Despite expectations that the affordable connectivity program (ACP) will run dry in days, telecom companies continued arguing in comments last week that the California Public Utilities Commission should take its time forming its response. However, while larger ISPs slammed consumer advocates' proposal, small local exchange carriers said they would work with the advocates on a compromise that quickly expands California LifeLine support to broadband.
Don’t wait to see if Congress finds funding for the affordable connectivity program (ACP), the Center for Accessible Technology (CforAT) urged the California Public Utilities Commission in comments Wednesday. The consumer group supported a petition from The Utility Reform Network (TURN) and the CPUC’s independent Public Advocates Office to modify a 2022 decision that made rules for the California commission’s federal funding account (FFA), which uses broadband funding from the U.S. government (see 2404150062). The petition “accurately highlights that the current FFA rules will become outdated shortly with the anticipated end of the ACP, and it reasonably requests that the Commission modify the FFA rules to support ongoing broadband affordability,” CforAT said in docket R.20-09-001. “The Commission should not delay based on the efforts currently underway to extend the ACP, as the fate of these efforts is uncertain, and the status quo would result in loss of service for program participants.” The CPUC can hit the brakes should ACP get money, it added. But the telecom industry said granting the petition would delay money going out the door to expand broadband. Also, the industry urged the CPUC to avoid using ACP's possible end as an excuse to relitigate settled issues, echoing comments it made days earlier on a separate TURN petition seeking changes to a different grant program (see 2405140037). Thanks to flexible FFA rules, the CPUC "received an unprecedented amount of interest with over 480 applications and at least two applications per county,” commented AT&T. Granting TURN and PAO’s petition will only further delay awards for the applications that already have been pending for eight months, said the carrier: But the CPUC must make awards by Dec. 24 or send the cash back to the U.S. Frontier Communications said the CPUC should “swiftly deny” the petition. "The Commission should not allow the state’s broadband infrastructure deployment objectives to be diverted or delayed by Petitioners’ agenda to revisit rejected policy proposals addressing affordability." AVX Networks and Cal.net piled on. “There is no reasonable basis to delay FFA awards indefinitely while the Commission considers whether to add a completely new requirement on FFA award recipients,” they said. A group of small rural local exchange carriers agreed. “This Petition would compromise the efficacy of this time-sensitive federal grant program, potentially squandering critical federal support for rural infrastructure deployment and impairing the state’s efforts to close the digital divide,” the LECs said.
Verizon’s Tracfone was chosen as exclusive service provider for California’s next foster-youth pilot program, the California Public Utilities Commission said Wednesday. T-Mobile provided service for an earlier pilot. Tracfone “pledges to meet all requirements of the Foster Youth Pilot, including providing each eligible participant with a smartphone equipped with hotspot capabilities, a charging device, unlimited voice and text messaging, 25 GB of mobile data, and 10 GB of hotspot data, all at no cost to the participant,” Chari Worster, the CPUC’s California LifeLine program and project supervisor, wrote in an email to the service list for docket R.20-02-008. California commissioners unanimously supported the pilot at their meeting last week (see 2405090063).
A possible $2 billion clawback "would keep broadband as a key state priority," California Assembly Communications Committee Chair Tasha Boerner (D) said this week. With the state facing a tough fiscal situation, Gov. Gavin Newsom (D) Friday announced a May budget revision that included taking back promised additional funding for the state’s middle-mile network and eliminating a broadband fund for local governments. However, some digital equity advocates are sounding the alarm with state legislators.
The possible end of the federal affordable connectivity program (ACP) isn't an excuse to make sweeping changes to state broadband grant rules, ISPs told the California Public Utilities Commission this week. In Monday comments (docket R.20-08-021), AT&T, Frontier Communications, cable companies and small rural local exchange carriers urged the CPUC to swiftly reject last month’s The Utility Reform Network (TURN) petition to modify rules for the California Advanced Services Fund (CASF) broadband infrastructure account (see 2404150062).
A California proposal to allow people without social security numbers (SSNs) to sign up for low-income telecom support was mostly supported in comments Friday at the California Public Utilities Commission. However, consumer advocates sought tweaks to the CPUC staff proposal to ensure maximum inclusion and disagreed with T-Mobile’s Assurance Wireless on whether accepting applications without SSNs should be mandatory. Other companies generally praised the staff plan while seeking more clarity on certain details.
California might deny AT&T's application for carrier-of-last-resort (COLR) relief. The state's Public Utilities Commission will vote during its June 20 meeting on a proposed decision dismissing the carrier’s application in docket R.23-03-003. Comments are due May 30. Also, the CPUC said it plans to open a rulemaking on possibly revising COLR rules. The state commission’s withdrawal rules require another existing COLR or a replacement in the area where a company is leaving, CPUC Administrative Law Judge Thomas Glegola said in the proposal. “No other COLR serves AT&T’s service territory. No potential COLR applied to replace AT&T.” The commission delayed the proceeding so it could find possible replacements (see 2403120052). The CPUC received more than 5,000 public comments about the AT&T application and more than 5,800 people attended eight public forums around the state, said a CPUC news release. Many raised concerns that wireless and VoIP were unreliable, the agency said. “Despite AT&T’s contention that providers of voice alternatives to landline service -- such as VoIP or mobile wireless services -- can fill the gap,” the CPUC’s tentative decision finds that the carrier “failed to demonstrate the availability of replacement providers willing and able to serve as COLR, nor did AT&T prove that alternative providers met the COLR definition,” the CPUC said. The COLR rules don’t stop AT&T from retiring copper or investing in fiber, the agency added. AT&T is disappointed because “we’d hoped the commission would allow us the opportunity to demonstrate why the number of options for voice service available to customers make the COLR obligation unnecessary,” a company spokesperson said. “Not surprisingly, no providers were interested in bidding on a service with a declining number of customers given the competitive options available in today’s marketplace.” AT&T looks forward to participating in future CPUC evidentiary hearings on COLR rules, the spokesperson added.
T-Mobile voluntarily dismissed its complaint against the California Public Utilities Commission regarding the state’s shift to a per-line universal service fund surcharge. The 9th Circuit Court last month affirmed the U.S. District Court for Northern California decision to deny a preliminary injunction against the CPUC (see 2404260066). The 9th Circuit said the carrier failed to show a likelihood of success. “This notice of voluntary dismissal is being filed with the Court before Defendants have served either an answer or a motion for summary judgment … and by operation of law, the dismissal is without prejudice,” T-Mobile said Thursday at the district court (case 3:23-cv-00483-LB).
The California Public Utilities Commission set next steps for foster youth and broadband equity, access and deployment (BEAD) programs through two 4-0 votes at a livestreamed meeting Thursday. The vote on extending the CPUC’s current foster youth pilot program beyond July came after multiple delays as the agency and stakeholders considered how to ensure a seamless transition. And even with the first volume of California’s BEAD plan done, much work remains to achieve maximum broadband across the state, California commissioners said.
The California Public Utilities Commission could freeze the state LifeLine specific support amount (SSA) for wireline and wireless providers at $19 until it adopts another method for calculating the SSA, Administrative Law Judge Robyn Purchia said in a Monday ruling in docket R20-02-008. Purchia sought comments on the possible freeze by June 3. Replies will be due June 14. Carriers in January comments resisted a CPUC staff proposal for updating the method (see 2401250051). “We agree with parties’ recommendations to further analyze market conditions, customer impacts, pilot results, and the regulatory landscape,” Purchia wrote. “However, we also see a need to de-link the SSA from the highest [carrier of last resort] basic rate before rates increase again in 2025.”