Universal Service Fund

House Communications Subcommittee Chairman Marsha Blackburn (R-TN) announced a third series of bills introduced by subcommittee members on expanding broadband infrastructure in rural America. The bills aim to advance broadband deployment in disaster areas, as well as support innovation and remove obstacles to expansion.

[Commentary] With an upcoming Federal Communications Commission vote on whether cellphone data speeds are fast enough for work, entertainment and other online activities, Americans face a choice: Is modest-speed internet appropriate for rural areas, or do rural Americans deserve access to the far faster service options available in urban areas?

[Commentary] The Federal Communications Commission estimated in 2017 that to deploy high-speed broadband to 98 percent of American homes, it would cost $40 billion. For 100 percent, the cost doubles. Which is why greater broadband infrastructure funding — both public and private — is urgently needed in remote areas, where the cost of connectivity infrastructure remains extreme.

Federal Communications Commission rural broadband funding could increase by over $500 million if the commission votes to adopt an order circulated by FCC Chairman Ajit Pai. The the funding would include about $180 million for the current funding year for the nation’s smaller rate-of-return (ROR) carriers who get their support through traditional legacy mechanisms and up to $360 million over the next 10 years to ROR carriers who receive support based on the FCC's Alternative-Connect America Cost Mode (A-CAM). The $500 million would come, in part, from reserves.

Federal Communications Commission Chairman Ajit Pai shared with his fellow commissioners an order to promote more high-speed broadband deployment in rural areas. If adopted, it would provide over $500 million in additional funding for cooperatives and small rural carriers. The order would also put in place strong new rules to prevent abuse of the high-cost program.

For many low-income Americans, internet connectivity is a struggle. About half (53%) of those in households with annual incomes under $30,000 have a home broadband internet subscription plan, compared with 93% of households whose annual incomes exceed $75,000. This makes closing connectivity gaps a priority for policymakers, the non-profit sector, and many internet service providers (ISPs). What is perhaps less appreciated is the variety of models that have arisen to try to reach those without broadband at home. The population of non-home broadband users is not monolithic.

Under changes the Federal Communications Commission recently proposed, fewer people may receive subsidized broadband service under the Lifeline program. Those left out will struggle to do online tasks such as filling out a job application, or paying bills online. About 12.5 million low-income people across the country, and thousands in Ohio, could be affected.There are even health implications, since so much of today's medicine relies on patients having the ability to make appointments, refill prescriptions and view test results online.

On Oct 30, 2017, Rep John Ratcliffe (R-TX) wrote to Federal Communications Commission Chairman Ajit Pai to take action to address the budget shortfall in certain parts of the High-Cost Universal Service Fund (USF).

January 20 marks the one-year anniversary of Donald Trump’s inauguration. With little indication of what his communications policy plans were before the election, now seems a good time to reflect on what his Administration’s priorities have been over the past 12 months. Here’s a look at what Trump's Federal Communications Commission decided to tackle first in 2017.

[Commentary] If some areas end up with no winning bidder, does that mean the Federal Communications Commission's Connect America Fund Phase II auction is a failure? The answer is “No!” The FCC will need to look at the results of the Phase II auction to evaluate how universal service auctions are different in practice from spectrum auctions, and adjust accordingly, as necessary.