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FCC Designates Huawei & ZTE As Threats To U.S. National Security

June 30, 2020 – The FCC’s Public Safety and Homeland Security Bureau has released orders designating Huawei Technologies Company and ZTE Corporation, as well as their parents, affiliates, and subsidiaries, as companies posing a national security threat to the integrity of U.S. communications networks and the communications supply chain. In the November 2019 National Security Report and Order, the FCC adopted a rule that prospectively prohibits the use of universal service fund support to purchase or obtain any equipment or services produced or provided by a “covered company” posing a national security threat to the integrity of U.S. communications networks or the U.S. communications supply chain. The FCC initially designated Huawei and ZTE as covered companies and directed the PSHS Bureau to determine whether to issue final designations. The June 30 orders issue final designations for Huawei and ZTE, as well as their affiliates. The final designations are effective immediately. As a result, no universal service support may be used to purchase, obtain, maintain, improve, modify, or otherwise support any equipment or services produced or provided by Huawei or ZTE.

FCC Denies Eligibility Waiver; Bars Johnson Telephone Company From Participating In RDOF Phase I Auction

June 30, 2020 – The FCC’s Wireline Competition Bureau has denied a petition filed by Johnson Telephone Company for waiver of the FCC’s rule that prohibits entities that defaulted on all of their Connect America Fund Phase II Auction bids from participating in the Rural Digital Opportunity Fund Phase I Auction (Auction 904). Johnson Telephone, a rural local exchange carrier in Minnesota, was the winning bidder in the CAF II Auction for $81,272 to serve 47 locations in one census block group in Minnesota. However, Johnson defaulted on its one winning bid, and paid a penalty to the FCC’s Enforcement Bureau. Johnson Telephone then petitioned for a waiver of the FCC’s RDOF eligibility rule barring applicants that defaulted on all of their CAF II Auction bids from participating in the RDOF Phase I Auction. The Bureau has denied the petition, finding Johnson has not established special circumstances that would warrant waiver of the FCC’s eligibility rule. In its Order, the Bureau explained that the FCC’s rules specifically state that “a winning bidder that defaults, in addition to being liable for a default payment, shall be subject to such measures as the Commission may provide, including but not limited to disqualification from future competitive bidding.”

USDA Announces $12.5 Million ReConnect Broadband Program Award In Georgia

June 25, 2020 – The U.S. Department of Agriculture has announced a $12.5 million ReConnect Pilot Program award made through the CARES Act in Georgia. In rural Georgia, DoveTel Communications, LLC (dba SyncGlobal Telecom) received a $12.5 million grant to deploy a fiber-to-the-premises network to connect 7,348 people, 121 farms, 15 businesses, four fire stations, and one elementary school to high-speed broadband Internet in Heard, Troup, and Carroll counties. The funded service area includes 2,779 households and over 125.31 square miles. USDA received 11 Round Two ReConnect Program applications that are eligible for the $100 million Congress allocated to the program through the CARES Act. USDA expects to announce more broadband awards made through the CARES Act in the coming weeks.

USDA Releases Progress Report On Broadband Accomplishments

June 25, 2020 – The U.S. Department of Agriculture has released a Progress Report detailing broadband deployment accomplishments that have been achieved since the release of the American Broadband Initiative Milestones Report. USDA’s report shows broadband achievements made by removing regulatory barriers to broadband deployment, leveraging public resources for broadband expansion, and maximizing the impact of federal broadband funding. Of the 60 commitments included in the ABI Milestones Report, 48 have been successfully completed, and the remaining 12 commitments are in progress. USDA’s progress report includes the following highlights:

• USDA, through its ReConnect program, has awarded more than $744 million in funds through March 2020 to support more than 80 broadband projects benefiting more than 430,000 rural residents in 34 states.

• USDA worked with FCC to establish processes to coordinate awards for rural broadband deployment to ensure that USDA-funded grants do not overlap with the FCC’s $20 Billion Rural Digital Opportunity Fund (RDOF) or the $9 Billion 5G Fund for Rural America.

• USDA developed a public map viewer that displays basic information, such as location, site designation, and contact information for all communications sites located on National Forest System lands. Additionally, the data was provided to the Department of Interior for use in their JOEL map.

• USDA partnered with GSA to finalize a revised Standard Form (SF-299), making this Common Application Form suitable for telecommunications purposes.

• USDA published a final rule in April 2020 to implement the 2018 Farm Bill, which streamlined the Forest Service’s procedures for evaluating applications to locate or modify communications facilities on lands they manage.

FCC Releases List & Map Of Areas Eligible For Rural Digital Opportunity Fund Phase I Auction

June 25, 2020 – The FCC’s Wireline Competition has released an updated list of census blocks and a map of areas that have been deemed initially eligible for the Rural Digital Opportunity Fund Phase I auction (Auction 904). The Bureau has also released, for illustrative purposes, a list of census block groups and annual reserve prices. The list of census blocks, census block groups, and the eligible areas map are available on the Auction 904 website at: https://www.fcc.gov/auction/904. The Bureau reminds potential RDOF auction participants that the updated list of eligible areas is not the final list of eligible areas. The Bureau will release a final list of eligible areas no later than three weeks prior to the start of bidding in Auction 904.

New Report Shows Stand-Alone Broadband Adoption Rate Increasing

June 25, 2020 – Market research and consulting firm Parks Associates has released a new report with data showing the adoption rate for stand-alone broadband Internet access service has risen from 34% in 2017 to 42% in the first quarter of 2020. Stand-alone broadband service is unbundled from other services, meaning it is not part of a double-, triple-, or quadruple-play package with Cable TV, video, phone service, mobile phone service, or other services. The report, 360 Deep Dive: Broadband Value-added Services, shows “the average stand-alone Internet subscriber now pays $60 per month for service, which increased by 36% from 1Q 2012 to 3Q 2019, while payment for TV + Internet services increased from $107 to only $127 over the same time period.” Among other things, the report quantifies broadband households’ awareness, adoption, use, sentiment, and money spent on broadband value-added services (VAS) along with interest in specific VAS. According to the report, “COVID-19-related changes in the needs of broadband households indicate that many consumers are likely trying many VAS for the first time, particularly telehealth, video conference, and remote learning tools.” Parks Associates’ research finds nearly one-half of US broadband households receive at least one VAS from their ISP, with the most common being support, antivirus, streaming video, and Wi-Fi services.

FCC Announces Tentative Agenda For July 16th Open Meeting

June 25, 2020 – Federal Communications Commission Chairman Ajit Pai has announced the following tentative agenda for the FCC’s July 16, 2020 open meeting:

• Designating 988 for the National Suicide Prevention Lifeline – The Commission will consider a Report and Order that would designate 988 as the 3-digit number for the National Suicide Prevention Lifeline to aid rapid access to suicide prevention and mental health support services. (WC Docket No. 18-336)

• Call Blocking Rules – The Commission will consider a Third Report and Order, Order on Reconsideration, and Fourth Further Notice of Proposed Rulemaking that would continue the Commission’s work to combat unwanted and illegal calls and implement portions of the TRACED Act. (CG Docket No. 17-59)

• Secure Networks Act Implementation – The Commission will consider a Declaratory Ruling and Second Further Notice of Proposed Rulemaking that would integrate provisions of the recently enacted Secure and Trusted Communications Networks Act of 2019 into its existing supply chain rulemaking proceeding. (WC Docket No. 18-89)

• Wireless E911 Location Accuracy Requirements – The Commission will consider a Sixth Report and Order and Order on Reconsideration that would further its effort to improve vertical (or Z-Axis) location accuracy for wireless 911 calls, which will help first responders quickly locate people calling for help from multi-story buildings. (PS Docket No. 07-114)

• Modernizing Priority Services Rules – The Commission will consider a Notice of Proposed Rulemaking that would streamline and update its rules to ensure that priority service programs operate effectively for emergency workers as technology evolves. (PS Docket No. 20-187)

• Leased Commercial Access – The Commission will consider a Second Report that would modernize the leased access rate formula by adopting a tier-based calculation. (MB Docket Nos. 07-42, 17-105)

• Improving Broadband Data and Maps – The Commission will consider a Second Report and Order and Third Further Notice of Proposed Rulemaking that would establish requirements to ensure that the Commission collects accurate and granular data on the availability of broadband service through the Digital Opportunity Data Collection, and would seek comment on additional measures to implement the requirements of the Broadband DATA Act. (WC Docket No. 19-195)

Accessible, Affordable Internet for All Act Would Invest $100 Billion In High-Speed Broadband Infrastructure

June 24, 2020 – Representative James Clyburn (D-SC) and Democratic members of the House Rural Broadband Task Force have introduced the Accessible, Affordable Internet for All Act (H.R.7302). If passed, the legislation would invest “$100 billion to build high-speed broadband infrastructure in unserved and underserved communities and en and ensure that the resulting internet service is affordable.” According to the press release, if passed, the bill would encourage universal broadband access by:

• Including $80 billion to deploy high-speed broadband infrastructure nationwide;

• Allocating $5 billion for low-interest financing of broadband deployment through a new secured loan program; and

• Establishing a new office within the National Telecommunications and Information Administration to ensure efficient use of federal money.

The Accessible, Affordable Internet for All Act would ensure Internet affordability by: (1) Requiring an affordable option for internet service plans offered on the newly-built infrastructure; (2) Providing a $50 monthly discount on plans for low-income consumers; and (3) Directing the FCC to collect and publicize data on prices charged for broadband service throughout the country. The bill would promote Internet adoption by: (1) Providing over $1 billion to establish grant programs for states to close gaps in broadband adoption, as well as digital inclusion projects for organizations and local communities to implement; (2) Including $5 billion to enable students without internet at home to participate in remote learning; and (3) Authorizing funding for Wi-Fi on school buses so students can stay connected, especially in rural areas where longer bus rides are common. The Accessible, Affordable Internet for All Act has been referred to the House Committee on Transportation and Infrastructure’s Subcommittee on Highways and Transit.

California Privacy Rights Act Of 2020 Qualifies As Statewide Ballot Initiative For November General Election

June 24, 2020 – The California Secretary of State has announced that the California Privacy Rights Act Of 2020 (initiative 1879) has qualified as a statewide ballot initiative to be listed on California’s November 3, 2020 general election ballot. The nonprofit group that created the California Privacy Rights Act Of 2020, Californians for Consumer Privacy, collected more than the 623,212 valid signatures needed to qualify the measure as a ballet initiative. If the statewide ballot measure is approved by a majority vote, the California Privacy Rights Act would amend the California Consumer Privacy Act of 2018 to create new consumer privacy rights, such as the right to delete personal information and the right to correct inaccurate personal information. It also would create new privacy obligations for businesses operating in California. The full text of the California Privacy Rights Act Of 2020 is available online.

FCC Investigating T-Mobile Network Outages; Comments Due July 8th

June 23, 2020 – As part of an investigation, the FCC’s Public Safety and Homeland Security Bureau is seeking comment from interested parties on the substantial network outage suffered by T-Mobile on June 15, 2020. During the outage, T-Mobile customers were prevented from making calls, receiving calls, and in some cases, sending text messages over T-Mobile’s Voice-over LTE (VoLTE) network. Apparently, the outage also affected T-Mobile customers’ ability to call 911. The Bureau is seeking comment on the impact of the outage from the perspective of affected public safety entities, as well as state and local governments. Comments are due on or before July 8, 2020. Comments may be filed in PS Docket No. 20-183 using the FCC’s Electronic Comment Filing System (ECFS).

FCC To Establish “988” As 3-Digit Number For National Suicide Prevention Hotline

June 23, 2020 – FCC Chairman Ajit Pai has circulated draft rules to establish 988 as the new, nationwide, 3-digit phone number for Americans in crisis to connect with suicide prevention and mental health crisis counselors. The FCC will vote on the rules at its July 16th open meeting. The rules, if adopted, will require all phone service providers, including VoIP providers, to begin directing all 988 calls to the existing National Suicide Prevention Lifeline by July 16, 2022.

Charter Petitions FCC To Sunset Data Cap/Usage-Based Pricing & Interconnection Merger Conditions

June 22, 2020 – The FCC’s Wireline Competition Bureau is seeking comment on a Petition filed by Charter Communications, Inc. for consent to sunset on May 18, 2021, the following two conditions related to its merger with Time Warner Cable Inc. and Bright House Networks, LLC: (1) the prohibition on Charter imposing data caps and usage-based pricing mechanisms; and (2) the requirement for Charter to offer to connect its Internet protocol (IP) network to any qualifying entity free of charge and on standardized terms. When the FCC approved Charter’s merger with Time Warner Cable Inc., and Bright House Networks, LLC, “it adopted conditions designed to mitigate concerns that Charter could ‘hamper or prevent its current and future online video rivals from expanding, becoming more competitive, or starting-up in the first place.’” Charter argues that “in light of dramatic changes in the online video marketplace and the nature of the internet service market,” the data cap/usage-based pricing and interconnection merger conditions should be terminated. Comments on the petition are due on or before July 22, 2020, and reply comments are due August 6, 2020.

Accelerating Broadband Connectivity Act of 2020 Would Expedite RDOF Broadband Buildout

June 22, 2020 – Senators Roger Wicker (R-MS), chairman of the Senate Commerce Committee, Shelley Moore Capito (R-WV), and Marsha Blackburn (R-TN) have introduced the Accelerating Broadband Connectivity (ABC) Act of 2020. If passed, the ABC Act of 2020 (S.4021) would expedite the deployment of broadband Internet access service by creating a fund to be used by the Federal Communications Commission to incentivize winning bidders of the Rural Digital Opportunity Fund (RDOF) auctions to complete their buildout obligations on a shorter timeline. Specifically, the legislation would:

• Create a fund to be used by the FCC following the RDOF Phase I auction (Auction 904) to incentivize winning bidders to complete their buildout obligations on an accelerated timeline;

• Build upon the existing RDOF process to get high-speed broadband service to rural consumers much faster than the current timetable for deployment using RDOF dollars;

• Require service providers who receive funds from the Accelerating Broadband Connectivity Fund to meet a series of accelerated milestones for their RDOF deployments; and

• Allow the FCC to conduct the RDOF Phase I auction in a way that maximizes value to American taxpayers while connecting consumers more quickly.

The ABC Act of 2020 would not make any changes to the FCC’s current RDOF rules and timetable for holding the Phase I auction. The bill is also cosponsored by Senators Jerry Moran (R-KS) and Roy Blunt (R-MO). It has been referred to the Senate Commerce Committee.

Keep Americans Connected Pledge Ending June 30: FCC Chairman Pai Asks Broadband Providers Not to Disconnect Customers in July, Asks Congress For Help

June 19, 2020 – Federal Communications Commission Chairman Ajit Pai has called on broadband and telephone service providers to “not to disconnect consumers and small businesses who are behind on their bills due to the coronavirus pandemic in July, but instead offer the option of extended payment plans and deferred payment arrangements.” Chairman Ajit Pai launched the Keep Americans Connected Pledge on March 13, 2020. It is an initiative aimed at keeping Americans connected to broadband and telephone service as the U.S. endures the coronavirus outbreak. The Keep Americans Connected Pledge reads as follows:

Given the coronavirus pandemic and its impact on American society, [Company Name] pledges for the next 60 days to:

(1) not terminate service to any residential or small business customers because of their inability to pay their bills due to the disruptions caused by the coronavirus pandemic;

(2) waive any late fees that any residential or small business customers incur because of their economic circumstances related to the coronavirus pandemic; and

(3) open its Wi-Fi hotspots to any American who needs them.

