Industry, USF recipients and consumer advocates are exploring new ways to fund USF. Talks began last year and remain in early stages, participants said in interviews. Parties fear the contribution factor, which reached a record high of 25% last fall (see 1909130003), isn't sustainable. Some want to present a unified funding proposal to Congress or the FCC. Most want the matter addressed next year.
Prospects for advancing legislation on allocating proceeds from the FCC’s coming auction involving of spectrum in the 3.7-4.2 GHz C band have become increasingly doubtful after more than two months in which negotiations were largely in stasis due to Capitol Hill's shift in priority to the COVID-19 pandemic, lawmakers and communications sector officials said in interviews. Senate Appropriations Financial Services Subcommittee Chairman John Kennedy, R-La., and Democratic backers of C band remain interested in pressing forward. Republicans on the House and Senate Commerce committees believe the time for pursuing legislation has largely passed given FCC moves to advance the auction. Wireless and satellite interests cited concerns with the FCC's order in petitions for reconsideration filed Wednesday (see 2005270031).
Scrambling to fill programming hours amid canceled community events and having to train public officials on the use of videoconferencing platforms are among challenges public, educational and government channels face during the pandemic, operators and officials told us. The smallest operations had the toughest time, and there are funding concerns the longer the pandemic goes on, said Alliance for Community Media President Mike Wassenaar.
Senate Commerce Committee members signaled interest in including further emergency broadband funding in the next COVID-19 package. Some senators urged their colleagues to think beyond the crisis. The Wednesday hearing featured few references to House Democrats' Health and Economic Recovery Omnibus Emergency Solutions (Heroes) Act (HR-6800), which contains substantial broadband funding. The bill also includes language to make broadcasters and other local outlets eligible for the Paycheck Protection Program. Both issues drew increasing support since the March enactment of the Coronavirus Aid, Relief and Economic Security Act (see 2004300058). The House is expected to vote on HR-6800 as soon as Friday.
Broadband-only providers' statutory right to pole attachments isn't a significant issue because there are so few such providers and it's easy enough for them to expand their offerings beyond that to get pole attachment rights. That's according to a Federalist Society panel Monday about the U.S. Court of Appeals for the D.C. Circuit's Mozilla remand. There were no pro-Title II panelists, and such allies didn’t comment immediately. That title is part of the Telecom Act.
Broadband-only providers' statutory right to pole attachments isn't a significant issue because there are so few such providers and it's easy enough for them to expand their offerings beyond that to get pole attachment rights. That's according to a Federalist Society panel Monday about the U.S. Court of Appeals for the D.C. Circuit's Mozilla remand. There were no pro-Title II panelists, and such allies didn’t comment immediately. That title is part of the Telecom Act.
Broadening the USF contribution base won't harm broadband adoption, a report commissioned by NTCA said Thursday. The Berkley Research Group paper suggested a 1% USF contribution surcharge for broadband could reduce consumer broadband demand by 0.08%. Reps. Collin Peterson, D-Minn., and Don Young, R-Alaska, led filing Tuesday of the Universal Broadband Act to codify that broadband is within USF's scope (see 2005050064). “Long-term viability of the Universal Service Fund is essential,” said NTCA CEO Shirley Bloomfield. She said the program "could be at risk if we keep ‘kicking the can down the road’ on addressing the shaky foundation of an ever-escalating and volatile contributions mechanism." Bloomfield told us earlier this spring that as new USF programs such as the Rural Digital Opportunity Fund are added, policymakers must address revenue that supports subsidies. "There's only so many coins you can find under the couch cushion," she said of existing contribution methodology that relies on long-distance voice revenue.
Broadening the USF contribution base won't harm broadband adoption, a report commissioned by NTCA said Thursday. The Berkley Research Group paper suggested a 1% USF contribution surcharge for broadband could reduce consumer broadband demand by 0.08%. Reps. Collin Peterson, D-Minn., and Don Young, R-Alaska, led filing Tuesday of the Universal Broadband Act to codify that broadband is within USF's scope (see 2005050064). “Long-term viability of the Universal Service Fund is essential,” said NTCA CEO Shirley Bloomfield. She said the program "could be at risk if we keep ‘kicking the can down the road’ on addressing the shaky foundation of an ever-escalating and volatile contributions mechanism." Bloomfield told us earlier this spring that as new USF programs such as the Rural Digital Opportunity Fund are added, policymakers must address revenue that supports subsidies. "There's only so many coins you can find under the couch cushion," she said of existing contribution methodology that relies on long-distance voice revenue.
Senate Commerce Committee Chairman Roger Wicker, R-Miss., is eyeing legislation as a potential way to speed the FCC’s Rural Digital Opportunity Fund Phase I auction, among other actions to improve connectivity amid COVID-19. The committee plans a Wednesday hearing to examine the "state of broadband" during the epidemic and related legislative proposals. Other senators also filed broadband-centric bills Thursday.
Rural Wireless Association representatives asked FCC Wireline Bureau staff about the timing of a prohibition on carriers receiving USF support to buy Huawei and ZTE equipment. RWA representatives expressed concern about how the FCC will interpret provisions of the Secure and Trusted Communications Networks Act and FY 2020 National Defense Authorization Act, said a filing posted Wednesday in docket 18-89. RWA asked whether the rule “goes into effect prior to August 14, 2020 pursuant to the 2019 NDAA or whether the FCC must develop a specific list of prohibited Huawei and ZTE equipment and services prior to March 11, 2021 pursuant to the Secure Networks Act." If the FCC concludes “USF support is akin to a loan and grant as defined under Section 889 of the 2019 NDAA, then RWA is concerned that its members may no longer be able to use universal service funding for the operation of Huawei or ZTE networks after August 13." Representatives of Mavenir, Nokia, Panhandle Telephone Co-op, Pine Belt Cellular and Strata Networks participated.