF Contributions for RLEC Broadband Internet Access Transmission Services

NTCA—The Rural Broadband Association and US Telecom have filed a joint petition requesting temporary forbearance from the application of universal service fund contribution rules to broadband Internet access transmission services provided by rural local exchange carriers. The two broadband associations are seeking forbearance pending the completion of comprehensive USF contributions reform.

The FCC’s Lifeline Modernization Order

The Federal Communications Commission has released the Lifeline Modernization Order makes significant revisions to the rules governing the universal service Lifeline program. Among other important changes, the order sets new minimum Lifeline service standards for voice and broadband and gradually eliminates support for standalone voice service.

The A-CAM, A Brave New World: Rate-Of-Return Carriers Have Option To Move To Cost Model Regulation

On March 30, 2016, the Federal Communications Commission released a Report and Order, Order and Order on Reconsideration, and Further Notice of Proposed Rulemaking that make significant changes to the universal service rules governing rate-of-return incumbent local exchange carriers. One of the most significant changes in the order gives some, but not all, rate-of-return ILECs the option to move to cost model regulation.