In May, the FCC announced that 774 broadband and telephone providers that took the Keep Americans Connected Pledge had extended their commitments through June 30, 2020. However, Chairman Pai has acknowledged that “broadband and telephone companies, especially small ones, cannot continue to provide service without being paid for an indefinite period of time; no business in any sector of our economy could.” Chairman Pai has urged Congress to pass legislation which will provide funding “to ensure that doctors and patients, students and teachers, low-income families and veterans, those who have lost their jobs and livelihoods due to the pandemic and the accompanying lockdowns, those in our cities and those in the countryside—in short, all Americans—remain connected until this emergency ends.” Chairman Pai supports the Broadband Connectivity and Digital Equity Framework proposed by Chairman Roger Wicker of the Senate Committee on Commerce, Science, and Transportation and Ranking Member Greg Walden of the House Committee on Energy and Commerce, as one way to address the issue.

FCC Grants Auction 103 Upper Microwave Flexible Use Service Licenses

June 18, 2020 – The FCC’s Wireless Telecommunications Bureau has granted a number of flexible-use licenses in the Upper 37 GHz Band, 39 GHz Band, and 47 GHz Band, which were won during Auction 103. Attachment A to the Bureau’s Public Notice lists the licenses, sorted by licensee. Attachment B lists the licenses, sorted by market.

Verizon Acquiring Iowa RSA 2 Limited Partnership Chat Mobility

June 16, 2020 – Verizon has entered into an agreement to acquire 100% ownership of the Iowa RSA 2 Limited Partnership. Verizon (45% owner) will buy out the other three members of the partnership: Cellular 35, Inc. (1%), Interstate Enterprises, Ltd. ( 27%), and Grand River Communications, Inc. (27%). The partnership, doing business under the name Chat Mobility, provides wireless services in the Iowa RSA 2 market of Clarke, Decatur, Lucas, Ringgold, Union, and Wayne counties in Iowa, covering a population of approximately 51,000. The partnership holds 600 MHz, cellular, and common carrier microwave spectrum licenses. In addition to spectrum licenses, the proposed transaction will include the transfer of control of 3G CDMA and LTE operating networks, including network assets and facilities. It is subject to FCC approval, and is expected to close in the fall of 2020.

New Record! USF Contribution Factor Set At 26.5 Percent For Third Quarter Of 2020

June 12, 2020 – The Federal Communications Commission’s Office of Managing Director has announced that the proposed universal service fund (USF) contribution factor for the third quarter of 2020 will be 26.5 percent. This breaks the previous USF contribution record of 25 percent from the fourth quarter of 2019. It also is a significant increase from the 19.6 percent contribution factor that was used for the second quarter of 2020. For the third quarter of 2020, the Universal Service Administrative Company (USAC) projects $10.219124 billion in total interstate and international end-user telecommunications revenues will be collected. USAC estimates that $2.117610 billion is needed to cover the total demand and expenses for all Federal universal service support mechanisms in the third quarter of 2020. 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 Authorizes CAF II Auction Support In Oklahoma & Oregon

June 12, 2020 – The FCC’s Wireline Competition Bureau has authorized Connect America Fund Phase II Auction support for 67 winning bids placed by Redwire, Inc. in Oklahoma, and 102 winning bids placed by Viasat Carrier Services, Inc. in Oregon. A list of all 169 winning bids for which support has been authorized is included as Attachment A to the Bureau’s Public Notice. The Bureau has directed and authorized the Universal Service Administrative Company (USAC) to obligate and disburse the support for Redwire and Viasat from the Universal Service Fund. USAC will make 120 monthly payments, which will begin at the end of June 2020. Redwire and Viasat are required to deploy broadband service to 40 percent of the funded locations in a state by December 31, 2022; 60 percent by December 31, 2023; 80 percent by December 31, 2024; and 100 percent by December 31, 2025.

FCC Asks For Comment On Whether One-Way VoIP Providers Should Contribute To The Universal Service Fund

June 11, 2020 – The FCC’s Wireline Competition Bureau has invited public comments to update the record in the FCC’s 2012 Contributions Reform Further Notice of Proposed Rulemaking as it pertains to “one-way” VoIP service providers. Specifically, comment is requested on whether the FCC should exercise its permissive authority under Section 254(d) of the Communications Act to include one-way VoIP revenues in the Universal Service Fund contributions base. The Bureau also has specifically requested comment on whether one-way VoIP services should be required to pay other fees applicable to interconnected VoIP services, such as regulatory fees. Comments are due on or before July 13, 2020, and reply comments are due July 27, 2020. Comments should reference WC Docket No. 06-122 and GN Docket No. 09-51, and may be filed using the FCC’s Electronic Comment Filing System.

FCC Strikes Down Northern Valley Communications’ Revised Tariff

June 11, 2020 – The Federal Communications Commission has issued an Order declaring Northern Valley Communications, LLC’s revised tariff unlawful. Northern Valley is a self-identified access-stimulating competitive local exchange carrier located in South Dakota and is affiliated with James Valley, an incumbent LEC serving rural South Dakota. Prior to the FCC’s 2019 Access Arbitrage Order, interexchange carriers (IXCs) could route telephone calls to Northern Valley customers through a tariffed route by interconnecting to a South Dakota Network, LLC (SDN) tandem in Sioux Falls, South Dakota, or could send traffic to Northern Valley using commercial or non-tariffed arrangements. In December 2019, Northern Valley revised its interstate access service tariff to change its point of interconnection with IXCs from the SDN tandem to its affiliate, James Valley, on the regulated, tariffed path and identify the James Valley switch as a tandem.” The revised tariff designated affiliate James Valley as Northern Valley’s new and only Intermediate Access Provider, and effectively limited Northern Valley’s “financial responsibility to pay only James Valley’s tandem switching and transport charges for terminating calls to Northern Valley’s end offices.” Two IXCs, Verizon Communications and Sprint Communications Company L.P., challenged the tariff, insisting it should be rejected or suspended and investigated. The FCC’s Wireline Competition Bureau suspended Northern Valley’s revised tariff and released an order designating issues for investigation. After reviewing arguments from all parties to the proceeding, the FCC determined that Northern Valley has not borne its burden of proving that its revised tariff is lawful. Specifically, the FCC concluded Northern Valley’s revised tariff is unjust and unreasonable in violation of Section 201(b) of the Communications Act and violates the Access Arbitrage Order and it rules. As a result, Northern Valley must remove the portions of its tariff that have been declared unlawful, and submit new tariff revisions consistent with the Communications Act, the Access Arbitrage Order, and the FCC’s rules within 30 calendar days.

106 Short-Form Applications Approved For CBRS Spectrum Auction; 242 Applications Deemed Incomplete

June 8, 2020 – The FCC’s Wireless Telecommunications Bureau has announced the status of 348 short-form applications received for the Citizens Broadband Radio Service spectrum auction. The CBRS auction – Auction 105 – is scheduled to begin July 23, 2020, and will offer Priority Access Licenses (PALs) in the 3550-3650 MHz band. The Bureau has made the following determinations for the 348 short-form applications:

Complete – 106 applications

Incomplete – 242 applications

A list of the 106 short-form applications for Auction 105 that have been accepted for filing and designated as complete is provided as Attachment A to the Bureau’s Public Notice. A list of the 242 short-form applications for Auction 105 that have been accepted for filing but were found to be incomplete or otherwise deficient is provided as Attachment B. Each incomplete applicant will receive a letter identifying the deficiencies in its application via email to the applicant’s contact person. To become a qualified bidder for Auction 105, each incomplete applicant must resubmit its application, having corrected any deficiencies, and make the required upfront payment by June 19, 2020.

FCC Temporarily Waives Requirement To File RUS Loan Report For Rate-Of-Return Carriers

June 8, 2020 – The FCC’s Wireline Competition Bureau, on its own motion, has temporarily waived the requirement that privately held rate-of-return carriers with Rural Utilities Service (RUS) loans file electronic copies of their annual RUS loan report with their FCC Form 481 filings. Pursuant to Section 54.313 of the FCC’s rules, all recipients of federal high-cost universal service support must submit annual reports to the Universal Service Administrative Company (USAC) by July 1st using FCC Form 481. Carriers with RUS loans are required to file year-end operating and financial reports with the U.S. Department of Agriculture (USDA), the agency that administers RUS, by March 31 of the following year. A copy of that report is typically included with Forms 481 filed by privately held rate-of-return carriers. However, due to the COVID-19 pandemic, on May 4, 2020, USDA waived all financial reporting requirements for RUS loan recipients through June 30, 2020. Accordingly, privately held rate-of-return carriers with RUS loans must submit a copy of their annual RUS loan report to USAC at the time it is due to USDA.

Mergers & Acquisitions: Green Hills Telephone Cooperative Purchasing Citizens Telephone Company & Citizens Long Distance Company of Higginsville, Missouri

June 8, 2020 – The FCC’s Wireline Competition Bureau is seeking comment on an application filed by Citizens Communications Corporation (CCC), Citizens Telephone Company of Higginsville, Missouri (CTC), Citizens Long Distance Company (CLD) and Green Hills Telephone Corporation (Green Hills) requesting consent to transfer control of CTC and CLD to Green Hills. More specifically, the application requests FCC consent for the transfer of control of the domestic Section 214 authority held by CTC, and the domestic and international Section 214 authority held by CLD, to Green Hills pursuant to a Share Purchase and Sale Agreement. Pursuant to that Agreement, dated as of May 7, 2020, Green Hills will acquire all of the stock of CTC and CLD from CCC. Comments on the application are due on or before June 22, 2020, and reply comments are due June 29, 2020.

CCC, headquartered in Higginsville, Missouri, is the parent holding company of CTC and CLD, owning all of the outstanding capital stock of CTC and CLD. CTC, a rural telephone company and incumbent local exchange carrier headquartered in Higginsville, Missouri, provides local exchange service and broadband Internet access service in the Higginsville exchange in Lafayette County in west central Missouri. CTC serves approximately 2,300 access lines, and has elected to receive high-cost Universal Service Fund  support under the Alternative Connect America Cost Model II. CLD is an interexchange service provider also headquartered in Higginsville, Missouri, that offers resold domestic and international long distance services. Citizens Cablevision, Inc., a cable service provider headquartered in Higginsville, Missouri, is also a wholly owned subsidiary of CCC, and will also be acquired by Green Hills in the transaction.

Green Hills is a rural telephone cooperative and ILEC headquartered in Breckenridge, Missouri. Green Hills is 100% owned by its members, with no member owning 10% or greater of the company. Green Hills serves approximately 2,400 access lines, and has elected to receive high-cost USF support under ACAM-II. Green Hills offers resold domestic and international long distance services through its wholly-owned subsidiary, Green Hills Communications, Inc. Green Hills also offers broadband Internet access service through GH Communications under the doing business as name Green Hills Technologies.

magicJack Consent Decree: $5 Million Fine & 3-Year Compliance Plan

June 5, 2020 – The FCC’s Enforcement Bureau has entered into a Consent Decree with magicJack VocalTec Ltd., magicJack, LP, and YMax Communications Corp. (collectively, magicJack), resolving the Bureau’s investigation regarding magicJack’s failure to report its interstate revenues and contribute to the Universal Service Fund. magicJack sells devices that use Voice Over Internet Protocol (VoIP) and are marketed as a replacement for traditional telephone service. Under the terms of the Consent Decree, magicJack must develop and implement a compliance plan, for the next three years, designed to ensure compliance with the FCC’s USF contribution rules and regulatory reporting requirements. Also, magicJack must make a settlement payment to the United States Treasury in the amount of five million dollars.

FCC Ready To Authorize CAF II Auction Support For 480 Winning Bids

June 4, 2020 – The FCC’s Rural Broadband Auctions Task Force, Wireline Competition Bureau, and Office of Economics and Analytics have announced they are ready to authorize Connect America Fund Phase II auction support for Viasat Carrier Services, Inc. – 480 winning bids in Pennsylvania. To receive the 10-year CAF II auction support, Viasat must now submit acceptable irrevocable stand-by letters of credit and Bankruptcy Code opinion letters prior to 6:00 p.m. ET on Thursday, June 18, 2020. The Wireline Competition Bureau also announced that, for its winning bids in Pennsylvania, Viasat received a waiver of the requirement that CAF II auction winning bidders certify they are eligible telecommunications carriers in all bid areas and submit appropriate documentation by February 25, 2019.

Center for Democracy & Technology Files Lawsuit Challenging President Trump’s Section 230 Executive Order Targeting Online Platforms

June 2, 2020 – The Center for Democracy & Technology has filed a lawsuit challenging President Trump’s May 28th “Executive Order on Preventing Online Censorship.” In general, CDT’s lawsuit alleges the Executive Order violates the First Amendment in two fundamental respects:

• First, the Order is plainly retaliatory: it attacks a private company, Twitter, for exercising its First Amendment right to comment on the President’s statements.

• Second, and more fundamentally, the Order seeks to curtail and chill the constitutionally protected speech of all online platforms and individuals—by demonstrating the willingness to use government authority to retaliate against those who criticize the government.

The suit was filed in the U.S. District Court For The District Of Columbia. As for relief, CDT is seeking a declaration pursuant to 28 U.S.C. § 2201 that the Executive Order is unlawful and invalid; a preliminary and permanent injunction enjoining the President, his officials, agents, employees, assigns, and all persons acting in concert or participating with them from implementing or enforcing any part of the Executive Order; an order awarding CDT cost of suit, and reasonable attorneys’ fees and expenses pursuant to any applicable law; and such other relief as the Court deems equitable, just, and proper.

FCC Releases Final Agenda For June 9th Open Meeting; Includes Rural Digital Opportunity Fund Auction & 5G Upgrade Order

June 2, 2020 – The Federal Communications Commission has released the following final agenda for its open meeting on June 9, 2020:

Rural Digital Opportunity Fund Final Auction Procedures: The Commission will consider a Public Notice that would establish procedures for the Phase I auction of the Rural Digital Opportunity Fund (Auction 904), awarding up to $16 billion in support over 10 years for deployment of broadband in unserved areas.

Modernizing and Expanding Access to the 70/80/90 GHz Bands: The Commission will consider a Notice of Proposed Rulemaking and Order that would explore innovative new uses of the 71–76 GHz, 81–86 GHz, 92–94 GHz, and 94.1–95 GHz bands, including potential rule changes to allow for the provision of wireless backhaul for 5G and the deployment of broadband services to aircraft and ships.

State/Local Approval of Wireless Equipment Modifications: The Commission will consider a Declaratory Ruling and Notice of Proposed Rulemaking that would clarify, and seek comment on changes to, the Commission’s rules implementing section 6409(a) of the Spectrum Act of 2012 in order to accelerate the deployment of communications infrastructure by facilitating the upgrade of existing sites for 5G networks.

Promoting Broadcast Internet Innovation through ATSC 3.0: The Commission will consider a Declaratory Ruling that would remove regulatory uncertainty concerning use of Broadcast Internet services provided by broadcast TV licensees as an ancillary and supplementary service, and a Notice of Proposed Rulemaking that would seek comment on modifying and clarifying existing rules to promote the deployment of Broadcast Internet services as part of the transition to ATSC 3.0.

Enforcement Bureau Action: The Commission will consider an enforcement action.

The meeting is scheduled to begin at 10:30 am EDT, and will be webcast with open captioning at www.fcc.gov/live.

