USF Tracker - May 2023

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Lifeline / Affordable Connectivity Program (ACP)

  • On May 30, 2023, the Wireline Competition Bureau (WCB), in an Order (DA 23-460) on its own motion, granted a limited, one-time waiver to a number of Lifeline subscribers who received incorrect information about the deadline for recertifying their eligibility for the Lifeline program. In letters from the Universal Service Administrative Company (USAC), these subscribers were informed that they had approximately 80 days in which to recertify their eligibility for the Lifeline program, rather than the 60- days provided for under the Lifeline program rules. Approximately 22,000 subscribers were sent a letter with the wrong recertification deadline.
  • On May 25, 2023, the FCC announced in a News Release details for additional outreach grant opportunities for the ACP, seeking to enlist targeted trusted community messengers to develop innovative outreach strategies to reach historically unserved and underserved communities.
  • On May 24, 2023, FCC Commissioner Geoffrey Starks began visits to Denver, Colorado and Charlotte, North Carolina to kick-off the “Your Home, Your Internet” Pilot Program. “Your Home, Your Internet” is a pilot program designed to increase enrollment and awareness of the ACP among those receiving federal housing assistance.
  • On May 9, 2023, FCC Chairwoman Jessica Rosenworcel visited Phoenix, Arizona to promote ACP collaboration with the City of Phoenix.
  • On May 8, 2023, FCC Commissioner Geoffrey Starks and House Democratic Leader Representative Hakeem Jeffries attended an ACP public awareness event in New York City.
  • On May 4, 2023, the FCC announced in a Public Notice (DA 23-366) a new ACP application landing page at GetInternet.gov. The landing page provides descriptions and explanations about the ACP and allows consumers to apply for participation.
  • USAC previously announced that eligible telecommunications carriers (ETCs) participating in the High Cost and/or Lifeline programs may access FCC Form 481 for Program Year 2024 through the USAC E-file/Okta One Portal. FCC Form 481 must be certified by July 1, 2023. Additional information about FCC Form 481 is available here.

High Cost Fund Programs

  • On May 23, 2023, the FCC in an Order (FCC 23-40) temporarily waived, on its own motion, the application of the budget control mechanism for rate-of-return carriers that receive high-cost universal service support from legacy mechanisms. Instead, the FCC adopted a budget constraint of 0% (a full waiver of the budget constraint) for the July 2023 to June 2024 tariff year, and directed the WCB to work with USAC to implement the budget control mechanism using 0%.
  • On May 23, 2023, in a Public Notice (DA 23-434), the WCB and the Office of Economics and Analytics (OEA) announced Etheric Communications LLC’s default of Rural Digital Opportunity Fund (RDOF) support bids and denied Wavelength LLC’s petition for waiver. Long-form RDOF (Auction 904) applicants were required to obtain ETC designations covering each of the geographic areas for which they sought to be authorized by June 7, 2021.
  • On May 23, 2023, the WCB and the OEA issued an Order (DA 23-430) denying Etheric Communications LLC’s petition for reconsideration relating to the WCB’s prior decision dismissing as moot and alternatively denying a request for waiver of the ETC designation deadline.
  • On May 17, 2023, in an Order (DA 23-419), the WCB granted a request by East Central Vermont Telecommunications District for a 6-month waiver of the RDOF auction requirement that recipients obtain letters of credits from banks that maintain a Weiss bank safety rating of B- or better. The waiver extends until November 1, 2023.
  • On May 5, 2023, the WCB announced in a Public Notice (DA 23-363) a May 22, 2023 deadline for eligible facilities-based mobile providers to elect to receive transitional mobile high-cost support in Puerto Rico and the U.S. Virgin Islands.
  • On May 1, 2023, the FCC announced in a News Release $8 million in fines against 22 applicants in the RDOF Phase I Auction (Auction 904) for apparently violating the FCC’s requirements by defaulting on their bids between May 3, 2022 and December 16, 2022. The apparent defaulted bids cover 2,994 census block groups in 31 states.

Schools and Libraries (E-Rate)/Emergency Connectivity Fund (ECF)

