Senate Commerce Committee ranking member Ted Cruz, R-Texas, and Communications Subcommittee ranking member John Thune, R-S.D., pressed the FCC in a letter we obtained ahead of its planned sending Thursday morning for a detailed accounting of its distribution of money to four broadband programs enacted via the Infrastructure Investment and Jobs Act and COVID-19 aid measures. Thune in December began his own review of all federal broadband programs’ oversight of funding disbursals. Cruz has joined Thune in raising concerns about some of these programs since taking over as lead Commerce Republican in January.
Affordable Connectivity Program (ACP)
What is the Affordable Connectivity Program (ACP)?
The Affordable Connectivity Program was a recently expired subsidy for low-income households to lower the cost of purchasing broadband internet and connected devices. The program was signed into law as part of the 2021 Infrastructure Investment and Jobs Act and administered by the FCC up until June 1, 2024, due to expiration of the ACP’s funding.
Will the ACP Return?
Congress continues to debate restoring ACP funding, with immediate next steps likely to come from the Senate Commerce Committee or Congressional discussions on revising the Universal Service Fund.
The administrative law judge process at the FCC is “completely broken” and “something you would find in a banana republic,” not the U.S., former FCC Commissioner Mike O’Rielly said during a Georgetown Center for Business and Public Policy webinar Wednesday. O’Rielly noted review by an ALJ was recently “activated” as part of the review of the Standard/Tegna deal (see 2303100082.)
The FCC granted nearly 200 applicants about $66 million in funding through the affordable connectivity outreach grant program Friday. The commission received 350 applications, said a news release. "These outreach grants will help us expand awareness in more communities, so we can continue the work to close the digital divide," said Chairwoman Jessica Rosenworcel. The commission awarded $60 million through the national competitive outreach program and about $6 million through the tribal competitive outreach program. Awards for the Your Home, Your Internet and ACP Navigator Pilot programs will be given later. Also Friday, Rosenworcel circulated an order proposing another "more targeted" notice of funding opportunity for ACP outreach grants. "I’ve proposed another targeted grant opportunity to give even more outreach partners a chance to join us in our work to close the digital divide," Rosenworcel said.
Lawmakers are beginning to forward to the White House the names of preferred contenders to replace Gigi Sohn as President Joe Biden's nominee to be the FCC's third Democrat, after the ex-candidate’s Tuesday announcement that she had asked the White House to withdraw her from Senate consideration (see 2303070082). The names of several potential contenders were also circulating among communications sector lobbyists, but several officials told us there's no prohibitive favorite in the immediate aftermath of Sohn's withdrawal. The White House didn't comment on its plans. The administration hadn’t formally withdrawn Sohn Friday.
FCC Chairwoman Jessica Rosenworcel was to visit the Los Angeles Public Library's Pio Pico-Koreatown branch Thursday with Mayor Karen Bass (D) and EveryoneOn to promote the affordable connectivity program. The library launched a public campaign to increase enrollment, said a news release. “I’m grateful to Mayor Bass and our local community partners for collaborating with us to ensure families can get online and stay online, no matter who they are or where they live,” Rosenworcel said.
FCC commissioners emphasized the need for action on spectrum policy and 5G, and more certainty on broadband affordability and deployment efforts, during Incompas’ policy summit Tuesday. Some industry experts also urged changes to sustain the USF because funding for the affordable connectivity program remains uncertain and the USF contribution factor continues to rise.
Next Century Cities urged the FCC to take a more granular approach to its annual data collection for the affordable connectivity program. Aggregate level data "fails to include location and demographic data about subscribers that can be used to build crucial models" on the program's success, NCC told an aide to Chairwoman Jessica Rosenworcel, per an ex parte filing posted Thursday in docket 21-450. The group filed a petition for reconsideration on the matter with the Benton Institute for Broadband & Society in February (see 2302130062). NCC also stressed the need to require an "average speed measurement" instead of a "typical" speed in the forthcoming consumer broadband labels. "Broadband speed estimates are typically higher than actual speeds delivered," it said.
The end seems nigh for affordable connectivity program (ACP) funding, with dicey odds of Congress acting before its money runs out in early 2024, speakers said Wednesday at ACA Connects' 2023 Washington summit. Small cable operator participation in the broadband equity, access and deployment (BEAD) program will depend on the rules governing it, they said.
Industry groups urged the FCC not to revisit its current rules for the affordable connectivity program's annual data collection, in reply comments posted Tuesday in docket 21-450 (see 2301120056). The Infrastructure Investment and Jobs Act required the commission to collect data on prices and subscription rates offered by participating providers. Consumer advocacy organizations disagreed and continued to back subscriber-level data collection with additional data points.
Industry groups and consumer advocacy organizations disagree about how the FCC should define digital discrimination and ways to facilitate equal access to broadband, according to comments posted through Wednesday in docket 22-69. The commission adopted an NPRM in December seeking comment on rules to combat digital discrimination, as required by the Infrastructure Investment and Jobs Act (see 2301190049).