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FCC Wants to Freeze Jurisdictional Separations For Another 15 Years

July 18, 2018 – The FCC has released a Further Notice of Proposed Rulemaking that proposes to extend the freeze on jurisdictional separations for 15 years. In a 2001 order, the FCC froze the jurisdictional separations rules to permit the Federal-State Joint Board on Jurisdictional Separations (Joint Board) to develop recommendations on comprehensive separations reform. That freeze was subsequently extended – seven different times – over the past 17 years, with the current freeze set to end on December 31, 2018. In the Further Notice, the FCC proposes to extend the separations freeze for 15 years and provide a time-limited opportunity for carriers that elected the category relationships freeze to opt out of that freeze. Comment is also invited on whether the FCC should modify any other aspects of the separations freeze. Comments are due 30 days after the date the notice is published in the Federal Register, and reply comments are due 45 days after publication.

FCC To Consider Connected Care Pilot Program For Telehealth Services

July 12, 2018 – At its August open meeting, the Federal Communications Commission is expected to adopt a Notice of Inquiry on creating a $100 million Connected Care Pilot Program that would promote the use of telehealth services among low-income Americans. The program would be supported by the Universal Service Fund. The FCC’s NOI seeks comment on a range of issues, including the goals of the pilot program; the structure of the program; and how to measure the effectiveness of the program. The FCC expects the pilot program to provide funding for broadband connectivity that eligible low-income patients would use to receive connected care services, as well as broadband connectivity that a participating clinic or hospital needs to conduct its proposed connected care pilot project.

FCC Chairman Calls For Hearing on Sinclair/Tribune Deal

July 16, 2018 – Federal Communications Commission Chairman Ajit Pai has circulated a draft hearing designation order regarding Sinclair Broadcast Group Inc.’s acquisition of Tribune Media Co. In a recently released statement, Chairman Pai stated “[t]he evidence we’ve received suggests that certain station divestitures that have been proposed to the FCC would allow Sinclair to control those stations in practice, even if not in name, in violation of the law.” If adopted, the draft order would designate issues related to the proposed divestitures for a hearing in front of an FCC administrative law judge. Critics of the deal argue that Sinclair would retain control over the stations after divesting them.

Tentative Agenda For FCC August Open Meeting

July 12, 2018 – FCC Chairman Ajit Pai has released a tentative agenda for the FCC’s open meeting on August 2, 2018. It contains the following items:

• Spectrum Frontiers Auction Procedures – The FCC will consider a Public Notice establishing application and bidding procedures for auctioning Upper Microwave Flexible Use Licenses in the 28 GHz (Auction 101) and 24 GHz (Auction 102) bands. (AU Docket No. 18-85)

• Making 39 GHz Band Auction Ready – The FCC will consider a Further Notice of Proposed Rulemaking proposing an auction mechanism that would transition existing spectrum holdings in the 39 GHz band (38.6-40 GHz) to a new flexible-use band plan and would offer new licenses for contiguous spectrum in the band. (GN Docket No. 14-177)

• Wireline Infrastructure – The FCC will consider a Report and Order that will allow one-touch make-ready for most pole attachments and further reform its pole attachment process, and a Declaratory Ruling that will conclude that section 253(a) prohibits state and local moratoria on telecommunications facilities deployment. (WC Docket No. 17-84; WT Docket No. 17-79)

• Connected Care Pilot Program – The FCC will consider a Notice of Inquiry on creating a Universal Service Fund pilot program to promote the use of telehealth services among low-income Americans. (WC Docket No. 18-213)

• LPTV, TV Translator, and FM Broadcast Station Reimbursement – The FCC will consider a Notice of Proposed Rulemaking and Order that begins the process of implementing Congress’s directive in the Reimbursement Expansion Act that the Commission reimburse certain low power television, television translator, and FM broadcast stations for costs incurred as a result of the Commission’s broadcast television spectrum incentive auction. (MB Docket No. 18-214; GN Docket No. 12-268)

• Promoting New Entry and Ownership Diversity in the Broadcasting Services – The FCC will consider a Report and Order establishing the requirements which will govern an incubator program that seeks to promote the entry of new and diverse voices into the broadcast industry. (MB Docket No. 17-289)

FCC Issues Performance Testing Framework For USF-Supported Broadband Providers

July 6, 2018 – The FCC’s Wireline Competition Bureau, the Wireless Telecommunications Bureau, and Office of Engineering and Technology have released an Order setting a framework for measuring speed and latency performance for broadband providers that receive high-cost universal service fund (USF) support to serve fixed locations. Broadband provides may conduct the required testing using one of the following three options: (1) Measuring Broadband America (MBA) testing infrastructure, (2) existing network management systems and tools (off-the-shelf testing), or (3) provider-developed self-testing configurations (provider-developed self-testing or self-testing). Broadband providers must submit testing results as part of their annual compliance certification. Failure to comply with the performance requirements will result in a loss of USF support.

D.C. Circuit Rejects Challenge To FAA Small Drone Restrictions

July 6, 2018 – The U.S. Court of Appeals for the District of Columbia Circuit has rejected a challenge to parts of the Federal Aviation Administration’s “operation and certification of small unmanned aircraft systems rule,” which places restrictions on the operation of small drones. The FAA’s rule defines a small drone as one that weighs less than 55 pounds. Drone hobbyist John Taylor challenged the FAA’s rule. He successfully challenged the FAA’s system for registering unmanned aircraft in 2017, but the registration rule was reinstated by Congress as part of the National Defense Authorization Act for Fiscal Year 2018. Mr. Taylor appealed two aspects of the small drone rule: (1) the part of the rule that limits small drone operations to daylight and civil twilight operations with appropriate collision lighting, confined areas of operation, and visual-line-of-sight operations; and (2) the operational criteria for qualifying for the statutory safe harbor from regulation. The D.C. Circuit denied Taylor’s petition for review, concluding “the rule is within the agency’s statutory authority and is neither arbitrary nor capricious.” The court’s ruling affirms the FAA’s authority over consumer drones, and is a major victory for the agency. The FAA is expected to propose new regulations this year that will require most or all drones to have radio beacons that identify them while in operation.

FCC Qualifies 220 Entities to Bid in CAF II Auction

June 25, 2018 – The FCC’s Rural Broadband Auctions Task Force, Wireless Telecommunications Bureau, and Wireline Competition Bureau have announced that 220 applicants are qualified to bid in the Connect America Fund (CAF) Phase II reverse auction (Auction 903). A list of qualified bidders is available, along with a list of applicants that failed to qualify. The CAF II auction is scheduled to start on Tuesday, July 24, 2018. It will award up to $1.98 billion in universal service support to service providers that commit to offer voice and broadband services to fixed locations in unserved high-cost areas.

Tentative Agenda For FCC July 12th Meeting Contains C Band NPRM

June 21, 2018 – FCC Chairman Ajit Pai has announced the tentative agenda for the FCC’s July 12, 2018, which contains the following items:

• Expanding Flexible Use of the 3.7 to 4.2 GHz Band – The FCC will consider an Order and Notice of Proposed Rulemaking that would continue efforts to make mid-band spectrum in the 3.7 - 4.2 GHz band available for expanded flexible use, primarily by seeking comment on mechanisms for clearing for mobile use and whether to allow point-to-multipoint use on a shared basis in portions of the band. (GN Docket Nos. 18-122, 17-183; RM Nos. 11778, 11791)

• Cellular Reform Third Report and Order – The FCC will consider a Report and Order eliminating unnecessary rules that apply to cellular service and other licensees. (WT Docket Nos. 12-40, 10-112, 16-138; RM Nos. 11510, 11660)

• Children’s Television Programming Rules – The FCC will consider a Notice of Proposed Rulemaking seeking comment on proposed revisions to the children’s television programming rules to provide broadcasters greater flexibility in meeting their children’s programming obligations. (MB Docket No. 18-202)

• Emergency Alert System and Wireless Emergency Alerts – The FCC will consider a Report and Order and Further Notice of Proposed Rulemaking to improve emergency alerting, including facilitating more effective EAS tests and preventing false alerts. (PS Docket Nos. 15-91 and 15-94)

• Nationwide Number Portability – The FCC will consider a Report and Order that forbears from legacy requirements and amends rules to facilitate the move toward complete nationwide number portability to promote competition between all service providers and increase network routing efficiencies. (WC Docket Nos. 17-244, 13-97)

• Formal Complaint Rules Consolidation Order – The FCC will consider a Report and Order that consolidates and streamlines the rules governing formal complaint proceedings delegated to the Enforcement Bureau. (EB Docket No. 17-245)

The July open meeting is scheduled to start at 10:30 a.m. EDT, and will be streamed live online at www.fcc.gov/live.

FCC Extends C Band Registration Window to October 17, 2018

June 21, 2018 – The FCC’s International Bureau has announced a 90-day extension to the filing window for fixed-satellite service (FSS) earth stations currently operating in the 3.7-4.2 GHz frequency band. The window is now open until October 17, 2018. In April, the FCC announced a temporary suspension on the filing of certain applications for certain services in the 3.7 - 4.2 GHz band, but opened a temporary 90-day window during which entities that own or operate existing FSS earth stations in the band may file an application to register or license the earth station if it is currently not registered or licensed. The goal of the limited filing window is to help identify existing unregistered earth stations, which could give the FCC a better understanding of current operations before making any substantial changes to the band.

In the Public Notice extending the filing window, the FCC has clarified that “operators with multiple receive-only antennas at a single geographic location or address may apply to register these antennas under a single earth station application and pay a single application fee of $435.” Also, the FCC will allow entities to register a large number of geographically diverse earth stations by filing an application for a single “network” license and paying a single fee in IBFS (fee code BGV, currently $10,620). Also, the FCC will allow entities with a large number of geographically diverse earth stations to file an application for a single “network” license with a single fee (IBFS fee code BGV, currently $10,620).

T-Mobile & Sprint Submit Merger Applications To FCC

June 19, 2018 –T-Mobile and Sprint have filed applications with the Federal Communications Commission seeking approval to transfer control of licenses and authorizations held by Sprint and its subsidiaries to T-Mobile. The two nationwide mobile wireless providers announced an agreement to merge in late April 2018. T-Mobile and Sprint’s recently filed documents include an application to transfer of control of domestic and international Section 214 authority, a description of the transaction, and a public interest statement. The FCC’s Wireless Telecommunications Bureau has adopted a protective order to limit access to competitively sensitive materials by third-parties that participate in the proceeding. All documents and filings pertaining to the T-Mobile / Sprint merger can be found in WT Docket No. 18-197.

Lifeline National Verifier Live in Six States

June 18, 2018 – The FCC’s Wireline Competition Bureau has announced that the Lifeline National Eligibility Verifier (National Verifier) – a centralized system that determines whether subscribers are eligible for Lifeline benefits – is now live in the following six states: Colorado, Mississippi, Montana, New Mexico, Utah and Wyoming. Lifeline providers in those states may begin using the National Verifier, but may also continue to use existing eligibility determination processes until they become familiar with the National Verifier online portal, located at online https://nationalverifier.service-now.com/lifeline/spportal. More states and U.S. territories will be added to the National Verifier this year and in 2019. Additional information on the National Verifier is available from USAC.

San Jose California Reaches 5G Small Cell Agreements With AT&T & Verizon

June 15, 2018 – The city of San Jose California has announced separate agreements with Verizon, AT&T, and Mobilitie that will allow the wireless providers to install small cells on approximately 4,000 city-owned light poles. San Jose claims it is “the largest small cell driven broadband infrastructure deployment in any U.S. city.” The large scale deployment of small cells is expected to help facilitate deployment of 5G wireless service in San Jose and bring more quality and choice in wireless services for residents and businesses.

