Rural Groups Urge FCC to Look Beyond Cuts and Caps for USF Reform

In comments filed with the Federal Communications Commission, four rural telco organizations urged the FCC not to adopt certain Universal Service reforms proposed in a notice of proposed rulemaking (NPRM) released late last year.

The National Exchange Carrier Association, the National Telecommunications Cooperative Association, the Organization for the Promotion and Advancement of Small Telecommunications Companies and the Western Telecommunications Alliance argued that Universal Service reforms adopted thus far for rural carriers “have consisted entirely of caps, cuts and phase-outs to cost recovery components.” The groups urged the FCC to focus on developing “sufficient, predictable and meaningful” Universal Service and inter-carrier compensation (ICC) mechanisms to support broadband services in areas served by rural carriers. In the comments, the groups ask the FCC at a minimum to provide Universal Service support for “stand-alone broadband offerings, middle mile costs and conversions to IP-enabled switching.”