Consumers' Research filed its second challenge of the FCC's quarterly USF contribution factor in the 5th U.S. Circuit Court of Appeals Monday. Oral argument for its challenge of the Q1 2022 contribution factor was heard during an en banc hearing in September (see 2309190072). In a new challenge of the Q4 2023 contribution factor, the group said the USF factor is an illegal tax and should be rejected. The petition was posted Tuesday in case 23-60525.
House Communications Subcommittee Chairman Bob Latta, R-Ohio, and ranking member Doris Matsui, D-Calif., said during a Thursday hearing they’re signing on to the USF working group that Senate Communications Subcommittee leaders formed in May to evaluate how to move forward on a comprehensive revamp of the program that may update its contribution factor to include non-wireline entities (see 2305110066). The Thursday hearing largely focused on USF revamp and possible integration of the affordable connectivity program, as expected (see 2309120059).
Judges on the 5th U.S. Circuit Court of Appeals questioned the FCC on how the commission structures its Universal Service Fund and oversees the role the Universal Service Administrative Co. plays in determining quarterly contribution factors during an en banc hearing Tuesday. Some pressed Consumers' Research on how the private nondelegation doctrine applied to its challenge of the Q1 2022 USF contribution factor (see 2309010060).
Judges on the 5th U.S. Circuit Court of Appeals questioned the FCC on how the commission structures its Universal Service Fund and oversees the role the Universal Service Administrative Co. plays in determining quarterly contribution factors during an en banc hearing Tuesday. Some pressed Consumers' Research on how the private nondelegation doctrine applied to its challenge of the Q1 2022 USF contribution factor (see 2309010060).
USF revamp matters are expected to come up in both a Wednesday House Communications Subcommittee hearing on the state of the U.S. video marketplace (see 2309070060) and a likely Sept. 21 subpanel discussion on rural broadband funding, communications sector lobbyists told us. NAB CEO Curtis LeGeyt and other officials set to testify at the Wednesday hearing focused their written statements largely on more video-centric issues, including staking a range of positions on a recent push for the FCC to refresh its long-dormant docket (14-261) on reclassifying streaming services as MVPDs to fix a perceived disparity in retransmission consent rules. The hearing will begin at 2 p.m. in 2322 Rayburn.
Free Press urged lawmakers to make the FCC’s affordable connectivity program permanent as part of any USF revamp legislation. Congress should “appropriate the funding” for ACP “needed to ensure that low-income households can afford broadband long after the initial appropriation from” the 2021 Infrastructure Investment and Jobs Act “is expended,” FP said in comments to Senate Communications Subcommittee Chairman Ben Ray Lujan, D-N.M., ranking member John Thune, R-S.D., and other USF revamp working group members released Monday. Some other commenters also urged Congress to make ACP permanent, in some cases suggesting it outright replace the Lifeline program (see 2308250064). FP also asked lawmakers and the FCC to “reject the cynical call from some of the nation’s largest businesses to massively lower their own USF contribution burdens by imposing a regressive tax on residential broadband services. These parties have for years falsely warned that the USF contributions system is in a death-spiral,” which “is simply not true. The fact is that the total USF contribution pool in real terms peaked in 2012, and has declined substantially since. While the overall contribution factor percentage has risen, the average residential consumer has seen their contribution burden decline slightly, as the burden borne by large businesses increased slightly.”
Three telecom policy stakeholder groups urged Senate Communications Subcommittee leaders Friday to include stronger accountability rules in USF revamp legislation but diverged on some other goals. The entities were responding to a late July feedback request from Communications Chairman Ben Ray Lujan, D-N.M., ranking member John Thune, R-S.D., and other USF working group members for feedback on the path forward on legislation (see 2305110066). FCC Chairwoman Jessica Rosenworcel, meanwhile, is pushing back against criticisms from House Commerce Committee Chair Cathy McMorris Rodgers, R-Wash., and Senate Commerce Committee ranking member Ted Cruz, R-Texas, of the agency's Learning Without Limits proposal to allow E-rate program money to pay for Wi-Fi on school buses and for hot spots (see 2307310063).
Consumers' Research filed an objection against the FCC's proposed Q4 2023 USF contribution factor and asked the Office of Managing Director to set the factor at zero. The USF "has been established and operates in excess of statutory authority and the commission ... should not permit further collections," the group said in comments posted Friday in docket 96-45, citing the nondelegation doctrine.
U.S. Supreme Court Justice Brett Kavanaugh granted a Consumers Research request to extend until Oct. 27 the deadline to file a petition for writ of certiorari Tuesday (see 2307310061). The group sought the extension for its challenge of the 6th U.S. Circuit Court of Appeals decision upholding the FCC's USF 2021 Q4 contribution factor. Kavanaugh is the justice assigned to the 6th Circuit.
U.S. Supreme Court Justice Brett Kavanaugh granted a Consumers Research request to extend until Oct. 27 the deadline to file a petition for writ of certiorari Tuesday (see 2307310061). The group sought the extension for its challenge of the 6th U.S. Circuit Court of Appeals decision upholding the FCC's USF 2021 Q4 contribution factor. Kavanaugh is the justice assigned to the 6th Circuit.