More Money, But Also More Obligations

Rate-of-return carriers will once again be asked by the FCC to make some tough decisions about their future Universal Service funding. The FCC adopted additional USF reforms during its open meeting on Thursday, Dec. 12. The new rules present several options for companies to consider. Current A-CAM companies will decide whether to accept additional funding with increased buildout obligations. And Legacy companies will have an opportunity to accept a second offer of A-CAM support. Our December 12 and November 26 e-Lerts provided details of the Report and Order and Order on Reconsideration (R&O) and a Further Notice of Proposed Rulemaking (FNPRM).

To assist clients in making these important decisions, as well as covering the other major changes to FCC rules this order brings, JSI recently held a free webinar. Some of the items covered in this webinar include:

  • Increased funding for A-CAM carriers in exchange for an increase in the number of locations to which the carrier must deploy 25/3 Mbps;
  • An option for Legacy carriers to transition to A-CAM II support;
  • Additional funding for Legacy carriers to address the budget control mechanism and changes to the mechanism on a going-forward basis;
  • New buildout requirements for Legacy carriers;
  • Revisions to the 100% overlap process and elimination of the competitive challenge process; and
  • Changes to Legacy requirements, including elimination of Capital Investment Allowance and reduction in the $250 monthly per-line limit on universal service support.

This webinar is free for all telecom companies. If you would like a copy of the recording, please contact Brenda Cordwell in JSI’s Maryland office at 301-459-7590.

If you have questions about the FCC’s USF rules and how these might affect your company, please contact Steve Meltzer or John Kuykendall at 301-459-7590 or Douglas Meredith at 801-910-6288.