Lifeline Providers Must Begin Using Universal Forms On July 1, 2018

June 15, 2018 – Lifeline providers must begin using the new universal forms to verify and recertify subscriber eligibility for the federal Lifeline benefit on July 1, 2018. There are three new required universal Lifeline forms: (1) FCC Form 5629 – Lifeline Consumer Application Form; (2) FCC Form 5630 – Lifeline Annual Recertification Form; and (3) FCC Form 5631 – Lifeline Household Worksheet. Lifeline service providers must begin using the universal FCC Form 5629 for initial eligibility verification by July 1, 2018. For annual recertification, Lifeline service providers must use the universal FCC Form 5630 for subscribers whose 60-day response period begins on July 1, 2018 or later. Each form is available in English and Spanish on USAC’s Lifeline Program Forms page. Lifeline providers located in states that have their own state-mandated Lifeline forms must use those. These states are: California, District of Columbia, Florida, Minnesota, Nebraska, Oregon, and Texas. Additional information on the new Lifeline universal forms is available online from USAC.

USF Contribution Factor Dips to 17.9 Percent For Q3 2018

June 13, 2018 – The FCC’s Office of Managing Director (OMD) has announced that the proposed universal service fund (USF) contribution factor for the third quarter of 2018 will be 17.9 percent. This is a decrease from the 18.4  percent used for the second quarter of 2018. The Universal Service Administrative Company (USAC) projects $12.951 billion in total interstate and international end-user telecommunications revenues will be collected during the third quarter of 2018 (July through September). USAC estimates that $1.946 billion will be needed to cover the total demand and expenses for all Federal universal service support mechanisms in the third quarter of 2018. If the FCC takes no action on the proposed USF contribution factor within 14 days, it will be declared approved. Historical information on quarterly universal service fund contribution factors is available online from the FCC.

AT&T Beats DOJ, Will Acquire Time Warner

June 12, 2018 – In the case of the U.S. Department of Justice’s Antitrust Division versus AT&T, Federal Judge Richard Leon has ruled in favor of AT&T, allowing the company to complete its $85 billion acquisition of Time Warner. The DOJ’s Antitrust Division brought the suit to block the mega-merger, arguing the tie-up would substantially lessen competition in the video programming and distribution markets while also leading to higher prices for consumers. In his opinion, Judge Leon rejected the DOJ’s arguments, finding that the proposed vertical merger of AT&T and Time Warner would not result in higher prices or fewer options for consumers.

NTIA Extends Comment Period on International Internet Policy Priorities To July 17

June 12, 2018 – The Department of Commerce’s National Telecommunications and Information Administration (NTIA) has extended the comment period for its notice of inquiry on “International Internet Policy Priorities.” The NOI seeks comment on a range of issues within four broad categories: (1) The free flow of information and jurisdiction; (2) the multistakeholder approach to internet governance; (3) privacy and security; and (4) emerging technologies and trends. Comments are now due by 5:00 p.m. EDT on July 17, 2018. Comments may be submitted by email to iipp2018@ntia.doc.gov.

Representative Cramer Introduces Bill To Prohibit Use of RUS Funding to Overbuild USF-Supported Broadband Networks

June 12, 2018 – Representative Kevin Cramer (R-ND) has introduced the Reprioritizing Unserved Rural Areas and Locations (RURAL) for Broadband Act of 2018. The bill would prioritize Rural Utility Service (RUS) funding to unserved areas over underserved areas which already receive Universal Service Fund (USF) support. Specifically, the bill would prohibit the use of RUS funds “to coordinate, approve, or finance the deployment of broadband-capable infrastructure by a service provider to provide retail fixed broadband service that would overbuild or otherwise duplicate qualifying broadband-capable infrastructure that another service provider is using to provide retail fixed broadband service in the same area.” Senator Steve Daines (R-MT) introduced identical legislation in the Senate, S. 2970, in May of 2018.

NTCA Asks FCC To Reconsider Part of 2018 Rural Call Completion Order

June 11, 2018 – NTCA–The Rural Broadband Association has petitioned the Federal Communications Commission (FCC) to reconsider a portion of the 2018 Rural Call Completion Second Report and Order. In that order, the FCC eliminated the call completion reporting requirement adopted in 2013, and installed a new rule requiring covered providers to monitor the performance of the intermediate providers to which they hand off calls. In its petition, NTCA requests that the FCC “reevaluate and reconsider its decision to not require covered providers to file their documented rural call completion monitoring procedures with the Commission.”

11th Circuit Sides With LabMD, Discards Vague FTC Enforcement Order

June 6, 2018 – The U.S. Court of Appeals for the Eleventh Circuit has ruled in favor of LabMD in its appeal of a Federal Trade Commission (FTC) enforcement action, declaring the FTC’s penalty against LabMD vague and unenforceable. The decision raises a number of questions concerning the FTC’s authority and how it goes about imposing data security standards. In August 2013, the FTC brought an administrative complaint against LabMD, alleging LabMD committed an “unfair act or practice” in violation of Section 5(a) of the FTC Act by failing to protect consumers’ personal information stored electronically. An employee had installed a peer-to-peer file sharing program that exposed consumers’ private data. Following a decision by an administrative law judge and an appeal, the full FTC found that LabMD’s data security practices were unfair and likely to cause substantial injury, and issued an order requiring LabMD to implement reasonable data security practices. LabMD then challenged the FTC order at the 11th Circuit, arguing it is unenforceable because it does not direct LabMD to cease committing an unfair “act or practice” within the meaning of Section 5(a). The 11th Circuit agreed, finding the FTC order “does not instruct LabMD to stop committing a specific act or practice.” The Court concluded that the FTC’s order “commands LabMD to overhaul and replace its data-security program to meet an indeterminable standard of reasonableness,” a “command [that] is unenforceable.”

NTIA Seeking Comment on International Internet Policy Priorities

June 5, 2018 – The National Telecommunications and Information Administration (NTIA) has released a notice of inquiry that seeks comments and recommendations on NTIA’s international Internet policy priorities for 2018 and beyond. The inquiry is organized into four broad categories: (1) The free flow of information and jurisdiction; (2) the multistakeholder approach to internet governance; (3) privacy and security; and (4) emerging technologies and trends. Comments are due on or before 5:00 p.m. Eastern Time on July 2, 2018, and may be submitted by email to iipp2018@ntia.doc.gov.

Colorado Enacts New Consumer Data Privacy Law

June 1, 2018 – The state of Colorado has enacted new consumer data privacy legislation (House Bill 18-1128). It requires certain “covered entities” to implement and maintain reasonable data security procedures, properly dispose of documents containing confidential information when the information is no longer needed, ensure confidential data is protected when transferred to a third-party, and notify individuals affected by data breaches no later than 30 days after determining a breach has occurred – the shortest notification time frame of any state in the U.S. A covered entity is defined as an entity that maintains, owns, or licenses personal identifying information in the course of its business (but excludes third-parties contracted to maintain, store, or process personal information on behalf of a covered entity). The new Colorado law becomes effective September 1, 2018.

NTIA Seeking Comment on Improving Broadband Availability Data

May 30, 2018 – The U.S. Department of Commerce’s National Telecommunications and Information Administration has issued a request for comments on improving the quality and accuracy of broadband availability data. NTIA is seeking comment from all types of stakeholders involved in the broadband ecosystem, including Internet service providers, consumers, state and local governmental entities, academics, and state and federal regulators. NTIA “want[s] to know how the government can better identify areas that need broadband investments, so that [it] can be sure any taxpayer funds supporting broadband infrastructure achieve the goal of ensuring connectivity to all Americans.” Comments are due on or before 5:00 p.m. EDT on July 16, 2018. Comments may be submitted by email to mappingrfc@ntia.doc.gov.

Commerce and Homeland Security Release Botnet Report

May 30, 2018 – The U.S. Department of Commerce and the U.S. Department of Homeland Security have released a final report on defending against botnets and similar cyberattacks. The report – Enhancing the Resilience of the Internet and Communications Ecosystem Against Botnets and Other Automated, Distributed Threats – identifies six principal themes for reducing threats posed by malicious botnets: automated, distributed attacks are a global problem; effective tools exist, but are not widely used; products should be secured during all stages of the lifecycle; awareness and education are needed; market incentives should be more effectively aligned; and automated, distributed attacks are an ecosystem-wide challenge. Also, the report identifies five goals that, if realized, would dramatically reduce the threat of botnet attacks: (1) identify a clear pathway toward an adaptable, sustainable, and secure technology marketplace; (2) promote innovation in the infrastructure for dynamic adaptation to evolving threats; (3) promote innovation at the edge of the network to prevent, detect, and mitigate automated, distributed attacks; (4) promote and support coalitions between the security, infrastructure, and operational technology communities domestically and around the world; and (5) increase awareness and education across the ecosystem.

FCC Proposes Regulatory Fees For Fiscal year 2018

May 22, 2018 – The FCC has issued a Report and Order and Notice of Proposed Rulemaking that addresses several regulatory fee issues and seeks comment on regulatory fees for fiscal year 2018. In the Report and Order, the FCC (1) adopts new tiers for calculating regulatory fees for submarine cable systems; (2) declines to adopt a new regulatory fee for international section 214 authorizations; and (3) retains the optional bulk rate calculation for determining the number of subscribers in multiple dwelling units used in the calculation of cable television regulatory fees. In the NPRM, the FCC proposes to collect $322,035,000 in regulatory fees for fiscal year 2018.

New Map Of Mobility Fund Phase II Eligible Areas

May 22, 2018 – The FCC has released an updated map of areas presumptively eligible for Mobility Fund Phase II support, available online at www.fcc.gov/maps/mobility-fund-ii-initialeligible-areas-map/. The new map reflects minor adjustments to underlying coverage and subsidy data, resulting in a slight increase in area presumptively eligible for support, but does not change the eligibility status of 99.87 percent of the total area shown on the first version of the map.

CenturyLink Proposes New Direct Interconnection Rule

May 21, 2018 – CenturyLink, one of the largest local exchange carriers and Internet access providers in U.S., has submitted a proposal to FCC calling for a new, default direct interconnection rule. CenturyLink wants the FCC to shift the financial responsibility for receiving traffic to any carrier that declines to accept a request for direct interconnection for the purpose of terminating access traffic. According to CenturyLink, inefficient and unwanted arbitrage in intercarrier compensation arrangements is caused by a disconnect between the responsibility for determining how traffic should be routed and the financial responsibility for that traffic. CenturyLink complains that “some carriers have an incentive to refuse requests for direct interconnection in order to obtain revenues or other benefits derived from charges imposed on interconnecting carriers.” This includes carriers that engage in access stimulation and carriers that do not. CenturyLink summarizes its proposed direction interconnection rule as follows:

Any carrier providing retail voice services (including LECs, CMRS providers, and carriers working with interconnected VoIP providers) shall offer other carriers an opportunity to interconnect directly or indirectly with no additional charges for all terminating switched access traffic. If such a terminating carrier declines a request to connect directly with no additional charge (and instead designates one or more points of indirect interconnection), then that terminating carrier and not the carrier requesting direct interconnection shall be financially responsible for any intermediate services necessary to receive traffic from such a point of indirect interconnection (including, e.g., tandem switching and tandem switched transport provided by an affiliated or third party intermediate carrier).

Finally, CenturyLink claims the FCC has legal authority to adopt the proposal “under its general Section 201 rulemaking authority to implement its bill and keep ICC framework adopted pursuant to Sections 251, 201 and 332.”

FCC Establishes Online Portal For ISP Transparency Disclosures

May 21, 2018 – The FCC’s Consumer and Governmental Affairs Bureau and Wireline Competition Bureau have established an online portal for Internet service provider (ISP) transparency disclosures. When the new ISP transparency rule becomes effective on June 11, 2018, ISPs must publicly disclose specific details about their broadband services and how they provide those services. There are two options for publicly disclosing the information required by the FCC’s transparency rule: (1) ISPs may disclose the information on a publicly available, easily accessible website; or (2) ISPs may transmit their disclosures to the FCC, which will make them available on a publicly available, easily accessible website. For those ISPs choosing the second option, transparency disclosures may be submitted to the new online portal beginning May 29, 2018 – https://www.fcc.gov/isp-disclosures.

