More state commissions are eyeing contribution and other USF changes. The Oklahoma Corporation Commission may vote later this year on a USF administrator recommendation to switch to a connections-based mechanism. The Texas Public Utility Commission asked legislators to consider USF contribution changes next year. Oregon, New Mexico and Nebraska commissions are also reviewing state USF.
The FCC Wireline Bureau tied up loose ends on a USF telecom rebuild program for Puerto Rico and the U.S. Virgin Islands (see 2002250038). The application window for the Stage 2 competitive process opened Thursday and closes Sept. 3, the bureau said in Friday's Daily Digest. The bureau also released an updated list of the eligible minimum geographic areas and associated annual reserve prices, and location counts for Puerto Rico and the U.S. Virgin Islands for Stage 2 fixed support. It agreed to waive some letter of credit requirements for participants (see 2004080036).
The Tanana Chiefs Conference of Fairbanks, Alaska, urged the FCC Tuesday to take “expedited action" to review a Universal Service Administrative Co. decision denying its request to file three FCC Form 466 USF Rural Health Care Program funding applications outside the FY 2016 filing window. TCC cited President Donald Trump’s Monday executive order, which made permanent for rural communities an expansion of Medicare recipients’ eligibility to receive 135 types of services via telehealth (see 2008040068). The White House “tasked” the FCC “to work with other government agencies to ‘develop and implement a strategy to improve rural health by improving the physical and communications healthcare infrastructure available to rural Americans,’” TCC counsel Ronald Quirk said in a filing in docket 02-60. “Granting TCC’s Waiver Request comports with” the EO since “failure to grant … would result in the communities served by TCC suffering serious hardships if funding for the subject health clinics is denied.”
The FCC got broad opposition to a proposal for deregulating telephone access charges in an April NPRM (see 2007070025), in comments posted through Wednesday in docket 20-71. The agency cast the TAC NPRM as a bid to “eliminate outdated and unnecessary regulations” and simplify bills for consumers.
Network Communications International Corp. and Securus won't get USF contribution forbearance, FCC members ordered 5-0 Friday. That's "given the critical role" the fund "plays in bringing connectivity to rural and low income Americans, schools, libraries, and health care providers, and the statutory directive to collect equitable and non-discriminatory contributions from all providers of interstate telecommunications services." Both companies’ petitions were denied in an order saying inmate calling service providers must participate. "To exempt ICS providers from contributing to the Fund would undermine the broad funding base for universal service, would not be competitively neutral, and would not be in the public interest," said the order. “We’re basically taxing the people who should be benefiting from the USF,” said NCIC President Bill Pope in an interview. He was referring to those who are incarcerated and said he hasn’t decided whether he will try to challenge the FCC decision. A lawyer who has represented Securus didn't comment. NCIC wasn't expected to succeed in its request (see 2007170049).
A Senate block on FCC Commissioner Mike O’Rielly is likely to delay reconfirmation until at least after Congress’ upcoming August recess and potentially until after the November election, lawmakers and lobbyists said in interviews last week. Armed Services Committee Chairman Jim Inhofe, R-Okla., placed a hold last week on O’Rielly that he said will last until the commissioner publicly “states that he will vote to overturn” the order approving Ligado’s L-band plan (see 2007280039). President Donald Trump nominated O’Rielly in March to a term ending in 2024 (see 2003180070).
The time to lobby the FCC on Network Communications International Corp.'s USF forbearance petition ended Monday, said an FCC public notice Wednesday. NCIC's request was made Aug. 9 and deals with inmate calling services, the PN noted. The statutory date the forbearance is deemed granted, "in the absence of Commission action on the petition," is Aug. 10, the agency said. A draft, an FCC official told us, would reject the change the ICS provider sought (see 2007170049).
Oklahoma’s USF administrator will extend temporary emergency funding for increased bandwidth at schools, libraries and healthcare facilities through Dec. 31, Oklahoma Corporation Commission Public Utility Division Director Brandy Wreath wrote stakeholders Tuesday. The COVID-19 support was to end Sept. 30.
California lawmakers tinkered with rival bills on state broadband funding. Eyes are on the clock after the Assembly Communications Committee postponed Tuesday's hearing on SB-1130 to raise the standard to 25 Mbps symmetrical. The delay was due to an unrelated row over the relative volume of bills in the legislature, and it's the second time the committee delayed the hearing. A $100 billion state stimulus bill unveiled Monday included broadband for distance learning.
NARUC President Brandon Presley will propose a resolution on slashing intrastate inmate calling service rates at the state regulator association’s next meeting in November, Presley tweeted Friday: “This is a moral issue.” NARUC agreed Thursday with FCC Chairman Ajit Pai’s call to lower rates, though many state commissions may lack jurisdiction (see 2007230065). The New Jersey Board of Public Utilities added itself to the list of commissions that don’t set rates. They are set by a request for proposal process through state's Treasury and Corrections departments, a spokesperson emailed us Friday. Granting a forbearance petition to remove USF contribution requirements for ICS providers would provide more relief to inmates and families than the FCC’s plan to reduce interstate rates by 24% to 16 cents from 21 cents, said NCIC Inmate Communications in an FCC filing Friday about a call with a Pai aide. NCIC’s proposal would reduce the cost of every ICS call 27% based on the current quarterly contribution factor. If the FCC granted forbearance and reduced rates, the combined effect would be to lower the per-minute cost to 16 cents from 27 cents, the company said: That would reduce the USF budget by less than 0.5% “while providing immediate and direct relief to millions of families.”