FCC To Terminate 515 Dormant Proceedings; Seeks Comment From Interested Parties

June 2, 2020 – The FCC’s Consumer and Governmental Affairs Bureau has released a Public Notice seeking comment on whether 515 docketed FCC proceedings should be terminated as dormant. The Bureau has released an excel spreadsheet with information on all 515 proceedings set for termination. Interested parties may file comments in CG Docket No. 20-158. Comments will be due 30 days after date the Public Notice is published in the Federal Register, and reply comments will be due 45 days after publication. Any party’s failure to file comments in response to the Public Notice will be construed as consent to termination of any proceeding.

California Attorney General Submits Final Proposed Regulations Package Under The California Consumer Privacy Act

June 2, 2020 – California Attorney General Xavier Becerra has submitted the final proposed regulations package under the California Consumer Privacy Act (CCPA) to the California Office of Administrative Law (OAL). This includes the Final Text of Proposed Regulations and the Final Statement of Reasons, all of which “will provide guidance to businesses on how to comply with the CCPA and will enable consumers to exercise new rights over their personal information.” The California OAL has 30 working days, plus an additional 60 calendar days under Executive Order N-40-20 related to the COVID-19 pandemic, to review the final proposed regulations package for procedural compliance with the California Administrative Procedure Act. Once approved by the OAL, the final regulation text will be filed with the Secretary of State and become enforceable by law. The CCPA was signed on June 28, 2018, and was further amended on September 23, 2018, and on October 11, 2019. The law went into effect on January 1, 2020, and the California Attorney General can enforce the CCPA beginning on July 1, 2020.

Satellite Operators Agree To Clear C-Band Spectrum On Accelerated Timeline

June 1, 2020 – The FCC’s Wireless Telecommunications Bureau has announced that satellite operators Eutelsat S.A., Intelsat US LLC, SES Americom Inc., Claro S.A. f/k/a Star One S.A., and Telesat Canada have committed to clear the 3.7-4.0 GHz band on the accelerated timeline described in the FCC’s 3.7 GHz Report and Order. Specifically, all five satellite operators have accepted, in aggregate, relocation payments that exceed the minimum threshold – 80% – established by the FCC, triggering an accelerated clearing of the C-Band. As a result, the satellite operators must clear 120 megahertz of spectrum in 46 Partial Economic Areas (PEAs) by December 5, 2021. Then, they must clear the lower 120 megahertz in the remaining PEAs, plus an additional 180 megahertz nationwide, by December 5, 2023. If the satellite operators fulfill the spectrum clearing commitments, they will be eligible for up to $9.7 billion in accelerated relocation payments plus reasonable relocation costs, paid for by the new flexible use licensees. The accelerated clearing is expected to result in faster 5G deployment in the C-Band. The FCC’s C-Band auction is scheduled to begin on December 8, 2020.

NTIA Requests Public Comment On The Development Of An Implementation Plan For The National Strategy To Secure 5G – Comments Due June 18th

June 1, 2020 – The U.S. Department of Commerce’s National Telecommunications and Information Administration is requesting public comments to inform the development of an “Implementation Plan” for the “National Strategy to Secure 5G.” On March 23, 2020, the White House released the National Strategy to Secure 5G, which explains how America will “lead the development, deployment, and management of secure and reliable 5G communications infrastructure worldwide.” The National Strategy to Secure 5G is primarily focused on what is called four lines of effort:

1. Facilitating domestic 5G rollout

2. assessing the cybersecurity risks to and identifying core security principles of 5G capabilities and infrastructure

3. addressing risks to United States economic and national security during development and deployment of 5G infrastructure worldwide

4. promoting responsible global development and deployment of secure and reliable 5G infrastructure

NTIA is seeking public input to inform the development of the Implementation Plan, and is specifically requesting comments in response to various questions organized by the four lines of effort laid out by the Strategy. Written comments should reference Docket No. 200521-0144, and may be submitted by email to secure5G@ntia.gov. Comments must be received by NTIA on or before June 18, 2020.

May 2020

Bankrupt Lifeline Provider TAG Mobile Being Purchased Indirectly By Parent Company Of Q Link Wireless

May 28, 2020 – The FCC’s Wireline Competition Bureau is seeking  comment on an application filed by TAG Mobile, LLC, TAG Mobile Bankruptcy Sale Entity, LLC, and Vector Holdings Group LLC, requesting consent to transfer control of TAG Bankruptcy Entity to Vector. TAG Mobile, a Texas limited liability company, provides resold domestic interexchange services and wireless commercial mobile radio service to customers in 19 states. It holds international and blanket domestic Section 214 authority and has been designated as an eligible telecommunications carrier to provide Lifeline services. Vector is a Delaware limited liability company which was created to acquire TAG Mobile. Vector is wholly owned by Quadrant Holdings Group LLC, a U.S. corporation, which wholly owns Q Link Wireless, LLC, a Lifeline provider that offers service in multiple states. TAG Mobile and Vector have entered into an agreement pursuant to which Vector will acquire 100 percent of the membership interests in TAG Bankruptcy Entity. Comments on the application are due on or before June 11, 2020, and reply comments are due June 18, 2020.

FCC Approves 53 Applications For Telehealth Program Funding

May 28, 2020 – The FCC’s Wireline Competition Bureau has approved 53 funding applications for the COVID-19 Telehealth Program, totaling $18.22 million. According to the FCC’s News Release, to date, the FCC’s COVID-19 Telehealth Program, which was authorized by the CARES Act, has approved funding for 185 health care providers in 38 states plus Washington, DC for a total of $68.22 million in funding. The list of health care providers that were recently approved for funding is available on the FCC’s telehealth website: https://www.fcc.gov/covid-19-telehealth-program.

President’s Executive Order Targets Online Platforms & Section 230; Requires FCC To Explore Social Media & First Amendment Issues

May 28, 2020 – President Trump has issued an Executive Order on “Preventing Online Censorship,” which is aimed at addressing what he perceives is selective censorship carried out by online platforms such as Twitter, Facebook, and YouTube. The Executive Order primarily targets the immunity provided to online platforms by Section 230 of the Communications Decency Act, calling for the scope of that immunity to be scaled back. Among other things, the Executive Order requires the Secretary of Commerce, in consultation with the Attorney General, and acting through the National Telecommunications and Information Administration, to file a petition for rulemaking with the Federal Communications Commission requesting that the FCC propose regulations to clarify Section 230 in the following ways:

1. the interaction between subparagraphs (c)(1) and (c)(2) of Section 230, in particular to clarify and determine the circumstances under which a provider of an interactive computer service that restricts access to content in a manner not specifically protected by subparagraph (c)(2)(A) may also not be able to claim protection under subparagraph (c)(1), which merely states that a provider shall not be treated as a publisher or speaker for making third-party content available and does not address the provider’s responsibility for its own editorial decisions;

2. the conditions under which an action restricting access to or availability of material is not “taken in good faith” within the meaning of subparagraph (c)(2)(A) of Section 230, particularly whether actions can be “taken in good faith” if they are: (i) deceptive, pretextual, or inconsistent with a provider’s terms of service; or (ii) taken after failing to provide adequate notice, reasoned explanation, or a meaningful opportunity to be heard; and

3. any other proposed regulations that the NTIA concludes may be appropriate to advance the policy described in subsection (a) of this section.

Fifth Circuit Issues Decision On Lawsuits Involving IntraMTA Access Charges; Rules In Favor Of Local Exchange Carriers

May 27, 2020 – The U.S. Court of Appeals For The Fifth Circuit has issued a decision in a multidistrict litigation case involving intra-MTA access charges, which rules in favor of the local exchange carrier (LEC) defendants. Beginning in 2014, interexchange carriers (IXCs) Sprint Communications Company L.P. and MCI Communications Services, Inc. / Verizon Select Services Inc. filed lawsuits against hundreds of LECs, alleging they were overbilled by the LECs for intraMTA traffic. The IXCs claimed that under the intraMTA rule, the traffic should be subject to bill-and-keep and not access charges. The IXCs sought damages in the form of refunds for access charges they had already paid (as far back as 1996), as well as a declaratory judgment stating that they don’t owe access charges on intraMTA wireless-to-wireline traffic going forward. The lawsuits were eventually consolidated in the U.S. District Court for the Northern District of Texas, where the court (1) dismissed Sprint and Verizon’s claims against the LECs; and (2) granted summary judgment to the LECs on their claims against Sprint, Verizon, and Level 3.

The Fifth Circuit found the appeal raised only one question: “Under federal law, can LECs assess IXCs access charges when LECs provide services that enable IXCs to exchange intraMTA wireless-to-wireline calls?” It’s answer: Yes, both before and after the 2011 USF/ICC Transformation Order. In its decision, the Fifth Circuit affirmed the dismissal of Sprint and Verizon’s claims for damages. The Court explained that because the LECs filed access charge tariffs with the FCC and state regulators, the filed-rate doctrine requires Sprint, Verizon, and Level 3 to pay those charges. For the same reason, the Fifth Circuit affirmed the summary judgment on the LECs’ claims and counterclaims. The Court, however, vacated and remanded the dismissal of Sprint’s and Verizon’s claim for declaratory relief – that they don’t owe access charges on intraMTA wireless-to-wireline traffic going forward. The Court explained that as of July 1, 2018, LECs that qualify as price cap carriers, or competitive LECs that opted into price cap regulation, can no longer impose terminating access charges. Accordingly, Sprint and Verizon could be entitled to declaratory relief as to at least some of the LEC defendants.

Comments On 5G Fund NPRM Due June 25, 2020

May 26, 2020 – The comment deadlines for the FCC’s 5G Fund Notice of Proposed Rulemaking have been announced. Comments are due on or before June 25, 2020. Reply comments are due July 27, 2020. All filings related to the 5G Fund NPRM should reference GN Docket No. 20-32. The FCC’s 5G Fund will use multi-round reverse auctions to distribute up to $9 billion, in two phases, over the next decade and beyond to bring voice and 5G broadband service to rural areas of the country that are unlikely to see unsubsidized deployment of 5G-capable networks. Phase I of the 5G Fund would target at least $8 billion of support to rural areas that would be unlikely to see timely deployment of voice and 5G broadband service absent high-cost support or as part of T-Mobile’s transaction-related commitments. The NPRM specifically seeks comment on two options for identifying areas that would be eligible for Phase I 5G Fund support. Phase II would target support to bring wireless connectivity to harder to serve and higher cost areas, such as farms and ranches, and make at least $1 billion available specifically aimed at deployments that would facilitate precision agriculture.

FCC Issues Order Adopting Sinclair Consent Decree

May 22, 2020 – The Federal Communications Commission (FCC) has issued an Order adopting the Consent Decree entered into between the FCC and Sinclair Broadcast Group, Inc. (Sinclair). The Consent Decree resolves and terminates the investigations of Sinclair’s violations of the Communications Act and FCC rules, which occurred when Sinclair and Tribune Media Company filed applications in June 2017 seeking FCC consent to transfer control of Tribune subsidiaries to Sinclair. Specifically, the Consent Decree resolves the investigations of (1) real party-in-interest issues originally designated for hearing in Sinclair’s proposed acquisition of stations owned by Tribune; (2) Sinclair’s compliance with Section 1.65 of the FCC’s rules, which requires applicants to ensure the continued accuracy and completeness of information before the FCC in an application proceeding; (3) Sinclair’s compliance with Section 325 of the Communications Act, and Section 76.65(b) of the FCC’s Rules, which require commercial television broadcasters to negotiate in good faith for consent to retransmit their signals; and (4) Sinclair’s compliance with sponsorship identification laws. Sinclair will pay a $48 million civil penalty and implement a compliance plan.

Copyright Office Releases Report On Safe Harbor Provisions of Section 512 Of The Copyright Act

May 21, 2020 – The U.S. Copyright Office has released a report on the impact and effectiveness of the safe harbor provisions contained in Section 512 of the Copyright Act. It is the first government study of the effectiveness of Section 512, and is intended “to assist Congress with evaluating ways to update the Copyright Act for the 21st century.” The report is the culmination of over four years of work, which began on December 31, 2015, with a Notice of Inquiry, and included numerous roundtable discussions, Congressional hearings, a second Notice of Inquiry, and the evaluation of various copyright policy studies. Overall, the report considers whether the balance that Congress devised in Section 512 is working for all concerned parties. The Copyright Office concludes that the balance Congress intended when it established the section 512 safe harbor system is askew. The report, along with various materials and information used to create it, are available online at https://www.copyright.gov/policy/section512/.

State Attorneys General Urges Congress To Ensure Access To Broadband and Provide Funding In Next COVID-19 Relief Legislation

May 21, 2020 – A group of state attorneys general have sent a letter to the leaders of the House of Representatives and the Senate requesting action to ensure “all Americans have home internet connectivity.” The 39 state attorneys general explain that the COVID-19 pandemic has underscored the importance of broadband – “telemedicine, teleschooling, and telework” are part of a “new normal.” To enable universal access to broadband, the state attorneys general want Congress to include broadband funding in the next COVID-19 relief legislation in the following two ways: (1) Provide adequate and flexible funding to state, territorial, and local governments to expand broadband internet access; and (2) Increase funding to the U.S. Federal Communication Commission Universal Service Fund.

FCC & FTC Send Cease And Desist Letters To Scam Robocall Enablers

May 20, 2020 – The Federal Communications Commission (FCC) and Federal Trade Commission (FTC) have sent letters to one originating provider and two gateway providers demanding they immediately cease transmission of Novel Coronavirus Disease (COVID-19) pandemic-related scam robocalls. The FCC and FTC have identified these three gateway providers as the entryways for scam robocall campaigns into American phone networks:

• (1) Intelepeer Cloud Communications, LLC of San Mateo, California – Intelepeer (originating provider) is apparently originating COVID-19 scam robocall traffic on behalf of one or more of its clients.

• (2) PTGi International Carrier Services, Inc. of Washington, DC – PTGi (gateway provider) is apparently routing and transmitting COVID-19 scam robocall traffic originating from at least one wholesale provider in Germany that the company has refused to identify.

• (3) RSCom Ltd. of Aurora, Ontario, Canada – RSCom (gateway provider) is apparently routing and transmitting COVID-19 scam robocall traffic originating from Voice Are Us, Ltd.

The FCC and FTC also sent a letter to USTelecom and the USTelecom Industry Traceback Group to notify them of the agencies’ cease and desist letters. The FCC and FTC explain that if, after 48 hours, Intelepeer, PTGi, or RSCom continue to route or transmit robocalls on their networks, the FCC will: (1) authorize other U.S. providers to block all calls coming from that gateway or originating provider; and (2) authorize other U.S. providers to take any other steps as needed to prevent further transmission of unlawful calls originating from the providers.

FCC To Vote On Rural Digital Opportunity Fund Phase I Auction Procedures Public Notice During June 9th Open Meeting

May 19, 2020 – The FCC has released a draft of the Public Notice containing the auction procedures for Phase I of the Rural Digital Opportunity Fund (RDOF). The item is expected to be adopted at the FCC’s June 9th open meeting. The RDOF will commit up to $20.4 billion over a ten-year period to support the deployment of broadband networks to areas in rural America that are wholly unserved by broadband service at speeds of at least 25/3 Mbps and areas that are partially served by that level of service. Funding will be split into two phases. Phase I – $16 billion – will target areas that current data confirm are wholly unserved. Phase II – $4.4 billion – will target unserved locations within areas that data demonstrates are only partially served, as well as any areas not won in Phase I. Funding will be allocated using a multi-round, reverse, descending clock auction that favors faster services with lower latency and encourages intermodal competition. The Public Notice schedules the commencement of the RDOF Phase I auction (Auction 904) for October 29, 2020, with the short-form filing window opening on July 1, 2020, and closing July 15, 2020. Other key details in the Public Notice include the following:

• Adopts census block groups as the minimum geographic area in which areas eligible for support can be grouped for bidding in the auction.

