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1 1 (June 04, 2020)

handle is hein.crs/govdasz0001 and id is 1 raw text is: FF. ' riE -E-'.rt h ,, . Updated June 4, 2020 The Universal Service Fund and COVID-19: The FCC and Industry Response The need for social distancing, due to the Coronavirus Disease 2019 (COVID-19) pandemic, has led to an increase in remote working, distance learning, and telemedicine activities that depend on connectivity to the telecommunications and broadband network. The Federal Communications Commission (FCC) and its Universal Service Fund (USF) programs are viewed by some as avenues to address this growing need. The FCC has taken steps to expand and modify three of the USF programs: the Lifeline Program; the Schools and Libraries (E-Rate) Program; and the Rural Health Care Program, in response to the pandemic and to address various aspects of social distancing. The USF was established in 1997 under the authority of the Telecommunications Act of 1996 (P.L. 104-104) to facilitate the deployment and adoption of fixed and mobile telecommunications and broadband services. The FCC is responsible for establishing USF policies and oversees the Universal Service Administrative Company (USAC), an independent not-for-profit organization tasked with administering the USF. The FCC has used the USF to address the growing connectivity needs and challenges Americans face during the COVID-19 pandemic. Three USF programs, the Lifeline Program, the Schools and Libraries (E-Rate) Program, and the Rural Health Care Program, have been viewed as instrumental to support the nation's connectivity and social distancing needs. The FCC, an independent regulatory agency responsible for the regulation of interstate and international communications services, is charged with, among other things, developing the policies to meet the principles and objectives of the universal service concept. This concept, which has evolved over time, currently embraces the principle that every American have access to broadband connectivity and that access to and adoption of broadband be a national goal. The FCC, under the provisions contained in the Communications Act of 1934, as amended, operates based on a public interest standard and as such has some flexibility when establishing and implementing rules and regulations. In general, rules may be waived by the FCC on its own motion or on petition if good cause therefor is shown (47 CFR § 1.3). In evaluating good cause for waivers, the FCC has discretion to waive a rule when particular facts make compliance inconsistent with the public interest, and may take into account considerations of hardship, equity, or more effective implementation of policy. Under this authority, the FCC chose to leverage the USF to help meet the nation's growing pandemic-related telecommunications and broadband needs. Since the pandemic began, the FCC has taken steps, including the temporary lifting or suspension of program rules, the modification of program requirements, the issuance of temporary waivers, and the increase of budgets, to modify USF programs to address public interest needs. The implementation of social distancing measures to slow the spread of COVID-19 has led to a growing unemployment rate and financial hardship, coupled with the growing need for connectivity to broadband. The Lifeline Program, the only federal program focused on telephone and broadband adoption for eligible low-income households, is viewed as an instrumental program to address growing connectivity needs of households facing job and financial loss. The FCC has taken steps to protect current enrollees and increase enrollment opportunities to join the Lifeline program. Usage requirements, de-enrollment procedures, and other waivers have been extended until August 31, 2020. Temporary waivers regarding program recertification and reverification requirements have been issued, according to the FCC, to enable Lifeline program providers to focus on increasing new enrollments and protecting current program subscribers. The FCC has also temporarily eased income eligibility proof rules, modified application rules for those living on rural tribal lands, and waived requirements that all enrollment representatives individuals who represent providers and seek out new enrollees to subscribe to the USF Lifeline Program-register with the program administrator, USAC. The private sector has also taken steps to expand and enhance its offered and funded low-income programs that are separate from the Lifeline program. (See Industry Response, below.) 1',c LI~'mr,'~ so,-*,m As schools increasingly move to distance learning options to address social distancing requirements, the need for connectivity so students can gain access to instruction and complete school assignments from home has surged. The USF E-Rate Program provides subsidies for eligible elementary and secondary schools and classrooms, as well as libraries, for internet access, internal network connections, and telecommunications services. The FCC has taken some actions to temporarily modify program rules to facilitate distance learning objectives. The FCC waived gift rules, until September 30, 2020, to enable schools and libraries to solicit for and accept improved connections and additional equipment and devices to p\w -- , gn'a', goo mppm qq\ , q I 'M 11LIANJILiM,

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