Rural Senators Want USF to Support Broadband
Broadband should be part of the Universal Service Fund (USF) program, rural senators told a Thurs. Senate Commerce Committee hearing. The FCC can do that, but Comr. Copps doubts he can get the other 2 votes needed for a rulemaking clarify that broadband can be included in USF, he said. Panelists favoring USF-sponsored broadband said congressional action would be the quickest route.
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Comr. Tate also believes the FCC has the authority to add broadband to USF coverage, she said, hedging her endorsement by saying the question must be studied but saying she would “encourage the chairman to take action.” The USF board may need to consider the matter and refer it to the FCC, said John Burke, member of the federal-state joint board on universal service. The FCC should consider how to add broadband without “unduly burdening the Fund,” he said.
“I've been on 12 bills to do with broadband and nothing ever happens,” said Sen. Rockefeller (D-W.Va.), expressing frustration with Congress and the FCC. He wants FCC policies that limit the fund’s growth to avoid a cap -- for instance by requiring broadband providers to begin to pay into the system, he said. He noted that FCC Chmn. Martin has said he has the power to broaden agency authority to include broadband in USF, but not the money to follow through.
“If you want to move fast, you have to take congressional action,” said Bill Jack Gregg, dir.-W.Va. Consumer Advocate Division. He told Rockefeller it would take 2 years for the FCC to revise its regulations to say that advanced services would apply to broadband. “Congress needs to change the Act,” he said. “You got an amendment?” Rockefeller asked. Gregg outlined technical information for making the change. “The clerk has recorded that,” Rockefeller said.
Other senators said they second Rockefeller’s goals. “The future is wireless and broadband,” Sen. Pryor (D-Ark.) said: “We have to make sure that all Americans have access to broadband.” Pryor co-sponsored a bill introduced Tues. by Sens. Smith (R-Ore.) and Dorgan (D-N.D.) to broaden the USF contribution base to include all 2-way communications services. The bill also would ensure that a carrier wouldn’t have to contribute more than once for the same service and require the FCC to set rules for a fund dedicated to providing broadband in rural areas.
Smith’s bill would give $500 million yearly in USF funds for broadband facilities-based providers. NTCA voiced support for the bill, saying it would help sustain the program. And Congress should authorize the FCC to assess intrastate revenue, broadband service providers and VoIP providers, Sen. Snowe (R-Me.) said: “The fund will be sustainable if its cost is spread out fairly among network users,” Snowe said. She urged intercarrier compensation rule reform, pushing for a permanent exemption of USF from Anti- Deficiency Act rules.
Chmn. Inouye (D-Hawaii) plans a briefing on USF and wireless as legislation comes before the committee, he said.