The State of Broadband Amid the COVID-19 Pandemic (S. Hrg. 116-586, May 13, 2020)
Summary
The record of Senate Hearing 116-586, The State of Broadband Amid the COVID-19 Pandemic, before the Senate Committee on Commerce, Science, and Transportation on May 13, 2020, with Roger Wicker, Chairman of the Committee, presiding. The witnesses are Steven K. Berry of the Competitive Carriers Association, Shirley Bloomfield of NTCA, Gene Kimmelman of Public Knowledge and Jonathan Spalter of USTelecom. Senator Wicker says the CARES Act provided $200 million to the FCC for a telehealth program and $13 billion to the Department of Education for distance learning. Senator Cantwell cites the FCC report that at least 18 million Americans lack access to broadband. The record closes with responses to written questions from senators to the witnesses.
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“The State of Broadband Amid the COVID-19 Pandemic (S. Hrg. 116-586, May 13, 2020).”
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[Senate Hearing 116-586]
[From the U.S. Government Publishing Office]
S. Hrg. 116-586
THE STATE OF BROADBAND AMID
THE COVID-19 PANDEMIC
=======================================================================
HEARING
BEFORE THE
COMMITTEE ON COMMERCE,
SCIENCE, AND TRANSPORTATION
UNITED STATES SENATE
ONE HUNDRED SIXTEENTH CONGRESS
SECOND SESSION
__________
MAY 13, 2020
__________
Printed for the use of the Committee on Commerce, Science, and
Transportation
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
Available online: http://www.govinfo.gov
__________
U.S. GOVERNMENT PUBLISHING OFFICE
52-672 PDF WASHINGTON : 2023
-----------------------------------------------------------------------------------
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
ONE HUNDRED SIXTEENTH CONGRESS
SECOND SESSION
ROGER WICKER, Mississippi, Chairman
JOHN THUNE, South Dakota MARIA CANTWELL, Washington,
ROY BLUNT, Missouri Ranking
TED CRUZ, Texas AMY KLOBUCHAR, Minnesota
DEB FISCHER, Nebraska RICHARD BLUMENTHAL, Connecticut
JERRY MORAN, Kansas BRIAN SCHATZ, Hawaii
DAN SULLIVAN, Alaska EDWARD MARKEY, Massachusetts
CORY GARDNER, Colorado TOM UDALL, New Mexico
MARSHA BLACKBURN, Tennessee GARY PETERS, Michigan
SHELLEY MOORE CAPITO, West Virginia TAMMY BALDWIN, Wisconsin
MIKE LEE, Utah TAMMY DUCKWORTH, Illinois
RON JOHNSON, Wisconsin JON TESTER, Montana
TODD YOUNG, Indiana KYRSTEN SINEMA, Arizona
RICK SCOTT, Florida JACKY ROSEN, Nevada
John Keast, Staff Director
Crystal Tully, Deputy Staff Director
Steven Wall, General Counsel
Kim Lipsky, Democratic Staff Director
Chris Day, Democratic Deputy Staff Director
Renae Black, Senior Counsel
C O N T E N T S
----------
Page
Hearing held on May 13, 2020..................................... 1
Statement of Senator Wicker...................................... 1
Statement of Senator Cantwell.................................... 3
Statement of Senator Blunt....................................... 42
Statement of Senator Klobuchar................................... 43
Statement of Senator Fischer..................................... 45
Statement of Senator Udall....................................... 47
Statement of Senator Thune....................................... 49
Statement of Senator Tester...................................... 51
Statement of Senator Moran....................................... 53
Statement of Senator Markey...................................... 55
Statement of Senator Blackburn................................... 56
Statement of Senator Rosen....................................... 57
Statement of Senator Capito...................................... 59
Statement of Senator Lee......................................... 61
Statement of Senator Baldwin..................................... 63
Statement of Senator Sullivan.................................... 65
Statement of Senator Schatz...................................... 67
Statement of Senator Blumenthal.................................. 69
Statement of Senator Sinema...................................... 70
Witnesses
Steven K. Berry, President and Chief Executive Officer,
Competitive Carriers Association............................... 5
Prepared statement........................................... 6
Shirley Bloomfield, Chief Executive Officer, NTCA--The Rural
Broadband Association.......................................... 11
Prepared statement........................................... 13
Gene Kimmelman, Senior Advisor, Public Knowledge................. 18
Prepared statement........................................... 20
Jonathan Spalter, President and Chief Executive Officer,
USTelecom--The Broadband Association........................... 33
Prepared statement........................................... 35
Appendix
Support letter dated April 29, 2020 to Hon. Nancy Pelosi, Hon.
Kevin McCarthy, Hon. Mitch McConnell and Hon. Chuck Schumer.... 75
Letter dated May 13, 2020 to Hon. Roger Wicker and Hon. Maria
Cantwell from Meredith Attwell Baker, President and CEO, CTIA.. 99
Letter dated May 13, 2020 to Hon. Roger Wicker and Hon. Maria
Cantwell from Stephanie Hall, Director, Innovation Policy,
National Association of Manufacturers.......................... 100
Letter dated May 13, 2020 to Hon. Roger Wicker and Hon. Maria
Cantwell from Tom Struble, Technology and Innovation Policy
Manager, R Street Institute and Jeffrey Wrestling, Technology
and Innovation Policy Resident Fellow, R Street Institute...... 101
Statement from the Utilities Technology Council.................. 102
Response to written questions submitted to Steven K. Berry by:
Hon. Roger Wicker............................................ 104
Hon. Roy Blunt............................................... 104
Hon. Jerry Moran............................................. 105
Hon. Shelley Moore Capito.................................... 107
Hon. Todd Young.............................................. 108
Hon. Richard Blumenthal...................................... 108
Response to written questions submitted to Shirley Bloomfield by:
Hon. Roger Wicker............................................ 109
Hon. Jerry Moran............................................. 110
Hon. Shelley Moore Capito.................................... 112
Hon. Richard Blumenthal...................................... 113
Hon. Kyrsten Sinema.......................................... 115
Response to written questions submitted to Gene Kimmelman by:
Hon. Amy Klobuchar........................................... 115
Hon. Richard Blumenthal...................................... 116
Hon. Kyrsten Sinema.......................................... 117
Response to written questions submitted to Jonathan Spalter by:
Hon. Roger Wicker............................................ 118
Hon. John Thune.............................................. 119
Hon. Roy Blunt............................................... 119
Hon. Jerry Moran............................................. 119
Hon. Shelley Moore Capito.................................... 121
Hon. Todd Young.............................................. 122
Hon. Richard Blumenthal...................................... 123
Hon. Edward Markey........................................... 124
THE STATE OF BROADBAND AMID
THE COVID-19 PANDEMIC
----------
WEDNESDAY, MAY 13, 2020
U.S. Senate,
Committee on Commerce, Science, and Transportation,
Washington, DC.
The Committee met, pursuant to notice, at 10 a.m., in room
SD-G50, Dirksen Senate Office Building, Hon. Roger Wicker,
Chairman of the Committee, presiding.
Present: Senators Wicker [presiding], Thune, Blunt,
Fischer, Moran, Sullivan, Gardner, Blackburn, Capito, Lee,
Cantwell, Klobuchar, Blumenthal, Schatz, Markey, Udall, Peters,
Baldwin, Tester, Sinema, and Rosen.
OPENING STATEMENT OF HON. ROGER WICKER,
U.S. SENATOR FROM MISSISSIPPI
The Chairman. This hearing will come to order. Welcome,
welcome. Today the Committee convenes to discuss the state of
broadband amid the COVID-19 pandemic. I extend my appreciation
to my colleagues for their attendance and their participation,
several of whom will participate remotely. I welcome our
distinguished panel of witnesses, and thank them for appearing.
Today we will hear from Mr. Steven Berry, President and
Chief Executive Officer of the Competitive Carriers
Association; Ms. Shirley Bloomfield, Chief Executive Officer of
NTCA, The Rural Broadband Association; Mr. Gene Kimmelman,
Senior Advisor of Public Knowledge, who will be appearing and
testifying remotely; and Mr. Jonathan Spalter, President and
Chief Executive Officer of USTelecom, The Broadband
Association.
The COVID-19 crisis has changed life dramatically for
almost every American. As the Administration and the Centers
for Disease Control and Prevention encourage social distancing
to prevent further spread of the virus, normal activities like
work, school, and health care services are now increasingly
taking place online. This has caused a huge uptick in the use
of broadband. One estimate shows that average broadband usage
is up by 47 percent since the pandemic began.
The good news is that there has been some progress in
connecting all Americans. The FCC's recently released Broadband
Deployment Report tells us that the number of households
without access to broadband service continues to decline. Yet,
despite these advances, there is still significant work that
needs to be done to get every American connected.
The current public health crisis has made these efforts all
the more urgent. I appreciate the initiatives led by the FCC to
sustain and accelerate the availability of broadband
connections. This includes the Keep Americans Connected Pledge,
where providers have committed not to terminate broadband
services to any residential or small business customers because
of an inability to pay their bills among other commitments,
along with temporary modifications to existing Universal
Service Fund (USF) programs to support the surging demand for
Internet service. These commitments have been done with some
inconvenience and cost to those making the pledge and I
appreciate that.
The bipartisan CARES Act also provided Federal resources to
broadband-related programs in response to COVID-19. For
example, the FCC received $200 million for a telehealth program
that is designed to provide immediate assistance to eligible
health-care providers to support their broadband needs. The
CARES Act also provided $13 billion to the Department of
Education to support distance learning. These resources can be
used to ensure students have access to broadband, digital
devices, and other equipment to continue their learning from
home.
Today's hearing is an opportunity to discuss what more can
be done to address immediate connectivity needs stemming from
the COVID-19 crisis.
Critically, efforts to expand broadband access depend upon
accurately identifying unserved areas and communities. The
Broadband DATA Act, which was recently signed into law, will
help provide the FCC with more precise data about where
broadband is available and where it is not and at what speeds.
The FCC will soon begin rolling out new and important USF
programs, such as the 5G Fund. The FCC is currently seeking
comment on whether to implement the Broadband DATA Act before
moving forward with the 5G Fund. This program will succeed
however only if the FCC follows the law. I look forward to
working with members of this committee and the Appropriations
Committee to ensure that the Commission has the funding it
needs to implement the Broadband DATA Act.
There have also been several legislative proposals in both
chambers of Congress to prioritize the delivery of broadband
services during this outbreak.
I hope witnesses will discuss the merits of these proposals
and how they will provide immediate relief and connectivity to
Americans.
We also need a regulatory framework that fosters investment
and promotes broadband deployment.
I look forward to discussing how to ensure all levels of
government have the appropriate regulatory processes in place
to promote rather than create barriers to broadband build-out.
This includes making sure broadband providers have access to
permits in a timely manner to maintain and upgrade their
networks to support increased demand for Internet services.
As more Americans rely on their Internet connections to
maintain contact with colleagues and loved ones, enhancing
network security and resiliency is also a top priority for this
Committee.
I hope to learn more about how dedicating resources to the
FCC's newly authorized ``rip and replace'' program, in addition
to other initiatives, will help keep our networks secure,
enhance our ability to get Americans back to work, and expand
broadband access.
Finally, I wish to thank our country's broadband network
providers and technicians for their tireless effort to make
sure Americans stay connected during this pandemic, so thank
you to all of those individuals. Unlike in other countries, the
surge in online traffic and bandwidth consumption in the United
States has not diminished network performance; nor has it
required the slowing of online services and applications.
Instead, U.S. providers have been able to meet the growing
demand, allowing Americans to continue enjoying high-quality
Internet services throughout this pandemic and that is a fine
accomplishment.
So, I thank the witnesses, again, for being here and for
participating remotely. And with that, I will turn to my dear
friend and Ranking Member, Senator Cantwell, for her opening
remarks.
Senator Cantwell.
STATEMENT OF HON. MARIA CANTWELL,
U.S. SENATOR FROM WASHINGTON
Senator Cantwell. Thank you, Mr. Chairman, and thank you
for holding this important hearing. And thank you to our
witnesses for appearing today, both in person and virtually, to
discuss solutions. The COVID crisis has made it crystal clear:
functioning broadband is absolutely necessary for every
American home. We spent a lot of time in this Committee over
the past several years talking about the persistent digital
divide and the harms that come to both our economy and society,
but we have not done enough to close that divide. And now, we
are in the middle of a crisis where people who are disconnected
from school, work, health care, friends, and family, need
access urgently.
Staying connected is as critical as ever. And as one of our
witnesses will say today, Mr. Kimmelman, ``broadband is
essential, but right now it's without universal access.''
It's no wonder that according to Pew Research, the majority
of Americans now consider broadband connectivity to be
essential in their lives. And yet millions of American families
still do not have access to this essential service.
The FCC reports that at least 18 million Americans lack
access to broadband and support the number--suspect the number
is significantly higher. Millions of Americans have Internet
connections that can support essential applications and
software for remote learning, but there are many who cannot.
And the glaring disparities between those who cannot now afford
to deliver those services into the home because of cost is also
something this Committee should consider.
That is why we must address our short-term emergency needs
and also invest in closing the digital divide.
To put it into perspective, the Pew Research nationally
showed that 35 percent households with school-aged children and
annual incomes below $30,000 do not have access to high-speed
Internet at home. Twenty-five percent of African-American homes
and 23 percent of Hispanic homes with school-aged children do
not have access to high-speed Internet at home.
And in the state of Washington, more than two-thirds of our
school districts responded to a recent survey showing that some
of the families could just simply not afford broadband
services. Statewide, 16 percent of families with children had
no access to broadband. And the Spokane School District
recently did a survey of 34 different schools and found varying
degrees of connectivity and concerns by teachers about who
could fully engage in distance learning.
That's why I want to thank Senator Markey for his tireless
efforts to close the homework gap. I'm proud to be a co-sponsor
of legislation that he has for emergency FCC E-Rate funding to
address this need and try to close the gap.
And also COVID has demonstrated the importance of
healthcare during this crisis. COVID-19 has changed the
healthcare delivery system. Primary care physicians are closing
their offices around the country to inpatient care. People are
afraid to go to the hospital to seek out necessary care because
of the infection. So telehealth has become the best way to
protect the public during the COVID crisis. And clinics in my
state have transitioned to using telehealth as the first
contact with each patient.
In fact, some clinics in my state report around 90 percent
of their initial contacts with patients now occur online. That
is why it's so important to make sure that people have access
to broadband if our healthcare delivery system, in initial
contacts, are going to move in that direction.
The CDC recommends that health clinics throughout the
country use remote contact with patients as their first line of
defense for COVID-19. But that only works if those clinics and
those patients have broadband. A recent Brookings report cited
the lack of broadband or insufficient broadband service to
support remote diagnostics as a key barrier to widespread use
of telehealth.
So I want to again thank some of our colleagues, Senator
Schatz, who has been leading the charge to support a telehealth
package as part of the next COVID round of packages. And we
need to make sure that these services are widely available,
allowing patients to access the care they need.
The added benefit for doctors is they can actually care for
more patients in a day, take the pressure off of their
colleagues who are dealing with the COVID crisis.
So, broadband also can help with the understanding of
COVID-19. The FCC has already compared health outcomes like
diabetes with broadband availability, and I want to thank
Senator Rosen for her work pressing the FCC to study additional
issues like maternal health outcomes and other issues related
to broadband availability.
And last, Mr. Chairman, I wanted to bring up Indian
Country. This represents a nearly 27 percent point gap in non-
tribal to tribal areas when it comes to broadband access. This
gap only widens according to a report by the FCC, that when 31
percent of households on tribal land lack access to high-speed
broadband compared to 7 percent in non-tribal areas.
So I want to thank my colleagues Senators Udall and Tester
for their continued work in delivering broadband to Indian
Country. And it's clear, we have to make sure that new tools
are put in place to make up for the shortfalls that we
currently see. Broadband connectivity can be a great equalizer
in this country. But if access is not there, then we can see
right here and now during the COVID crisis, the challenges to
our education system, our healthcare system, and just basic
contact with family and loved ones.
So I look forward to hearing from the witnesses today in
what we can do to close this gap immediately. Thank you, Mr.
Chairman.
The Chairman. Thank you, Senator Cantwell. We'll begin our
testimony with accepting the full statements from all four of
our witnesses, they will be included in their entirety in the
record at this point and we'll ask each witness to summarize
his or her testimony in approximately 5 minutes beginning with
Mr. Steven Berry.
Mr. Berry you are recognized.
STATEMENT OF STEVEN K. BERRY, PRESIDENT AND CHIEF EXECUTIVE
OFFICER, COMPETITIVE CARRIERS ASSOCIATION
Mr. Berry. Chairman Wicker, Ranking Member Cantwell and
Members of the Committee, thank you for the opportunity to
testify about how Competitive Carriers have gone above and
beyond to keep Americans connected during the COVID-19
pandemic. CCA is the Nation's leading association for
competitive wireless providers. Our members range from small,
rural carriers serving less than 5,000 customers, regional and
nationwide providers serving millions of customers.
As the country faces the largest public health crisis of
our lifetime, I am proud of how CCA members have worked to
maintain connectivity in the face of unprecedented demand for
telecommunication services across every aspect of day-to-day
life as economic, educational, health and social connections
move online to stay connected, while staying apart. Tethering
use is up significantly and one CCA member reported educational
app usage up nearly 150 percent.
Despite the increase in network usage, I can report that
Competitive Carriers have proven to be up to the task, and they
have taken extraordinary measures to maintain connectivity. I
also applaud the FCC for helping carriers temporarily tap into
a pool of unutilized spectrum to meet these demands. I hope
this experience will encourage additional innovative uses of
spectrum partitioning and disaggregation going forward.
Of course, networks cannot function without the men and
women who work every day to preserve and expand mobile
broadband services. It is imperative to keep these
professionals safe and healthy to maintain connectivity for all
and they must have reliable access to PPE.
And to help their customers, many CCA members signed on to
the FCC's Keep Americans Connected pledge to waive late fees
and maintain service.
Whether signatories to the pledge or not, CCA members of
all sizes are helping their communities stay connected by
offering billing credits, adding additional data capacity,
standing up new sites to provide service for educational use,
and even working with local health centers to develop triage
applications. After all, CCA members have been a vital part of
their communities for years, and that's just what you do for
your friends and neighbors. These efforts come at no immediate
cost to consumers, but can draw significant resources from the
carriers providing these services.
To be candid, carriers, especially small carriers, are
experiencing many of the same economic challenges as every
small business. As the national emergency continues, consumers
may accrue significant balances on accounts for communication
services.
To assist these consumers, CCA supports the Stay Connected
voucher proposal. The Stay Connected voucher is the missing
element to help consumers remain connected, without later
facing bill shock and undue hardships. It's a technology
neutral approach that empowers consumers by giving them the
ability to determine which services are most important during
these difficult times. And importantly, it builds on Congress's
work in the CARES Act itself, and would not require new
eligibility or verification processes.
The pandemic has underscored the significant disconnect
experience between those on the wrong side of the digital
divide. To bridge this divide, policymakers must focus on
updating our Nation's mobile broadband coverage maps.
I congratulate Chairman Wicker and this Committee for your
work to enact the bipartisan Broadband DATA Act. The FCC should
begin immediately to work to implement the mobile provisions of
the law as directed by Congress and use newly collected data to
guide the proposed $9 billion 5G program.
Finally, our networks must be secure. Thank you for your
efforts to create the Secure and Trusted Communication Networks
Reimbursement Program. We joined with Chairman Pai in urging
Congress to fully fund this program to provide carriers with
the resources necessary to maintain connectivity for the
customers while complying with the National Security
directives. The lack of funding is huge. It's a huge impediment
to achieving this priority.
As our Nation shifts from relief to recovery, all Americans
are facing challenging times, but it's very clear connectivity
is critical and worth additional investment, especially in
rural America. And CCA stands ready to work with you. And thank
you for the opportunity to testify and I welcome your
questions.
[The prepared statement of Mr. Berry follows:]
Prepared Statement of Steven K. Berry, President and Chief Executive
Officer, Competitive Carriers Association
Chairman Wicker, Ranking Member Cantwell, and Members of the
Committee, thank you for the opportunity to testify about how
competitive carriers have gone above and beyond to keep Americans
connected during the COVID-19 pandemic.
I am testifying on behalf of Competitive Carriers Association
(``CCA''), the Nation's leading association for competitive wireless
providers. CCA is composed of nearly 100 carrier members ranging from
small, rural providers serving fewer than 5,000 customers to regional
and nationwide providers serving millions of customers, as well as
vendors and suppliers that provide products and services throughout the
mobile communications ecosystem.
As the country comes together to face the largest public health
crisis of our lifetime, it is now painfully clear that there are many
areas of the country where more work needs to be done to provide and
extend wireless services. We cannot ignore the undeniable fact that the
digital divide persists, both in terms of areas of the country without
access to broadband and in individual consumers' ability to maintain
broadband connections in this challenging economic climate. Broadband
access has been put to its greatest test as a vast swath of the
country--and world--is under stay-at-home orders. Unfortunately, we
have confirmed nearly overnight that access to broadband is imperative
to support all aspects of everyday life, from distance learning to
remote work, healthcare, grocery shopping, family and virtual social
gatherings, and more.
I am proud of how CCA members have worked to maintain connectivity
in the face of an unprecedented transformation in how and where
consumers are using telecommunications services. Our members have seen
significant increases in network traffic reflecting seismic shifts
across critical aspects of day-to-day life, as economic, educational,
health, and social connections move online to stay connected while
apart. Despite the increase in network usage, I can report that
competitive carriers have proven to be up to the task and have taken
extraordinary measures to maintain connectivity to serve these demands.
Additionally, CCA members have taken steps to work with their
customers, through formal processes and on a person-to-person basis, to
maintain services even when customers face financial hardships. After
all, CCA members have a well-deserved reputation for putting customers
first and have been a vital part of their communities for years, and
that is what you do for your friends and neighbors.
While it is important to focus today on the steps being taken to
maintain connectivity for those where services are available, we must
also recognize how the pandemic has confirmed the significant
disconnect experienced by those on the wrong side of the digital
divide. New network planning has slowed substantially, and carriers are
facing new challenges navigating the permitting process at state and
local levels due to the pandemic. CCA stands ready to continue to work
with Congress and the Federal Communications Commission (``FCC'') to
preserve and expand the latest mobile broadband services throughout the
nation, both to support continued relief during the current health
crisis and to promote recovery going forward with expansion of wireless
connectivity and the deployment of 5G.
Maintaining Connectivity During the COVID-19 Pandemic
All carriers have experienced increased network use over the last
few months because of the COVID-19 pandemic. Increased network
utilization for mobile broadband networks has also included a shift in
where traffic occurs and the type of use, with greater traffic in
residential areas as we all have complied with directions to stay home.
CCA members have reported overall increases in data traffic and notable
increases tied to certain categories, including messaging, food
delivery applications, gaming, and video streaming. Tethering use is up
significantly, and one CCA member reported educational app usage up
nearly 150 percent. Even in cases where the number of voice calls has
declined, the average length of calls has increased, as Americans are
using communications services to stay connected.
Recognizing the financial hardship faced by so many during these
challenging times, many CCA members have signed on to the FCC's Keep
Americans Connected Pledge. Signatories to the Pledge have agreed not
to terminate service for residential or small business customers
because of their inability to pay due to the disruptions caused by the
coronavirus pandemic, and to waive any late fees that these customers
incur. Whether signatories to the Pledge or not, CCA members of all
sizes are taking extraordinary steps to help their communities respond
to the crisis. Beyond the pledge, I have heard from members who are
providing bill credits, additional data capacity, standing up new sites
to provide service for educational use, and even working with local
health centers to develop triage applications that can provide vital
information to citizens if they believe they are experiencing symptoms
of COVID-19. Many CCA members automatically increased speeds and data
allocations anticipating the enhanced demand. Crews have been working
around the clock to enhance connectivity to schools, healthcare
facilities, government offices and many businesses faced with remote
work challenges. In fact, in polling CCA members recently regarding
whether they signed on to the FCC's Pledge, one carrier responded yes,
but that they found it unnecessary as they were going to work with and
make accommodations for any affected customer regardless of the Pledge.
These efforts come at no immediate cost to customers but can draw
significant resources from the carriers providing these services. To be
candid, small carriers that serve rural areas are experiencing many of
the same economic challenges as every small business. These carriers
want to help keep staff on payroll, keep networks up and running, and
help keep their customers connected. But reduced revenues are starting
to have a real impact and add strain on their ability to do all three.
I applaud the FCC for taking decisive action by working with
carriers facing unprecedented capacity demands to supplement their
networks by temporarily tapping into a pool of unutilized spectrum. Due
to the FCC's prompt grant of Special Temporary Authority (``STA'')
licensing, carriers were immediately able to enhance capacity and
coverage by deploying these additional airwaves. I thank CCA members
large and small who cooperated in this process, either by agreeing to
lease spectrum to other carriers, including competitors, where it was
needed or who leveraged these arrangements to best support Americans'
urgent need for connectivity. Through this cooperative effort that
showcased the public and private sectors at their best, carriers put
the spectrum to work, sometimes within days, to provide consumers with
additional capacity and increased speeds. I am optimistic that this
experience will encourage additional innovative uses of spectrum
partitioning and disaggregation going forward, especially in rural
areas.
Of course, networks cannot function without the men and women who
work every day to preserve and expand mobile broadband services,
including tower technicians, engineers, retail employees, call center
workers, and those who support Network Operations Centers (``NOCs'').
Like many other industries, wireless carriers have rapidly transitioned
as many workers as possible to work from home, placing the health and
wellbeing of their employees first. But not all functions can be
completed remotely, and CCA member's employees have had to improvise
and innovate to ensure that their communities remain connected. I have
always said that competitive carriers are innovators, and this has been
true from a customer service standpoint in recent weeks, as members
have converted to curb-side or drive-through service to provide
customers with new devices or repairs and even added leveraged services
like PayPal, through gift cards purchased at convenience or grocery
stores, to process cash payments for customers even when retail
locations are shuttered.
In recognition of the critical and essential work of these
professionals who have continued to interface with the public, staff
NOCs, and perform emergency operations to ensure network connectivity
remains smooth and secure, I appreciate the inclusion of communications
workers in the Department of Homeland Security Cybersecurity and
Infrastructure Security Agency's Advisory Memorandum on Identification
of Essential Critical Infrastructure Workers During COVID-19 Response.
Permitting these essential professionals to have access to the
facilities needed to keep network services up and operating. And the
issuance of Federal guidance on the essential status of communications
personnel was extremely helpful in helping our members navigate varied
state and local access requirements.
It is imperative that carriers have the means to keep this skilled
workforce employed. Keeping these essential professionals safe and
healthy is pivotal to maintaining wireless networks and ultimately
sustaining connectivity for consumers. Like many Americans, the
communications sector has scrambled to find sufficient Personal
Protective Equipment (``PPE''). Normal supply chains for masks, hand
sanitizer, wipes, disinfectant spray and even tissues have been
disrupted or discontinued as supplies are redirected to frontline
health care workers and first responders.
CCA has leveraged our membership in the Communications Sector
Coordinating Council (``CSCC'') to help our members mitigate the
challenge of obtaining PPE. Through the CSCC, the telecommunications
sector as a whole was able to secure PPE in the form of re-usable
cotton masks from the Federal Emergency Management Agency (``FEMA'').
At a time when PPE is scarce, obtaining this valuable resource will
help CCA members maintain network operations and consumer connectivity.
FEMA guidance issued in April for non-health care sectors indicates
it is unlikely they will provide additional PPE. Rather, they direct
carriers to their regular supply chains, and then to state and local
resources if they are unsuccessful. Efforts to reopen society and the
economy will be dependent on essential workers, like communications
professionals, having secure, uninterrupted access to PPE. CCA members
continue to prioritize the health and safety of their employees as
paramount as stay-at-home regulations begin to ease to ensure continued
connectivity and the health of their workforce.
Keeping Americans Connected Going Forward
While many actions taken by carriers addressed above are at no
immediate cost to consumers, they are not free and have costs to
providers. As the national emergency continues, those who are unable to
pay their bills in in full or on time may accrue significant balances
on accounts for communications services. To address these concerns, CCA
supports the Stay Connected Voucher proposal. The Stay Connected
Voucher would help customers remain connected without later facing bill
shock, undue hardship, and potentially negative impact to their credit.
It is a technology-neutral approach that empowers consumers by giving
them the ability to determine which services are most important to them
during these difficult times. Importantly, it builds on Congress's work
in the CARES Act and so would not require new eligibility or
verification processes. Briefly, here's how it would work:
Qualified households would receive two $50 vouchers during each
month of the declared COVID-19 crisis to apply to communications
services bills or at the point of sale. Vouchers would expire six
months after the end of the emergency period. Eligible consumers could
choose to apply their vouchers to one or more communications providers,
according to their household's unique communications needs--broadband,
mobile, video, or voice. Further empowering consumers, vouchers could
be used separately (one for each of two different providers) or
combined to pay a single provider. The vouchers could be used for
prepaid or postpaid services. Upon receipt of a voucher from an
eligible consumer, providers would redeem the voucher for reimbursement
from a fund established by the voucher legislation.
Every household with an individual that received a full rebate
check under the CARES Act would receive the vouchers. By building on
the CARES Act, the voucher program also recognizes that the economic
strain imposed by the emergency is being felt by a wide range of
households beyond those served by the traditional support programs.
Using the CARES Act model also avoids the need to create new
eligibility and verification processes. The program would also utilize
the existing distribution mechanism that Treasury has set up for CARES
Act checks.
The Stay Connected Voucher Program would be implemented and
administered by the FCC, but the program would complement and not
replace efforts to expand the existing Lifeline and E-rate programs,
which focus on low-income households. Many consumers impacted by the
pandemic are not eligible to participate in these programs. Likewise,
Stay Connected would complement other efforts to provide more targeted
support, including the Keeping Critical Connections Act.
The current crisis calls for creative solutions. CCA believes that
the Stay Connected Voucher Program meets this objective. Congress
turned to a voucher program to help consumers navigate the transition
from analog digital television. That experience can serve as a model,
tailored to today's needs. Respectfully, we urge the Committee to give
it serious attention and would be happy to work with you to address any
questions you may have.
Bridging the Digital Divide
As previously discussed, the current emergency has revealed the
extent to which society has become increasingly dependent on
communications services for telework, telehealth, distance learning,
and critical connections with friends and loved ones. This shift has
underscored the imperative need to close the digital divide. To do so,
policymakers in Congress and the FCC must focus on updating our
Nation's mobile broadband coverage maps, reform deployment policies to
support a 5G future, and provide resources to ensure that ubiquitous
mobile services are available in urban and rural areas alike.
I congratulate Chairman Wicker, the Commerce Committee, and
Congress for your work to enact the Broadband DATA Act into law this
year. It is impossible to solve any problem without knowing its
contours, and this overwhelmingly bipartisan law is critical to
identifying the areas that do, and do not, have reliable mobile
broadband coverage. The FCC should begin work immediately to implement
the mobile provisions of the law in accordance with the Congressional
mandate, and in any event prior to moving forward with determining
which areas will receive support for the next decade. The FCC is
currently considering options for a $9 billion 5G Fund that either
would rush forward without updating coverage data to identify areas
lacking unsubsidized mobile service, or would insert unnecessary delay
as the FCC works to collect new, more reliable data but postponing
distributing support for years. These options are a false choice, and I
strongly urge the FCC to expeditiously implement the mobile provisions
of the Broadband DATA Act in accordance with the mandate from Congress
while keeping the auction for support on a reasonable timeline.
Armed with reliable data on where mobile broadband services are
available, we must continue to support processes for carriers to
preserve, expand, and upgrade mobile services, particularly as wireless
networks transition to 5G. CCA strongly supports ongoing review of the
regulatory steps that are required to upgrade existing infrastructure
or deploy new services, including requirements and best practices
regarding historical and environmental review, compound expansion, and
power delivery. As state and local resources are strained from pandemic
response efforts, any steps that streamline processes and appropriately
tailor fees present win-win scenarios for state and local officials and
carriers seeking to deploy services. Deployment on Federal lands
continues to be a persistent problem and should not be a roadblock
preventing access to wireless services in rural and tribal communities.
Finally, as our Nation shifts from relief to recovery,
Congressional efforts should support providing additional resources to
support mobile broadband deployment. Any recovery package should
include significant funding to deploy the digital infrastructure that
will power our economy going forward. This investment will support job
growth and expanded connectivity so that our Nation remains competitive
and has the required network functionality in place to deal with
challenges in the future.
Increased Access to Spectrum
As previously noted, I commend the FCC for steps to make additional
spectrum available during the pandemic through STAs and leasing
agreements. This has helped carriers meet immediate demands. However,
as states reopen and economic activity resumes, network usage will not
decline. Competitive carriers needed access to additional spectrum
resources before the pandemic to keep up with consumer demands and
enable advanced connectivity for future generations of technologies and
services.
To meet these spectrum needs, policymakers must embrace an all-of-
the-above approach, and specifically:
Ensure competitive access to mid-band spectrum, including
upcoming auctions of CBRS and C-Band spectrum.
Identify additional spectrum bands that can be reallocated
for mobile use, including looking at Federal spectrum holdings
to ensure all spectrum is used efficiently.
Include reasonable aggregation limits to promote
participation in auctions and competition in the market.
Require interoperability within spectrum bands to promote
economies of scale and competition.
I commend this Committee for previous work to support increased
access to spectrum for mobile use, and CCA stands ready to continue as
a partner in those efforts.
Securing Communications Networks
I would be remiss if I did not mention the critical need for our
Nation's communications networks to be secure. While many competitive
carriers are taking steps to ensure their communities remain connected
during the pandemic, continuity of service can be particularly
challenging for those who are ``on-the-clock'' to remove covered
network elements that are deemed to pose security risks and replace
them with alternative equipment. CCA thanks Congress for creating the
Secure and Trusted Communications Networks Reimbursement Program and
commends your work to enact the Secure and Trusted Communications
Networks Act this year. We join with FCC Chairman Pai in urging
Congress to fully fund this program to provide these carriers with the
resources necessary to maintain connectivity for their customers while
completing the steps required by Congress. While all carriers want to
comply with national security directives, the lack of funding to begin
the enormous task of removing covered equipment from networks is a huge
impediment to achieving this priority. While our Nation works
internationally to encourage our allies to implement similar national
security telecommunications policies, the United States must show the
way and provide critical funding for this effort. We all want solutions
to these challenges, and funding the Secure and Trusted Communications
Networks Reimbursement Program is imperative. As this process moves
forward, I urge policymakers to provide carriers with clear guidance
regarding the national security needs for communications networks.
Further, as I have previously discussed with this committee, 5G
wireless services provide increased potential to transfer network
services from physical equipment to software, and new technologies are
increasingly coming to the market, including Open Radio Access Network
equipment. We find ourselves at a unique junction of challenge and
opportunity, with the onset of a new generation of technology meeting
the need to secure our networks for the future. These new
opportunities, with the potential to disaggregate functionality to
increase efficiency and reduce costs, should be explored, without
mandating specific technologies for carriers.
* * * * *
We are all facing unprecedented times, but those who are on the
fortunate side of the digital divide have maintained many aspects of
life through their broadband connections. CCA stands ready to work with
you to ensure that all Americans have the ability to benefit from the
latest mobile services today and the potential of 5G in the years
ahead.
Thank you for the opportunity to testify at this important hearing,
and I welcome any questions.
The Chairman. Thank you very much, Mr. Berry. Next the
Committee will hear from Ms. Shirley Bloomfield, Chief
Executive Officer, NTCA--The Rural Broadband Association.
And this is a big room and you're clear down at the other
end. So if all of us could speak directly into the microphones
that would help folks like me.
STATEMENT OF SHIRLEY BLOOMFIELD, CHIEF EXECUTIVE OFFICER,
NTCA--THE RURAL BROADBAND ASSOCIATION
Ms. Bloomfield. Excellent. Chairman Wicker, Ranking Member
Cantwell and Members of the Committee, we are delighted to be
able to testify before you here today, I'm Shirley Bloomfield,
the CEO of NTCA, The Rural Broadband Association. We represent
about 850 community-based carriers across the country, who are
small broadband providers, as well as small businesses in 45
states.
The pandemic has highlighted more than ever that robust and
reliable broadband is essential for everyday life. And even in
this time of crisis, the stories of selflessness and creative
acts by NTCA members serve to me as a constant reminder that
when the going gets tough, the tough get innovating. So thanks
to their community commitment, and their entrepreneurial spirit
and the support of this committee, as well as agencies like the
FCC and RUS, NTCA's community-based providers were well-
prepared to keep Americans connected during a crisis.
That's because NTCA members have led the charge in building
future-proof broadband networks for years, with over 60 percent
of the rural customers having access to fiber connectivity in
speeds in excess of 100 megabits.
As hometown providers, it's not surprising that more than
half of the signers of the FCC's Chairman pledge to ``Keep
Americans Connected'' are NTCA members. And so many have gone
above and beyond that pledge in terms of keeping their
families, their friends, and their neighbors connected.
Smart rural community carriers from Big Bend in Texas who
is extending their fiber network to students' homes, to Golden
Belt Co-op in Kansas working with school administrators to
connect over 100 students in 3 days and bump up all their
consumers to the next tier of service for free. To ATMC in
North Carolina who immediately offered broadband at no cost to
households with students, including college students who
previously had no connectivity.
And then there's the hundreds and hundreds of hotspots, the
Wi-Fi connectivity that have been rolled out into these
communities. And that's just a tiny sampling of what NTCA
members are doing to help ensure that their rural communities
are able to navigate the many difficulties brought on by this
pandemic. And despite the pandemic, members report that they're
hoping to hold fast to plans for continuing to deploy new
broadband, the infrastructure that they'd already plan to roll
out, but challenges certainly persist.
NTCA providers are doing everything they can to keep
everybody's Internet lights on. But to do that they need to
keep their own lights on. An increasing number of customers are
becoming unable to pay for service and members are concerned
about their ability to repay loans and purchase critical
supplies like routers, fiber, or backbone access to the
internet. And of course, they have to pay their own employees
as well. None of these costs are things that they can simply
barter away or ignore.
Speaking of employees, sourcing personal protective
equipment, as Steve mentioned, continues to be a struggle. It's
critical for our members to obtain access to masks,
disinfectant wipes, gloves, and hand sanitizers, especially if
anybody wants to reopen the economy. Concerns about delays in
the supply chain for equipment could also hinder deployment
plans later this year.
