The White House trumpeted its broadband subsidy bonanza Monday (February 14) in an event featuring Federal Communications Commission chairwoman Jessica Rosenworcel; Vice President Kamala Harris, who President Joe Biden put in charge of closing the digital divide; and senior adviser Mitch Landrieu, the broadband buildout czar.

The milepost being marked was 10 million households enrolling in the American Connectivity Program (ACP). That was the $14.2 billion subsidy that replaced the Emergency Broadband Benefit (EBB) COVID-19 broadband aid program.

“Thanks to the Bipartisan Infrastructure Law, millions of families who previously could not get online or struggled to pay for this modern-day necessity are now connected,” the White House said, adding, “affordable broadband remains out of reach for too many.”

“No family should have to choose between paying for gas or groceries and their monthly internet bill, especially when a connection is essential for work, school, health care and more," said Rosenworcel. "But for far too many, the cost of internet service makes the connections we need for everyday life, out of reach,” said Rosenworcel. “Now with more than 10 million households enrolled, we’ve proven the need for this program, and we are continuing our efforts to ensure no community, no household, no one is left offline.”

Also: FCC Asked to Improve ACP Info Translations

Under the ACP, low-income residents can apply for up to a $30-per-month subsidy — down from $50 per month in the EBB — with residents of tribal lands getting up to $75. There is also a one-time $100 equipment subsidy to apply to laptops or desktops or tablets, but not phones.

The White House Monday also encouraged the public to “spread the word about the program, including by printing out flyers and fact sheets and handing them out at community events or sharing digital versions on social media.“ ■

Republicans are pushing back on the Biden administration‘s expansive definition of the digital divide where billions of new broadband subsidy dollars can be spent.

The National Telecommunications & Information Administration is overseeing the distribution of the lion‘s share (about $48 billion) of $65 billion in the Biden bill's infrastructure broadband buildout money and has signaled that not only speed but price and quality of service will be part of the definition of where the money can go.

It sought input on how to hand out the money Republicans definitely had some.

Also: NTIA Advised to Let All Broadband Tech Flowers Bloom

In a letter to newly minted NTIA chief Alan Davidson, more than a dozen and a half Republican senators led by Sens. Chuck Grassley (R-Iowa) and Steve Daines (R-Mont.), said the money needs to be targeted to rural areas not currently served by broadband, not to areas that already have “reliable broadband infrastructure” or where ISPs have already committed to provide service using other government broadband subsidy programs, like the FCC‘s Universal Service Fund or the Department of Agriculture‘s subsidy programs for closing the rural digital divide.

“NTIA has an opportunity to make substantial impact on connecting rural America,” they wrote. “However, doing so will require that your agency outline rules that specifically prohibit overbuilding and that set clear criteria to ensure projects targeted at unserved areas are actually prioritized.”

Also: House GOP Leaders Seek NTIA Oversight Hearing

To do otherwise, they argued, “wastes federal funds on areas that do not need it, but also suppresses future deployment in communities in need of opportunities today.“

The Republicans are fighting an uphill battle. The Biden administration from the outset has made it clear that the affordability divide is part of the digital divide that money can help close.

Others signing on to the letter included Sens. Marco Rubio (Fla.), Thom Tillis (N.C.), Lindsey Graham (S.C.) and John Kennedy (La.). ■

No big surprise since it had a January 14 congressional deadline, but the FCC voted Friday to adopt rules for handing out the $14.2 billion in Affordable Connectivity Program (ACP) broadband subsidies.

It gives low income households money toward monthly broadband service and a one time device subsidy.

“There are still too many households making the difficult choice between paying for gas and groceries or paying for a broadband bill so that their kids can keep up with schoolwork, so that a family member can attend a needed telehealth appointment, or so that they can work remotely," said FCC Chairwoman Jessica Rosenworcel. "Now with these rules in place, the FCC has new tools to support these families and reach those most at risk of digital disconnection for years to come.”

Also: FCC Won't Set Minimum Service Standards for ACP

Among the rules, highlights include requiring ISPs to allow the subsidy to apply to a wide array of broadband plans--rather than simply the lowest tier of service; implementing prohibitions on credit checks or existing debt as a bar to enrollment; prohibiting upselling or downselling; disallowing restrictions on switching providers; and helping prevent bill shock--the Emergency Broadband Benefit (EBB) that the ACP supplants was a $50-per-month boost while the ACP is only $30 (except on tribal lands).

