On August 31, 2010, the Federal Communications Commission undertook steps for fiscally responsible universal service fund reform. Verizon Wireless and Sprint Nextel, in separate transactions in 2008, each committed to surrender their high-cost universal service support over five years, but those commitments have yet to be implemented. Corr Wireless has asked that any support reclaimed from Verizon Wireless and Sprint Nextel be redistributed to other competitive eligible telecommunications carriers (ETCs). In this Order, the FCC a) provides clear instructions for implementing Verizon Wireless's and Sprint Nextel's commitments; b) holds that the surrendered support need not be redistributed to other competitive ETCs in all cases; and c) directs that the surrendered support be reserved as a potential down payment on proposed broadband universal service reforms as recommended by the National Broadband Plan, including to index the E-rate funding cap to inflation to enhance broadband opportunities for children, teachers, schools, and libraries; support a Mobility Fund to provide wireless broadband service in areas that lack coverage; improve utilization of the Rural Health Care program to advance telemedicine in rural areas across the country, including Tribal lands; and, in the long term, directly support broadband Internet services for all Americans. In addition to accelerating universal access to broadband, this approach to implementing Verizon Wireless's and Sprint Nextel's commitments also reduces payments that support potentially duplicative legacy voice services and stabilizes consumer contributions to the universal service fund.
Comment due date: 10/07/2010
Comment reply due date: 09/21/2010