The National Lifeline Association asked the FCC Wireline Bureau to clarify that its and the Enforcement Bureau's authority to "suspend a participating provider's [affordable connectivity program] enrollments and hold participating provider funding based on the 'adequate evidence' standard is limited," said a petition for reconsideration and clarification posted Thursday in docket 21-450. The authority "should be a last resort to be invoked," NaLa said, asking that "minor infractions or improper payments" don't result in such a penalty. NaLa also sought reconsideration of the requirement that participating providers offering a connected device "provide price information for at least one of the analogous devices from a major retailer." It asked that providers be allowed to provide two retail prices from any retailer to substantiate their claim for market value.
Affordable Connectivity Program (ACP)
What is the Affordable Connectivity Program (ACP)?
The Affordable Connectivity Program was a recently expired subsidy for low-income households to lower the cost of purchasing broadband internet and connected devices. The program was signed into law as part of the 2021 Infrastructure Investment and Jobs Act and administered by the FCC up until June 1, 2024, due to expiration of the ACP’s funding.
Will the ACP Return?
Congress continues to debate restoring ACP funding, with immediate next steps likely to come from the Senate Commerce Committee or Congressional discussions on revising the Universal Service Fund.
Industry and advocates asked the FCC for some flexibility in its affordable connectivity program outreach grants and to prioritize nonprofit organizations, in comments posted Thursday in docket 21-450. The FCC also sought comments on its proposed pilot program to boost enrollment among households in public housing communities and on how to determine eligibility for an up to $75 monthly benefit for households living in high-cost areas.
The FCC Wireline Bureau warned providers participating in the affordable connectivity program against engaging in “improper enrollment tactics” identified by the Office of Inspector General in its March advisory on ACP and Lifeline-eligible consumers, said a public notice Friday in docket 21-450. Providers "must immediately stop using deceptive language, bring their application processes into compliance, and give consumers a choice as to which program benefit or benefits they wish to apply to their broadband service," the notice said. The bureau will refer any potential violations to the Enforcement Bureau and directed the Universal Service Administrative Co. to "conduct program integrity reviews" of enrollment and onboarding practices of Lifeline providers participating in ACP.
The transition from the FCC’s emergency broadband benefit program to the affordable connectivity program has been largely smooth for most providers, said Wireline Bureau staff and industry during an FCBA webinar Wednesday (see 2111230058). Some providers said it was challenging to meet the transition deadline, and they're now focused on increasing enrollment.
Next Century Cities and local officials told staff to FCC Commissioner Geoffrey Starks that officials are "facing challenges" when enrolling residents living in city housing authorities in the affordable connectivity program, per a filing Wednesday in docket 21-450. Some eligible households have "abandoned the entire application process if one phase was unsuccessful," they said. Louisville, Seattle and Baltimore officials sought "more specific detail about providers' lower cost tiers of service" and "better zip-based data" on enrollment by provider and subscription type for targeted outreach.
A "special focus" on connecting Black households "is warranted if we are ever going to close the digital divide," said FCC Commissioner Geoffrey Starks during a virtual event Tuesday. "Far too many Black Americans are on the wrong side of the digital divide," Starks said, and "we can no longer defer the hard work on digital equity." The Infrastructure Investment and Jobs Act included $2.75 billion for NTIA to establish digital equity and inclusion programs and language authorizing the FCC to spend some of its $14 billion affordable connectivity program (ACP) on outreach (see 2107280065).
The Kentucky Public Service Commission won’t adjust the state USF surcharge or support levels due to uncertainty about the federal affordable connectivity program’s effect, the PSC said in a Monday order in case 2016-00059. Eligible telecom carriers participating in ACP should send a letter to the PSC by March 15 describing what plans they will offer Kentucky Lifeline customers, the total cost of their ACP offering, and how ACP and federal and state Lifeline support will be applied to eligible plans, it said. The PSC will open a review of Kentucky USF solvency by Feb. 1, 2023.
Provide funding for “digital ambassador programs” as part of the FCC’s pilot program to boost affordable connectivity program participation among federal public housing assistance program recipients, Starry told aides to Commissioner Geoffrey Starks, per an ex parte filing Wednesday in docket 21-450. The ambassadors can “act as a conduit” among ISPs, housing authorities and residents, Starry said, noting “many consumers continue to rely on local outreach efforts to better understand” the program and how to enroll. Starry also backed expanding the pilot to include boosting ACP participation among Section 8 voucher holders.
Vice President Kamala Harris and other Biden administration officials touted the FCC’s $14.2 billion affordable connectivity program Monday as an example of successful implementation of the Infrastructure Investment and Jobs Act, as the program hit a milestone of enrolling more than 10 million households. House Communications Subcommittee Chairman Mike Doyle, D-Pa., is holding out hope that Congress could appropriate additional money for the FCC Emergency Connectivity Fund and other broadband programs by passing it as part of a balkanized chunk of the scuttled Build Back Better Act budget reconciliation package (HR-5376) but told us he believes keeping the connectivity money isn't going to make or break his support.
The FCC's order establishing rules for the affordable connectivity program takes effect March 16, says Monday's Federal Register (see 2201210082). Providers have until April 15 to "complete necessary changes and ensure that the affordable connectivity benefit can be applied to all generally available and currently sold plans." Comments are also due by March 16, replies April 15, on an NPRM on proposals for ACP awareness and outreach efforts, says Monday's FR.