To help prevent that shock, the FCC is allowing EBB subsidy recipients to be automatically enrolled in ACP. ■

As advertised, FCC Chairwoman Jessica Rosenworcel has released a draft of an order and further notice of proposed rulemaking (FNPR) on rules to govern the $14.2 billion Affordable Connectivity Program (ACP) broadband subsidies, including proposing to allow Emergency Broadband Benefit providers to automatically qualify to provide ACP-authorized service.

But despite the urging of the wireless industry, the FCC is not expanding the definition of covered devices to include smart phones.

The idea is to give the public and stakeholders time to comment on the item, though they will have to read fast since it is over 150 pages long.

Also: FCC to Issue Subsidy Draft ASAP

The ACP program provides up to $30 per month toward broadband service (up to $75 for tribal communities) and up to $100 toward a broadband access device, excluding smart phones.

The public will have only until January 11 to comment given a congressional deadline that the FCC have promulgated the rules by January 14, which the commission still needs to vote on.

The FCC report and order is proposing to make the ACP technology neutral, which means among other things, that eligible entities will include both cable and wireless internet service providers, but also municipal broadband and co-ops.

But it is not proposing requiring ISPs to turn over service plan information during the ACP election process, saying it was convinced by commenters, which included ACAC, NCTA, INCOMPAS and many others, that "such an administrative burden could discourage provider participation." The burden being "filing information on all service plans for a particular provider," which "could result in thousands of permutations of price, service characteristics, and geographic information that would delay election notice filing and processing."

Other proposals:

1. Only one $30/$75 subsidy per household.
2. Only one $100 device subsidy per eligible household.
3. Mirroring its Lifeline subsidy, the FCC says that any participating household that is paying nothing for broadband service and does not use it at least once every month will be de-enrolled unless they start using it.
4. The FCC is not expanding the definition of "connected device" to include smart phones, as the wireless industry had sought. It says the statute clearly defines it as "a laptop, desktop computer, or a tablet," which means it does not include smart phones or “devices that can independently make cellular calls such as large phones or phablets." The FCC says that Congress "could have easily expanded the definition of connected devices to allow cellular phones and other devices," but did not.

“Congress gave the FCC a very short window to stand up the Affordable Connectivity Program and working with a hyper-accelerated schedule during the holidays, we’ve proven that we are up to the task with this draft," said Rosenworcel.

The FNPR seeks comment on an "outreach partner" grant program, as well as on how a household not on tribal land but in an area where it is extremely costly to provide service could get an enhanced benefit of up to $75.

With the omicron variant of COVID-19 sweeping through the country and sweeping away plans for a more rapid return to normalcy, the Federal Communications Commission is extending some pandemic-related waivers that were to have expired December 31.

The FCC had waived some of its documentation requirements for participation in the Lifeline low-income broadband subsidy program, but that was to have run out at the end of this month.

On its own motion, meaning at the bureau level without a commission vote, the Wireline Competition Bureau has extended various Lifeline related waivers to March 31, 2022, and signaled it might have to extend them again if the situation warrants, saying "a new variant of the coronavirus has emerged that has contributed to uncertainty about the ongoing pandemic."

The rules being waived apply to "governing documentation requirements for subscribers residing in rural areas on Tribal lands, reverification, recertification, general de-enrollment and income documentation."

But the bureau warned providers that aside from the waivers, they remain subject to audits and investigations to make sure they are complying with the other rules, saying it was committed to preventing waste, fraud and abuse. ■

In the face of a pandemic that continues to rage, the FCC has extended yet again the gift rules in its Rural Health Care (RHC and E-Rate schools and libraries) broadband subsidy programs.

In an effort to promote telehealth and distance learning, the FCC back in March waived the rules until Sept. 30, then again through Dec. 31.

Also Read: Home Classrooms Ineligible for Broadband Subsidies

"In light of the ongoing disruptions caused by COVID-19 to program participants and the continued need for robust connectivity, we find good cause to extend our waivers of the RHC and E-Rate program gift rules through June 30, 2021, the end of funding year 2020," the Wireline Bureau said Monday (Dec. 14).

Also Read: FCC Waives Gift Prohibitions

To guard against abuse of the program, FCC rules prohibit rural entities eligible for the subsidies--schools, libraries, hospitals--from accepting or seeking anything of value (worth over $20) from a provider participating in the program.

With the extended waiver, recipients of Rural Healthcare or E-Rate funding (schools and libraries) can continue to solicit and/or accept "improved capacity, Wi-Fi hotspots, networking gear, or other things of value to assist health care providers, schools and libraries, as well as doctors and patients, teachers, students, school administrators, and librarians and patrons during this unprecedented national pandemic."

