Why Community Anchor Institutions Should Care About the Connect America Fund

[Commentary] Anchor institutions like schools, libraries and health care providers play an important role in bringing connectivity to their local communities. But advances in telemedicine and education will not be fully realized if rural consumers do not have adequate broadband service at home. School aged children will struggle if they cannot do their homework. Individuals with medical conditions that require active monitoring – diabetes, congestive heart failure and more – need broadband at home to transmit critical medical data in real time to medical professionals.

That is why local government officials and anchor institutions should be paying attention to the implementation of the Connect America Fund, now and in the years ahead. The FCC is working to hold an auction in 2018 to award nearly $2 billion in funding over the next decade from Phase II of the Connect America Fund to service providers to extend fixed broadband to unserved residential and small business locations, and a separate auction to award $4.53 billion in funding over a decade from Phase II of the Mobility Fund to mobile wireless providers to extend LTE service to rural America. Any entity willing to provide the requisite level of service set by the FCC and meet other requirements can bid in those auctions for the subsidy.

Local leaders should ask: is it possible to utilize funding in a more coordinated way from E-rate, the Rural Healthcare program, and the Connect America Fund to build a business case to serve the entire community? What efficiencies might be gained from building an integrated broadband network for the entire community? Are the service providers that currently participate in any of these FCC’s universal service programs planning to bid in these upcoming Connect America Fund auctions? Who else might bid?

[Carol Mattey is the principal of Mattey Consulting LLC, which provides strategic and public policy advisory services to broadband providers, governmental agencies, non-profit organizations, and other entities active in the telecommunications arena]