Lawyers for the Schools, Health & Libraries Broadband Coalition and the Benton Institute for Broadband & Society said Wednesday that groups defending the USF had a good day last week, as the U.S. Supreme Court heard oral argument in the Consumers' Research case (see 2503260061). They spoke during a SHLB webinar.
Consumers’ Research has filed another challenge to the legality of the FCC’s USF contribution factor, this time for Q2 of this year, at the 5th U.S. Circuit Court of Appeals. The group chose what's likely the friendliest circuit for an appeal; the U.S. Supreme Court is currently considering an appeal of a 5th Circuit en banc decision last summer, which found that the USF contribution factor is a "misbegotten tax.” Justices heard oral arguments in that case last week (see 2503260061).
Consumers' Research Executive Director Will Hild expressed confidence after the U.S. Supreme Court heard the group’s challenge of the USF contribution factor in lengthy oral arguments Wednesday (see 2503260061).
There were no surprises during U.S. Supreme Court oral arguments Wednesday on the Consumers’ Research challenge to the constitutionality of the USF contribution factor, FCC Chairman Brendan Carr said Thursday following the commission's open meeting. Most observers saw SCOTUS as unlikely to issue a ruling that would imperil the USF program (see 2503260061). “I got a high-level briefing from some of our team that attended it,” Carr said. “The read that I got is it went really well for the U.S. government’s position.” He added, “You never know when you’re reading tea leaves from an oral argument,” but “the net consensus was that it was good day” for the USF.
Sen. Ed Markey, D-Mass., and FCC Commissioner Anna Gomez defended the USF program during a Capitol Hill news conference Wednesday before the U.S. Supreme Court argument in FCC v. Consumers’ Research (see 2503260061).
Trent McCotter, the lawyer for Consumers’ Research, faced tough questions during lengthy oral arguments Wednesday at the U.S. Supreme Court on the group’s challenge of the USF contribution factor and the USF in general. Sarah Harris, acting U.S. solicitor general, vigorously defended the USF on behalf of the government. Paul Clement of Clement & Murphy, a high-profile conservative appellate lawyer, represented industry defenders of the USF.
On the eve of a key U.S. Supreme Court case concerning the USF's future, FCC Chairman Brendan Carr said questions remain about the program's survival. How USF is paid for has to change, Carr told a Free State Foundation conference Tuesday. He also said he supports President Donald Trump's dismissal of Democratic commissioners at the FTC.
Lawyers for the Schools, Health & Libraries Broadband Coalition and the Benton Institute for Broadband & Society were cautiously optimistic Wednesday that their side would prevail at the U.S. Supreme Court in support of the FCC and the USF contribution factor in FCC v. Consumers’ Research. But they also expect a divided decision. SCOTUS is to consider the case March 26.
The government defended the FCC in a reply brief in FCC v. Consumers’ Research, the USF case before the U.S. Supreme Court, arguing that Consumers' Research (CR) creates a “straw man” to attack. Public interest groups, led by the Schools, Health & Libraries Broadband Coalition, also defended the legality of how the USF contribution factor is calculated. SCOTUS is set to hear oral argument March 26.
The FCC Office of Managing Director announced Thursday a proposed Q2 USF contribution factor of 36.6%, as calculated by the Universal Service Administrative Co. That’s up from 36.3% the previous quarter and the highest quarterly contribution factor in the program's history. Meanwhile, the U.S. Supreme Court will hear FCC v. Consumers’ Research March 26, a case about the contribution factor's legality.