5G Fund for Rural America

Between the American Rescue Plan Act, the Consolidated Appropriations Act of 2021, and the Rural Digital Opportunity Fund (RDOF), billions of federal dollars are pouring in to fuel broadband deployments. But all of these funding sources have one thing in common: they all focus heavily on fixed and fixed wireless deployments.

On March 2, 2021, Senate Commerce Committee Ranking Member Roger Wicker (R-MS) asked Federal Communications Commission Acting Chairwoman Jessica Rosenworcel for a detailed status of funds report for all Universal Service Fund (USF) accounts, including but not limited to the Connect America Fund (CAF), Lifeline Program for Low-Income Consumers, E-Rate - Schools & Libraries Program, and the Rural Health Care Program.

Pressure is rising on the Federal Communications Commission and Congress to rethink the $8 billion Universal Service Fund that subsidizes phone and broadband service, as it teeters on a shrinking budget base. Big phone companies like AT&T, entities that benefit from USF programs, and public interest groups see the Biden administration as a new opportunity to press their case for an overhaul of the funding mechanism.

This is the twenty-third report in a series prepared by federal and state staff members for the Federal-State Joint Board on Universal Service. The findings are reported in seven sections: Section 1 of the report provides an update on industry revenues, universal service program funding requirements, and contribution factors. Sections 2 through 5 provide the latest data on the low-income, highcost, schools and libraries, and rural health care support mechanisms.

The 5G Fund Supporters -- which includes the Multicultural Media, Telecom and Internet Council, Rainbow-PUSH and the NAACP -- asked the Federal Communications Commission to clarify how it plans to ensure that 1) the upcoming 5G mobile broadband subsidy program will accommodate needy areas other than rural, and better ensure 2) that diverse contractors have a chance at the money.

The next leadership team of the Federal Communications Commission must prioritize restoring the agency’s authority to protect consumers and competition in the broadband market. Under the next administration, FCC leadership should quickly commence a proceeding proposing to reclassify broadband as a “telecommunications service” under Title II of the Communications Act of 1934. This reclassification puts the FCC on the firmest legal ground to

Tuesday, November 3, is Election Day. And as you may well be trying to decipher the latest polls to predict who'll be running the federal government for the next four years, policymakers haven't taken a break. Here's a quick recap of the major news of the week.

On October 27, the Federal Communications Commission is expected to vote to create the 5G Fund for Rural America, a new program supported by the Universal Service Fund. The 5G Fund will replace the FCC's existing Mobility Fund which has been used to support deployment of 4G LTE networks in rural, insular, and high cost areas of the country. The FCC will distribute up to $9 billion in universal service support to bring mobile voice and 5G broadband service to rural areas of the country. The deployment of networks capable of providing this 5G service undoubtedly will be expensive.

Federal Communications Commission Chairman Ajit Pai announced that the items below are tentatively on the agenda for the October Open Commission Meeting scheduled for Tuesday, October 27, 2020:

The House Appropriations Committee approved the fiscal year 2021 Financial Services and General Government bill on a vote of 30 to 22. The legislation provides annual funding for the Department of the Treasury, the Judiciary, the Executive Office of the President, and other independent agencies, including the Federal Communications Commission. The bill includes $376.1 million for the FCC, an increase of $37.1 million above the FY 2020 enacted level. This includes funding to implement new broadband mapping legislation.