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| FCC | RIN: 3060-AF85 | Publication ID: Fall 2010 |
| Title: Implementation of the Universal Service Portions of the 1996 Telecommunications Act | |
| Abstract: The goals of Universal Service, as mandated by the 1996 Act, are to promote the availability of quality services at just, reasonable, and affordable rates; increase access to advanced telecommunications services throughout the Nation; advance the availability of such services to all consumers, including those in low income, rural, insular, and high-cost areas at rates that are reasonably comparable to those charged in urban areas. In addition, the 1996 Act states that all providers of telecommunications services should contribute to Federal universal service in some equitable and nondiscriminatory manner; there should be specific, predictable, and sufficient Federal and State mechanisms to preserve and advance universal service; all schools, classrooms, health care providers, and libraries should, generally, have access to advanced telecommunications services; and finally, that the Federal-State Joint Board and the Commission should determine those other principles that, consistent with the 1996 Act, are necessary to protect the public interest. The goals of Universal Service, as mandated by the 1996 Act, are to promote the availability of quality services at just, reasonable, and affordable rates; increase access to advanced telecommunications services throughout the Nation; advance the availability of such services to all consumers, including those in low income, rural, insular, and high cost areas at rates that are reasonably comparable to those charged in urban areas. In addition, the 1996 Act states that all providers of telecommunications services should contribute to Federal universal service in some equitable and nondiscriminatory manner; there should be specific, predictable, and sufficient Federal and State mechanisms to preserve and advance universal service; all schools, classrooms, health care providers, and libraries should, generally, have access to advanced telecommunications services; and finally, that the Federal-State Joint Board and the Commission should determine those other principles that, consistent with the 1996 Act, are necessary to protect the public interest. The goals of Universal Service, as mandated by the 1996 Act, are to promote the availability of quality services at just, reasonable, and affordable rates; increase access to advanced telecommunications services throughout the Nation; advance the availability of such services to all consumers, including those in low income, rural, insular, and high cost areas at rates that are reasonably comparable to those charged in urban areas. In addition, the 1996 Act states that all providers of telecommunications services should contribute to Federal universal service in some equitable and nondiscriminatory manner; there should be specific, predictable, and sufficient Federal and State mechanisms to preserve and advance universal service; all schools, classrooms, health care providers, and libraries should, generally, have access to advanced telecommunications services; and finally, that the Federal-State Joint Board and the Commission should determine those other principles that, consistent with the 1996 Act, are necessary to protect the public interest. On October 9, 2009, the Commission issued an Order and Notice of Proposed (NPRM) addressing the effect of line loss on universal service Local Switching Support (LSS) received by incumbent local exchange carriers (LECs) that are designated as eligible telecommunications carriers (ETCs). Under the Commissions rules, as an incumbent LEC ETCs access lines increase above certain thresholds, the amount of LSS it may receive decreases. The order denies the Coalition for Equity in Switching Support's petition seeking clarification that the Commission's rules allow an incumbent LEC ETC's local switching support to increase if the carrier's access lines decrease below those thresholds. In the NPRM, the Commission tentatively concludes that the LSS rules should be modified to permit incumbent LEC ETCs that lose lines to increase their LSS; and the Commission seeks comment on these proposed rule changes. On November 5, 2009, the Commission issued a Notice of Proposed Rulemaking that proposes to revise the Commissions rules for the schools and libraries universal service support mechanism, also known as the E-rate program, to comply with the requirements of the Protecting Children in the 21st Century Act. The Protecting Children in the 21st Century Act added a new certification requirement for elementary and secondary schools that have computers with Internet access and receive discounts under the E-rate program. The NPRM also proposes to revise related Commission rules to reflect existing statutory language more accurately. On December 2, 2009, the Commission issued a Report and Order and Further Notice of Proposed Rulemaking (FNPRM) addressing and seeking comment on issues regarding the services eligible for funding under the schools and libraries universal service support mechanism, also known as the E-rate program. The order released the Funding Year 2010 E-rate Eligible Service List, concluding that interconnected voice over Internet protocol VoIP service is an eligible service and should continue to receive E-rate program funding. Additionally, the report and order clarifies the E-rate program eligibility of text messaging, video on-demand servers, Ethernet, web hosting, wireless local area network (LAN) controllers, and virtualization software. The FNPRM seeks comment on the eligibility of certain services in future funding years, as well as on proposed changes to the process for determining the services that will be eligible for support under the E-rate program. On December 8, 2009, the Commission sought comment on a petition for rulemaking filed by the National Cable and Telecommunications Association (NCTA). NCTA proposes that the Commission establish procedures to reduce the amount of universal service high-cost support provided to carriers in those areas of the country where there is extensive, unsubsidized facilities-based voice competition and where government subsidies no longer are needed to ensure that service will be made available to consumers. On December 15, 2009, the Commission issued a Further Notice of Proposed Rulemaking responding to the decision of the United States Court of Appeals for the Tenth Circuit in Qwest Communications International, Inc. v. FCC, in which the court remanded the Commission's rules for providing high-cost universal service support to non-rural carriers. The Commission tentatively concluded that it should not attempt wholesale reform of the non-rural high-cost mechanism at this time, but it sought comment on certain interim changes to address the courts concerns and changes in the marketplace. Specifically, the Commission sought comment on what changes should be made to the Commissions rules regarding the rate comparability review and certification process, whether the Commission should define reasonably comparable rural and urban rates in terms of rates for bundled local and long distance services, and whether the Commission should require carriers to certify that they offer bundled local and long distance services at reasonably comparable rural and urban rates. | |
| Agency: Federal Communications Commission(FCC) | Priority: Substantive, Nonsignificant |
| RIN Status: Previously published in the Unified Agenda | Agenda Stage of Rulemaking: Long-Term Actions |
| Major: No | Unfunded Mandates: No |
| CFR Citation: 47 CFR 54 | |
| Legal Authority: 47 USC 151 et seq | |
Legal Deadline:
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Timetable:
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| Regulatory Flexibility Analysis Required: Yes | Government Levels Affected: Undetermined |
| Small Entities Affected: Businesses, Governmental Jurisdictions | |
| Included in the Regulatory Plan: No | |
| RIN Data Printed in the FR: Yes | |
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Agency Contact: Nakesha Woodward Program Analyst Federal Communications Commission Wireline Competition Bureau, 45 L Street NE, Washington, DC 20554 Phone:202 418-1502 Email: kesha.woodward@fcc.gov |
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