• Concludes that applicants may not bid for support using network technologies that have not shown demonstrated success in providing mass market retail broadband to consumers.

• Adopts pre-auction short-form application procedures to ensure that potential bidders have the business experience and financial means to participate in the auction and intend to use a network technology that will allow them to meet performance requirements.

• Adopts post-auction long-form application procedures and collect information from winning bidders demonstrating that they will have the technical and financial ability to deploy their planned broadband networks and meet other public interest obligations in the areas where they win support.

• Adopts a simplified multi-round, descending clock auction where bidders will indicate in each round whether they will bid to provide service to an area at a given performance tier and latency.

• Confirms the auction will end after the aggregate support amount of all bids is less than or equal to the total budget and there is no longer competition for support in any area.

FCC Releases Tentative Agenda For June 9th Open Meeting

May 19, 2020 – Federal Communications Commission Chairman Ajit Pai has announced the following tentative agenda for the FCC’s June open meeting scheduled for Tuesday, June 9, 2020:

Rural Digital Opportunity Fund Final Auction Procedures – The Commission will consider a Public Notice that would establish procedures for the Phase I auction) of the Rural Digital Opportunity Fund (Auction 904), awarding up to $16 billion in support over 10 years for deployment of broadband services in unserved areas. (AU Docket No. 20-34, WC Docket Nos. 19-126, 10-90)

Modernizing and Expanding Access to the 70/80/90 GHz Bands – The Commission will consider a Notice of Proposed Rulemaking and Order that would explore innovative new uses of the 71–76 GHz, 81–86 GHz, 92–94 GHz, and 94.1–95 GHz bands, including potential rule changes to allow for the provision of wireless backhaul for 5G and the deployment of broadband services to aircraft and ships. (WT Docket Nos. 20-133, 10-153, 15-244; RM-11824, RM-11825)    

State/Local Approval of Wireless Equipment Modifications – The Commission will consider a Declaratory Ruling and Notice of Proposed Rulemaking that would clarify, and seek comment on changes to, the Commission’s rules implementing section 6409(a) of the Spectrum Act of 2012 in order to accelerate the deployment of communications infrastructure by facilitating the upgrade of existing sites for 5G networks. (WT Docket No. 19-250; RM-11849)

Promoting Broadcast Internet Innovation through ATSC 3.0 – The Commission will consider a Declaratory Ruling that would remove regulatory uncertainty concerning use of Broadcast Internet services provided by broadcast TV licensees as an ancillary and supplementary service, and a Notice of Proposed Rulemaking that would seek comment on modifying and clarifying existing rules to promote the deployment of Broadcast Internet services as part of the transition to ATSC 3.0. (MB Docket No. 20-145)

Enforcement Bureau Action – The Commission will consider an enforcement action.

FCC Releases Mobility Fund Phase II 4G LTE Coverage Maps

May 18, 2020 – The FCC’s Rural Broadband Auctions Task Force, Office of Economics and Analytics, Wireless Telecommunications Bureau, and Wireline Competition Bureau have released carrier-specific 4G LTE coverage maps derived from coverage data submitted pursuant to the Mobility Fund Phase II Challenge Process Order. A total of 48 mobile wireless carriers filed coverage data in response to the one-time data collection requirement in the Mobility Fund Phase II Challenge Process Order. Wireless carriers were required “to report, among other things, the propagation modeling software, spectrum band or bands, bandwidth, clutter factor categories, and signal strength used to generate their coverage maps.” At this time, the maps do not include coverage data submitted by AT&T because it objected to the release of its coverage maps. Accordingly, the maps represent data from 47 of the 48 wireless carriers. The FCC has also released a version of the Mobility Fund Phase II Investigation Staff Report with unredacted maps. The coverage maps and the updated staff report are available online from the FCC.

Commerce Department Restricts Huawei Technology’s Acquisition Of Semiconductors

May 15, 2020 – The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) has amended the foreign-produced direct product rule and the Entity List to narrowly and strategically target Huawei Technology’s acquisition of semiconductors that are the direct product of certain U.S. software and technology. The actions also marks the expiration of the Huawei Temporary General License (TGL). The rule change specifically makes the following foreign-produced items subject to the Export Administration Regulations (EAR): (1) Items, such as semiconductor designs, when produced by Huawei and its affiliates on the Entity List (e.g., HiSilicon), that are the direct product of certain U.S. Commerce Control List (CCL) software and technology; and (2) Items, such as chipsets, when produced from the design specifications of Huawei or an affiliate on the Entity List (e.g., HiSilicon), that are the direct product of certain CCL semiconductor manufacturing equipment located outside the United States. Such foreign-produced items will only require a license when there is knowledge that they are destined for reexport, export from abroad, or transfer (in-country) to Huawei or any of its affiliates on the Entity List. As explained in the Commerce Department Press Release, after BIS added Huawei and 114 of its overseas-related affiliates to the Entity List, companies wishing to export U.S. items were required to obtain a license. But, “Huawei has continued to use U.S. software and technology to design semiconductors, undermining the national security and foreign policy purposes of the Entity List by commissioning their production in overseas foundries using U.S. equipment.” The rule amendment is intended to address these problems.

Commerce Department Issues Expected Final 90-Day Extension of Huawei Temporary General License Authorizations

May 15, 2020 – The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) has announced it is extending the terms of the existing Temporary General License (TGL) authorizations for Huawei Technologies Co. Ltd. and its non-U.S. affiliates on the Entity List for 90 days. The extension is intended to provide users of Huawei devices and telecommunication providers – particularly those in rural U.S. communities – an opportunity to continue to temporarily operate such devices and existing networks while hastening the transition to alternative suppliers. The terms and duration of any future general licenses will be announced prior to the expiration of the 90-day extension. As part of the announcement of the extension, the Commerce Department “is also notifying the public that activities authorized in the TGL may be revised and possibly eliminated after August 13, 2020. Companies and persons relying on TGL authorizations should begin preparations to determine the specific, quantifiable impact of elimination if they have not done so already. Those companies and persons should be prepared to submit license applications to the Department to determine which, if any, activities will be authorized in the event that their TGL authorization is eliminated.”

USDA Announces $500,000 ReConnect Broadband Program Award In Iowa - Final Award Of Round One

May 14, 2020 – The U.S. Department of Agriculture has announced a ReConnect Pilot Program broadband award has been provided to Breda Telephone Corp. in Iowa. Breda was awarded a $523,749 grant to deploy a Fiber-to-the Home broadband network to connect 52 households, 20 farms, and nine businesses spread over 35 square miles in Carroll County, Iowa. This is the final award from round one of USDA’s ReConnect Program. In round one, USDA invested a total of $744 million to bring high-speed broadband to approximately 172,000 households, 19,000 rural small businesses and farms, and more than 500 health care centers, educational facilities, and critical community facilities located in 34 states. The application window for the ReConnect Program’s second round of funding closed on April 15, 2020. USDA received a total of 172 applications for $1.57 billion in round two.

FCC Directs China Telecom Americas To Turn Over List Of Subscribers Connected To Chinese Government

May 14, 2020 – The FCC’s International Bureau has responded to China Telecom Americas’ (CTA) request for clarification of CTA’s Show Cause Order, and has granted CTA’s request for an extension of time to respond to the order to June 8, 2020. CTA requested a clarification of the Show Cause Order’s request for “a description and listing” of CTA’s subscribers and other customers for domestic and international services because, among other things, it is unsure what the FCC means by asking for a ‘description” of thousands of individual customers. The International Bureau has clarified and narrowed the scope of the request for subscriber information as follows:

• Enterprise Customers. With respect to China Telecom Americas’ enterprise customers, we request the name and a short description of each enterprise customer; a general description of the types and duration (e.g., yearly, monthly, or other) of enterprise customer contracts; the aggregate number of customers for each type of contract; and the most recent annual revenue derived from enterprise customers.

• MVNO Mobile Resale Services Customers. With respect to China Telecom Americas’ MVNO mobile resale services customers, we request the aggregate number of customers, rounded to the nearest one thousand as of April 24, 2020, broken down into categories of customers, such as enterprise and small business and/or consumer; a general description of the types and duration of customer contracts, plans, or services; the aggregate number of customers for each type of contract, plan, or service, rounded to the nearest one thousand as of April 24, 2020; and the most recent annual revenue derived from MVNO mobile resale services customers.

• Other Customers. With respect to any other types of services offered by China Telecom Americas, we request a general description of the services and customers; the types and duration of customer contracts by service type; the aggregate number of customers for each type of contract as of April 24, 2020; and the most recent annual revenue derived from these customers.

• Chinese Government Customers. Please identify any customers that are affiliated with the government of the People’s Republic of China or entities owned or controlled by, or otherwise connected to, the government and/or are members of the Communist Party of China.

CAF II Auction Support Authorized For Five Broadband Providers In Six States

May 14, 2020 – The FCC’s Wireline Competition Bureau has authorized Connect America Fund Phase II Auction support for winning bids placed by the following five service providers in six states:

• Aristotle Unified Communications (Illinois)

• Cherokee Telephone Company (Oklahoma)

• Gila Local Exchange Carrier, Inc. (Arizona)

• Mark Twain Communications Company (Missouri)

• NE Colorado Cellular, Inc. (Colorado & Nebraska)

The Universal Service Administrative Company is directed and authorized to obligate and disburse Universal Service Fund support to each provider in 120 monthly payments, which will begin at the end of May 2020. Each support recipient is required to deploy broadband to 40 percent of its required locations by December 31, 2022; 60 percent of its required locations by December 31, 2023; 80 percent of its required locations by December 31, 2024; and 100 percent of its required locations by December 31, 2025. The Bureau will post a state-level summary on the Auction 903 webpage which will provide for each support recipient: (1) the total support amount over 10 years and total number of locations in each state; (2) the total number of locations to which the authorized support recipient must offer the required voice and broadband services for each performance tier and latency in each state; and (3) the eligible census blocks included in the winning bids that are being authorized in each state.

FCC Authorizes CAF II Support For Mid-Hudson In New York

May 14, 2020 – The FCC’s Wireline Competition Bureau has authorized Connect America Fund (CAF) Phase II support in New York for Mid-Hudson Data Corp. Over ten years, Mid-Hudson will receive $640,296 to provide broadband service with speeds of at least 100 Mbps downstream and 20 Mbps upstream to 459 locations in 73 census blocks in New York state. The CAF II auction support will be disbursed in 120 monthly payments, which will begin at the end of May 2020. Mid-Hudson is required to deploy broadband to 40 percent of its required locations by December 31, 2022; 60 percent of its required locations by December 31, 2023; 80 percent of its required locations by December 31, 2024; and 100 percent of its required locations by December 31, 2025.

FCC Announces 774 Broadband & Telephone Providers Have Taken The Keep Americans Connected Pledge; Extended Their Commitments Through June 30th

May 14, 2020 – The Federal Communications Commission has announced that 774 broadband and telephone providers have taken the Keep Americans Connected Pledge and extended their commitments through June 30, 2020. The Keep Americans Connected Pledge reads as follows:

Given the coronavirus pandemic and its impact on American society, [[Company Name]] pledges for the next 60 days to:

(1) not terminate service to any residential or small business customers because of their inability to pay their bills due to the disruptions caused by the coronavirus pandemic;

(2) waive any late fees that any residential or small business customers incur because of their economic circumstances related to the coronavirus pandemic; and

(3) open its Wi-Fi hotspots to any American who needs them.

FCC Proposes To Collect $339 Million In Regulatory Fees For Fiscal Year 2020

May 13, 2020 – The Federal Communications Commission has adopted a Report And Order And Notice Of Proposed Rulemaking related to the annual collection of regulatory fees. In the Report And Order, the FCC assesses “a regulatory fee on non-U.S. licensed space stations with United States market access and including those non-U.S. licensed space stations in the current regulatory fee categories for geostationary (GSO) and non-geostationary (NGSO) space stations.” The fee is imposed “regardless of whether the non-U.S. licensed space station operator obtains the market access through a declaratory ruling or through an earth station applicant as a point of communication.” In the NPRM, the FCC proposes to collect $339,000,000 in regulatory fees for fiscal year 2020, and seeks comment generally on proposed regulatory fees for 2020. Comments in response to the NPRM are due on or before June 12, 2020, and reply comments are due June 29, 2020.

USDA Announces Two ReConnect Broadband Program Awards In Michigan Totaling $22.5 Million

May 13, 2020 – The U.S. Department of Agriculture has announced two ReConnect Pilot Program broadband award have been provided in Michigan totaling $22.5 million. Barry County Services Company was awarded an $11.8 million loan/grant combination to provide fiber-based broadband services in rural Barry County, Michigan. The project will make broadband service available to 17 farms, 16 businesses, and 12,000 residents spread over 127 square miles.

Southwest Michigan Communications Inc. was awarded a $10.7 million loan/grant combination to deploy Fiber-to-the-Premises broadband service to Van Buren and Allegan counties. The project will extend broadband availability to 22 farms, 19 businesses, and 7,700 residents spread over 100 square miles. USDA’s ReConnect Program provides loans, grants, and loan/grant combinations to construct broadband network infrastructure in rural America. The application window for the ReConnect Program’s second round of funding closed on April 15, 2020. USDA received a total of 172 applications for $1.57 billion in round two.

FCC Wireline Bureau Releases Tariff Review Plans For 2020 Tariff Filings

May 12, 2020 – The FCC’s Wireline Competition Bureau has released the Tariff Review Plans (TRPs) to be used by incumbent local exchange carriers to substantiate their interstate access service tariff revisions filed in 2020. Templates of all 2020 TRPs are available online at https://www.fcc.gov/2020-tariff-review-plans. The 2020 TRPs reflect implementation of the transitional rate changes and recovery rules adopted in the USF/ICC Transformation Order. The 2020 TRPs for rate-of-return ILECs also implement the universal service reforms and related tariffing requirements adopted in the Rate-of-Return Reform Order, Rate-of-Return BDS Order, and 2018 Jurisdictional Separations Order.

Mergers & Acquisitions: BHT Investments, LLC Purchasing Alaskan ILEC Bush-Tell, Inc.

May 12, 2020 – The FCC’s Wireline Competition Bureau is seeking comment on an application filed by William Douglas DeVore (Mr. DeVore) and BHT Investments, LLC (BHTI) requesting consent to transfer control of Bush-Tell, Inc. (Bush-Tell) from Mr. DeVore to BHT. Comments are due on or before May 26, 2020, and reply comments are due June 2, 2020.

Bush-Tell is an incumbent local exchange carrier that serves a single study area in southwestern Alaska containing approximately 555 access lines in ten village exchanges: Aniak, Anvik, Crooked Creek, Grayling, Holy Cross, Kalskag, Red Devil, Shageluk, Sleetmute, and Stony River. Bush-Tell provides residential and business local exchange telephone service and interstate exchange access in all ten exchanges. It also provides Internet access service in six of the exchanges – Aniak, Anvik, Grayling, Holy Cross, Kalskag, and Shageluk. Mr. DeVore currently owns 100% of Bush-Tell’s issued and outstanding stock.

BHTI, a Wyoming limited liability company, is a holding company that does not directly provide any domestic telecommunications services. BHTI was established in 2014 to acquire and manage telecommunications and telecommunications-related investments. BHT Investment Holdings, LLC, a Wyoming limited liability company, is the parent company of BHTI and does not directly provide any telecommunications services. The proposed transaction involves the sale by Mr. DeVore of 100 percent of the issued and outstanding stock of Bush-Tell to BHTI. Completion of the transaction will give BHTI control of Bush-Tell, including its Domestic Section 214 authorization.