We've also encountered frustration when it comes to the
Paycheck Protection Program. While this program offers helpful
promise, there's still confusion among stakeholders on whether
certain kinds of small businesses such as cooperatives actually
even qualify. To help with some of these challenges, NTCA
recommends that Congress view the challenges ahead as requiring
a mix of near-term and longer term solutions.
In the near-term, we need both to make sure that those who
are not currently connected get connected. And also to make
sure that those who are connected can stay connected. We
applaud the FCC for taking quick action to make its USF
programs more accessible to those in need, and expanded
emergency broadband benefits for consumers in distress will
certainly help.
But these steps alone will not keep every American
connected. We therefore also encourage Congress to pass the
Keeping Critical Connections Act, which was introduced by
Senators Klobuchar and Cramer, this bipartisan, bicameral bill
which has 30 senate cosponsors, including nine members of this
Committee, would create a temporary emergency fund to keep
Americans connected during the pandemic.
In the longer term, Congress should adopt a forever
connected perspective when it comes to promoting broadband.
From the Alaskan Bush to the Mississippi Delta, no American
should get second class broadband service or worse yet, no
service at all.
While NTCA appreciates the broadband infrastructures ideas
that continue to be put fourth, we believe the best approach is
to avoid creating new programs and to instead leverage the
existing broadband programs that have been improved upon as
time has gone on.
NTCA recommends five simple principles to guide a forever
connected approach.
First, leverage existing broadband programs to get the most
immediate return on investment, while also avoiding confusion
and potential interagency conflicts. Second, prevent
duplication of scarce Federal resources by requiring all
agencies to strictly coordinate use of their programs. Three,
require all agencies to use updated broadband maps and
meaningful challenge processes to ensure that unserved areas
are accurately identified and served. Four, invest in
technology that can be easily upgraded to deliver the fastest
speeds over the long-term life of the asset.
We certainly wouldn't use our highway program to create a
two-lane road when we know that an eight-lane highway is what
is going to be needed five-to-10 years down the road. We should
approach broadband infrastructure the same way. Remember on
number five that any program must focus not only on building
the broadband network itself, but also sustaining that network
over time once it's actually been built.
We're all in this together and the work that Congress is
doing will be essential to see us through this crisis and make
a lasting impact for future generations to come. Thank you so
much for the opportunity to join you today. And I look forward
to your questions.
[The prepared statement of Ms. Bloomfield follows:]
Prepared Statement of Shirley Bloomfield, Chief Executive Officer,
NTCA--The Rural Broadband Association
INTRODUCTION AND BACKGROUND
Chairman Wicker, Ranking Member Cantwell, and members of the
Committee, thank you for this opportunity to testify today to discuss
the incredible work our small, community-based broadband providers are
doing to both connect rural Americans and keep rural Americans
connected during the COVID-19 pandemic.
I am Shirley Bloomfield, CEO of NTCA-The Rural Broadband
Association, which represents approximately 850 small businesses
deploying broadband infrastructure in 45 states.
These cooperatives and small commercial companies serve the most
rural parts of the United States, reaching areas that contain less than
five percent of the U.S. population, but which are spread across nearly
35 percent of the U.S. landmass, or roughly seven subscribers per
square mile.
The hearing today is well-timed. Now more than ever before,
Americans realize just how essential high-speed broadband is to our
everyday lives. This pandemic has highlighted that having the
connectivity enabled by high-speed download and equally important
upload speeds in your home is one of the most important elements of
everyday life. For years, NTCA members have seen that high-speed
broadband facilitates so much more than just streaming video
entertainment or playing video games. Having broadband means having the
ability to connect to your doctor when you have a high fever without
traveling to the office or hospital; it's the ability for students to
continue their education even when the classroom is hundreds of miles
away or just right down the street but shut; it's the ability for
people to continue receiving paychecks by working remotely using secure
and bandwidth-intensive virtual private networks; and it's the ability
for all of us to maintain social interactions with our loved ones
during these trying times.
Thanks in part to the hard work of this Committee and programs like
the FCC's Universal Service High-Cost Program, NTCA's smaller,
community-based broadband providers were well-prepared to keep
Americans connected during a pandemic through robust networks sized to
meet future demand and a spirit of customer service that is second to
none.
COMMUNITY-BASED PROVIDERS HELPING STRUGGLING CONSUMERS AND COMMUNITIES
The COVID-19 pandemic has altered society as we know it. All of us
understand that regardless of how quickly we may come out of stay-at-
home orders and evolve in social distancing practices, Americans are
witnessing a shift in the conduct of everyday lives and new ways of
doing so many things.
Today, communities across America are struggling to battle new
realities unfathomable just a few months ago. While 33.5 million
Americans have filed for unemployment in recent weeks and we are
rightfully concerned about the health of our families and loved ones,
the daily stories of selfless acts and community service we see on the
news serve as constant reminders that when the going gets tough, the
tough get innovating.
I have never been prouder of NTCA's membership than I have over the
past several months. As ``hometown providers'' based largely in the
areas they serve, their community commitment in the face of the
coronavirus pandemic has been heartening. We estimate that more than
half of the signers of FCC Chairman Pai's pledge to ``Keep Americans
Connected'' are NTCA members--and, in so many cases because of their
hometown presence, our members have gone above and beyond the terms of
the pledge to help their families, friends, and neighbors.
The following are just a few examples of their efforts to get and
keep homes, schools, libraries, and medical facilities connected in
rural America:
1. Big Bend Telephone (BBT) (Alpine, Texas): BBT Engineering
developed a solution to extend school districts' networks to
students' homes in a scaled back temporary installation package
that provides synchronous connectivity and basic home Wi-Fi.
The student experience completely mimics the classroom without
actually being in the classroom. All of this has been provided
at no cost to the school district or the students' families.
2. Rainbow Communications (Everest, Kan.): Rainbow Communications
has installed 30 community Wi-Fi hot spots throughout its
service area that provide free Internet access to students. The
company also increased the Internet plans at the local
libraries to accommodate higher usage demand and has worked
with school districts to identify and promote improved access
for students in need at home.
3. NineStar Connect (Greenfield, Ind.): NineStar Connect connected a
COVID-19 triage clinic in just three days--a process which
usually takes weeks. NineStar also partnered with the hospital
to offer customers e-visits to serve more people and reduce
risk of infection.
4. Consolidated Telephone Company (CTC) (Brainerd, Minn.): To
maintain proper social distancing, CTC created ``Broadband in a
Box'' where a CTC technician will complete pre-installation
tasks outside of the premises and then leave a self-
installation kit on the customer's doorstep to allow for
completion of the activation work. The standardized kit
includes step-by-step instructions on how to complete
installation and other helpful resources.
5. Scott County Telephone Cooperative (SCTC) (Gate City, Va.): SCTC
is upgrading broadband connections for any customer with
students and/or teachers in the home. The company is also
upgrading any displaced workers for free. Additionally, SCTC
set up Wi-Fi at 12 locations to provide free access for school
age kids, and available to use by all.
These stories are just a tiny sampling of what our hundreds of
providers are doing to help their rural communities navigate the many
difficulties brought on by the pandemic. In the end, whether by pledge
or by DNA, because they so often live in the small towns and very rural
areas they serve, NTCA members are simply focused on doing the right
thing by their customers and community.
And despite the pandemic, we continue to move full speed ahead on
deploying new broadband infrastructure. A recent NTCA survey revealed
that 90 percent of our members remain focused on fulfilling network
deployment plans this year, and even in the past month, we have heard a
number are using responsible socially distant practices and the
relatively lower traffic on roadways to complete as much construction
activity as possible. This being said, as I will discuss below, some
concerns are beginning to emerge with respect to the supplies necessary
to complete this important work.
Finally, I would be remiss if I failed to note how our members'
networks have held up in the face of unprecedented shifts in how they
are used. In a recent survey, 145 NTCA members from 38 states serving
more than 650,000 broadband connections reported that their networks
continue to perform as designed and without disruption despite changes
and increases in demand. Key findings from our network status survey
include:
From March 13 (the date that a national emergency was
declared) through March 31, members indicated on average their
networks experienced:
23 percent increase in overall downstream bandwidth
demand
24 percent increase in overall upstream bandwidth
demand
21 percent increase in peak downstream bandwidth
demand
21 percent increase in peak upstream bandwidth demand
An overwhelming majority of respondents (93 percent)
indicated no material shift in peak utilization windows, but
nearly all respondents stated that the average utilization of
their networks is much higher over the course of the day.
More than 40 percent of respondents reported taking steps
since March 13 to augment capacity on middle mile, transit, or
other backhaul connections to anticipate and accommodate
increased overall demand, but there have been no reports of
congestion or disruption arising out of the increased demand.
In short, as our annual broadband survey has confirmed year after
year, NTCA members have led the charge in rural broadband for years,
with over 60 percent of their rural customers have access to fiber-to-
the-premises connectivity and speeds in excess of 100 Mbps. And, as our
more recent network status survey confirms, these investments have paid
off by giving rural communities reliable and robust access to broadband
when they need it most, without congestion or disruption.
CHALLENGES PERSIST
While NTCA members continue to do their very best to keep their
friends and neighbors connected, the ability to sustain these efforts
over time is jeopardized by the devastating economic impacts of COVID-
19. Providers are doing all they can to keep the Internet lights on for
all, but in order to do that, they need to keep their own lights on as
well.
NTCA members are both crucial providers of critical infrastructure
to millions of Americans in rural America and small businesses that
face many of the same concerns as other American small businesses.
Because of this unique status, and because they serve not only small
rural towns but outlying areas where there may be only one customer
every few miles, NTCA members and providers like them face some
relatively significant challenges in sustaining their mission of
universal service.
Uncollectibles Rising
It is estimate that approximately 33.5 million Americans have filed
unemployment claims since the start of the pandemic. It is therefore
perhaps not surprising that NTCA members report that customers are
increasingly raising concerns about an inability to pay for their
communications services in recent weeks; a recent survey of our members
found that 54 percent of members have seen ``uncollectibles''--unpaid
accounts receivable--increase by up to 20 percent since March 13 (the
date that a national emergency was declared), with another 20 percent
reporting that it was simply too soon to tell what sorts of payment
shortfalls might arise given billing cycles. To put such impacts into
perspective, we heard from one rural cooperative who is nearly $60,000
in the red already in keeping voice and broadband service on for
customers who have become unable to pay these past several weeks. We
are in the process of conducting an updated survey of members now to
determine whether and to what degree these figures may have changed,
but I have no reason to believe that the situation will have improved
given the steady and unfortunate increase in unemployment claims
nationwide.
To continue delivering critical connectivity to more than a third
of the Nation's landmass, these smaller rural operators must be able to
pay suppliers for things like routers and fiber. Our members are seeing
unprecedented demand for new installations, and this takes not only the
kinds of innovation I described earlier in terms of installation
techniques but also the costly network supplies needed to put those
connections in place. NTCA members also need to pay larger national and
regional operators for the connections between the very rural markets
they serve and Internet points of presence around the country--these
are costs that only grow larger in the face of increased network
demands as described above, and no one is asking those larger national
or regional providers to make their backbone and transit capacity
available for free during the pandemic. Finally, and most importantly,
they must pay their own employees--the front-line essential workers who
are being sent out despite the risks to make sure that those without
voice and broadband services or those in need of upgraded services get
such access.
Personal Protective Equipment
Our providers are doing all they can to protect themselves and
their customers. Many members have moved to work-from-home operations
for the bulk of their employees, and for even those essential employees
that must be in the field or at network locations, our members are
taking care to promote proper distancing and protocols to limit contact
between employees to the greatest extent possible. Members are also
taking further precautions when it comes to work in the field. In
addition to adopting procedures associated with any interaction with
customers prior to entry of any premises, many of our members are
finding innovative solutions to connect customers from outside such as
videoconferencing, self-installation kits, or even temporary drops of
fiber and conversations through doors and windows to guide customers
through the process. Indeed, a recent survey showed that, as of mid-
April, more than 25 percent of our members will no longer enter
households under any circumstances, and I expect that this figure will
only grow as we survey our members again now.
However, even with preventative measures in place to limit contact,
there are many cases where frontline workers have no choice but to
enter certain locations, whether it is for mission-critical repairs or
to enable much-needed connectivity at locations such as nursing homes
and hospitals. For this reason, personal protective equipment (PPE) is
more important now than ever before.
Unfortunately, sourcing PPE for employees continues to be a
struggle. Employee health is of utmost importance to our providers, and
it is critical that they continue to have the equipment needed such as
masks, disinfectant wipes, gloves, and hand sanitizer. As small
businesses, if even just one employee falls ill, depending on exposure,
this can wreak havoc on operations and disrupt installation and repair
activity for an entire rural community. We appreciate the efforts of
Federal and state agencies in attempting to help members locate PPE as
operators of critical infrastructure, but I am sorry to report that
this remains a top-level concern and that I hear nearly daily from
members desperate for masks, sanitizer, or other supplies as the
pandemic persists.
Paycheck Protection Program
We thank Congress and the Administration for their work on the
Paycheck Protection Program. Unfortunately, even as the program could
be so helpful to small businesses in need, one of our greatest
frustrations has been the lack of clear public guidance on whether
501(c)(12) nonprofit cooperatives qualify for the program. As small
businesses, we wholeheartedly believe these cooperatives fit within the
Congressional intent of the Paycheck Protection Program, and we ask
both Congress and the Administration to clarify that these small
cooperatives are eligible for the program. To be clear, this request is
urgent and time-sensitive, as the date for declining a program loan and
returning funds is May 14; while we have been asking for a clear
affirmative statement--one way or the other--as to cooperative
eligibility for several weeks now, there only a few days for this to be
addressed.
Supply Chain
As mentioned earlier in this testimony, NTCA members are eager to
do whatever they can to advance broadband network deployment, and many
of them are doing what they can to move forward with deployment plans
in 2020. We have started to hear, however, of concerns regarding the
timing of their supply chain. In particular, for key pieces of network
transmission equipment and routers necessary for installation and
activation of services at customer premises, we are hearing that
suppliers are beginning to ration distributions and that lead times are
growing from weeks to months for delivery.
This obviously presents a significant challenge in executing on
immediate capital investment plans for individual operators, but it
also has the potential to become a national crisis--it would be ironic
indeed for Congress and Federal agencies to pour billions of dollars
into broadband infrastructure only to find that the gear necessary to
meet buildout milestones and deployment goals will be delayed far
beyond anyone's reasonable expectations.
HOW CONGRESS CAN HELP
NTCA believes it is most effective to conceive of potential
responses to the challenges presented by the COVID-19 crisis in the
form of near-term and longer-term measures. In the near-term, we need
both to make sure that those who are not yet connected get connected
and to make sure that those who are connected today stay connected. In
the longer-term, we need to think about how we can develop a coherent
and coordinated national broadband infrastructure policy so that we are
not back here again someday, staring at the next crisis and wondering
why some customers lack broadband altogether, why other customers have
unreliable access that does not enable effective use of virtual private
networks or distance learning platforms, and why still other customers
might have access to robust, future-proof networks but lack the ability
to afford services atop those networks.
Near-Term Initiatives
First, to help those who are unable to afford a connection get and
keep one, an emergency broadband program should be established that
provides financial support for consumers facing economic hardship due
to the coronavirus pandemic. This program should provide a specified
amount of funding per month for each such consumer during the pandemic,
and for a period thereafter reflecting the likelihood of a lingering
economic crisis, to allow that customer to purchase a broadband service
at a speed and performance level of his or her choosing. To this end,
we applaud the FCC for taking quick action to make its Universal
Service Fund Lifeline programs more accessible to those in need. But
with rural areas having higher costs to deliver broadband services, and
with the prospect that even a Lifeline subsidy or something like it may
not cover the full cost of a broadband bill for any given consumer,
more is needed to ensure we can keep every American connected.
Second, in addition and as a complement to an emergency broadband
benefit program for lower-income consumers, Congress should provide
funding to help ensure that all customers can remain connected. For
example, some customers who just recently lost jobs or suffer from
reduced wages may not qualify for the emergency benefit described above
but still face difficulty paying their broadband bills; similarly,
health care providers, students, and small business customers covered
by the FCC Chairman's pledge would not necessarily be eligible for such
a program despite also desperately needing connectivity. Moreover, even
those broadband customers that do qualify for the emergency benefit
program may find that the amount of support received does not cover the
full amount of their broadband bill (especially if the customer decides
that he or she needs a more expensive higher-speed service for work or
distance learning), leaving those customers still very much at risk for
a loss or downgrade of service. Creating a program that provides
dedicated funding to ``help cover'' bills that go unpaid by such
broadband users therefore represents a logical and necessary complement
to the emergency benefit program described above, and is ultimately
essential to help ensure that broadband providers can ``keep the
Internet lights on'' throughout this crisis and keep Americans
connected consistent with the goals of FCC Chairman Pai's laudable
pledge.
S. 3569, The Keeping Critical Connections Act, introduced by Sens.
Amy Klobuchar of Minnesota and Kevin Cramer of North Dakota, represents
the kind of measure that could work very well as complement to an
emergency broadband benefit program for consumers suffering from
economic hardship due to the crisis. This bipartisan, bicameral bill,
which to date has 30 Senate sponsors including nine members of this
Committee, would direct the FCC to create a temporary emergency fund
for reimbursing small broadband providers only when an operator: (1)
provides households with students with free or discounted broadband or
free upgrades to meet distance learning needs; or (2) keeps low-income
customers connected who cannot pay their broadband bill due to the
economic impact of the COVID-19 national emergency. NTCA requests that
Congress include this legislation in any upcoming stimulus bills
related to the pandemic. Companion bi-partisan legislation has also
been introduced in the House (H.R. 6394) by Reps. Peter Welch of
Vermont and Roger Marshall of Kansas.
Third, Congress should give additional flexibility to providers
struggling to repay outstanding loans issued by the United States
Department of Agriculture's Rural Utility Service Program (RUS).
Options such as the ability to fully refinance RUS loans at the current
interest rate and a congressionally directed blanket suspension of
principal and interest payments for several months would help alleviate
the pain and strain that many providers will face due to reduced
revenues from customers using those providers' voice and broadband
services.
Fourth, Congress should finish last year's hard work by fully
funding Chairman Wicker's Broadband DATA Act as well as the Secure and
Trusted Communications Networks Act of 2019. Both pieces of legislation
are critical for the future of our broadband programs, and Congress and
the President have already of course recognized their immense value by
enacting and signing them into law. The final steps now must be taken
to fund these efforts.
Finally, providers have learned a lot about network resiliency
during these times. While NTCA contends that fiber-based infrastructure
has outperformed other technologies, we have also seen the strain third
parties can place on our rural networks. As Congress looks toward the
future of how networks handle increased demand during times of crisis,
we believe the outside sources of congestion and strain on rural
networks should be studied. To this end, NTCA recommends that Congress
direct the preparation of a study to assess how different services and
applications and web-enabled businesses place data demands on networks
and the costs that follow from accommodating such demands.
A Long-Term `Forever Connected' Broadband Plan
As for the long-term--the question is how do we avoid ending up
here again, where some rural customers still lack sufficient broadband?
While NTCA is proud of our members for providing hotspots and other
innovative ideas such as drive-in Wi-Fi in the face of the immediate
crisis, these are not long-term solutions to eliminating the homework
gap or addressing America's digital divide. The homework gap, for
example, begins at home--meaning that we should focus on programs that
drive the delivery of world-class networks to every American home
throughout a community so that students can engage in synchronous
learning; as the pandemic has shown, we also need networks with robust
symmetrical capability that truly enables virtual private networks and
other applications that make effective and productive teleworking
possible.
From the Alaskan Bush to the Mississippi Delta, no American should
get second-class broadband service, or worse yet, no service at all.
That is why NTCA recommends that Congress adopt a ``Forever Connected''
approach to promote the deployment of future-proof networks and ensure
the next time we find ourselves in a national disaster, no student,
senior citizen, or rural or urban American is left in the digital
darkness.
There are many ideas out there for how to fix this complex problem,
and NTCA applauds members of Congress for prioritizing this issue.
While NTCA appreciates the innovative ideas put forth already, our
ultimate recommendation to Congress is that there is actually no need
to reinvent the wheel with new programs, but to instead simply enhance,
improve, and direct any new funding to existing broadband programs that
have been improved over years and even decades.
More specifically, programs such as the FCC's Rural Digital
Opportunity Fund and the USDA's RUS ReConnect Program are better
equipped to receive and then distribute additional funds. Creating yet
another program from whole cloth at yet another agency could take years
to get right and would risk duplicating the work of the more
established Federal broadband support programs at best, and conflicting
with the work of these programs at worst.
We recommend following these simple guidelines when crafting
legislation for long-term broadband solutions:
1. Leveraging existing broadband programs is the best way of getting
the most immediate return on investment while also avoiding
confusion and potential inter-agency conflicts.
2. Prevent duplication of scarce Federal resources by requiring all
agencies to strictly coordinate use of their broadband
programs.
3. Require all agencies to use updated broadband maps and meaningful
challenge processes to ensure that unserved areas are
accurately identified.
4. Invest in technology that can be readily upgraded to deliver the
fastest speeds over the long-term life of the asset being
built, rather than supporting technologies that look cheaper to
deploy now but are unable to provide meaningful Internet access
over time and thus will in fact cost more over time to upgrade
to keep pace with increased demand. We would not use our
highway program to create a two-lane road when we know an
eight-lane highway will be needed in 5 or 10 years--that would
be a terribly inefficient use of funds--and we should think of
our broadband infrastructure the same way.
5. Remember that any program must focus not only on building the
broadband network itself, but also sustaining that network over
time once it has been built. In many cases, rural operators are
serving roughly one subscriber per square mile, and operating a
network with so few users takes not only capital for initial
deployment but continued support to maintain over the long-term
and keep services affordable on that network.
NTCA-The Rural Broadband Association is grateful for this
committee's ongoing leadership and focus on identifying and solving
barriers to broadband deployment--especially during the COVID-19
Pandemic. We are all in this together, and the work that Congress will
do over the next several months can make a lasting impact on broadband
policy in America for future generations to come. Thank you for
inviting me to be with you today and I look forward to the chance to
converse further with you on these topics.
The Chairman. Thank you Ms. Bloomfield. And let me just say
at this point, as one of the ones who met late into the night,
developing the CARES Act, I see no reason why a 501(c)(12)
nonprofit cooperative, who is otherwise qualified, should be
prohibited from participating in the Paycheck Protection
Program and I have urged Treasury to make that decision clear
and I hope we get a positive answer very, very soon.
I thank the Committee for indulging me there. And now, Mr.
Kimmelman, Senior Advisor to Public Knowledge joins us remotely
and Mr. Kimmelman, we're delighted to have you and we take this
opportunity to thank the technicians who have made this
possible.
STATEMENT OF GENE KIMMELMAN, SENIOR ADVISOR,
PUBLIC KNOWLEDGE
Mr. Kimmelman. Yes, thank you. Thank you so much, Mr.
Chairman, Senator Cantwell and Members of the Committee. On
behalf of Public Knowledge I truly appreciate this invitation
to testify this morning.
Wow, just think of a gut punch that this virus has
delivered to all of us. It's really demonstrated just how
dependent we are on a high-quality, fast-speed, video capable
broadband----
[Audio lost.]
The Chairman. If we could hold up for a moment and restore
the audio. We were doing so well.
Mr. Kimmelman.--our jobs, most of us need this service. The
education of our children is now fully dependent on high speed
broadband, getting food and supplies, the delivery of health
care, as Senator Cantwell mentioned. Broadband has just become
the true lifeline to our functioning today.
So just imagine, just imagine what it's like to be among
the 42 million Americans who don't have access, access to the
wired broadband to deliver that kind of connectivity, or the 26
percent of rural Americans who can't get fast enough broadband.
The more than 50 percent of people on rural, tribal lands who
lack wire line broadband. The 12 million-plus students who lack
access to Internet at home. And the millions, millions of low-
income households, many of them elderly; almost 40 percent of
Black and Latinx household who just can't afford a high price
of broadband.
Yes, we're all struggling. But these people are virtually
helpless and they need attention immediately.
Unfortunately, the FCC has abandoned its most effective
tools for overseeing broadband, and some of this pain these
have nots are experiencing could have been mitigated. Now, of
course, we appreciate all of the industry's voluntary efforts
to provide some assistance to those in need, it's truly
helpful. We're extremely appreciative of the Congress for
coming together in a bipartisan way to provide some critical
resources for individuals, small businesses, and those who've
lost their job. And we hope it's that sentiment, discarding
ideological differences to unite for the good of our country
that will continue.
First, we urge you to commit as many resources that you can
to address all broadband needs during this emergency given how
essential high speed Internet is to daily life. From lifeline
to the E-Rate program to expanding deployment of telehealth,
all need resourcing. We particularly appreciate FCC
Commissioner Rosenworcel's leadership in the charge to take
care of kids who can't do their homework due to the lack of
broadband. We need to fix that and all of these other
affordability problems
But most importantly, Mr. Chairman, we need a long-term
solution to bridge the digital divide. Broadband has become not
just essential to individuals and households, it is
fundamentally intertwined with many of our most important
societal needs. It's critical. Any path forward out of this
crisis, to jumpstart our economy, we're going to need full
access to the Internet for as many people as possible; to
educate our kids, to keep families and relationships going and
healthy and supported. We all need high speed Internet to
practice our social distancing, to do our jobs, to avoid
unnecessary travel. We all need the Internet and to support our
democracy we need a local journalism that can clean up the
disinformation, the falsehoods that are flowing on the Internet
in order to make sure we can tell fact from fiction.
Let's extend the bipartisan spirit that you've shown in the
most recent legislation to a commitment to reliable,
affordable, universally high-quality broadband for all
Americans to help speed up this recovery and move us to a path
back to normalcy.
Thank you so much, Mr. Chairman.
[The prepared statement of Mr. Kimmelman follows:]
Prepared Statement of Gene Kimmelman,\1\ Senior Advisor, Public
Knowledge
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\1\ I would like to thank Jenna Leventoff, Senior Policy Counsel,
and Tsion Tesfaye, Communications Justice Fellow, for their support in
preparing this statement.
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Introduction
Long before the COVID-19 crisis, Americans turned to broadband
``for every facet of daily life.'' \2\ Broadband is critical for
everything from finding a job to receiving medical care, connecting
with loved ones, learning, engaging in democratic processes, and being
entertained. Without broadband, our Nation can't compete economically,
advance technologically, or promote the public interest.\3\
Unfortunately, this essential service is not available to all
Americans.\4\
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\2\ Inquiry Concerning the Deployment of Advanced
Telecommunications Capability to All Americans in a Reasonable and
Timely Fashion, and Possible Steps to Accelerate Such Deployment
Pursuant to Section 706 of the Telecommunications Act of 1996, as
Amended by the Broadband Data Improvement Act, GN Docket No. 14-126,
2015 Broadband Progress Report and Notice of Inquiry on Immediate
Action to Accelerate Deployment, 30 FCC Rcd. 1375, 1377 2 (2015).
\3\ 47 U.S.C. Sec. 257(b)
\4\ In the Matter of Inquiry Concerning Deployment of Advanced
Telecommunications Capability to All Americans in a Reasonable and
Timely Fashion, GN Docket No. 19-285 (April 24, 2020) https://
www.fcc.gov/document/new-fcc-report-shows-digital-divide-continuing-
close-0.
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Congress recognized that broadband was essential, but not
universal, 10 years ago, when it required the Federal Communications
Commission to create a National Broadband Plan outlining ways to
improve Internet access across the country.\5\ However, today, many
Americans still find themselves unconnected. This digital divide has
been around for a long time, but the COVID-19 crisis has made it
clearer than ever. That is why Public Knowledge believes it is
essential that all Americans have access to affordable broadband both
during the COVID-19 crisis and moving forward. We support a
comprehensive legislative package that ensures that broadband is
affordable, reliable, and available universally. It's the only way to
ensure that no American gets left behind.
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\5\ Federal Communications Commission, Connecting America: The
National Broadband Plan, https://www.fcc.gov/general/national-
broadband-plan (The National Broadband Plan)
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Broadband is an Essential Service Without Universal Access
Before this crisis, millions found themselves at a disadvantage
because of an inability to connect to broadband. Stroke patients in
areas with a dearth of neurologists were unable to adhere to American
Heart Association recommendations to virtually consult with a
physician--potentially jeopardizing their lives.\6\ Teenagers reported
being unable to complete their homework.\7\ Small to medium businesses
that could not access global markets through the Internet were 30
percent less likely to survive.\8\ Moreover, public safety officials
could find themselves unable to communicate life-saving information to
local residents and even first responders from other jurisdictions.\9\
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\6\ The National Broadband Plan at 201 citing American Heart
Association, A History of Trans Fat..
\7\ Monica Anderson and Andrew Perrin, Nearly one-in-five teens
can't always finish their homework because of the https://
www.pewresearch.org/fact-tank/2018/10/26/nearly-one-in-five-teens-cant-
always-finish-their-homework-because-of-the-digital-divide/ digital
divide (October 2018)
\8\ Robert Pepper et al., Cross-Border Data Flows, Digital
Innovation, and Economic Growth, The Global Information Technology
Report 2016 at 41 (2016) http://www3.weforum.org/docs/GITR2016/
WEF_GITR_Chapter1.2_2016.pdf.
\9\ The National Broadband Plan at 313.
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Broadband was essential before the COVID-19 pandemic, but is
particularly critical now, as governments and health experts are asking
or requiring people to stay at home in order to keep people safe.
During this crisis, students without broadband connections find
themselves doing schoolwork from the parking lots of closed schools or
libraries, if they are able to do their schoolwork at all.\10\ In North
Carolina, a teacher had to teach a two-hour class from her car.\11\
Sick or injured individuals may be forced to jeopardize their safety or
the safety of others to seek in-person medical care, because they are
unable to access telehealth. Other individuals, particularly the
elderly, report feeling isolated and desolate due to an inability to
connect with their loved ones in person or virtually. One woman in
Missouri was unable to even virtually meet her new grandchild because
she did not have an Internet connection at home.\12\ Moreover, without
internet, it's difficult to access news about this health crisis--
something that 70 percent of Americans report doing.\13\ Without this
information, Americans may accidentally violate public safety
directives because they are not aware of them.
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\10\ Cecillia Kang, Parking Lots Have Become a Digital Lifeline,
New York Times (May 5, 2020) https://www.nytimes.com/2020/05/05/
technology/parking-lots-wifi-coronavirus.html; Juliette Rihl, How the
pandemic is exacerbating the digital divide in Allegheny County, Public
Source (April 9, 2020) https://www.publicsource.org/how-the-pandemic-
is-exacerbating-the-digital-divide-in-allegheny-county/; Jennifer
Hemmingsen, A catalyst for bridging the digital divide, The Seattle
Times (May 8, 2020) https://www.seattletimes.com/opinion/a-catalyst-
for-bridging-the-digital-divide/?utm_source=e-mail&utm_medium=e-
mail&utm_campaign=article_inset_1.1.
\11\ Cecillia Kang, Parking Lots Have Become a Digital Lifeline,
New York Times (May 5, 2020) https://www.nytimes.com/2020/05/05/
technology/parking-lots-wifi-coronavirus.html.
\12\ Tali Arbel and Michael Casey, Those without broadband struggle
in nation stuck at home because of coronavirus, USA Today (March 31,
2020) https://www.usatoday.com/story/money/2020/03/31/those-without-
broadband-struggle-nation-stuck-home-coronavirus/5101320002/.
\13\ Monica Anderson and Emily A. Vogels, Americans turn to
technology during COVID-19 outbreak, say an outage would be a problem,
Pew Research Center (March 31, 2020) https://www.pewresearch.org/fact-
tank/2020/03/31/americans-turn-to-technology-during-covid-19-outbreak-
say-an-outage-would-be-a-problem/.
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Although broadband is critical, our Nation has a large digital
divide, leaving those on the wrong side of it struggling to connect.
Currently, more than 42 million Americans don't have the ability to
purchase broadband, and almost half of the country can't access the
Internet at broadband speeds (currently defined as 25/3 Mbps).\14\
Rural, tribal, and minority communities are particularly impacted by
the digital divide. According to the FCC's 2019 Broadband Deployment
Report, in 2017, 26 percent of those in rural areas lacked access to
fixed broadband.\15\ This number is even more stark for households on
rural tribal lands--where less than half have access to fixed
broadband.\16\ Moreover, according to a Pew Research Center survey,
black and Latinx families are less likely than their peers to have
access to broadband Internet at home. Only 66 percent of African
Americans and 61 percent of Hispanics report having broadband at
home.\17\
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\14\ John Busby et al., FCC Reports Broadband Unavailable to 21.3
Million Americans, BroadbandNow Study Indicates 42 Million Do Not Have
Access, BroadbandNow (February 3, 2020) https://broadbandnow.com/
research/fcc-underestimates-unserved-by-50-percent citing John Kahan,
It's time for a new approach for mapping broadband data to better serve
Americans, Microsoft (April 8, 2019) https://blogs.microsoft.com/on-
the-issues/2019/04/08/its-time-for-a-new-approach-for-mapping-
broadband-data-to-better-serve-americans/.
\15\ Inquiry Concerning Deployment of Advanced Telecommunications
Capability to All Americans in a Reasonable and Timely Fashion, GN
Docket No. 18-238, 2019 Broadband Deployment Report, FCC 19-44, 2 1
(rel. May 29, 2019).
\16\ Consumer & Governmental Affairs Bureau et al., Report on
Broadband Deployment in Indian Country, Pursuant to the Repack Airwaves
Yielding Better Access for Users of Modern Services Act of 2018 at 3
(May 2019) https://docs.fcc.gov/public/attachments/DOC-357269A1.pdf.
\17\ Andrew Perrin and Erica Turner, Smartphones help blacks,
Hispanics bridge some--but not all--digital gaps with whites, (August
20, 2019) https://www.pewresearch.org/fact-tank/2019/08/20/smartphones-
help-blacks-hispanicsbridge-some-but-not-all-digital-gaps-with-whites/.
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The COVID-19 pandemic has highlighted how essential broadband is to
modern life, and how broadband will still be essential when this crisis
is over. We need a comprehensive legislative package that goes beyond
short-term measures to promote broadband during the COVID-19 crisis,
and this includes passing policies aimed at narrowing the digital
divide in the long term as well. Congress can do this by investing in
expanding broadband access to those in need in rural, suburban, and
urban communities across the country; by passing policies that ensure
broadband is affordable and that consumers have the devices and digital
literacy skills they need to access it; and by ensuring that all
Internet access is reliable, resilient, and sufficient to enable
households to meaningfully engage a broad range of online activities.
It should be noted that these needs and functions complement--
rather than compete--with each other. Accordingly, a policy designed to
promote deployment may also benefit affordability or reliability. Too
often, special interests have sought to set stakeholders against each
other by portraying these policies as a zero-sum game where money for
affordability subsidies is set against money for rural infrastructure.
In reality, affordability subsidies are as important to providing rural
networks for deployment as they are to providing service in urban
communities. We must therefore fully fund these policies in a
coordinated fashion recognizing that money spent to enhance competition
and reliability improves affordability, while subsidies for
affordability in turn support deployment and the cost of maintaining
resilient networks.
Congress Must Ensure that Broadband is Universally Available
As previously noted, more than 42 million Americans don't have the
ability to purchase broadband because it is not available.\18\ To
remedy this problem, the Federal Communications Commission has
estimated that it will cost $80 billion to deploy broadband
nationwide.\19\ Congress must provide sufficient funding for flexible
and efficient deployment strategies that help connect unserved and
underserved individuals across the United States.
---------------------------------------------------------------------------
\18\ John Busby et al., FCC Reports Broadband Unavailable to 21.3
Million Americans, BroadbandNow Study Indicates 42 Million Do Not Have
Access, BroadbandNow (February 3, 2020) https://broadbandnow.com/
research/fcc-underestimates-unserved-by-50-percent citing John Kahan,
It's time for a new approach for mapping broadband data to better serve
Americans, Microsoft (April 8, 2019) https://blogs.microsoft.com/on-
the-issues/2019/04/08/its-time-for-a-new-approach-for-mapping-
broadband-data-to-better-serve-americans/.
\19\ Paul de Sa, Improving the Nations Digital Infrastructure, FCC
Office of Strategic Planning and Policy Analysis (2017) https://
transition.fcc.gov/Daily_Releases/Daily_Business/2017/db0119/DOC-
343135A1.pdf.
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Funding Should Be Directed Towards All Unserved and Underserved Areas
Our nation cannot close its digital divide if funding is not
directed to all unserved and underserved areas in urban, suburban, and
rural areas. Currently, Internet service providers are less likely to
deploy broadband in low-income or rural areas because doing so is less
profitable or riskier than deploying elsewhere. \20\ In order to
promote deployment to rural and low-income areas, comprehensive
legislation could condition the receipt of Federal deployment funding
with buildout requirements to serve both more and less profitable parts
of a provider's area.
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\20\ Rose, Gregory, Wireless Broadband and the Redlining of Rural
America, New America Foundation (2010) https://www.newamerica.org/oti/
policy-papers/wireless-broadband-and-the-redlining-of-rural-america/.
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This is particularly true in urban areas where ``digital
redlining'' has reemerged.\21\ Unlike rural areas, where providers
receive a subsidy to serve a high-cost area, no subsidies exist to
encourage providers to serve or upgrade urban neighborhoods despite the
perceived lack of profit. Accordingly, although neighboring census
tracts might enjoy access to ever increasing speeds, the broadband
infrastructure in these neighborhoods degrades over time instead.
Traditional deployment funding to broadband providers will not remedy
this problem because the providers do not take deployment funding to
serve areas that are not profitable (although increasing subsidies to
low-income recipients would help to make these neighborhoods more
profitable).\22\ Either we should build new programs explicitly
designed to create competing providers in these underserved
neighborhoods (as described below) or legislation should require
universal service standards or other anti-redlining measures enforced
at either the state level or by the FCC. These standards could require
the recipients of Federal deployment funding to buildout to both more
and less profitable parts of a provider's area.