FCC Unveils Extensive Tentative Agenda For June 7 Open Meeting

May 16, 2018 – Federal Communications Commission Chairman Ajit Pai has announced the tentative agenda for the June 7 FCC open meeting containing the following 12 items:

• Next Steps to Open Spectrum Frontiers for 5G Connectivity – The FCC will consider a Third Report and Order, Memorandum Opinion and Order, and Third Further Notice of Proposed Rulemaking that would continue efforts to make available millimeter wave spectrum, in bands at or above 24 GHz, for fifth-generation wireless, Internet of Things, and other advanced spectrum-based services. It would finalize rules for certain of these bands and seek comment on making additional spectrum available in the 26 GHz and 42 GHz bands for flexible terrestrial wireless use, sharing mechanisms in the Lower 37 GHz band, and earth station siting criteria for the 50 GHz band. (GN Docket No. 14-177; WT Docket No. 10-112)

• Wireline Infrastructure – The FCC will consider a Second Report and Order that will revise the FCC’s section 214(a) discontinuance processes, network change disclosure processes, and Part 68 customer notification process to remove barriers to infrastructure investment and promote broadband deployment. (WC Docket No. 17-84)

• Eliminating Disparate Treatment of Rural Broadband Providers – The FCC will consider an Order granting forbearance from applying Universal Service Fund contribution requirements to rural carriers’ broadband Internet access transmission services. (WC Docket No. 17-206)

• Audacy Corporation Space Station Authorization – The FCC will consider an Order and Authorization that recommends granting Audacy’s request to construct, deploy, and operate a proposed non-geostationary satellite (NGSO) constellation to provide continuous, high-speed, low-latency relay services to other NGSO spacecraft operators through Audacy’s proposed satellites and gateway earth stations. (IBFS SAT-LOA-20161115-00117)

• O3b Market Access Request – The FCC will consider an Order and Declaratory Ruling that recommends granting a request to modify O3b’s existing U.S. market access grant by adding new non-geostationary satellites and new frequency bands in order to provide broadband communication services in the United States. (IBFS SAT-MOD-20160624-00060)

• Updating the Intercarrier Compensation Regime to Eliminate Access Arbitrage – The FCC will consider a Notice of Proposed Rulemaking that proposes measures to eliminate access arbitrage in the intercarrier compensation regime. (WC Docket No. 18-155)

• 8YY Access Charge Reform – The FCC will consider a Further Notice of Proposed Rulemaking which proposes taking further steps in reforming intercarrier compensation by transitioning interstate and intrastate originating 8YY end office and tandem switching and transport charges to bill-and-keep and capping and limiting 8YY database query rates. (WC Docket No. 18-156)

• Text-Enabled Toll-Free Numbers – The FCC will consider a Declaratory Ruling and Notice of Proposed Rulemaking that will clarify the Commission’s rules regarding the authorization required to text-enable a toll-free number, and propose further safeguards to promote the innovative use of toll free numbers while protecting the integrity of the toll free numbering system. (WC Docket No. 18-28)

• Slamming and Cramming Rules – The FCC will consider a Report and Order to protect consumers from slamming (the unauthorized change of a consumer’s telephone provider) and cramming (the placement of unauthorized charges on a consumer’s telephone bill), including rules to address sales call misrepresentations and abuses of the third-party verification procedures. (CG Docket No. 17-169)

• Internet Protocol Captioned Telephone Service Reform – The FCC will consider a Report and Order, Declaratory Ruling, Further Notice of Proposed Rulemaking, and Notice of Inquiry to adopt measures, and seek comment on others, to ensure that Internet Protocol Captioned Telephone Service (IP CTS) remains sustainable for people with hearing loss who need it. (CG Docket Nos. 13-24, 03-123)

• Leased Commercial Access; Modernization of Media Regulation Initiative – The FCC will consider a Further Notice of Proposed Rulemaking that tentatively concludes that the Commission should vacate its 2008 Leased Access Order, and invites comment on ways to modernize the existing leased access rules. (MB Docket Nos. 07-42, 17-105)

• Enforcement Bureau Action – The FCC will consider an enforcement action.

The June 7 open meeting is scheduled to begin at 10:30 a.m. EDT at the FCC headquarters in Washington DC. It will be streamed live online at www.fcc.gov/live.

277 Entities Applied to Participate in CAF II Auction

May 14, 2018 – The FCC has announced that it received 277 short-form applications to participate in the Connect America Fund (CAF) Phase II Auction (Auction 903), which is set to begin on July 24th. Only 47 applications have been deemed complete, leaving 230 incomplete applications that must be corrected by June 5, 2018.

FCC Releases Summary of 911 Certification Data for 2017

May 13, 2018 – The FCC has released a summary of data gleaned from 911 reliability certifications filed in 2017. Certifications were filed by a total of 188 covered providers – any entity that provides 911, E911, or Next Generation 911 capabilities, such as call routing, automatic location information (ALI), automatic number information (ANI), or the functional equivalent of those capabilities, directly to a public safety answering point (PSAP), statewide default answering point, or appropriate local emergency authority, or that operates one or more central offices that directly serve a PSAP. The report includes the following key findings:

• Of the 188 covered entities that filed certifications, 48 certified that they have diverse 911 circuits to all PSAPs to which they provide 911 circuits. Twenty covered entities certified that they have implemented alternative measures in lieu of circuit diversity for all of the PSAPs that they serve. Fifteen covered entities certified that they provide diverse 911 circuits to some PSAPs and that they have implemented alternative measures to other PSAPs to which they provide 911 circuits.

• There were 6,769 unique PSAPs listed in the certifications for 911 circuit diversity. The certifications showed that of these 6,769 PSAPs, 3,855 PSAPs had diverse circuits and 2,914 had implemented alternative measures.

• Of the 188 covered entities that filed certifications, 165 indicated that they have certified backup power in all central offices that serve PSAPs. Nine certified that they have alternative measures for backup power in all such central offices, and four covered entities certified that they have back-up power in some central offices and have implemented alternative measures in all other central offices.

• Of 188 covered entities that filed certifications, 51 stated that they have diverse monitoring in all of their 911 service areas, and ten stated that they have certified alternative measures in all 911 service areas. Seven covered entities certified that they provide diverse monitoring in some of their 911 service areas and have implemented alternative measures in all other 911 service areas.

FCC Releases Rate-of-Return USF Data Ahead Of NPRM Comment Deadline

May 11, 2018 – The FCC’s Wireline Competition Bureau has released illustrative model results to help entities submit comments in response to the 2018 Rate-of-Return Reform Notice of Proposed Rulemaking. The first set of reports show revised offers of support and obligations for the proposed new Alternative Connect America Cost Model offer. The second report – referred to as the 80 Percent Minimum Report – shows universal service fund support data related to the FCC’s proposal to establish a minimum amount of support for rate-of-return carriers subject to revised cost-based rules that would not be subject to the existing budget constraint mechanism. Comments in response to the NPRM are due on or before May 25, 2018, and reply comments are due June 25, 2018.

Restoring Internet Freedom Order, New Broadband Transparency Rule Effective June 11

May 11, 2018 – A summary of the Restoring Internet Freedom Order has been published in the Federal Register, making it effective June 11, 2018. The order repeals the Title II net neutrality prohibitions on blocking, throttling, and paid prioritization, as well as the general conduct standard. It replaces them with a new transparency rule.

Call Completion Order Published in Fed. Reg. – Effective June 11th

May 10, 2018 – A summary of the FCC’s rural call completion Second Report and Order and Order has been published in the Federal Register, giving it an effective date of June 11, 2018, except for the rule contained in 47 C.F.R. § 64.2113, which requires approval by the Office of Management and Budget. That rule requires “covered providers” to make publicly available contact information – telephone number and email address – for the receipt and handling of rural call completion issues.

New A-CAM Support Offers Released, Deadline To Accept is June 21

May 7, 2018 – The FCC’s Wireline Competition Bureau has released 217 revised offers of Alternative Connect America Cost Model (A-CAM) support, along with their revised deployment obligations. Each revised offer reflects the FCC’s decision to offer additional support up to $146.10 per-location to all carriers that accepted the first revised offers of A-CAM support (all locations with costs above $52.50 will be funded up to a per-location fund cap of $146.10). Each carrier’s revised state-level offer of model-based support and associated data is available for review on A-CAM Report 11.0. The report also shows the amount of annual support that would be provided over the 10-year term, the total number of funded locations in census blocks that are eligible for support, the number of eligible locations that are fully funded, the number of eligible locations that are capped, and the specific number of locations where the recipient will be required to offer 25/3 Mbps service, 10/1 Mbps service, 4/1 Mbps service, and service upon reasonable request. Carriers have until June 21, 2017 to accept their revised offers. Those carriers that decline the second revised offer will continue to receive current support amounts and be subject to current deployment obligations.

Comments on Rule Prohibiting Use of USF Funding To Purchase Equipment From Companies That Present National Security Threat Due June 1st

May 2, 2018 – The FCC’s proposed rules prohibiting the use of Universal Service Fund (USF) support on equipment or services from suppliers that pose a national security threat to the integrity of communications networks or the communications supply chain has been published in the Federal Register. Consequently, comments are due on or before June 1, 2018, and reply comments are due on or before July 2, 2018.

Georgia Governor Mulling Over New Law To Permit Hacking Back

May 1, 2018 – Georgia’s legislature passed a computer crime bill in March 2018, criminalizing unauthorized computer access, which is defined as intentionally accessing a computer or computer network with knowledge that such access is without authority. The bill also permits “cybersecurity active defense measures” that are designed to prevent or detect unauthorized computer access – conduct that is commonly referred to as hacking back. Georgia’s Governor has yet to sign or veto the legislation, but faces a May 8 deadline to take action or the bill becomes law. A broad range of tech companies, including Internet giants Microsoft and Google, oppose the bill and are pushing for its veto. They argue the provision allowing for active defense measures gives anyone broad authority to hack back, if done under the banner of cybersecurity. Microsoft and Google, in a letter to the Governor of Georgia, further warn that the bill will result in companies carrying out offensive cyber operations against their competitors.

State Universal Service: Kansas Broadband Task Force to Review Universal Service and Broadband Deployment Issues

May 1, 2018 – The Kansas legislature has created a statewide broadband expansion planning task force to explore and report on the following broadband issues: (1) the creation of a Kansas broadband map; (2) consideration of a state-wide broadband expansion project; (3) review and analysis of recent actions by the federal communications commission relating to the deployment of fixed and mobile broadband services; (4) identifying funding sources to expand broadband infrastructure and increase statewide access to broadband services and ways to remove regulatory barriers to broadband deployment; (5) how to prioritize the expansion of broadband services across Kansas; (6) review of existing law and rules and regulations concerning access to public rights-of-way; and (7) recommendations for completing a statewide broadband expansion plan, including technologies, mapping, and methods of finance. The 17-member task force must submit an initial report to the house committee on energy, utilities and telecommunications and senate committee on utilities prior to January 15, 2019, and if needed, must submit a final report to the legislature before January 15, 2020.

State Universal Service: Indiana Utility Regulatory Commission Begins Triennial Review of Indiana Universal Service Fund

April 28, 2017 – The Indiana Regulatory Commission has issued a prehearing conference order related to its triennial review of the Indiana Universal Service Fund, setting a May 24, 2018 deadline for parties to pre-file prepared testimony and exhibits that are part of their respective cases-in-chief. Any party may file a response to a case-in-chief on or before June 13, 2018. If needed, the Indiana Commission will hold an evidentiary hearing on June 28, 2018. The purpose of the triennial review is to: (1) ensure the operations of the Indiana USF are preserving and advancing universal service; (2) ensure that universal service is continuing to be made available at rates that are just, reasonable, and affordable, and reasonably comparable to rates for basic residential and single line business local exchange service in urban areas; (3) ensure that the processes, funding levels, size, operation, and administration of the Indiana USF remain adequate and sufficient; and (4) review the operation of the Indiana USF relative to the federal universal service fund as may be appropriate.

