A three-judge panel from the U.S. Court of Appeals for the D.C. Circuit pressed Consumers' Research Friday on its challenge of the FCC's Q2 2023 USF contribution factor (case 23-1091). During oral argument, judges also questioned the group and the FCC about Universal Service Administrative Co. calculations to determine quarterly factors and definition of universal service (see 2401100044).
Gabriella Novello
Gabriella Novello, Assistant Editor, is a journalist for Communications Daily covering telecommunications and the Federal Communications Commission. She joined the Warren Communications News staff in 2020, after covering election integrity and the 2020 presidential election at WhoWhatWhy. She received her bachelor's degree in journalism with a minor in health promotion at American University. You can follow Novello on Twitter: @NOVELLOGAB.
Industry officials are concerned about uncertainty surrounding the FCC's affordable connectivity program following the agency's recent announcement that ACP wind-down procedures were beginning and the ACP Extension Act was introduced (see 2401100056). Some warned about challenges associated with keeping the more than 22 million enrolled households online should the program end before additional funding is available. Even if the ACP Extension Act is successful, some observers predicted recipients may not return owing to reenrollment confusion or other issues.
Industry opposition to an FCC proposal reclassifying broadband as a Title II service under the Communications Act continued in reply comments posted through Thursday in docket 23-320 (see 2312150020). Most groups warned reclassification would stifle competition. Some consumer groups disagreed, urging the FCC to reinstate its net neutrality rules without preempting state and local governments.
Consumers' Research asked the U.S. Supreme Court to grant its cert petition challenging the FCC's method for determining the USF quarterly contribution factor, saying the case presents "an excellent vehicle for addressing the contours of nondelegation whose abuses highlight the dangers of delegated and politically unaccountable power." Docketed Friday (docket 23-743), the petition asked the court to review a Dec. 14 decision by the 11th U.S. Circuit Court of Appeals upholding the Q4 2022 contribution factor (see 2312140058). Responses to the new petition are due Feb. 8.
More funding is "urgently needed" to maintain the FCC's affordable connectivity program, Chairwoman Jessica Rosenworcel told lawmakers in a letter Monday. Reps. Yvette Clarke, D-N.Y., and Brian Fitzpatrick, R-Pa., plan to introduce legislation Wednesday that would provide ACP with stopgap funding, though Congress’ appetite for providing the program more money remains in question given misgivings among top Republicans on the House and Senate Commerce committees (see 2312210074), communications policy-focused lobbyists told us.
Industry and consumer groups urged the FCC to proceed with a proposal to take additional steps aimed at curbing abuse of the numbering access authorization process. Replies were posted through Tuesday in docket 20-67 (see 2311300067). In addition, some groups opposed the proceeding, calling it unnecessary and potentially burdensome for providers.
NTIA "directionally aligned" its approach to the broadband, equity, access and deployment (BEAD) program in a policy notice released Tuesday. The notice signaled NTIA's BEAD approach is generally in line with the Treasury Department's broadband infrastructure projects and the FCC's USF policies. The notice comes after NTIA received more than 60 comments from a range of stakeholders seeking exceptions and program adjustments.
Industry groups continued to disagree on whether the FCC should include an assessment of broadband speed benchmarks and higher speed goals in its annual report to Congress about the state of broadband deployment and competition. At issue is Chairwoman Jessica Rosenworcel's proposal in the agency's notice of inquiry to increase the definition of broadband to 100/20 Mbps with a long-term goal of reaching 1 GB/500 Mbps. Reply comments were posted Tuesday in docket 22-270 (see 2312040024).
Industry and consumer groups clashed on whether the FCC should reclassify broadband internet access as a Title II service under the Communications Act in comments posted through Friday in docket 23-320 (see 2310190020). Commenters against reclassification warned that it would stifle innovation and competition. Supporters said the proposal would ensure consumers have equal access to broadband ahead of anticipated federal broadband deployment programs.
The FCC didn't violate the nondelegation doctrine when it used the Universal Service Administrative Co. to calculate quarterly USF contribution factors and administer USF programs, a federal court ruled Thursday. In denying Consumers' Research's challenge of the FCC contribution factor (see 2306220062), the 11th Circuit U.S. Court of Appeals noted "all USAC action is subordinate to the FCC, and the FCC retains ultimate decision-making power."