Monday, May 17, 2021
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Internet prices kick off Washington brawl
Washington State Removes All Barriers to Municipal Broadband
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The government has a program to cut your Internet bill. Verizon is using it to force you onto a new data plan.
The government has a new program, the Emergency Broadband Benefit, to help Americans pay their Internet bills. Unfortunately, companies like Verizon are twisting it into an opportunity for an upsell. All Internet service provider participation in the program is voluntary, and each ISP gets to write some of its own rules for how to hand out the money. Soon after the EBB launched, Washington Post readers started sharing their frustrations signing up with certain ISPs. Verizon elicited the most ire. It requires customers to call a phone line to register for the EBB, rather than just signing up online. And when you do, Verizon tells some customers the EBB can’t be used on “old” data plans, so they’ll have to switch. That might be allowed by the letter of the law but certainly isn’t the spirit of the program.
President Joe Biden's promise to cut the price of Americans' internet bills has provoked a fierce lobbying campaign by cable and telecom companies to prove that the cost of broadband has already dropped. Internet providers are desperate to fend off any move to regulate the prices they charge, while the government is increasingly viewing connectivity as an essential service. Internet industry lobbyists are publicly touting studies showing a decline in prices, attacking reports that argue otherwise and telling members of Congress there's no need for new regulations because they already have affordable programs in place.
A senior administration official said the bulk of the evidence shows prices have gone up recently and prices are higher than they are for comparable plans in Europe. President Biden noted the high cost of internet service in March, and the official said, "I don't think we've seen anything since he made those comments to make us feel like we were wrong about that. We're still committed to taking some bold action to make sure that we bring those prices down for folks." The White House also highlighted a working paper from Berkeley Law professor Tejas Narechania. Narechania finds that broadband providers offer slower service for the same price in areas where they lack competition, and proposes a model statute for rate regulation of a basic tier broadband service in areas without competition. The senior administration official said the White House hasn''t taken a position on rate regulation, but noted, "It's pretty clear that it's something that the FCC could do under the existing statutes that it has in its jurisdiction." The other side: Cable and telecom industry groups dispute many of the White House studies, and argue prices are dropping for U.S. customers.
On May 13, Gov Jay Inslee (D-WA) signed the Public Broadband Act (H.B. 1336), removing all restrictions on public broadband in the state of Washington, according to the bill’s primary sponsor, WA State Rep Drew Hansen (D-23). This critical leap forward in Washington drops the number of states with laws restricting community broadband to 17. The bill grants public entities previously restricted by statute from offering retail telecommunications services the unrestricted authority to provide Internet services to end-users. This includes Public Utility Districts (PUDs) and district ports, as well as, towns, second-class cities (defined as those with populations of 1500 or more which have not adopted a city charter) and counties, currently not operating under Washington’s Optional Municipal Code.
Mediacom Communications subsidiary MCC Iowa LLC filed a petition with the Federal Communications Commission seeking review of the rights-of-way management practices of the city of West Des Moines and what the company calls the city’s exclusive relationship with Google Fiber. It focuses on what MCC Iowa says is a $50 million taxpayer financed conduit network that the city is building for the exclusive use of Google Fiber. Mediacom filed a suit, which is ongoing, against the City of West Des Moines and the West Des Moines City Council in Dec 2020. The filing with the FCC claims that West Des Moines is imposing discriminatory burdens on competitors and denying residents in developing areas of the city and elsewhere access to low-cost broadband choices. The petition claims that the agreement materialized “shortly after Google’s primary Iowa lobbyist took his seat on the West Des Moines City Council” and that the service provider retained the mayor’s real estate company to secure office space. Mediacom is asking the FCC to take steps including advising the city to halt construction of the conduit network pending its review and to amend the agreement between the city and Google Fiber to remove exclusive design, financial and permitting preferences and rights.
