AUSTIN, Nov. 9–The National Association of Regulatory Utility Commissioners’ (NARUC) Telecommunications Committee today tabled a controversial resolution seeking to preserve competition on government-supported networks, and adopted a resolution urging the FCC to expedite federal funding to areas that have not accepted Connect America Funding (CAF). The committee also unanimously adopted a resolution supporting the recommendations made by a next generation (NG) 911 working group, despite some concerns about the resolution from industry.
The committee did not vote on the resolution to preserve competition on networks built with federal funds, which was sponsored by Nebraska Public Service Commissioner Crystal Rhoades, but said that members of the committee will address the competition issues and work to draft another resolution for the group’s winter meetings in February. The resolution was tabled by a vote of 7-5 by the telecommunications staff subcommittee on Sunday.
Commissioner Rhoades said today that she anticipated her resolution would result in a “difficult conversation, but I didn’t think that mass hysteria would ensure from the publication of this resolution.” The resolution promotes the idea that networks supported by federal funds should be required to make fiber-based unbundled network elements (UNEs) available to CLECs. The resolution as drafted said that the FCC should avoid relying on commercial agreements that are not subject to regulatory oversight for the competitive use of networks built with federal funds, and that the FCC and states should “proactively consider appropriate regulatory policies that promote broadband deployment, advance competition and minimize harm to existing competition especially when government funds are used to deploy broadband networks.”
Commissioner Rhoades pointed out during today’s committee meeting that there currently exists “largely subsidized networks that are deregulated, not subject to any oversight, and are not subject to competition.”
“I have seen the effects of unregulated monopolies,” she said. “We need to have a thoughtful conversation about these networks.” The commissioner added that she is a committed to finding a solution that is going to work for everyone.
The committee, meanwhile, did pass a resolution calling on the FCC to expedite availability of remote areas funding and Connect America Funding (CAF) to unserved and underserved rural areas where carriers have not yet accepted federal funding. The resolution is sponsored by Commissioner Catherine J.K. Sandoval, a member of the California Public Utilities Commission and vice chair of NARUC’s telecom committee.
Commissioner Sandoval urged the committee to adopt the resolution even though it was submitted one day late. She said the resolution is it especially important in the states where CAF was declined “to make that money available as soon as possible. In California, there are places that are RAF eligible that are near places that have received CAF funds so there are opportunities for efficiencies there.”
The resolution urges the FCC to “move as quickly as possible to implement the competitive bidding process for the Connect America Fund Phase II (CAF II) and Remote Area Fund (RAF) in order to ensure the timely availability of broadband facilities and services to the CAF II defined and more remote areas of the nation, including tribal regions, where incumbent carriers have declined support from the CAF II, and in remote areas.”
“This is a matter of federal funds that are sitting unused that we need to get to the states,” New York Public Service Commissioner Gregg Sayre said “Let’s get this money working before someone takes it away.”
The committee also adopted a resolution endorsing the FCC Task Force on Optimal PSAP Architecture Working Group 3’s recently released report sponsored by Washington Utilities and Transportation Commissioner Philip Jones, who chaired the working group. The resolution urges the FCC to give “serious consideration” to the recommendations made by working group 3 in the report discussing the state of 911 fees and resource allocations and concluding, among other things, that current fee collections mechanisms “are outmoded given current and future technological changes, and are in dire need to be modernized to be more equitable, consistent, and sustainable,” and that “the system of fee collection and allocation of expenditures for 911 systems is breaking down at the same time the nation is aggressively looking to deploy NG 911 systems.”
Among other things, the report recommended that more effective mechanisms for coordination at state and regional levels be developed to accelerate the timely and cost-effective transition to NG911 systems. The resolution endorses the findings of the report, and as well as FCC Chairman Tom Wheeler’s proposal to seek legislation to permit the FCC to use proceeds from the spectrum auctions to provide funds to state and local governments to accelerate the transition to NG 911.
Some industry members said it was premature to endorse the findings of this report since the report is not final and is likely to be revised before it is released by the FCC. Industry specifically took issue with the report’s recommendation that states might was to consider imposing a network connection fee as a source of ongoing funding for NG 911.
Robert Mayer, vice president at the U.S. Telecom Association, said that while the USTA is in complete agreement that the funding issues need to be addressed, it is concerned about a couple provisions in the report – namely the network connection fee provision – and the fact that the task force is still reviewing the report.
In response, Commission Jones pointed out that the recommendations in the report are just options presented for the states to consider.
The draft resolutions are subject to approval of NARUC’s board of directors, which meets tomorrow afternoon. – Carrie DeLeon, carrie.deleon@wolterskluwer.com
Courtesy TRDaily