Public Interest Spectrum Coalition Opposes FCC “Wi-Fi Tax” Proposal in 2022 Regulatory Fees Assessment

Public Interest Spectrum Coalition (including Public Knowledge, New America, the Benton Institute for Broadband & Society, Access Humboldt, Center for Rural Strategies, Tribal Digital Village, the Institute for Local Self Reliance, and the Schools, Health, Libraries & Broadband Coalition) filed comments with the Federal Communications Commission in response to the FCC’s Notice of Proposed Rulemaking on regulatory fees for 2021. The filing outlines why the Commission should reject its flawed and confusing proposal to require unlicensed spectrum users to pay regulatory fees.

The Communications Act requires the FCC to annually assess regulatory fees on those it regulates to offset the cost of operating the agency. Congress sets the FCC’s budget annually, which then triggers the assessment and collection of regulatory fees. The National Association of Broadcasters (NAB) has repeatedly asked the FCC to assess fees against “users of unlicensed spectrum,” or at least “Big Tech,” as doing so, it asserts, would spread the fees across a larger group of payors, reducing the fees paid by broadcasters and others. As part of the Further Notice of Proposed Rulemaking to assess the 2022 Regulatory Fees, the FCC—for the first time—explicitly seeks comment on this proposal. “Unlicensed spectrum” is used by practically every consumer and industry for Wi-Fi routers, Bluetooth-enabled devices (like fitness trackers and portable speakers), baby monitors, garage door openers, and any other device that does not require an express, exclusive license from the FCC to operate. A regulatory fee assessed on “unlicensed spectrum users” would mean a fee on users of any Wi-Fi and other unlicensed-enabled devices.