Thursday, December 24, 2020
Headlines Daily Digest
Headlines will return Monday, January 4, 2021. For updates next week see https://www.benton.org/headlines
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President Trump vetoes $740 Billion defense bill, citing “failure to terminate” Section 230
FCC Agenda
Universal Service Fund
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Federal Communications Commission Chairman Ajit Pai announced the tentative agenda for the January Open Commission Meeting scheduled for Wednesday, January 13, 2021. Bureau, Office, and Task Force leaders will summarize the work their teams have done over the last four years in a series of presentations:
Panel One – The Commission will hear presentations from the Wireless Telecommunications Bureau, International Bureau, Office of Engineering and Technology, and Office of Economics and Analytics.
Panel Two – The Commission will hear presentations from the Wireline Competition Bureau and the Rural Broadband Auctions Task Force.
Panel Three – The Commission will hear presentations from the Media Bureau and the Incentive Auction Task Force.
Panel Four – The Commission will hear presentations from the Consumer and Governmental Affairs Bureau, Enforcement Bureau, and Public Safety and Homeland Security Bureau.
Panel Five – The Commission will hear presentations from the Office of Communications Business Opportunities, Office of Managing Director, and Office of General Counsel.
The Federal Communications Commission's monthly meetings showcase the agency’s highest-profile work. And by any metric, we have been more productive, more collaborative, and more transparent since January 2017 than at any time in recent history. At the 48 meetings held under my leadership, we’ve voted on a total of 286 items — an average of six (5.96, to be precise) items per meeting. That compares to a recent historical average of well under three. Of the votes on those 286 items, 205 (71.7%) featured no dissents and 253 (88.5%) were bipartisan. These figures are far higher than comparable figures from the four preceding years. On top of all this, we’ve introduced unprecedented transparency into the process. As a Commissioner, I’d long called for the agency to “show its work” — to share with the American public what the FCC would be voting on before we actually voted. In my second week in office, I made this good-government reform happen. It’s now routine for the agency to publish the exact text of Commission meeting items three weeks in advance of any votes being cast; to include a one-page fact sheet describing in plain English what each item does; and to post a monthly blog from yours truly introducing the agenda in a hopefully-engaging way. Bottom line: This FCC has been working hard, working collaboratively, and working openly to deliver results for the American people.
The Federal Communications Commission is directing a group of mobile service providers to respond to a questionnaire about customer usage and costs. The responses of this group, encompassing a significant portion of the Lifeline marketplace by subscribership, will aid the development of the State of the Lifeline Marketplace Report. The FCC also expects this data to inform the policy choices before the FCC regarding the mobile broadband minimum service standards—standards established in 2016 and annually updated.
The National Lifeline Association challenged the Federal Communications Commission's November 2019 Lifeline order which restored the role of states in designating eligible telecommunications carriers (ETCs) to participate in the Lifeline program, clarified the obligations of participating carriers, and took steps to improve compliance by Lifeline ETCs and reduce waste, fraud, and abuse in the program. The issue in this case concerns support payments to ETCs for prepaid Lifeline subscribers in cure periods because of their non-usage of the service. The National Lifeline Association requested a declaratory ruling that Lifeline ETCs are permitted to seek reimbursement for all Lifeline-eligible subscribers served as of the first day of the month, including those subscribers in an applicable 15-day cure period following 30 days of non-usage. The court ruled: "Petitioner’s statutory argument – that the Commission’s interpretation of its applicable rules violates 47 U.S.C. § 214(e) – is foreclosed because Petitioner did not raise this claim with the FCC in the first instance. We also reject Petitioner’s challenge to the FCC’s interpretation of § 54.407. The Commission’s position is compelled by the unambiguous terms of the rules. We therefore find no merit in Petitioner’s claim because it rests on an untenable construction of the disputed rules. Finally, we find no merit in any of the other claims before the court. We therefore dismiss the Petition for Review as to Petitioner’s statutory argument and deny all other claims."
