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Letter to Ajit Pai, Chairman of the Federal Communications Commission - Cramer leads Congressional Letter to FCC on Rural Broadband Funding Challenges

Letter

By: Tom O'Halleran, Michael Coffman, Jackie Walorski, Collin Peterson, Peter DeFazio, Chris Stewart, Mo Brooks, Doug Lamborn, Cheri Bustos, James Comer, Jr., Frank Lucas, Vicente Gonzalez, David McKinley, Jim Costa, Rick Allen, Susan Brooks, Hal Rogers, Rick Nolan, Sean Maloney, Ryan Costello, Jaime Herrera Beutler, Mike Gallagher, French Hill, Paul Cook, Al Lawson, Jr., John Shimkus, Mike Johnson, Bruce Poliquin, Tom Emmer, Sam Graves, Virginia Foxx, Nydia Velázquez, Bill Johnson, Mark Sanford, Jr., Mac Thornberry, Mia Love, Liz Cheney, Ed Perlmutter, Kurt Schrader, Brian Mast, Kevin Cramer, Doug LaMalfa, Jared Polis, David Young, Steve King, Todd Rokita, Lynn Jenkins, Steve Pearce, Steve Stivers, Kristi Noem, Scott DesJarlais, Peter Welch, Sean Duffy, Rick Crawford, Kyrsten Sinema, Diana DeGette, Sanford Bishop, Jr., Mike Bost, Adam Kinzinger, Roger Marshall, Ron Estes, Jack Bergman, Tim Walz, Ted Budd, Annie Kuster, Elise Stefanik, David Valadao, Rod Blum, Larry Bucshon, Andy Barr, Gregg Harper, John Faso, Chuck Fleischmann, Mark Pocan, Alex Mooney, Jared Huffman, Scott Tipton, Mike Simpson, Kevin Yoder, Jim McGovern, Paul Mitchell, Blaine Luetkemeyer, Steven Palazzo, Alma Adams, Brad Wenstrup, Tom Cole, John Ratcliffe, Pete Olson, Morgan Griffith, Luke Messer, Austin Scott, Tim Ryan, Rob Bishop, Glenn Grothman, Martha Roby, Doris Matsui, Ken Buck, Rodney Davis, Clay Higgins, Seth Moulton, Erik Paulsen, Vicky Hartzler, Greg Gianforte, Carol Shea-Porter, Bob Latta, Steve Russell, Mike Conaway, John Curtis, Ron Kind, John Garamendi, Brett Guthrie, Diane Black, Jim Sensenbrenner, Jr., Evan Jenkins, Bruce Westerman, Raul Ruiz, Dave Loebsack, Darin LaHood, Ralph Abraham, Tim Walberg, Ann Wagner, Billy Long, Mark Meadows, Chris Collins, Markwayne Mullin, Tom Rice, Randy Weber, Sr., Donald McEachin, Trent Kelly
Date: May 15, 2018
Location: Washington, DC
Issues: Technology and Communication

Dear Chairman Pai:

We thank the Federal Communications Commission (FCC) for its recent Order addressing certain High-Cost Universal Service Fund (USF) budget shortfalls. The recent Order is an essential near-term step in the right direction, but we encourage the FCC to adopt longer-term USF budget solutions that will ensure rural Americans the opportunity to obtain voice and broadband services on a basis that is reasonably comparable to what other Americans enjoy.

In multiple letters, Congress has expressed broad support for addressing High-Cost program shortfalls. In May 2017, nearly 160 Members of Congress wrote to the FCC, expressing concern about the impact of insufficient USF resources on rural consumers. In October 2017, nearly 75 Members of Congress asked the FCC to immediately address the budget shortfall and continue collecting the same USF budget levels for the High-Cost program pending development of a longer-term solution.

The FCC's recent Order approving an infusion of funds into the USF is greatly welcomed, but it also represents a recognition of, and an incomplete salve for, a more significant problem -- the fact that the High-Cost USF program has been and remains insufficient (notwithstanding the recent injection of support). This persistent insufficiency is affecting the ability of smaller rural broadband providers to effectively deliver broadband services in the most rural areas of America. For example, we understand the FCC's cost model for smaller operators is still not funded at the levels as designed, while those smaller carriers that do not receive model support may face even steeper support cuts than before when the program's new "fiscal year" takes effect on July 1. For all the work just undertaken, these recurring budget shortfalls will yet again translate to lower speeds, more unserved locations, and higher prices for rural consumers and businesses.

To be clear, we greatly appreciate the steps taken by the FCC thus far to address such concerns. However, until longer-term budget solutions are addressed as well, many smaller operators will remain unable to offer high quality, affordable broadband to consumers across rural America. For these reasons, we encourage the FCC to act as soon as possible pursuant to the notice of proposed rulemaking included with the order to provide support that is both sufficient and predictable on a longer-term basis as mandated by statute.

Thank you for your consideration. We share your goal of eliminating the digital divide and look forward to working with you to ensure rural American consumers and businesses have access to quality, affordable broadband.

Sincerely,


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