Tele Circuit Faces $5.3 Million Penalty For Slamming And Cramming

April 27, 2018 – The FCC has hit Tele Circuit Network Corporation with a proposed penalty of $5,323,322 for apparent willful and repeatedly violations of the FCC’s slamming and cramming rules. Slamming is an industry term for the illegal practice of switching a consumer's wireline telephone company for local, local toll, or long distance service without permission. Cramming occurs when a service provider places charges on a subscriber’s bill for products and services that the subscriber did not authorize. Specifically, in the Notice of Apparent Liability for Forfeiture, the FCC finds that Tele Circuit apparently: (i) engaged in deceptive marketing practices; (ii) changed the preferred telecommunications service providers of consumers without proper authorization verified in accordance with the FCC’s rules, including but not limited to by misleading consumers as to the company’s identity or the nature of the company’s proposed offerings (slamming); (iii) provided false and misleading material information to the FCC with respect to the foregoing practices; and (iv) placed unauthorized charges (cramming) for its long distance service on consumers’ telephone bills. Tele Circuit has 30 days to either pay the full amount or seek a reduction or cancellation of the proposed forfeiture.

FCC Announces Temporary Suspension of Filing 3.7 - 4.2 GHz Band Applications

April 19, 2018 – As part of an inquiry into the possibility of repurposing parts of the 3.7 - 4.2 GHz band for mobile broadband and other use, the FCC’s International, Public Safety and Homeland Security, and Wireless Telecommunications Bureaus have announced a temporary suspension of the filing of certain applications for certain services in that band. Beginning April 19, 2018, there is a freeze on the filing of new or modification applications for fixed-satellite service (FSS) earth station licenses, receive-only earth station registrations, and fixed microwave licenses in the 3.7 - 4.2 GHz band. There are a few exceptions: (1) the freeze does not extend to applications for renewal or cancellation of current earth station authorizations, or modifications to correct location or other data required in the earth station file; and (2) the freeze does not extend to applications for renewal, cancellation, minor modifications, or data corrections of fixed microwave stations.

In addition, the FCC’s International Bureau has opened a 90-day window during which entities that own or operate existing FSS earth stations in the 3.7 - 4.2 GHz band may file an application to register or license the earth station if it is currently not registered or licensed, or may file an application to modify a current registration or license, in the International Bureau Filing System (IBFS). Existing earth stations are those that have been constructed and are operational as of April 19, 2018. Also, the International Bureau has waived the requirement that applications for earth station licenses or registrations demonstrate frequency coordination with terrestrial stations. The filing window will close on July 18, 2018. The goal of the limited filing window is to help identify existing unregistered earth stations, which could give the FCC a better understanding of current operations before making any substantial changes to the band.

Tentative Agenda For FCC May 10 Open Meeting

April 19, 2018 – The Federal Communications Commission has released a tentative agenda for its May 10 open meeting containing the following items:

• Transforming the 2.5 GHz Band – The FCC will consider a Notice of Proposed Rulemaking that would allow more efficient and effective use of 2.5 GHz spectrum by increasing flexibility for existing Educational Broadband Service licensees and providing new opportunities for educational entities, rural Tribal Nations, and commercial entities to access unused portions of the band. (WT Docket No. 18-120)

• FM Translator Interference Rules – The FCC will consider a Notice of Proposed Rulemaking which proposes to streamline the rules relating to interference caused by FM translators and expedite the translator complaint resolution process. (MB Docket No. 18-119)

• Broadcast License Posting Rules – The FCC will consider a Notice of Proposed Rulemaking seeking comment on whether to streamline or eliminate certain rules which require the physical posting and maintenance of broadcast licenses and related information in specific locations. (MB Docket Nos. 18-121, 17-105)

• Hearing Designation Order – The FCC will consider a Hearing Designation Order.

• Enforcement Bureau Action – The FCC will consider an enforcement action.

FCC Grants FairPoint Request for Retroactive LSS Support For Its Rate-of-Return Affiliates

April 19, 2018 – The Federal Communications Commission has issued an Order and Declaratory Ruling which grants a request by FairPoint Communications, Inc. to correct its Eligible Recovery retroactive to January 1, 2015 and restore Local Switching Support (LSS) amounts for its rate-of-return affiliates.

As part of comprehensive intercarrier compensation (ICC) and universal service fund (USF) reforms adopted in the 2011 USF/ICC Transformation Order, the FCC froze USF support for price cap carriers and their rate-of-return affiliates. This CAF Phase I frozen support included LSS. The FCC also created a transitional support mechanism, CAF ICC support, to provide partial recovery of ICC revenue that the rate-of-return carriers would lose during the transition to bill-and-keep. A carrier’s “Eligible Recovery” under CAF ICC depends in part on its 2011 interstate switched access revenue requirement, which included switching costs previously covered by LSS.

FairPoint, which has since merged with and now operates as Consolidated Communications, is an incumbent LEC that operates as a price cap carrier in three states and as a rate-of-return carrier in 15 states. FairPoint’s rate-of-return affiliates received CAF Phase I frozen support, and were eligible to participate in the CAF ICC recovery mechanism because they were treated as rate-of-return carriers for ICC purposes. To prevent them from recovering LSS twice – through frozen support and CAF ICC – the National Exchange Carrier Association (NECA) reduced FairPoint’s Eligible Recovery in an amount corresponding to the company’s 2011 legacy LSS.

In its petition for declaratory ruling, FairPoint argued NECA should not have continued “LSS-based reductions after its Phase I support ended” and its CAF Phase II model-based support began. FairPoint claimed these incorrect deductions of LSS amounts reduced its support by approximately $4.2 million each year. The FCC has agreed. It has granted FairPoint’s request, concluding “there generally is no duplicative recovery of LSS when rate-of-return affiliates of price cap carriers receive both CAF Phase II support and CAF ICC transition support.”

As explained in the FCC’s ruling, the Connect America Cost Model (CAM) that determines Phase II support amounts “did not include the historical costs associated with LSS because the rationale for providing LSS support had become outdated in light of modern IP-based networks.” Similarly, rate-of-return carriers receiving Alternative Connect America Cost Model (A-CAM) support are allowed to include legacy LSS when calculating their CAF ICC Eligible Recovery. To receive the retroactive support, FairPoint, and any other similarly-affected carriers must file corrected Tariff Review Plan worksheets with amended Eligible Recovery amounts.

FCC Adopts New Rural Call Completion Requirements, Proposes Additional Rules

April 17, 2018 – The Federal Communications Commission has released a Second Report and Order imposing new rural call completion requirements, and an accompanying Third Further Notice of Proposed Rulemaking proposing other rules to address rural call completion issues. In the order, the FCC has adopted a new rule requiring “covered providers” to monitor the performance of “intermediate providers” to which they hand off long-distance calls. However, the FCC has also eliminated the reporting requirements for covered providers established by the FCC in 2013. In the further notice, the FCC seeks comment on establish registration requirements and service quality standards for intermediary providers. Comments in response to the further notice are due on or before June 4, 2018. Reply comments are due June 19, 2018.

T-Mobile Confesses To Violating FCC Rural Call Completion Rules

April 16, 2018 – Wireless provider T-Mobile USA, Inc. has entered into a Consent Decree with the FCC’s Enforcement Bureau, settling an investigation into whether T-Mobile violated FCC rural call completion rules. T-Mobile must pay a $40 million civil penalty to the U.S. Treasury, and must follow a compliance plan to ensure it obeys the FCC’s rural call completion rules in the future. The Enforcement Bureau launched its investigation of T-Mobile after receiving complaints from rural incumbent LECs in Wisconsin, explaining that T-Mobile customers were unable to complete calls to subscribers served by the rural LECs. In addition to generally questioning whether T-Mobile provided degraded phone service on calls placed to rural areas, the Enforcement Bureau investigated whether T-Mobile conveyed false ring tones to its customers that placed calls to rural areas. The 2013 Rural Call Completion Order prohibited the use of false ring tones. Under that rule, originating providers are prohibited from sending an audible ring tone “to the calling party until the terminating provider has signaled that the called party is being alerted to an incoming call, such as by ringing.” According to the Consent Decree, in 2013, T-Mobile used a “Local Ring Back Tone” (LRBT) for out-of-network calls from its customers that were routed via Session Initiation Protocol (SIP) trunks and that took more than a certain amount of time to complete. Because this practice was applied on a nationwide basis without regard to time of day, the Enforcement Bureau estimates the LRBT was injected into hundreds of millions of calls each year. As part of the settlement, T-Mobile admitted that it: (a) violated Section 64.2201 of the FCC’s rules prohibiting the insertion of false ring tones; and (b) did not correct problems with its Intermediate Providers’ delivery of calls to consumers in certain rural areas.

Dept. of Commerce Suspends ZTE’s Export Privileges For Seven Years For Lying to U.S. Government

April 16, 2018 – The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) has imposed a denial of export privileges against Zhongxing Telecommunications Equipment Corporation, of Shenzhen, China and ZTE Kangxun Telecommunications Ltd. of Hi-New Shenzhen, China (collectively, “ZTE”). The BIS denial order stems from a March 2017 settlement agreement between ZTE and the Commerce Department in which ZTE was penalized for shipping telecommunications equipment to Iran and North Korea in violation of U.S. trade embargos. ZTE also admitted making false statements, obstructing justice, and misleading the U.S. government. ZTE received a combined civil and criminal penalty and forfeiture of $1.19 billion. Additionally, ZTE agreed to a seven-year suspended denial of export privileges, which would become effective if ZTE failed to comply with any aspect of the settlement agreement or if ZTE committed additional export violations. Sometime after entering into the settlement agreement, ZTE made false statements in response to a BIS request for information on the disciplinary actions taken by ZTE against the employees responsible for the trade embargo violations. Because of ZTE’s actions, BIS has activated the suspended denial order in full, which halts ZTE’s export privileges for seven years, until March 13, 2025. Specifically, ZTE may not, directly or indirectly, participate in any way in any transaction involving any commodity, software or technology exported or to be exported from the U.S.

NIST Releases Updated Version of Cybersecurity Framework

April 16, 2018 – The U.S. Commerce Department’s National Institute of Standards and Technology (NIST) has released version 1.1 of its Framework for Improving Critical Infrastructure Cybersecurity, more commonly known as the NIST Cybersecurity Framework. The new version 1.1 “refines, clarifies, and enhances” version 1.0, which was issued in February 2014. Version 1.1 includes updates on the following: authentication and identity, self-assessing cybersecurity risk, managing cybersecurity within the supply chain, and vulnerability disclosure. The new version of the framework was crafted by NIST after considering information collected through public comments and workshops held in 2016 and 2017. Sometime in 2018, NIST expects to release an updated version of the “Roadmap for Improving Critical Infrastructure Cybersecurity,” a companion document intended to help guide future versions of the Cybersecurity Framework. NIST will hold a webinar on April 27 to provide an overview of the updates contained in version 1.1.

Convergence Research Reports Shows Major Growth in OTT Video Subscribers and Revenue

April 16, 2018 – Convergence Research Group Limited has released a report titled The Battle for the American Couch Potato: OTT, TV, Online, which provides data and estimates on over the top (OTT) video services and traditional video services. In the April 2018 report, Convergence estimates U.S. OTT access revenue (based on 55 OTT providers led by Netflix) grew 41% to $11.9 billion in 2017. Convergence forecasts U.S. OTT access revenue at $16.6 billion for 2018, and $27.6 billion for 2020. Convergence also makes the following estimates:

• We estimate 2017 U.S. Cable, Satellite, Telco TV access (not including OTT) revenue grew 1% to $107.6 billion ($94.30/mo. ARPU), and forecast $107.4 billion (97.90/mo. ARPU) for 2018.