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\21\ Bill Calhallan, AT&T`s Digital Redlining in Dallas: New
Research by Dr. Brian Whitacre, NDIA Blog (August 6, 2019) https://
www.digitalinclusion.org/blog/2019/08/06/atts-digital-redlining-of-
dallas-new-research-by-dr-brian-whitacre/
\22\ Bill Callahan, AT&T's Digital Redlining of Dallas: New
Research by Dr. Brian Whitacre, National Digital Inclusion Alliance
(August 6, 2019) https://www.digitalinclusion.org/blog/2019/08/06/atts-
digital-redlining-of-dallas-new-research-by-dr-brian-whitacre/.
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Congress Should Prioritize Funding Municipal Broadband and Other
Alternative Providers
As previously noted, Internet service providers usually do not
serve areas that do not promise sustained profitability over time, even
with deployment funding. In order to ensure that broadband deployment
funds are used in the areas that need it most, one approach is to
encourage non-commercial entities to provide broadband access. For
example, Congress should encourage municipal broadband and broadband
cooperatives to step in where for-profit companies do not see
worthwhile business opportunities. These entities usually provide more
affordable offerings than for-profit providers because they want to
deploy broadband as a public service. Offering affordable broadband can
be a natural fit for these entities because they already have
experience running utilities, like water and electric.\23\ However,
half of all states have blocks or bans on municipal broadband.\24\
These policies harm competition, and Federal competition policy should
supersede them.
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\23\ Harold Feld, Solving the Rural Broadband Equation, 51 State
and Local Government Review (forthcoming).
\24\ Kendra Chamberlain, Municipal Broadband Is Roadblocked Or
Outlawed In 25 States, BroadbandNow (April 17, 2019) https://
broadbandnow.com/report/municipal-broadband-roadblocks/.
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Additionally, it makes sense to prioritize funding for municipal
broadband providers, broadband cooperatives, or local providers (or
ensure that a certain percentage of money intended for deployment is
awarded to these providers). Studies repeatedly show that local
broadband providers offer better service and promote adoption better
than non-local providers, whether for-profit or non-profit.\25\ Federal
funds should therefore encourage local broadband deployment rather than
trying to entice those otherwise uninterested in the community to
deploy.
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\25\ Pew Charitable Trusts, ``How States Are Expanding Broadband
Access: New Research Identifies Tactics for Connecting Unserved
Communities,'' (February 2020). Available at: https://
www.pewtrusts.org/-/media/assets/2020/02/broadband_report_final.pdf
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Encouraging deployment of fiber to low-income neighborhoods is
equally urgent but requires a more surgical approach. Encouraging the
formation of broadband cooperatives in public housing units, allowing
residents to pool their resources, and funding fiber installation and
necessary equipment in each public housing apartment during
construction will promote competition. This would drastically reduce
the cost of servicing these buildings with high-speed broadband,
expanding incentives for providers to offer service to the residents of
these housing projects.
Funding Should be Used Efficiently
When Congress is providing funding for broadband deployment, it
should ensure that those funds are used efficiently. To do this,
Congress can empower municipalities to plan for deployment in their own
communities and require ``dig once'' policies.
A West Virginia state program demonstrates how broadband grants and
state initiatives can help localities develop a broadband plan that
assesses all the relevant local strengths and efficiently makes
recommendations. In 2018, West Virginia allocated $2.4 million in
community development block grants exclusively for broadband. Through
this fund, the West Virginia Development Office makes planning grants
available to counties so they can determine what areas need public
funding to deploy broadband networks and the best way to use that money
to achieve deployment.\26\ As highlighted by PEW, this program has
helped West Virginia make significant advances in broadband deployment
by allowing for efficient expenditure of resources and enhanced
community engagement.\27\ By engaging in similar fact-finding, other
localities may find that they already have available conduit, fiber, or
spectrum licenses that can be used to provide part of the network.
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\26\ Dylan Vidovich, Commission Hears Details of Broadband Grant,
The Logan Banner (Sept. 11, 2019), https://www.loganbanner.com/news/
commission-hears-details-of-broadband-grant/article_c04a6281-7e9f-5374-
82dd-099b898224e1.html.
\27\ Pew Charitable Trusts, How States Are Expanding Broadband
Access: New Research Identifies Tactics for Connecting Unserved
Communities (Feb. 2020), https://www.pewtrusts.org/-/media/assets/2020/
02/broadband_report_final.pdf.
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Funding can also be used efficiently by implementing ``dig once''
policies. These policies reduce the costs of deploying broadband by
requiring the installation of conduit or broadband during construction
projects receiving Federal funding. Doing so when the roads are
initially constructed can significantly reduce deployment costs because
up to 90 percent of the cost of installing broadband is tied to digging
up roadways.\28\ In fact, Broadband Now estimated that the country
could have saved up to $126 billion dollars by implementing ``dig
once'' policies nationally.\29\
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\28\ Federal Highway Administration Office of Transportation Policy
Studies, Policy Brief (October 2013) https://www.fhwa.dot.gov/policy/
otps/policy_brief_dig_once.pdf.
\29\ Tyler Cooper, Dig Once: The Digital Divide Solution Congress
Squandered And Policy That Could Save $126 Billion On Broadband
Deployment, Broadband Now (Aug. 7, 2019), https://broadbandnow.com/
report/dig-once-digital-divide/.
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Congress Must Enforce the Use of Accurate Data for Broadband Deployment
Funding
If Congress were to invest the funds needed to deploy broadband
universally, that funding would be unlikely to completely close the
digital divide because the FCC doesn't have accurate mapping data with
which to make funding decisions. Congress recently passed the Broadband
Data Act to fix problems with the FCC's data collection process since
that process leads the FCC to dramatically overstate broadband
coverage.\30\ However, the FCC has stalled implementing that
Congressional mandate.\31\ States, recognizing the Federal deficit and
how imperative it is to spend funds based on accurate data, have
started their own efforts. Georgia passed the Achieving Connectivity
Everywhere Act in 2018, which created a separate state broadband
mapping program to supplement the existing Federal mapping program.
Georgia now has a more accurate and granular state-level broadband map
that encourages investment in specific infrastructure.\32\
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\30\ Broadband Deployment Accuracy and Technological Availability
Act P.L 116-130; The FCC's most recent broadband deployment report
estimates that less than 18 million Americans lack broadband, while
other reports believe nearly 42 million Americans lack broadband. 2020
Broadband Deployment Report, In the Matter of Inquiry Concerning
Deployment of Advanced Telecommunications Capability to All Americans
in a Reasonable and Timely Fashion, GN Docket No. 19-285 (April 20,
2020) https://docs.fcc.gov/public/attachments/FCC-20-50A1.pdf
\31\ FCC Proposes the 5G Fund for Rural America, Federal
Communications Commission (April 23, 2020) https://docs.fcc.gov/public/
attachments/DOC-363946A1.pdf.
\32\ DeMuth, Mary Ann, ``Transforming Digital Dirt Roads,''
GeorgiaTrend.com (December 29, 2019) https://www.georgiatrend.com/2019/
12/31/transforming-digital-dirt-roads/?utm_source
=sendgrid&utm_medium=e-
mail&utm_campaign=Newsletters&mc_cid=b647a19688&mc_eid=bf
11efc24c
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Although the FCC does not have accurate broadband deployment data,
it has proposed distributing billions of dollars in funding for rural
broadband based on the current faulty maps.\33\ FCC Commissioners
Rosenworcel and Starks have both noted that distributing funds based on
incorrect data will foreclose networks that potentially would serve
millions of unserved Americans from receiving funding.\34\ Still, the
FCC has chosen to preclude areas deemed to be served from receiving
Federal funding for broadband deployment through the Rural Digital
Opportunity Fund or the 5G Fund.\35\ The FCC has also excluded some
unknown additional number of census blocks from receiving funding if a
network within the census block has received state or other Federal
funding, even if the network remains unbuilt. According to FCC
Commissioner Starks, this could reduce or eliminate the opportunity for
Americans in about 30 states to benefit from new broadband deployment
funds.\36\ In order to ensure that needy areas are not being precluded
from broadband deployment funding, Congress must hold the FCC
accountable for implementing updates to its data collection about where
broadband is and is not available, and should instruct the FCC to treat
state grants as a complement--rather than a replacement--to Federal
efforts.
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\33\ FCC Proposes the 5G Fund for Rural America, Federal
Communications Commission (April 23, 2020) https://docs.fcc.gov/public/
attachments/DOC-363946A1.pdf; Report and Order in the Matter of Rural
Digital Opportunity Fund Connect America Fund, WC Docket No. 19-126 WC
Docket No. 10-90 (February 7, 2020) https://docs.fcc.gov/public/
attachments/FCC-20-5A1.pdf.
\34\ Statement of Commissioner Geoffrey Starks Re: Rural Digital
Opportunity Fund, Connect America Fund, WC Docket No. 19-126; WC Docket
No. 10-90 (January 30, 2020) https://www.publicknowledge.org/documents/
fcc-commissioner-starks-statement-on-rural-digital-opportunity-fund/.
\35\ Report and Order in the Matter of Rural Digital Opportunity
Fund Connect America Fund, WC Docket No. 19-126 WC Docket No. 10-90
(February 7, 2020) https://docs.fcc.gov/public/attachments/FCC-20-
5A1.pdf.
\36\ Statement of Commissioner Geoffrey Starks Re: Rural Digital
Opportunity Fund, Connect America Fund, WC Docket No. 19-126; WC Docket
No. 10-90 (January 30, 2020) https://www.publicknowledge.org/documents/
fcc-commissioner-starks-statement-on-rural-digital-opportunity-fund/;
Statement of Commissioner Jessica Rosenworcel Re: Establishing a 5G
Fund for Rural America, GN Docket No. 20-32, WT Docket No. 10-208
(January 30, 2020) https://docs.fcc.gov/public/attachments/FCC-20-
52A5.pdf.
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Congress Should Help Narrow the Homework Gap
Before this pandemic, an estimated 12 million students in this
country did not have Internet access at home and could not complete
schoolwork.\37\ Students in black and Hispanic households are
particularly likely to be impacted. One-fourth of black teens report
sometimes being unable to complete their homework due to a lack of
digital connectivity, and another one in 1 in 5 black teens report that
they sometimes must rely on public Wi-Fi in order to do homework.\38\
This pandemic shines an even brighter light on the ``homework gap.'' As
schools close and classes transition online for the foreseeable future,
students who fall into the homework gap risk falling behind their
peers. While these students may have been able to access broadband in
their local school or library before the pandemic, these facilities are
now closed. For example, 30 percent of students in Yakima County,
Washington do not have home Internet service, leaving them unable to
compete with their peers.\39\ We commend Commissioner Rosenworcel for
her efforts in highlighting the seriousness of this problem and
diligently championing students.
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\37\ Kim Hart, The Homework Divide: 12 million schoolchildren lack
Internet (December 2018) https://www.axios.com/the-homework-gap-kids-
without-home-broadband-access-3ad5909f-e2fb-4208-b4d0-574c45ff4fe7.html
\38\ Monica Anderson and Andrew Perrin, Nearly one-in-five teens
can't always finish their homework because of the digital divide, Pew
Research Center (October 2018) https://www.pewresearch.org/fact-tank/
2018/10/26/nearly-one-in-five-teens-cant-always-finish-their-homework-
because-of-the-digital-divide/
\39\ Jennifer Hemmingsen, A Catalyst for Bridging the Digital
Divide, The Seattle Times (May 8, 2020) https://www.seattletimes.com/
opinion/a-catalyst-for-bridging-the-digital-divide/?utm_source=e-
mail&utm_medium=e-mail&utm_campaign=article_inset_1.1.
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In order to ensure that this inequity is not exacerbated, and to
promote success amongst K-12 students, Congress should pass the
``Emergency Educational Connections Act of 2020.'' This bill would
provide funding to ensure that K-12 students have home Internet and
devices during the pandemic and do not have to rely on publicly
accessible Wi-Fi.
Congress should also ensure that postsecondary students do not fall
behind during the COVID-19 pandemic. Over 96 percent of postsecondary
students report using the Internet for schoolwork.\40\ However, many
postsecondary students may struggle to learn from home, where students
aren't able to access campus Wi-Fi. The E-Rate program supports
connectivity for K-12 schools and libraries, but not postsecondary
students.\41\ Congress can ensure that postsecondary students can
successfully train for good jobs during the pandemic by enacting the
``Supporting Connectivity for Higher Education Students in Need Act,''
which would provide temporary support to higher education institutions
to increase connectivity for their students.
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\40\ Robert B. Kvavik, Convenience, Communications, and Control:
How Students Use Technology, EDUCAUSE Center for Analysis and Research
and University of Minnesota, Twin Cities (2005) https://
www.educause.edu/research-and-publications/books/educating-net-
generation/convenience-communications-and-control-how-students-use-
technology.
\41\ Universal Service Administrative Co., School and Library
Eligibility, https://www.usac.org/e-rate/applicant-process/before-you-
begin/school-and-library-eligibility/.
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It should, however, be noted that these pieces of legislation are a
short-term solution for student connectivity because of their reliance
upon mobile hotspots. Mobile hotspots enable devices like laptops to
connect to wireless networks. Unfortunately, wireless networks are
generally slower than wired networks (particularly fiber); can become
congested more easily; are more likely to carry usage limits such as
data caps; and may not be available in rural areas to begin with.\42\
Neither are mobile hotspots an ideal way to connect an entire household
of devices, or to provide connectivity to streaming devices like smart
TVs. There is a reason why, within the home, even devices with built-in
LTE typically connect to Wi-Fi networks that are connected to wired
networks. While an expedient short-term solution during the COVID-19
crisis, Congress should prioritize other methods of deployment for the
long term.
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\42\ ``Even when a [wireless] network is designed with a small cell
radius to decrease the number of subscribers covered by each cell, the
number of user devices simultaneously trying to communicate with the
antenna can still cause congestion.'' Columbia Telecommunications
Corporation, The State of the Art and Evolution of Cable Television and
Broadband Technology 2014 at 15 (2014) https://www.publicknowledge.org/
wp-content/uploads/2019/09/State_of_the_Art
_and_Evolution_of_Cable_Television_and_Broadband_Technology.pdf (CTC
Report); ``Wireless availability is lower in rural areas and speeds get
slower the further from cities you go.'' Open Signal, Mobile Experience
in Rural USA--An Operator Comparison, (2019) https://
www.opensignal.com/2019/09/24/mobile-experience-in-rural-usa-an-
operator-comparison; ``Additionally, Actual wireless availability in
rural areas frequently doesn't live up to coverage claims.'' See Mobile
Wireless in Vermont (2019) https://publicservice.vermont.gov/sites/dps/
files/documents/Connectivity/BroadbandReports/2019/
Mobile%20Wireless%20Report.pdf; Justin Strawser, Though '100 percent
coverage' Valley cellular dark zones exist, The Daily Item, July 19,
2019, https://www.dailyitem.com/news/though-percent-coverage-valley-
cellular-dark-zones-exits/article_97f81258-9bec-11e9-8f57-
df3fe97f0454.html; ``Wireless dead zones are common in cities as well.
Dead zones occur in cities, too.'' CBS Chicago, An Analysis Of Chicago
Cell Phone Dead Zones, September 22, 2019, https://
chicago.cbslocal.com/2019/09/22/an-analysis-of-chicago-cell-phone-dead-
zones; see generally https://www.deadcellzones.com; ``Unlike wired
connections, wireless signals are affected by terrain, weather,
buildings and other factors.'' CTC Report 13-14; ``Finally, data caps
are both more common, and more restrictive on wireless connections.''
see generally Public Knowledge's resources at https://
www.publicknowledge.org/issues/data-caps.
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In the long term, our Nation can ensure that students have Internet
by supporting the E-Rate program, which was created to help schools and
libraries obtain affordable internet.\43\ In addition to funding school
and library connectivity, Congress and the FCC should consider ways
that E-Rate funding could be utilized to help serve communities. This
would include making policy changes to the E-Rate program that allow
the schools and libraries who want to do so to use their connectivity
funded through E-rate to provide backhaul. For example, in Boulder
Valley, Colorado, school districts will extend the school's fiber
network to nearby low-income housing complexes.\44\ In this way, the
schools could allow their networks, which are largely unused during
non-school hours, to share excess bandwidth with students who need it
to complete homework.
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\43\ Federal Communications Commission, E-Rate--Schools & Libraries
USF Program, https://www.fcc.gov/general/e-rate-schools-libraries-usf-
program (last visited May 11, 2020).
\44\ Before the Federal Communications Commission In The Matter of
Modernizing the E-Rate Program for Schools and Libraries. WC Docket No.
13-184 (May 2016) https://ecfsapi.fcc.gov/file/60001843683.pdf
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We Should Help Tribes Close the Digital Divide
When distributing broadband deployment funds, Congress must not
leave tribal areas behind and should enact policies targeted at
eliminating the significant digital divide between tribal and non-
tribal areas; there is a nearly 27-point gap in the number of housing
units with fixed 25/3 Mbps service on rural tribal lands than non-
tribal rural lands.\45\ The FCC should work in consultation with tribal
leaders to make sure deployment programs meet the needs of tribal
communities. A first step is to add tribal areas to the universal
service principles, thus ensuring that the FCC must require deployment
of broadband to tribal communities at service levels and rates
comparable to non-tribal areas.\46\
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\45\ Federal Communications Commission, Report on Broadband
Deployment in Indian Country, Pursuant to the Repack Airwaves Yielding
Better Access for Users of Modern Services Act of 2018 (May 2019)
https://docs.fcc.gov/public/attachments/DOC-357269A1.pdf.
\46\ See 47 U.S.C. Sec. 254(b).
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Another way to do this is to utilize the E-Rate program. Libraries
play a key role in closing the digital divide because they provide
Internet access to residents without access, such as students, seniors,
and job seekers. However, despite catering to residents that are
particularly impacted by the digital divide, only 15 percent of tribal
libraries receive E-Rate funding.\47\ This is due in large part to not
meeting the eligibility criteria because of the diverse functions many
tribal libraries perform. In order to ensure that tribal communities
have access to broadband, Congress should direct the FCC to revisit how
to better connect tribal libraries and other tribal community anchor
institutions that serve similar functions, such as tribal cultural
centers.
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\47\ American Library Association, A Broadband Imperative:
Equitable Opportunity for Tribal Communities through Libraries (Oct.
2018), http://www.ala.org/advocacy/sites/ala.org
.advocacy/files/content/telecom/TribalBroadband.pdf.
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Finally, Congress can require the FCC to allow Tribes and tribal
carriers to share unused spectrum. Many companies that hold the license
to the spectrum available on tribal lands never use it because wireless
Internet can be expensive to deploy.\48\ Many tribes want to use that
spectrum to deploy their own wireless Internet but are not allowed to
because they don't have the license. Congress should require the FCC to
create a policy allowing others (including tribes themselves, or other
broadband providers) to use those frequencies if the license holder
does not build out within a given period. Once the license holder does
build out, the entity sharing the spectrum could once again fully use
their spectrum. Combined, these policy solutions can improve tribal
connectivity.
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\48\ See In re Improving Communs. Servs. for Native Nations, 26 FCC
Rcd 2623 (F.C.C. March 3, 2011).
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Congress Must Ensure that Broadband is Affordable
Even if broadband is available it is not always affordable and,
consequently, it is not adopted. Lower broadband adoption is correlated
with lower household incomes.\49\ Furthermore, Americans with higher
incomes are more likely to have more than one device enabling them to
connect to the internet.\50\ Individuals in households without
broadband struggle to participate in economic, social, and educational
activity that takes place online. A broadband provider's presence in a
market is not an appropriate proxy for broadband adoption, and any
analysis that informs a policy decision must closely evaluate the
number of households actually connected.
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\49\ Angela Siefer, FCC broadband report ignores affordability
issue, National Digital Inclusion Alliance (May 30, 2019) https://
www.digitalinclusion.org/blog/2019/05/30/fcc-broadband-report-ignores-
affordability-issue/.
\50\ Monica Anderson and Madhumitha Kumar, Digital divide persists
even as lower-income Americans make gains in tech adoption, Pew
Research (May 7, 2019) https://www.pew
research.org/fact-tank/2019/05/07/digital-divide-persists-even-as-
lower-income-americans-make
-gains-in-tech-adoption/.
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To close the digital divide and bring the cost of broadband within
reach for consumers across the country both during and after the COVID-
19 pandemic, multiple policy solutions should be leveraged in tandem. A
competitive market for broadband--one in which multiple service options
are available--can lower the cost and increase quality of service to
consumers. Congress can also promote broadband affordability through
subsidies that give Americans a way to pay for services they may
otherwise decide is too expensive.
We Should Promote Broadband Competition Through Open Access
Infrastructure and Regulation
Numerous studies on Internet pricing demonstrate that new Internet
service providers entering a market can substantially benefit
consumers.\51\ Absent competition, consumers may miss out on lower,
more affordable options. For example, AT&T customers with gigabit
connections in areas without competitive providers can pay up to $60
more a month than consumers in regions with competitive providers.\52\
This lack of competition should be especially concerning considering
how expensive broadband is in America compared to countries around the
world. A recent study comparing broadband among 35 Organization for
Economic and Cooperation Development (OECD) countries found America to
be among the most expensive.\53\
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\51\ Jonathan Sallet, Broadband for America's Future: A Vision for
the 2020s, Benton Institute for Broadband and Society at 49 (October
2019) https://www.benton.org/sites/default/files/BBA_full_F5_10.30.pdf.
\52\ Karl Bode, Harvard Study Shows Why Big Telecom Is Terrified of
Community-Run Broadband, Vice (January 12, 2018) https://www.vice.com/
en_us/article/d345pv/harvard-study-shows-why-big-telecom-is-terrified-
of-community-run-broadband.
\53\ Jonathan Sallet, Broadband for Americas Future: A Vision for
the 2020s, Benton Institute for Broadband & Society (October 2019)
https://www.benton.org/sites/default/files/BBA
_full_F5_10.30.pdf.
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Although competition is immensely valuable, a significant portion
of Americans lack access to competitive options. In addition to the
millions of Americans who don't have access to any broadband,
approximately a quarter of Americans have access to only one fixed
broadband provider.\54\ Because too many areas lack competitive
providers, consumers are paying artificially higher broadband prices.
Studies show that prices for packages, including broadband access, are
about $25 higher per month than they should be.\55\
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\54\ Federal Communications Commission, Fact Sheet Communications
Marketplace Report at 99, GN Docket No. 18-231 (November 21, 2018)
https://docs.fcc.gov/public/attachments/DOC-355217A1.pdf.
\55\ Calculations made by Mark Cooper showing the increase in
profit by wireless companies based on earnings before taxation,
depreciation, and amortization.
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When existing incentives fail to bring about broadband competition,
open access infrastructure can create conditions that support
competitive markets. Typically, broadband providers deploy in
communities where the expected profits outweigh the cost of
investment.\56\ However, if broadband providers are spared the cost of
building the infrastructure for deployment, they are more likely to
offer their services to a particular area. Open access infrastructure
is built and owned by local governments, functioning as wholesalers.
Local governments lease this infrastructure to broadband providers,
permitting them to provide services to homes and commercial
entities.\57\ This policy option may be particularly beneficial for
areas in which broadband providers are still reluctant to offer service
even with the aid of existing government deployment subsidies. This
strategy helped deploy broadband in Lincoln, Nebraska, when the Public
Works Department identified over 350 square miles of decommissioned
pipelines that they were able to use as conduit to lay fiber. This
attracted multiple providers, since they were able to pull fiber
through the area cheaply.\58\
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\56\ Harold Feld, Solving the Rural Broadband Equation, 51 State
and Local Government Review (forthcoming).
\57\ Amina Fazlullah and Christopher Mitchell, Connecting the
Unconnected with Open Access Infrastructure, Benton Institute for
Broadband and Society (December 20, 2018) https://www.benton.org/
headlines/connecting-unconnected-open-access-infrastructure
\58\ Community Broadband Bits Podcast, Episode 228, City of Lincoln
Conduit Spurs FTTH, School Network Innovation, Munitnetworks.org (Nov
15, 2016) https://muninetworks.org/content/transcript-community-
broadband-bits-episode-228.
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Congress must do more to promote competition. If one carrier has a
dominant market position, the simple presence of other small players
alone does not secure a competitive market. Incumbent companies have
demonstrated their willingness to engage in anti-competitive behavior
that reinforces their dominance.\59\ Congress should begin by removing
limitations on overbuilding as a means of promoting competition. As the
Benton Institute recently advised in its recommendations for broadband
policy: ``'overbuilding' should be called by its more familiar name,
`competition.' '' \60\
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\59\ Mark Cooper, Overcharged and Underserved: How a Tight
Oligopoly on Steroids Undermines Competition and Harms Consumers in
Digital Communications Markets, Consumer Federation of America and
Public Knowledge (December 2016) https://consumerfed.org/wp-content/
uploads/2016/12/Overcharged-and-Underserved.pdf.
\60\ Jonathan Sallet, Broadband for America's Furture: A Vision for
the 2020s, Benton Institute for Broadband & Society at 32 (2019).
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We Must Provide Subsidies to Make Broadband Affordable and Keep
Struggling Americans Connected
A key way that Congress can ensure everyone is able to connect to
the Internet is to subsidize access, with a priority for those who are
struggling to make ends meet. To date, over 33 million Americans have
lost their jobs due to the COVID-19 crisis, and millions more have had
their hours reduced, jeopardizing their ability to pay for
broadband.\61\ Even before the COVID-19 crisis, millions of Americans
did not subscribe to broadband because they couldn't afford it. In one
survey, 50 percent of non-broadband subscribers cited price as the
reason they lacked home service.\62\ This is further evidenced in
statistics about who subscribes to broadband. Only 56 percent of
American adults making less than $30,000 subscribe to broadband, while
92 percent of Americans making $75,000 or more subscribe.\63\
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\61\ Heather Long and Emily Guski, Over 33 million Americans lost
their job during the pandemic. 77 percent believe they'll get it back,
Post-Ipsos poll finds, Washington Post (May 7, 2020) https://
www.washingtonpost.com/business/2020/05/07/nearly-80-percent-laid-off-
workers-believe-they-will-return-their-old-job-post-ipsos-poll-finds/.
\62\ Monica Anderson, Mobile Technology and Home Broadband in 2019,
Pew Research Center (June 2019) https://www.pewresearch.org/internet/
2019/06/13/mobile-technology-and-home-broadband-2019/
\63\ Monica Anderson, Mobile Technology and Home Broadband in 2019,
Pew Research Center (June 2019) https://www.pewresearch.org/internet/
2019/06/13/mobile-technology-and-home-broadband-2019/
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Given the increasing necessity of broadband during the crisis, and
the increasing number of Americans who cannot afford it, we must
subsidize broadband for those who need it during this crisis so that no
one has to choose between staying connected to essential communications
and feeding their families. One way to do this is to create an
emergency Lifeline or Lifeline-style benefit that subsidizes the cost
of Internet for eligible residents in economic distress during the
crisis. This should also provide a larger subsidy to tribal residents
to account for their lower connectivity rates. An alternative approach
would provide subsidies for all Americans during the crisis, to ensure
that those who most need financial assistance are able to get it
quickly and easily.\64\
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\64\ Harold Feld, Want to Keep America Home? Give Everyone Free
Basic Broadband, Public Knowledge (March 2020) https://
www.publicknowledge.org/blog/want-to-keep-america-home-give-everyone-
free-basic-broadband/
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Additionally, Congress must ensure that those who can no longer pay
for broadband because COVID-19 has impacted their financial security
will not find this critical service shut-off during the pandemic and
its economic recovery period. Americans cannot continue to rely on the
voluntary pledges of for-profit companies, themselves under increasing
pressure from shareholders as the ongoing COVID-19-induced financial
crisis continues. We therefore support the ``Continuing Online
Networking, Negating Economic Conditions on Technology (CONNECT) At
Home Act,'' which would ensure continued connectivity for Americans,
despite an inability to pay, for the duration of the crisis.
Once the COVID-19 crisis is over, we need to continue providing
broadband subsidies to needy households through the Lifeline program.
Although there are a variety of policy interventions available to bring
down the cost of broadband, the Lifeline program will ensure that the
most economically vulnerable Americans have access. Policymakers should
also consider changes to the Lifeline program that will bring broadband
affordability within reach for Americans in the greatest need of
assistance. First, the Lifeline program should be allowed to support
standalone broadband, independent of phone service, in order to ensure
that consumers have choice and competitive options. In recently
submitted comments to the FCC, Public Knowledge highlighted that this
restriction unduly limits consumer choice, especially during a time
when Americans are increasingly relying on broadband to conduct
important work and educational activities.\65\ Second, we must ensure
Lifeline is utilized. Even before COVID-19, only about 40 percent of
households that were eligible for Lifeline subscribed.\66\ According to
the Government Accountability Office, this is due in part to
individuals not knowing about the program.\67\ Ensuring that eligible
consumers know about their eligibility is an easy way to narrow the
digital divide. Finally, policymakers should increase subsidy amounts
to ensure that eligible consumers are able to partake in the program.
Studies show that $10 per month is the most low-income Americans can
afford to pay for broadband.\68\ However, current subsidies are only
$9.25 a month per household while the cost of monthly broadband is
approximately $50-68--likely meaning consumers will pay far more than
they can afford if they choose to participate.\69\ With sufficient
funding and appropriate modification, the Lifeline program will
significantly narrow the digital divide by ensuring that needy
households can afford broadband.
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\65\ Public Knowledge Comments In the Matter of Wireline
Competition Bureau Seeks to Refresh Record in Restoring Internet
Freedom and Lifeline Proceedings in Light of the D.C. Circuit's Mozilla
Decision, WC Docket Nos. 17-108, 17-287, 11-42 DA 20-168 (April 20,
2020) https://www.publicknowledge.org/documents/public-knowledge-net-
neutrality-fcc-remand-comments/.
\66\ Demand for Broadband in Rural Areas: Implications for
Universal Access, Congressional Research Service (December 9, 2019)
https://crsreports.congress.gov/product/pdf/R/R46108 (``Enrollment
rates vary significantly by state, but are under 40 percent in most
cases.'')
\67\ Government Accountability Office, FCC Should Evaluate the
Efficiency and Effectiveness of the Lifeline Program, Report to the
Chairman, Committee on Commerce, Science and Transportation, U.S.
Senate (March 2015) https://www.gao.gov/assets/670/669209.pdf.
\68\ Jonathan Sallet, Creating an Affordability Agenda, Benton
Institute for Broadband and Society (January 23, 2020) https://
www.benton.org/blog/creating-affordability-agenda.
\69\ Angele A. Gilroy, Federal Lifeline Program: Frequently Asked
Questions, Congressional Research Service (October 19, 2017) https://
fas.org/sgp/crs/misc/R44487.pdf; Joan Engebreston, Broadband
Affordability Report: Nearly Half of U.S. Population Lacks Access to a
Low-Price Offering, TeleCompetitor (April 2, 2019) https://
www.telecompetitor.com/broadband-affordability-report-nearly-half-of-u-
s-population-lacks-access-to-a-low-price-offering/.
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We Must Fund Digital Equity
Even if subsides and increased competition will allow consumers to
afford broadband, they can't connect without equipment and digital
literacy skills. Thirty-seven percent of non-broadband users cite the
cost of a computer as one of the reasons they do not have broadband at
home.\70\ Digital literacy can also be a barrier to connecting. A
startling one-third of Americans lack digital skills they need to
successfully navigate digital devices.\71\ The Digital Equity Act would
provide funding to states to implement digital equity plans, and to
other stakeholders to support digital equity projects.\72\ This bill is
an important component to any policy effort to bring broadband to all
Americans.
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\70\ Monica Anderson, Mobile Technology and Home Broadband 2019,
Pew Research Center (June 13, 2019) https://www.pewresearch.org/
internet/2019/06/13/mobile-technology-and-home-broadband-2019/.
\71\ National Skills Coalition, Applying a racial equity lens to
digital literacy (March 20, 2020) https://
www.nationalskillscoalition.org/resources/publications/file/Digital-
Skills-Racial-Equity-Final.pdf.
\72\ National Digital Inclusion Alliance, The Digital Equity Act of
2019 One Pager, https://www.digitalinclusion.org/wp-content/uploads/
2019/04/Digital-Equity-Act-One-Pager-1.pdf
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We Need the FCC to Collect Price Data
Recently, major carriers have increased the charges for Internet
services, however prices for consumers won't go down until they are
transparent. \73\ Without price transparency, the FCC can't determine
whether the broadband market is sufficiently competitive and
affordable, and make policy changes accordingly. Moreover, consumers
won't be able to make an informed choice about which service to
subscribe to. However, the FCC does not collect data about how much
providers are charging for their services. Congress should remedy this
by requiring the FCC to collect from providers information about the
prices they charge consumers, including all associated fees and
equipment rentals. This should also include information about bundled
packages. All told, these stories show that learning how much providers
are charging, is a key component of keeping broadband affordable, and
closing the digital divide.
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\73\ James K. Wilcox, Cable TV Prices Are Climbing for 2020,
Consumer Reports (January 16, 2020) https://www.consumerreports.org/tv-
service/cable-tv-prices-climbing/.
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We Must Ensure That Broadband is Reliable and Resilient
Even if Americans are able to access broadband, they will not be
able to truly stay connected if that broadband is slow, unreliable, or
subject to data caps. That's why it's important to regulate the quality
of the Internet service provider offerings and ensure that broadband
providers invest in improving their networks.
We Must Promote Adequate Speeds
Sufficient broadband speeds are essential for Americans to engage
in the facets of life that are enabled by broadband. This is
particularly true during the COVID-19 pandemic, when many families are
all together working and learning from home. This likely entails
frequent video conferencing and streaming of educational content.
According to the FCC, for even half of a family of four to engage in
these activities at once, the household will need more than 25
Mbps.\74\ However, that figure is likely higher, because most families
have multiple family members engaging in high-bandwidth activities at
once, and the bandwidth demands of work and educational applications
continue to increase.\75\ After this pandemic, many Americans may
continue to rely on their home broadband connections more frequently.
If consumers experience slowdowns or don't have sufficiently fast
broadband to begin with, they may be forced to choose which family
members can work or learn at any given time.
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\74\ Federal Communications Commission, Household Broadband Guide,
https://www.fcc.gov/consumers/guides/household-broadband-guide
\75\ For example, Netflix recommends 25 Mbps for high-quality video
alone. See Netflix, Internet Speed Recommendations, https://
help.netflix.com/en/node/306.
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Contrary to some reports from Internet service providers, with more
activities moving online during the COVID-19 crisis, many cities have
in fact experienced Internet slowdowns.\76\ In mid-April, Broadband Now
reported that approximately one-third of the 200 most populous cities
in the country experienced speed decreases.\77\ Some of these cities,
including Albuquerque, New Mexico, and Boca Raton, Florida, have seen
speed decreases of more than 40 percent.\78\ According to the same
report, rural areas have also seen speed decreases from earlier in
2020.\79\ This data indicates that, despite reassurances about the
overall health of the internet, many families are unable to
meaningfully engage in necessary digital activities because of
slowdowns.
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\76\ USTELECOM, Network Performance, https://www.ustelecom.org/
research/network-performance-data/
\77\ Over the past week, 67 cities (33.5 percent of the top 200)
experienced median upload speed decreases of 10 percent or greater
below range of previous weeks in 2020. See Tyler Cooper, Internet Speed
Analysis: Rural, top 200 Cities April 12-18, BroadbandNow (April 2020)
https://broadbandnow.com/report/internet-speed-analysis-april-12th-
18th/?utm_campaign=Newsletters
&utm_source=sendgrid&utm_medium=e-
mail&mc_cid=efc9112c3f&mc_eid=bf11efc24c.
\78\ Tyler Cooper, Internet Speed Analysis: Rural, top 200 Cities
April 12-18, BroadbandNow (April 2020) https://broadbandnow.com/report/
internet-speed-analysis-april-12th-18th/?utm_
campaign=Newsletters&utm_source=sendgrid&utm_medium=e-
mail&mc_cid=efc9112c3f&mc_eid
=bf11efc24c.
\79\ Tyler Cooper, Internet Speed Analysis: Rural, top 200 Cities
April 12-18, BroadbandNow (April 2020) https://broadbandnow.com/report/
internet-speed-analysis-april-12th-8th/?utm_
campaign=Newsletters&utm_source=sendgrid&utm_medium=e-
mail&mc_cid=efc9112c3f&mc_eid
=bf11efc24c.
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This surge in demand highlights why Congress should require the FCC
to increase its current broadband benchmark speed from 25/3 Mbps to at
least 100 Mbps downstream, and to periodically increase its benchmark
speed thereafter. The FCC has not increased its benchmark speed in five
years.\80\ Although the COVID-19 lockdown has dramatically accelerated
existing trends, evidence already showed that American consumers were
using faster than the minimum speeds, and providers are offering
significant speed increases. According to the Fiber Broadband
Association, ``average upload speeds in the U.S. surpassed 10 Mbps over
two years ago, grew by 75 percent over the next year, and continues to
increase significantly.'' \81\ Analysts project that, even after COVID-
19, working from home will increase significantly.\82\ Without
increasing the minimum benchmark speed, our Nation will invest in
deploying broadband networks that are outdated by the time they are
built--leaving consumers and employers to face the consequences.
---------------------------------------------------------------------------
\80\ Public Knowledge Comments Re: Inquiry Concerning Deployment of
Advanced Telecommunications Capability to All Americans in a Reasonable
and Timely Fashion, GN Docket No. 19-285 (January 30, 2020) https://
ecfsapi.fcc.gov/file/10130208551747/PK%20Letter-
%20Jan.%2030%2C%202020.pdf.
\81\ Ex Parte Letter of Fiber Broadband Association, Ex Parte
Letter, WC Docket No. 19-126 (Jan. 3, 2020).
\82\ See Vivienne Walt, Covid-19 Will Change the Entire Notion of
Offices: Companies Eye Rental Savings After Working at Home, Fortune
(April 19, 2020) https://fortune.com/2020/04/19/coronavirus-going-back-
to-work-from-home-commercial-real-estate-offices/
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We Must Ensure that Providers Invest in Improving and Maintaining
Networks
While Internet slowdowns can jeopardize consumers' ability to use
the Internet effectively, Internet outages can jeopardize consumers'
ability to use the Internet altogether. Roughly 9 in 10 Americans
report that a major interruption in Internet or cellphone service
during the pandemic would be a problem, with nearly half claiming it
would be a ``very big'' problem.\83\ However, networks are not reliable
if they are not upgraded regularly and are not resilient if they can't
withstand natural disasters or increased capacity.