USDA Announces $3.3 Million ReConnect Broadband Program Award In South Dakota

May 12, 2020 – The U.S. Department of Agriculture has announced a ReConnect Pilot Program broadband award has been provided to South Dakota Network, LLC d/b/a SDN Communications in South Dakota. SDN will use a $3,271,579 grant to deploy a fiber broadband network and fixed wireless broadband in rural areas of Pennington and Lawrence counties South Dakota. The funded service area extends across 13 square miles and includes 129 households, three critical community facilities, 14 businesses, and two farms. USDA’s ReConnect Program provides loans, grants, and loan/grant combinations to construct broadband network infrastructure in rural America. The application window for the ReConnect Program’s second round of funding closed on April 15, 2020. USDA received a total of 172 applications for $1.57 billion in round two.

China Telecom Americas Requests Clarification To FCC Show Cause Order

May 8, 2020 – China Telecom Americas (CTA) has requested a clarification to the Show Cause Order issued by the FCC’s International Bureau, Wireline Competition Bureau, and Enforcement Bureau. On April 24, 2020, the FCC directed CTA to show cause why the FCC should not initiate a proceeding to revoke and terminate CTA’s domestic and international section 214 authorizations and to reclaim CTA’s International Signaling Point Codes given, among other things, the views of the Executive Branch that there are substantial and unacceptable national security and law enforcement risks associated with CTA’s continued access to U.S. telecommunications infrastructure pursuant to its international Section 214 authorizations. CTA is seeking a clarification of the Show Cause Order’s request for “a description and listing of CTA’s subscribers and other customers for domestic and international services. CTA argues it cannot provide the information within the Order’s timeframe because CTA “provides service to hundreds of enterprise customers and tens of thousands of MVNO mobile resale services customers.” CTA also states that “[i]t is also unclear what the Commission means by asking for a ‘description’ of these thousands of individual customers.” In addition for the clarification request, CTA has requested an extension of time to respond to the Show Cause Order.

NTCA Paper Argues For Including Broadband In Services That Contribute To The Universal Service Fund, Shows Reforming USF Contribution System Won’t Harm Broadband Adoption

May 7, 2020 – NTCA-The Rural Broadband Association has released a paper supporting the assertion that broadening the base of contributions to the Universal Service Fund (USF) by including both voice and broadband connections would not undermine broadband adoption and retention. NTCA-The Rural Broadband Association represents nearly 850 independent, community-based telecommunications companies that provide telecommunications and broadband services in rural America.

Currently, wireline telecommunications service providers, wireless telecommunications service providers, and certain VoIP service providers contribute money to the USF based on end user revenue attributable to interstate (and international) telecommunications services. All four of the FCC’s USF programs have been amended to promote broadband, but the current contribution base for the USF does not include broadband services. The paper is based on two authors’ investigation of the economic effects of including broadband services in the USF contribution base on consumer broadband adoption rates. Their findings include results of a survey they conducted to measure the effects on consumer broadband adoption and retention caused by including broadband Internet access services in the contribution base.

The authors conclude that the estimated percentage reduction in demand for broadband services is approximately 0.08% for every 1% increase in total service fees. As explained by NTCA, this would mean, for example, that for every 1,000 consumers spending $80 per month on broadband, an $0.80 USF contribution surcharge might cause one consumer at most to reduce his or her broadband purchase in some way. The paper also notes that the 0.08% estimated reduction “is a conservative estimate based the number of total accessible connections, and does not take into account any other gains in broadband adoption that might be realized and sustained as a result of programs supported by the USF.”

USDA Announces $2 Million ReConnect Broadband Program Award In New Hampshire

May 7, 2020 – The U.S. Department of Agriculture has announced a $2 million ReConnect Pilot Program broadband award to Granite State Telephone Inc. in New Hampshire. Granite will use a loan in the amount of $1,932,298 to build a fiber broadband network that will provide speeds up to 1 GB downstream and 1 GB upstream to rural subscribers in Hillsborough, Sullivan and Cheshire counties in New Hampshire. The service area includes 890 households, an educational facility and a critical community facility, spread across 24 square miles. USDA’s ReConnect Program provides loans, grants, and loan/grant combinations to construct broadband network infrastructure in rural America. The application window for the second round of funding closed on April 15, 2020, and applications are currently under review.

USDA Announces ReConnect Broadband Program Awards In Kansas & Oklahoma Totaling $71 Million

May 7, 2020 – The U.S. Department of Agriculture has announced four ReConnect Pilot Program broadband awards, totaling $71 million, have been provided in Kansas and Oklahoma.

• Totah Communications Inc. is receiving an $18.9 million loan and an $18.9 million grant to construct 621 miles of fiber-to-the-premises broadband infrastructure. The award will enable Totah to extend broadband availability to 8,155 residents, 20 farms, and 15 businesses in Rogers, Nowata, Washington, and Osage counties in Oklahoma, and Montgomery and Chautauqua counties Kansas.

• KanOkla Shidler LLC is receiving a $15 million loan and a $15 million grant to construct a 251-mile fiber-to-the-premise broadband network in Osage County, Oklahoma. The project will benefit 2,101 residents, 26 farms, and 28 businesses.

• Cross Cable Television LLC is receiving a $2.2 million grant to construct a fiber-to-the-premises broadband network in Le Flore and McIntosh counties in Oklahoma. The project will benefit 265 residents, 13 farms, and six businesses.

• Carnegie Telephone Company is receiving a $1.2 million loan to construct a fiber-to-the-premises broadband network in the town of Carnegie, Oklahoma. The project will benefit 926 residents.

USDA’s ReConnect Program provides loans, grants, and loan/grant combinations to construct broadband network infrastructure in rural America. The application window for the second round of funding closed on April 15, 2020, and applications are currently under review.

FCC Consent Decree: Sinclair Broadcast Group To Pay $48 Million Penalty

May 6, 2020 – The FCC has announced it has entered into a Consent Decree with Sinclair Broadcast Group, which closes three open Enforcement Bureau investigations of Sinclair. Under the terms of the Consent Decree, Sinclair will pay a $48 million civil penalty and abide by a strict compliance plan. The $48 million civil penalty is the largest involving a broadcaster in the FCC’s 86-year history. The Consent Decree closes investigations into Sinclair’s disclosure of information relating to its proposed acquisition of stations owned by Tribune Media; whether Sinclair has met its obligations to negotiate retransmission consent agreements in good faith; and Sinclair’s failure to identify the sponsor of content it produced and supplied to both Sinclair and non-Sinclair television stations.

FCC To Hold Open Meeting On May 13, 2020

May 6, 2020 – The FCC will hold an open meeting on Wednesday, May 13, 2020, beginning at 10:30 a.m. The meeting will be in a wholly electronic format and will be shown live online at www.fcc.gov/live and on the FCC’s YouTube channel. The items being considered at the meeting are expected to be voted prior to the meeting.

Transitioning the 900 MHz Band to Enable Broadband Deployment – The FCC will consider a Report and Order that would realign the 900 MHz band to create a new six megahertz broadband segment to support the growing technological needs of our nation’s industries, while reserving the remaining four megahertz of the band for narrowband operations. (WT Docket No. 17-200)

Facilitating Deployment of Satellite Earth Stations in Motion – The FCC will consider a Second Report and Order and Report and Order addressing rules to facilitate the deployment of geostationary-satellite orbit and non-geostationary-orbit fixed-satellite service earth stations that operate while in motion. (IB Docket Nos. 17-95, 18-315)

Revising Broadcaster Rules on Public Notice of Filing Applications – The FCC will consider a Report and Order that would modernize and simplify the written and on-air public notices broadcasters must provide upon the filing of certain applications. (MB Docket Nos. 17-264, 17-105, 05-6)

Modernizing Regulatory Fee Rules to Level the Playing Field and Initiating the FY2020 Process – The FCC will consider a Report and Order and Notice of Proposed Rulemaking. The Report and Order would level the playing field between domestic and foreign licensed space stations by assessing a regulatory fee on non-U.S. licensed space stations with United States market access. The Notice of Proposed Rulemaking initiates the FCC’s annual regulatory fee proceeding. (MD Docket Nos. 20-105, 19-105)

FCC Fines Westfield Gas And Electric For Defaulting On CAF II Auction Winning Bid In Massachusetts

May 6, 2020 – The FCC’s Enforcement Bureau has imposed a Notice Of Apparent Liability For Forfeiture on Westfield Gas and Electric Light Department for defaulting on one of its winning bids in the Connect America Fund Phase II Auction (Auction 903). Westfield must pay a penalty of $3,000 for defaulting on the winning bid. Westfield participated in the CAF II Auction and was a successful bidder, winning $10,325,400.60 of support for 23 census block groups covering 5,163 locations in Massachusetts. However, Westfield subsequently notified the FCC’s Wireline Communications Bureau that it would default on one of its winning bids because the “logistical and financial barriers impeded the Town of Royalston, Massachusetts from successfully coordinating with the Company to fulfill the bid.” The matter was then turned over to the Enforcement Bureau, which determined Westfield apparently willfully violated the FCC’s rules and orders governing Auction 903 by partially defaulting on its winning bidder obligations. Westfield has 30 calendar days to pay the fine or challenge it.

USDA Announces Three ReConnect Broadband Program Awards In New Mexico Totaling $23 Million

May 5, 2020 – The U.S. Department of Agriculture has announced three ReConnect Pilot Program broadband awards, totaling $23 million, have been provided in New Mexico.

• Pueblo of Acoma will use a $942,955 grant to help provide fixed wireless broadband. Currently, the funded service area completely lacks sufficient access to broadband service. The funded project is expected to fuel long-term economic development and job opportunities in the service area, which includes 771 households spread over 22 square miles in Cibola County.

• Penasco Valley Telephone Cooperative Inc. will use a $3.1 million grant to deploy a fiber broadband network. The funded service area includes 659 households spread over 363 square miles in Lincoln, Otero, Chaves, and Eddy counties.

• E.N.M.R. Telephone Cooperative will use a $19.2 million grant to help build a fiber-to-the-premises broadband network serving farms, businesses, and critical community facilities in rural areas in New Mexico. The service area includes 789 households and three critical community facilities spread over 13 counties and 4,292 square miles.

USDA’s ReConnect Program provides loans, grants, and loan/grant combinations to construct broadband network infrastructure in rural America. The application window for the second round of funding closed on April 15, 2020, and applications are currently under review.

FCC Ready To Authorize CAF II Auction Support For Fond du Lac Communications & Viasat

May 4, 2020 – The FCC’s Rural Broadband Auctions Task Force, Wireline Competition Bureau, and Office of Economics and Analytics have announced they are ready to authorize Connect America Fund Phase II auction support for Fond du Lac Communications, Inc. – 3 winning bids in Minnesota, and Viasat Carrier Services, Inc. – 102 winning bids in Oregon. To receive the 10-year CAF II auction support, the two winning bidders must now submit acceptable irrevocable stand-by letters of credit and Bankruptcy Code opinion letters prior to 6:00 p.m. ET on Monday, May 18, 2020. The Wireline Competition Bureau also announced that Viasat received a waiver of the requirement that CAF II auction winning bidders certify they are eligible telecommunications carriers (ETCs) in all bid areas and submit appropriate documentation by February 25, 2019. Viasat filed an application for designation as an ETC with the Oregon PUC on September 26, 2018, which was within 30 days of the release of the CAF II Auction 903 Closing Public Notice. The Oregon PUC approved Viasat’s ETC application on November 25, 2019, but excluded Tribal lands from the ETC designation. Under the Oregon PUC’s ETC rules, each Tribe in a proposed ETC area must indicate that it supports or does not oppose a grant of ETC designation within its specific Tribal lands. Viasat has not received this evidence. Accordingly, Viasat’s 102 ready-to-be-authorized  CAF II winning bids cover non-Tribal areas in Oregon. Once Viasat receives the relevant evidence, Viasat may request the Oregon PUC expand its ETC designation to cover the Tribal areas, and subsequently, may request the Bureau authorize CAF II support for the areas.

USAC Files USF Support Mechanisms Fund Size Projections For Third Quarter Of 2020

May 1, 2020 – The Universal Service Administrative Company has filed the Federal Universal Service Support Mechanisms Fund Size Projections for the Third Quarter of 2020. The filing shows the following total projected 3Q 2020 funding requirements for each support mechanism:

• High Cost Support Mechanism - $1.205 billion

• Low Income Support Mechanism - $206.66 million

• Rural Health Care Support Mechanism - $150.96 million

• Schools and Libraries Support Mechanism - $554.76 million

USAC projects $60.24 million in administrative costs for 3Q 2020, which breaks out to $35.75 million in direct costs for all four support mechanisms, and $24.49 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.

Keep Americans Connected Pledge Extended To June 30, 2020

May 1, 2020 – FCC Chairman Ajit Pai has announced that he has asked broadband providers to extend their commitments to the Keep Americans Connected Pledge until June 30, 2020. Since officially launching the pledge on March 13, 2020, more than 700 broadband and telephone service providers have committed to keeping Americans connected to broadband and telephone service as the U.S. endures the novel coronavirus pandemic. The Keep Americans Connected Pledge reads as follows:

Given the coronavirus pandemic and its impact on American society, [[Company Name]] pledges for the next 60 days to:

(1) not terminate service to any residential or small business customers because of their inability to pay their bills due to the disruptions caused by the coronavirus pandemic;

(2) waive any late fees that any residential or small business customers incur because of their economic circumstances related to the coronavirus pandemic; and

(3) open its Wi-Fi hotspots to any American who needs them.

In addition to the express terms of the Keep Americans Connected Pledge, FCC Chairman Pai has urged companies with low-income broadband programs to expand them, and has urged companies without such programs, to adopt them. Chairman Pai has also called on broadband providers to relax their data usage limits in appropriate circumstances and take steps to promote remote learning and telehealth. More information on the Keep Americans Connected Pledge is available online from the FCC.

April 2020

CAF II Auction Winner Fond Du Lac Communications Receives ETC Designation In Minnesota

April 27, 2020 – The FCC’s Wireline Competition Bureau (WCB) has designated Fond du Lac Communications, Inc. as an eligible telecommunications carrier (ETC) in areas within Minnesota where Fond du Lac was awarded support from the Connect America Fund (CAF) Phase II auction. Because Fond du Lac is not subject to the Minnesota Public Utility Commission’s regulatory authority, the WCB, acting on delegated authority from the FCC, designated Fond du Lac as an ETCs. Fond du Lac applied for ETC designation within the boundaries of the Fond du Lac Band of Lake Superior Chippewa Reservation, which includes most census blocks where Fond du Lac is eligible to receive Phase II auction support and other additional areas. It also applied for ETC designation in limited areas outside the Reservation, which includes a few census blocks eligible for CAF Phase II support. The WCB found Fond du Lac met all applicable conditions and prerequisites for ETC designation. Fond du Lac’s ETC designation is effective only upon its authorization to receive CAF II auction support. In areas where FDLCI is not eligible to receive CAF Phase II auction support, it has been designated as a Lifeline-only ETC.

FCC Expected To Revoke Authorizations Of Four Companies With Ties To the Chinese Communist Government

April 24, 2020 – The Federal Communications Commission has issued Orders to Show Cause against four companies that are believed to be subject to the ownership and control of the Chinese communist government: China Telecom Americas, China Unicom Americas, Pacific Networks, and ComNet. Each company must explain why the FCC should not start the process of revoking their domestic and international section authorizations which enable them to operate in the United States.

