NTCA–The Rural Broadband Association

To Members of the 118th Congress, as you begin work on the many important issues facing our nation, NTCA–The Rural Broadband Association (“NTCA”) hopes that you will see broadband access as a key component to enhancing and sustaining our nation’s economic and civic well-being. We offer here a policy blueprint for achieving and sustaining universal broadband access in rural America.

In response to Sen. John Thune's (R-SD) oversight letter on issues concerning federal broadband programs, NTCA–The Rural Broadband Association writes:

The authors were previously asked to analyze from an economic perspective the appropriate contribution methodology for the federal Universal Service Fund (USF). In a prior study, they analyzed the effects of modifying and expanding the “contribution base,” i.e., the supply of financial resources for the USF, to include both voice and broadband connections. In particular, the prior study investigated the economic effects of modifying and expanding the contribution base on broadband adoption rates.

We believe the Broadband Equity, Access, and Deployment (BEAD) program provides the best possible chance to bring robust, reliable all-fiber broadband service to the many millions of unserved and underserved locations throughout the country. That said, we understand that National Telecommunications and Information Administration may be considering permitting States and Territories to award grants to applicants using other, less capable transmission technologies where the costs to deploy networks can be extremely high.

In meetings with Federal Communications Commission staff, NTCA–The Rural Broadband Association reiterated its support for ensuring that lowincome consumers have affordable access to the voice service they need and therefore urged the Commission to retain the Lifeline subsidy for stand-alone voice service. Voice service remains critical for many low-income and older individuals who rely on such service as an affordable method of contacting health care providers, government agencies, and public safety. NTCA further stressed the urgent need for FCC action on the National Association of State U

In meetings with Federal Communications Commission staff, NTCA discussed an issue identified recently related to the phasedown of Lifeline support for voice-only customers and its interplay with cost recovery under the High-Cost universal service program. Specifically, for many eligible telecommunications carriers (“ETCs”), the reduction of the Lifeline subsidy for such customers to $5.25 per month effective December 1, 2020, precludes recovery of the full amount of the Subscriber Line Charge (“SLC”), and it appears that these shortfalls may be unrecoverable through the High-Cost program.

Here are just a few pieces that we think are worthy of further consideration and some modification before the Rural Digital Opportunity Fund (RDOF) order becomes final.