Mark Goldstein

Competing television stations are entering into agreements to share or outsource services, and some policymakers are concerned about the effects of these agreements on competition and programming. The Government Accountability Office was asked to review issues related to broadcaster agreements.

This report examines (1) the uses and prevalence of broadcaster agreements; (2) stakeholders' views on the effects of broadcaster agreements; and (3) the extent, if at all, that Federal Communications Commission has regulated these agreements.

GAO recommends that the FCC should determine whether it needs to collect additional data to understand the prevalence and context of broadcast agreements and whether broadcaster agreements affect its media policy goals of competition, localism, and diversity.

The Federal Communications Commission has implemented four industry- wide reforms and the initial phases of two carrier-specific reforms for the Universal Service Fund’s (USF) high-cost program.

However, the FCC has encountered delays implementing the subsequent phases and more complex carrier-specific funding reforms that require extensive cost modeling and stakeholder input.

This report examines 1) the extent to which the FCC implemented funding reforms, 2) the extent to which the FCC is collecting data to determine the effectiveness of the reforms, and 3) what changes, if any, states have made in USF funding. The Government Accountability Office recommends that the FCC demonstrate how high-cost funds were used to improve broadband availability, service quality, and capacity.

Increasingly, small businesses rely on Internet-based applications to improve efficiencies and expand market access. Although broadband Internet access is widely available to businesses, areas of the country remain that still have little or no access.

Since 2008, federal programs have provided over $15 billion in funding to help deploy broadband to these areas. Additionally, some municipal governments have begun to build and operate networks to provide broadband access to their communities. GAO was asked to describe issues related to broadband availability for small businesses.

This report addresses (1) the federal government's efforts to ensure the availability of broadband services for small businesses, and (2) the effect of selected federally funded and municipal networks on broadband service and small businesses. GAO reviewed documents and interviewed officials from five federal agencies that support broadband deployment and research on broadband availability. Federally funded programs to expand broadband access encompass but do not specifically target small businesses.

These programs -- the Broadband Initiatives Program (BIP), Broadband Technologies Opportunities Program, Community Connect Grants, Connect America Fund, Rural Broadband Access Loan and Loan Guarantee Program, and Telecommunications Infrastructure Loan Program -- have eligibility requirements based on the need of an area, as well as deployment requirements that can maximize the number of businesses served. Improvements to broadband service have resulted from federal funding and the existence of municipally operated networks. Service providers have used federal funding for expansions and upgrades, such as building out to previously unserved areas and replacing old copper lines with fiber optic cable, resulting in faster and more reliable broadband connections.

[March 10]