The Universal Service Fund should be revised and the FCC should consider requiring contributions from tech companies, said a bipartisan group of current and former commissioners on a virtual panel Wednesday hosted by the Multicultural Media, Telecom and Internet Council. The group, including former Chairs William Kennard and Richard Wiley, also discussed the lack of an FCC majority, the digital divide and media ownership.
NAB and tech industry groups still don’t agree on proposals to expand the base of regulatory fee payors, according to reply comments filed in 21-190 by Monday’s deadline. “It is inconceivable that Congress would prefer to see small broadcasters struggle to provide service to their local communities so they can subsidize massive technology companies,” said NAB. The FCC doesn’t have the authority to charge fees to companies it doesn’t regulate, said TechFreedom: “Especially after the Supreme Court’s recent decision in West Virginia v. EPA, an administrative agency can’t undertake new regulations just because it’s a good idea -- they must be grounded in clear statutory authority.” In the short term, the FCC should exempt broadcasters from paying for the costs of the USF and for Media Bureau full-time equivalents connected with broadband policy, and cap the fee increases for broadcasters in the current draft order at 5%, said NAB. A group of 53 broadcasters said the agency should credit application fees against regulatory fees. “Cherry-picking one type of regulatee to exclude from contributing their share of the Commission’s indirect costs would threaten the administrability of the regulatory fee program as a whole,” said CTIA. The FCC “lacks legal authority to add a new regulatory fee category for broadband internet service providers,” said the Wireless ISP Association. The agency should develop a reduced fee category for small satellites and charge an interim fee in the meantime, said Spaceflight and Turion Space. “It is essential to the development" of the on-orbit services industry, "and not premature, that the Commission act now so that regulatory fees developed for traditional" non-geostationary satellite orbit "are not imposed on OOS missions,” said Spaceflight. The Satellite Industry Association disagreed: “The record supports the Commission’s conclusion that OOS services are still too immature for their own regulatory fee category at this time,” said SIA. “An interim regulatory fee schedule as suggested by Spaceflight is unnecessary.”
Industry disagreed whether the FCC should consider an Alternative Connect America Cost Model (ACAM) Broadband Coalition proposal to extend the program through increased deployment obligations in exchange for additional funding (see 2205190023). Some sought to expand eligibility to carriers receiving other high-cost USF support, in comments posted Tuesday in docket 10-90. Others said the FCC should defer new high-cost support until programs funded through the Infrastructure Investment and Jobs Act are completed.
Broadcasters, MVPDs, ISPs and other entities argued over the state of competition in the broadband and video marketplaces and how to address it, in comments posted at the FCC by Friday’s deadline in docket 22-203 for the agency’s biannual State of Competition in the Communications Marketplace report to Congress, due in Q4. Regulations premised on lack of competition “should be repealed,” said NCTA. The FCC “must consider the real-world consequences of imposing, in a highly competitive marketplace, a burdensome and outdated regulatory regime,” said NAB.
Broadcasters, MVPDs, ISPs and other entities argued over the state of competition in the broadband and video marketplaces and how to address it, in comments posted by Friday’s deadline in docket 22-203 for the agency’s biannual State of Competition in the Communications Marketplace report to Congress, due in Q4. Regulations premised on lack of competition “should be repealed,” said NCTA. The FCC “must consider the real-world consequences of imposing, in a highly competitive marketplace, a burdensome and outdated regulatory regime,” said NAB.
The Communications Workers of America asked aides to FCC Chairwoman Jessica Rosenworcel to "open a proceeding to determine the full scope its authority" for expanding the USF's contribution base, said an ex parte filing posted Friday in docket 21-476 (see 2202180046). The group said it should include "enterprise-oriented data services that rely on broadband infrastructure." The FCC should also "explore how edge companies can participate in fair cost recovery," the group said.
FCC commissioners and industry groups stressed the need for USF changes during Free State Foundation’s annual policy conference Friday. Panelists also urged close coordination among agencies throughout the implementation of broadband programs funded by the Infrastructure Investment and Jobs Act.
The FCC repeated its request that the U.S. Court of Appeals for the 6th Circuit hold Consumers' Research's challenge to the Q4 USF contribution factor in abeyance, after the U.S. Court of Appeals for the 5th Circuit's decision to proceed with a similar challenge, said a letter Friday in case 21-3886 (see 2203020033). The agency said the parties can "suggest how the case in this court should proceed" after the 5th Circuit's ruling and the FCC's USF report. It also asked the court to reject Consumers' Research's request that the FCC respond to the group's agency comment within 30 days, saying Consumers' Research "effectively seek[s] a writ of mandamus" without attempting to "justify such extraordinary relief" or providing a basis to "override the FCC's broad discretion to order its proceedings."
Commenters on the Universal Service Fund generally agreed its funding system is unsustainable and in need of changes but disagreed on the solution, in comments posted Friday in docket 21-476 (see 2112220051) as the FCC prepares its report to Congress on the future of USF.
Citing the expanded use of telemedicine, FCC commissioners unanimously adopted a Further NPRM seeking comments on changes to the rural healthcare program’s telecom program’s rates determination rules and to the healthcare connect fund’s internal funding caps, during the agency’s monthly meeting Friday (see 2202170031). They also adopted an order requiring Aureon to submit information needed to calculate refunds to its customers, and a $45 million fine against a company that made more than 500,000 robocalls that violate Telephone Consumer Protection Act rules. Chairwoman Jessica Rosenworcel also said the FCC plans a notice of inquiry on receiver standards, which has been before the agency for 20 years.