Monday, June 28, 2021
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Emergency Broadband Benefit Complaints
Infrastructure Deal Pins Funding Hopes on 5G Airwaves
FCC, NTIA, USDA Sign Interagency Agreement on Broadband Deployment Funding
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Digital Inclusion
The Federal Communications Commission is receiving consumer complaints concerning the disconnects between benefits touted as part of the Emergency Broadband Benefit Program and the frequent failure of broadband internet access service providers to deliver on those promises. Some providers are forcing consumers to change plans in order to get the $50 monthly subsidy or not validating customers' already-established eligibility to participate. About 19% of the complaints reported service-tier issues that complicated the participation in the program. Most of these consumers told the FCC they were being required to upgrade their plans — or in a few cases, to downgrade — in order to qualify for the benefit. Another 30% of the complainants said they experienced difficulties with getting providers to recognize their eligibility to receive the benefits, even after qualifying for the program through the FCC's sign-up portal. The other half of the complainants reported miscellaneous issues with the program.
Incremental progress and temporary band-aids to mend the digital divide aren't a sufficient response to such a fundamental obstacle to equity and opportunity; as the late Congressman and civil rights icon John Lewis argued, unequal internet access is "the civil rights issue of the 21st Century." That's why Congress must now work to transform the temporary Emergency Broadband Benefit initiative into a permanent broadband assistance program. Civil rights advocates–including the National Urban League, the NAACP, and the Multicultural Media, Telecom and Internet Council–have laid out a bold, direct solution to this crisis in digital equality: a long-term, federally-funded Permanent Broadband Benefit (PBB) program. Faith leaders are also speaking out in support of the PBB proposal, emphasizing that full digital enfranchisement is a prerequisite to full civic and political enfranchisement. We need universal broadband connectivity for everyone; we need the Permanent Broadband Benefit.
[Dr. Fallon Wilson is Vice President for Policy at the Multicultural Media, Telecom and Internet Council (MMTC).]
Broadband Infrastructure
Appropriations Committee Releases Fiscal Year 2022 Agriculture-Rural Development-FDA Funding Bill
The House Appropriations Committee released the draft fiscal year 2022 Agriculture, Rural Development, Food and Drug Administration, and Related Agencies funding bill, which will be considered in subcommittee on June 25. For fiscal year 2022, the bill provides discretionary funding of $26.55 billion–a critical increase of $2.851 billion, more than 10 percent–above 2021. The legislation aims to invest in nutrition programs, increase broadband access, rebuild public health and consumer safety infrastructure, confront the climate crisis, and ensure equitable participation in USDA programs. For rural infrastructure, the bill provides a total of more than $4.43 billion for development programs; the legislation invests over $907 million, an increase of $165 million above the fiscal year 2021 enacted level, in the expansion of broadband service to provide economic development opportunities and improved education and healthcare services. This includes $800 million for the ReConnect program. These significant investments in broadband reflect a commitment to enabling Americans in rural communities to access digital tools necessary to improve health, educational, and economic outcomes. Since 2019, more than 200,000 rural residents have gained access to broadband through these programs.
President Joe Biden backed a new $1.2 trillion infrastructure package which would shave $35 billion off the funding total originally proposed for broadband improvements, insisting the lower amount was still enough to connect every citizen to high-speed internet. The bipartisan plan negotiated by Senate leaders includes $65 billion for broadband infrastructure, a steep drop from the $100 billion Biden pitched in March 2021. Little detail was available about how the broadband funds would be spent; analysts at New Street Research speculated some $40 billion could be devoted to grants for states to fund deployment of broadband networks, with another $14 billion potentially allocated to the US Department of Agriculture’s ReConnect program targeting rural areas. They added an additional $5 billion could go toward refreshing the Federal Communications Commission’s Lifeline broadband subsidy program. Biden called on lawmakers to pass the infrastructure deal, but it is unclear whether the proposal will make it through a divided Congress.
The Federal Communications Commission is emerging as a key part of the still-murky framework that President Joe Biden and a bipartisan crew of centrist senators rallied around. The deal would put $65 billion toward broadband investment. That $65 billion for broadband is well below Biden’s original $100 billion ask. Democrats originally wanted to spend this money on super-fast fiber-optic connectivity, but having less money to work with could pressure them to tap more deployment methods, including wireless and satellite options. (A recent Senate hearing reflected those tensions.) Despite the lower amount, President Biden still argued that the proposed broadband investments would “deliver high-speed internet to every American home” and end up “bringing down the price that people pay” for internet service — he just didn’t say how.