China Telecom (Americas) Corporation (China Telecom Americas) is directed to show cause why the Commission should not initiate a proceeding to revoke and terminate China Telecom Americas’ domestic and international section 214 authorizations issued pursuant to Section 214 of the Communications Act and to reclaim China Telecom Americas’ International Signaling Point Codes (ISPCs) given, among other things, the views of the Executive Branch that there are “substantial and unacceptable national security and law enforcement risks associated with [China Telecom Americas’] continued access to U.S. telecommunications infrastructure pursuant to its international Section 214 authorizations. China Telecom Americas has 30 calendar days to file its response.

China Unicom (Americas) Operations Limited (China Unicom Americas) is directed to show cause why the Commission should not initiate a proceeding to revoke China Unicom Americas’ domestic and international section 214 authorizations issued pursuant to Section 214 of the Communications Act and to reclaim China Unicom Americas’ International Signaling Point Codes. China Unicom Americas has 30 calendar days to file its response.

Pacific Networks Corp. (Pacific Networks) and its wholly owned subsidiary, ComNet (USA) LLC (ComNet), is directed to show cause why the Commission should not initiate a proceeding to revoke and terminate their domestic and international Section 214 authorizations issued pursuant to Section 214 of the Communications Act and to reclaim ComNet’s International Signaling Point Codes. Pacific Networks and ComNet have 30 calendar days to file their responses.

FCC 2020 Broadband Deployment Report Finds U.S. Broadband Deployment Sufficient

April 24, 2020 – The FCC has released its annual Broadband Deployment Report for 2020, and for the third consecutive year, has concluded that advanced telecommunications capability is being deployed on a reasonable and timely basis. Pursuant to Section 706 of the Telecommunications Act of 1996, the FCC is required to determine annually whether advanced telecommunications capability is being deployed to all Americans “in a reasonable and timely fashion.” Among other things, the 2020 Broadband Deployment Report includes the following key statistics:

• The number of Americans lacking access to fixed terrestrial broadband service at 25/3 Mbps continues to decline, going down by more than 14% in 2018 and more than 30% between 2016 and 2018.

• The number of Americans without access to 4G LTE mobile broadband with a median speed of 10/3 Mbps fell approximately 54% between 2017 and 2018.

• The vast majority of Americans—surpassing 85%—now have access to fixed terrestrial broadband service at 250/25 Mbps, a 47% increase since 2017, with the number of rural Americans having access to 250/25 Mbps fixed terrestrial broadband service more than tripling between 2016 and 2018.

FCC Approves $9 Billion 5G Fund Notice of Proposed Rulemaking

April 24, 2020 – The FCC has adopted a Notice of Proposed Rulemaking that kicks off a proceeding “to establish a 5G Fund for Rural America, which would use multi-round reverse auctions to distribute up to $9 billion, in two phases, over the next decade and beyond to bring voice and 5G broadband service to rural areas of [the] country that are unlikely to see unsubsidized deployment of 5G-capable networks.” Phase I of the 5G Fund would target at least $8 billion of support to rural areas that would be unlikely to see timely deployment of voice and 5G broadband service absent high-cost support or as part of T-Mobile’s transaction-related commitments. The NPRM specifically seeks comment on two options for identifying areas that would be eligible for Phase I 5G Fund support. Phase II would target support to bring wireless connectivity to harder to serve and higher cost areas, such as farms and ranches, and make at least $1 billion available specifically aimed at deployments that would facilitate precision agriculture. Comments in response to the NPRM are due 30 days after the NPRM is published in the Federal Register, and reply comments are due 60 days after publication.

In an Order accompanying the NPRM, the FCC directed the Office of Economics and Analytics and the Wireline Competition Bureau to propose and seek public comment on methodologies for use of an adjustment factor and for disaggregation of legacy high-cost support for mobile carriers and to implement those methodologies to the extent such action is supported by the resulting record and is consistent with the outcome of the 5G Fund proceeding. The Order also closes WT Docket No. 10-208, the Mobility Fund Phase II proceeding, and opens the 5G Fund proceeding, GN Docket No. 20-104.

FCC Releases Tentative Agenda For May 13 Open Meeting

April 22, 2020 – FCC Chairman Ajit Pai has announced the following tentative agenda for the FCC’s next open meeting scheduled for Wednesday, May 13, 2020:

Transitioning the 900 MHz Band to Enable Broadband Deployment – The FCC will consider a Report and Order that would realign the 900 MHz band to create a new six megahertz broadband segment to support the growing technological needs of our nation’s industries, while reserving the remaining four megahertz of the band for narrowband operations. (WT Docket No. 17-200)

Facilitating Deployment of Satellite Earth Stations in Motion – The FCC will consider a Second Report and Order and Report and Order addressing rules to facilitate the deployment of geostationary-satellite orbit and non-geostationary-orbit fixed-satellite service earth stations that operate while in motion. (IB Docket Nos. 17-95, 18-315)

Revising Broadcaster Rules on Public Notice of Filing Applications – The FCC will consider a Report and Order that would modernize and simplify the written and on-air public notices broadcasters must provide upon the filing of certain applications. (MB Docket Nos. 17-264, 17-105, 05-6)

Modernizing Regulatory Fee Rules to Level the Playing Field and Initiating the FY2020 Process – The FCC will consider a Report and Order and Notice of Proposed Rulemaking.  The Report and Order would level the playing field between domestic and foreign licensed space stations by assessing a regulatory fee on non-U.S. licensed space stations with United States market access. The Notice of Proposed Rulemaking initiates the FCC’s annual regulatory fee proceeding. (MD Docket Nos. 20-105, 19-105)

DMCA Lawsuit Update: District Court Allows Vicarious Copyright Infringement Claims Against Charter To Go Forward

April 19, 2020 – The U.S. District Court for the District of Colorado has issued an Order in Warner Records Inc. et al. v. Charter Communications, Inc., rejecting Charter’s motion to dismiss the plaintiff’s vicarious copyright infringement claim. The District Court’s Order adopts wholesale the recommendations from the Magistrate’s October 2019 order. The plaintiffs – a group of the largest recording companies (i.e., Universal, Warner, Sony) – filed a copyright infringement lawsuit against Charter in 2019, alleging Charter, through the provision of high-speed broadband service, “has knowingly contributed to, and reaped substantial profits from, massive copyright infringement committed by thousands of its subscribers.” The plaintiffs allege Charter is liable as (1) “a contributory copyright infringer,” and (2) “a vicarious copyright infringer” for the direct infringements of its subscribers.

Charter filed a motion to dismiss the vicarious liability claims, arguing the record company plaintiffs failed to allege (1) a causal connection between the alleged infringement and its profits and, thus, failed to show a direct financial interest in any infringing activities; and (2) that Charter maintained the right and ability to control infringement by its subscribers. Charter’s motion was sent to a U.S. Magistrate Judge that recommended it be denied. Charter objected to both findings.

The District Court adopted the Magistrate’s decision. With respect to the financial benefit element of vicarious liability, the District Court concluded a financial benefit exists where the availability of infringing material acts as a draw for customers and the size of the “draw” relative to a defendant’s overall business is immaterial. The District Court then found the ability to supervise the infringing activity element of vicarious liability was satisfied. The Court said Charter might not have “the ability to identify and terminate all users who infringe on plaintiffs’ copyrighted materials,” but “Charter does not argue that it lacked the ability to terminate some users, such as those identified in plaintiffs’ infringement notices, and that is enough.” The case now moves forward with both the contributory infringement and vicarious infringement claims intact.

SpaceX Wants To Operate Starlink Satellites At Lower Altitudes

April 17, 2020 – Space Exploration Holdings, LLC – SpaceX – has filed an application with the FCC’s International Bureau asking for permission to modify its current FCC authorization to operate its Starlink satellite network at lower altitudes. More specifically, SpaceX is seeking permission to operate all 4,400 of its planned Starlink satellites at altitudes ranging from 540 km to 570 km. In its application, SpaceX summarized its request as follows:

Space Exploration Holdings, LLC seeks to modify its Ku/Ka-band NGSO license to relocate satellites previously authorized to operate at altitudes from 1,110 km to 1,325 km down to altitudes ranging from 540 km to 570 km, and to make related changes.

SpaceX announced its plans for the Starlink network in 2015. SpaceX will manufacture, launch, and operate the global network of low Earth orbit communications satellites, with the goal of providing Internet access services in the U.S. and worldwide. SpaceX has already received approval from the ITU and the FCC for 12,000 satellites, which would be the world’s largest low-Earth-orbit satellite constellation. It initially launched 60 Starlink satellites into orbit in May 2019, and currently has over 350 deployed. The next launch of Starlink satellites is scheduled for April 22, 2020.

FCC Releases Procedures For 2020 Annual Access Charge Tariff Filings

April 15, 2020 – The FCC’s Wireline Competition Bureau has released an Order establishing procedures for the 2020 filing of annual access charge tariffs and Tariff Review Plans (TRPs) for incumbent local exchange carriers (ILECs) subject to price cap regulation, as well as rate-of-return LECs subject to Sections 61.38, 61.39, and 61.50 of the FCC’s rules. ILECs are permitted to make their tariff filings either 15 or 7 days prior to the scheduled effective date of their tariff revisions, depending on the type of changes the tariffs propose.

15-Day Notice: ILECs filing tariffs on 15 days’ notice must make their annual tariff filings on June 16, 2020, for an effective date of July 1, 2020. Tariff filings must be received by ETFS after 7:00 p.m. Eastern Time on June 15, 2020 and before 7:00 p.m. Eastern Time on June 16, 2020 for the filing to be considered officially received on June 16, 2020. Petitions to suspend or reject 15 days’ notice tariff filings will be due no later than June 23, 2020, and replies will be due no later than June 26, 2020.

7-Day Notice: ILECs filing tariffs on 7 days’ notice must make their annual tariff filings on June 24, 2020, for an effective date of July 1, 2020. Tariff filings must be received after 7:00 p.m. Eastern Time on June 23, 2020 and before 7:00 p.m. Eastern Time on June 24, 2020 for the filing to be considered officially received on June 24, 2020. Petitions to suspend or reject 7 days’ notice tariff filings will be due no later than June 26, 2020, and replies will be due no later than June 29, 2020.

All correspondence and comments in connection with 2020 annual tariff filings should refer to the proceeding’s caption: July 1, 2020 Annual Access Charge Tariff Filings, WC Docket No. 20-55.

FCC Webinar: Rural Digital Opportunity Fund Phase I Auction – May 5th

April 15, 2020 – The FCC’ s Rural Broadband Auctions Task Force has announced it will conduct a webinar on the Rural Digital Opportunity Fund Phase I auction (Auction 904) on Tuesday, May 5, 2020, from 4:00 pm to 5:30 pm EDT. RDOF Phase I, Auction 904, will award up to $16 billion for the deployment of voice and fixed broadband services at speeds of 25/3 Mbps or faster to unserved locations nationwide. Auction 904 is currently scheduled to begin in October 2020. The webinar will provide an overview of the adopted policy framework for Auction 904, the proposed procedures for applications and bidding in the auction, and tips for service providers that are interested in applying to participate in the auction. The webinar can be accessed here.

FCC Authorizes CAF II Auction Funding For Armstrong Telecommunications

April 14, 2020 – The FCC’s Wireline Competition Bureau has authorized Connect America Fund Phase II Auction support for 21 winning bids placed by Armstrong Telecommunications, Inc. in Pennsylvania. The Bureau authorized the support amounts after reviewing the information in Armstrong’s Auction 903 long-form application, including letters of credit and Bankruptcy Code opinion letters. The Universal Service Administrative Company may now obligate and disburse Universal Service Fund support, with payments beginning at the end of April 2020 and continuing until 120 equal monthly payments have been made. Armstrong, like other CAF II auction support recipients, must begin commercially offering broadband service to 40 percent of its requisite number of the locations by the end of the third year of funding, and to an additional 20 percent in each subsequent year, with 100 percent by the end of the sixth year. Additionally, the Bureau has announced it will post a state-level summary under the “Data” tab on the Auction 903 webpage. The summary will provide for each long-form applicant included in this most recent authorization: (1) the total support amount over 10 years and total number of locations that the long-form applicant is being authorized for in each state, (2) the total number of locations to which the authorized support recipient must offer the required voice and broadband services for each performance tier and latency in each state, and (3) the eligible census blocks included in the winning bids that are being authorized in each state

FCC Seeking Comment On How Section 4 Of The Secure And Trusted Communications Networks Act Of 2019 Applies To National Security Proceeding Proposals

April 13, 2020 – The FCC’s Wireline Competition Bureau has released a Public Notice to seek comment on how Section 4 of the Secure and Trusted Communications Networks Act of 2019 applies to proposals under consideration in the FCC’s Protecting Against National Security Threats to the Communications Supply Chain rulemaking and related proceedings. In the November 2019 National Security Report and Order, the FCC adopted a rule that prospectively prohibits the use of universal service fund support to purchase or obtain any equipment or services produced or provided by a covered company posing a national security threat to the integrity of U.S. communications networks or the U.S. communications supply chain. The FCC initially designated Huawei and ZTE as covered companies and established a process for designating additional covered companies in the future.

Reimbursement Program. Section 4 of the Secure Networks Act directs the FCC to establish a reimbursement program for “providers of advanced communications service” replacing covered communications equipment or services, and is largely consistent with the FCC’s proposed a reimbursement program. The Bureau is seeking comment on whether the FCC should modify its proposed reimbursement program to implement these new statutory requirements.

Replacement Equipment. Section 4(d)(1) of the Secure Networks Act directs the FCC to develop a list of physical and virtual communications equipment and services to replace blacklisted equipment and services. In general, comment is sought on how to develop a list of suggested replacement communications equipment and services; possible sources of information; and how often the list should be updated.

Comments are due 15 days after the Public Notice is published in the Federal Register, and reply comments are due 30 days after publication. Comments should be filed in WC Docket 18-89 using the FCC’s Electronic Comment Filing System (ECFS).

AT&T Notifies FCC Of Erroneous Form 477 Broadband Deployment Reports; Roughly 3,600 AT&T Census Blocks In 20 States Should Be Eligible For RDOF Phase I Auction

April 10, 2020 – AT&T has notified the FCC that it incorrectly reported 25/3 Mbps broadband service was available in nearly 3,600 census blocks, and has removed them from its FCC Form 477 reports. AT&T made the filing in response to the FCC’s the Rural Digital Opportunity Fund (RDOF) Phase I auction challenge process. On March 17, 2020, the FCC’s Wireline Competition Bureau released a preliminary list of census blocks deemed initially eligible for the RDOF Phase I auction, which kicked off a limited challenge process to identify census blocks that should not be eligible for support. In AT&T’s case, it reported census blocks which were erroneously labeled as served by its price cap affiliates in parts of 20 U.S. states. Apparently, AT&T incorrectly certified the areas as served with 25/3 Mbps broadband service on FCC Form 477 broadband deployment reports going back to December 2017. The areas are now expected to be eligible for support in the RDOF Phase I auction, unless they are already serviced by another broadband provider.

