Gabriella Novello

Few changes were made to the FCC's final NPRM on consumer broadband labels, according to our comparison with the draft (see 2201270030). An NCTA-sought question on the "scope of broadband service plans to which the labels requirement should apply" was added, as expected. A question about direct notifications of term changes was tweaked. The NPRM will seek comment on whether the Infrastructure Investment and Jobs Act gives the commission the authority to “adopt a direct notification requirement for current customers for changes to terms in the labels after their initial display.” It will also seek comment on costs and benefits of this requirement.

FCC Rural Digital Opportunity Fund Phase I auction recipients will undergo more scrutiny in 2022 with increased audits and verifications as part of the agency's "rural broadband accountability plan," said a news release Friday. It's "part of an ongoing effort to increase accountability and to build upon existing audit and verification processes performed by the Universal Service Administrative Co.," said a fact sheet. The FCC also announced that more than $1.2 billion in RDOF support is ready to be authorized for 23 providers, as expected (see 2201270030).

A draft FCC Further NPRM would seek comment on revising the rural healthcare program's telecom program, funding cap rules, and "alternative rate determination mechanisms," if adopted during the commissioners' Feb. 18 meeting (see 2201270072). Changes aim to "improve the accuracy and fairness" of the program's support and "increase the efficiency of program administration," said the item.

FCC commissioners unanimously approved an NPRM on adoption of broadband consumer labels, as directed by the Infrastructure Investment and Jobs Act (see 2201260049), during their Thursday meeting. They also approved an order amending the definition of tribal libraries to clarify their eligibility for E-rate, the revocation of China Unicom Americas' Section 214 authority to operate in the U.S., and an order on reconsideration upholding a fine against a Texas company for signal jamming.

Citing the impact of the COVID-19 pandemic on healthcare, the FCC will "bolster the commission's support for digital health solutions" by updating the rural healthcare program during the Feb. 18 commissioners' meeting, blogged Chairwoman Jessica Rosenworcel Thursday. They will vote on changes to "improve the efficiency of this program’s administration" and "make sure its investments are better targeted." The FCC awarded nearly $450 million through the COVID-19 telehealth program, with the final round Wednesday (see 2201260053). "Healthcare has changed permanently over the past two years," Rosenworcel wrote, and telemedicine "is here to stay."

A draft FCC NPRM to adopt consumer broadband labels is expected to be unanimously approved during Thursday’s commissioners’ meeting, aides told us. The item is likely to take up the bulk of the meeting as most agenda items were adopted in advance (see 2201260016).

Mississippi Public Service Commissioner Brandon Presley (D) told the FCC that SurgePhone may be violating affordable connectivity program rules on consumer protection by giving consumers a tablet for a "$10 connection fee" without providing a receipt or required disclosures. Tents were set up throughout the state, but the company didn't disclose the company's name until Presley asked the representatives after waiting in line, he said in a letter Tuesday. Presley said he's "extremely worried about consumers being snookered by Surge" and asked the FCC to "have Surge cease and desist operations" until an investigation is complete. It's "the wild, Wild West" and an "invitation for waste, fraud, and abuse," Presley told us, saying tents were still being spotted throughout the state on Tuesday. The FCC is "looking into the claims raised in the letter," emailed a spokesperson: "We take any allegations of wrongdoing about this program seriously and will not hesitate to take appropriate action as necessary.” Surge didn't comment.

FCC Chairwoman Jessica Rosenworcel circulated an order and declaratory ruling on broadband access in multi-tenant environments, said a news release (see 2111220047). “With more than one-third of the U.S. population [living] in apartments, mobile home parks, condominiums, and public housing, it’s time to crack down on practices that lock out broadband competition and consumer choice,” Rosenworcel said. The item would prohibit providers from "entering into graduated revenue sharing agreements or exclusive revenue-sharing agreements with a building owner," require that providers disclose "in plain language" to tenants any existing exclusive marketing arrangements with building owners, and "end a practice that circumvents the FCC’s cable inside wiring rules by clarifying that existing commission rules prohibit sale-and-leaseback arrangements that effectively block access to alternative providers." The FCC sought comment in September. The record "revealed a pattern of new practices that inhibit competition ... and limit opportunities for competitive providers to offer service for apartment, condo and office building unit tenants," Friday's news release said, noting such practices could affect consumer access to the affordable connectivity program. The proposal is "welcome news," said Consumer Reports Senior Policy Council Jonathan Schwantes in a statement, adding it's "time to finally put an end to practices and close loopholes that stifle broadband competition and consumer choice." There are "significant barriers to [MTE] competition," said a Small Business Administration Office of Advocacy letter posted Friday in docket 17-142. SBA recommended conducting an economic analysis examining the impact of prohibiting exclusivity agreements on competition and broadband deployment. Providers should be required to "be more transparent about any agreements."

The FCC made changes to its final order on the affordable connectivity program and NPRM on its outreach grant program released Friday, with Commissioner Brendan Carr partially dissenting and Commissioner Nathan Simington concurring in part (see 2201070060). Carr dissented because the order didn't include safeguards against potential fraud in identity verification. "I worry that by not requiring this information, we are turning a blind eye to fraud already happening while leaving the door open for even more benefits going to ineligible households," Carr said. Simington concurred to "draw attention" to ACP recipients not being required to provide "any portion of their social security number" and to his concern that it's "impossible to prevent a consumer from endlessly enrolling in high-cost plans for which such customer has no intention of paying their share of the bill." Chairwoman Jessica Rosenworcel thanked Carr and Simington for "their ideas to improve accountability measures," saying she looks forward to "working with federal, state, and local partners to identify ways to ensure that those who are eligible have opportunities to enroll with the broadband provider of their choosing." The order "repeatedly affirms our decision to spend that money in ways that advance our digital equity goals," said Commissioner Geoffrey Starks. Providers seeking reimbursement for a connected device must include details about the device's market value instead of the proposed applicable wholesale cost. The order clarified that "tablets with cellular calling capabilities" aren't eligible for reimbursement. The program will continue to follow a market value-based approach for reimbursement of connected devices with additional accountability requirements. Universal Service Administrative Co. is required to do quarterly "program integrity reviews." USAC will make data public on household enrollment similar to the tracker used for the national verifier. About 265,000 households are enrolled in ACP, the order said. Few changes were made to the NPRM. It included a question about how to administer a pilot focused on outreach to households in federal public housing assistance programs and other agencies. It asks how the enhanced, up to $75 monthly benefit should be administered to households in high-cost areas.

Commenters disagreed on the FCC's role in oversight and implementation of next-generation 911, in comments posted Thursday in docket 21-479 on the National Association of State 911 Administrators' (NASNA) petition seeking a rulemaking or notice of inquiry to fully implement NG-911 (see 2110190066). Some public safety organizations backed a rulemaking clarifying demarcation points for cost allocations.