But where that money would come from was left vague at best. The provided outline says “5G spectrum auction proceeds” and “state and local investment in broadband infrastructure” will provide funding, but doesn’t elaborate. The office of Sen. Mark Warner (D-VA) said the latter “investment” bit refers to $20 billion in money already allocated in the March pandemic relief law, the American Rescue Plan. Lawmakers have long sought to direct revenue from FCC sales of spectrum for purposes like this, including concerted efforts in recent years to set aside that revenue for efforts to close the digital divide. (Normally this cash goes straight to the Treasury to pay down debt unless Congress specifies otherwise.) The recent FCC sale of C-band airwaves raised more than $80 billion, but final payments from winning bidders were due in March and it’s not clear that money can still be tapped. But the agency’s next sale of 5G airwaves is in October, and Congress could direct revenue from that.
President Joe Biden announced a $65 billion broadband-deployment deal with Senate Republicans and Democrats, but he provided no details on whether the plan will prioritize municipal broadband networks as he originally proposed. Congressional Republicans have tried to ban municipal broadband nationwide, so it's highly unlikely that they would have agreed to Biden's stated goal of giving public networks priority over private broadband providers in the next big round of government subsidies. No one is saying yet whether President Biden agreed to drop his preference for municipal broadband in order to make the deal with Republicans. If the status of municipal broadband was not addressed in the agreement, the details would be worked out in upcoming Congressional negotiations. While Republicans would likely want the funding awards to prioritize private providers or even prohibit funding for municipal networks, one potential compromise would be to let public and private networks compete for funding without any restrictions on either.
Georgia-based electric utility Southern Company told the Federal Communications Commission that, based on its testing, the unlicensed Wi-Fi use the agency has voted to allow in the 6 GHz band will disrupt incumbent services that utilities offer. (It also submitted a full report.) Utilities Technology Council CEO Sheryl Osiene-Riggs said she hopes the results “will convince the FCC that they should cease permitting new devices in the 6 GHz band until it can fully protect the existing public safety and utility users in the band.” This spectrum spat will be one to watch. Both Republican and Democratic commissioners were bullish on the Trump-era vote to open the whole band for Wi-Fi use, which the tech and cable industries welcomed. The DC Circuit Court of Appeals recently scheduled oral arguments in a court fight over the FCC’s decision for Sept. 17.
Hopes persist that a burst of relocations by tech companies and remote workers will revitalize the American heartland. Maybe remote work and pandemic-spurred moves really are going to redistribute economic vitality more evenly across the country after a decade of excessive concentration in coastal “superstar” cities, or maybe not; while aspects of the corporate relocation story may be real, new evidence raises questions about the true potential of the remote-work-driven renewal storyline. An analysis on migration patterns reported that while the outflow of people from dense, high-cost urban metro areas accelerated in 2020, the flows were rather modest in most cases. What’s more is that most of the moves were short to moderate distances, often to nearby counties instead of the nation’s interior. Even modest gains like these could be eroded or outright eliminated by sustained outflows from the heartland and Mountain West to superstar metro areas, including workers who only moved temporarily and now are returning to the coasts. Attraction strategies seem like a long shot for the places most in need of growth as the pandemic eases and remote work declines, and regional leaders will need to continue making the kind of conscious, long-term investments that have long been the drivers of local economic growth and high standards of living.
The Federal Communications Commission, the Department of Agriculture, and the National Telecommunications and Information Administration will share information about and coordinate the distribution of federal broadband deployment funds. In accordance with the Broadband Interagency Coordination Act, enacted as part of the Consolidated Appropriations Act of 2021, the agencies will consult with one another and share information about the distribution of new funds from the FCC’s high-cost programs that support broadband buildout in rural areas, the USDA’s Rural Utilities Services grant and loan programs, and programs administered or coordinated by NTIA. As part of the signed agreement, each federal agency partner will share information about existing or planned projects. Each partner will also, upon request, identify entities providing broadband service in a specified geographic area; the levels of broadband service in that area, including broadband speeds and technologies deployed; the geographic scope of broadband service in that area; and each entity in that area that has or will receive funds from these programs. The Agreement also requires the federal agency partners to consider basing the distribution of funds from the programs on standardized broadband coverage data.
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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