NTCA and members pressed the FCC for $260 million in additional annual funding for rate-of-return USF mechanisms distributing model-based and non-model support. Without the additional funding for the non-model mechanisms, standalone broadband loop rates could be $20 to $100 over the $42 broadband-only monthly benchmark the commission specified in its March overhaul order, said an NTCA filing posted Monday in docket 10-90 on meetings with aides to all five commissioners and Wireline Bureau officials. Those rates are not for the actual retail service to consumers, but just the broadband-only loop components of that service, it said. When the component costs are combined "with unavoidable costs" -- access recovery charges, transport and transit costs, other operating costs and USF contribution fees -- "the actual retail broadband prices to consumers (putting aside any prospect of actual return or profit margin) would need to be $90 to $110 per month in some cases, and in some very rural service areas with few standalone broadband consumers to start the rates could approach $200 per month," the group said.

NTCA and members pressed the FCC for $260 million in additional annual funding for rate-of-return USF mechanisms distributing model-based and non-model support. Without the additional funding for the non-model mechanisms, standalone broadband loop rates could be $20 to $100 over the $42 broadband-only monthly benchmark the commission specified in its March overhaul order, said an NTCA filing posted Monday in docket 10-90 on meetings with aides to all five commissioners and Wireline Bureau officials. Those rates are not for the actual retail service to consumers, but just the broadband-only loop components of that service, it said. When the component costs are combined "with unavoidable costs" -- access recovery charges, transport and transit costs, other operating costs and USF contribution fees -- "the actual retail broadband prices to consumers (putting aside any prospect of actual return or profit margin) would need to be $90 to $110 per month in some cases, and in some very rural service areas with few standalone broadband consumers to start the rates could approach $200 per month," the group said.

Parties disagreed on the adequacy of the scope and pace of broadband deployment under a Telecom Act Section 706 mandate, and on the metrics the FCC should use. Major wireline and wireless telco groups said advanced telecom capability (ATC) is being rolled out to all Americans in a reasonable and timely way, and urged the commission to keep or soften its current ATC criteria. Smaller wireless carriers and consumer advocates said broadband isn't being deployed widely and quickly enough, and urged the commission to raise and expand ATC benchmarks. Comments were posted Tuesday and Wednesday in docket 16-245 in response to a notice of inquiry, which cited ATC and broadband similarities but said not all broadband services provide ATC.

Parties disagreed on the adequacy of the scope and pace of broadband deployment under a Telecom Act Section 706 mandate, and on the metrics the FCC should use. Major wireline and wireless telco groups said advanced telecom capability (ATC) is being rolled out to all Americans in a reasonable and timely way, and urged the commission to keep or soften its current ATC criteria. Smaller wireless carriers and consumer advocates said broadband isn't being deployed widely and quickly enough, and urged the commission to raise and expand ATC benchmarks. Comments were posted Tuesday and Wednesday in docket 16-245 in response to a notice of inquiry, which cited ATC and broadband similarities but said not all broadband services provide ATC.

Nebraska Rural Independent Companies urged a Federal-State Joint Board to recommend the FCC make USF contribution system changes similar to what NRIC has advocated in a state proceeding, said a filing in docket 96-45 on a meeting with FCC Commissioner Jessica Rosenworcel, chairwoman of the joint board, and an aide. "NRIC supports implementation of a connections-based contribution mechanism applicable to residential consumers, and continuation of the revenues-based contribution mechanism for business/enterprise and special access at least for a transition period," said an attached summary of the group's state positions. "A connection would be defined as 'a wired line or wireless channel used to provide end users with access to any assessable service.' Assessable service would be defined as 'a service which allows a connection to other networks through inter-network routing as a means to provide the telecommunications.'” In other meetings it summarized, NRIC made the same pitch to Commissioner Chris Nelson of the South Dakota Public Utilities Commission and Commissioner Ronald Brise of the Florida Public Service Commission, two state members of the board.

Rural telco groups said the FCC should be careful in changing rate-of-return rules for carrier cost recovery and related practices. Regulatory changes should apply prospectively only and should be targeted to provide increased clarity about allowable expenditures where helpful, said various RLEC groups in comments Thursday in docket 10-90, responding to a recent Further NPRM included in an item that overhauled rate-of-return USF mechanisms (see 1603300065 and 1603310039). Some voiced concern the FCC could make sweeping changes to throw out rules -- which they said had worked reasonably well -- based on "anecdotal" accounts of isolated problems.

The FCC can't give VoIP providers full numbering rights without classifying them as telecom carriers that provide telecom services under Title II of the Communications Act, NARUC said in challenging a 2015 order that gave interconnected VoIP (I-VoIP) providers direct access to phone numbers (see 1506180060). "Its implementing regulations giving I-VoIP providers direct access to numbers/portability" in all but name deem it a telecom service, the state regulatory group said in its brief filed late Monday (NARUC v. FCC, No. 15-1497). "An entity cannot 'be deemed' to be a telecommunications carrier unless it is offering a service that conforms to the Act's definition. In 2011, the [U.S. Court of Appeals for the] 10th Circuit rejected a similar FCC analysis." The commission's brief is due May 19.

The FCC can't give VoIP providers full numbering rights without classifying them as telecom carriers that provide telecom services under Title II of the Communications Act, NARUC said in challenging a 2015 order that gave interconnected VoIP (I-VoIP) providers direct access to phone numbers (see 1506180060). "Its implementing regulations giving I-VoIP providers direct access to numbers/portability" in all but name deem it a telecom service, the state regulatory group said in its brief filed late Monday (NARUC v. FCC, No. 15-1497). "An entity cannot 'be deemed' to be a telecommunications carrier unless it is offering a service that conforms to the Act's definition. In 2011, the [U.S. Court of Appeals for the] 10th Circuit rejected a similar FCC analysis." The commission's brief is due May 19.

States may sue the FCC over the commission’s Lifeline order, pending a review of the text of the final order, NARUC President Travis Kavulla said in an interview on Friday. At its Thursday meeting, the FCC approved by a 3-2 vote an order that would extend USF low-income subsidies to broadband (see 1603310056). While states support a broadband expansion, they have disagreed with the FCC’s decision to shift potential responsibility for verifying Lifeline broadband provider eligibility from the states to a national third party, sharply condemning the proposal in a March 17 letter ultimately signed by 96 state commissioners (see 1603180052). Before the FCC vote, the National Governors Association and NASUCA voiced concerns about where the order leaves states. Capitol Hill Democrats were revealed to be heavily involved in lobbying the agency hours before the vote. After the vote, rural telco/RLEC groups NTCA and WTA also voiced concerns about the Lifeline order.

States may sue the FCC over the commission’s Lifeline order, pending a review of the text of the final order, NARUC President Travis Kavulla said in an interview on Friday. At its Thursday meeting, the FCC approved by a 3-2 vote an order that would extend USF low-income subsidies to broadband (see 1603310056). While states support a broadband expansion, they have disagreed with the FCC’s decision to shift potential responsibility for verifying Lifeline broadband provider eligibility from the states to a national third party, sharply condemning the proposal in a March 17 letter ultimately signed by 96 state commissioners (see 1603180052). Before the FCC vote, the National Governors Association and NASUCA voiced concerns about where the order leaves states. Capitol Hill Democrats were revealed to be heavily involved in lobbying the agency hours before the vote. After the vote, rural telco/RLEC groups NTCA and WTA also voiced concerns about the Lifeline order.