NARUC Telecom Chair Calls BEAD Allocations Transparent, Fair

AUSTIN -- New NARUC Telecom Committee Chair Tim Schram praised NTIA efforts making broadband, equity, access and deployment (BEAD) allocations, in a Wednesday interview. Also, Schram and another Republican committee member, South Dakota Commissioner Chris Nelson, told us they’re glad the FCC may soon finally have all five seats filled.

NARUC passed three telecom resolutions in voice votes at a board meeting Wednesday. Some members said no on a resolution seeking permanent annual funding for the affordable connectivity program (see 2307180036). NARUC unanimously passed a resolution urging expanding Lifeline Awareness Week to include broadband access and another meant to discipline telecom providers still using network equipment that might be a national security risk (see 2307180043).

NTIA was “very transparent” about BEAD allocations, said Schram, who was named chair of the Telecom Committee in April: “They had an open process and they had a fair process.” States and communities had “ample opportunity” to challenge the national map on which allocations were based. The Nebraska Public Service Commission member said he’s fine with the $405.3 million allocated to his state. “Obviously you want more, but as a policymaker I understand you have finite funds, and you have to figure out a method to distribute them equitably. And NTIA did.”

Nebraska BEAD responsibilities moved to a new state broadband office from the PSC earlier this year (see 2306060049). That transition is going well, said Schram. The PSC continues to manage money from state USF, the Nebraska broadband bridge program and the U.S. Treasury’s Capital Projects Fund. “We’re going to coordinate with the state broadband office to keep track of where they’re appropriating money and where the commission is doing projects to make sure we’re not overlapping.”

On whether current funding will be enough, Schram noted the challenge of continuing inflation. “What a dollar would build two years ago [it] won’t build today,” he said: “We [will] get as much done as we can.” In Nebraska, the commission can change provider boundaries if there are consumers who live just outside a completed project, Schram noted. “It makes sense … that if you complete a project with public funds, and you have a handful of customers that’s within a couple miles of that project, that you leverage that and get them connected as well.” Such a maneuver requires no additional public money, said the commissioner: the ISP pays the cost.

South Dakota's Nelson “would really hope” there’s no need for much more funding, the Telecom Committee ex-chair said in another interview. “If we can utilize this chunk of money wisely, I would hope we can really get close to finishing the job.” South Dakota was allocated $207.23 million from BEAD. The state’s Public Utilities Commission doesn’t have BEAD responsibilities, but “what I have heard from our state people that are in charge of that is that the allocation was not quite what they expected,” said Nelson. “But it is what it is, so we’ll take and run with it.”

Nelson will watch for difficulties caused by BEAD grant requirements, he said. “The remaining question is, even though you got this [money] pot here, how many are really going to be willing to jump through the hoops to actually use it.”

“There needs to be a full bench of commissioners” at the FCC, said Schram. “Whether I agree with decisions” or not, “things will move forward.” Not having five “puts a load on the four commissioners that are there,” he said. Reconvening the Federal-State Joint Board on Universal Service will be important when policymakers start to consider how to maintain the high-speed networks now being built, he said.

“That’s the way the government is supposed to work,” said Nelson about the prospect of a five-member FCC. “We’re supposed to have full boards, full commissions to do the work of the people.” The South Dakota Republican said he “will keep an open mind” about Democratic pick Anna Gomez and hopes to “work successfully with her and the other commissioners.” Nelson is state chair of the USF joint board and hopes the group might move forward once the FCC has five members, he said. “There’s been absolutely no communication for years.” Nelson said USF contribution reform remains a big issue before the joint board.

On the state of NARUC’s relationship with the FCC, Nelson observed “there is a lot more collaboration between state commissioners and” the Federal Energy Regulatory Commission. “There’s much, much less of that on the FCC side, and hopefully over time we can maybe build a closer relationship working together.”

As NARUC’s new Telecom Committee chair, Schram seeks to add utility commissioners from as many states and territories as possible to his panel, he said. “Any time you’re making policy, it’s better to have all the states at the table. What may be important to my state may not be a priority in other states.”