FCC Report Shows Potential Impact Of 5G Fund Using Existing Data Sources

April 9, 2020 – The FCC’s Rural Broadband Auctions Task Force and Office of Economics and Analytics have released a report detailing the potential impact of the FCC’s 5G Fund to support wireless connectivity in rural America. Specifically, the report shows which areas would be eligible for 5G Fund support based upon existing data sources that identify rural areas. As currently proposed, the 5G Fund for rural America will use multi-round reverse auctions to distribute up to $9 billion, in two phases, over the next decade and beyond to bring voice and 5G wireless broadband service to rural areas of the U.S. that are unlikely to see unsubsidized deployment of 5G-capable networks. At its April 23, 2020 open meeting, the FCC will vote to approve a Notice of Proposed Rulemaking to establish the 5G Fund. Among other things, the NPRM will seek comment on two options for identifying areas that would be eligible for 5G Fund support. Under Option A, the FCC would hold an auction in 2021 by defining eligible areas based on current data sources that identify areas as particularly rural and thus in the greatest need of universal service support. Option B would define eligible areas after collecting and processing improved mobile broadband coverage data through the forthcoming Digital Opportunity Data Collection. The FCC staff’s report shows how much of each state’s area and population could be eligible for 5G funding if Option A is used and the auction proceeds in 2021. The report includes maps showing the potential impact for each state. For example, under Option A, in terms of land area percentage, 92% of Nebraska, 91% of North Dakota, 90% of South Dakota, 89% of Montana, 86% of Wyoming, 85% of Vermont, 85% of Kansas, 83% of Maine, 81% of Colorado, and 81% of Idaho would be potentially eligible to receive funding for 5G service. The FCC has released an online map showing the 5G Fund Option A eligibility analysis.

Executive Order Establishes Committee For The Assessment Of Foreign Participation In The U.S. Telecom Services Sector

April 4, 2020 – President Trump has issued an Executive Order Establishing the Committee for the Assessment of Foreign Participation in the United States Telecommunications Services Sector. The Committee’s primary objective is to assist the FCC in its public interest review of national security and law enforcement concerns that may be raised by foreign participation in the U.S. telecom services sector. Among other things, the Committee will review and assess FCC applications, petitions, or other requests for a license or authorization, or the transfer of a license or authorization to determine whether granting a license or the transfer of a license poses a risk to national security or law enforcement interests of the U.S. The Committee also may review existing licenses to identify any additional or new risks to national security or law enforcement interests of the U.S.

Federal Communications Commission Chairman Ajit Pai issued the following statement on the Executive Order:

I applaud the President for formalizing Team Telecom review and establishing a process that will allow the Executive Branch to provide its expert input to the FCC in a timely manner. Now that this Executive Order has been issued, the FCC will move forward to conclude our own pending rulemaking on reform of the foreign ownership review process. As we demonstrated last year in rejecting the China Mobile application, this FCC will not hesitate to act to protect our networks from foreign threats. At the same time, we welcome beneficial investment in our networks and believe that this Executive Order will allow us to process such applications more quickly.

Tennessee Announces $19.7 Million In Broadband Accessibility Grants

April 3, 2020 – Tennessee Governor Bill Lee and Department of Economic and Community Development Commissioner Bob Rolfe have announced $19.7 million in broadband accessibility grants that will expand service to support 31,000 unserved Tennesseans in nearly 12,700 households and businesses. The following entities received grants:

• Ben Lomand Connect: $2,000,000 serving parts of Cumberland County

• BTC Fiber:  $1,500,000 serving parts of Bledsoe County

• Charter Communications (Spectrum):  $140,433 serving parts of Henderson County

• Comcast:  $568,509.64 serving parts of Cheatham and Dickson Counties

• Fayetteville Public Utilities: $1,750,000 serving parts of Lincoln County

• Forked Deer Electric Cooperative: $719,921 serving parts of Haywood and Lauderdale Counties

• Gibson Electric Membership Corporation: $703,518 serving parts of Obion County

• HolstonConnect, LLC: $361,211 serving the Mooresburg community in Hamblen and Hawkins Counties

• Meriwether Lewis Electric Cooperative: $593,166 serving parts of south Perry County

• PVECFiber and Scott County Telephone Cooperative: $1,908,811.24 serving part of Union County

• SVEConnect: $1,654,882 serving the Battle Creek and South Pittsburg Mountain communities in Marion County

• Southwest Tennessee Electric Membership Cooperative: $1,768,686 serving parts near the Brownsville community in Haywood County

• TEC: $826,677.45 serving parts of the Buena Vista and McLemoresville communities in Carroll County

• Tri-County Fiber Communications, LLC: $501,811 serving parts of Trousdale County

• Twin Lakes Telephone Cooperative: $1,406,000 serving parts of Fentress and Overton Counties

• United Communications: $1,331,504.80 serving the Eagleville community in rural Rutherford and Williamson Counties

• West Kentucky and Tennessee Telecommunications Cooperative: $2,000,000 serving parts of Weakley County

The 17 broadband grant recipients will provide $29.8 million in matching funds to complete their projects for a combined investment of $49.5 million. Grantees are required to have service operational within two years of receiving the grant funds. The Tennessee Broadband Accessibility Grant Program is in its third year. The goal of the program is to facilitate broadband access to all Tennesseans while promoting practices that increase deployment and encourage adoption, and is designed to offset the capital expenses in the deployment of broadband in unserved areas. Governor Lee has included $25 million in his fiscal year 2021 recommended budget to continue the broadband grant program.

SiyCom Purchasing 3 Rivers Assets Covering Blackfeet Nation Reservation In Montana

April 3, 2020 – The FCC’s Wireline Competition Bureau is seeking comment on an application filed by 3 Rivers Telephone Cooperative, Inc. and Siyeh Communications requesting approval of SiyCom’ acquisition of certain 3 Rivers assets in the Browning Exchange in Montana. As explained in the Section 214 application, 3 Rivers, a cooperative headquartered in Fairfield, Montana, is an incumbent local exchange carrier (LEC) that operates in 26 exchanges, as well as two competitive LEC exchanges in Montana. SiyCom, headquartered in Browning, Montana, is the communications provider of the Blackfeet Nation, and currently provides broadband services to approximately 179 subscribers. SiyCom is a wholly-owned subsidiary of Siyeh Corporation, a federally chartered corporation owned by the Blackfeet Nation, whose mission is to promote economic development, produce revenue and employment opportunities and promote self-determination by members of the Blackfeet Nation. Through an Asset Purchase Agreement between 3 Rivers and SiyCom, SiyCom will acquire substantially all of the assets of 3 Rivers in the Browning Exchange in Montana, including, but not limited to, its telecommunications facilities, customer databases, and associated contracts. Comments on the application are due on or before April 17, 2020, and reply comments are due April 24, 2020.

FCC Orders Three VoIP Gateway Providers To Cease Transmitting Scam COVID-19-Related Robocall Traffic

April 3, 2020 – The FCC and FTC have sent letters to three VoIP Gateway Providers – SIPJoin of Suffolk, Virginia; Connexum of Orange, California; and VoIP Terminator/BLMarketing of Lake Mary, Florida – directing them to immediately cease routing and transmitting scam COVID-19-related robocall traffic. One scam robocall campaign offers a non-existent “free test kit” for COVID-19 (originating in the Philippines), while a second offers HVAC cleaning services that robocallers falsely claim will help fight COVID-19 (originating in Pakistan). If after 48 hours, any of the three gateway providers continues to route or transmit the identified scam robocall traffic, the FCC will authorize U.S. voice providers to block all calls from the provider and take any other steps as needed to prevent further transmission of unlawful calls. The three VoIP Gateway Providers transmitting the scam robocalls were identified by the USTelecom Industry Traceback Group, a collaborative effort of companies across the wireline, wireless, VoIP, and cable industries that actively trace and identify the source of illegal robocalls.

FCC Waives Broadband Network Pre-Testing Sample Size Requirements For CAF II Model-Based Support Recipients

April 3, 2020 – Due to the coronavirus pandemic, the FCC has waived, on its own motion, certain network performance pre-testing requirements for recipients of Connect America Fund (CAF) Phase II model-based support. Specifically, the waiver allows broadband providers to test less than the required number of subscriber locations during the pre-test period if testing would require installation of new equipment inside subscribers’ premises. In the October 2019 Performance Measures Order On Reconsideration, the FCC set a framework for measuring speed and latency performance that applies to fixed broadband service providers receiving high-cost universal service fund support to serve fixed locations, along with specific start dates for pre-testing and official testing. Price-cap carriers receiving CAF Phase II model-based support were required to begin pre-testing on January 1, 2020, with testing beginning July 1, 2020. The Bureau’s decision waives the pre-testing sample size requirements for CAF Phase II model-based support recipients to the extent needed to avoid any additional in-home installations by carrier technicians.

FCC Releases Tentative Agenda For April 23rd Open Meeting

April 2, 2020 – Federal Communications Commission Chairman Ajit Pai has announced the tentative agenda for the FCC’s April 23rd open meeting:

Unlicensed Use of the 6 GHz Band – The FCC will consider a Report and Order and Further Notice of Proposed Rulemaking that would promote innovation and the use of mid-band spectrum for broadband by allowing unlicensed operations in the 5.925-7.125 GHz band while protecting existing licensed operations. (ET Docket No. 18-295; GN Docket No. 17-183)

Proposing the 5G Fund for Rural America – The FCC will consider a Notice of Proposed Rulemaking and Order that would propose to establish the 5G Fund for Rural America, awarding up to $9 billion in support over 10 years for the deployment of 5G mobile broadband services in rural areas. (GN Docket No. 20-32)

Mitigation of Orbital Debris in the New Space Age – The FCC will consider a Report and Order and Further Notice of Proposed Rulemaking that would comprehensively update the Commission’s orbital debris rules for all Commission-authorized satellites. (IB Docket No. 18-313)

ViaSat Market Access Request – The FCC will consider an Order and Declaratory Ruling that would grant ViaSat’s request for U.S. market access to offer broadband services using a proposed constellation of non-geostationary orbit satellites. (IBFS File Nos. SAT-PDR-20161115-00120 and SAT-APL-20180927-00076)

Improving Low Power FM Radio – The FCC will consider a Report and Order that would modernize the LPFM technical rules to provide more regulatory flexibility for licensees. (MB Docket Nos. 19-193, 17-105)

Expanding Availability of Video Description – The FCC will consider a Notice of Proposed Rulemaking that would propose to expand video description requirements to 40 additional local television markets over the next four years to increase the accessibility of programming to blind and visually impaired Americans. (MB Docket No. 11-43)

Tracfone Fined $6 For Violating Lifeline Program Rules

April 2, 2020 – The FCC has proposed a $6,013,000 fine against prepaid wireless provider TracFone Wireless for apparently claiming federal Lifeline funding for customers who were not actually determined to be eligible for the program. As explained in the FCC’s Notice Of Apparent Liability For Forfeiture And Order, agents of TracFone, which provides service under the SafeLink Wireless brand, “apparently fabricated subscriber data in Florida and sought reimbursement for ineligible subscribers in Texas, causing TracFone to return $1,272,754 in improperly received Lifeline support.” Among other things, the FCC’s Enforcement Bureau found that TracFone claimed support for seven customers in Florida at different addresses using the same name, all seven of whom had birth dates in July 1978 and shared the same last four Social Security Number digits. The sales agents were apparently given commissions for new Lifeline subscriber enrollments. In Texas, TracFone apparently sought reimbursement for thousands of ineligible subscribers, and claimed more Lifeline support than was authorized by the Public Utility Commission of Texas, which is responsible for making subscriber eligibility determinations in that state. The $6 million fine is based on 5,738 apparently improper claims for funding that TracFone made in June 2018 and includes an upward adjustment in light of the company’s egregious conduct in Florida.

Supply Chain Information Collection Responses Now Due May 22nd

April 2, 2020 – The FCC’s Wireline Competition Bureau and Office of Economics and Analytics have provided a 30-day extension of time for filers to complete the Supply Chain Information Collection. Responses are now due on May 22, 2020. In February, the FCC commenced of an information collection on the use of Huawei Technologies Company and ZTE Corporation equipment and services in U.S. communications networks. Pursuant to the FCC’s 2019 Supply Chain Order, Eligible Telecommunications Carriers (ETCs) must report the extent to which their networks contain or use potentially prohibited equipment or services provided by Huawei, ZTE, or their subsidiaries, parents, or affiliates, and the costs associated with removing such equipment and replacing it with equivalent equipment. The portal for ETCs to submit information is available at www.fcc.gov/supplychain. The information collection is mandatory for all ETCs and their subsidiaries and affiliates. ETCs that do not use equipment or services from Huawei or ZTE are required to report that they do not use such equipment or services.

FCC Chairman Circulates Draft NPRM To Establish $9 Billion Rural 5G Fund

April 1, 2020 – Federal Communications Commission Chairman Ajit Pai has announced he has circulated a draft Notice of Proposed Rulemaking to establish a $9 billion 5G Fund to support wireless connectivity in rural America. In December 2019, Chairman Pai announced the plan for a 5G Fund to replace the FCC’s Mobility Fund Phase II, which was terminated after FCC staff determined coverage data submitted by mobile wireless providers as part of a challenge process was unreliable. According to the FCC News Release, the proposed “5G Fund would specifically target rural areas that would not see timely deployment of 5G service absent support and are not likely to be covered by the T-Mobile transaction commitments.” The NPRM will seek comment on two options for identifying areas that would be eligible for 5G Fund support:

Under one approach for Phase I, the Commission would hold an auction in 2021 by defining eligible areas based on current data sources that identify areas as particularly rural and thus in the greatest need of universal service support. In recognition of the challenges of ensuring that 5G service is deployed to areas that lack any mobile broadband service, the proposal would prioritize areas that have historically lacked 4G LTE or 3G service.

The second approach would delay the 5G Fund Phase I auction until at least 2023, after collecting and processing improved mobile broadband coverage data through the Commission’s new Digital Opportunity Data Collection.

The NPRM proposes to award 5G funding through a reverse auction, and would make at least $1 billion available for deployments that would facilitate precision agriculture. The FCC will vote to adopt and release the NPRM at its April 23 open meeting.

FCC Chairman Proposes Opening Up 6 GHz Band For Unlicensed Use

April 1, 2020 – FCC Chairman Ajit Pai has circulated a Report and Order and Notice of Proposed Rulemaking that would permit unlicensed use in the 6 GHz band. The item will be voted on at the FCC’s April 23rd open meeting. The Report and Order, if adopted, will make 1,200 megahertz of spectrum available for unlicensed use, and will authorize two different types of unlicensed operations: standard-power in 850-megahertz of the band, and indoor low-power operations over the full 1,200-megahertz available in the 6 GHz band. The FNPRM proposes to permit very low-power devices to operate across the 6 GHz band, to support high data rate applications including high-performance, wearable, augmented-reality and virtual-reality devices. Among other things, it seeks comment on making a contiguous 1,200-megahertz block of spectrum available for the development of new and innovative high-speed, short-range devices and on power levels and other technical and operational measures to avoid causing interference to incumbent services.

FCC To Eliminate And Detariff Interstate Access Charges, Prohibit Carriers From Listing Them On Customer Bills

April 1, 2020 – The FCC has issued a Notice of Proposed Rulemaking that proposes to deregulate and detariff end user interstate access charges, and prohibit carriers from separately listing those charges on customers’ bills. Specifically, the NPRM proposes to eliminate and require detariffing of the following access charges: the Subscriber Line Charge, the Access Recovery Charge, the Presubscribed Interexchange Carrier Charge, the Line Port Charge, and the Special Access Surcharge. The NPRM also proposes modifications to the FCC’s truth-in-billing rules to explicitly prohibit carriers from assessing any separate access charges on customers’ bills after those charges are deregulated and detariffed. Comments in response to the NPRM are due 45 days after the NPRM is published in the Federal Register, and reply comments are due 75 days after publication.