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\83\ Monica Anderson and Emily Vogels, Americans turn to technology
during the Covid-19 outbreak, say an outage would be a problem (March
2020) https://www.pewresearch.org/fact-tank/2020/03/31/americans-turn-
to-technology-during-covid-19-outbreak-say-an-outage-would-be-a-
problem/.
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During this crisis, our Nation's networks are demonstrating that
they are unable to fully withstand the increased capacity. Global
network outages reached record highs in February and March of 2020, as
an increasing number of governments issued stay-at-home orders.\84\
When these outages occur, families are completely prevented from
engaging in essential online activities for school and work.
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\84\ Yevgeniy Sverdlik, The Pandemic Puts the Internet's Resiliency
and Fragility on Display (April 2020) https://
www.datacenterknowledge.com/uptime/pandemic-puts-internet-s-resiliency-
and-fragility-display.
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Since 2003, it has been the national policy to encourage the
replacement of copper telephone lines with fiber.\85\ This policy
became accelerated in 2013, when the FCC began a series of proceedings
to encourage phone companies to phase out legacy telephone technology
generally known as the ``Technology Transitions.'' Yet, current FCC
rules allow providers to rip out old copper lines without any rules
requiring them to replace those networks with ones of equal or better
quality.\86\ Without regulation requiring providers to upgrade their
networks, some providers have chosen to allow their existing copper
networks to deteriorate and service to degrade. As shown in recent
filings by Frontier as it prepares for bankruptcy, this is simply a
case of putting short-term profits ahead of long-term profits for the
benefit of share prices. While upgrading their customers to fiber would
cost the company money initially, they nevertheless would have recouped
this investment and profited handsomely in the long term. Still, they
chose to leave their customers with crumbling copper infrastructure, in
a likely effort to appease shareholders in the short term.\87\ As a
result, multiple states have found Frontier (and other rural telephone
companies) have failed to maintain their networks at even close to a
serviceable level.\88\
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\85\ Review of the Section 251 Unbundling Obligations of Incumbent
Local Exchange Carriers, Report and Order and Order on Remand and
Further Notice of Proposed Rulemaking, 18 FCC Rcd. 16978 (2003)
\86\ Press Release, Public Knowledge, In Loss for Consumers, Ninth
Circuit Rejects Challenge to FCC Deregulation of Telephone Reliability
Standards (Jan. 23, 2020) https://www.publicknowledge.org/press-
release/in-loss-for-consumers-ninth-circuit-rejects-challenge-to-fcc-
deregulation-of-telephone-reliability-standards/.
\87\ Ernesto Falcon, Cory Doctorow, and Katherine Trendacosta,
Frontier's Bankruptcy Reveals Why Big ISPs Choose to Deny Fiber to So
Much of America, Electronic Frontier Foundation (April 30, 2020),
https://www.eff.org/deeplinks/2020/04/frontiers-bankruptcy-reveals-
cynical-choice-deny-profitable-fiber-millions
\88\ Ernesto Falcon, Cory Doctorow, and Katherine Trendacosta,
Frontier's Bankruptcy Reveals Why Big ISPs Choose to Deny Fiber to So
Much of America, Electronic Frontier Foundation (April 30, 2020),
https://www.eff.org/deeplinks/2020/04/frontiers-bankruptcy-reveals-
cynical-choice-deny-profitable-fiber-millions
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The same problem can occur in urban areas. One report found that
AT&T withheld fiber-enhanced broadband from a disproportionate amount
of high-poverty Dallas neighborhoods, leaving the cities' low-income
residents with severely limited Internet access, in some cases 3Mbps
downstream or less.\89\ In order to ensure that all of America has
access to high-quality broadband, Congress must require the FCC to
reinstate rules governing the retirement of copper loops, requiring
companies to replace old infrastructure with something of equal or
better quality.\90\
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\89\ Bill Callahan, AT&T's Digital Redlining of Dallas: New
Research by Dr. Brian Whitacre, National Digital Inclusion Alliance
(August 6, 2019) https://www.digitalinclusion.org/blog/2019/08/06/atts-
digital-redlining-of-dallas-new-research-by-dr-brian-whitacre/.
\90\ See Report and Order, Order of Reconsideration and Further
Notice of Proposed Rulemaking, In the Matter of Technology Transitions
Policies and Rules Governing Retirement of Copper Loops by Incumbent
Local Exchange Carriers Special Access for Price Cap Local Exchange
Carriers AT&T Corporation Petition for Rulemaking to Reform Regulation
of Incumbent Local Exchange Carrier Rates for Interstate Special Access
Services, GN Docket No. 13-5 RM-11358 WC Docket No. 05-25 RM-10593
(August 7, 2015) https://docs.fcc.gov/public/attachments/FCC-15-
97A1.pdf.
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We Must Ban Data Caps
Consumers facing slow speeds and frequent outages will struggle to
stay connected both during and after the pandemic. Data caps will have
a similar impact, as they could force consumers to ration data. This
could mean choosing between a parent accessing virtual medical care or
a child engaging in schoolwork. Data caps can artificially impose the
amount of data customers can transfer over a network, and often, once
consumers hit those data caps, their connection speeds are throttled to
a crawl. Providers claim that data caps curb network congestion, but in
reality, their primary purpose is to encourage consumers to choose
content the network prefers (because it doesn't count against the data
cap) or to spend more on more expensive service offerings.\91\ Banning
data caps is essential for allowing families to access the Internet as
they need to during this pandemic.
---------------------------------------------------------------------------
\91\ Hibah Hussain and Patrick Lucey, Capping the Nation's
Broadband Future? (December 2012) https://www.newamerica.org/oti/
policy-papers/capping-the-nations-broadband-future/.
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We Must Require Data Collection on Network Reliability and Resiliency
Mixed reports of the internet's failure to maintain expected speeds
across the country, and the record high number of outages, show how
important it is to assess network performance during COVID-19 and
after. Unfortunately, there is no unified source of data about how well
our Nation's networks function even in the best of times.
We need the FCC to collect data that fully reports how our networks
are holding up during COVID-19, and we need the agency to then make
that report available to Congress and the general public. During other
emergencies, like hurricanes, the FCC will activate its Disaster
Information Reporting System and use that data to issue regular updates
on network status.\92\ COVID-19 has had similar effects on our
networks, so the FCC should be issuing similar reports. We appreciate
the voluntary efforts of industry stakeholders to share some network
information during the pandemic, however, the conflicting reports
require the FCC to ensure all network analyses are shared.
---------------------------------------------------------------------------
\92\ Federal Communications Commission, Disaster Information
Reporting System (DIRS), https://www.fcc.gov/general/disaster-
information-reporting-system-dirs-0.
---------------------------------------------------------------------------
In addition, stakeholders need data about how our networks fare in
the long term, including information about the number, length, and
breadth of outages from particular providers, the actual speeds that
consumers experience (as opposed to the speeds providers advertise),
and how quickly networks bounce back after emergencies. With this data,
policymakers could take steps to improve performance. For example,
Congress or the FCC might consider imposing liability on providers for
long, unexcused outages, or consistent poor performance. This could
encourage providers to restore service as quickly as possible or invest
in the quality of their networks. Furthermore, consumers could use this
information to make decisions on which networks will serve them best.
Conclusion
In conclusion, the digital divide is not a new problem. It is
simply an existing problem exacerbated by the COVID-19 pandemic. Given
the essential nature of broadband, Congress must take every step it can
to ensure that broadband is affordable, reliable, and universally
available. We believe a comprehensive legislative package that
addresses these issues will help us get there.
______
The Chairman. Thank you very, very much, Mr. Kimmelman, and
we now turn to Mr. Jonathan Spalter, President and CEO of
USTelecom, The Broadband Association.
Sir, you are recognized for five minutes.
STATEMENT OF JONATHAN SPALTER,
PRESIDENT AND CHIEF EXECUTIVE OFFICER,
USTELECOM--THE BROADBAND ASSOCIATION
Mr. Spalter. Well, thank you very much Chairman Wicker,
Ranking Member Cantwell, Members of the Committee. I am
Jonathan Spalter, and I don't believe I've ever been more proud
to serve as President and CEO of USTelecom and supporting our
members, their frontline essential workforce and their
customers through this national emergency.
You've asked us here today to share the extraordinary steps
our members are taking, and also what's required during these
uncertain times to keep our citizens connected. And I'm really
grateful to have this opportunity. And I got to tell you, we
don't have to go very far to tell this story.
In fact, if we were to walk out of this building on
Constitution Avenue, you go a mile and a half up Massachusetts
Avenue, you would get to the Washington Convention Center. And
there you would find not out of town visitors but you would
find the Army Corps of Engineer, Medstar, the D.C. government,
and USTelecom member Smart City, working side-by-side in 12
hour shifts in harm's way to convert that convention center
into a world class emergency field hospital.
You know, Smart City teams are doing this exact same work
in 17 different convention centers across the country, with
another dozen or so teams on standby just in case their
communities need to ramp up at the last moment emergency
services quickly.
And here's the bottom line, these active teams are
operating at an 85 percent loss, and the standby teams are at a
total loss with no guarantee of cost recovery. I asked Smart
City Board Member Marty Rubin, who's also on our board of
directors, ``Why do you do it?'' And his answer was, ``There
was never any question. These are our communities.''
You know, this is the story of all our member companies at
USTelecom, whether it's AT&T's--just one instance $10 million
dollars Distant Learning and Family Connections Fund or Big
Bend Telephone, led by USTelecom Chair Rusty Moore in Alpine,
Texas, reallocating unused broadband resources that are fallow
right now in his local schools and redirecting them into the
homes of students and families in need to ensure that they can
continue to learn at home in West Texas. To Verizon's $55
million--so far--contribution to push back against the global
COVID-19 crisis. CenturyLink donating its time and equipment to
connect and wire the U.S. Navy's hospital ship MERCY in a mere
48 hours in its new home port of the Port of Los Angeles.
You know, our companies have always gone above and beyond
to serve our community, pledge or no pledge, and never do we
stand taller than in a time of crisis. And the same can be said
of our networks, you know, among the 10 largest countries in
the world the U.S. is the only nation that recorded no
substantial degradation in terms of speed last month in April,
unlike countries that took a more heavily regulated path to
broadband infrastructure, which has led to significant
underinvestment in their network's capacity and performance.
As the world shuts down, the U.S. Internet remains open.
We've demonstrated that Americans can count on their network if
they are connected to it. So where do we go from here to close
the digital divide? Decisively, we must pursue with tremendous
urgency, Mr. Chairman, a permanent fix to universal service,
one that puts the digital divide in the rear view of our Nation
once and for all. We need to evaluate carefully what the cost
would be the speeds, the capacity, and the timelines.
We also need to be crystal clear about the underlying
principles that will steer our public-private partnership
forward to get the job done. And I'm committing today that we
will work with you to do this and we're ready to start now.
USTelecom delivered to the FCC last year a blueprint for
broadband maps that can identify with pinpoint accuracy every
home and business that remains unserved in our Nation. Congress
green-lighted this approach and thank you for that. Now we need
it funded.
From there we get to work. We should rely on programs we
know have been stress tested, and not waste money or time on
unproven experiments. We should commit the resources required,
both private and public, and move forward with determination.
I'll conclude with the words of my Board Member Marty Rubin
at the beginning. There is no question what is the right thing
to do, let history look back on our service, yours as
lawmakers, and ours on the frontline of an essential industry
and say there was never any question that every American should
be connected. If not now, when? And if not us, who? Thank you.
[The prepared statement of Mr. Spalter follows:]
Prepared Statement of Jonathan Spalter, President and Chief Executive
Officer, USTelecom--The Broadband Association
Chairman Wicker, Ranking Member Cantwell, and distinguished Members
of the Committee, thank you for the opportunity to testify at this
timely and important hearing. My name is Jonathan Spalter, and I am the
President and CEO of USTelecom--The Broadband Association.
I want to start with a big thank you to each and every one of you
for your tireless work during this unprecedented time on behalf of your
constituents who are living through such uncertainty and disruption in
their day-to-day lives. And to those of you who have been personally
affected by COVID-19, I sincerely hope that all of our friends and
family return to good health in short order.
USTelecom's members include broadband providers, suppliers, and
technology innovators connecting our families, communities, and
enterprises to the future. Our diverse membership ranges from large
publicly traded global enterprises to local, Main Street companies and
cooperatives--all of whom have stepped-up and stood tall during this
emergency to ensure continued access to communications services for all
citizens regardless of where they live and work--urban, rural and
everywhere in between. I have never been more proud and humbled to
serve as the CEO of USTelecom.
This pandemic is unprecedented for broadband companies and their
customers in so many ways, in particular the increased and sustained
use of and reliance on residential broadband networks for virtually
every critical function, and also the severe economic impacts felt by
so many people and businesses affecting their ability to pay for
service. These realities have shined an even brighter light on what we
already knew--broadband connectivity is reshaping the delivery of 21st
century education, healthcare, access to government services,
entertainment, civic participation, and commerce. It has also shined a
light on the significant impact on those of our fellow citizens who
still are unable to access these critical networks--whether due to a
lack of availability or an inability to afford the service.
With these realities in mind, it is incumbent on all of us to meet
these challenges head on with immediate actions to address the near-
term impacts of the pandemic and to simultaneously set a bold course
toward connecting every home and business in America with high-speed
fiber broadband service--including providing the resources necessary to
meet that vision.
Before turning to what we should do, let me start by telling you
what our members are already doing to meet the broadband needs of the
communities and enterprises they serve. USTelecom's member companies
were among the first to commit to maintaining connectivity during this
time for customers faced with financial hardships. USTelecom endorsed
the FCC's Keep Americans Connected Pledge and our members are committed
to working with their customers going forward. As the first billing
cycle since the outbreak of COVID-19 comes to an end, many are starting
to see that doing the right thing (maintaining service, in some cases
without payment) is coming at a substantial cost. While their spirit
and their networks remain strong, these companies are comprised of
people, of your constituents, proud to serve--often in harm's way--on
the frontlines of our global battle against this crisis, and dedicated
to the communities, families, and enterprises they connect and serve.
That said, several in our industry are struggling with the same
financial challenges and uncertainities that many of our fellow
Americans are facing. Programs like the Paycheck Protection Program
have been helpful, but I encourage Congress to continue to look for
ways to both ensure customers can afford the broadband they need and
keep providers on sound financial footing as they continue to do
everything possible to keep our Nation connected.
To that end, we appreciate the leadership of Senator Klobuchar and
Senator Cramer for their focus on direct assistance to companies
requiring support as a result of the pandemic. We also appreciate the
consideration of proposals that would provide support to consumers
unable to pay for broadband as a result of the pandemic. USTelecom was
honored to join virtually every association from our sector in a recent
letter to the leadership of this Committee, including my colleagues at
the table today, calling on Congress to assist consumers and businesses
most impacted by the pandemic by providing significant funding.
Broadband providers are doing everything they possibly can on their own
initiative to help customers proactively through this uncertain time,
and keep them as customers for the long haul. At the same time, we are
encouraged to see serious proposals emerging in Congress on how best to
provide support to those consumers and companies in greatest need as a
result of the pandemic. We stand ready to work with you and other
stakeholders to develop the effective, achievable, and practical
mechanisms to do so.
Despite the challenges COVID-19 has presented for our citizens, our
workforce, and our companies, USTelecom members continue to rise to the
challenge, and are doing extraordinary things to meet the needs of
their communities. USTelecom member Smart City, based in Orlando,
Florida, continues to face unprecedented challenges as much of its
business is tied to connecting the devastated convention and
hospitality industries. In the first month of the pandemic, Smart City
lost over 75 percent of its revenues, and was forced to furlough much
of its workforce, reduce management salaries, and seek emergency credit
lines. Yet, in the face of adversity, and despite its mounting losses,
Smart City soldiers on, and continues to deploy network engineers and
specialists at 38 major convention centers across the country which
have been or may be transformed into hospitals, homeless shelters, and
COVID-19 testing centers. Just a few blocks away, at the Washington
Convention Center, four Smart City technicians as we speak are
deploying state-of-the-art broadband connectivity to support the U.S.
Army Corps of Engineers and the DC government for the emergency field
hospital it has now become. And at the San Diego Convention Center,
Smart City team members are providing connectivity for the 1100
neighbors in need in the homeless shelter it houses.
But Smart City is by no means alone among our Nation's broadband
providers in this collective and fierce commitment to keep our
citizens, students, our emergency responders, and our enterprises
connected through these anxious days.
BBT, a third-generation, family-owned business based in Alpine,
Texas, has worked to reallocate currently unused broadband resources at
the closed schools it serves to ensure students in need have the
connectivity required for online learning at home.
South Carolina-based Hargray is partnering with educators,
including Beaufort County Schools, to ensure students have the
necessary Internet connectivity to continue their studies during school
closings. The company launched programs to support remote learning for
students in grades K-12 and college with free Internet service to
households in its service area with students who do not already have a
Hargray Internet subscription.
To note just one of the company's many initiatives, Washington
State-based Rainer Connect collaborated with Tacoma Public Schools and
the Foundation for Tacoma Students to help get laptops and high-speed
Internet service into the homes of Tacoma students. With the help of
Rainier Connect, the partnership made free high-speed home Internet
service available for student households who currently do not have
access. These connections will be for up to one year at no cost to
those who receive them. They are prioritized for students who have the
most need, based on graduation requirements, advanced classes, and a
lack of existing connections at their residence.
Blackfoot Communications serves homes and businesses in eastern
Idaho and throughout Montana, which has the highest percentage of rural
schools in the United States. Blackfoot is making available free Wi-Fi
hotspots in key areas to help ensure all students are able to
participate in remote learning, download course materials, and stay on
top of their classwork.
From our local and regional providers to our national and global
technology leaders, USTelecom's members are contributing massively.
AT&T's $10 million Distance Learning & Family Connections Fund is
committing more than $500,000 to organizations focused on connecting
young people with meaningful mentor relationships--online. Verizon's
total COVID-19 crisis commitment now stands at over $55 million in
contributions and donations to nonprofits around the globe. And, in a
mere 48 hours, CenturyLink deployed 1,000 feet of fiber line to connect
the USNS Mercy hospital ship to a nearby network terminal, waiving all
installation fees and donating 12 months of free service.
These are but a few of the countless stories across the country of
USTelecom members serving and connecting their communities and their
country in a time of need. Though the tools and technologies USTelecom
members use to connect Americans have greatly changed since the
association's founding in 1897 as a business league of independent
rural telephone companies, this commitment to service and to community
has remained constant--in good times and bad, through wars,
depressions, and earlier public health emergencies. This commitment is
no less enduring today, in the broadband era. There are many more
examples of how USTelecom members are going above and beyond to support
their customers during this crisis at www.ustelecom.org.
The Internet has emerged as the central means of keeping Americans
connected during the COVID crisis and our Nation's broadband networks
remain strong. As the world has shut down around us, the Internet
remains open. This resiliency and openness is not an accident; it is
the direct result of our Nation's broadband providers investing between
$70 and $80 billion dollars annually to connect new communities,
upgrade infrastructure, and innovate in their networks. Broadband
providers made these investments as a direct result of smart bipartisan
policy decisions allowing companies to compete, invest, and innovate in
a lightly regulated marketplace. As a direct result, USTelecom members
had the incentive and flexibility to build, maintain, and enhance their
networks, which produced today's dynamic and secure networks that so
successfully and seamlessly have met the increased demand during this
crisis. While some unwisely have called for imposing utility-like
regulations on broadband networks, the success we have seen during the
COVID-19 pandemic in how the networks have adapted and are efficiently
supporting the sharply increasing traffic demands of our citizens
illustrates exactly why smart, forward-looking bipartisan policies made
today's connectivity possible.
We continue to closely monitor network traffic trends, and even as
traffic has at times soared more than 25 percent higher than pre-crisis
levels, the performance of our networks remains seamless for our
Nation's citizens. Indeed, according to one recent study, ``[o]f the
top 10 countries in the world by population, the U.S. is the only
[country] that recorded no download speed degradation on average in the
month of April.'' The same cannot be said for those countries which
took a different path toward more heavily regulating and underinvesting
in broadband networks. The essentiality of broadband service and the
performance of American broadband providers during this pandemic is
Exhibit A for a continuation of our smart, nimble, consumer-focused,
light-touch policy approach.
COVID-19 has removed any lingering doubts about the important role
broadband plays in today's society, but it also magnifies the need for
actions that make broadband accessible for all, including policies
designed to address increased adoption, affordability for low-income
households, and access to expanded opportunities for online education
and healthcare applications. We appreciate the $200 million Congress
set aside in the CARES Act for telehealth programs which, thanks to the
extraordinary efforts of the FCC, is already proving to be a vital
resource for many healthcare providers around the country. USTelecom is
also encouraged by the $13.5 billion in the CARES Act for the Education
Stabilization Fund, which schools can use to purchase technologies to
support online learning.
These are among several important initiatives to meet the immediate
challenge, but we must also use this opportunity to meet the long-term
connectivity needs of this country and to fully fund a bold, but
necessary and fully achievable vision. One of the undeniable lessons
from COVID-19 is that the United States needs to once and for all roll
up its sleeves and provide the funding necessary for ubiquitous,
futureproof broadband. Our goal must be 100 percent connectivity for
all Americans. We've pursued this public policy goal for some time, but
incremental approaches with limited budgets, combined with rapid
redefinitions of how we use and integrate broadband into our lives has
left too many Americans still without the access they need. The
economic challenges of this goal are well documented and connecting the
last one to two percent of Americans is extremely expensive. Different
entities and even Congress have identified various funding targets for
ubiquitous fiber broadband, some of which exceed $100 billion. This is
a significant amount of money, but if that is what it takes to get the
job done, then let's get it done.
To achieve this, Congress should adopt a legislative framework that
capitalizes on the work, preparation, and foresight of the government
agencies it has already charged with meeting our Nation's broadband
needs. The best programs are the ones that were implemented
deliberately, well thought out with both government and industry input,
and that can provide nearly immediate results. Rather than hastily
standing-up unproven new programs in the face of an emergency, which in
the recent past has shown to produce mixed results, duplication, and
financial inefficiencies at best, Congress should leverage existing
broadband programs in place today at the FCC and the Rural Utilities
Service (RUS). Specifically, Congress should provide substantial
additional funding to the FCC that it can allocate toward programs such
as the Rural Digital Opportunity Fund (RDOF) which is set to launch
later this year, as well as the Alternative Connect America Cost Model
(ACAM) at levels that will achieve 100 percent fiber broadband
connectivity nationwide.
As we work together to emerge from our current emergency and
prepare all our citizens to meet the challenges of any similar events
in the future, investing in our Nation's broadband infrastructure at
this moment is critically important, especially as doing so will only
get more expensive in the future.
Together, we therefore have the opportunity to move decisively to
put our Nation's digital divide finally and forever in our Nation's
rearview mirror.
If not now, then when?
For our part, USTelecom commits to work in close partnership with
Congress to do the critical work of evaluating what will be the
necessary levels of support needed (in addition to substantial
continued private investment) to realize this vision, at what speeds,
and in which timeframe. We also commit to bedrock principles that must
guide our work, including ensuring the security and resiliency of our
networks; the need for supportive, flexible, and forward-looking
policies to promote continued investment in the ever-evolving capacity,
speeds, and architectures of our networks; and accelerating and
sustaining critical public-private technology partnerships and Federal
programs fundamental to finishing the job of connecting all of our
citizens in need to affordable and accessible Internet service.
One hurdle in this challenge is knowing where to target these
resources. While we are working toward implementing effective broadband
funding mechanisms we can simultaneously develop a comprehensive
broadband map showing precisely where broadband service is available
and, most importantly, where it is not. Congress wisely passed the
Broadband DATA Act earlier this year to do just that--but these maps
have not yet been funded. Any Congressional broadband initiative to
achieve 100 percent connectivity must start with funding the maps. We
have to know where to target broadband funding in order to ensure no
home is left behind.
As we look to meet the challenges and opportunities ahead together,
we know there is nothing we can do without the dedicated women and men
who are working tirelessly during this crisis to keep our networks
functioning. Many of our employees in the field remain in dire need of
personal protective equipment as they work on repairs and provide
direct, often on-site assistance to customers. As its chair, USTelecom
has worked through the Communications Sector Coordinating Council with
agencies including DHS and FEMA to secure and distribute approximately
1 million cotton masks to broadband providers around the country.
However, more and better equipment is needed. Congress should consider
it a priority to provide additional protective equipment for these
essential workers.
Finally, on behalf of USTelecom's members and their employees, I
want to acknowledge the important work of our colleagues in Congress,
your staff members, and numerous Federal agencies that continue to
press ahead with their important work. In particular, USTelecom
appreciates the work of the FCC's staff who are keeping the pedal to
the metal on important communications policy issues while
simultaneously addressing COVID-19-related challenges. We have
appreciated the FCC's foresight and willingness in providing extensions
and waivers of various rules and to consider broader near-term policy
requests. Local and tribal government efforts to assist, and not delay,
deployment in these challenging times is also appreciated. For example,
the Navajo Nation, which like many communities in America has been
seriously impacted by COVID-19, worked with broadband provider Frontier
Communications to expedite permitting and rights-of-way for deployment.
Frontier is now laying fiber for new and improved broadband connections
across the Nation to help connect residents and businesses to
telemedicine, education, and economic opportunities.
To that end we urge state, local, and tribal governments to do the
same by expeditiously reviewing pending requests for regulatory
approval or relief to facilitate continued operations and investment,
including, for example, pending change-in-ownership approval requests,
permitting, tower siting and rights-of-way applications, and requests
for relief of certain reporting and other administrative requirements.
We encourage Congress' support of the same.
With your help, we can close the digital divide. With your help we
can ensure all Americans have access to the connectivity that will open
doors to their education, their healthcare, and their future. We must
work together to ensure--in times both of pandemics and prosperity--
that all Americans have access to the greatest resource of modern time,
the internet.
Thank you for inviting me today. On behalf of the entire
connectivity industry and our courageous and committed workforce, we
appreciate all that you are doing. I welcome any questions.
The Chairman. Thank you all. And we have votes beginning at
noon. It's now at 10:36. Let's agree we're going to strictly
enforce the 5-minute rule and that doesn't mean getting all of
your questions in in 5 minutes. It's the question and answer in
5 minutes. And I'll be using the gavel to try to get us all a
chance to do that.
Mr. Spalter, you were talking about the Broadband DATA Act
just now and you said it needs to be funded. How much is that
going to cost in your estimation? And how important is that?
Mr. Spalter. Well, thank you for the question. Also, thank
you again, for your support of that very important legislation.
We're grateful for it.
We expect that--we undertook pilot studies and we've been
able to model that. We think that we can actually scale and get
the national maps done at a cost of about $25 million, give or
take, with annual plus-ups to maintain the mapping exercises
going forward.
We think we can also do it, now that we've actually
undertook that important spadework in modeling these maps, and
we think we can actually get and deploy nationally these maps
in a matter of months.
The Chairman. OK. I sure hope so. Let's move on. And I
began, in my testimony, talking about the fact that we've seen
Internet usage increase by as much as 47 percent since the
pandemic began. I made the statement that our networks are
performing and responding well to this dramatic increase in
usage. Let's just ask all four of you to comment on this. Have
I got it right? And if we're doing better, why is that?
Ms. Bloomfield. I'll jump in Mr. Chairman.
The Chairman. OK, good. We'll do you and then we'll go back
to Mr. Berry and then just around the panel.
Ms. Bloomfield. Perfect. And you know, we have definitely
seen an increase in the utilization of our networks up to about
40 percent. The interesting thing is we focus so much on
download speeds and what we're seeing is that the upload speeds
are also--that need for that upload is increasing as well.
Where folks--particularly because we're using so much, you
know, two-way communications.
So, you know, I think that it's going to be important to
continue to build these future-proof networks. That is why I
think these networks, even though we're seeing the length of
the time of the network usage expand, to fill the day because
people are working from home and students are taking their
classes from home.
So you're not seeing that peak time when people are
streaming videos at night to relax. You're just seeing a longer
heavier use of that network. But again, it's both upload and
download speeds and that is why we are so bullish about the
fact that you all have supported fiber investment because that
is allowing these networks to sustain that excess capacity.
The Chairman. Are we doing well on the on the uploads and
the downloads?
Ms. Bloomfield. That's the beauty of fiber.
The Chairman. Mr. Berry.
Mr. Berry. Thank you, Mr. Chairman.
The Chairman. And if you could get closer to the
microphone.
Mr. Berry. OK, is that is that good?
The Chairman. Good.
Mr. Berry. All right, thank you. You know, wireless is a
little different in the sense that our, our networks are
resilient, because many of them are self-contained especially
in the rural areas. They build a network so that it'd be the
network that they would like to utilize.
They build in the possibility of innovation. They build in
the possibility of competing with other carriers in the
network. I think you're seeing the United States, fiber and
wireless, they build to connect with other networks that have
very high quality of service standards, so that you know what
you're getting when you're connecting with the network. And
there is some resiliency in multiple access to the network.
So, we not only have a wireline capability, we have
wireless, fixed wireless, we have backhaul that can be provided
by cable companies as well as wireline and many of the wireless
companies using microwaves. So we have a variety of
opportunities to modify and provide diversity in the network
itself.
And then the one of the things that Shirley mentioned, the
entrepreneurial spirit. There's this idea that they can build a
better network and attract more customers and keep them because
they provide better service. And that's what the smaller
carriers, they have been, they've been doing it for 25, 30
years.
The Chairman. Good. We've got a minute now to squeeze Mr.
Spalter and Mr. Kimmelman in on this topic. Mr. Spalter?
Mr. Spalter. Sure. I'll be very quick. We are monitoring
very carefully network performance and network capacity. We
publish these data on our website.
The Chairman. Are we doing better than other countries?
Mr. Spalter. We are. In fact----
The Chairman. And why is that?
Mr. Spalter. One of the direct reasons, sir, is because we
have made the ability to have a policy framework that allows
and incentivize network investment by our sector upwards of $70
billion annually. This light touch, flexible, forward looking
approach has given us the ability to keep a new normal of
performance during times of surge and in an emergency. And it's
the key ingredient that's going to keep this success going.
The Chairman. OK, Mr. Kimmelman.
Mr. Kimmelman. Thank you, Mr. Chairman. I certainly hope
these companies are doing that kind of performance and--or that
focus, but just ask your constituents, just the people in rural
America have all kinds of problems getting connected and
keeping speeds up. People in inner cities have some of the same
problems.
I mean, we're hearing it. I'd say, you know, your
constituents can better answer that one. And I really
appreciate you staying on the companies and the FCC to get the
maps done, and get the service improved.
There are a lot of gaps and holes and I hope the companies
are on it.
The Chairman. OK, thank you very much. Senator Cantwell.
Senator Cantwell. Thank you. Mr. Kimmelman, we're hearing
you loud and clear, by the way.
I wanted to ask you, your testimony, I think you have a
longer version of it that cited many issues, but particularly
you're calling for a comprehensive legislative package that
goes beyond short-term measures, and I couldn't agree with you
more. I think the witnesses have outlined why this is so
critical. The question is, what are the solutions?
So, you mentioned a couple of things in your testimony;
more competition, some reliance on municipal entities. You
bring up both something creative that West Virginia did in
working with their communities. And then obviously, this
horrific example that you have of Yakima County, which is one
of the hardest hit COVID spots. I think it is the most hard-hit
West Coast county, Yakima, Washington, where 30 percent of
students do not have access to Internet services.
So what one or two things should we be doing now to try to
address this in a more comprehensive way? And I'm intrigued by
your statement about the press and the delivery of information,
too.
You know, we have been pushing to have the next PPP
coverage, make sure that broadcasters and news entities also
can apply because they--we've had--we've lost tens of
thousands, if not more jobs from broadcasters, and I want the
local information to be there.
So if you have any other ideas what we should be doing
there, I'd like to hear from them. But what one or two things
should we be doing on broadband now to be more comprehensive
than the current programs we have?
Mr. Kimmelman. Well, you just have to, first of all, expand
Lifeline and E-Rate, money to telehealth, you're already taking
some of these initiatives. That's the stop gap to get us over.
We need to update the Universal Service Fund. We need broader
contributions from the broader players in the broadband service
ecosystem. It's going to take a lot more money.
The infrastructure is expensive. That's why we call for
sharing. You need oversight and the competition is critical
because we know we're not going to be regulating every jot and
tittle here. So there's a variety of ways to let communities
participate more, open the door to more competition, don't let
states block competition in broadband.
And on the democracy front, what we've learned is that as
we rely on broadband, the way in which we get that critical
local news and information from broadcasters and newspapers
increasingly depends on Internet delivery. And in the digital
marketplace, we're seeing the flow of advertising revenue
diminish, most direct--dramatically for newspapers. It will
come from broadcasting as well. We need a new business model
there.
And I believe that what we're seeing with the explosion of
the Internet is with all the good information, there's a lot of
pollution. And that bad information, misinformation, falsehood
about the virus, and more broadly, is dangerous to our
democracy.
So I believe you need a specialized fund, like the
Superfund was for toxic waste cleanup. Let's get information
cleaned up. And let's get it resourced to support news
gathering, fact checking, helping people navigate their way to
get around disinformation and falsehood.
So I call it really a comprehensive program. It's time to
update the law and address all of this together because all of
these issues are intertwined.
Senator Cantwell. Thank you. Thank you, Mr. Chairman.
The Chairman. Thank you Senator Cantwell. Senator Blunt.
STATEMENT OF HON. ROY BLUNT,
U.S. SENATOR FROM MISSOURI
Senator Blunt. Thank you, Chairman, great to be with you
and be part of this hearing. And so, one of the hearings we've
done in the last few days using a technology that we hadn't
used before, where some of us are in the hearing room and some
of us are not. Some of the witnesses are in the hearing room,
others are somewhere else.
I think what we've seen in the last several weeks is a huge
leap forward in people's not only willingness to use
technology, but also a greater understanding of our dependence
on that technology. And really, I'm going to try to focus on a
couple of questions here quickly.
One is what if you don't have even the possibility of
access to broadband like too many rural Missourians and rural
Americans don't have. And the other would be what if you have
access, but you can't afford it?
So let's go first to the first question on access, I think
I'll ask Ms. Bloomfield, and anybody that wants to answer this
question for the record certainly could. Would there be merit
to the Congress beginning to set some deadlines of our own on
how quickly of these auctions and distributions need to occur?
I know there's some discussion now of moving the proposed
September deadline forward, but even if that was, if all we did
was make the September deadline mandatory, would it be helpful
or not to have a more clear understanding of when these things
were going to happen?
Ms. Bloomfield. Thank you, Senator. Actually, I think the
FCC has done a very good job as they get prepared for the Rural
Digital Opportunity Fund, which is the auction that I believe
you are referring to, which will be the next tranche of really
figuring out where those unserved Americans are and committing
$16 billion over the next 10 years to connect those folks.
I think, I actually think they're on track to begin the
process in October, which I think given that we really want to
make sure we know where those who are served and those who are
underserved and those who are served exist, I think the ability
to start some of the mapping initiatives that hopefully can
also get support. I think this puts us in a good timeframe.
I think the thing that I would be loath to see is that kind
of effort delayed. I think we're on track. I think we need to
start moving quickly. And I think we need to unify both the
RDOF program as well as the Reconnect program working out of
USDA. I think in concert, those programs can actually do some
significant good.
Senator Blunt. Well, I hope that's right. I believe that's
right. And I think all of us believe that we can't continue to
delay much longer. I think the FCC has moved forward in good
faith here. But we might at some point decide that there have
to be even more parameters on when those things have to occur.
On the other topic of access, but no affordability. Mr.
Berry, would you talk a little bit about what we might do to
help people get access to this effort that could be
telemedicine? It certainly has been tele-education for most
Americans who are in elementary and secondary school and even
college for the last several months.
So could we be doing more to help people afford to be part
of that process?
Mr. Berry. Thank you, Senator. Yes, I truly believe so. I
think the E-Rate program that Senator Cantwell mentioned, I
think Senator Markey has a bill that would actually encourage
filling some of those gaps on the educational side. And we need
a rollout of broadband services that also include fiber but
also wireless. And many times wireless, the wireless connection
may be the fastest opportunity to connect, and especially in
those areas that are not connected.
But I can't say enough that we have to find where those
places are. You need the Broadband DATA Act that you passed in
this Committee, and we need to get on with where are those
holes? Where are those needs? And then let's find the money to
fill those gaps.
And I would suggest that Gene Kimmelman is absolutely
right. We need contribution reform under the USF program, you
can no longer sustain enhanced spending on broadband activities
if you're basing that on a revenue from a long-distance
wireline declining fund.
When the cost gets up to 25 percent of your bill, because
you're making contributions to USF, you're pushing the envelope
and you're not getting any more money to do what everyone in
this room has said, that is we need more broadband in those
areas that are either underserved or not connected.
And I think we need to find those places first. Thank
goodness this Committee did that. And now we need to get on
with the business of what is the resource requirement to
actually get it done.
The Chairman. Thank you.
Senator Blunt. Thank you Mr. Chairman.
The Chairman. Well done, Senator Blunt. And now we move to
Senator Klobuchar. You are recognized.
STATEMENT OF HON. AMY KLOBUCHAR,
U.S. SENATOR FROM MINNESOTA
Senator Klobuchar. Thank you very much Mr. Chairman. Thank
you to you and Senator Cantwell. And I wanted to note, thank
you to Senator Blunt for the work we've done together to make
these remote hearings a reality through the Rules Committee.
I wanted to start with the disparity that we're seeing. I
thought Senator Cantwell did such a great job of going through
those statistics in her own state, a state that's home to so
many great technology companies and you see this not just in
Washington State, but all over the country where kids that are
now being asked to learn from home and parents who are asked to
teach them, the disparity when they don't even have access to
internet.
We have the story out of Minnesota where one of our tribal
communities, when someone got Internet there in one household
High Speed was able to pay for it. All the kids gathered in the
front yard to do their homework. But we just can't have that
continue into the summer and into the rest of the year.
So my first question of you, Ms. Bloomfield, as you
mentioned, the bill that I have with Senator Cramer, we now
have 28 cosponsors, including eight members of the Committee, a
number of Republicans and Democrats on this bill, which allows
our smaller providers to keep providing service because the
last thing we want to do in rural areas right now is to cutoff
service.
Could you briefly describe why that is so important?
Ms. Bloomfield. Absolutely. And thanks for your leadership,
Senator Klobuchar on this legislation. And I'm proud to say
we're now up to 30 members of the Senate and nine on the
Committee.