• We forecast U.S. OTT subscriber households will far surpass TV subscribers in 2020, however U.S. TV subscriber ARPU will be 4 times U.S. OTT subscriber household ARPU down from 6 times in 2017.

• We estimate 2017 saw a decline of 3.66 million U.S. TV subscribers, 2016 a decline of 2.2 million, and we forecast a decline of 3.72 million TV subs for 2018; hence the U.S. TV sub base is declining in the 4%/annum range.

• 2017 saw U.S. residential broadband subscribers surpass U.S. TV subscribers growing to 96.95 million. We estimate 2.33 million U.S. residential broadband subs were added in 2017 (2.66 million in 2016) and revenue grew 7% to $56.8 million; we forecast 2.57 million additions and 6% growth to $60.5 billion for 2018.

Investigation Reveals Violation of Wireless Infrastructure Structure Rules: Mobilitie Skipped Environmental & Historical Preservation Reviews

April 10, 2018 – The FCC’s Enforcement Bureau has entered into separate consent decrees with Sprint and Mobilitie, LLC, ending investigations into alleged violations of FCC antenna structure rules. Four years ago in an effort to improve its wireless coverage, Sprint began densifying its network by adding small cells – antennas and associated equipment mounted on poles, buildings, and other structures that are physically much smaller than macrocell sites. Sprint hired Mobilitie to install Sprint-owned small cells on structures owned by Mobilitie and others. Mobilitie constructs, owns, and leases infrastructure for U.S. wireless carriers. In May 2017, the FCC’s Enforcement Bureau commenced an investigation into whether Sprint and Mobilitie violated the FCC’s wireless infrastructure rules by failing to comply with requirements related to antenna structure registration and environmental and historical preservation review. The Enforcement Bureau’s investigation found that Mobilitie “had commenced construction of certain wireless facilities without securing all necessary regulatory and environmental approvals,” in order to expedite small cell construction and meet deployment deadlines. Mobilitie settled the investigation by paying $1.6 million to the U.S. Treasury and agreeing to follow a compliance plan that requires it to enhance its environmental and historic property review procedures. With respect to Sprint, the Enforcement Bureau focused on whether Sprint was complicit in Mobilitie’s conduct. Sprint agreed to pay $10 million to the U.S. Treasury to settle the investigation.

FCC Sets Agenda For April 17 Meeting

April 10, 2018 – The Federal Communications Commission has set the agenda for its open meeting scheduled for Tuesday, April 17, 2018:

• Protecting National Security Through FCC Programs – The Commission will consider a Notice of Proposed Rulemaking to ensure that universal service support is not used to purchase equipment or services from companies posing a national security threat to the integrity of communications networks or the communications supply chain. (WC Docket No. 18-89)

• Spectrum Frontiers Auctions Public Notice – The Commission will consider a Public Notice that would seek comment on the procedures for the auctions of Upper Microwave Flexible Use Service licenses in the 28 GHz and 24 GHz bands. (AU Docket No. 18-85)

• Streamlining Licensing Procedures for Small Satellites –The Commission will consider a Notice of Proposed Rulemaking that proposes a new, alternative application process designed for a class of satellites referred to as “small satellites.” (IB Docket No. 18-86)

• Rural Call Completion – The Commission will consider a Report and Order and Further Notice of Proposed Rulemaking that will adopt new measures, and seek comment on others, to better tackle the problem of call completion and ensure that calls are completed to all Americans—including those in rural America. (WC Docket No. 13-39)

• Business Data Services for Model-Based Rate-of-Return Carriers – The Commission will consider a Notice of Proposed Rulemaking to enable model-based rate-of-return carriers to elect incentive regulation for their lower-speed business data services offerings, and to remove ex ante pricing regulation for packet-based and higher-speed circuit-based offerings. (WC Docket No. 17-144)

• Cable Channel Lineup Requirements – The Commission will consider a Notice of Proposed Rulemaking proposing to eliminate the requirement that cable operators maintain a channel lineup at their local office and seeking comment on eliminating the requirement that certain cable operators make their channel lineup available via their online public inspection file. (MB Docket Nos. 18-92, 17-105)

• Rules Governing Ancillary/Supplementary Services – The Commission will consider a Report and Order that would revise Section 73.624(g) of its rules to reduce broadcaster reporting obligations relating to the provision of ancillary or supplementary services. (MB Docket Nos. 18-264, 17-105)

The open meeting is scheduled to begin at 10:30 a.m. EDT, and will be streamed live at www.fcc.gov/live.

FCC Relaxes Opex Limitation For Rate-Of-Return Carriers Serving Tribal Lands

April 5, 2018 – The Federal Communications Commission has taken action to provide additional universal service fund (USF) support to rate-of-return carriers that predominately serve Tribal lands. Specifically, after considering the higher costs associated with serving Tribal lands, the FCC has increased the amount of operating costs that those carriers can recover from the USF. A limitation on operating expenses (opex) that may be recovered using USF support has been in effect since passage of the 2016 Rate-of-Return Reform Order. It restrains opex costs by comparing each study area’s opex cost per location to a regression model-generated opex per location plus 1.5 standard deviations. The relief set out in the FCC’s Report and Order raises the opex limitation to 2.5 standard deviations above the regression-determined amount for carriers predominately serving Tribal lands, and will apply for the period beginning January 1, 2017. However, carriers must meet the following two conditions to be eligible for the relief: (1) the carrier must not have deployed 10/1 Mbps broadband service to 90 percent or more of the housing units on the Tribal lands in its study area; and (2) unsubsidized competitors must not have deployed 10/1 Mbps broadband service to 85 percent or more of the housing units on the Tribal lands in the carrier’s study area. A total of five carriers are expected to be eligible for the opex limitation relief.

FCC Announces 2018 Details For Filing Annual Access Charge Tariffs & TRPs

April 5, 2018 – The Pricing Policy Division of the FCC’s Wireline Competition Bureau has released an Order announcing the procedures for the 2018 filing of annual access charge tariffs and Tariff Review Plans (TRPs) for price cap and rate-of-return incumbent local exchange carriers (LECs). In general, the Order (1) sets a modified effective date of July 3, 2018, for the July 2018 annual access charge tariff filings made on both 15 and 7 days’ notice; (2) establishes the dates for filing petitions to suspend or reject an incumbent LEC tariff filing and replies to such petitions; (3) addresses service of the petitions and replies; (4) waives for 2018 the requirement that price cap incumbent LECs file a short form TRP; and (5) partially waives for the second quarter of 2018 the universal service contribution factor rule to allow incumbent LECs to charge the second quarter 2018 contribution factor until July 3, 2018, at which time they must begin charging the third quarter 2018 contribution factor. All correspondence and comments in connection with the 2018 tariff filings should refer to the following proceeding: July 1, 2018 Annual Access Charge Tariff Filings, WC Docket No. 18-100. Incumbent LECs must use the Commission’s Electronic Tariff Filing System (ETFS) to file all of their tariff material.

Spectrum Horizon NPRM Comments Due May 2nd

April 2, 2018 – The FCC has published a summary of the Spectrum Horizons Notice of Proposed Rulemaking in the Federal Register, setting comment deadlines. Accordingly, comments are due on or before May 2, 2018. Reply comments are due May 17, 2018. Generally, in the NPRM, the FCC seeks comment on proposed rules to permit licensed fixed point-to-point operations in a total of 102.2 gigahertz of spectrum; on making 15.2 gigahertz of spectrum available for unlicensed use; and on creating a new category of experimental licenses to increase opportunities for entities to develop new services and technologies from 95 GHz to 3 THz with no limits on geography or technology.

FCC Seeks OMB Approval For New ISP Transparency Rule; OMB Comments on Information Collection Due April 27

March 28, 2018 – The FCC has submitted the information collection requirements for the new Internet service provider (ISP) transparency rule to the Office of Management and Budget (OMB). The transparency rule was adopted in the Restoring Internet Freedom Order, and replaces the net neutrality prohibitions on blocking, throttling, and paid prioritization, as well as the general conduct standard that were established in 2015. In broad terms, the rule requires an ISP to publicly disclose network management practices, performance, and commercial terms of its broadband internet access service. It cannot become effective until approved by OMB. Interested parties may comment on the rule’s information collection requirements. Comments are requested concerning: (1) Whether the proposed collection of information is necessary for the proper performance of the functions of the Commission, including whether the information shall have practical utility; (2) the accuracy of the Commission’s burden estimate; (3) ways to enhance the quality, utility, and clarity of the information collected; (4) ways to minimize the burden of the collection of information on the respondents, including the use of automated collection techniques or other forms of information technology; (5) and ways to further reduce the information collection burden on small business concerns with fewer than 25 employees. Comments must be submitted on or before April 27, 2018.

FCC To Publish Mobility Fund Phase II Map To Assist Challenge Process

March 27, 2018 – The FCC’s Rural Broadband Auctions Task Force, Wireline Competition Bureau, and Wireless Telecommunications Bureau have announced they will release a map of areas presumptively ineligible for Mobility Fund Phase II support due to the existence of qualifying, unsubsidized coverage reported by one mobile provider. The map is intended to help facilitate the Mobility Fund Phase II challenge process because it “will inform challengers of those areas for which they will need to test the coverage of only one unsubsidized mobile provider.” The map is expected to be released on April 10, 2018, on the FCC’s Mobility Fund Phase II website: https://www.fcc.gov/mobility-fund-phase-ii-mf-ii.

FCC To Blacklist Equipment Providers That Present National Security Threat; Proposed Rule Would Bar Use of Universal Service Funds to Purchase Equipment or Services

March 26, 2018 – The Federal Communications Commission has released a draft of a Notice of Proposed Rulemaking (NPRM) that is expected to be formally adopted at its April 17th open meeting. The NPRM seeks comment on a rule prohibiting the use of universal service fund support to purchase equipment or services from any communications equipment or service providers identified as posing a national security risk to U.S. communications networks or the communications supply chain. The proposed rule would apply prospectively, and extend to upgrades of existing equipment or services. Presumably, the rule targets equipment manufactured by Chinese companies Huawei, ZTE, and others. Comment deadlines will be announced after the NPRM is formally adopted.

FCC Issues Further Reforms to Rate-of-Return High-Cost USF Rules

March 23, 2018 – The FCC has released a Report and Order, Third Order on Reconsideration, and Notice of Proposed Rulemaking that continue the FCC’s efforts to reform the high-cost universal service fund (USF) support mechanism. In the Report and Order, the FCC codifies rules “explicitly prohibiting the use of federal high-cost support for expenses that are not used for the provision, maintenance, and upgrading of facilities and services for which...support is intended.” In the Third Order on Reconsideration, the FCC resolves or clarifies a number of issues raised in several petitions for reconsideration of the 2016 Rate-of-Return Reform Order. In the Notice of Proposed Rulemaking, the FCC proposes further reforms to establish a workable budget for the rate-of-return portion of the high-cost USF. Comments are due 30 days after the item is published in the Federal Register, and reply comments are due 60 days after publication.

FCC-FTC Release Agenda For Joint Policy Forum on Illegal Robocalls

March 23, 2018 – The FCC and FTC have released the agenda for their joint policy forum that will examine ways to fight illegal robocalls. The event be held on Friday, March 23, 2018, from 9:30 a.m. to 12:30 p.m. at the FCC’s headquarters in D.C. The first panel, Challenges Facing Consumers and Industry Today, will focus on factors driving the volume of illegal robocalls; new threats to consumers, such as Caller ID spoofing; and protections for legitimate callers. Panel two, Recent Regulatory and Enforcement Efforts, will cover an overview of relevant law; recent FCC, FTC, and state actions to protect consumers; and enforcement challenges. The final panel, Solutions and Tools for Consumers, will discuss third-party solutions and other resources available to empower consumers; and industry efforts to develop Caller ID authentication.

