On September 30, 2025, the Federal Communications Commission (FCC) released a Notice of Inquiry (NOI) in WC Docket No. 25-253 seeking public comment on state and local regulations that may impede deployment of wireline telecommunications infrastructure. This inquiry is part of the FCC's "Build America Agenda" and aims to address a range of delays, excessive fees, in-kind compensation requirements, and conditions imposed on access to the rights-of-way that have been the subject of rulemaking and litigation in the cable and wireless context. The FCC also invites comment on other requirements that may violate Section 253 of the Communications Act by effectively prohibiting the provision of telecommunications services, which it could consider preempting by initiating a preemption proceeding sua sponte. Collectively, this approach builds on the foundation laid by the Commission beginning with the 2018 Small Cell Order, and allows the agency to target similar barriers to wireline deployments that the Commission has already considered to unlawfully inhibit wireless deployments. This inquiry continues the Commission's efforts to eliminate barriers to deployment, regardless of the type of wireless or wireline infrastructure they use.
Key Issues for Commenters
The FCC is particularly interested in receiving comments on the following:
- Authorization Delays: The NOI seeks information about delays providers face when seeking state and local approvals to access public rights-of-way, and whether these delays constitute a violation of Section 253 by "effectively" prohibiting service. As discussed in this Insight, the FCC has previously taken steps to address these types of concerns in order to streamline the regulatory process in other wireless and wireline contexts prior to litigation in the Ninth Circuit, where the agency's actions were affirmed. Notably, the NOI also raises questions about access to municipally owned poles, and whether additional permits are required beyond those required for access to public rights-of-way. It also asks for potential solutions, including the establishment of "shot clocks" to limit processing times for wireline applications, which are already in use for wireless applications.
- Excessive Fees: The NOI also asks about the impact of fees imposed by state and local governments on wireline deployments, specifically whether those fees are cost-based, nondiscriminatory, and publicly disclosed, as required by Section 253(c). The NOI recounts the standards established in the Small Cell Order for evaluating the legality of fees imposed by state and local governments for accessing public rights-of-way and using government property in the rights-of-way, such as municipally owned poles, and asks whether it should establish similar standards for fees charged to wireline providers. Notably, the Ninth Circuit affirmed the FCC's determination in previous rulemakings that Section 253 extends to government-owned property in public rights-of-way given that cities act in a "regulatory" not "proprietary" capacity—a determination that on its face, is applicable in the context of the NOI for wireline deployments. The NOI also considers the potential for the FCC to establish fee standards or safe harbors to ensure compliance. The NOI asks whether it should consider cost-based recovery schemes that are used in other contexts, such as the formulaic approach employed in Section 224 for setting annual rental rates for investor owned utility poles.
- In-Kind Compensation Requirements: The NOI also seeks information on the use of in-kind compensation (e.g., requiring providers to install excess conduit or fiber for government use) as a condition for deployment approvals, and whether such requirements are reasonable or constitute a barrier to providing service under Section 253.
- Identification of Other Prohibitive Requirements: In addition to seeking information on the types of potential Section 253 violations that have been addressed in prior rulemakings and litigation, providers are also being asked to identify other specific state or local statutes, regulations, or practices that hinder wireline deployment not previously considered by the agency, and whether those requirements also constitute a violation of Section 253 justifying sua sponte preemption by the FCC.
- Commingled Facilities: Recognizing that the "effective prohibition" standard in Section 253 already applies to infrastructure used for telecommunications and other services, the NOI also asks about state and local government permitting processes and fee requirements imposed on providers that offer commingled services over wireline telecommunications infrastructure, and whether those processes or fees effectively prohibit the provision of wireline telecommunications service.
Key Takeaways
The FCC's inquiry could lead to significant regulatory streamlining aimed at incentivizing investment and accelerating wireline infrastructure deployment. These changes may include:
- Preempting state and local requirements that delay or increase the cost of deployment.
- Establishing national standards for processing times and fees.
- Reducing regulatory uncertainty to encourage private investment in modern networks.
Stakeholders are invited to submit comments by November 17, 2025, and reply comments by December 17, 2025. This is a critical opportunity for providers to shape the regulatory framework governing wireline deployments.