This bill is really important because what it does is it
basically allows the spirit of the pledge at the FCC to
continue which is that people will not be cutoff of critical
service right now because of economic hardship due to COVID-19
and students will be connected.
So what the bill does is basically allows companies to make
that delta up between what customers cannot afford to pay
anymore and to continue to keep that service up at that level
or even a higher level. So it is--you think about it as
essential services, I think about the analogies of the grocery
store or newspapers. They're essential right now, right?
But you can't expect the doors of those stores to be open
24/7, and people take things off the shelf and expect them to
continue to operate. You've got to be able to continue to
support the support of the network. The ability for the
technicians to connect the schoolchildren, to upgrade the
speeds for those who are now working from home.
So the bill actually helps create that--builds that delta
in what people cannot afford to pay any longer. That in
conjunction potentially with the Lifeline program could be very
powerful at this point in time. But that support is so
essential if we're really going to say that broadband
connectivity is what we need right now. The support through
that legislation is going to be absolutely necessary to ensure
these network providers can continue to operate and keep people
connected.
Senator Klobuchar. Thank you very much.
Mr. Kimmelman, it's good to see you out of the antitrust
setting here today. And I want to talk to you about something
we haven't focused as much on and that is all the people in
assisted living, who are no longer able to see their loved
ones, except virtually and it's a very, very lonely existence.
And of course, also, we all know, also a scary existence right
now and we sadly lost so many people who are seniors.
In your testimony, you highlight how many older Americans
can't connect with their friends and their families. Senators
Casey and Capito and I are leading the Access Act to expand
telehealth to facilitate virtual visits. Could you talk briefly
about this?
Mr. Kimmelman. Thank you. We also support your other bill
with Senator Cramer. We think it's essential for the companies
to be there in order for consumers to even have the access to
broadband.
So obviously, this crisis has shown us that we can't
communicate, we can't keep up with our families and those
particularly who has special needs like those in assisted
living. We're fully dependent on a high speed Internet
connection to just interact with them to just get some sense of
how their life is going, what they need from us, what we can do
for them to keep people working their way through this, and
trying to deal with the struggles and the dangers of this
pandemic.
So it's just become crystal clear that telehealth is
fundamental to healthcare delivery, and we need to build that
into the system.
Senator Klobuchar. Thank you. And I can ask you this on the
record, but as you know, we're working on the Lifeline program
with, as you noted, only 40 percent of households eligible for
Lifeline have actually subscribed. And that's something that we
want to continue to focus on.
And then finally, just this week, we put out the
Connectivity for Higher Education Students in Need Act with
Senators Hirono, Peters, and Rosen of the Committee, to create
a fund to help some of our college students who are having the
same problem that high school and elementary have.
And as we know, a lot of our students of color are having
incredible problems accessing and here they are worked so hard
to get into college and now they're unable to compete and to be
part of that college experience if they don't have the
internet. Ten seconds on that because my time is up.
Mr. Kimmelman. Thank you, Senator. We appreciate your
leadership. These are all critical needs. They're intertwined.
You just remind me that the first Lifeline bill I worked on was
sponsored by Senator Heinz a long, long time ago. I hope we can
continue to make sure affordability is there for everyone.
Senator Klobuchar. All right, thank you very much. Thank
you Mr. Chairman.
The Chairman. And Senator Klobuchar and Senator Blunt, I do
want to thank you for your leadership on the Rules Committee in
helping to make the technology possible and smooth the way for
really a different day and approach in being able to hold these
hearings remotely.
Senator Fischer, you are recognized.
STATEMENT OF HON. DEB FISCHER,
U.S. SENATOR FROM NEBRASKA
Senator Fischer. Thank you, Mr. Chairman. We've heard from
some of my other colleagues about really the challenges that
our students are facing right now when it comes to trying to
work at home and being dependent upon their digital
connections. And for those who don't have that access, it is
not just the effects of a pandemic that is stressing but also
the ripple effect out and how this is affecting their lives not
having that.
We all know that expanding broadband takes time and it
takes investment. But I would like to begin with you, Mr.
Spalter, and ask if you have any ideas on any kind of short-
term strategies that we can look at for this connectivity that
can support the students that are home right now, and trying to
maintain and grow in a different environment with regard to
their education.
Mr. Spalter. Well, thank you for that question, Senator.
And I think that we are already seeing extraordinary voluntary
steps that are being taken by providers: large, regional, and
local; including right in your state companies like Great
Plains that have been extending Wi-Fi hotspots and service
upgrades and installations to families that have students in
need to move forward, but it's not just them. It's Hamilton and
Sawtown and CenturyLink and Frontier and others that are doing
exactly this kind of work in your state and across the country.
I wrote a letter to the FCC commissioners at the very
outset of this crisis, saying we needed to move very rapidly to
establish emergency funding programs akin to Lifeline, akin to
E-Rate, to be able to accelerate our ability to get broadband
service to our communities that are in need, particularly our
learners in a home environment.
And we have to be innovative not only on the government
side, but also continue the innovation that our companies are
showing on the ground supporting their communities and their
students.
Senator Fischer. Ms. Bloomfield, when we look at
partnerships, we always talk about public-private partnerships.
This is such an important move for the days that we're looking
at right now, having schools being able to partner--not just
with other government entities, not just looking for funding in
trying to move forward but to be able to partner with small
companies. Mr. Spalter mentioned so many that we have in
Nebraska that have stepped forward.
What else can we do to encourage that kind of partnership
to encourage interested parties to be able to reach out and,
honestly, just move us forward at a quicker pace? You know,
I've mentioned how long it takes to get anything build out when
it comes to infrastructure, that really applies to broadband.
So how are we going to do this in a timely manner and be ready
for not just the far distant future, but how are we going to be
ready in another month or two?
Ms. Bloomfield. And not only that, Senator, but I think we
start to look and say what's going to happen in the fall? You
know, we're hitting the end of the school year, but we need to
be ready that this is not just a 2-month blip, that we're going
to have to be ready to continue this education at home. And I
think your point on partnerships is so important.
One of the things that, you know, my companies have the
advantage and that they're community-based, but I still think
everybody needs that--a little bit of a push to say, talk to
your local health clinic, talk to your school superintendents.
When we saw folks kick into action really fast, it was
those that had those really tight relationships that knew they
could go to the administrator and say: Who in your school
district doesn't have broadband? Who do we need to reach out
to, to connect? Who do we need to bring broadband in a box to
their front door to get them up and running?
And I would say the same with telehealth, right? I think
right now, we're not seeing a lot of that money from the FCC
going to small clinics. But let's get those critical
conversations going in these communities. They need that
connectivity just as much as an urban area does. And getting
the carriers and getting the public officials having those
conversations and maybe even, you know, having folks like you
go back home and facilitate some of those will help kick some
of that off.
Senator Fischer. Thank you very much. Thank you, Mr.
Chairman.
Mr. Berry. If I may, Senator Fischer. One of the things
that is not normally known is that there are impediments in the
programs that sometimes keep carriers from actually reaching
out and doing that.
I mean, the FCC was pretty good at lifting some of the
requirements for donations. We have carriers that have given
them Wi-Fi----
Senator Fischer. Great.
Mr. Berry.--MiFi slots, and tablets to members, I mean to
children that they couldn't have given before and that's been
very much appreciated, and it's maybe it's something we ought
to think about going forward.
Senator Fischer. Thank you. Thank you Mr. Berry. We can
talk later about that, my time has expired. Thank you.
The Chairman. Thank you very much. I'm told that Senator
Udall is next. Tom, are you there?
STATEMENT OF HON. TOM UDALL,
U.S. SENATOR FROM NEW MEXICO
Senator Udall. Thank you, Chairman Wicker and Ranking
Member Cantwell. It?s great to be here with you today.
Today's hearing is titled, ``The state of broadband amid
the COVID-19 pandemic.'' The state of broadband throughout the
country depends on where you live. If you're located in Indian
Country, the state of broadband is unacceptable and I'm glad
that Senator Klobuchar raised this issue as far as the
Minnesota tribes and tribes across the Nation.
Prior to COVID-19, tribal communities were significantly
behind much of the Nation in terms of access to affordable
broadband service. Sadly, the pandemic has only exacerbated
this. While tribal communities grapple with COVID-19 response,
they must simultaneously adjust to an increasingly broadband
reliant society. Now more than ever, broadband service is
critical to telemedicine, to online education, and to
teleworking.
My bill, The Bridging the Tribal Digital Divide Act sought
to update existing authorities to rapidly address this
inequity. One provision of my bill created a tribal set aside
under the Universal Service Fund, similar to what the FCC did
under the Tribal Mobility Fund.
This is a question to all the panelists here, what should
Congress and the FCC do in order to bridge the tribal digital
divide? And do you support further set asides under the
Universal Service Fund for tribal communities?
Mr. Spalter. Let me begin, Senator, it's good to see you
again, even if virtually. I would be very happy to take a very
close look at the Tribal Digital Divide Act that you and
Senators Cantwell and Gardner have put forward.
I can tell you that our industry is doing its best to work
closely and in close coordination with the Native American
Community and is committed to continue to work closely with
them. I know that Senator Cantwell had worked with CenturyLink
to identify for just for example, Neah Bay on the Olympic
Peninsula occupied by the Makah tribe there and a Coast Guard
Station that is very much in need of broadband service. And so,
altered their own CAF build-out plans to ensure service was
available in the Bay in Washington.
Recently, then the Navajo Nation leadership worked to
expedite permitting and rights of way issues that were impeding
the speedy delivery of broadband to Navajo lands in Arizona,
Utah, and New Mexico. Frontier Communications is working with
them getting this permitting, streamlining done and now is able
to actually deliver broadband to those communities that are
being hit most hard by COVID-19.
There's a number of steps and there's a number of points of
light ahead and I really look forward to evaluating your
legislation on the days ahead.
Senator Udall. Thank you.
Ms. Bloomfield. And Senator, I would just say obviously,
tribal lands have unique challenges. We would also be really
interested in your legislation, we have a number of tribal
communication companies. And I would go back to the points that
has been made about contribution reform being so important
because there's so many different needs that we have to use
that support in ways to bridge some of these divides.
The other thing I would end with is take a look at what
Sacred Wind is doing in your state. They're doing amazing
things. They are bringing literally remote broadband access to
the folks on the reservation right now and doing some amazing
things in really innovative ways and I'm really proud of the
work that they're doing.
Mr. Berry. And same here, Senator, I think the tribal lands
have long been overlooked. We have several members that
actually service tribal lands. A good example is ATNI, in New
Mexico and Arizona, applied for the STAs, the Special Temporary
Authority permits to increase access to spectrum and they were
able to turn up 54 sites doubling capacity, literally in a
week's time--five to 6 days, in the very tribal lands that, you
know, that we care so much about, about serving more.
And I think some of those lessons that we're learning now,
in spectrum disaggregation and also spectrum partitioning,
should be explored as we move from relief to a more normal
process. So, we would greatly appreciate the opportunity to
work with you on your legislation. I think it's a very much
needed initiative.
Senator Udall. Thank you.
Mr. Kimmelman. Senator Udall, we fully support your
legislation. We think that it's critical. We appreciate your
leadership along with Senator Cantwell?s in highlighting this
important inequity. And I believe we should immediately be
pushing the FCC to use its Lifeline program and E-Rate program
to make more resources available to tribal lands.
Senator Udall. Thank you. I yield back Mr. Chairman.
STATEMENT OF HON. JOHN THUNE,
U.S. SENATOR FROM SOUTH DAKOTA
Senator Thune [presiding]. Thank you. We've seen as we've
noted earlier now more than ever, as we rely on technology to
do our jobs, and stay connected to our families and friends.
Just the importance of reliable Internet connectivity and
ensuring that all parts of the country have reliable access to
broadband services is critical.
Without access to these services, we wouldn't have students
continuing their education through distance learning. Many
parts of the country's workforce wouldn't be able to telework
and we wouldn't be able to provide essential telehealth
services to many individuals.
Throughout the COVID-19 pandemic, I've been encouraged by
the performance of both mobile and fixed broadband networks in
the United States. Carriers by and large are meeting consumers'
demands and even with the unprecedented amount of traffic on
our communications networks, they have stepped up to keep our
country connected. So we thank you for that.
This is much different from what we are seeing in other
parts of the world. Take for example, Europe, which has pursued
a more heavy-handed regulatory approach to broadband services.
This has resulted in far less investment in communications
network expansion. And now today we're seeing their network
struggle to keep up with the increased demands.
Because of the light touch approach to broadband regulation
by the Federal Government of the United States, we've seen
access to these critical services expand significantly,
including to some of the most rural areas of the country. And
if we want the Internet to continue to thrive and serve as an
engine for economic innovation and advancement, we should
ensure that our policies continue to encourage more investment
by the private sector in our communications networks.
Mr. Spalter, could you just talk about what impact the
current U.S. broadband regulatory climate has had on broadband
investment, especially in rural areas? And would you expect the
same level of investment in the broadband sector if it was more
heavily regulated?
Mr. Spalter. I think that the extraordinary performance
that we're seeing in our networks today and the ability to have
expanded broadband access, albeit still work to be done, is a
direct result and is no accident--to exactly that light touch
flexible, forward looking, and I must stress this bipartisan
approach that has been the hallmark of American innovation
policy for fully a generation.
The reason that American broadband companies can invest
upwards of $70 billion annually in our Nation's infrastructure
to bring broadband, best in the world broadband, to our
citizens is directly related to that policy framework. If we
want to continue the runway for this kind of progress as we
transit to new generations of service, and to fundamentally do
the important work of closing the digital divide once and for
all, that framework is a critical input and without it, we are
going to regress, not progress.
Senator Thune. Mr. Berry, you referenced that in your
testimony as well. Could you expand on those regulatory burdens
and how they will continue to affect carriers once the pandemic
is over, especially as we think about transitioning to 5G
technologies?
Mr. Berry. Thank you, Senator. Your Streamline Cell Siting
Act is something we very much support. We appreciate the
effort, you and Senator Schatz have been stellar in your effort
on that. I think that is going to help us advance 5G, not only
4G LTE, VoLTE, and 5G, as we move forward.
We're seeing a lot of pent up need for licensing and
permitting, because, you know, the local, county, and state
governments that approve the permits are sheltering in place
also. So I think we're going to see an opportunity right after
the COVID-19 pandemic crisis to have a new initiative in
building out rural broadband, especially in the rural areas
where you need to approve sites and especially on Federal
lands. So, thank you for that legislative initiative.
Senator Thune. Thank you. Ms. Bloomfield, it's clear that
this pandemic has highlighted the importance of reliable
broadband services, and I know you've spoken I think to this
already, but what steps should Congress take to ensure that
truly unserved areas are getting access to these services?
Ms. Bloomfield. Well, thank you very much, Senator. I think
you've also taken a huge step by initiating some mapping
initiatives. So again, we can kind of do it right, do it smart.
As we've talked about with this panel today, broadband
deployment is not a cheap proposition, but we know how critical
it is and I think we've seen over the past 2 months that it's
more critical than we even knew.
So the key is to do it, right. The key is to make the best
use of those resources to take programs that you've got, like
the upcoming RDOF auction at the FCC to take the Reconnect
support from USDA. How do you marry those programs together?
And then how do you also interject potentially what state
initiatives might be, so that you are getting the best bang for
your buck and you're reaching the most Americans and you're
making sure that we're not doing this again in another five, 10
years.
Senator Thune. And very quickly, as a follow up to that to
Mr. Berry because we did pass--and Ms. Bloomfield referenced
the Broadband DATA Act, which is legislation aimed at improving
the mapping process at the FCC.
How important is it that we get the data right as we deploy
new broadband networks?
Mr. Berry. I think it's absolutely critical, Senator. If
you go back a decade when we did the first broadband map, and
then the stimulus programs thereafter, it was a shot in the
dark. We spent billions of dollars not knowing where the money
should actually go.
We have an opportunity a decade later, through the
legislation that this Committee passed to get it right. And I
think it's the old saying measure twice, cut once. Well, I
think if you only have $9 billion over 10 years for a mobile
product, and you have about three times that on a wireline
product, you've got to get it right the first time. And I would
hate to think that we're going to overlook those areas that
could and should and very well need to be connected because we
don't know where they are.
It just boggles my mind that we can't actually focus our
resources in the areas that are in most need.
Senator Thune. Thank you.
The Chairman. I hope everyone is listening there Mr. Berry.
Senator Tester, are you with us?
STATEMENT OF HON. JON TESTER,
U.S. SENATOR FROM MONTANA
Senator Tester. Yes. Well, thank you, Mr. Chairman. I want
to thank you and the Ranking Member and the folks who testified
today and I kind of want follow up where we just left off.
It actually blows my mind also, because I'm in one of those
areas where we do have pretty decent internet. In fact, it's
pretty damned good. The problem is, is this thing right here
[indicating his cellphone]. It works only if you hold it to
your mouth in a certain position and it drives me a little
crazy.
So I want to--mapping has been talked about a couple times
here. And I guess I'm going to start I could direct this to
anybody, but I'm going to direct it to you Shirley Bloomfield.
Can we build out in the unserved areas without a good
mapping program?
Ms. Bloomfield. So Senator----
Senator Tester. Is that even possible?
Ms. Bloomfield. First of all, I'm hoping one of my members
serves you, but I believe I checked after the last hearing to
make sure you were served by a community-based provider there
in Montana.
Senator Tester. Yes, they do.
Ms. Bloomfield. Yep, mapping is really important. Mapping
is critical. We need to know what we need to know.
The other part of that component I would also add is the
challenge process. So part of it is you've got the map and
you've got people putting in data, you've got people self-
certifying, the other part of that is the ability--and this is
one thing that I think RUS does extremely well, is before they
put money into the ground, if it's contested, they go out and
they check and they literally do speed checks and they say, you
know, if you said this is what you're going to get, this is
what I'm getting out here in the field.
I think those two things go hand-in-hand. Let's get better
data. Let's compile it. Let's figure out what we need to know
and where we need to build, but at the same time let's make
sure we're also able to challenge before we put money in the
ground.
Senator Tester. Right on. So just for the record, I think
one of your members does serve me--the internet, which isn't
too bad.
Ms. Bloomfield. You said it was really good actually.
Senator Tester. Verizon claims that this works on my place.
And it like I said, it depends on what corner of the house
you're standing in as to whether it works.
So getting back to the point Shirley, on the maps--and
anybody else can answer this, too. The FCC, unless they've
changed their position have said, ``we're just going to start
building out because we can't get the information on the maps
quicker.''
Ms. Bloomfield. I would actually jump in and let somebody
else answer as well. But the beauty of the RDOF is they're
going to start with the completely unserved. So I think that
allows us to keep the process moving, but at the same time
starting off where you know you've got no service. So I think
that's actually a wise course of action.
Mr. Berry. Senator, let me address that just a little. I
think we can walk and chew chewing gum at the same time. I
think we can identify where the holes are by gathering the
data. I mean, Chairman Pai testified in the Appropriations
Committee about three and a half months ago. And he said along
with what Mr. Spalter said, that it's a matter of months to get
the data, not years.
And they produced what I call was a false choice in their
5G fund. You can either spend the money now without knowing
where it's going or the impact it's going to have, or you can
wait for 3 years to get the right data to spend a dollar.
That's absolutely a false choice. It should not be--should
not be proposed by the agency of expertise.
Senator Tester. I agree with you a hundred percent and
thanks for saying that because the truth is, is that--look, if
one thing this pandemic has pointed out is we need high speed
internet, we need good cell service. Otherwise we don't have
healthcare that can be distanced. We don't have to tele-
education when schools are not out, so it's really important
I just got one last question. I'll direct this to you, Mr.
Berry. And that is, if you had the money, do we have the
workforce and you spoke of PPE, do we have the PPE to protect
that work?
Mr. Berry. Thank you, Senator. We've been getting
sufficient amounts of PPE to our members. And I think all the
group sitting here at the table, have had some experience with
the FEMA, but that is now starting to wane. And many of our
carriers now are seeing that whether it's mask or handset or
sanitizers, and gloves, it's getting more and more difficult.
Actually, we're trying to find and locate providers of
those services and goods and equipment for our members now
because it is getting very difficult to do that. And you're
right. You can't keep the networks up and running if the crews
and the employees are unsafe when they go out to do it.
I appreciate the question and I hope that we can get a
little better response going forward.
Mr. Spalter. If I could--I could not agree more with Mr.
Berry, we are in dire need of additional resources to ensure
that what has been designated as a critical infrastructure,
essential workforce, our frontline broadband providers are out
there every day trying to get installs done, often in harm's
way can have the protective equipment that's required.
We've been literally shipping cotton masks from our offices
to our members. We've got to make sure that that pipeline of
safety and opportunity for health for our workers is in place
and intact.
Senator Tester. Thank you all. Thank you, Mr. Chairman.
The Chairman. Thank you, Senator Tester. Mr. Berry let me
just ask you this, because we really need to know. Ms.
Bloomfield said, with the RDOF, which is right upon us, the
maps are less of a problem than with the long-term 5G Fund,
because they will be directed toward completely unserved areas.
Can we have a comfort level there?
Mr. Berry. I happen to believe that RDOF would also be
benefited by better information. But they have and they moved
forward and they've set some deadlines. We have many members
that are looking at that. And I would hate to see it moved up,
because those that have been planning on participating in the
September-October time-frame could be disadvantaged.
But I think that everyone could benefit from better data
right now.
The Chairman. OK, well, you got that in. I was going to
give everybody a chance to comment on that. But if everyone
would speak to that in answers on the record, because we really
need to know that. But this thing's got to happen at least in
the time-frame that has been laid out. And October will be here
before you know it. Things have to unfold before then, but
answer on the record, do we have a comfort level that that is
going to go only to unserved areas?
Next, we have Senator Moran, thank you for indulging me
Members of the Committee. Senator Moran, are you there?
STATEMENT OF HON. JERRY MORAN,
U.S. SENATOR FROM KANSAS
Senator Moran. I am here. Mr. Chairman, thank you. It
wouldn't surprise you or maybe our witnesses that I'm going to
continue along the line that you just asked about, and a number
of my colleagues have asked this morning, the inaccuracy of the
maps and the consequence of that.
When the maps were provided to me months ago, I don't know
how long ago it was now. You could look at a map and see that
it did not reflect reality in Kansas. And it would be easy to
go places where the map says there's coverage and clearly
demonstrate that there isn't. So we've been at this map issue
for a long time, and it does seem--I serve on the
Appropriations Subcommittee that funds the FCC. I was at the
hearing that was just described. It seems to me that too often
this has been presented to me and to Congress and to the Senate
as kind of an all or nothing.
These maps, we can use these and we can get it done. Or we
can modify the maps, it will take a while and during that while
the deployment of broadband will be slowed or eliminated.
So, I led an effort a couple of weeks ago with the Kansas
delegation, in corresponding with the FCC, regarding what
balance there should be between the accuracy and the granular
data, the information that we're looking for versus--if that's
the case--versus the speed of deploying Federal broadband
funding through particularly through the 5G Ffasund auction.
I was going to ask Mr. Berry, and you just headed him down
this path. But let me start with Mr. Berry. So do we see the
one versus the other? I heard what Ms. Bloomfield said about
this issue. I'm looking for the same kind of assurance, perhaps
that the Chairman was asking for.
Isn't there a way or is there a way--let me be less
definitive in my views. Is there a way in which we can continue
to deploy broadband while we acquire the necessary information
to do it accurately and appropriately? And while the U.S.
Senate and the Congress provides additional resources to the
FCC to accomplish that, Mr. Berry?
Mr. Berry. Thank you, Senator. And let me thank you for
your letter to the FCC. That was an extraordinary letter and I
think brought a lot of light to the subject matter.
So yes, I think we can. You know, it has been 5 months.
I've been focused on 5G mainly because that's more wireless.
And wireline, it's easier to figure out where the wireline goes
and where it stops and who it's serving, than in a wireless
scenario, when you have a broad area that is--it's controlled
by physics and the spectrum manipulation, so I think you can do
both.
Again, RDOF is more focused on a wireline and a fixed
wireless solution. And I think in those areas, you may have a
much better chance of saying we know there is no line that goes
in to this place. On the wireless side. I think you have to
have good data and this committee was very specific with the
legislative statute in the terms and conditions and
requirements. After 5 months of announcing the 5G Fund, I
haven't heard the FCC one time ask for additional funds from
your subcommittee or this committee or has started a new
mapping data collection process.
It's disappointing to say the least.
Ms. Bloomfield. Senator----
Senator Moran. Let me ask the others on the panel if they
would like to add to this discussion.
Mr. Spalter. I would Senator, if I could.
Senator Moran. I'm not surprised.
Mr. Spalter. So first of all, nobody I think in the United
States of America wants to deploy broadband more quickly and
rapidly and efficiently than USTelecom and our members and I
say that because our members have deployed more fiber than all
other parts of our industry combined. And as experts, I would
say that, yes, we can move quickly, but we need to move forward
particularly in the context of the Rural Digital Opportunity
Fund. The auction for which is coming up in just 5 months. In a
way that's not going to subvert as some have suggested, the
competition put taxpayers at risk, potentially have money left
on the table by up-ending the rules now to get money out the
door in an un-vetted way, in absence of the competition and the
process the FCC is moving forward on with its auction process.
I think we can go through this auction and move very
rapidly and the opportunity for Congress, it is your
prerogative to insist that the FCC not change its rules
midstream and potentially cause risk to the program and to
future broadband deployment. But insist that those companies
that have bid successfully for gigabit fiber to the home census
blocks or tracts, be qualified and approved immediately and the
money go out the door immediately after the auction.
To do so before the auction, by changing the rules to
potentially benefit just one competitor and their consultants
would be financially imprudent and fiscally irresponsible and
would put taxpayers on the line.
The Chairman. Thank you, Mr. Spalter.
Senator Moran. I withdraw my request for other panelists to
speak. Thank you, Mr. Chairman.
The Chairman. Thank you. They can answer on the record. We
appreciate you indulging us there. Senator Markey.
STATEMENT OF HON. EDWARD MARKEY,
U.S. SENATOR FROM MASSACHUSETTS
Senator Markey. During this pandemic, it's not just a
homework gap which we face. It's a much larger learning gap
that is really becoming an opportunity gap for the children of
our most vulnerable families and that's why yesterday I
introduced the Emergency Educational Connections Act
legislation that would provide $4 billion in E-Rate funding to
ensure that all K through 12 students have homework access at
home. So they have the connectivity, they have the devices that
they are going to need during this coronavirus pandemic.
And I'm proud that 45 of my colleagues joined this bill,
including every Democratic member of the Committee and that our
effort was endorsed by over 50 organizations including the
National Education Association, The American Federation of
Teachers, Common Sense Media, USTelecom, CTIA, and NCTA.
So my question is to the entire panel. Do you support
providing billions of E-Rate dollars to bridge the learning gap
during the public health crisis? Yes or no?
Mr. Berry. Yes.
Ms. Bloomfield. Yes, along with the High Cost Fund.
Mr. Spalter. We believe that there should be absolutely
programs, emergency programs to supplement and direct dollars
for E-Rate, Lifeline and to do so as quickly as we possibly
can.
Mr. Kimmelman. Yes, Senator Markey we fully support your
effort.
Senator Markey. So thank you. And I think it's going to be
critical for us to include that money in this next package.
Although students must be a top priority, they are
unfortunately not the only ones during the Internet access
crisis that we're having during this pandemic. According to a
February 2020 analysis, 42 million Americans still lack
reliable broadband and that is simply unacceptable. During the
coronavirus crisis more than ever, we are seeing how necessary
robust and affordable broadband is to the future of American
life, education, jobs, and medical care.
That's why I have introduced a National Broadband Plan for
the Future Act. Legislation that instructs the FCC to update
the National Broadband Plan, as well as to study how the
coronavirus pandemic has changed the way Americans live, work,
and learn online.
I authored the amendment to the 2009 Recovery Act that
created the original National Broadband Plan. I'm proud of that
plan's roadmap for universal connectivity and the amazing
progress we've made over the last 10 years, but work remains to
be done. Mr. Kimmelman, do you agree that we should update the
National Broadband Plan in the next coronavirus relief package?
Mr. Kimmelman. Absolutely, Senator Markey and I think it
needs to be done in conjunction with getting the money flowing
for the actual initiatives. We can't just do the plan. We have
to do all the other pieces to keep as many people on the
broadband networks.
Senator Markey. But we need to plan as well. So a vision
without funding is a hallucination, but first you need a plan
to make sure that it's spent correctly. So thank you.
And, Mr. Chairman, I'll just say that finally I'll close on
two notes. First, we must also address the T band in our next
coronavirus package. Every day first responders on the
frontlines of the COVID-19 crisis rely on T band spectrum.
Unfortunately, a provision from a 2012 tax law required the FCC
to auction the T band by February 2021. Instead of saddling
first responders with billions in bills to move spectrum bands,
Congress should do right by the heroes, keep us safe, and
preserve the access to T band in the next COVID-19 recovery
legislation.
And second, this Committee must continue to work and
conduct oversight to ensure we keep small businesses connected,
and that carriers are not unfairly raising rates in the midst
of this pandemic of what's most important today, more than
ever, is that we keep everyone connected. And that's why I'm so
glad that you're having this timely hearing.
Mr. Chairman, I yield back.
The Chairman. Thank you. Thank you so much, Senator Markey.
Senator Blackburn.
STATEMENT OF HON. MARSHA BLACKBURN,
U.S. SENATOR FROM TENNESSEE
Senator Blackburn. Thank you, Mr. Chairman, and thank you
to our witnesses. I think it's fair to say that each of you
have been on this subject for a long time. I enjoyed working
with you in the House as I crafted the Ray Baum's Act and moved
that to passage and the reauthorization of the FCC and of
course, we were so pleased that was able to be completed by the
Senate's action. And it did set up an expansion for high speed
Internet and for putting us on the right path for 5G.
And Mr. Berry, I appreciate that you talked about that and
I--about 5G, and I will have to tell you in bringing up the
USF, it is time for us to review that and reform it or either
eliminate it and be able to address that component of the
portion of an individual's bill that goes to that.
Ms. Bloomfield, you talked about maps. One of my topics, we
know that the maps have been incorrect. There's been quite a
bit of discussion today. And my hope is the NTIA will address
this. In Tennessee, we have 20.3 percent of our state that is
still without access to high speed internet. I'm one of those
without it. In order to work, during this pandemic, my staff
ended up sending a mobile hotspot that we were able to use. Our
landline provider has a space that does not--that is still on
copper and doesn't have fiber and I'm in that area. So you're
right, it makes life difficult for everyone.
And Mr. Spalter, I hope that USTelecom will start to think,
not just in terms of smart cities, but smart counties, smart
rural areas, as you look for ways to expand access to high
speed internet.
In that vein, I think Ms. Bloomfield let me come to you
with my question. Last year, as Senator Baldwin and I did the
Internet Exchange Act and having these IXPs located so we can
move greater volume of data, we need to begin to rethink the
placement and rethink that access because as we have seen
people are moving out of the urban core and into more rural
areas for safety of their children and their families and
there's quite a bit being written. So if we plan ahead, if we
look at how this pandemic may change where society chooses to
live and to work, talk about the necessity or having those
IXPs.
Ms. Bloomfield. Thank you very much, Senator and you are
spot on, which is one of the reasons why we have created a
smart rural community initiative to do just that, to recognize
that rural areas can be very attractive places to live in. And
I think we're going to see some very interesting patterns once
our economy recovers a little bit and people kind of choose
what kind of lifestyle they'd like to lead and I would commend
you on your leadership on that legislation. It is another
really important tool in the toolkit. What you have been
looking to do is to make sure that it can be affordable to
carry that middle mile traffic.
What a lot of people forget is that when my carriers, who
are small rural carriers, have their Internet traffic, they
have to hand it off to a backbone provider to carry that
traffic. That can in a lot of times be the most expensive part
of that transit. And frankly, as part of the costs that aren't
going down right now, if nothing else, they're increasing.
So your initiative to make that a more reasonable part of
the package will definitely make it easier for broadband
connectivity, for robust networks, as well as caching of video
services to be carried along into rural communities. So again,
a little bit of foresight on your part, for sure.
Senator Blackburn. Well, my hope is that we're going to be
mindful of the load and the capacity of day-to-day operations
of our regional carriers, if you will, as we look at how
children are learning, how healthcare is being delivered, how
economic development is needed as we repatriate manufacturing
back to this country.
And Mr. Berry, I have to tell you, I was amused, I read a
story, which I thought was so innovative. A school district in
Alabama had WiFi in school buses. So in order to help children
get their schoolwork done during the pandemic, they moved the
school buses into neighborhoods at fire station so that
children could come. So a big cheer for WiFi and that ability
and 5G, and the ability for them to handle that workload and be
able to have enough bandwidth to meet the needs of those
children. I thought that was a great way to get those tasks
done.
So, thank you all for your continued work, support, and
interest. I yield back, Mr. Chairman.
The Chairman. Thank you, Senator Blackburn. Senator Rosen.
STATEMENT OF HON. JACKY ROSEN,
U.S. SENATOR FROM NEVADA
Senator Rosen. Thank you, Chairman Wicker, Ranking Member
Cantwell, for holding this important hearing. And, of course,
for all the witnesses being here today. I appreciate Senator
Blackburn talking about rural communities because we have a lot
in Nevada, but I particularly want to thank this Committee for
helping get my bipartisan Building Blocks of STEM Act that I
introduced with Senator Capito signed into law last year.
When we passed that bill, we didn't know we would be facing
a global pandemic that fundamentally changes the way we provide
students with education. That bill was about breaking down
barriers for young girls pursuing STEM education, facing
implicit bias, but now as Senator Fischer mentioned earlier we
are dealing with the technological barriers, which could place
education out of the reach for millions of underserved American
students. As Senator Blackburn said, it's a particular
challenge in our rural areas.
In a city like Elko, Nevada, it's a wonderful and vibrant
community in the northeastern part of our great state. It is
ranked among the top cities nationwide for the slowest Internet
speed. It's a list you don't want to be on the top of and no
city in Nevada ranked near the top actually for the highest
Internet speeds.
So Elko is not alone. Sixty-five percent of our rural
population is without access to high speed internet, compared
to just 5 percent of our urban centers. And so, Elko with a
population of about 20,000 has made significant efforts to
incentivize providers to deploy broadband to their community,
for which its leadership should be commended. But to encourage
providers to deploy the city even dropped franchise fees to
zero. But so far it has still not received any offers from
telecommunication companies.
So I know that we're going to speak to this and what else--
what can a city like Elko do if it has no takers from
telecommunication companies? They need to improve their
internet. All around Nevada we need to improve our internet,
rural Nevada. What suggestions might you have for them?
Mr. Berry. Well, Senator, I'll start. Some of our carriers,
especially in rural Mississippi in some of the areas that are
very difficult to reach, have gone around and signed up
government businesses/pre-designated locations. And once you
get enough of those interested companies and individuals to
sign on, then they could see a business case to get a loan and
actually build not only fiber, but wireless or fixed wireless
internet. That's one area that you can do it--one way you can
do it without government support.
The other is if we get broadband data mapping done that
would show up significantly as a hole or a gap and we could
target funds that are already available under the, I don't
know, if it's the 5G Fund or the RDOF Fund, or even some of the
existing Mobility II funds. Those are a couple things that you
can do immediately, but I think it really is up to the local
government entities to help identify carriers that are willing
to take that risk to go in and build.
Ms. Bloomfield. And Senator, I would also just add in the
spirit of thinking creatively, you know, one of the things
about RDOF that I really like is that it is telling carriers
who don't want to upgrade, who aren't willing to go to that
next tier speed to basically cry uncle and say, ``all right,
I'm not going to serve this area'' and allow other providers to
come in and do that service.
So I think, to Steve's point, you know, being able to get
some of that support to do it will be important. But another
thing that I'm seeing an interesting model is, I've got a lot
of areas where my local community-based providers are
partnering with municipalities. Municipalities are able to kind
of support the business model and the local broadband companies
are able to then come in and basically provide the service.
So we think we need to think creatively about what kind of
partnerships can you create in a public-private environment
that will actually get the job done. And I think getting people
to be open to those business models is going to be important.
Mr. Spalter. If I could add to that, Senator. First of all,
thank you for your question, because it cuts right to the heart
of what we're here, with what the FCC is working on, what
Congress has been working on, to achieve, which is 100 percent
connectivity for all of our communities across the country. And
the connectivity gaps that you referenced that we're seeing
today I think are reflective of a few major policy
deficiencies, not deficiencies in companies not wanting to
actually deliver broadband. But because there are underlying
and systemic policy issues.
Let me just point to three. First is incrementalism. The
fact is that we're constantly redefining in midstream through
programs what is unserved is 4-1, 10-1, 25-3. And as a result,
we're never really being able to as efficiently reach those who
still have no service. The second is funding, we've talked
about this, we need to ensure that that the recognition that
delivering broadband is an extremely expensive proposition in
our most remote and rural communities. And so, a significant
amount of money is required to get the job done. Well, let's
meet that challenge. And let's do it today.
And the third, and Steve Berry, we've talked about this--is
the indispensable input that mapping, and funded mapping, would
deliver to ensure that we are spending these resources with the
accuracy that's required to reach the truly unserved. Not where
broadband currently is going, but rather to know where it is
not going. And if we can solve that problem, and it is in your
hands to be able to do that through appropriations, I think we
will be much further toward our goal of 100 percent
connectivity.
The Chairman. Thank you. Thank you, Mr. Spalter. Senator
Capito and then Senator Lee.
STATEMENT OF HON. SHELLEY MOORE CAPITO,
U.S. SENATOR FROM WEST VIRGINIA
Senator Capito. Thank you Mr. Chairman. Thank you, Mr.
Chairman. Am I OK?
The Chairman. You're on.
Senator Capito. I'm good. Thank you. Thank you again, Mr.
Chairman. And the Ranking Member. Just briefly, being from West
Virginia during this COVID experience. We've heard--I've heard
anecdotally from a guy in Clendenin who lost his landline for
27 days. He has no availability for connectivity. So the
landline really is his only emergency. I've heard from a
gentleman whose daughter, he's in Waverly, she has to drive 10-
to-15 miles to get the connectivity to continue her education
at West Virginia University remotely on distance learning. And
we have these stories all across the country.