CAF II Auction Application Window Opens

March 19, 2018 – The FCC is now accepting short-form applications (FCC Form 183) to participate in the Connect America Fund Phase II auction (Auction 903). Participants will compete for $1.98 billion in total CAF II funding, which equates to $198 million in annual support to auction winners over a period of 10 years. The auction application period runs from March 19 to March 30. The FCC’s Rural Broadband Auctions Task Force, Wireline Competition Bureau, and Wireless Telecommunications Bureau recently released instructions for completing the short-form application, and are available on the FCC’s Auction 903 website. The FCC recommends auction applicants use the instructions in conjunction with the short-form application procedures as set forth and explained in the Auction 903 Procedures Public Notice.

House to Hold March 22 Hearing on Communications Bills

March 19, 2018 – The House of Representative’s Subcommittee on Communications and Technology will hold a hearing on Thursday, March 22, 2018, at 10:15 a.m. Five witnesses are slated to testify. The following four communications bills are the subject of the hearing:

• H.R. 2345, The National Suicide Hotline Improvement Act, will direct the Federal Communications Commission (FCC), in consultation with the Substance Abuse and Mental Health Services Administration, to study and report on the feasibility of designating an N11 dialing code to be used for a national suicide prevention and mental health crisis hotline system.

• H.R. 2903, The Rural Reasonable and Comparable Wireless Access Act, will direct the FCC to promulgate rules to establish a national standard for determining whether rural areas have reasonably comparable wireless and broadband services to services provided in urban areas.

• H.R. 3787, The Small Entity Regulatory Relief Opportunity (SERRO) Act, will direct the FCC to complete a rulemaking to establish streamlined procedures for filing, considering, or resolving petitions with regard to small entities.

• Discussion Draft, Preventing Illegal Radio Abuse Through Enforcement (PIRATE) Act, will increase fines for illegal pirate operations from $10,000 per violation to $100,000 per day per violation, up to a maximum of $2,000,000, and streamline the FCC’s enforcement process to empower state and local law enforcement in combating illegal pirate operations.

The hearing will be webcast at http://energycommerce.house.gov/.

FCC Issues Report on Level 3’s 2016 Nationwide Outage

March 13, 2018 – The FCC’s Public Safety and Homeland Security Bureau has released a report detailing the findings of its investigation into the nationwide communications network outage experience by Level 3 in October 2016. Level 3’s outage, while lasing only nearly an hour and a half, was the largest ever reported to the FCC’s Network Outage Reporting System (NORS). During the outage, roughly 111 million calls were blocked, over 109 million of which were on Level 3’s interconnected VoIP networks. According to the report, the outage occurred when, as part of Level 3’s anti-fraud operations, a technician created an improper entry in Level 3’s network management software by leaving a number field blank that would normally contain a target telephone number. Level 3’s network management software interpreted the blank field as an instruction to block all calls across Level 3’s network, rather than blocking only those calls from numbers associated with potentially malicious activity.

USF Contribution Factor Will Be 18.4 Percent for Q2 2018

March 9, 2018 – The FCC’s Office of Managing Director (OMD) has announced that the proposed universal service fund (USF) contribution factor for the second quarter of 2018 will be 18.4 percent. This is a decrease from the record high 19.5 percent used for the first quarter of 2018. The Universal Service Administrative Company (USAC) projects $12.80 billion in total interstate and international end-user telecommunications revenues will be collected from April through June 2018. USAC estimates that $1.968 billion will be needed to cover the total demand and expenses for all Federal universal service support mechanisms in the second quarter of 2018. If the FCC takes no action on the proposed USF contribution factor within 14 days, it will be declared approved. Historical information on quarterly universal service fund contribution factors is available online from the FCC.

FCC Releases Instructions for CAF II Auction Short-Form Applications

March 8, 2018 – The FCC’s Rural Broadband Auctions Task Force, Wireline Competition Bureau, and Wireless Telecommunications Bureau have released instructions for completing the short-form application (FCC Form 183) to participate in the Connect America Fund Phase II auction (Auction 903). Among other things, the instructions explain how an auction applicant can select the specific states in which it wishes to bid, select performance tier and latency combinations for its bids, submit operational and financial information, disclose auction-related agreements, and provide information regarding its ownership structure. The full instructions are available on the FCC’s Auction 903 website. The FCC recommends auction applicants use the instructions in conjunction with the short-form application procedures as set forth and explained in the Auction 903 Procedures Public Notice.

DOJ Antitrust Division to Hold Roundtable Discussion on Competition, Regulation, and Antitrust Enforcement Policy

March 5, 2018 – The U.S. Department of Justice’s Antitrust Division has announced it will hold a series of roundtable discussions to explore the relationship between competition and regulation, and its implications for antitrust enforcement policy. The first roundtable will be held on Wednesday, March 14, 2018 in Washington, D.C. from 10:00 a.m. to 1:00 p.m. EST, and will focus on competition policy and identify related regulatory burdens. The second roundtable will be held on April 26, and will examine antitrust consent decrees. The third roundtable is scheduled for May 31, and will assess the consumer costs of anticompetitive regulations.

Wireline Bureau Clarifies CAF-BLS Deployment Obligations

March 1, 2018 – The FCC’s Wireline Competition Bureau has released guidance and clarification regarding FCC Form 477 and High Cost Universal Broadband (HUBB) reporting obligations for recipients of Connect America Fund-Broadband Loop Support (CAF-BLS). The Universal Service Administrative Company (USAC) maintains the HUBB portal where carriers report broadband deployment to geo-coded locations and make service milestone certifications. The first clarification concerns the effect of corrected Form 477 data on deployment obligations. When the FCC adopted CAF-BLS deployment obligations, it based them on 2015 broadband deployment data that was reported on FCC Form 477 in March 2016. The FCC has clarified that corrected 2015 FCC Form 477 data that shows a carrier 80 percent or more deployed will not convert a CAF-BLS carrier with a defined deployment and HUBB filing obligations into a carrier without these obligations. Next, the FCC has clarified a CAF-BLS carrier will be able to voluntarily certify to USAC that it is fully deployed (and thus has fulfilled its buildout obligation) because it has deployed qualifying broadband to all locations in its study area that do not result in its total support per line exceeding the $250 per line per-month cap or the carrier’s Maximum Average Per Location Construction Project Limitation. Finally, the FCC has clarified that HUBB reporting obligations are ongoing, regardless of whether the full deployment milestone has been met. The FCC’s rules require carriers with HUBB filing obligations to submit locations and make related certifications on an annual basis until the end of their support term.

FCC Announces Tentative Agenda For March 22 Meeting

March 1, 2018 – The Federal Communications Commission has released a tentative agenda for its March 22, 2018 open meeting. The meeting is scheduled to commence at 9:30 a.m. EDT, and will be streamed live online at www.fcc.gov/live. The tentative agenda includes the following items:

Wireless Infrastructure Streamlining Order – The Commission will consider a Second Report and Order that would clarify and modify the procedures for NHPA and NEPA review of wireless infrastructure deployments.  (WT Docket No. 17-79)

Advanced Methods to Target and Eliminate Unlawful Robocalls (Reassigned Numbers Database) – The Commission will consider a Second Further Notice of Proposed Rulemaking to address the problem of unwanted calls to reassigned numbers.  (CG Docket No. 17-59)

Location-Based Routing for 911 Calls – The Commission will consider a Notice of Inquiry examining location-based routing of wireless 911 calls to ensure that calls are routed to the proper 911 call center.  (PS Docket No. 18-64)

4.9 GHz Band – The Commission will consider a Sixth Further Notice of Proposed Rulemaking to stimulate use of and investment in the 4.9 GHz band.  (WP Docket No. 07-100)

Streamlining Television Satellite Station Reauthorization – The Commission will consider a Notice of Proposed Rulemaking that proposes to streamline the reauthorization process for television satellite stations that are assigned or transferred in combination with a previously approved parent station.  (MB Docket Nos. 18-63, 17-105)

Consumer Signal Boosters – The Commission will consider a Second Report and Order that would remove the personal use restriction for Provider-Specific Consumer Signal Boosters and a Second Further Notice of Proposed Rulemaking that seeks comment on ways to further expand access to Consumer Signal Boosters.  (WT Docket No. 10-4)

Mobility Fund Phase II Challenge Process Opens March 29; Initial Eligible Areas Map Now Available

February 27, 2018 – The FCC’s Rural Broadband Auctions Task Force, together with the Wireline Competition Bureau and Wireless Telecommunications Bureau, have announced that the challenge window for the Mobility Fund Phase II challenge process will open on March 29, 2018, and will remain open for 150 days, until August 27, 2018. A map showing areas presumptively eligible for Mobility Fund Phase II support is now available online at www.fcc.gov/mobility-fund-phase-2. Beginning March 22nd, any party that has obtained login credentials by submitting a portal access request form will be able to test its credentials by logging in to the challenge process portal. A link to the portal will eventually be posted on the FCC’s Mobility Fund Phase II website. Additional information on the challenge process is available in the Mobility Fund Phase II Challenge Process Procedures Public Notice.

En Banc Ninth Circuit Says FTC Common Carrier Exemption is Activity Based

February 26, 2018 – The U.S. Court of Appeals For The Ninth Circuit has released its opinion in FTC v. AT&T Mobility, a case involving a key question of Federal Trade Commission (FTC) jurisdiction. (Although it concerns AT&T Mobility’s data throttling practices.) Sitting en banc, the Ninth Circuit has ruled that the “common carrier exemption” is activity-based. With respect to the underlying FTC action alleging AT&T Mobility’s data throttling plan was unfair and deceptive, the Ninth Circuit’s decision affirms the district court’s denial of AT&T’s motion to dismiss.

Section 5 of the FTC Act empowers and directs the FTC to prevent entities “from using unfair methods of competition in or affecting commerce and unfair or deceptive acts or practices in or affecting commerce.” But, Section 5 exempts common carriers, ostensibly carving them out from the FTC’s jurisdiction. The question before the Ninth Circuit was “whether the common-carrier exemption is activity-based, meaning that a common carrier is exempt from FTC jurisdiction only with respect to its common-carrier activities, or status-based, such that an entity engaged in common-carrier activities is entirely exempt from FTC jurisdiction.”

The Ninth Circuit found the common carrier exemption to be activity-based after considering the text of the FTC Act, “the meaning of ‘common carrier’ according to the courts around the time the statute was passed in 1914, decades of judicial interpretation, the expertise of the FTC and Federal Communications Commission, and legislative history.” The Ninth Circuit also said common sense supports its decision: “A phone company is no longer just a phone company.” In other words, nowadays, common carriers don’t provide only common carrier services. They provide access to the Internet, edge services, video, interactive entertainment services, and more. According to the Ninth Circuit, its interpretation of the common carrier exemption prevents a regulatory gap, “and provides consistency and predictability in regulatory enforcement.”

NTIA To Study Repurposing 3450-3550 MHz Band For Commercial Mobile Broadband Use

February 26, 2018 – The U.S. Department of Commerce’s National Telecommunications and Information Administration (NTIA) has announced it will study the 3450-3550 MHz band to determine whether the 100 MHz of spectrum can be repurposed for commercial mobile broadband use. Currently, this mid-range spectrum is used for military radar systems in the U.S., and is adjacent to the 3550-3700 MHz band which is tagged for Citizens Broadband Radio Service. According to NTIA’s announcement, the Department of Defense will soon a propose a comprehensive radio-frequency engineering study to determine the potential for introducing advanced wireless services in the band without harming government operations. NTIA says its decision to study the 3450-3550 MHz band is part of an ongoing effort across the U.S. government to support deployment of wireless broadband and foster American leadership in 5G.

