Senate Commerce Committee ranking member Ted Cruz, R-Texas, could shift the direction Congress’ USF revamp takes when he becomes the panel’s chairman in January, lawmakers and lobbyists told us. Observers believe his impact on what Congress decides will partially depend on how the U.S. Supreme Court rules when it reviews the FCC appeal of the 5th U.S. Circuit Court of Appeals' ruling in favor of Consumers' Research's challenge of the USF contribution methodology (see 2411220050). A high court ruling upholding the 5th Circuit could shift momentum in favor of Cruz’s proposal that Congress make USF funding part of the appropriations process, officials said.
House Communications Subcommittee member Rep. John Joyce, R-Pa., said during a Wednesday USTelecom event he wants renewed pushes to restore the FCC’s lapsed spectrum auction authority and enact a broadband permitting revamp legislative package to be among the subpanel’s top priorities in the next Congress. Broadband executives likewise named Capitol Hill action on broadband permitting legislation as their top congressional priority once Republicans have control of both chambers in January. The officials also noted interest in lawmakers’ work on a potential USF revamp.
ANAHEIM, Calif. -- The NARUC Telecom Committee on Monday cleared draft resolutions on phone number conservation, the Universal Service Fund and utility coordination on broadband deployment. A USF panel that day described how reform could happen with Republicans controlling the FCC and Congress next year. Also, the affordable connectivity program (ACP) could return in 2025 despite Washington’s partisan climate, said Sanford Williams, deputy chief of staff for FCC Chairwoman Jessica Rosenworcel, during a collocated National Association of State Utility Consumer Advocates (NASUCA) meeting. State utility regulators are holding their annual meeting here this week.
Grover Norquist, Americans for Tax Reform president, and James Erwin, executive director-ATF subsidiary Digital Liberty, led a Tuesday letter with 24 other mostly conservative-leaning leaders urging that congressional lawmakers “oppose any attempts to impose new taxes on broadband service, including by assessing broadband for contributions to the Universal Service Fund.” A bipartisan congressional working group has been eyeing a potential USF revamp, while Senate Commerce Committee ranking member Ted Cruz, R-Texas, wants Congress to make the program subject to the federal appropriations process (see 2403060090). “While USF faces fiscal challenges, these should ideally be addressed through distribution reform,” Norquist and the other leaders said in the letter, which we obtained before its public release. “If the contribution base for USF is expanded to include mass-market broadband providers, it will be American households that foot the bill to keep this program on life support.”
Maurine and Matthew Molak filed a petition Thursday seeking review of a July FCC order that lets schools and libraries use E-rate support for off-premises Wi-Fi hot spots and wireless internet services (see 2407180024), in the 5th U.S. Circuit Court of Appeals. The Molaks previously sought reconsideration of the July order, which three public interest groups and T-Mobile opposed last week (see 2408280029).
Senate Commerce Committee ranking member Ted Cruz, R-Texas, latched on to a new Government Accountability Office report about the Universal Service Administrative Company’s handling of the Universal Service Fund to criticize the program’s spending and repeat his call for Congress to make USF subject to the federal appropriations process (see 2403060090). Democratic FCC Commissioner Anna Gomez, meanwhile, told us earlier this month that Congress must prioritize a legislative fix for the USF contribution mechanism after the 5th U.S. Circuit Court of Appeals' recent ruling that the current funding factor is unconstitutional (see 2407240043).
FCC Commissioner Anna Gomez hasn’t expressed an opinion on edge providers contributing to the Universal Service Fund (see 2408190056). She has expressed interest in the work of the bicameral, bipartisan USF working group, which includes the concept of assessing digital advertising services and enterprise-oriented data services, such as cloud services.
ASPEN -- Finding a way to restore the affordable connectivity program (ACP) is a high priority for the end of 2024 and social media-related advertising revenue could provide potential solutions, FCC Commissioners Geoffrey Starks and Anna Gomez said Monday.
Don’t expect major daylight between a Kamala Harris administration and the Joe Biden White House on major communications policy issues, industry and policy experts predicted. Much focus and effort would center on defending the FCC's net neutrality and digital discrimination orders in the current federal circuit court challenges, as well as pursuing net neutrality rules, they said. Less clear would be the nature of the relationship between Harris' White House and Big Tech. The Harris campaign didn't comment. Deregulation and undoing net neutrality are considered high on the to-do list for the administration of Republican presidential nominee Donald Trump if he's elected (see 2407110034).
The objective of Consumers' Research was getting a case about the Universal Service Fund contribution methodology before the U.S. Supreme Court. That case resulted in the 5th U.S. Circuit Court of Appeals' recent 9-7 en banc decision that found the contribution factor is a "misbegotten tax," legal experts said during a Schools, Health & Libraries Broadband Coalition webinar Wednesday. The 5th Circuit remanded the contribution factor for Q1 2022 to the FCC for further work.