I think Mr. Kimmelman points out in his statement, that
West Virginia has taken some CDBG money and devoted that to our
West Virginia Broadband Council to really have a good
assessment of what we really have. Because as I've studied
this, sometimes I think the reason we're not getting it
deployed to where we are is because we're not really sure what
we really have, aside from the mapping issue, where we have,
where the resources are, who the people are, that are
interested in really deploying this.
So I want to go to Ms. Bloomfield first, because I don't
want to rehash a lot of the questions but one of the things
that you said in your opening statement, and something I'm
concerned about deeply is we have USDA, we have FCC, we have
Commerce, and we have other dollars coming in from others
areas, providers and everything. I think the worst thing we can
do is waste money here. And I think that's what's happened in a
lot of cases.
And so, those unserved and underserved areas are still
unserved and underserved. You have a program, I think you call
it the Forever Connected Broadband Program, is that aimed at
that particular problem?
Ms. Bloomfield. It's my aspirational desire that we
actually get that coordination, because you do have, you know,
funding is limited, and you got to use it wisely. And I look at
things that USDA is doing, and how do we coordinate that, you
know, through RUS with what the FCC is doing?
The nice thing is, I think you're seeing more critical
conversations there. But then how do they loop in if West
Virginia has their own initiative? How do they become part of
that? How do we make sure, for example, that under RDOF, that
if anybody has gotten West Virginia money that that does not
get them kicked out of eligibility?
I think we've got to make sure that we have a coordinated
approach. And that is really where I think Congress will take a
very key role in making sure that all of these key agencies are
talking, sharing information, sharing challenge processes, and
coordinating where those dollars go so we can use them best.
Senator Capito. Another thing that when I was talking to
one of our main providers several years ago, I said, what is it
really going to take? And he says, ``Well, Shelley is going to
take time and money.'' Well, we're talking about money here.
Let's talk about timelines. I mean, when we see what--I mean, I
think this COVID, one of the lessons learned is this
connectivity issue. It's just been incredible to the telehealth
expansions and the way people like it, they like to have the
telehealth appointments and it provides much more
accessibility.
Where do each of you think timeline-wise we're going to
cease having these conversations and have conversations about
maybe over exposure to Internet or things overbuild? Mr. Berry,
do you have 3 years, 5 years, 1 year, 6 months?
Mr. Berry. Yes, thank you. You know, the issue is
predictable availability of assured funding. And I think you do
that. I mean, we could spend a trillion dollars probably
building out broadband in the United States. But you can't do
that all in 1 year. You have to have the equipment, put fiber
in the ground, it takes time, it takes permitting.
You know, if we had a $50 billion USF program after you do
a contribution reform, and you knew that that was going to come
through every year, and you had maps that were accurate, and
you had terrain factors. Like in West Virginia, it's, you know,
a beautiful state. I mean, I was over in Davis, West Virginia a
couple years ago and the Mayor carried three phones because he
didn't have coverage.
Senator Capito. Right.
Mr. Berry. So, it's a great place to live, work and enjoy
the mountains. That's a very expensive place to build.
Senator Capito. Right.
Mr. Berry. But I think if you had that, then West Virginia
could in fact, get access to the funds that it's so desperately
needs for broadband and so can the rest of the United States.
And we really have to get serious about reforming the USF
contribution factor and giving some real dollars, long-term
predictable dollars to that fund.
Senator Capito. So then Mr. Spalter 5 years?
Mr. Spalter. Well, let me--I think that the only way to
actually sufficiently and accurately answer that question is to
understand that it is fundamentally a policy question. Our
broadband providers are ready to go to work to not only deploy
more broadband, but get more customers and close that digital
divide of the last one or 2 percent.
Timing is a question of what the political will to actually
put the resources that will be required to have a permanent fix
to Universal Service and it also equally it will be accelerated
if we're ready to have the political will to fire up that weed
whacker and make sure that we can streamline permitting. Make
sure that Federal lands permitting is available and level the
playing field when it comes to things like pole attachment
rates.
Senator Capito. Right.
Mr. Spalter. Where co-ops and electric co-ops and municipal
charges are tripled, quadrupled more than the rates of other
broadband providers. These are all steps we can take.
Senator Capito. The Chairman is telling me my time is up.
Thank you.
The Chairman. Thank you, Mr. Spalter and thank you Senator
Capito. Senator Lee.
STATEMENT OF HON. MIKE LEE,
U.S. SENATOR FROM UTAH
Senator Lee. Thank you very much, Mr. Chairman. Mr.
Spalter, I'd like to stop and start with you and I want to talk
about firing up that weed whacker. I like the idea a lot. I
live in a state, in Utah, where two-thirds of the land is owned
by the Federal Government.
As a result of that somewhat unique dynamic, it creates
unique challenges for us. You know, anytime we have to cross
Federal land or use a right of way, we continue to experience
very significant project delays, sometimes very lengthy project
delays that are tied to Federal mandates and regulations and
bureaucracy.
We've heard a lot of discussion today as to why we need
more Federal funding. And I think that should certainly be up
for debate, we ought to have that conversation. But I don't
think that's the only conversation we need to have. And I think
in the case of Utah and many other western states, where there
is a disproportionate amount of Federal land as a percentage of
our land mass, we're reminded of the fact that we can't solely
spend our way out of the problem and there are other things we
need to look at.
Now, MOBILE NOW had some of these good provisions to help
streamline deployment efforts on Federal land, but there are
still a lot of significant problems that I think we need to
address. What in your view should Congress do to streamline the
agency permitting process for broadband deployment on Federal
lands?
Mr. Spalter. Well, first and foremost, I think the
recognition that this is a profound and festering problem. I've
heard stories from providers in Utah and beyond in other states
not having to wait days and months to get permitting to
actually provide access to unserved community, but measured in
months, sometimes even years to suffer through those burdensome
and illogical permitting problems.
Your initiative through MOBILE NOW, other congressional
initiatives, to actually do whatever we can to streamline
Federal permitting to ensure that it is actually a process that
can be coordinated tightly and in real time across agencies
that have varying responsibilities on Federal lands. And to
make sure that that is both prioritized from a policy
perspective, but it's embedded into this principle.
And you said it exactly right, Senator, that it is not
money alone that's actually going to deliver the promise of
full universal connectivity for our Nation. It's going to be
smart policies to compress the time it takes and the burdens
that are imposed on our providers to actually deliver that. And
that starts with Federal land streamlining permitting
processes.
Senator Lee. And I assume you'd agree with me that the
biggest disparity, one of the biggest single disparities you
can see in this country is the distinction between rural and
non-rural America. Right? In terms of access.
Mr. Spalter. Yes.
Senator Lee. And would you also agree with me that in
western states like mine, the distinction between rural and
non-rural is heavily influenced by--if not almost synonymous
with Federal land issues. In other words, rural communities
throughout my state are awash in Federal land. And so, oddly
enough, in those areas where we need broadband access the most,
it can be the most difficult to deploy in those areas,
precisely because there's a mountain, a Byzantine labyrinth of
Federal regulations that they have to go through in addition to
the NEPA process, which can take many, many years. And that
could do more to help close this divide than almost anything we
could spend money on, couldn't it?
Mr. Spalter. I agree. Another way of putting it is that
broadband providers more easily can extend broadband and dig
trenches right through mountains, then conquer the more severe
mountains of Federal bureaucracy on our on our Federal lands to
actually deploy.
Senator Lee. Mr. Berry, can we better meet the future needs
as far as spectrum in our country by doing a careful review of
Federal spectrum allocations?
Mr. Berry. Yes, sir. And I'm glad you raised that because
wireless runs on the spectrum availability. We really do need
to do a serious, deep dive on what are the spectrum allocations
within the Federal users in the United States and then make
some of that available for wireless use, commercial/auctioned
licensed use. And that's the only way we're going to get to
that next level of it in the 5G world, is if you get a mix of
low, mid, and high band spectrum, and we do it sooner rather
than later.
A good example is, the one that I just talked about was the
Navajo Nation worked with one of our carriers with this unusual
opportunity to get an SCA. We actually doubled the speed and
they actually doubled the usage and the capacity because we had
more spectrum.
If we can't get there, then we're not going to see the
promise of gigabit wireless for a long time. And I'm very
thankful that we got the C-band coming up. We got CBRS, it's
going to start here in June. And we hope that additional
spectrum will be made available as we move down the road. So,
but thank you for the question. It's important.
Senator Lee. If you could do that with the Navajo Nation,
imagine what we could do if we had the cooperation of Federal
agencies, including the Department of Defense in conducting an
inventory and widespread assessment of spectrum that is in
Federal hands. Thank you, Mr. Chairman. I see my time has
expired.
Senator Sullivan [presiding]. As the Acting Chairman, I
just want to say Senator Lee's points are right on with regard
to cooperation involving the Federal Government to help us.
Senator Baldwin.
STATEMENT OF HON. TAMMY BALDWIN,
U.S. SENATOR FROM WISCONSIN
Senator Baldwin. Thank you so much, Mr. Chairman and to our
witnesses for providing such great testimony today. As others
have observed today, we have a new day with regard to the
amount of use and reliance on broadband, high speed broadband
in particular. And while this committee has spent a lot of time
talking about the need for broadband access throughout the
United States, the COVID-19 crisis has laid bare the reality of
how needed it is.
We've used broadband to work, telework, to telelearn, to
access medical care, to connect with government services, to
stay in touch with friends and family. And in Wisconsin, in our
most recent elections to order absentee ballots and try to
upload photo IDs. And so, I, this crisis in my mind may
permanently shift more of our everyday lives into these modes
of communication, work, learning, et cetera.
I wanted to follow up on some of the questions and
testimony that was provided earlier. I wanted to start with you
Ms. Bloomfield about the increasing importance of upload
speeds. You talked about the fact that we usually look at
download speeds. But if you might just talk a little bit about
what you've seen change in the last couple of months in terms
of usage of networks. And you know what, what that involves,
specifically for telehealth, telelearning, telework.
Ms. Bloomfield. So thank you. So it's not lost on me that
we are having this hearing using broadband connectivity as
well. Right. So here we are talking about broadband and many of
you on the Committee are actually using broadband to connect.
And that's exactly that two-way communication that we're seeing
really an explosion of.
As we've talked about, you know, we've talked about what
are the speeds, what is the right speed. But one of the things
that we are seeing that I think is most interesting is that
two-way that we are seeing people needing to upload as quickly
as they're needing to download, to be able to do all of those
WebEx meetings and Zoom conferences and all of the different
two-way communication tools that we're currently using.
Particularly as we think about teachers in the school room,
you know, trying to teach to 30 children remotely using
technology and for the children to be able to respond, to
upload their homework, to share their projects, all of that
back and forth. If we're really going to be saying that our
world may be a different world and it may be a virtual
connected world, that ability to have that two-way
communication that is, you know, relatively the same time is
going to be very important. We can't do what we're doing right
now if you're having jitter, if you're having you know that
that time delay. It really makes the tool so much less
effective.
So I think again, as we're looking at networks, and we're
looking at the deployment of the networks, that robust nature
is going to be more important than I think we had thought
previously because we are seeing how people are actually using
this technology. In the past people were very happy just
downloading and responding on e-mails. But we are seeing that
as we use it as a tool to stay connected, that robust nature is
going to be really important.
Senator Baldwin. One of the things we talked a fair amount
about during this hearing is the importance of mapping. As we
said earlier, measure twice before you cut or map twice before
you dig. One of the things I'm curious about is the information
that we are getting from schools about which of the pupils have
access to adequate broadband speeds and have broadband access,
and which of the pupils and their families don't.
Are we using that data at all to inform our mapping
projects? Would it be a good idea to do so?
Mr. Berry. Senator, let me address that because I think
you've hit something that we haven't thought a whole lot about
previously. We have a couple of carriers that provided
connectivity to the schools that did not have a WiFi, MiFi, you
know, broadband connection sufficient to do you know, virtual
education, and then the school shut down. And then they came--
the teachers came and said, listen, we have 150-some students
that have no access at home. Well, our carrier didn't know that
until the school principal came and said, we know who they are
and we know where they are. And guess what? We went to work,
that carrier started providing iPads that were connected to
WiFi and MiFi. They put the facilities in the school buses and
drove school buses to the neighborhoods where some of these
children lived and left the school bus there so that they can
have connectivity.
You've hit on something that I don't think we really, you
know, utilized the data and information that we have and the
schools have because it's never been a need to share with
carriers. And I think we can do a lot better job with that
information moving forward. And that's something that we have
to include in our maps.
The other thing I'd address, and Shirley's concept, that
people are working from home. And that's why we kept pushing
and continue to push the Stay Connected voucher because it used
to be you would do that at work, and now you're doing it at
home and you're having to pay for it and the consumer is going
to be in a tough bind as we move down this road, the longer we
stay in virtual connection with our offices. So we hope that
you would consider looking at the voucher program. It's
complimentary to the Cramer-Klobuchar bill.
Senator Baldwin. Thank you.
STATEMENT OF HON. DAN SULLIVAN,
U.S. SENATOR FROM ALASKA
Senator Sullivan. On behalf of the Chairman, I'm going to
recognize myself. And there's been a lot of discussion of rural
needs, rural states. There's rural and then there's my state,
the great state of Alaska. So I'm going to focus a little bit
on these issues. I do appreciate Senator Klobuchar and Senator
Udall highlighting the needs of Native Americans/Alaskan
Natives that's almost 20 percent of my state's population. And
I do want to emphasize Alaska Natives, whether members of
tribes, Alaskan Native corporations, or both, are just as in
need of support from the Federal Government as Native Americans
in places like New Mexico and other states.
And more to the point on something that occurred over the
recess, and is really burning me up as a U.S. Senator,
continued personal attacks on the Assistant Secretary of
Interior for Indian Affairs, an Alaska Native woman of
impeccable integrity who's doing an amazing job, by senior
Democratic senators are shameful, unacceptable and need to
stop. And I hope all of my colleagues listen to that and take
heed. But I'm digressing here on an issue of importance.
Let me ask the panelists. What else can Congress do for
extreme rural states like mine?
Mr. Spalter. Let me let me just jump right in there.
Senator, I had the great opportunity to visit our member Alaska
Communication Systems as one of the first trips I made as CEO
at USTelecom and I was able to understand the extraordinary
complexity and challenge of delivering broadband to the broad
communities, geographically that Alaska proudly has. We believe
that--and we would support providing additional funding to
health care through the Rural Health Care Program, at the FCC.
We would recognize that the need for those funds has
outpaced the actual amounts of those funds. At the same time I
think we have to be very careful about not putting into place
and implementing major reforms as we're struggling through
getting our sea legs during this current pandemic.
Senator Sullivan. A very good point.
Mr. Spalter. We need to be cadenced, but we also need to
recognize that rural healthcare provision through that program,
unique to Alaska, is very important.
Senator Sullivan. And as you know, now, a lot of people are
talking about rural health care. My state was actually the lead
innovator of that just for the needs of the populations in
Alaska. We have over 200 communities that are not actually
connected by roads. So this is imperative. I think the FCC
Chairman, unfortunately, has failed to recognize how important
this is. So we're going to keep pressing that issue, but I
appreciate your thoughts and ideas on that.
Ms. Bloomfield, can I ask you, and maybe if you also want
to address my initial question, but in addition, I'm
cosponsoring with Senator Klobuchar the Keeping Critical
Connectors Act which is more focused on smaller providers,
which, of course in Alaska, we have a number of those. Can you
talk to how you think that's going to be helpful and again, for
all the panelists, I'll just put this out there, the PPP
program. Have the smaller telecoms been able to access that, in
your experience, what are you hearing with regard to those
issues?
And again, I'll open it up for all the panelists to address
any and all the comments and questions I just asked, but why
don't we start with you.
Ms. Bloomfield. So Senator, that was--there was a lot in
there, so I'm going to try to go really fast.
Senator Sullivan. Yes, there was a lot in there.
Ms. Bloomfield. Alaska is unique and that's one of the
reasons why the FCC had done the Alaska plan to basically take
a look and make sure that they got the support that they need,
because they're----
Senator Sullivan. And we appreciated that.
Ms. Bloomfield. And it was important. And I think it's time
now to start thinking about what that next step is because we
know how quickly time passes. So I think, you know, the folks
in Alaska are led by a great state association and they're
thinking already proactively on that. So I think that's one
piece.
On the second piece. When you talk about the Keeping
Critical Connections Act, it's really important. It is the
piece that is going to allow these essential providers to
continue to build and sustain and maintain their networks while
people aren't able to afford to pay for the service. So I think
it is a really important initiative. And we're very delighted
that you're co-sponsoring that.
Senator Sullivan. Well, it has strong bipartisan support,
as you've seen. So we're going to hopefully move that here in
the Commerce Committee.
Ms. Bloomfield. Absolutely. And on the rural health care,
the leadership from Alaska has been critical. I will just share
an anecdote that we offer a tele-doc program. We provide health
care insurance to 60,000 rural Americans through our programs.
We have seen the increase in our tele-doc program, 45 percent
in March, 55 percent in April. The need is there. We just need
to get some of those other pieces together, but you need the
underlying broadband to make that connectivity work. And then
we can work on licensing and all of the other bureaucracies
that go along with that.
Senator Sullivan. Great, thank you.
Mr. Berry. Thank you, Senator. We have I think five members
including GCI as--Senator Sullivan. Yes.
Mr. Berry.--members of our association. Thank you for all
your help all your constant support and work on how do you
serve an area as vast as your state? It's unbelievable.
Senator Sullivan. It has been a frustration with the FCC
Chairman. I'll just say.
Mr. Berry. We share that occasionally.
Senator Sullivan. Yes, I know you do.
Mr. Berry. But--but thank you. And you mentioned the KCC,
the Keep Americans Connected Pledge. We also we support the
Stay--which I think is complimentary support the Stay Connected
voucher program. Because when you ask the customer, a consumer,
what do you want? They're going to say, I want to pay my bill.
If you ask the carrier, what do you want? I want to be able to
keep my network up and running.
And just as the PPP program was conceived as a
complimentary program to the SBA Loan and for Loan Forgiveness
program, I think these two programs go hand-in-hand. It
addresses the need to have the, you know, network up and
running and fill those holes that have, quite frankly, it hurt
a lot of small carriers right now, but it also addresses the
issue that the consumer. The consumer gets to make the
decision, what is the most important connectivity in their
household, and I think we do both things, because this is a
severe crisis that we're going through in Alaska. God bless
them up there. I've got a first cousin up there. It's a tough--
right now, it's a tough----
Senator Sullivan. We have challenges, but we'll get through
it. We're a tough, resilient state.
Senator Schatz.
STATEMENT OF HON. BRIAN SCHATZ,
U.S. SENATOR FROM HAWAII
Senator Schatz. Thank you, Mr. Chairman. Thank you for all
of your testimony, and all of your good work. I am struck by
the following dynamic. It seems to me that we're having the
same conversation that we normally have about broadband and
connectivity and telehealth, and now distance learning and the
homework gap. And all of that is really important, but we're
missing the plot. We're missing the fact that right now, kids
can't learn. We're missing the fact that right now, teachers
can?t even teach because they lack connectivity in their homes.
And so, we need to think in terms of phasing this out and I
am, you know, I take a backseat to no one on criticizing the
FCC about mapping or the use of USF or whatever it is. But a
lot of what's being contemplated today in this hearing is at
least medium-term and a lot of it long-term, $16 billion over
10 years, mapping reform, USF reform, and we've got to move at
the speed of the virus.
And so, I have one simple question. We are going to be
contemplating the HEROES Act as it comes over from the House of
Representatives. What is the one thing that we ought to do
right away in the next piece of legislation in order to connect
people in whatever way is possible? And think of it as a band
aid, whether it's WiFi hotspots or whatever we need to do, but
we don't have the luxury of thinking about broadband
infrastructure over the next six to 18 months or five to 10
years. We have to figure out how to connect kids right now. We
have to figure out how to connect people who are eligible for
telehealth under Medicare right now.
And so, I'll start with Mr. Kimmelman and go down the line,
what's the one thing we ought to do? In the next bill?
Mr. Kimmelman. Thank you, Senator Schatz, I think you're
spot on. I think you need to put money immediately into
expanding E-Rate and allow the schools to be used to serve
adjacencies to expand WiFi availability. If we can't get to the
digging right away. If we can't build out the infrastructure
right away, you should put a lot of money into that. But let's
take full advantage of the spectrum and the facilities we have
to share more broadly so that more kids and frankly communities
can be connected.
Senator Schatz. Thank you. Jump ball.
Mr. Spalter. I'll grab that ball Senator, and I completely
agree with you from the get-go. We sent a letter to all of the
commissioners at the FCC we recently with seven associations
came together and asked Congress do exactly the same thing.
Which is a) let's get significant funding immediately out the
door to support those families, communities, and enterprises
that are currently in need.
With respect to FCC-related programs. We called on the FCC
to establish immediately a Lifeline-like program that can be
constituted as an emergency funding program so it will be able
to do an end-run around all of the Byzantine rules and
requirements and compliance obligations so that we can actually
get money out the door quickly.
With respect to Lifeline. You know, at a minimum such a new
program should also tweak the rules to support one fixed and
one mobile broadband connection per household immediately.
Similarly with E-Rate, let's think more flexibly in an
emergency program that would be able to direct more assistance
immediately with more flexibility in rules that would actually
be able to deliver those dollars,
Two key principles. One, they have to be administrable in
an easy way. And two, we have to have very low barriers for
folks, both consumers and for providers for signing up for
these programs. Those have to go hand-in-hand.
Senator Schatz. Thank you.
Ms. Bloomfield. All right, I'm going to do three points:
One, create an emergency Lifeline program to allow those folks
who can't afford conductivity to stay connected. Two, support
the networks themselves through the Keeping Critical
Connections Act. And three, look at the DOE money that they
just received, $16 billion, and make sure that some of that
money goes to tools and applications and broadband for school
children.
Senator Schatz. Thank you.
Mr. Berry. And I would I would second that. I would say
that first, like a good physician, first you do no harm. I
think the first thing you have to do is make sure these
networks are up and running, the KCC program does that. The
Stay Connected voucher program takes care of the consumers to
make sure that they continue to be connected. And then I think
you have to do some triage on those programs that are there
right now like the E-Rate program, and the Lifeline program.
That you can beef those up because you don't need six, ten, 12
months in order to deliver solutions. You need immediate
relief.
And then let's talk about how we do this in a much more
methodical fashion as we move forward to get broadband
connectivity to 100 percent of the United States.
Senator Schatz. Thank you very much.
Senator Sullivan. Senator Blumenthal.
STATEMENT OF HON. RICHARD BLUMENTHAL,
U.S. SENATOR FROM CONNECTICUT
Senator Blumenthal. Thanks, Senator Sullivan. And thank you
all for being here. Thanks for your leadership. I want to
pursue that line of questioning about Lifeline and E-Rate,
because I do think they are key to bridging and closing the
digital divide and the homework gap that is ongoing right now.
It's urgent and pressing. We need to meet it. We need a bold
plan and leadership and I am proud to have led a letter with 26
of my Senate colleagues to congressional leadership calling for
$1 billion right away for the Lifeline program.
Lifeline and other emergency broadband benefits ought to be
at the core of a comprehensive plan. And I think we've been
sort of marching around it. In normal times Lifeline is
underfunded, during a pandemic and when schools are shut down
and businesses are shuttered, it is more essential than ever.
And we ought to remind ourselves that after Hurricane
Katrina, the FCC took sweeping action to keep those whose lives
have been upended by disaster connected through the Internet
and within 1 month dedicated more than $200 million to fund
connectivity efforts and aggressively opened up Lifeline and E-
Rate programs to new carriers and subscribers.
I am thankful to FCC Chairman Pai. He's made some useful
changes to Lifeline and E-Rate in recent weeks, but by
comparison, these changes are just baby steps in the right
direction.
So let me ask every one of you whether you have an
estimate. Let's talk dollars about how much should be devoted
to Lifeline. Is $1 billion the right amount? Would you
recommend more or less? Again, let's go down the line and ask--
for Mr. Kimmelman, since you're by remote to start us.
Mr. Kimmelman. Thank you Senator Blumenthal, it's a great
initiative. If Senator Schatz had given me more options, I
would have had Lifeline right there with use of the existing
wireless facilities. One billion at least. I think you could
spend quite a bit more because the cost of high speed broadband
is so out of reach for so many people.
Senator Blumenthal. Thank you, Mr. Spalter.
Mr. Spalter. Let me let me say that without specifically
saying what the amount is, I do think that we should think as
well on program reforms so that these temporary emergency
programs both for Lifeline and E-Rate can actually flow money
as quickly as possible.
We have, a past is prologue, we've seen that that can be
done through the Telehealth Emergency program, where dollars
are actually reaching hospital systems to actually stand up
telehealth initiatives. We could do the same with Lifeline and
E-Rate.
For example, extending the waivers or changes to E-Rate
rules to include dollars to flow to actually allowing teachers
and students, their families, to have access to funds for not
just connectivity, but for devices at home.
With respect to Lifeline, we could move very quickly to
think about mechanisms to ensure that a temporary emergency
program would be extensible not just to traditional Lifeline
eligible participants, but to gig workers, to newly unemployed
workers, so that the scope of impact can actually be broader in
this immediate moment. I agree that the actual number, the
dollar figure is going to not be in the millions. It will be in
the billions, but we need to move quickly.
Senator Blumenthal. Well, I think that's a helpful answer,
since you're talking about billions as Mr. Kimmelman is, as
well. Ms. Bloomfield.
Ms. Bloomfield. I'd be loath to guess what the number is,
but I think it's going to be significant. And I think that your
initiative to be thinking about an emergency plan because there
are going to be some people who are newly unemployed, who will
not be immediately eligible for the existing Lifeline program.
So how do we capture those people whose lives have just been
up-ended? And these are the same households that have students
that need access.
So I think it's going to be looking at the program in the
long run, but in the short run doing something where we can get
that support out the door, and I will say, you know, again, the
Keeping Critical Connections Act will allow these small
providers to maintain or increase the speeds to those
consumers, that will actually be a complement to the Lifeline
subsidy.
Senator Blumenthal. Thank you.
Mr. Berry. And, Senator, I totally agree you're on the
right track. As I mentioned, we support the Stay Connected
voucher program. That would be a compliment to the Lifeline and
the E-Rate program. When you think about it, it goes directly
to the consumer. Empowers the consumer. They make the decision.
It could cost, depending on if you have two vouchers to each
household, up to nine plus billion dollars.
So there's your number for getting funds and much needed
access to communications services directly. And the thing about
it is the process is already established. The CARES Act already
has sent, you know, $1,200 checks to everyone, and it goes down
deeper and more technology neutral than anything else that's
out there. It can be done immediately. And I think it'd be very
complementary to your concept.
Senator Blumenthal. Thank you. I appreciate all of your
supporting this concept in real dollars because we have that
job of making it happen. And we can all support the principles
here, but the dollars really make the difference. And so thank
you all for your support. Thanks, Mr. Chairman.
Senator Sullivan. Senator Sinema.
STATEMENT OF HON. KYRSTEN SINEMA,
U.S. SENATOR FROM ARIZONA
Senator Sinema. Thank you Senator Sullivan and thank you to
all of our witnesses for participating today. The coronavirus
pandemic has highlighted the importance of having reliable high
speed Internet access throughout the country. It's a difficult
time for Arizonians, but having broadband access opens up many
opportunities for more employees to work from home, students to
participate in distance learning, for families to access
telehealth, for friends to keep in touch, and even for United
States Senators to participate in Commerce Committee hearings
remotely.
Yet, according to the Department of Commerce, 28 million
American households cannot access the Internet from home. So
expanding broadband for rural, tribal, and urban communities is
critical for families in Arizona during this crisis and into
the future. I was proud to support broadband provisions in the
CARES Act, but we need to do more.
The next relief package must continue to expand access for
Arizonians. Looking forward, we need to make sure that we have
a long-term plan to invest in broadband infrastructure, ensure
that we have an appropriate regulatory framework, develop
better coverage maps, and utilize Federal resources
efficiently. And I'm looking forward to working with all the
stakeholders and my colleagues on this committee to address
these issues.
My first question is for Mr. Kimmelman. As you know over 20
million Americans, including 12 million children, lack reliable
Internet access, which is a necessity for Arizona students to
get online learning during this crisis. I've heard amazing
stories of communities in Arizona working to mitigate these
challenges for students.
For example, two dozen school buses in Tucson Sunnyside
Unified School District are parked in parking lots around the
community. They provide Internet access for nearby students so
that they can receive assignments and communicate with their
teachers.
I'm a cosponsor of Senate bill S. 738, which is a bill that
requires the FCC to make the provision of WiFi access on buses
eligible for E-Rate support. This bill addresses the homework
gap by helping students who can't get the Internet at home.
My question for you is how else do you think we can support
kids with their distance learning? And how can we support
school districts that are utilizing innovative options during
school closures?
Mr. Kimmelman. Thank you, Senator Sinema. I really
appreciate your efforts here because the access Wi-Fi on buses
is critical triage right now and an immediate crisis and I hope
the Congress will move forward on that. I think from there, we
need to make sure we're getting the infrastructure builds as
quickly as possible in unserved communities, shovels in the
ground where you know you need fiber and get moving faster than
what the FCC has been doing. We need to put the money into
deployment so supporting small companies, as Senator Klobuchar
suggested with Senator Cramer, and expanding Lifeline so that
those who can't afford broadband where it exists, can at least
have access to it and can take advantage of it.
We need to get everyone on the network who can possibly be
on the network so that you can provide health care services and
expand telehealth so that you can make education work as
distance learning the best you can. Those are a variety of
initiatives that need to happen immediately.
Senator Sinema. So I appreciate it. My next question is for
Mr. Berry and Mr. Kimmelman. Broadband is essential to ensure
tribal communities across the country have the resources they
need to preserve public health and repair economic fallout. But
seven in 10 residents on rural tribal lands remain without
access.
The Navajo Nation, as you know, has been disproportionately
affected by the coronavirus pandemic, we have over 100
confirmed deaths. I've heard from Navajo Nation leadership that
Internet access is essential to help them mitigate this crisis
in their community.
During my time in the Senate, I've worked hard to ensure
that tribes in Arizona can utilize the gigahertz band for
broadband services and I was glad to see that last month, the
FCC agreed to let the Navajo Nation use unassigned spectrum to
help increase access during the crisis.
They've also received funding from the telehealth program
in the CARES Act to provide home health care and remote
monitoring services to patients who are isolated, including low
income elderly and high risk patients.
So could you discuss how the FCC and Congress should
further support connectivity in Indian Country during this
crisis?
Mr. Berry. Thank you, Senator and also thank you for your
leadership on this issue. You've been a stalwart of support for
everyone, especially the Navajo Nation. As I mentioned earlier,
we do have several companies that service Navajo territories
and cooperate and are in business with the Navajo Nation
itself.
And it's extraordinary with the increase of the access to
spectrum in through the SDAs that the FCC provided. Our
carriers are--I mean, 54 sites in 1 week were able to be turned
up and provide quality broadband capability, and they're
working more efficiently and trying to find other ways to
enhance this SDA concept.
I think we need to look at disaggregation and partitionment
of the spectrum that's currently out there in the rural areas
that may not be fully utilized by a carrier that may actually
own it, or it could be leased. Some of the rules that the FCC,
especially on partitionment and disaggregation are complicated.
And a carrier that may wish to lease or provide spectrum to
another provider may not be able to do so without extraordinary
exceptions at the FCC.
So all those things I think we need to explore and I like
the idea of having special attention given to Native Americans,
not only at the FCC, but in the legislative packages that are
going around. That's one of the reasons why we do support the
Stay Connected voucher because it will go directly to the
consumer.
There may be service out there that they can't afford and
hopefully they can do that. But you know, your issue it goes
deeper than just broadband connectivity, as you know, many of
those in the Navajo Nation that got that access to broadband,
their homes don't even have running water. So when they say
wash your hands, wash your hands, you just kind of--your heart
just has to fill for those individuals that are lacking more
than broadband. So thank you for the question.
Mr. Spalter. Can I just to very briefly extend that answer
Senator Sinema. It's Jonathan Spalter. You know, again, thank
you for your leadership.
One part of the solution set though, is just as the FCC and
other Federal agencies and this Congress is trying to move
forward to streamline and speed up deployment and removing
obstacles to doing so. That state, local, and tribal leaders
and governments should be encouraged to do the same. Speeding
up permitting, deployment barriers, speeding up every possible
effort, change of control requirements, that do get in the way
of carriers that want to actually deliver broadband as quickly
as they're able.
We're seeing that right now with the Navajo Nation, having
streamlined a set of permitting--railroad crossing, and other
rights of way issues and as a result, one provider, Frontier is
moving rapidly to deploy additional broadband to that
community.
Senator Sinema. Thank you. Thank you, Mr. Chairman.
The Chairman. Thank you, Senator Sinema.
And I just want to thank the witnesses. Mr. Berry, your
comment on that final point, although it's not really
broadband, I couldn't agree more with my state has over 30
communities where people, American citizens, some of the most
patriotic Americans in the country because Alaska Natives like
lower 48 Indians serve at higher levels in the U.S. military
than any other ethnic group in the country. Very patriotic.
But over 30 communities in my state don't have running
water. It's hard to tell people to wash your hands frequently
when they don't have running water in their communities. So I
hope we can get through that. And again, that should be tribal,
Alaska Native shareholders, and tribes or both, become an
issue, which I think is ridiculous has become an issue. Again,
I hope some of my Democratic colleagues will cease and desist
in that regard.
But it's all help that's going to be needed. I want to
thank again, the witnesses. I think two important conclusions
here. This pandemic has heightened the need even more for the
need for broadband, but I think especially in rural areas,
extreme rural areas, tribal areas, Native communities, and I
also believe that you see from this very interested group of
senators, so much participation, that there is broad bipartisan
support to get this done. So I think that's positive.
I want to thank all four of you for your fine testimony and
good answers to the questions. The hearing record will remain
open for two weeks. During this time Senators are asked to
submit any questions for the record. Upon receipt, the
witnesses are requested to submit their written answers
respectfully to the Committee as soon as they can, but by no
later than Wednesday, June 8, 2020.
Again, I want to thank the witnesses for appearing today.
This hearing is now adjourned.
[Whereupon, at 12:30 p.m., the hearing was adjourned.]
A P P E N D I X
April 29, 2020
Hon. Nancy Pelosi,
Speaker of the House,
United States House of Representatives,
Washington, DC.
Hon. Mitch McConnell,
Majority Leader,
United States Senate,
Washington, DC.
Hon. Kevin McCarthy,
Minority Leader,
United States House of Representatives,
Washington, DC.
Hon. Chuck Schumer,
Minority Leader,
United States Senate,
Washington, DC.
Dear Speaker Pelosi, Majority Leader McConnell, Minority Leader
McCarthy, and Minority Leader Schumer,
We, the undersigned, urge you to support access to affordable
broadband Internet in forthcoming COVID-19 stimulus package(s). Tens of
millions of Americans don't have broadband Internet at home. Low-income
families, rural residents, and people of color are particularly
affected, leaving our most vulnerable communities struggling to stay
connected with school, work, healthcare, entertainment, and their loved
ones during the COVID-19 crisis.
To make matters worse, more than 26 million Americans and counting
have lost their jobs due to the pandemic, and millions more have likely
had their hours and pay reduced. These individuals may struggle to pay
their broadband bills--if broadband is available to them at all.
During a time when communication tools have never been more
critical, and unemployment has never been so high, Congress must enact
policies to ensure that everyone has broadband internet. Broadband is
crucial for keeping residents home, safe, and as connected with
everyday life as possible during these trying times. Broadband enables
people to work remotely, access medical care, and apply for government
benefits. As all levels of education and training transition online for
the foreseeable future, reliable Internet access is essential for
students to be successful. Perhaps most importantly, broadband allows
residents who are isolated during the COVID-19 pandemic to stay
informed, entertained, and connected with loved ones while protecting
public health.
Like food, water, and electricity, everyone needs broadband
Internet service during this unprecedented crisis. That is why Congress
must include policies that support broadband availability, including
increased funding for adoption, network sustainability, and deployment
for areas still lacking access, in upcoming stimulus packages.
Sincerely,
Industry
A Better Wireless, NISP, LLC
American Sustainable Business Council
Channelford Associates Inc
CommScope, Inc.
Corporation for Education Network Initiatives in California (CENIC)
Digital West
E-rate Central
EDGE Consulting Partners
ELAE Enterprises, LLC
Engine
Epic Communications, Inc.
Espy Services Inc.
Fiber Broadband Association
Fully Equipped 4 Life Training Solutions
GWI, Inc
I-Light Indiana's Higher Education Optical Network
INCOMPAS
IT Remarketing, Inc. (DBA TechnoCycle)
Kajeet, Inc.
Lit Communities, LLC
Mighty River, LLC
Mobile Beacon Mozilla Corporation
National Asian/Pacific Islander American Chamber of Commerce and
Entrepreneurship (ACE)
National Rural Electric Cooperative Association
North Carolina Telehealth Network Association
NTCA-The Rural Broadband Association
On-Tech Consulting, Inc.
Open Hub
Pacific Northwest Gigapop
Revolution D, Inc.
Rural Wireless Association, Inc.
Silicon Harlem
Smart City Media LLC
Sonic Telecom
Starry, Inc.
Stem Nastics LLC
Stemnastics LLC
Synogy Group
Tribal Digital Village Network
Twitter, Inc.
Utah Education and Telehealth Network
Velocity Fiber
Vimeo, Inc.
Waste Management Innovations, Inc.
Wyoming County Chamber of Commerce
Local Government and Government Associations
Alaska Department of Education and Early Development
League of Oregon Cities
National Association of Telecommunications Officers and Advisors
National League of Cities
State of New Mexico Public School Facilities Authority SFA
Washoe County, NV
Wisconsin Department of Public Instruction
Nonprofits and Other Associations
Access Humboldt
Access Now
Adoptions Together
Adult Learning Center
Advance CTE
Advocates for Basic Legal Equality
Alabama Supercomputer Authority
AMERICAN FEDERATION OF TEACHERS, AFLCIO
Ashbury Senior Computer Community Center
Asian Americans Advancing Justice / AAJC
Association for Career and Technical Education
Association of Latino Administrators and Superintendents
Austin Free-Net
Austin Pathways at the Housing Authority of the City of Austin
Benton Institute for Broadband & Society
Brookline Interactive
California IT in Education (CITE)
Cambridge Public Access Corporation dba Cambridge Community Television
Center for Democracy & Technology
Center for Innovative Technology
Center for Rural Strategies
Central City Concern
Change Inc.
