A cable industry priority for the new year is opposing the FCC's proposal that requires MVPDs to refund subscribers for programming blackouts due to failed retransmission consent talks with broadcasters, ACA Connects President Grant Spellmeyer told Communications Daily. In an interview, Spellmeyer discussed his 18 months as ACA head (see 2205170043), video's declining -- but not negligible -- importance to his members, and cable's broadband equity, access and deployment (BEAD) program concerns. The following transcript was edited for length and clarity.
Affordable Connectivity Program (ACP)
What is the Affordable Connectivity Program (ACP)?
The Affordable Connectivity Program was a recently expired subsidy for low-income households to lower the cost of purchasing broadband internet and connected devices. The program was signed into law as part of the 2021 Infrastructure Investment and Jobs Act and administered by the FCC up until June 1, 2024, due to expiration of the ACP’s funding.
Will the ACP Return?
Congress continues to debate restoring ACP funding, with immediate next steps likely to come from the Senate Commerce Committee or Congressional discussions on revising the Universal Service Fund.
Lead Republican lawmakers’ recent charge that the FCC was “deeply misleading” about the affordable connectivity program’s efficacy (see 2312150068) has solidified perceptions on and off Capitol Hill that it will be extremely difficult to reach a deal allocating additional money before the initiative's funding runs out next year, lobbyists and observers told us. Estimates peg ACP as likely to exhaust its initial $14.2 billion tranche from the 2021 Infrastructure Investment and Jobs Act during the first half of 2024 (see 2309210060). The White House is pushing for Congress to appropriate an additional $6 billion to fully fund the program through the end of 2024 (see 2310250075).
Altice urged the New Jersey Board of Public Utilities to quickly OK a settlement resolving the board’s service quality probe. The settlement has Altice pledging to spend $11 million on its network and making other broadband adoption, network resiliency and customer service commitments. “It’s an important settlement” for local governments, said Best Best attorney Gerard Lederer, who represented Piscataway, New Jersey, in the proceeding.
Louisiana is the first state to get full NTIA approval of its initial proposal for the broadband, equity, access and deployment (BEAD) program. NTIA approved volume 2 of the state's plan, the agency said Friday. On a videoconference with reporters Thursday, outgoing Louisiana Gov. John Bel Edwards (D) said he has no concerns that Gov.-elect Jeff Landry (R) “will depart from the commitment that we have made in our submission.”
Four lead Republicans on the House and Senate Commerce committees and their Communications subpanels raised major concerns Friday with the FCC’s “deeply misleading” claims about the affordable connectivity program's efficacy. Some lobbyists think this is a problem given the Biden administration’s push for Congress to appropriate an additional $6 billion to fully fund the initiative through the end of 2024 (see 2310250075). Estimates peg ACP as likely to exhaust its initial $14.2 billion tranche from the 2021 Infrastructure Investment and Jobs Act during the first half of 2024 (see 2309210060).
Don’t cut a free broadband requirement from California Advanced Services Fund public housing account (PHA) rules, The Utility Reform Network (TURN) urged this week. The California Public Utilities Commission posted comments and replies this week on a staff proposal in docket R.20-08-021. TURN reacted to a suggestion by the California Emergency Technology Fund (CETF) to consider removing the proposal's requirement to provide five years free.
FCC Commissioner Anna Gomez wants to focus on empowering and engaging with underserved consumers and combating media disinformation, she said Tuesday during the Congressional Hispanic Caucus Institute’s inaugural Celebrating Latina Excellence event. A news release from her office called it “her first major speech.” Gomez was sworn in Sept. 25. In a news conference after her remarks Tuesday, Gomez said that her most immediate policy goals for the FCC are implementing continued funding for the affordable connectivity program and spectrum auctions authorization, both of which would require congressional action before the agency could act. “I am a firm believer in the power of competition to drive innovation that improves services and lowers prices for consumers,” Gomez said. “But competition only works when the market works”
Republican condemnation of the FCC’s actions since it shifted to a Democratic majority in late September -- and Democrats’ defense of the commission’s recent record -- dominated a Thursday House Communications Subcommittee hearing on agency oversight, as expected (see 2311290001). The hearing’s slightly rancorous tone signaled a return to more overtly partisan oversight, in contrast to relatively more bipartisan discussion when FCC commissioners testified in front of the subpanel in June, while the commission was still tied 2-2 (see 2306210076).
The California Public Utilities Commission should reject a proposed change to NTIA’s broadband, equity, access and deployment (BEAD) model rules that would affect how the state treats licensed fixed wireless (LFW) services, wireless industry groups said this week. The CPUC released comments Tuesday on volumes one and two of draft BEAD initial proposals (docket R.23-02-016). AT&T, CTIA and California’s cable association urged the commission to reject a cheap broadband requirement proposed in case Congress doesn’t renew the affordable connectivity program (ACP).
Some ISPs tell Wall Street they aren't expecting notable subscriber losses should funding run out for the Affordable Connectivity Program. They expect to keep subs -- though at perhaps lower speed tiers and cheaper service offerings. Advocates say ACP helps make connectivity affordable for current subscribers and ensures accessibility items that the broadband equity, affordability and deployment (BEAD) program addresses translate into adoption.