March 2020

USDA Extends ReConnect Pilot Program 2nd Round Application Window To April 15

March 30, 2020 – The U.S. Department of Agriculture has announced it has extended the application window for the ReConnect Pilot Program’s second round of funding to April 15th. Applicants have until midnight, based on the time zone the applicant is located in, on April 15, 2020, to submit their applications. USDA’s Broadband ReConnect Pilot Program provides loans and grants for the costs of construction, improvement, or acquisition of facilities and equipment needed to provide broadband service in eligible rural areas. To date, USDA has provided $621 million in ReConnect Pilot Program broadband funding to create or improve connectivity for rural Americans across 31 states.

FCC Grants WISPs Emergency Authorization To Use 5.8 GHz Band Spectrum

March 27, 2020 – The FCC has granted a Special Temporary Authorization (STA) to 33 wireless Internet service providers (WISPs) to operate in the 5.8 GHz (5850-5895 MHz) band at various locations throughout the U.S. for 60 days. Each WISP’s use of the 45 MHz of spectrum is authorized on a secondary, non-interference basis, but each is required to first file an FCC Form 601 application within 10 days of the STA grant. The WISPs requested use of the spectrum to help deal with increased broadband consumption by subscribers due to the coronavirus pandemic.

FTC Warns VoIP Providers About Facilitating Illegal Coronavirus Robocalls

March 27, 2020 – The Federal Trade Commission (FTC) sent letters to nine VoIP service providers and other companies warning them that assisting and facilitating illegal telemarketing or robocalls related to the coronavirus pandemic is against the law. Letters were sent to the following companies: (1) VoIPMax; (2) SipJoin Holding, Corp.; (3) iFly Communications; (4) Third Rock Telecom; (5) Bluetone Communications, LLC; (6) VoIP Terminator, Inc., also known as BLMarketing; (7) J2 Web Services, Inc.; (8) VoxBone US LLC; and (9) Comet Media, Inc. Each letter warns the recipient that the FTC may take legal action against them if they assist a seller or telemarketer who they know, or consciously avoid knowing, is violating the FTC’s Telemarketing Sales Rule (TSR).

FCC Delays 3550-3650 MHz CBRS Band Spectrum Auction To July 23rd

March 25, 2020 – The FCC has postponed Auction 105, the auction of Priority Access Licenses in the 3550-3650 MHz band. Bidding in Auction 105 is now set to begin on July 23, 2020. Other important deadlines have been revised as follows:

• Short-Form Application Filing Window Opens: April 23, 2020, 12:00 p.m. ET

• Short-Form Application Filing Window Deadline: May 7, 2020, 6:00 p.m. ET

• Upfront Payments: June 19, 2020, 6:00 p.m. ET

• Mock Auction: July 20, 2020

Auction 105 will assign up to seven PALs in each county-based license area, for a total of 22,631 PALs nationwide. Each PAL will consist of a 10-megahertz unpaired channel. PALs are 10-year renewable licenses. The auction format will be an ascending clock auction, similar to that used in Auctions 102 and 103, in which bidders indicate their demands for generic license blocks in specific counties. However, there will not be an assignment phase.

FCC March 31 Open Meeting Will Be Online Only

March 24, 2020 – The Federal Communications Commission will hold its March 31, 2020 open meeting in a wholly electronic format due to the current COVID-19 pandemic. The meeting will be open to the public on the Internet via live feed from the FCC’s web page at www.fcc.gov/live and on the FCC’s YouTube channel. It is scheduled to begin at 10:30 a.m. ET. The agenda items are expected to be voted on circulation prior to the meeting.

Families First Coronavirus Response Act – Emergency Paid Sick Leave Act

March 18, 2020 – The President has signed into law the Families First Coronavirus Response Act, which among other things, provides emergency paid sick leave for some American workers. Specifically, Division E of the Families First Coronavirus Response Act, the Emergency Paid Sick Leave Act, requires certain employers to give paid sick time to employees who are unable to work or telework because of six different coronavirus-related circumstances. These include employees who cannot work because they or their children are or may be infected with the virus, or employees who must care for their children due to school or daycare closures.

Challenges To Preliminary List Of RDOF Phase I Auction Eligible Areas Due April 10

March 17, 2020 – The FCC’s Wireline Competition Bureau has released a preliminary list of census blocks that have been deemed initially eligible for the Rural Digital Opportunity Fund (RDOF) Phase I auction. The list begins a limited challenge process to give parties an opportunity to identify by April 10, 2020, census blocks that should not be eligible for support, which fall into one of the three following categories:

• FCC Form 477 Filers – Current FCC Form 477 filers should identify as ineligible any census blocks that have become served with voice and 25/3 Mbps or better broadband services since June 30, 2019, in order to address the lag between the time when areas became served and the time that service is reflected in publicly available Form 477 data.

• Subsidized Census Blocks – Parties are invited to identify specific census blocks that have been awarded funding by a federal or state broadband subsidy.

• Rate-of-Return Carriers – Rate-of-return carriers have the opportunity to identify any census blocks within their service areas as ones where they do not expect to extend broadband in satisfaction of their USF deployment obligations; i.e., moving census blocks from ineligible to potentially eligible, subject to other eligibility criteria.

The Bureau will not entertain challenges from parties seeking to establish that a census block is unserved if the census block is reported as served on a certified Form 477 as of June 30, 2019 or later. Challenges must be filed on or before April 10, 2020. All filings are to reference WC Docket No. 19-126, and may be filed using the FCC’s Electronic Comment Filing System (ECFS) or by filing paper copies.

FCC Releases Preliminary List Of Rural Digital Opportunity Fund Phase I Auction Eligible Areas

March 17, 2020 – The FCC’s Wireline Competition Bureau has released a preliminary list of census blocks and a map of areas that have been deemed initially eligible for the Rural Digital Opportunity Fund (RDOF) Phase I auction. To identify the preliminary eligible areas, the Bureau used the Connect America Cost Model with updated coverage data using the most recent publicly available FCC Form 477 data to identify census blocks that are unserved with broadband at speeds of at least 25/3 Mbps. For illustrative purposes, the Bureau has also released a list of the associated census block groups and reserve prices, and a list of the associated census tracts and reserve prices. The list of RDOF Phase I auction eligible census blocks, census block groups, and census tracts can be found at www.fcc.gov/auction/904. The map of eligible areas can be found at https://www.fcc.gov/reports-research/maps/auction-904-preliminary-eligible-areas.

FCC Commissioner Michael O’Rielly Asks RUS To Revise ReConnect Program Award Criteria

March 16, 2020 – FCC Commissioner Michael O’Rielly has sent a letter to the administrator of  USDA’s Rural Utilities Service (RUS) to express concern about the way the RUS ReConnect Program will award broadband funding during its second round. Commissioner O’Rielly believes certain aspects of the ReConnect Program’s selection “criteria are likely to result in potentially wasteful or problematic spending.” These include the following:

• (1) the decision to lower the threshold at which an area must be unserved to be eligible for a 100 percent grant from 100 percent unserved to 90 percent unserved;

• (2) a lack of consistent and transparent practices governing the challenge process;

• (3)the absence of comprehensive measures to exclude from eligibility areas already subject to enforceable deployment obligations; and

• (4) the decision to disproportionately favor fiber technology in the application scoring process.

Commissioner O’Rielly has asked RUS to consider appropriate programmatic revisions as “[it] move[s] toward awarding further funding or designing future ReConnect Program rounds.”

FCC Chairman Launches Coronavirus Broadband Connectivity Initiative: Keep Americans Connected Pledge

March 13, 2020 – FCC Chairman Ajit Pai has launched the Keep Americans Connected Pledge, an initiative aimed at keeping Americans connected to broadband and telephone service as the U.S. endures the coronavirus outbreak. The Keep Americans Connected Pledge reads as follows:

Given the coronavirus pandemic and its impact on American society, [[Company Name]] pledges for the next 60 days to:

(1) not terminate service to any residential or small business customers because of their inability to pay their bills due to the disruptions caused by the coronavirus pandemic;

(2) waive any late fees that any residential or small business customers incur because of their economic circumstances related to the coronavirus pandemic; and

(3) open its Wi-Fi hotspots to any American who needs them.

Shortly after launching the initiative, Chairman Pai received commitments from some of the largest ISPs in the nation, as well as small ISPs that serve the nation’s rural areas. In addition to the Keep Americans Connected Pledge, Chairman Pai is calling on broadband providers to relax their data cap policies in appropriate circumstances, on telephone carriers to waive long-distance and overage fees in appropriate circumstances, on those that serve schools and libraries to work with them on remote learning opportunities, and on all network operators to prioritize the connectivity needs of hospitals and healthcare providers.

USF Contribution Factor Set At 19.6 Percent For Second Quarter Of 2020

March 13, 2020 – The Federal Communications Commission’s Office of Managing Director has announced that the proposed universal service fund (USF) contribution factor for the Second quarter of 2020 will be 19.6 percent. This is a slight decrease from the 21.2 percent contribution factor that was used for the first quarter of 2020. For the second quarter of 2020, the Universal Service Administrative Company (USAC) projects $10.86513 billion in total interstate and international end-user telecommunications revenues will be collected. USAC estimates that $1.765460 billion is needed to cover the total demand and expenses for all Federal universal service support mechanisms in the Second quarter of 2020. 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.

USDA Extends ReConnect Pilot Program 2nd Round Application Window

March 12, 2020 – The U.S. Department of Agriculture has announced that it has extended the application window for the ReConnect Pilot Program’s second round of funding to March 31. Specifically, the application window is extended until midnight, based on the time zone the applicant is located in, on March 31, 2020. A full description of 2020 ReConnect Pilot Program funding is available from the Funding Opportunity Announcement (FOA) and solicitation of applications for second round of the ReConnect Program. Additional information about eligibility, technical assistance, and recent announcements is available at www.usda.gov/reconnect.

FCC Tentative Agenda For March 31st Open Meeting

March 10, 2020 – FCC Chairman Ajit Pai announced has announced the following tentative agenda for the FCC’s March 31, 2020 open meeting:

• Mandating STIR/SHAKEN to Combat Spoofed Robocalls – The FCC will consider a Report and Order and Further Notice of Proposed Rulemaking that would (1) adopt rules requiring originating and terminating voice service providers to implement the STIR/SHAKEN caller ID authentication framework in the Internet Protocol portions of their networks; and (2) propose additional measures to combat illegal spoofing, including measures to implement portions of the TRACED Act. (WC Dockets Nos. 17-97, 20-67)

• Amending Distributed Transmission System Rules to Facilitate Next Generation TV – The FCC will consider a Notice of Proposed Rulemaking that would seek comment on whether to modify the Commission’s rules governing the use of distributed transmission systems by broadcast television stations. (MB Docket No. 20-74; GN Docket No. 16-142)

• Defining Significantly Viewed Local TV Stations – The FCC will consider a Notice of Proposed Rulemaking that would seek comment on whether to update the methodology for determining whether a television broadcast station is “significantly viewed” in a community outside of its local market. (MB Docket Nos. 20-73, 17-105)

• Revising Program Carriage Rules and Part 76 Review Procedures – The FCC will consider a Further Notice of Proposed Rulemaking and Notice of Proposed Rulemaking that would seek comment on whether to modify the Commission’s rules governing the resolution of program carriage disputes between video programming vendors and multichannel video programming distributors. (MB Docket Nos. 20-70, 11-131, 17-105)

• Detariffing Telephone Access Charges and Simplifying Consumer Bills – The FCC will consider a Notice of Proposed Rulemaking that would propose to (1) eliminate ex ante pricing regulation and require detariffing of various end-user charges associated with interstate access service, and (2) prohibit carriers from separately listing these charges on customers’ telephone bills. (WC Docket No. 20-71)

The FCC March 31, 2020 open meeting is scheduled to begin at 10:30 a.m. EDT in the Commission Meeting Room (Room TW-C305) of the FCC, 445 12th Street, S.W., Washington, D.C. The meeting is open to the public, and will be streamed live online at www.fcc.gov/live.

FCC To Adopt Rules Requiring STIR/SHAKEN Implementation By June 30, 2020

March 6, 2020 – FCC Chairman Ajit Pai has announced that the FCC will vote on a Report and Order and Further Notice of Proposed Rulemaking to address spoofed robocalls at the next FCC open meeting. If adopted, the new rules would require originating and terminating voice service providers to implement STIR/SHAKEN in the Internet Protocol (IP) portions of their networks by June 30, 2021. The FNPRM proposes giving one-year extensions of the deadline for small and rural providers pursuant to the TRACED Act. The Further Notice also seeks public input on implementing other aspects of the TRACED Act, including requirements that voice service providers work toward deploying caller ID authentication in the non-IP parts of their networks. The FCC will vote on the item during its open meeting on March 31, 2020.

FCC Ready To Authorize 150 CAF II Auction Winning Bids

March 5, 2020 – The FCC’s Rural Broadband Auctions Task Force, Wireline Competition Bureau, and Office of Economics and Analytics have announced they are ready to authorize Connect America Fund Phase II auction support for 150 winning bids, for the following five entities:

• Armstrong Telecommunications, Inc

• Gila Local Exchange Carrier, Inc.

• Mark Twain Communications Company

• NE Colorado Cellular, Inc.

• Redwire, Inc.

To receive the 10-year CAF II auction support, the winning bidders must now submit acceptable irrevocable stand-by letters of credit and Bankruptcy Code opinion letters prior to 6:00 p.m. ET on Thursday, March 19, 2020. All CAF II auction winning bidders were required to certify that they are eligible telecommunications carriers in all bid areas and to submit appropriate documentation by February 25, 2019. The deadline was waived for Armstrong Telecommunications, Inc. in Pennsylvania and Redwire, Inc. in Oklahoma. The FCC also announced that wireless Internet service provider ClearSKY Systems, Inc. defaulted on nine winning bids in Illinois totaling $127,414.20. ClearSKY’s case has been referred to the FCC’s Enforcement Bureau.

USAC Files Second Quarter 2020 USF Contribution Base Data: $10.865 Billion

March 2, 2020 – The Universal Service Administrative Company (USAC) has filed information on the universal service fund (USF) contribution base to be used for the second quarter of calendar year 2020. The total projected collected interstate and international end-user revenue base for the second quarter of 2020 is $10,865,131,593. This is roughly a $265 million decrease from the revenue base used for the first quarter of 2020, which was $11,129,976,956. USAC’s estimated revenue base was derived from projected collected revenue for April to June 2020 reported by telecommunications service providers using FCC Form 499-Q in February 2020 – 4,204 reporting carriers, of which 2,844 are USF contributors and 1,360 are non-contributing de minimis carriers. Upon Federal Communications Commission approval of the total USF contribution base, the quarterly funding requirements for the four USF support mechanisms, and projected administrative costs, the FCC will establish a quarterly USF contribution factor. USAC will then bill USF contributors on a monthly basis for their individual obligations based on the approved contribution factor.

FCC Proposes Bidding Procedures For Rural Digital Opportunity Fund Auction, Comments Due March 27th

March 2, 2020 – The Federal Communications Commission has released a Public Notice proposing pre-auction and bidding procedures and processes for the Phase I auction of The Rural Digital Opportunity Fund Auction (RDOF) (Auction 904). In general, comment is sought on (i) how an applicant can become qualified to participate in the auction, (ii) how bidders will submit bids, and (iii) how bids will be processed to determine winners and assign support amounts. Comments are due on or before March 27, 2020, and reply comments are due April 10, 2020.

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