Affordable Connectivity Program (ACP)

Spreading high-speed internet will remain a key focus for the California Public Utilities Commission in the years ahead, CPUC President Alice Reynolds told Communications Daily during a wide-ranging Q&A. Reynolds addresses broadband funding, affordability issues, state USF and the FCC’s net neutrality rulemaking in written answers to our questions, lightly edited for length and clarity.

Sen. Joe Manchin told us Tuesday he supports Congress allocating funding for the FCC's affordable connectivity program (ACP). "The money's there," but congressional leaders must "get the bill on the floor," the West Virginia Democrat said after a speech at the NARUC meeting in Washington. Later, a NARUC panel said states should learn from Rural Digital Opportunity Fund (RDOF) problems when setting rules for internet service providers to participate in the broadband, equity, access and deployment (BEAD) program.

NARUC’s Telecom Committee approved a proposed resolution Monday aimed at forestalling U.S. phone number exhaustion. Also during state utility regulators’ meeting in Washington, telecom industry officials urged state commissioners to join them in calling on Congress to renew funding for the affordable connectivity program (ACP). Another panel flagged pole attachment issues remaining after a December FCC order (see 2312130044).

House Commerce Committee ranking member Frank Pallone, D-N.J., said Wednesday he and other supporters of the FCC’s affordable connectivity program are seeking stopgap funding for an FY 2024 omnibus appropriations package in a bid to keep the endangered initiative running. Meanwhile, ex-FCC Chairman Ajit Pai and eight other former commission heads said congressional leaders should “act swiftly” and appropriate up to $15 billion for next-generation 911 tech upgrades. President Joe Biden last year sought $6 billion in stopgap ACP money and $3.08 billion to fully fund the FCC’s Secure and Trusted Communications Networks Reimbursement Program as part of a supplemental appropriations request but didn’t mention NG-911 (see 2310250075).

Media misinformation and disinformation are major concerns, but the FCC shouldn't regulate newsrooms, Commissioner Anna Gomez Tuesday told a Media Institute luncheon. “Our democracy needs a press free from interference from regulators like myself,” said Gomez.

House Communications Subcommittee members were universally positive about the Future Uses of Technology Upholding Reliable and Enhancing Networks Act (HR-1513) and four other communications network security bills during a Thursday hearing. House Commerce Committee Chair Cathy McMorris Rodgers, R-Wash., and other lawmakers used the hearing to continue the drumbeat for Congress to allocate an additional $3.08 billion to close a funding shortfall for the FCC’s Secure and Trusted Communications Networks Reimbursement Program, as expected (see 2402140055). Several Democrats touted the stopgap funding push for the FCC’s affordable connectivity program (see 2402130074) as another priority for securing U.S. networks.

Representatives of i-wireless and other small carriers spoke with staff for FCC Chairwoman Jessica Rosenworcel asking for action on the request expanding eligible telecom carrier designations granted in 2012, especially given the freeze in affordable connectivity program enrollments. Without Wireline Bureau approval, “i-wireless is unable to offer Lifeline to eligible low-income Americans in significant portions of Florida, North Carolina and other states where its ETC designation has been granted by the Commission,” said a filing posted Thursday in docket 21-450: With affordable connectivity program “enrollments frozen and consumers needing to find affordable alternatives during the ACP wind-down period, we respectfully urged the Office of the Chairwoman to direct the Bureau to expeditiously complete its review.” Assist Wireless also spoke with Rosenworcel aides on the ETC petition. The Wireline Bureau “has restricted provider participation and impeded competition in the Lifeline program for a dozen years by failing to act on Assist Wireless’s Lifeline compliance plan and federal ETC petition,” Assist said. American Broadband reported a similar meeting. The bureau “has restricted provider participation and impeded competition in the Lifeline program for a dozen years by failing to act on American Broadband’s federal ETC petition (among others),” the provider said. Boomerang Wireless also reported on an ETC call with aides to the chairwoman.

Affordable Connectivity Program Extension Act (HR-6929) GOP co-sponsor Rep. Marc Molinaro of New York acknowledged Tuesday that Republican opponents of stopgap funding for ACP are an impediment, but one the bill’s backers can overcome. HR-6929 and Senate companion S-3565 would allocate $7 billion for ACP, keeping it alive through FY 2024 (see 2401100056). The FCC froze ACP enrollments last week in keeping with procedures for winding down the program absent more federal funding.

The FCC's affordable connectivity program is a "true unicorn among public policies," USTelecom President-CEO Jonathan Spalter wrote in a Tuesday blog (see 2402120068). Spalter urged that policymakers consider "rolling the ACP into the Universal Service Fund." This would "bring greater accountability to Big Tech" and "create a stable, permanent source of funding." ACP's future "offers a telling gut check on whether our nation remains committed to our shared goal of connectivity," Spalter said: "Congress abandoning ACP funding a mere two years into its existence would be profoundly disruptive to the country’s digital affordability and equity goals."

Pennsylvania’s biggest incumbent, Verizon, launched an all-out attack on state USF in comments Friday, urging that the Pennsylvania Public Utility Commission eliminate the fund. The carrier said the USF is archaic. In addition, AT&T joined Verizon in urging the PUC to reduce regulations, such as carrier of last resort (COLR) obligations. However, rural LECs argued that they will continue needing state USF support for as long as Pennsylvania heavily regulates them.