The Secretary of the Treasury is issuing this interim final rule to implement the Coronavirus State Fiscal Recovery Fund and the Coronavirus Local Fiscal Recovery Fund established under the American Rescue Plan Act. The funds may be used to make necessary investments in water, sewer, or broadband infrastructure. The interim final rule provides that eligible investments in broadband are those that are designed to provide services meeting adequate speeds and are provided to unserved and underserved households and businesses. Understanding that States, territories, localities, and Tribal governments have a wide range of varied broadband infrastructure needs, the interim final rule provides award recipients with flexibility to identify the specific locations within their communities to be served and to otherwise design the project. [See more at https://www.benton.org/blog/treasury-preps-billions-states-and-localitie...
The provisions in this interim final rule are effective May 17, 2021. Even though the rule is in effect, Treasury is seeking public comment. Comments must be received on or before July 16, 2021.
On May 5, 2021, Federal Communications Commission Acting Chairwoman Jessica Rosenworcel responded to various Members of Congress regarding the FCC's efforts to make the broadband deployment data it collects more accurate, particularly after the passage of the Broadband DATA Act. She wrote, "I am pleased to report that we have made significant progress in just a few months, including the efforts highlighted below. In addition, we are actively exploring further near-term efforts to improve our data and outreach and will seek to make information available to the public as we continue to develop the information collection envisioned by the Broadband DATA Act." Acting Chairwoman Rosenworcel highlighted the following actions:
- The formation of a Broadband Data Task Force.
- FCC has begun the contracting necessary to build new databases and systems.
- The issued Request for Information (RFI) to jump-start the contracting process for the creation of the Broadband Serviceable Location Fabric.
- Working with other government agencies to coordinate efforts.
- Stepping up outreach efforts to consumers and other stakeholders, including the public-facing website fcc.gov/BroadbandData.
Rural areas have complained for years that slow, unreliable or simply unavailable internet access is restricting their economic growth. But the pandemic has given new urgency to those concerns, at the same time that President Biden’s infrastructure plan — which includes $100 billion to improve broadband access — has raised hope that the problem might finally be addressed. In a recent survey conducted for The New York Times by the online research platform SurveyMonkey, 78 percent of adults said they supported broadband investment, including 62 percent of Republicans. Businesses, too, have consistently supported broadband investment. Major industry groups such as the US Chamber of Commerce, the Business Roundtable and the National Association of Manufacturers have all released policy recommendations calling for federal spending to help close the “digital divide.”
House Committee on Transportation and Infrastructure Ranking Member Sam Graves (R-MO-06) and Rep. Michael Guest (R-MS) introduced the Eliminating Barriers to Rural Internet Development Grant Eligibility (E-BRIDGE) Act, a bill to remove barriers for communities seeking to use Economic Development Administration (EDA) grants to develop high-speed broadband access. The legislation would remove hurdles for broadband projects under EDA grants, including difficult last-mile efforts that often delay rural broadband deployment. It also ensures that local communities can partner with the private sector in carrying out broadband projects and gives communities more flexibility in complying with their funding match requirements. The bill:
- Eliminates barriers to investments in broadband in distressed communities, making them eligible for EDA grants.
- Clarifies that eligible recipients may include public-private partnerships and consortiums to leverage private sector expertise in project development.
- Provides flexibility in the procurement process to account for limited availability of broadband services in distressed communities.
- Clarifies that funds can be combined with other federal resources.
- Provides flexibility on accounting for in-kind methods to meet non-federal cost share.
Starlink, a new satellite internet service from SpaceX, is a spectacular technical achievement that might one day ______. But right now it is also very much a beta product that is unreliable, inconsistent, and foiled by even the merest suggestion of trees. The Verge has not written a story about broadband access or telecom policy in recent memory without a chorus of commenters responding that Starlink would fix it in some way. Access gap? Starlink. Data caps? Starlink. Wackadoo net neutrality bullshit? Starlink will fix it. Starlink is a lot of very bold engineering advancements packaged up in a $499 consumer product; the whole thing is far more advanced than previous satellite internet systems, which are slow, heavily data-capped, and very expensive. Starlink requires near-perfect line of sight to its satellites, which are often fairly low in the sky. Trees, buildings, and even poles will easily obstruct the signal, so if you’ve got tall trees blocking the horizon there’s really no choice but to get up and over them.
Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org) and Robbie McBeath (rmcbeath AT benton DOT org) — we welcome your comments.
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