The Federal Communications Commission's Wireline Competition Bureau directed the Universal Service Administrative Company (USAC) to add to the Database of Urban and Rural Rates for the Telecommunications Program (Telecom Program Rates Database) rates for all funding requests committed since its launch. On June 30, 2020, the Bureau directed USAC, among other things, to include data from both the E-Rate and Rural Health Care Programs from the three most recent available funding years to identify the median rates when establishing the Telecom Program Rates Database. To provide certainty as to the median rates upon which support amounts are based, the Telecom Program Rates Database uses data as of a set date. Accordingly, at the launch of the Telecom Program Rates Database on July 1, 2020, the data included was as of June 30, 2020. The Bureau separately directed USAC to provide a two-month period for stakeholders to provide supplemental rate information following the launch of the Telecom Program Rates Database.
The Federal Communications Commission announced a settlement with IBM for alleged violations of the FCC’s E-Rate program rules in connection with the New York City and El Paso school districts. IBM agreed to return $24.25 million to the Universal Service Fund. In past years, IBM provided communications services to the New York City Department of Education and the El Paso Independent School District in Texas using E-Rate subsidies. FCC investigations found that IBM had not satisfied the FCC's competitive bidding rules in New York for Funding Years 2005-2008 and had provided ineligible equipment and services in El Paso for Funding Year 2001. E-Rate program rules require applicants to seek competitive bids from prospective service providers and to treat prices for eligible products and services as the primary factor when selecting among competing service providers. These competitive bidding and eligibility rules are in place to ensure that federal funds are used efficiently and distributed in a fair and transparent manner. In addition to the $24.25 million payment, IBM has agreed to provide training to its employees concerning the Commission’s competitive bidding and eligibility requirements prior to submitting future bids in connection with the E-Rate program.
The Communications Workers of America (CWA) has asked the Federal Communications Commission to reject efforts by West Virginia legislators to block Frontier Communications’ successful bid for Rural Digital Opportunity Fund (RDOF) funding. Frontier won $247 million to serve almost 79,000 locations in the state. It says that it will bring gigabit connectivity to many of those locations. The company is currently in bankruptcy, but expects to emerge in the first quarter of 2021. A CWA letter about Frontier, which is addressed to outgoing FCC Chairman Ajit Pai, is a response to two letters from West Virginia legislators. One is a December 9 letter from Senator Shelley Moore Capito that expresses concerns and asks the FCC to keep this in mind as it reviews the long-form application required for the Frontier RDOF win. The other is a December 16 letter from a group of legislators urging rejection of the long-form application in the auction. The CWA Frontier letter is from District 2-13 Vice President Ed Mooney. It argues that Frontier’s bankruptcy reorganization will reduce the company’s debt obligation by more than $10 billion and its annual interest obligations by $1 billion. This, the letter said, will better position Frontier for broadband success.
The broadband and telecom industry managed not only to meet increased demand during the pandemic but also to make progress on broader initiatives, as we note in our roundup of 2020 telecom trends.
- Telco/ Electric Partnerships are a Real Thing Now.
- Broadband Industry Unscathed by Pandemic.
- Rural Broadband Finally Gets Policymakers’ Attention.
- Broadband Gets Faster – in Lots of Different Ways.
- Fixed Wireless Sees Broad Adoption.
- Fierce Competition in 5G.
- Spectrum Never Goes Out of Style.
- Video Business Gets More Splintered.
- Telecom Bankruptcies Prove to be No Big Deal.
- Broadband M&A Remains Hot.
President Donald Trump has vetoed funding for the US military because the massive defense spending bill did not include a provision to repeal Section 230 which grants Internet service providers, including online platforms, broad immunity from being held legally liable for content third-party users share and grants those same services legal immunity from the decisions they make around content moderation. The National Defense Authorization Act would have authorized $740 billion in defense spending for the upcoming government fiscal year. The NDAA usually moves through Congress with broad bipartisan support, and this year's is no exception. Both chambers supported the bill by wide, veto-proof margins—the House approved by a vote of 335 to 78, and the Senate approved it 84 to 13.
"No one has worked harder, or approved more money for the military, than I have," said President Trump, claiming without evidence that the military "was totally depleted" when he took office in 2017. "Your failure to terminate the very dangerous national security risk of Section 230 will make our intelligence virtually impossible to conduct without everyone knowing what we are doing at every step."
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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