FCC Grilled Over USF Reform Impact On Telecom In Native Lands

The Federal Communications Commission came under some fire in a Senate committee for the impact of Universal Service Fund reforms on carriers serving Native lands, which are being implemented beginning July 1.

Those reforms include phasing out some legacy phone support as the FCC migrates to wired and wireless broadband, legacy support smaller carriers have been using to secure long-term loans made by another government agency, the Agricultural Department's Rural Utilities service (RUS). Senate Indian Affairs Committee Chair Daniel Kahikina Akaka (D-Hawaii) said that the FCC's Universal Service reforms have "disproportionate and potentially dangerous" impacts on Native communities. Various legislators weighed in with their concerns that the reforms would cut off $600,000 in annual support to some companies supplying communications services in high-cost Native areas as the FCC migrates support from phone to broadband.

FCC Commissioner Mignon Clyburn came to the FCC's defense. She told the committee that the reforms "will make a significant dent in the digital divide." She also pointed out that there was a waiver process in place "for those carriers who cannot adjust to the reforms." She also pointed to the FCC's Office of Native Affairs, which is helping with the transition.