The FCC has released its final list of services eligible for E-rate broadband subsidy money meant to help boost school and library connectivity, but in-home service and equipment for pandemic-driven remote learning did not make the cut.

In releasing the final eligible services for funding Monday (Nov. 30), the Wireline Competition Bureau said requests that the funds also go to home "classrooms"--given the shutdowns and remote learning mandates--were beyond the scope of the proceeding. The bureau said the eligible services list is about what services are OK under current rules, and was not "a vehicle for changing" the rules.

Currently, FCC rules, as interpreted by FCC chairman Ajit Pai, confine E-rate funding to physical schools and libraries. But Democrats on the Hill, and the Democratic members on the FCC, have argued that the FCC doesn't have to change the rules, just expand the definition of classroom to home classrooms.

Pai has said he recognizes that schools have had to change the way they teach due to the pandemic and that "it is critical that parents and students stay connected so that they can participate in online learning from home during this crisis." But he has remained adamant that the language of the statute is clear.

"[W]e face a major barrier: The Communications Act, which the FCC is duty-bound to administer," he said in a letter to Congress. Pai said the Act "expressly limits the FCC's use of E-Rate program funding to broadband and other services delivered to school 'classrooms' and libraries. Connectivity and devices supplied to students at home unfortunately do not qualify for E-Rate support under the law."

"We decline to address comments requesting that we add new services to the eligible services list," said the Bureau Tuesday in releasing the list.

The Wireline Bureau back in September freed up more E-rate funds via a second filing window to help schools boost their broadband as they rely more on remote learning during the COVID-19 pandemic. But it reminded filers it would not extend to home broadband. "Consistent with section 254 of the Telecommunications Act directive that E-Rate may only be used to “enhance… access to advanced telecommunications and information services for… school classrooms."

The FCC has adjusted its Lifeline low-income broadband/phone subsidy program to help those potentially affected by the coronavirus and help slow its spread. It is the latest in FCC chairman Ajit Pai's Keep Americans Connected initiative. 

In an order released Tuesday (March 17), the FCC's Wireline Competition Bureau waived the program's re-certification and re-verification requirements for 60 days, which has become something of a standard for the suspension of regular processes. 

It also suspended for those 60 days the requirement that participating carriers' representatives register with the Universal Service Fund, which implements the Lifeline subsidy. 

"I don’t want any American consumers experiencing hardships because of the pandemic to lose connectivity," said FCC chairman Ajit Pai.  

House Energy & Commerce Committee bipartisan leadership has concerns about FCC chairman Ajit Pai's plans to replace the FCC's Mobility Fund Phase II broadband subsidy program with a 5G fund. 

Pai said earlier this month he plans to propose pulling the plug on the $4.5 billion Mobility Fund Phase II program and instead create a 5G fund that would put up to $9 billion toward Universal Service Fund support for 5G mobile wireless in rural areas to help close the digital divide. 

He plans to circulate a notice of proposed rulemaking to that effect early next year, according to an FCC official speaking on background. 

The $9 billion will be given out over a decade and is about $450 million per year more than the Universal Service Fund (USF) Mobility Fund allocation. The extra money will also come from the USF. The official said there appeared to be enough to cover the increase and Pai has said the extra 4.5 billion would come from savings in the program. 

Energy and Commerce Committee chairman Frank Pallone, Jr. (D-N.J.), Ranking Member Greg Walden (R-Ore.), Communications Subcommittee chairman Mike Doyle (D-Pa.) and Subcommittee Ranking Member Bob Latta (R-Ohio) joined in a letter to Pai Thursday (Dec. 19), seeking answers to the following questions: 

• "What safeguards will the Commission put in place to ensure that areas eligible for support are based on reliable coverage data? 

• "How will the Commission determine which services are eligible for support?

• "What performance benchmarks will you require to qualify for support?

• "What steps will the Commission take to ensure that new services are sufficiently secure?"

“You have noted the need to focus funds to ‘support the networks of tomorrow,’ yet today’s services remain unavailable for too many Americans," they wrote. "This is unacceptable, and the design and execution of any new fund must be carefully constructed to succeed where MF II failed. While the new fund will replace MF II, the goals of MF II remain unmet. As you move forward, it is critical that areas that lack 4G LTE coverage—or any connectivity—are not left behind in a rush to advance well intended efforts to deploy 5G.”