Rural Call Completion Act Signed Into Law

February 26, 2018 – President Trump has signed into law the “Improving Rural Call Quality and Reliability Act of 2017,” which is intended to stop rural call completion problems and ensure reliable long distance service to rural America. The new law requires “intermediate providers” to register with the FCC and comply with certain service quality standards for the transmission of voice calls that will be adopted by the FCC. An intermediate provider is generally any entity that carries, routes, or transmits voice traffic, but does not itself, either directly or in conjunction with an affiliate, originate or terminate calls. The Improving Rural Call Quality and Reliability Act of 2017 prohibits “covered providers” from using an intermediate provider that has not registered with the FCC. A covered provider is a “provider of long-distance voice service that makes the initial long-distance call path choice for more than 100,000 domestic retail subscriber lines, counting the total of all business and residential fixed subscriber lines and mobile phones and aggregated over all of the providers' affiliates.” Additionally, the new law requires the FCC to create a database of registered intermediate providers and make it publicly accessible online.

FCC Announces New and Improved National Broadband Map

February 22, 2018 – The Federal Communications Commission has announced that it has updated and modernized the National Broadband Map in hopes of once again making it a key source of broadband deployment information for consumers, policymakers, researchers, and others. According to the FCC’s announcement, the new map includes the following improvements and features:

• Fixed deployment data based on the latest collection by the FCC and updated twice annually

• Deployment summaries available for seven different geographical types: nation, state, county, congressional district, city or town (census place), Tribal area, and Core -based Statistical Area (such as New York-Newark-Jersey City NY-NJ-PA)

• Broadband availability and provider counts in each of the nation’s over 11 million census blocks, available for six technologies (fiber, DSL, cable, satellite, fixed wireless, and other) as well as seven speeds, for a total of 441 combinations

• Provider summary information available for 1,782 providers by technology, eight download speed tiers, and nine upload speed tiers

• Deployment comparisons between geographic areas

• A portal for data downloads

• Satellite imagery map overlay that shows buildings, roads, and geography

• Graphs that show what fraction of an area’s population has access to broadband at a given speed

The new and improved National Broadband Map can be accessed at https://broadbandmap.fcc.gov. Data on mobile service is not yet available on the new map, but is available on separate maps at https://www.fcc.gov/reports-research/maps/.

FCC Revises Rules on Broadband-Only Loop Costs, ARC Imputation

February 16, 2018 – The Federal Communications Commission has revised certain rules adopted in the Rate-of-Return Reform Order relating to rate-of-return local exchange carriers’ provision of consumer broadband-only loops (CBOLs). The FCC’s Second Order on Reconsideration and Clarification makes the following changes and clarifications:

1. revises rules to replace the surrogate cost method for determining the cost of CBOLs with rules employing existing separations and cost allocation procedures;

2. revises the rule requiring rate-of-return carriers to impute on CBOLs an amount equal to the Access Recovery Charge (ARC) that could have been assessed on a voice or voice/broadband line to better maintain the balance between end user charges and universal service adopted in the USF/ICC Transformation Order; and

3. clarifies two matters pertaining to reductions in Connect America Fund Broadband Loop Support due to competitive overlap.

The revised CBOL cost rules and the revised ARC rule will apply beginning with the July 1, 2018 access tariff filings.

FCC Agenda for February 22 Open Meeting

February 15, 2018 – The Federal Communications Commission (FCC) has released the agenda for it February 22, 2018 open meeting:

Spectrum Horizons: The Commission will consider a Notice of Proposed Rulemaking that seeks comment on proposed rules that would apply to spectrum above 95 GHz for licensed services, unlicensed operations, and a new class of experimental licenses.

Encouraging the Provision of New Technologies and Services to the Public: The FCC will consider a Notice of Proposed Rulemaking to provide guidelines and procedures to implement Section 7 of the Communications Act to improve FCC processes to promote the provision of new technologies and services to the public.

Mobility Fund: The FCC will consider an Order addressing the remaining issues raised by parties in petitions for reconsideration of the Mobility Fund Phase II Report and Order and Further Notice of Proposed Rulemaking.

Elimination of Obligation to File Broadcast Mid-Term Report: The FCC will consider a Notice of Proposed Rulemaking that proposes to eliminate the requirement in Section 73.2080(f)(2) of the FCC’s rules that certain broadcast television and radio stations file the Broadcast Mid-Term Report (Form 397).

Modernization of Media Regulation Initiative: The FCC will consider a Report and Order that would eliminate specific Part 74, 76, and 78 rules that require certain broadcast and cable entities to maintain paper copies of FCC rules, while retaining provisions that require the subject entities to be familiar with the rules governing their operations.

Modernization of Payphone Rules: The FCC will consider a Report and Order to (1) eliminate all payphone call tracking system audit and associated reporting requirements, (2) permit a company official, including but not limited to the chief financial officer, to certify that a completing carrier's quarterly compensation payments are accurate and complete, and (3) eliminate expired payphone compensation rules.

Demonstration of the New National Broadband Map: The FCC will hear a presentation on a new National Broadband Map providing improved access to fixed-broadband deployment.

FCC Releases Reports on Voice Services and Internet Access Services

February 12, 2018 – The FCC’s Wireline Competition Bureau has released reports on the status of voice telephone services and Internet access services in the U.S. as of December 31, 2016. Both reports rely on FCC Form 477 data. The report on voice services shows there were roughly 463 million total retail voice telephone service connections: 58 million end-user switched access lines, 63 million interconnected VoIP subscriptions, and 341million mobile subscriptions. Among other things, the Internet access report shows that the total number of Internet connections increased by about 6% between December 2015 and December 2016 to 376 million, with most of the growth attributable to increased mobile Internet access subscribership.

Comment Sought on South Dakota Network Interstate Access Charge Petition

February 12, 2018 – The FCC’s Wireline Competition Bureau is seeking comment on a petition for expedited declaratory ruling filed by the South Dakota Network, LLC (SDN) regarding interstate communications issues arising from a state court proceeding involving SDN and Northern Valley Communications, Inc. (NVC). In its petition, SDN first requests a declaratory ruling from the FCC asserting FCC jurisdiction over the state court dispute. SDN next requests the FCC declare that (1) a contract between SDN and an interexchange carrier, entered into for the purpose of terminating large volumes of traffic bound to a competitive local exchange carrier (CLEC) engaged in access stimulation, is lawful under the Communications Act; and (2) that CLECs enjoy no exclusive right to transport terminating traffic to their end offices (or elsewhere), including the related matter that the filing of a CLEC federal tariff does not confer a right to compel other carriers to use the tariffed services. Comments are due on or before March 14, 2018, and reply comments are due March 29, 2018. Comments should be filed in WC Docket No. 18-41.

Ninth Report on 911 Fees Shows States Still Raiding 911 Funds

February 7, 2018 – The Federal Communications Commission has released the “Ninth Annual Report To Congress On State Collection And Distribution Of 911 And Enhanced 911 Fees And Charges.” The Ninth Report provides information on how Forty-six states, the District of Columbia, American Samoa, and the United States Virgin Islands collected and used 911 and enhanced 911 fees during the time period of January 1, 2016 to December 31, 2016. A few of the key findings in the Ninth Report include:

• In calendar year 2016, states and other reporting jurisdictions collected 911/E911 fees or charges totaling $2,763,916,948.

• Twenty-seven states, the District of Columbia, and the U.S. Virgin Islands reported collecting 911/E911 fees at the state level, four states reported collecting fees at the local level, and fourteen states collected fees at both the state and local level.

• The FCC identified six states as diverting or transferring 911/E911 fees for purposes other than 911/E911.

Interested parties may comment on the report, data submitted by states to the FCC to produce the report, diversion of 911/E911 fees, states’ reported expenditure of funds for Next Generation 911 (NG911) services, and other related issues. Comments are due on or before March 9, 2018. Reply comments are due March 26, 2018.

FCC Releases Form 499 and Instructions For Reporting Revenue

February 5, 2018 – The FCC’s Wireline Competition Bureau has released the FCC Form 499-A (Telecommunications Reporting Worksheet) and accompanying instructions that will be used this year to report 2017 revenues. The Bureau has also released the FCC Form 499-Q and accompanying instructions to be used in 2018 to report projected and collected revenues on a quarterly basis. Each year, telecommunications carriers and certain other providers of telecommunications (including VoIP service providers) report their revenues from offering service using Form 499-A and Form 499-Q. Using the reported revenue, administrators calculate and assess contributions needed to support the universal service fund, interstate telecommunications relay services, administration of the North American Numbering Plan, and the shared costs of local number portability administration.

2018 FCC Broadband Deployment Report Makes First Positive Finding Since 2008

February 2, 2018 – The Federal Communications Commission has released the 2018 Broadband Progress Report, the first such report under Chairman Ajit Pai. For the first time since 2008, the FCC’s conclusion in the report is positive. Specifically, the report states that “the Commission is now encouraging the deployment on a reasonable and timely basis of advanced telecommunications capability to all Americans.” That conclusion, however, comes with the following stipulation  – the finding does not undermine the FCC’s continued commitment to closing the digital divide. Notably, the report also retains the 25 Mbps/3 Mbps broadband speed benchmark, and concludes that mobile broadband services are not full substitutes for fixed services.

Fourth Circuit: No DMCA Safe Harbor For Cox, But New Trial Due To Error In Jury Instructions Concerning Contributory Infringement

February 2, 2018 – The Fourth Circuit Court of Appeals has released its decision in BMG v Cox Communications, an appeal involving secondary liability for copyright infringement. The case has been closely followed by Internet service providers (“ISPs”), the content industry, attorneys, academics, and copyright and cyberlaw experts – generally anyone interested in copyright and the Internet. In the case below, the district court stripped Cox of its Digital Millennium Copyright Act (“DMCA”) safe harbor, and following a two week jury trial, Cox was found liable for willful contributory copyright infringement. BMG was awarded $25 million in statutory damages, plus $8 in attorney fees and costs. Cox appealed, asserting the district court erred in denying it a DMCA safe harbor defense and that the court incorrectly instructed the jury on the standard for contributory infringement. In its opinion, the Fourth Circuit affirmed the district court’s ruling that Cox is not entitled to a DMCA safe harbor defense, but reversed in part and vacated in part the district court’s decision, and remanded for a new trial because of certain errors in the court’s jury instructions.

FCC Proposes $18.7 Million Penalty Against DataConnex, LLC For Defrauding Universal Service Rural Health Care Program Rules

January 30, 2018 – The FCC’s Enforcement Bureau has issued a Notice of Apparent Liability for Forfeiture and Order against DataConnex, LLC for apparent willful and repeated violations of the universal service Rural Health Care (RHC) Program rules. Among other things, the Bureau alleges that DataConnex, a reseller of telecommunications services, received millions of dollars from the RHC Program’s Telecom Program through the use of secret deals, kickbacks, and falsified documents. The Bureau has proposed DataConnex pay a forfeiture penalty of $18,715,405. Additionally, DataConnex must submit a report within 30 days addressing why the FCC should not begin proceedings to revoke its authorizations.

FCC Grants 600 MHz Licenses

January 30, 2018 – The FCC’s Incentive Auction Task Force and Wireless Telecommunications Bureau have granted 600 MHz spectrum licenses to the following four entities:

• Iowa RSA 2 Limited Partnership

• Pioneer Telephone Cooperative, Inc.

• SAL Spectrum, LLC

• Smith Bagley, Inc.

The FCC has reviewed each entity’s long-form application, and determined each is complete and in conformance with the FCC’s rules. None of the license applications were subject to a petition to deny or a similar challenge, and each entity has provided full payment for its licenses. A list of the newly-granted 600 MHz licenses sorted by licensee is available, as is a list sorted by market (Partial Economic Areas). The FCC’s initial review of long-form applications of other winning bidders is ongoing. 

House Communications & Technology Subcommittee To Hold Hearing on Broadband Infrastructure

January 27, 2018 – The House Energy and Commerce Subcommittee on Communications and Technology will hold a hearing on January 30, 2018, on “Closing the Digital Divide: Broadband Infrastructure Solutions.” The following seven individuals have been announced as witnesses: Jonathan Spalter, USTelecom; Brad Gillen , CTIA; Matthew Polka, American Cable Association; Shirley Bloomfield, NTCA– The Rural Broadband Association; Scott Slesinger, Natural Resources Defense Council; Joanne S. Hovis, CTC Technology and Energy; Elin Swanson Katz, Connecticut Consumer Counsel. During the hearing, 25 pieces of legislation will be discussed by subcommittee members and witnesses.

