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USF, BEAD and the Road Ahead: Highlights from Capitol Hill

This week’s Telecom Executive Policy Summit on Capitol Hill was a powerful reminder of why it is so important that NTCA members continue to come to Washington to share their real-world experiences, ask the tough questions and ensure that policymakers understand the stakes for rural America. There is simply no substitute for having rural broadband leaders in the room and out on Capitol Hill.

The timing of this gathering was also especially beneficial given the evolving conversations surrounding the Universal Service Fund (USF) and Broadband Equity, Access, and Deployment (BEAD) program. Through conversations with policymakers and members of Congress and their staff, we underscored NTCA’s strong belief that Congress should continue to lead on USF reform. We have been, and will remain, actively engaged with the bipartisan Congressional USF Working Group exploring updates to the fund, and it’s critical that the group continues to steer reform efforts. It’s also important that the BEAD program not prejudge the future of the USF. Fortunately, the National Telecommunications and Information Administration (NTIA) confirmed – and then further clarified this week – that BEAD will not disrupt USF support in areas that already receive it today (at least for the terms of existing support), but we know there is still work ahead to ensure that the ongoing mission of universal service is sustained in rural areas. 

With all of that as the backdrop, it was my pleasure to sit down with FCC Commissioner Brendan Carr for a conversation about some of the commission’s accomplishments and priorities for the year ahead, including a deeper look at the USF and next steps for reform. It was good to hear him acknowledge that the commission will work closely with Congress on priorities like permitting reform, and I think it made an impact for him to see a room full of NTCA members speaking directly about the importance of the USF. 

After I pressed him for a few more details about the FCC’s USF proposals, Chairman Carr said the conversation in Washington today is more complicated than it once was, sharing that he continues to support high-speed, wired connections for the majority of the country, but “it’s going to be a blend around the edges. And increasingly policy right now is about those edge cases.” Chairman Carr also talked about some of the ways to modernize the program and gain efficiencies in current programs in ways that he hopes could reduce the contribution factor. After our session, NTCA Vice President of Government Affairs Leif Oveson hosted a conversation with Rural Utilities Service (RUS) Administrator Karl Elmshaeuser. With so many broadband loans and grants coming through USDA and RUS, it was good to hear from the administrator, offer our thanks and reinforce the importance of these investments. Not long after, our own Mike Romano led a BEAD-centric discussion with NTIA Administrator Arielle Roth. As I mentioned earlier, there have been a lot of changes to the program since it was first envisioned several years ago, but I appreciate Arielle taking the time to clarify the agency’s thoughts on it (and Mike’s efforts to share our own perspectives!). 

Ahead of her afternoon presentation, Strand Consult Executive Vice President Roslyn Layton and I had the opportunity to sit down with reporters to discuss the need to reform the contribution mechanism for the USF. With reporters, and then later with attendees, Roslyn shared some of her recent research and offered suggestions for reforms to stabilize the mechanism. She noted that one-third of Americans access the internet through USF connections every year, and that two-thirds of network traffic is driven by the biggest internet brands who are all expecting that their networks can be built and deliver their content. It certainly left everyone in the room with something to think about! 

I left Capitol Hill energized about the leadership you bring to your communities and proud of the work we are doing together to ensure a sustainable future for rural broadband. Onward!