Citizens Action Coalition of IN
Common Cause
Common Sense Media
Communications Workers of America
Community Justice Project
Connect Your Community
Connected Insights
Connecting For Good
Consumer Reports
CoSN--Consortium for School Networking
Demand Progress
Digital Harbor Foundation
Digital Inclusion Practitioners of NJ
Disability Rights Pennsylvania
E2D, Inc.
Educators for Excellence
Electronic Frontier Foundation
Energy Outreach Colorado
EraseTheRedline Inc
EveryLibrary Institute
EveryoneOn
Fight for the Future
Filipina Women's Network
Free Geek
Free Press Action
Future of Music Coalition
Generations on Line
George Wiley Center
Goodwill Industries International, Inc.
Grahamtastic Connection
HBCU Innovation Center
Health Information Exchange of Montana
Health, Education and Legal Assistance Project: A Medical-Legal
Partnership
Higher Learning Advocates
Home Forward
HOPE Village Revitalization
Hopes Cap Inc,
Human-I-T
IBSA, Inc.
Independent Sector
Information Technology Exchange
InnovateEDU
Institute for Higher Education Policy
Institute for Intellectual Property & Social Justice
Institute for Local Self-Reliance
International Society for Technology in Education
Internet Society
Island Institute
Japanese American Citizens League
Joint Center for Political and Economic Studies
Latino Network
Low Income Utility Advocacy Project
Marconi Society
Maryland Alliance of Public Charter Schools
Media Alliance
MediaJustice
Merit Network, Inc.
Mobile Citizen
mohuman
Montana Organizing Project
MORE
Mountain Connect
Multicultural Media, Telecom and Internet Council (MMTC)
MuralNet
NAACP
National Center for Learning Disabilities
National Consumer Law Center, on behalf of its low-income clients
National Cristina Foundation
National Digital Inclusion Alliance
National Hispanic Media Coalition
National Queer Asian Pacific Islander Alliance
National Queer Asian Pacific Islander Alliance (NQAPIA)
National Skills Coalition
National Summer Learning Association
National Urban League
Native Public Media, Inc.
New America Education Policy Program
New America's Open Technology Institute
New Hampshire Society for Technology in Education (NHSTE)
Nostos Charity
NTEN
OCA--Asian Pacific American Advocates
Open Signal: Portland Community Media
Oregon Citizens' Utility Board
Palmetto Care Connections
Partners Bridging the Digital Divide
PCs for People Baltimore
Pennsylvania Mountains Healthcare Resource Development
Pennsylvania Utility Law Project, on behalf of our low income clients
PhillyCAM
Project Appleseed Pu
blic Knowledge
R Street Institute
Right Here, Right Now Project
ROANEnet
Schools, Health & Libraries Broadband (SHLB) Coalition
Schuylkill Women in Crisis
South Carolina Office of Rural Health
St. Paul Community Literacy Consortium
State Educational Technology Directors Association
Success Against All Odds
Tech Goes Home
Tech:NYC
Technology For All
Temple University--WELL Program
The Education Trust
The Hunt Institute
The Mann Center for the Performing Arts
United Church of Christ, OC Inc.
United Communities Southeast Philadelphia
United Neighborhood Centers
Utah Center for Civic Improvement
VALUEUSA
Vermont Mutual Aid Society
Vietnamese Social Services
Virginia Citizens Consumer Council
Virginia Society for Technology in Education
Voqal
Women's Resource Center
World Education, Inc.
Writers Guild of America West
X-Lab
Schools and Libraries
Boulder Valley School District
California Center for Rural Policy
Cheektowaga Public Library
Dunkirk Public Library
Free Library of Philadelphia
Gigabit Libraries Network
LEARN: Lonestar Education and Research Network
Multnomah Education Service District
NASPA--Student Affairs Administrators in Higher Education
Niagara Falls Public Library
Northeast Kansas Library System
Portland Community College
Providence Public Library
PSTV--Education Channel of the School District of Philadelphia
Sonoma County Library
St. Bonaventure University
State Higher Education Executive Officers Association
Western New York Library Resources Council
Ysleta Independent School District
______
Post Tech Policy in the Pandemic
Measuring Broadband Traffic in a Time of Crisis
By Sara Collins, Harold Feld
March 30, 2020 Broadband Access, Communications & Pandemic Series,
Congress, Connectivity, FCC, FCC Data, Interconnection, Last Mile,
Network Congestion, Network Speeds, WiFi, Wifi Access
This blog post is part of a series on communications policies Public
Knowledge recommends in response to the pandemic. You can read more of
our proposals here and view the full series here.
As social distancing becomes the new normal across the globe,
demands on broadband networks have grown larger, and those demands have
begun to strain the system. Over the past week Netflix, Facebook, and
YouTube have reduced streaming quality to help with the load, but our
Internet is still slowing down. However, not all users will be affected
in the same way. Some may experience a minor inconvenience, like having
to turn off their video connection during a conference call. Others may
find their connection degrades so that they can't participate in
distance learning programs or receive care via telehealth.
In order to know where these weak points are, the Federal
Communications Commission (or Congress) must require all Internet
service providers to report to the FCC traffic management information,
with an emphasis on getting data around the three major chokepoints in
wireline residential broadband access networks: the WiFi access points,
the last mile, and the interconnection points between the broadband
access provider and the Internet ``cloud.'' (Mobile wireless networks
have different stress points, the tower, the backhaul, and the
interconnection point. But because so many people are staying at home,
let's focus on fixed broadband.) This reporting would create a ``heat
map'' that shows the stress points of our national broadband
infrastructure. It will tell us where users aren't receiving adequate
Internet access, where reinforcements need to be made, as well as give
us a roadmap to follow in planning for the next emergency.
A WiFi access point is a networking hardware device that allows
other WiFi devices to connect to a wired network. When you're on your
laptop you can see not only your WiFi access point, but any other
access points in range. However, there are only a limited number of
frequencies that can transport WiFi signals. So while you cannot
connect to those access points, they still create noise that congests
those frequencies. If you're living in an apartment building,
townhouse, or other stacked development, this congestion is compounded
and ends up slowing down your Internet speeds. If two parents are at
home, both doing video conferencing from their laptops, while kids are
home too, maybe watching streaming video, a remote class, or just
chatting with their friends, there can be slowdowns that are not caused
by the Internet connection itself, but WiFi problems. If you're paying
for a gigabit connection, in a densely packed area, you could
experience slowdowns of up to 30 percent. While that circumstance might
be annoying, if you have a 20 or 10 Mbps connection, that 30 percent
slowdown is catastrophic. (Users can help mitigate this, perhaps by
repositioning their WiFi access points or by connecting as many devices
as possible to ethernet.)
The ``last mile'' describes the physical connection that an end
user has with the internet. This connection determines the bandwidth,
or speed, of a user's Internet connection. A DSL network was designed
to operate in one direction--sending information toward the user.
Download speeds tend to be much higher than upload speeds, which is
great for streaming a movie, but not so great for broadcasting your
Twitch channel, live video conferencing, or having a live telemedicine
visit, which need much higher upload speeds. Mobile wireless networks,
fixed wireless networks in rural areas, and satellite broadband
services will also experience similar issues because they weren't
designed for the heavy two-way traffic we are now seeing on the
network.
Interconnection points are similar to the last mile, except they
describe the connection an entire neighborhood has with the internet.
When these interconnection points experience a normal ebb and flow of
activity, broadband providers can slowly build out greater capacity. In
this case the interconnection point is experiencing not an ebb and
flow, but a tidal wave, and broadband providers can't respond quickly
enough to increase capacity. This tidal wave clogs the interconnection
point, which means nothing can get through. If your community is served
by a smaller ISP, this is also the point where their network is
connected to the larger incumbents, and where agreements to exchange
traffic between competing companies can be the difference between good
and bad quality connections for an entire community.
There are likely to be congestion points still further upstream.
Cloud service providers like Amazon AWS and Microsoft Azure, and their
connections to the Internet at large, may become congested. There may
be issues with Internet backbone providers as well. All these
considerations are why reporting more data is so essential right now.
What we're currently experiencing is unprecedented, and our
networks have never been tested like this before. It's to be expected
that there would be chokepoints and failures in the system. This is why
we must take the opportunity to collect data, learn where the weak
points are, and fix them before there is another crisis.
Sara Collins, Harold Feld
About Sara Collins
Sara Collins joins Public Knowledge as a Policy Counsel focusing on
all things privacy. Previously, Sara was a Policy Counsel on Future of
Privacy Forum's Education & Youth Privacy team and specialized in
higher education. She has also worked as an investigations attorney in
the Enforcement Unit at Federal Student Aid, as well as the Director of
Legal Services for Veterans Education Success. Sara graduated from the
Georgetown University Law Center in 2014, where she was the symposium
editor of the Journal of Gender and the Law. After graduating law
school, she completed a Policy & Law Fellowship at the Amara Legal
Center, an organization dedicated to fighting domestic sex trafficking
within the DMV area. Originally from Chicago, Sara attended the
University of Illinois, where she received a B.A. in both Political
Science and English.
______
Post Rural Broadband Access Tech Transitions
What America Can Do to Strengthen Its Communications Infrastructure
By Lindsay Stern
March 13, 2020
Every American should expect their communications systems to work
regularly and reliably, especially during a public emergency. As we
transition to new, more sophisticated and technologically-advanced
networks that support an array of new services, users should expect
those networks to work as reliably as the networks they replace. Those
networks must also not disrupt services used by customers served by
existing networks. So we should all be concerned about ensuring that
the new networks have a built-in capacity to provide reliable service.
Moreover, while we need to encourage the transition to these new
networks, even with the continually declining state of our Nation's
existing communications infrastructure, it must still provide service.
As telephone service providers allow their embedded networks to rust
and degrade with very little accountability and oversight, millions of
Americans lack basic, reliable voice telephone service, including
during and in the aftermath of a natural disaster--problems that are
persisting into the new services, such as VoIP (``Voice over Internet
Protocol,'' a form of telephone service provided over broadband
connections) and the wireless telephone networks upon which so many
Americans are dependent.
Network reliability and network resiliency are distinct concepts
that are inextricably linked. ``Network reliability'' means that you
can rely on the fact that you will have phone service to make and
receive phone calls and text messages. As an example, a network can
become unreliable from a lack of network maintenance that leads to
total degradation, or a lack of preparation to handle technological
failure. In California, residents experienced cell phone outages due to
both a lack of maintenance and preparation.
``Network resiliency'' means that after a network outage, the
network revives quickly to allow consumers, including emergency
responders, to make phone calls and send text messages. Network
resiliency is especially important today as natural disasters are on
the rise and extended outages can leave people in total isolation.
Network resiliency is crucial so that people can call their loved ones,
911, and other emergency responders without those calls failing.
Similarly, it allows for emergency responders to contact one another
and blast public safety announcements to their communities.
America is currently facing a serious crisis in network reliability
and resiliency. Communities around the country are experiencing
systemic failures of critical communications infrastructure. Telephone
service providers are private companies, and without regulation, they
will likely choose to cut costs and increase profits rather than invest
in strengthening their networks for emergency preparedness or to
prevent network outages. Congress created the Federal Communications
Commission for the purpose of having a centralized agency to regulate
the Nation's communications networks--and the FCC can do more to help
prevent these systematic failures. If the phone providers allow their
networks to degrade, these companies will suffer no consequences unless
Federal or state regulators take enforcement action. Unfortunately, the
past decade has seen a radical deregulation of the communications
industry. All states have deregulated the industry to some degree, and
37 states have eliminated direct regulatory oversight. At the Federal
level, in 2015, the FCC adopted the Tech Transitions Order, which
encouraged a national upgrade from copper to fiber communications while
also codifying various consumer protections during this transition.
Public Knowledge supported this Order. But in 2017, FCC Chairman Ajit
Pai eliminated these consumer protections. Public Knowledge sued the
FCC to challenge the elimination of consumer protections, but the case
was dismissed on technical legal grounds.
A major reason why network resiliency is so important is because
many people think that if there is a power outage, they will still be
able to dial 911, for example, on their VoIP phone or mobile phone--but
that is not necessarily true. Telephones connected to traditional
``telephone company'' landline copper networks are powered from the
telephone company's office and have back-up power systems so if the
power goes out, your phone still works. But today, many more services
have broadband based technology (e.g., VoIP Services), which do not
power the telephone. And remember, while we have a national Tech
Transitions policy that is encouraging every network to switch from
copper-based to broadband-based technology that will allow new
services, those new networks do not provide all the types of support
provided by the embedded copper network. In 2015, the FCC did adopt an
Order that will require companies who provide telephone company-like
services to make available, at an extra cost to the consumer, equipment
that the consumer can use to make 8 hours of backup power available.
For the moment, these providers only need to offer this option at the
point of sale. Customers can purchase a self-powered battery for their
home network, but they are expensive and only last a few hours, so many
do not. Instead, the FCC should require VoIP providers to offer
customers the capability for 24-hour backup power at no charge.
There's also a serious problem with cell phones. If you are relying
solely on your cell phone during a power outage, you will eventually
lose battery and not be able to recharge your phone. But even if your
cell phone is fully charged, if there is no power at a cell tower, the
signal will hit the tower and go nowhere.
In today's deregulated communications industry, companies are not
being held accountable for their degrading, unreliable networks, nor
are they being required to provide basic assurances of network
reliability--like ensuring that when you call 911 from your mobile
device, the call goes to a cell tower that has power. Congress, the
FCC, and states should do more to solve this problem. Here are some
ideas of what can be done at the state and Federal level:
Policymakers can impose liability on companies through fines for
inexcusable outages.
Cell towers should be required to have backup generators so that
there is backup power at every cell tower. Merely encouraging backup
network generators is not enough, if there is little-to-no incentive
for companies to spend money on emergency preparedness. Congress and
the FCC should mandate cell tower generators to ensure that everyone
has phone service during a power outage.
The FCC has been preempting local and state authority over
broadband-based services like VoIP. Instead, it should allow localities
to craft rules that are sensible for their locality and geographic
landscape.
Private market incentives to invest in emergency preparedness have
not worked. The FCC should set a mandatory framework that includes the
following:
Require wireless providers to abide by the Wireless Resiliency
Cooperative Framework, which is currently a voluntary industry
commitment to promote resilient wireless communications during
disasters. This includes having providers utilize the Disaster
Information Reporting System.
Require wireless providers to participate in Wireless Emergency
Alerts. They currently choose whether to participate, but it
should not be voluntary.
Consumers should have access to information regarding which
companies invest in their networks reliability and resiliency.
This information can better inform consumer decisions and
increase competition among providers.
Policymakers should include electric utility companies in the
regulations, given the role that a lack of power plays in
communications access.
Congress should continue to hold hearings and hold FCC
Commissioners accountable, including ensuring that they have
field hearings on this issue.
Congress should pass the RESILIENT Act. Among other things, it
requires pre-planned coordination agreements so that providers
have agreements to help serve each other's customers during and
after an emergency when their networks are not operating.
The FCC and Congress must take network reliability and resiliency
seriously or we will continue to experience these issues. Too many
consumers are being left behind, and the problems caused by network
failures are not only an inconvenience--they are often a matter of life
or death.
Lindsay Stern
About Lindsay Stern
Lindsay Stern is a Policy Fellow at Public Knowledge. Prior to
joining PK, Lindsay was a legal intern at the U.S. Senate Judiciary
Committee in the office of Senator Dick Durbin, as well as at the Mid-
Atlantic Innocence Project, and Street Law, Inc. Lindsay received her
J.D. from The George Washington University Law School, where she was a
member of the Federal Circuit Bar Journal, and received her B.A. in
Government at Franklin & Marshall College. She also spent a semester
studying at the University of Edinburgh. Lindsay was born and raised in
New York. She is a yoga and frozen yogurt enthusiast.
______
Before the
FEDERAL COMMUNICATIONS COMMISSION
Washington, D.C. 20554
In the Matter of )
)
Inquiry Concerning Deployment ) GN Docket No. 19-285
of
Advanced Telecommunications )
Capability to All Americans )
in a
Reasonable and Timely Fashion )
REPLY COMMENTS OF PUBLIC KNOWLEDGE, COMMON CAUSE, AND NEXT CENTURY
CITIES
Lindsay Stern Yosef Getachew
Public Knowledge Common Cause
1818 N St NW, Suite 410 805 15th Street NW, Suite 800
Washington, D.C. 20036 Washington, D.C. 20005
(202) 861-0020 (202) 833-1200
Francella Ochillo
Executive Director
Next Century Cities
1201 Connecticut Ave NW, Suite 300
Washington, D.C. 20036
December 9, 2019
______
I. INTRODUCTION & SUMMARY
Public Knowledge, Common Cause, and Next Century Cities submit
these Reply Comments in response to the Federal Communications
Commission's (``FCC'' or ``Commission'') Notice of Inquiry (``NOI'')
seeking comment on whether advanced telecommunications capability is
being deployed to all Americans in a reasonable and timely fashion.\1\
The record in this proceeding supports the fact that broadband is not
being deployed to all Americans in a reasonable and timely fashion.
---------------------------------------------------------------------------
\1\ See Inquiry Concerning Deployment of Advanced
Telecommunications Capability to All Americans in a Reasonable and
Timely Fashion, GN Docket No. 19-285, Fifteenth Broadband Deployment
Report Notice of Inquiry, FCC 19-102 (rel. Oct. 23, 2019) (``NOI'').
---------------------------------------------------------------------------
II. THE COMMISSION SHOULD INCREASE THE CURRENT BENCHMARK SPEED FOR
BROADBAND TO 100 MBPS DOWNSTREAM
The record demonstrates that the current benchmark speed of 25
Mbps/3 Mpbs is no longer adequate to meet the broadband needs of
households today, and that technological innovation and consumer demand
for faster broadband warrant the FCC to update its benchmark speed to
100 Mbps downstream.\2\ USTelecom argued that even though emerging
technologies may eventually require more bandwidth, ``there is no
reason to move away from the 25/3 Mbps as the target benchmark today.''
\3\ On the contrary, there are plenty of reasons to increase the
benchmark speed. As Open Technology Institute (``OTI'') explained, the
Commission should increase the current broadband benchmark because
``[t]he trends in the United States show that the average speeds are
increasing every year, and have long surpassed the 25 Mbps/3 Mbps
scale,'' \4\ and increasing the current benchmark will ``reflect the
current realities of the marketplace and consumer demand.'' \5\
---------------------------------------------------------------------------
\2\ See Comments of the Benton Institute for Broadband & Society,
Inquiry Concerning Deployment of Advanced Telecommunications Capacity
to All Americans in a Reasonable and Timely Fashion, Docket 19-285
(Nov. 22, 2019) (``Benton Institute Comments''), at 11; see also
Comments of the Fiber Broadband Association, In the Matter of Inquiry
Concerning Deployment of Advanced Telecommunications Capacity to All
Americans in a Reasonable and Timely Fashion, GN Docket 19-285 (Nov.
22, 2019) (``Fiber Broadband Association Comments''), at 4; Comments of
INCOMPAS, In the Matter of Inquiry Concerning Deployment of Advanced
Telecommunications Capacity to All Americans in a Reasonable and Timely
Fashion, GN Docket 19-285 (Nov. 22, 2019) (``INCOMPAS Comments''), at
6; Comments of Next Century Cities, In the Matter of Inquiry Concerning
Deployment of Advanced Telecommunications Capacity to All Americans in
a Reasonable and Timely Fashion, GN Docket 19-285 (Nov. 22, 2019)
(``Next Century Cities Comments''), at 4; Comments of the New America's
Open Technology Institute In the Matter of Inquiry Concerning
Deployment of Advanced Telecommunications Capacity to All Americans in
a Reasonable and Timely Fashion, GN Docket 19-285 (Nov. 21, 2019)
(``OTI Comments''), at 3-4.
\3\ Comments of USTelecom--The Broadband Association, In the Matter
of Inquiry Concerning Deployment of Advanced Telecommunications
Capacity to All Americans in a Reasonable and Timely Fashion, GN Docket
19-285 (Nov. 22, 2019) (``USTelecom Comments''), at 10.
\4\ OTI Comments, at 3.
\5\ Id. at 14.
---------------------------------------------------------------------------
Industry commenters provided evidence of offering broadband speeds
significantly faster than 25/3 Mbps despite calling on the Commission
to maintain the current benchmark. WISPA argued in favor of maintaining
the current standard, ``[g]iven the fact that the speed required for
the applications that most broadband consumers use has not changed
substantially since then, and actual subscriptions have not yet
consistently surpassed the benchmark level[.]'' \6\ Yet, USTelecom
explained that broadband at higher speeds is currently widely
available, citing that as of mid-2018 wired broadband service at 100/10
Mbps was available to 89 percent of Americans.\7\ Similarly, Internet
Innovation Alliance commented that the Commission should keep the
current benchmark speed, but it then explained how ``broadband
providers are constantly increasing speeds in response to competitive
pressures,'' and that it expects this trend to continue and accelerate
as the Nation moves towards 5G wireless broadband.\8\
---------------------------------------------------------------------------
\6\ Comments of The Wireless Internet Service Providers
Association, In the Matter of Inquiry Concerning Deployment of Advanced
Telecommunications Capacity to All Americans in a Reasonable and Timely
Fashion, GN Docket 19-285 (Nov. 22, 2019) (``WISPA Comments''), at 5.
\7\ USTelecom Comments, at 4.
\8\ Comments of Internet Innovation Alliance, In the Matter of
Inquiry Concerning Deployment of Advanced Telecommunications Capacity
to All Americans in a Reasonable and Timely Fashion, GN Docket 19-285
(Nov. 22, 2019), at 6.
---------------------------------------------------------------------------
Arguing that the Commission should maintain an outdated benchmark
speed while also arguing that most broadband providers are providing
higher speeds is nonsensical. The Federal standard is designed to
reflect the widespread utility and set guardrails to ensure that every
household is positioned to take advantage of advances in technology.\9\
The Commission should use a contemporary and forward-looking approach
that accurately reflects the broadband marketplace instead of one that
is outdated.
---------------------------------------------------------------------------
\9\ See generally Jameson Zimmer, FCC Broadband Definition Has
Changed Before and Will Change Again: Analysis of the FCC's Broadband
Internet Benchmark of 25/3Mbps, and why it changes over time. (Feb. 10,
2018), https://broadbandnow.com/report/fcc-broadband-definition/.
---------------------------------------------------------------------------
As reliance on broadband services continues to increase, the
Commission cannot continue to evaluate broadband nationwide with a
benchmark speed that has not been updated in five years and runs the
risk of becoming outdated.\10\ CTIA explained that consumers enjoy 90
percent faster download speeds than they did five years ago.\11\
Similarly, ACA Connects commented how its members ``often deliver
service that vastly exceeds 25/3.'' \12\ Yet commonplace applications
are quickly outpacing the Commission's standard for broadband. As
Benton Institute rightly stated, the Commission should ``set a new
benchmark that better represents marketplace realities,'' and the
reality is that broadband connections in the United States ``regularly
deliver 100 Mbps downloads and are increasingly capable of reaching 1
Gbps symmetrical speeds.'' \13\ If it maintains the current benchmark
speed, the Commission bears the risk of adopting policies that do not
reflect today's marketplace realities..
---------------------------------------------------------------------------
\10\ Next Century Cities Comments, at 4.
\11\ Comments of CTIA, In the Matter of Inquiry Concerning
Deployment of Advanced Telecommunications Capacity to All Americans in
a Reasonable and Timely Fashion, GN Docket 19-285 (Nov. 22, 2019)
(``CTIA Comments''), at 13.
\12\ Comments of ACA Connects, In the Matter of Inquiry Concerning
Deployment of Advanced Telecommunications Capacity to All Americans in
a Reasonable and Timely Fashion, GN Docket 19-285 (Nov. 22, 2019)
(``ACA Connects Comments''), at 2.
\13\ Benton Institute Comments, at 10.
---------------------------------------------------------------------------
Claims by the wireless industry and assumptions by the Commission
that 5G widespread deployments are imminent in 2020 make clear that a
25/3 Mbps standard will not suffice. To keep up with the realities of
the marketplace, the Commission must upgrade its definition of
broadband. For example, INCOMPAS explained that 1 Gbps is no longer
``aspirational'' as a benchmark, but rather it represents the reality
of speeds being deployed today across the U.S. INCOMPAS noted,
``[e]ntry-level service options by major BIAS providers are typically
at least 50 Mbps (and usually 100 Mbps) up to 2 Gbps.'' \14\ The Fiber
Broadband Association also called for the Commission to increase the
benchmark speed to at least 100/10 Mbps in order ``to reflect current
and near term use.'' \15\ The realities of the marketplace demand the
Commission increase its minimum speed definition of broadband.
---------------------------------------------------------------------------
\14\ INCOMPAS Comments, at 6.
\15\ Fiber Broadband Association Comments, at 4.
---------------------------------------------------------------------------
III. THE COMMISSION'S CURRENT METHODOLOGY IS FLAWED AND OVERSTATES
DEPLOYMENT
The Commission should not continue to rely only on Form 477 data
when evaluating the status of the Nation's broadband. Form 477 data is
too incomplete and inaccurate for the Commission to do so. In fact,
last week, Commission staff discovered that ``the Mobility Fund-II
coverage maps submitted by Verizon, U.S. Cellular, and T-Mobile likely
overstated each provider's actual coverage and did not reflect on-the-
ground performance in many instances. Only 62.3 percent of staff drive
tests achieved at least the minimum download speed predicted by the
coverage maps--with U.S. Cellular achieving that speed in only 45.0
percent of such tests, T-Mobile in 63.2 percent of tests, and Verizon
in 64.3 percent of tests. Similarly, staff stationary tests showed that
each provider achieved sufficient download speeds meeting the minimum
cell edge probability in fewer than half of all test locations (20 of
42 locations).'' \16\ As a result, the Commission's Rural Broadband
Auctions Task Force recommended that the Commission ``analyze and
verify the technical mapping data submitted in the most recent Form 477
filings of Verizon, U.S. Cellular, and T-Mobile to determine whether
they meet the Form 477 requirements.'' \17\ The Commission acknowledged
that ``Form 477 currently affords providers significant discretion in
determining the extent of their mobile broadband coverage.'' \18\
Although the Commission continued to explain that ``this discretion
does not encompass reporting inaccurate mobile coverage,'' \19\
inaccurate reporting nevertheless occurs and will continue to occur if
the Commission does not reform its current data collection process.
---------------------------------------------------------------------------
\16\ Federal Communications Commission, Rural Broadband Auctions
Task Force Releases Mobility Fund Phase II Coverage Maps Investigation
Staff Report, GN Docket No. 19-367 (rel. Dec. 4, 2019), https://
www.fcc.gov/document/mf-ii-coverage-maps-investigation-staff-report, at
2.
\17\ Id.
\18\ Id.
\19\ Id. at 3.
---------------------------------------------------------------------------
This recent wireless example helps support Benton Institute's claim
that ``Form 477 method is vulnerable to errors in the data carriers
report.'' \20\ As another example provided by Benton Institute of
inaccurate reporting, ``the Center for Rural Pennsylvania concluded
that although the Commission's broadband maps `show 100 percent
availability across the entire state of Pennsylvania of broadband
speeds that exceed 25 Mbps,' the Center's data `showed that there were
zero counties in Pennsylvania where at least 50 percent of the populace
received' 25/3 Mbps service. In other words, no Pennsylvania county had
the broadband coverage that the Commission said was enjoyed by every
Pennsylvania county.'' \21\
---------------------------------------------------------------------------
\20\ Benton Institute Comments, at 3.
\21\ Id. at 5.
---------------------------------------------------------------------------
As part of reforming its data collection process, the Commission
should require providers to submit more granular data on Form 477 as
well as enable a robust challenge process.\22\ The Commission is aware
that its reliance on Form 477 data collection overstates the number of
households with broadband coverage and even cited a recent report from
George Ford estimating a 3 percent overstatement.\23\ Given that the
Form 477 process will likely not be updated by the time next year's 706
Report is underway, it would be misleading and harmful for the
Commission to rely solely on Form 477 data to report on nationwide
coverage. As OTI explained, ``continuing to issue reports based on
flawed data would skew the Commission's findings under Section 706 and
perpetuate a consistently inaccurate view of the digital divide.'' \24\
This result would run contrary to the Commission's goal of closing the
digital divide by understating the scope of the divide, likely leading
to insufficient and ineffective policies to solve the problem.\25\
---------------------------------------------------------------------------
\22\ Comments of Public Knowledge, Common Cause, and Next Century
Cities, In the Matter of Inquiry Concerning Deployment of Advanced
Telecommunications Capacity to All Americans in a Reasonable and Timely
Fashion, GN Docket 19-285 (Nov. 22, 2019), at 12-14.
\23\ See NOI, at 17.
\24\ OTI Comments, at 11.
\25\ See NOI, at 25 (``The next Report will examine our actions
to spur broadband deployment and close the digital divide since issuing
the 2019 Report. We seek comment on the ongoing effects of these
efforts in spurring broadband deployment, as well as any additional
efforts we might undertake.'').
---------------------------------------------------------------------------
To the contrary, NCTA argued that the Commission should continue to
rely on Form 477 data even if there will be overreporting, and that
``there is no evidence to suggest that the degree to which coverage has
been overstated has changed in any meaningful way over time.'' \26\
However, the Commission should not justify using an inaccurate process
just because that process has been inaccurate for a long time. On the
contrary, this is a compelling reason for the Commission to update its
Form 477 process and why it cannot solely rely on this data for the
upcoming report. There is also evidence that the Commission's maps have
grown less accurate over time. According to a report published by the
Center for Rural Pennsylvania, ``since 2014, the discrepancy between
ISPs' self-reported broadband availability in the FCC's broadband maps
and the speed test results collected via the M-Lab platform has grown
substantially in rural areas, but not in urban areas; this may indicate
a systematic and growing overstatement of broadband service
availability in rural communities.'' \27\ The report explains how ``it
appears that official broadband maps are becoming less accurate over
time--particularly those for rural areas--and that the methodology used
by the FCC not only overstates broadband speeds and availability, but
are showing results that are less and less accurate year-after-year.''
\28\
---------------------------------------------------------------------------
\26\ Comments of NCTA--The Internet & Television Association, In
the Matter of Inquiry Concerning Deployment of Advanced
Telecommunications Capacity to All Americans in a Reasonable and Timely
Fashion, GN Docket 19-285 (Nov. 22, 2019) (``NCTA Comments''), at 4-5.
\27\ The Center for Rural Pennsylvania, Broadband Availability and
Access in Rural Pennsylvania (June 2019), at 8-9, https://
www.rural.palegislature.us/broadband/Broadband_Avail
ability_and_Access_in_Rural_Pennsylvania_2019_Report.pdf.
\28\ Id. at 75.
---------------------------------------------------------------------------
USTelecom supported the Commission's continued use of Form 477 as
it ``agrees with the Commission that Form 477 deployment data for fixed
technologies is currently the most reliable and comprehensive dataset
with which to assess availability of fixed services,'' \29\ and ADTRAN
argued a similar perspective.\30\ However, Form 477 is characterized as
the most reliable and comprehensive dataset because it is the only
current dataset that the Commission uses to analyze broadband
deployment. Moreover, Colville Confederated Tribes (``CCT'') expressed
that Form 477 is ``far from comprehensive.''
---------------------------------------------------------------------------
\29\ USTelecom Comments, at 12.
\30\ Comments of ADTRAN, Inc., In the Matter of Inquiry Concerning
Deployment of Advanced Telecommunications Capacity to All Americans in
a Reasonable and Timely Fashion, GN Docket 19-285 (Nov. 22, 2019)
(``ADTRAN Comments''), at 9.
---------------------------------------------------------------------------
Form 477 has the potential to be much stronger if the Commission
required ISPs to submit more granular data, such as actual speeds
provided and pricing information. CCT rightly stated that new granular
data collection methods ``will bridge the gap between reporting and
reality so that big carriers will not be able to over-report deployment
in the future.'' \31\ Notably, every commenter in this proceeding that
discussed Form 477, including the Commission itself, recognized that
Form 477 data is flawed.\32\ As a result, the Commission must figure
out other ways to supplant its analysis.
---------------------------------------------------------------------------
\31\ CCT, at 6.
\32\ See NOI, at 17; ACA Connects Comments, at 7; ADTRAN
Comments, at 9; Benton Comments, at 3; CTIA Comments, at 17; CTT
Comments, at 6; NCTA Comments, at 4; Next Century Cities Comments, at
6; OTI Comments, at 11; USTelecom Comments, at 12-13; WISPA Comments,
at 6.
---------------------------------------------------------------------------
While the Commission did use OOKLA consumer speed test data, it
should be weary that, according to CCT, this speed test ``does not
measure true network performance and only shows you how fast you can
move small files between sites. This is not what people do when they go
onto the Internet.'' \33\ CTIA also supported the Commission using
other resources to evaluate the state of broadband. As it explained,
``the Commission should take a holistic view of deployment progress
that looks beyond just speeds and coverage data to other data that
reflect the consumer mobile experience today'' and to evolve its
collection of data ``to more closely reflect consumers' experiences.''
\34\
---------------------------------------------------------------------------
\33\ Comments of Colville Confederated Tribes., In the Matter of
Inquiry Concerning Deployment of Advanced Telecommunications Capacity
to All Americans in a Reasonable and Timely Fashion, GN Docket 19-285
(Nov. 21, 2019) (``CCT Comments''), at 10.
\34\ CTIA Comments, at 17.
---------------------------------------------------------------------------
IV. MOBILE BROADBAND SERVICE IS NOT A SIMILAR FUNCTIONALITY OR
SUBSTITUTE TO FIXED BROADBAND
The majority of commenters in this proceeding that commented on the
substitutability of mobile and fixed broadband agreed that mobile
broadband service should continue to be treated as a separate,
complementary service to fixed broadband, rather than as a
substitute.\35\ As WISPA put it, ``[t]hese two distinct types of
service are not functional substitutes, but remain complementary
services, each independently required by most users to meet
significantly different elements of their daily communications and
information needs.'' \36\ If mobile broadband was to be considered as a
substitute for fixed broadband, it would not explain the fact that, as
Next Century City highlighted, ``the vast majority of households that
have mobile Internet access concurrently subscribe to a fixed access
service provider.'' \37\ The two services play different roles, as
evidenced by the fact that ``the vast majority of data usage travels
over Wi-Fi or local fixed connections rather than on a mobile
network.'' \38\ In addition, as NTCA explains, slowdowns or breaks in
mobile network service can cause severe delays or reductions in
quality, which is not just an inconvenience, ``but can mean a loss of
revenue for a business or a loss of productivity for a student.'' \39\
---------------------------------------------------------------------------
\35\ See ADTRAN Comments at 6; Benton Institute Comments, at 9; CCT
Comments at 3; INCOMPAS Comments, at 5; Next Century Cities Comments,
at 9; Comments of NTCA--The Rural Broadband Association, In the Matter
of Inquiry Concerning Deployment of Advanced Telecommunications
Capacity to All Americans in a Reasonable and Timely Fashion, GN Docket
19-285 (Nov. 22, 2019) (``NTCA Comments''), at 1-2; OTI Comments, at 1;
WISPA Comments, at 2.
\36\ WISPA Comments, at 2.
\37\ Next Century Cities Comments, at 2.
\38\ Id. at 3.
\39\ NTCA Comments, at 5.
---------------------------------------------------------------------------
In its comments, Free State Foundation encouraged the Commission to
conduct a more incisive analysis of fixed/mobile broadband substitution
due to the claim that ``[t]echnological differences between mobile and
fixed wireless, while significant, are less pronounced than in the past
due to network convergence.'' \40\ The Commission should not overlook
this concession that the differences between both services are
``significant,'' and many commenters have pointed out just how
significant the differences are in these two services. As INCOMPAS
explained, fixed and mobile broadband are distinct networks due to the
inherent limitations of mobile.\41\ For example, ``there is a distinct
difference between the speeds and connectivity available to consumers
of mobile service (with average speeds of 38.06 Mbps) and fixed (with
average download 129.65 Mbps), and most Americans and businesses
require access to a fixed broadband service because mobile is not a
sufficient substitute.'' \42\
---------------------------------------------------------------------------
\40\ Comments of The Free State Foundation, In the Matter of
Inquiry Concerning Deployment of Advanced Telecommunications Capacity
to All Americans in a Reasonable and Timely Fashion, GN Docket 19-285
(Nov. 22, 2019) (``Free Station Foundation Comments''), at 8.
\41\ INCOMPAS Comments, at 5.
\42\ Id. at 8-9.
---------------------------------------------------------------------------
While speeds are one consideration, Benton Institute pointed to
other differences between mobile and fixed broadband, including
latency, network architecture, usage limits, and pricing.\43\ ADTRAN
echoed similar concerns by explaining that ``in light of capacity
constraints, pricing policies and usage limitations, current mobile
broadband services are not a perfect `functional substitute' for fixed,
wireline broadband.'' \44\ CCT highlighted that the reality for many
rural Americans, including tribal lands, is that many areas do not even
have access to cellular coverage, and those that do experience
significant differences in the costs and data caps of each service.\45\
---------------------------------------------------------------------------
\43\ Benton Institute Comments, at 9.
\44\ ADTRAN Comments, at 6.
\45\ CCT Comments, at 3.
---------------------------------------------------------------------------
In an effort to support its argument that mobile is a substitute
for fixed broadband, CTIA noted the fact that ``roughly one-in-four
lower-income adults are `smartphone only' Internet users,'' and that
``the share of lower-income Americans who rely on their smartphone for
going online has roughly doubled since 2013, rising from 12 percent to
26 percent in 2019.'' \46\ Yet this statistic strengthens the argument
that low-income Americans are not always choosing to be mobile-only
because they see it as an equivalent to fixed, but rather the cost of
subscribing to both services is often prohibitive.\47\ The record is
clear. Mobile and fixed broadband continue to be complementary services
and are not substitutes for each other.
---------------------------------------------------------------------------
\46\ CTIA Comments, at 20.
\47\ John B. Horrigan and Maeve Duggan, Barriers to broadband
adoption: Cost is now a substantial challenge for many non-users, PEW
Research Center (Dec. 21, 2015), https://www.pewresearch.org/internet/
2015/12/21/3-barriers-to-broadband-adoption-cost-is-now-a-substantial-
challenge-for-many-non-users/.
