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CTIA Says It's Too Soon for New Mexico USF Changes

CTIA urged the New Mexico Public Regulation Commission to wait to recommend state USF changes to the legislature. The commission adopted rules implementing a state USF broadband program in December 2017, "less than two years ago," and applications for first…

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broadband projects were filed "only last year,” CTIA commented Thursday in case 19-00046-UT. “Any suggestions made now would be based on mere opinions, not objective data drawn from completed projects.” Tap the state’s general fund rather than increase the size of state USF, which would “disproportionately and adversely” affect wireless customers who contribute most, CTIA said. No legislative changes are needed, commented the New Mexico Exchange Carrier Group. The state fund “is providing a reliable mechanism for supporting universal service availability at affordable rates in rural areas and, at the same time, promoting the expansion of broadband internet access service to unserved and underserved areas.” The PRC could draw more broadband funding from state USF without changing the fund or statute, CTIA suggested. "The Commission can ensure that more money is committed to broadband deployment in New Mexico by requiring carriers receiving access replacement or need-based subsidies to spend more than the statutory minimum” of 60 percent of those subsidies, it said. The exchange carriers disagreed: The current 60 percent threshold isn't "unreasonably burdensome" for recipients, but if it's increased, some “may find it difficult or impossible to meet a higher threshold for broadband expenditures and still be able to cover their non-broadband expenses without raising local rates.”