Size of Mobility Fund Should Be Based on Actual Need, CCA Tells FCC
The Competitive Carriers Association warned that amounts proposed for the Mobility Fund II are inadequate. Replies were due last week on oppositions to various reconsideration petitions on the February FCC order launching the MF-II (see 1702230042). U.S. Cellular recently released…
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a study on how much funding would be necessary to build and maintain a 4G LTE network in rural areas, CCA said. “Annual maintenance capital costs ... would be approximately $1.05 billion, while annual operational expenses ... would be approximately $1.08 billion, in total approximately five times the amount budgeted for MF II,” CCA commented in docket 10-90. “Absent contrary evidence, such a fact-driven study should be relied upon by the FCC to determine an appropriate budget.” CCA asked the FCC to rethink a requirement that MF-II fund applicants secure a letter of credit before authorization of support. The requirement could limit the number of companies that apply, CCA said. It's "critically important that this USF support reaches areas in-need, especially unserved and underserved locations, and the FCC must implement a framework that encourages robust participation in the program through clear, cost-efficient goals,” President Steve Berry said in a news release. T-Mobile defended its arguments to reconsider MF-II order speed and latency thresholds. The carrier said it “demonstrated that the speed requirements adopted in the Mobility Fund Order exceed the actual median data speeds consistently provided.” Only the Rural Wireless Association opposed its calls for change, T-Mobile said. RWA said it was right to urge the FCC to utilize a 5 Mbps download threshold to determine an area’s eligibility for MF-II support, instead of 10 Mbps: The lower number "conflicts with the Commission’s statutory mandate to ensure that rural areas have access to services that are reasonably comparable to those available in urban areas.”