Annual Lifeline Report Due January 31 to USAC, the FCC, and States

January 26, 2018 – Lifeline providers must file FCC Form 555 – Annual Lifeline Certification Form – on or before Wednesday January 31, 2018, detailing the results of their efforts to recertify their subscribers’ eligibility to receive Lifeline benefits. The form must be submitted electronically to the Universal Service Administrative Company through USAC’s E-File portal. Lifeline providers also must file a copy of their FCC Form 555 with the FCC in Docket 14-171 using the FCC’s Electronic Comment Filing System, and with their state regulatory commission. There are a few substantial changes to this year’s filing, such as recertification results are reported month-by-month based on subscribers’ anniversary date rather than in the aggregate for the year. The responsibility and obligations for recertifying Lifeline subscriber eligibility differ by state. USAC has provided further information on recertification obligations, as well as instructions for completing FCC Form 555.

USDA Awards $23.6 Million in Distance Learning and Telemedicine Grants

January 19, 2018 – The U.S. Department of Agriculture has awarded $23.6 million through its Distance Learning and Telemedicine (DLT) Grant Program. The grants will support 72 projects in the following states: Alaska, Alabama, Arizona, California, Colorado, Georgia, Illinois, Indiana, Kentucky, Louisiana, Maine, Michigan, Minnesota, Mississippi, Missouri, Nebraska, New Mexico, New York, North Carolina, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Vermont, Virginia, Washington, and West Virginia. USDA’s DLT Grant Program “helps rural communities use the unique capabilities of telecommunications to connect to each other and to the world, overcoming the effects of remoteness and low population density.” The program provides grants to help cover the costs of broadband network investments that allow rural communities connect to educational and health care services.

Chairman Pai Releases Fact Sheet on 2018 Broadband Deployment Report

January 18, 2018 – Federal Communications Commission Chairman Ajit Pai has circulated a draft 2018 Broadband Deployment Report and released a fact sheet detailing the key findings. Section 706(b) of the Telecommunications Act of 1996 directs the FCC to annually inquire whether advanced telecommunications capability is being deployed to all Americans in a reasonable and timely fashion. For the past five years, each FCC broadband report has concluded that U.S. broadband deployment is not that standard. However, this year’s report – the first under the Chairman Pai regime – concludes that the FCC is meeting its statutory mandate to encourage the deployment of broadband on a reasonable and timely basis. The fact sheet for the 2018 report includes the following:

• The 25 Mbps/3 Mbps broadband speed benchmark is maintained.

• The report concludes that mobile broadband services are not full substitutes for fixed services.

• The draft report examines whether the U.S. is both making progress in deploying fixed broadband service and making progress in deploying mobile broadband service.

• The report analyzes broadband deployment progress because this is most consistent with the language of Section 706.

• The report summarizes the recent actions the FCC has taken to encourage broadband deployment.

• The draft report concludes that the FCC is now meeting its statutory mandate to encourage the deployment of broadband on a reasonable and timely basis.

FTC Releases Report on 2017 Privacy and Data Security Actions

January 18, 2018 – The Federal Trade Commission (FTC), the agency charged with protecting consumers and enhancing competition across the U.S. economy, has released a report on its privacy and data security work in 2017. The report summarizes some of the FTC’s major privacy and security actions from 2017, including settlements it reached with computer manufacturer Lenovo, smart TV manufacturer Vizio, and ride-sharing company Uber Technologies, Inc. Other cases summarized in the report were brought by the FTC to enforce the Fair Credit Reporting Act, the Gramm-Leach-Bliley Act, the EU-U.S. Privacy Shield Framework, the Children’s Online Privacy Protection Act of 1998, and the Do Not Call Rules. Additionally, the report discusses FTC advocacy efforts from 2017, including comments on privacy issues the agency filed with the Federal Communications Commission and the U.S. Commerce Department’s National Telecommunications and Information Administration.

Dynamic Spectrum Alliance Announces New Model Rules for TV White Space Technology

January 9, 2018 – The Dynamic Spectrum Alliance (DSA) has announced the publication of new model rules for TV White Space (TVWS) technology. According to the press release, the new model rules will provide governments, policy makers and regulators with the tools necessary to enable the quick and efficient deployment of TVWS networks to help bridge the digital divide and support the Internet of Things (IoT). The DSA is “a global organization advocating for laws and regulations that will lead to more efficient and effective spectrum utilization,” with a membership that includes spans multinationals, small- and medium-sized businesses, and academic, research, and other organizations from around the world.

FCC Grants 600 MHz Licenses

January 9, 2018 – The Federal Communications Commission has granted 600 MHz spectrum licenses to the following 12 entities that won them during the Incentive Auction:

• TStar 600, LLC

• Tradewinds Wireless Holdings, LLC

• Spectrum Financial Partners, LLC

• Pine Cellular Phones, Inc.

• Panhandle Telecommunication Systems, Inc.

• Pacific Comnex, Inc.

• Mach FM Corp.

• Kentucky RSA 4 Cellular General Partnership

• Gold Spectrum, LLC

• Farmers Telephone Cooperative, Inc.

• Cumberland Cellular Partnership

• Agri-Valley Communications, Inc.

The FCC has reviewed each entity’s long-form application, and determined each is complete and in conformance with the FCC’s rules. None of the license applications were subject to a petition to deny or a similar challenge, and each entity has provided full payment for its licenses. A list of the newly-granted 600 MHz licenses sorted by licensee is available, as is a list sorted by market (Partial Economic Areas). The FCC’s initial review of long-form applications of other winning bidders is ongoing. 

VTech Settles FTC Suit, Will Pay Relatively Small Fine

January 8, 2018 – VTech Electronics Limited and its U.S. subsidiary have agreed to a settlement to end the Federal Trade Commission’s multiyear investigation into whether VTech violated the Children’s Online Privacy Protection Act of 1998 (COPPA) and related rules. Through its Kid Connect service, an app for digital devices that allows children to communicate with other children, VTech collected personal information of children younger than 13 years of age. In the complaint, the FTC alleged that VTech violated the COPPA rules by failing to post a privacy policy for its Kid Connect online service providing clear, understandable, and complete notice of their information practices; failing to provide direct notice of its information practices to parents; and failing to obtain verifiable parental consent prior to collecting, using, and/or disclosing personal information from children. Additionally, the FTC alleged that VTech failed to establish and maintain reasonable procedures to protect the confidentiality, security, and integrity of personal information collected from children.” VTech suffered a data breach that exposed the personal information and photos of children that used the Kid Connect service. The settlement requires VTech to pay a $650,000 civil penalty. Additionally, VTech must ensure future COPPA compliance by implementing a comprehensive data security program subject to independent audits over the next 20 years.

Trump Issues Executive Order and Presidential Memorandum on Rural Broadband

January 8, 2018 – President Trump has issued an executive order and a presidential memorandum aimed at increasing broadband deployment in rural America. Both items declare that it will be the policy of the executive branch “to use all viable tools to accelerate the deployment and adoption of affordable, reliable, modern high-speed broadband connectivity in rural America.” The executive order focuses entirely on the continued development, revision, and use of common form applications for requesting permission to place wireless broadband facilities on buildings and real property owned by the Federal Government. The presidential memorandum directs the Secretary of the Interior to develop a plan to increase access to tower facilities and other infrastructure assets managed by the Department of the Interior (DOI).  It also directs the DOI to draft model terms and conditions for use in securing tower facilities and other infrastructure assets for broadband deployment.

Commerce and Homeland Security Issue Report on Automated Cyber Threats

January 5, 2018 – The U.S. Department of Commerce and Department of Homeland Security have jointly released a draft report on Strengthening the Cybersecurity of Federal Networks and Critical Infrastructure. The report – Enhancing the Resilience of the Internet and Communications Ecosystem Against Botnets and Other Automated, Distributed Threats – summarizes the challenges in reducing botnet threats, and recommends action that may reduce the threat of automated cyber-attacks. It was required under a May 2017 Executive Order. Stakeholders may comment on the draft report until 5 p.m. EST on February 12, 2018. Comments may be submitted by email to Counter_Botnet@list.commerce.gov. Following the comment period, the Department of Commerce will host a two-day workshop on February 28 and March 1 to discuss the report. A final report is due to the President on May 11, 2018.

FCC Releases 911 Outage Awareness Best Practices

January 2, 2018 – The FCC’s Public Safety and Homeland Security Bureau has released a set of best practices for improving situational awareness during 911 outages. The suggested best practices were developed during a September 2017 workshop on 911 service outage notifications that included state and local 911 administrators, Public Safety Answering Point (PSAP) representatives, industry technology and policy experts, and other stakeholders. The best practices fall under the following general categories:

• Service providers should provide PSAPs with “actionable information” whenever 911 is down.

• Service providers should send an authoritative outage notification that reliably gets to everyone who needs it.

• Service providers should ensure outage notifications are provided in an effective format.

• PSAPs and service providers should coordinate as soon as possible following an outage to present a consistent and authoritative public message about 911 outages.

• PSAPs and service providers should make sure that communication with the public about 911 outages is accessible to all consumers.

All 50 States Choose AT&T’s FirstNet

January 1, 2018 – Following the close of the 90-day FirstNet opt-in/opt-out period, AT&T has announced that all 50 U.S. states, along with two territories and the District of Columbia have opted-in to FirstNet – the nationwide interoperable wireless broadband network dedicated to public safety and first responders that will be designed and built by AT&T. The U.S. territories of Guam, American Samoa, and the Northern Mariana Island have until March 12, 2017 to decide whether to opt-in or opt-out of FirstNet. AT&T will begin network buildout in early 2018 and plans on reaching the following FirstNet milestones in 2018:

• Network Construction: FirstNet will issue work orders to deploy the RANs in all 50 states in early 2018, giving AT&T the green light to expand FirstNet’s footprint and deploy Band 14 capacity and coverage throughout the nation, providing first responders with the bandwidth and mission critical connections they need to communicate, share information, and use innovative technologies. FirstNet will also have access to mobile dedicated network assets that can be deployed for additional coverage and support when needed.

• Network Core: AT&T will build and launch the FirstNet nationwide, dedicated evolved packet core network with end-to-end encryption. All FirstNet traffic will be routed through this new multi-million-dollar core to give first responders a separate, highly secure, non-commercial network.

• FirstNet App Ecosystem: FirstNet will unlock a new technology marketplace for public safety, enabling first responders to benefit from advancements in innovation. The FirstNet App store will launch, allowing access to FirstNet-approved mobile apps that are optimized for public safety use over the first responder network. The app store will be supported by FirstNet-focused hackathons to help fuel development.

• Security Operations Center: FirstNet subscribers will also have access to a dedicated Security Operations Center, offering 24/7/365 support.

Meltdown and Spectre Vulnerabilities Compromise Nearly Every Computer

January 1, 2018 – Computer researchers have discovered two hardware vulnerabilities – named Meltdown and Spectre – that affect modern central processing units (CPUs), including Intel chips found in laptops and CPUs in mobile devices. Generally, the Meltdown and Spectre vulnerabilities allow malicious programs to steal data from other programs that are currently running. This data could include passwords stored in a password manager or browser, photogrphs, emails, and other personal files. While security researchers are still investigating the reach of the vulnerabilities, they believe Meltdown and Spectre may affect nearly every computing device made in the last 20 years, as well as cloud-based servers. Following the discovery, hardware manufacturers and software companies scrambled to issue patches to help protect against the bugs. Microsoft and Apple issued emergency patches for users of their respective operating systems. Microsoft has also released patches for its cloud services, and its Internet Explorer and Edge browsers.

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