  • On May 31, 2023, in the School and Libraries docket, CC Docket No. 02-6, in the ECF docket, WC Docket No. 21-93, and in the RHC program docket, WC Docket No. 02-60, the WCB issued a Public Notice (DA 23-433) announcing the grant, dismissal, or denial of various requests (such as requests for review, requests for waivers, and petition for reconsideration) related to actions taken by USAC.
  • On May 24, 2023, the FCC announced in a News Release over $12 million in ECF funding. The funding will support 35,000 students across the country, including students in Arkansas, Connecticut, Illinois, South Carolina, Texas and Washington.
  • On May 23, 2023, USAC provided information for E-Rate participants to appeal FY2023 funding commitment decisions. USAC began issuing FY2023 funding commitment decision letters on April 28, 2023. USAC must receive any appeal within 60 days following the date when USAC issued the decision.
  • On May 26, 2023, USAC reminded E-Rate participants that June 30, 2023 is the last day to receive recurring services for Funding Year (FY) 2022. If the same service provider will continue to provide recurring service after June 30, it must use the Funding Request Number (FRN) approved for FY2023 when invoicing for recurring services that start July 1, 2023.
  • On May 26, 2023, USAC announced its “Summer Deferral” as of May 26, 2023. If USAC’s first attempt to contact is on or after May 26, but USAC does receive a response, USAC will put an application on a deferred status, with review of the application extended to after September 9, 2023.
  • On May 26, 2023, USAC announced that it will sunset the legal Search Commitments Tools for E-Rate. The tool has been replaced with the Open Data E-Rate Search Commitments Tool, which went live in March 2023. In addition, USAC also announced the sunset of the SPIN Search Tool in June 2023. Service provider information can be found using the Service Provider Download Tool.
  • On May 17, 2023, the WCB announced in a Public Notice (DA 23-425) that there is sufficient funding available to fully meet USAC’s estimated demand for category one and category two requests for E-Rate supported services for funding year 2023. USAC estimates the total demand for funding year 2023 will be $2.944 billion, which includes estimated demand for category one services of $1.658 billion and of $1.286 billion for category two services.
  • On May 12, 2023, the WCB and the Office of Managing Director (OMD) provided guidance in a Public Notice (DA 23-406) to ECF participants on the expiration of the COVID-19 public health emergency on May 11, 2023, announcing June 30, 2024 as the sunset date for the ECF program. ECF funding will only be available for purchases of eligible equipment and services made by the sunset date for the program.
  • On May 10, 2023, the FCC announced in a News Release over $24 million in ECF funding. The funding will support approximately 45,000 students across the country, including students in Alaska, Arizona, California, Minnesota, New York, Oklahoma, and Texas.
  • On May 8, 2023, USAC announced that it will update the FCC Form 498 for all E-Rate applicants that use or will use the BEAR method of reimbursement to require entities to have an active Unique Entity Identifier (UEI) if they submit a new FCC Form 498 or if they modify their existing FCC Form 498 after May 12, 2023. Additional information is contained in the April News Brief.
  • On May 8, 2023, in an Order (DA 23-405), the WCB granted, in part, a requested waiver filed by Schools, Health & Libraries Broadband Coalition and the Consortium for School Networking. The Order waives and extends the service delivery date for certain applicants who applied for ECF support for equipment, other non-recurring services, and recurring services during the first, second, and third filing windows, and waives and extends the service delivery date for recurring service requests for first, second, and third filing window applicants that were approved for new construction services, but were unable to use the full amount of their approved funding for monthly recurring services associated with the construction.

Rural Health Care (RHC)

  • On May 31, 2023, in the School and Libraries docket, CC Docket No. 02-6, in the ECF docket, WC Docket No. 21-93, and in the RHC program docket, WC Docket No. 02-60, the WCB issued a Public Notice (DA 23-433) announcing the grant, dismissal, or denial of various requests (such as requests for review, requests for waivers, and petition for reconsideration) related to actions taken by USAC.
  • On May 30, 2023, USAC announced that certain post-commitment change requests are now available in RHC Connect for Health Care Connect Fund (HCF) Program applicants, and announced a new webpage for Post-Commitment Actions, as well as specific webpages for SPIN Changes and Site and Service Substitutions. A user guide is available.
  • On May 26, 2023, the FCC, in an Order (FCC 23-41), granted in part and denied in part an application for review submitted by the Tanana Chiefs Conference (TCC), seeking reconsideration of the WCB’s decision denying requests: (1) to permit the filing of three TCC funding year 2016 RHC Program requests for support after the application filing deadline; and (2) to fully fund all of TCC’s RHC Program funding year 2016 commitments despite a proration requirement triggered when program-wide demand exceeded available support.
  • On May 24, 2023, in a Public Notice (DA 23-440), the WCB announced the availability of unused funds to satisfy demand for RHC program funding for Funding Year 2023. The WCB, in consultation with the OMB, directed USAC to carry forward up to $211.50 million in unused funds from prior funding years to the extent necessary to satisfy funding year 2023 RHC Program demand.
  • On May 11, 2023, in a News Release, the FCC announced that the Enforcement Bureau reached a settlement with GCI Communication Corp. (GCI) to resolve its investigation into the company's Rural Health Care Program practices, including rate determination and competitive bidding violations. GCI agreed to a settlement amount of over $42 million that includes a repayment to the Universal Service Fund (USF) of more than $26 million and a credit of $16 million for withdrawal of applications and various appeals.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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