---------------------------------------------------------------------------
V. THE COMMISSION SHOULD RETURN TO ITS PREVIOUS INTERPRETATION OF ITS
CONGRESSIONAL MANDATE TO REPORT ON THE STATUS OF BROADBAND
DEPLOYMENT
The Commission's two prior Broadband Deployment Reports departed
significantly from nearly a decade of precedent since the Broadband
Data Improvement Act (``BDIA'') \48\ by concluding that broadband is
being deployed to the U.S. in a timely and reasonable manner. CTIA
argued that ``[w]ere it Congress's intent to seek Commission input on
whether deployment to all Americans has been achieved, Congress easily
could have easily done so.'' \49\ But Congress did do precisely that,
and congressional reports show that it was Congress' intent to look at
current broadband deployment rather than come to its conclusion based
on the progress from the prior year.\50\ Calculating broadband progress
from year-to-year makes sense and is a good idea, but the determination
of whether progress has been made was never intended to be the
conclusion or the finding of the 706 Report. If it was, it does not
explain why for nearly a decade after BDIA was enacted the FCC looked
at the number of Americans with access to broadband for its 706 Report
before switching to the year-over-year improvement standard in
2018.\51\
---------------------------------------------------------------------------
\48\ See Broadband Data Improvement Act, 47 U.S.C. Sec. Sec. 1301-
1305 (2008) (``BDIA'').
\49\ CTIA Comments, at 5.
\50\ See See S. Rep. No. 110-204, at 1-5 (2007), as reprinted in
2008 U.S.C.C.A.N. 1707, 1707-09 (``BDIA Senate Report''); 154 Cong.
Rec. H10618-02 (2008) (the House passed S. 1492 as passed by the
Senate. As a consequence, there is no House Report or Conference
Report); See also Consumer Benefits of Broadband Service: Hearing
Before the S. Comm. On Commerce, Science and Transportation, 110th
Cong. (2008) (statement of Daniel K. Inouye, Chairman, Commerce,
Science and Transportation Committee); 154 Cong. Rec. H10618-02 (2008).
\51\ See Inquiry Concerning the Deployment of Advanced
Telecommunications Capability to All Americans in a Reasonable and
Timely Fashion, and Possible Steps to Accelerate Such Deployment
Pursuant to Section 706 of the Telecommunications Act of 1996, as
Amended by the Broadband Data Improvement Act, 2016 Broadband
Deployment Report, GN Docket No. 15-191 (rel. Jan 29, 2016), at 119-
120 (finding that advanced telecommunications capability was not being
deployed in a reasonable and timely fashion because ``although
deployment has increased . . . we are not satisfied that approximately
34 million Americans lack service, nearly the population of Canada.'').
---------------------------------------------------------------------------
Millions of Americans without broadband access will continue to be
left behind if the Commission claims that broadband is being served in
a reasonably and timely fashion when reality shows otherwise. ADTRAN
attempted to justify the Commission's progress-based approach by
claiming that the report ``ought not simply be asking . . .``are we
there yet?''--with ``there'' being the goal of 100 percent coverage.
Rather, ADTRAN explained, the Commission should be assessing whether
progress towards the goal of universal broadband availability is
occurring at a constant, accelerating or slowing pace.'' \52\ But why
isn't the Commission also asking ``are we there yet?'' ADTRAN is
correct that ``there'' is the goal of 100 percent coverage, but it is
incorrect in comparing this question to a child.\53\ That is exactly
what the Commission should be aiming for and should be making a finding
on an annual basis.
---------------------------------------------------------------------------
\52\ ADTRAN Comments, at 4-5.
\53\ Id.
---------------------------------------------------------------------------
WISPA also urged the Commission to continue using a progress-based
approach that measures the availability of advanced services in an
incremental process ``rather than by setting artificial a priori goals
that may be more aspirational than realistic.'' \54\ But the
Commission's new progress-based approach is aspirational by painting a
rosy picture that broadband is adequately being served nationwide
rather than explaining the truth. In reality, millions of Americans are
not connected to broadband. The Commission used to find this was cause
for concern and a call to action, but now interprets this fact to mean
that broadband is being deployed timely and reasonably. As Benton
Institute stated, ``[c]oupled with the Commission's continued reliance
on FCC Form 477, the Commission's `progress-based approach'
misrepresents the true reach of broadband in the U.S.'' \55\ CCT
justifiably expressed concern that the progress-based approach and how
this methodology ``harms tribal lands in remote locations with
overreporting . . . it clearly does not work.'' \56\
---------------------------------------------------------------------------
\54\ WISPA Comments, at 6.
\55\ Benton Institute Comments, at 2.
\56\ CCT Comments, at 1-2.
---------------------------------------------------------------------------
VI. THE COMMISSION SHOULD CONTINUE TO INCLUDE BROADBAND DEPLOYMENT
MEASUREMENTS FOR PUERTO RICO AND OTHER U.S. TERRITORIES IN ITS
ANNUAL BROADBAND DEPLOYMENT PROGRESS REPORT AND EVALUATE
DISASTER RECOVERY IN ORDER TO ENSURE THE DISASTER STRICKEN
AREAS ARE NOT LEFT BEHIND
Reporting separately on U.S. Territories runs directly contrary to
the Commission's congressional mandate to report on all of the United
States (including its territories)\57\ as well as the agency's
obligation to promote universal service.\58\ Furthermore, residents of
U.S. Territories are U.S. citizens, and the FCC has an obligation to
report on broadband deployment in those areas. Excluding the residents
of U.S. Territories from the Report is misleading as it dramatically
---------------------------------------------------------------------------
\57\ See 47 U.S.C. Sec. 1302 (``The Commission. . .shall encourage
the deployment on a reasonable and timely basis of advanced
telecommunications capability to all Americans . . .) (emphasis added);
see also NOI, at 2 (``The Commission's top goal is closing the digital
divide and bringing the economic, educational, healthcare, social, and
civic benefits of connectivity to all Americans seeking broadband
access.'') (emphasis added).
\58\ 47 U.S.C. Sec. 151 (``For the purpose of regulating interstate
and foreign commerce in communication by wire and radio so as to make
available, so far as possible, to all the people of of the United
States, without discrimination . . . there is created a commission to
be known as the `Federal Communications Commission' ''); see also FCC's
Website, Universal Service (``Universal service is a cornerstone of the
law that established the FCC''), https://www.fcc.gov/general/universal-
service.
---------------------------------------------------------------------------
understates the number of Americans without access to broadband.
The record in this proceeding is silent and includes no evidence why
U.S. Territories should not be included in the Commission's Report. In
fact, CCT is the only other commenter that discussed this issue and it
agrees that the Commission ``should include data from every state and
territory.'' \59\ CCT goes on to explain that ``[b]y not including such
data the FCC decisions are not transparent and based upon accurate data
in order to make it appear as if over all deployment is consistently
moving forward. Disasters happen, and the re-deployment of those
networks is just as important as new deployments to un-served areas.''
\60\
---------------------------------------------------------------------------
\59\ CCT Comments, at 13.
\60\ Id.
---------------------------------------------------------------------------
VII. THE COMMISSION'S RECENT ACTIONS HAVE WIDENED THE DIGITAL DIVIDE
INSTEAD OF NARROWING IT
We support and appreciate recent actions that the Commission has
taken with regard to spectrum,\61\ but the Commission still has a long
way to go to close the digital divide. Many of the Commission's recent
actions have been ineffectual or even counterproductive and widened the
gap, particularly for rural, low-income, and other marginalized
communities. As ITTA explained, even using the Commission's overstated
measure of broadband deployment, over 21 million Americans still lack
broadband access, and so the Commission must ``continue to arduously
pursue actions to foster broadband deployment.'' \62\ The United States
also continues to fall significantly behind other countries in
broadband penetration rates. For example, China has an 86 percent
penetration rate for fiber Internet connections compared to only 25
percent for the U.S.\63\ Before shifting its focus to ``winning the
race to 5G,'' the Commission must focus on closing the digital divide
and ensure that all Americans have access to broadband. This is
especially true because 5G wireless networks are unlikely to be
deployed anytime soon in currently unserved or underserved areas.\64\
---------------------------------------------------------------------------
\61\ See Auction 105: 3.5 GHz, Federal Communications Commission,
https://www.fcc.gov/auction/105; see also Margaret Harding McGill, Pai:
FCC will auction coveted 5G spectrum, Axios (Sept. 18, 2019), https://
www.axios.com/fcc-will-auction-5g-spectrum-d205fcf0-f9e5-4687-8d5f-
d0f2e676f9a1.html.
\62\ Comments of ITTA--The Voice of America's Broadband Providers,
In the Matter of Inquiry Concerning Deployment of Advanced
Telecommunications Capacity to All Americans in a Reasonable and Timely
Fashion, GN Docket 19-285 (Nov. 22, 2019), at 12.
\63\ See Tyler Cooper, China's Fiber Broadband Internet Approaches
Nationwide Coverage; United States Lags Severely Behind, BroadbandNow
(Dec. 3, 2019), https://broadbandnow.com/report/chinas-fiber-broadband-
approaches-nationwide-coverage/.
\64\ Ali Breland, The Hill, Rural America worries it will miss out
on 5G (Sept. 26, 30281), https://thehill.com/policy/technology/408416-
rural-america-worries-it-will-miss-out-on-5g.
---------------------------------------------------------------------------
There is widespread agreement that rural, tribal lands are being
left behind. According to CCT, [t]he only infrastructure that has been
put into play over the last decade has been provided by CCT itself.''
\65\ This is unacceptable. Much more work needs to be done. As NCTA
expressed, ``In determining how to fill the remaining gaps, we agree
with Commissioner Starks that it is important to understand why some
areas are still unserved and what role the Commission's policies have
played to date.'' \66\ The Commission should take a second look at some
of the policies it has enacted and plans to enact, including the
elimination of copper retirement safeguards, the proposed universal
service fund cap, and pending proposals to weaken the Lifeline
program.\67\ If the Commission's number one priority is truly to close
the digital divide,\68\ then its policies must comprehensively reflect
this goal.
---------------------------------------------------------------------------
\65\ CCT Comments, at 6.
\66\ NCTA Comments, at 7.
\67\ See In the Matter of Bridging the Digital Divide for Low-
Income Consumers, Fifth Report and Order, Memorandum Opinion and Order
and Order on Reconsideration, and Further Notice of Proposed
Rulemaking, WC Docket No. 17-287 (rel. Nov. 14, 2019), see also In the
Matter of Lifeline and Link Up Reform and Modernization, Order, WC
Docket No. 11-42 (rel. Nov. 19, 2019).
\68\ See FCC's Website, Bridging The Digital Divide For All
Americans (quoting Chairman Pai: ``Since my first day as Chairman of
the FCC, my number one priority has been closing the digital divide and
bringing the benefits of the Internet age to all Americans.''), https:/
/www.fcc.gov/about-fcc/fcc-initiatives/bridging-digital-divide-all-
americans.
---------------------------------------------------------------------------
VIII. CONCLUSION
For the reasons described above, the record supports the notion
that the Commission should increase the benchmark broadband speed to
100 Mbps downstream; rely not only on Form 477 data when evaluating the
status of the Nation's broadband; continue to find mobile and fixed
broadband as distinct services; return to its previous interpretation
of how to report on the status of broadband deployment, rather than a
progress-based approach; include U.S. Territories in its annual report;
and ensure that its actions help close the digital divide.
______
Broadband for America's Future: A Vision for the 2020s
A special report written by Benton Senior Fellow Jonathan Sallet
Download Full Report
The broadband revolution is sparking broad social and economic
change. We see three overarching benefits that High-Performance
Broadband can deliver in the next decade:
Growing the American Economy. High-Performance Broadband transforms
industries that are basic to everyday life, positively impacting
agriculture, education, healthcare, energy, and more.
Empowering Workers. High-Performance Broadband advances skills
training to boost individual opportunity, helping to overcome income
inequality and economic frustration.
Strengthening Communities. High-Performance Broadband spurs
economic growth and jobs. It can enable civic participation. It can
improve the health, education. and learning of community members.
Broadband for America's Future: A Vision for the 2020s collects,
combines, and contributes to a national broadband agenda for the next
decade. Our work is built on the lessons of communities, public-
interest advocates, government officials, and industry experts that
have labored to expand broadband's reach to everyone in the United
States. They deserve credit for their investments and innovations, and
we have attempted to reflect their accomplishments and ideas, while
contributing Benton's own insights--insights built on a body of work
stretching back to the 1980s.
This publication is a part of a discussion on how public policy can
close the digital divide and extend digital opportunity everywhere.
Report Breakdown
Today, too many people in the U.S. face barriers that keep them
from maximizing the opportunities from fixed broadband connections that
should run to everyone's home. Leaders at all levels of government
should ensure that everyone is able to use High-Performance Broadband
in the next decade by embracing the following building blocks for a
National Broadband Agenda: 1) Deployment, 2) Competition, 3)
Affordability and Adoption, and 4) Community Anchor Institutions.
Download the One Sheet Summary | Download Full Executive Summary
Join the Conversation
The latest conversations on Broadband for America's Future: A
Vision for the 2020s.
Get Updates
Past Newsletters
June 8, 2020: A Digital Chasm
April 15, 2020: The Broadband Moment
Feb. 28, 2020: The Growing Role of Community Anchor Institutions
Jan. 27, 2020: From Networks to People
Dec. 18, 2019: Broadband Success Stories Across the Country
Nov. 19, 2019: The Conversation About America's Broadband Future
Continues
Jon Cited in New America's ``The Cost of Connectivity 2020''
On July 15, New America published The Cost of Connectivity 2020, a
pivotal report on Internet affordability worldwide, with a particular
emphasis on connectivity in the United States.
Authors Becky Chao and Claire Park cite Jon Sallet's recommendation
of $10 per month being an affordable benchmark for low-income
households. The authors write, ``Only six plans in our U.S. dataset
meet this $10 benchmark at any speed tier (only four meet Sallet's 50/
50 Mbps recommendation),'' and all six are offered in Ammon, Idaho.
Ammon's municipal broadband network was featured in Jon's Broadband for
America's Future report. ``Even with promotional pricing, no private
provider offers a plan that meets Sallet's $10 benchmark for low-income
households,'' said Chao and Park.
Read the Report
Jon Featured in Freethink Video
The digital divide has left over 40 million Americans without
access to reliable internet. The pandemic has kickstarted initiatives
to change that. Jon Sallet said, ``These are problems that existed for
a long time but what this crisis has done is fast-forward us into a
broadband future.''
Watch the Video
Jon Sallet and Mignon Clyburn Featured in Boston Globe Ideas
Jon Sallet and former FCC Commissioner Mignon Clyburn wrote a
piece, ``Make Broadband Far More Affordable'', that was published in
the Boston Globe's Ideas section. Sallet and Clyburn write that the
coronavirus pandemic has demonstrated that broadband is an essential
pathway to full participation in our society and our economy, and urge
Congress to ensure affordable broadband for all. ``We urge Congress to
establish a broadband credit--call it America's Broadband Credit--to
ensure many more people can afford high-speed Internet access.''
Read the Article
Jon's Research Cited by Rev. Al Sharpton, FCC Commissioner Starks, Et
Al. In Essence
On June 17, 2020, Rev. Al Sharpton, FCC Commissioner Geoffrey
Starks, and other civil rights leaders published the article Broadband
Access Is A Civil Right We Can't Afford To Lose--But Many Can't Afford
To Have in Essence. ``There is a broadband emergency in America,'' the
article begins. ``The COVID-19 pandemic has exposed the digital divide
in an unprecedented way. As civil rights leaders and a commissioner of
the Federal Communications Commission, we are calling on our Nation's
leadership to enact a robust connectivity plan to address the immediate
and future needs of marginalized communities.''
They wrote, ``A recent study indicates that more than 18 million
households lack broadband simply because it is too expensive. An
affordable broadband option will help ease the burdens on people who
struggle to make ends meet. Research shows that low-income families can
only afford to pay around $10 a month for broadband, which is roughly
the price point of many Internet offerings targeted toward low-income
consumers. We must expand these offerings and remove barriers to
participation,'' which links to Jon's Creating an Affordability Agenda.
Read the Article
America's Broadband Moment: Creating a Broadband Competition Policy
Agenda
Broadband competition is more important than ever because--in these
crises and beyond--America has fast-forwarded into its broadband
future. But broadband competition is limited: At a typical broadband
speed of 100/10 Mbps, at least 80 percent of Americans face either a
monopoly (no choice) or a duopoly (only one choice) for fixed service.
It's worse in rural America, where monopoly is even more prevalent. The
impact is obvious: higher prices, lower quality and/or slowed
innovation limiting the ability of people to participate fully in
society and the economy.
Here are five significant ways governments can encourage
competition.
Read the Article
Jon Sallet Referenced on ITIF's ``Innovation Files'' Podcast
On the June 1, 2020 episode of ``Innovation Files,'' a podcast from
the Information Technology & Innovation Foundation, hosts Rob Atkinson
and Jackie Whisman spoke with Larry Downes and Blair Levin about their
recent article for Aspen Institute entitled ``The Internet After COVID-
19: Will We Mind the Gaps?''
Atkinson incorrectly claimed Sallet suggested that ``we should have
subsidized two networks in every area'' and asked Downes and Levin for
their thoughts. To listen to the episode or to view the transcript,
see: What the COVID Crisis Teaches Us About Broadband Policy, With
Special Guests Larry Downes and Blair Levin.
Listen to the Podcast
Jon Sallet Featured on Next Century Cities Webinar on How Local Leaders
Can Influence State And Federal Policy
On May 27, 2020, Next Century Cities hosted a webinar to discuss
the many ways for local officials to engage in state and Federal
policymaking. Jon Sallet and Kathryn de Wit, who manages the Broadband
Research Initiative at Pew Charitable Trusts, spoke on the importance
of elevating local connectivity challenges while finding ways to work
in partnership with state and Federal governments.
Watch the Call
Former FCC Chairman Tom Wheeler Cites Jon Sallet, Benton Institute
Research
On May 27, 2020, former Federal Communications Commission Chairman
Tom Wheeler published 5 steps to get the Internet to all Americans:
COVID-19 and the importance of universal broadband. He wrote:
``We hear often about the 'digital divide' in America. The
challenge is greater than that, however. It is what Jon Sallet calls
the 'digital chasm'--a cluster of digital divides that are larger,
longer lasting, multi-faceted, and harder to close. Once and for all,
it is time to attack the digital chasm. Any such effort begins with
fixing America's connectivity problem, both in terms of access and
affordability.''
He also cited Broadband for America's Future: A Vision for the
2020s for the study that found low-income Americans can only afford to
pay about $10 per month for broadband. He went on to write:
``In the 21st century, a low-income subsidy for Internet access
is as important as telephone access was in the 20th century.
Americans availing themselves of the program should be able to
use it to obtain service from any qualified broadband provider,
not just a telephone company. And the provision of such a low-
income program should be a requirement if a company receives
Federal support to expand broadband.''
Read the Report
Jon Sallet Referenced In Forbes Article on Addressing the Digital
Divide
In the May 7 Forbes article Three Policies To Address The Digital
Divide, Robert Seamans discussed expanding and reforming the Lifeline
program in an effort to address the digital divide. Seamans, an
associate professor at New York University's Stern School of Busines
and former senior economist on President Obama's Council fo Economic
Advisers, specifically cited Jon Sallet's suggestion that the Lifeline
offering be increased to $50 a month and recipients be allowed more
choice in how they can spend the offering.
Read the Full Article
America's Broadband Moment: Making Broadband Affordable
The time has come for Congress to establish a broadband credit--
call it America's Broadband Credit (ABC)--to ensure that people who
can't afford broadband can use broadband. The debate on whether
broadband is a luxury or an essential connection to society is over.
Read the Article
Jon Sallet Discusses the Digital Divide on Market Day Report
Jon Sallet discusses bridging the rural digital divide amid the
coronavirus pandemic.
``Rural American needs High-Performance Broadband just as much as
the rest of America. And that's why Congress needs to act, hopefully,
on a bipartisan basis.''
This clip aired on RFDTV's Market Day Report on Wednesday April 29,
2020.
Watch on YouTube
Jon Sallet Referenced in Boston Globe Editorial
On April 26, 2020, the Boston Globe editorial board published A New
Chance to Close the Digital Divide. The article stresses the need for
policy solutions that focus on the digital divide in urban areas,
advocating for solutions that focus on cost. The editorial board
suggests expanding the Lifeline program, which provides subsidies of
$9.25 per month for either fixed-line broadband at home or a wireless
phone plan. They wrote:
To be eligible for Lifeline, a household must earn no more than 135
percent of the Federal poverty level, or $29,000 for a family of three.
But Jon Sallet, a senior fellow at the Benton Institute for Broadband
and Society, says that 135 percent cutoff should be higher--as it is
for other Federal anti-poverty programs--given the increasing
importance of broadband for economic development and public health.
Read the Editorial
America's Broadband Moment
The debate on whether broadband is a luxury or an essential
connection to society is over. More than twice as many people are now
using residential broadband during business hours as before the COVID-
19 crisis. Over 55 million students have been impacted by school
closures. The use of telehealth has skyrocketed.
This is our broadband moment: a hinge of history that will
determine whether today's residential broadband is fit for the changed
world in which we inhabit or whether its limits work to disadvantage
those that are not equipped to use it.
This is the time to invest in, plan for, and engineer High-
Performance Broadband for every person in America.
Read the Article
Jon Featured in Merit Webinar ``High-Performance Broadband: Economic
Success in the 2020s''
On April 9, Jon led a webinar for Merit Networks where he discussed
the long-term prospect for ensuring that everyone in American has
access to high-performance broadband, on the continuing importance of
state and local leadership in broadband, and on short-term Federal
action.
View Jon's Powerpoint
Our Networks Are More Vital Than Ever. The FCC Owes Us Updates.
On March 30, Jon wrote an op-ed in Undark, arguing the FCC should
issue a weekly broadband status report during the COVID-19 crisis.
``America's network infrastructure is a patchwork quilt of
technologies reaching across a vast geographic area with widely varying
usage patterns even in normal times. But we are not in normal times,
and the need for an entity that can provide school administrators,
emergency planners, and the general public with a bird's eye view of
the health of our variegated communications systems and technologies
has never been greater. It's not enough to receive (if we do)
individual network reports. The FCC, with its view across networks,
should step up.''
Read the Article
Our Broadband Moment-Acting Now and Looking Forward
To mark the National Broadband Plan's 10 year anniversary, Jon
joined others in discussing what should be on the agenda for a plan for
the next decade.
``The National Broadband Plan showed the way and it has stood the
test of time. But we are being tested anew and we must, as a nation,
respond with a broadband plan robust enough to withstand the challenges
and seize the opportunities of this new, and already frighteningly
novel, decade.''
Read the Article
Jon Quoted in C/Net Article
Can U.S. broadband companies handle the increased network traffic
from the coronavirus crisis?
``To be honest, I think we just don't know the answer,'' he said.
``But that's something the FCC should be asking the Nation's broadband
providers and telling the American people the answer.''
Read the Article
Jon Featured on Panel ``2020 COVID-19 Pandemic Response: Will We Break
the Internet?''
On April 8, the Fiber Broadband Association hosted a panel to
examine the effect of COVID-19 on our Internet networks.
[Account required to view recording]
Watch the Recording
Affordable Broadband Now and Later
In pursuit of achieving truly universal broadband service at a time
when we know everyone desperately needs to stay connected at home, the
Federal Communications Commission should immediately provide $50 per
month to low-income households to subsidize fast broadband service
during these crises of health and economic dislocation.
But we must also look past this present emergency and think about
long-term solutions for our long-standing problems.
Read the Article
Jon Featured on Panel ``How to Keep Americans Connected During the
Crisis''
Public Knowledge hosted a webinar to discuss the specific
regulatory and legislative solutions the FCC and Congress should
consider to help America overcome the challenges from the coronavirus.
Four Steps Towards E-Rate Connectivity and Competition
There's more we can do to improve the effectiveness of the E-rate
program.
Special Construction Offers More Competition and Lower Costs
Buyer Consortia Can Lower Costs and Should Be Encouraged and
Expanded
Improved Administration Would Expand the Reach of E-Rate and Lower
Costs
State and Local Efforts Magnify the Positive Impact of E-Rate
Read the Full Article
Community Anchor Institutions as Launching Pads for High-Performance
Broadband Deployment
Community anchor institutions can serve as a launching pad for
community-based broadband access and, in places where broadband has
already been deployed, more broadband competition. As Joanne Hovis
explains:
By their nature, most government networks to anchor institutions
will reach deep into neighborhoods that house schools, libraries,
public health offices, and government facilities such as water towers
and fire stations. Many localities then lease excess capacity to
private sector providers to enable service provision and last-mile
build-out in the neighborhoods. This trend is fast accelerating as
hundreds of localities make available spare fiber-optic capacity to
private carriers at rates designed to catalyze new private sector
investment and opportunity.
Read the Full Article
Tell The Story We Know: Broadband Competition is Too Limited
The competition story needs to be told: We can expect people with
only one choice to pay monopoly prices, and people with only two
choices to pay the higher prices typically charged by duopolies. People
with three or more choices typically pay less. Clearly, people who can
barely afford to pay a competitive price, say, low-income Americans,
are particularly vulnerable to artificially high prices.
Read the Full Article
From Places to People--Connecting Individuals to Community Anchor
Institutions
Policymakers should help enable community anchor institutions to
connect to their users wherever they are.
Congress and the Federal Communications Commission should expand E-
Rate to provide wireless access to students of lower-income families
who do not have broadband at home. At current prices, $100 million
would support the full cost of LTE service to between and two million
and three million K-12 students. (Such efforts should be affordable
given that the E-Rate program is currently running about $1.3 billion
below its $3.9 billion budget cap.)
Read the Full Article
Supporting the Increasingly Important Missions of Community Anchor
Institutions
Community anchor institutions should be at the center of any
comprehensive national strategy to promote the availability and use of
High-Performance Broadband. In the next decade of the 21st century,
ubiquitous broadband and the special role of community anchor
institutions will continue to evolve as ubiquitous broadband
increasingly empowers such institutions where they are, and where their
users are.
Read the Full Article
Jon Sallet Featured in Broadband Communities Magazine
An excerpt of Broadband for America's Future was featured in
Broadband Communities Magazine January/February 2020 edition.
``Today, too many people in the United States face barriers that
keep them from maximizing the opportunities from fixed broadband
connections that should run to everyone's home. To overcome these
barriers, leaders--notably at the state and local levels--are executing
policies to boost deployment of networks where adequate broadband does
not exist; competition, which will increase choices and spur lower
prices and better-quality service to residents; and affordability and
adoption for those who wish to have broadband in their homes but lack
the means or the skills to acquire it. They also are working to support
and enhance community anchor institutions, such as schools and
libraries, that increasingly serve users wherever they are.''
Read the Full Article
Next Century Cities' Opportunities for Bipartisan Tech Policy 2020
On January 23, Jon spoke on the panel ``Broadband Access Versus
Broadband Subscriptions--the Difference and Why It Matters'' at Next
Century Cities' Opportunities for Bipartisan Tech Policy 2020.
You can watch video of the panel here: https://livestream.com/
internetsociety/bipartisntech2020/videos/201203851
Moderator: Alejandro Roark, Executive Director, Hispanic Technology
& Telecommunications Partnership
Joshua Edmonds, Director of Digital Inclusion, City of Detroit
Jonathan Sallet, Senior Fellow, Benton Institute for Broadband &
Society
Angela Siefer, Executive Director, National Digital Inclusion
Alliance
Tom Struble, Technology & Innovation Manager, R Street Institute
Watch The Video
Creating an Affordability Agenda
To meet the challenge of providing fixed broadband at roughly $10
per month requires implementation of a variety of strategies. Here are
seven ways governments can tackle the affordability challenge:
Spur Competition
Protect and Strengthen the Lifeline Program
Provide Assistance to Broadband Providers' Low-Income Programs
Require Affordable Tiers of Broadband Service When Supporting
Deployment
Educate and Protect Consumers
Support Programs That Make Low-Cost Computing Devices Available
Provide Access Via Community Anchor Institutions
Read the Full Article
How Do We Ensure That Everyone Has Access To Broadband?
Jon was featured in a Next Century Cities video that asks ``How do
we ensure that everyone has access to broadband?''
Digital Skills and Broadband Adoption
A key element to adoption is the development of skills so people
are able to find, evaluate, utilize, share, and create content using
information technologies and the Internet. This digital literacy is a
language, a language with which we become better speakers, learners,
creators, employees, entrepreneurs, and citizens. The need for digital
skills to get and succeed in new jobs is ubiquitous, across rural,
suburban and urban areas, across demographics, across age groups. And
the impact of success is equally broad--building economic success that
strengthens a community, state and nation.
Read the Full Article
From Networks to People
Broadband's fundamental value doesn't come from connecting
computers to networks; its value comes from connecting people to
opportunity, and society to new solutions. When a broadband network is
available but a person who wants to use it can't do so, then the
network is less valuable to everyone else who does use it.
Drawing from Broadband for America's Future: A Vision for the
2020s, over the next few weeks we'll be looking at the challenges the
U.S. faces as we try to achieve more equitable and effective broadband
use. We will also focus in on adoption efforts in the first Google
Fiber location--Kansas City.
Read the Full Article
Too Big to be Left Unnoticed: America's Uncompetitive Broadband Market
Jon's speech at The Capitol Forum's Annual Tech, Media, & Telecom
Competition Conference on December 5, 2019.
We should pay more attention to the lack of competition in the
provision of fixed broadband to homes and small businesses.
Fixed-broadband competition is very, very limited. That's a problem
for consumers and for their communities.
Pro-competition policies can tackle that problem by stimulating
competition that delivers competitive benefits to consumers--more
savings, more quality, more innovation.
The correct way to think about greater competition is not to ask
simply what is most profitable for any one company; it is to ask what
best serves consumers.
The benefits from the use of High-Performance Broadband accrue to
the broader economic and social benefit of America. Limited broadband
competition--without regard to its cause--therefore curbs the economic
and social progress that broadband can help deliver.
Read the Full Speech
Jon Sallet Featured on the Broadband Bunch Podcast
The Broadband Bunch podcast interviews Jon Sallet at the Broadband
Communities Summit in October 2019. Live, from Washington, D.C.!
Listen Here (00:00-19:30)
``Nobody is saying broadband by itself solves every problem. But
what we do think is that the big problems in America can't be solved
without including broadband. Agriculture, climate change, education for
people of all ages, the economy, health care, all of these kinds of
solutions will end up riding on broadband networks.''--Jon Sallet
Full Podcast
Rural Electric Cooperatives Deliver Broadband
Home broadband subscription rates continue to lag in rural areas,
holding back local economies and access to telemedicine. The deployment
of broadband networks to rural areas echoes the challenges earlier
generations had ensuring that electrical networks and telephone service
reached everyone. The solutions those earlier generations employed
provide us lessons for today's broadband challenges.
See Also: Georgia Authorizes Electric Cooperatives to Deliver Rural
Broadband. Bill Verner, Senior Vice President with Georgia Electric
Membership Corp., discusses how Georgia is using electric cooperatives
to reduce the digital divide.
Read Jon's Full Article
Jon Sallet and Adrianne Furniss on the Community Broadband Bits Podcast
Benton Institute Executive Director Adrianne Furniss and Senior
Fellow Jon Sallet sat down with Christopher Mitchell of the Insitute
for Local Self-Reliance on the Community Broadband Bits Podcast.
In this episode, Jon analyzes stories and situations from around
the U.S. and establishes a vision that will help us move forward to
connect as many people as possible. He and Christopher discuss the four
major factors that, if nurtured correctly, can help us integrate
broadband into all sectors of society and maximize its usefulness.
Christopher and Jon give special time to competition, an issue that
arises repeatedly in the work at Benton and at the Institute for Local
Self-Reliance.
Listen to the Interview
Building Blocks for a National Broadband Agenda
Jon's speech at the Broadband Communities Conference on October 30,
2019.
How does policy help us reach our broadband goal? Policymakers
should use these four building blocks to create and further broadband
policy.
Deployment of networks where adequate broadband does not exist;
Competition increases choices and spurs lower prices and better-
quality service;
Affordability and Adoption for those who lack the means or the
skills to use broadband; and
Community Anchor Institutions, such as schools and libraries,
increasingly serve their users wherever those users are.
Read Full Speech
Jon Sallet (Benton), Vint Cerf (Google) and Jim Baller (CLIC) Address a
New Vision for America's Broadband Future for the 2020s
A packed audience in Alexandria, Virginia, listened intently during
CLIC's afternoon event on October 31, as CLIC's President, Jim Baller,
led a fascinating discussion on a new vision for America's broadband
future for the 2020s. This is a moment worth remembering. Setting the
tone was Gail Roper, Director of National Initiatives for the Knight
Foundation, who noted how the Knight Foundation emphasizes the
importance of access, and equity as new Internet applications unfold.
Gail then introduced Jim Baller, who guided Jon Sallet and Vint Cerf
(Vice President and Chief Internet Evangelist at Google) through a
spirited discussion of the key components of Jon's special report
entitled ``Broadband for America's Future: A Vision for the 2020s.''
Read the Full Article
Bringing High-Performance Broadband to Rural America
Many rural communities understand the importance of broadband to
their future and they are taking matters into their own hands. For
example, drive about 80 miles from Washington, D.C., and you can find
yourself in the northern portion of Queen Anne's County, Maryland. The
research Jon has done for Broadband for America's Future: A Vision for
the 2020s led him to observe Queen Anne's County's work to connect.
Read the Full Article
Imperial County: Closing the Homework Gap in a California Desert
Community
In communities where too many people have no access to broadband
infrastructure, investing in connections to community anchor
institutions is an intermediate step that can pay huge public
dividends. Imperial County, located in the sparsely populated desert
region of southeastern California, is an exciting example. To close the
Homework Gap, the Imperial County Office of Education teamed up with
local school districts to start the BorderLink project, which relies on
LTE technology to bring wireless Internet connectivity to students in
eleven communities.
Read the Full Article
Broadband for America's Future Starts with Anchors
An Article by John Windhausen, Executive Director of the Schools,
Health & Libraries Broadband Coalition.
``Broadband for America's Future'' author and Benton Fellow
Jonathan Sallet previewed its policy recommendations for community
anchor institution (CAI) connectivity at the 9th Annual SHLB
Conference. Sallet identified the SHLB Coalition's ``To and Through''
philosophy as a fundamental principle for CAI broadband policy. To put
it simply, connecting anchors to high-quality broadband enables them to
serve as jumping off points to extend connectivity to surrounding
residents and businesses in the community.
Unfortunately, some of the dialogue around closing the digital
divide focuses on connecting residents and businesses, while completely
ignoring the needs of CAIs. ``Broadband for America's Future''
recognizes that connectivity for anchor institutions isn't simply a
goal of broadband deployment, but a necessary step in closing the
digital divide. The report clearly shows we will not solve the digital
divide unless policymakers and industry acknowledge the valuable role
schools, libraries, and healthcare providers play in making broadband
available and affordable to their surrounding communities. Learn more
about the Benton Institute and read the full text of the report here.
Read the Blog Post
FCC Commissioner Geoffrey Starks Gives His Support
FCC Commissioner Geoffrey Starks on Oct. 31 at the Broadband
Communities Conference, in his prepared remarks:
I really wish I could have made it here yesterday as well because I
know Jon Sallet at the Benton [Institute] gave a stellar presentation
on his new work, `Broadband for America's Future: A Vision for the
2020s.' The National Broadband Plan was released in 2010 so I'm glad to
see we have an advocate in this space who is thinking about creative
and forward-thinking policies that will address Internet inequality.
Jon and I share similar views. We recognize that broadband access is
necessary if we truly want to empower our communities in this digital
age. So, thank you to Jon and the Benton [Institute] team for all of
their hard work on this project. I really look forward to diving into
it and engaging with you all more.
Next Century Cities: Report Gives A Comprehensive Overview of a Problem
That We Can Solve
Broadband for America's Future: A Vision for the 2020s highlights
Next Century Cities' member stories, documenting their ability to
overcome unique challenges with creative solutions. In a blog post,
Next Century Cities said the report is, ``sure to bring Next Century
Cities' member municipalities and others a step closer to a shared goal
of ensuring that every community has access to high-speed connectivity.
Sallet offers a masterful account of the policy landscape while
conveying a sense of urgency for broadband infrastructure to be a
national priority. His report weaves together policy analysis, impact
stories, and thoughtful recommendations.''
Read the Blog Post
Michigan's MERIT Network: Connectivity To and Through Community Anchors
Investment in high-performance broadband infrastructure for
community anchor institutions can deliver unforeseen dividends for
years to come. Take, for example, the Merit Network, which operates
almost 4,000 miles of fiber-optic infrastructure in Michigan. To extend
critical broadband service to all community anchor institutions in
Michigan, including in rural and underserved communities, Merit used
two grants from the Broadband Technology Opportunities Program (BTOP)
to create the REACH -3MC (Rural, Education, Anchor, Community and
Health Care--Michigan Middle Mile Collaborative) project. Completed in
2014, the project constructed 2,287 miles of the almost 4,000-mile,
open-access, fiber infrastructure network.
Read the Full Article
Connecting Communities with High-Performance Broadband
Jon's speech at AnchorNETS: 9th Annual SHLB Conference on October
17, 2019.
Based on what we've learned, we've formulated three basic
principles for community anchor institution broadband policy.
First, community anchor institutions need access to competitively-
priced, High-Performance Broadband, and they deserve the discretion to
make informed choices about what best serves their communities.
Second, broadband is needed to connect community anchor
institutions with their users wherever they may be.
Third, community anchor institutions can serve as launching pads
for communitywide broadband access and, in places where broadband has
already been deployed, more broadband competition.
Read Full Speech
Voqal: Report 'Outlines Road Map for Addressing the Digital Divide'
Voqal wrote an article on Broadband for America's Future, calling
it a ``magnum opus of broadband policy for the forthcoming decade.''
They note that Sallet's report highlights the Homework Gap and the
value of immediate short-term solutions like Mobile Citizen, a Wi-Fi
hotspot program Voqal operates.
Read the Full Article
Libraries and Schools Join Hands to Connect New Mexico Pueblos
Over the last year or so, we've been speaking with people around
the country about how communities are addressing their broadband needs.
We know that community anchor institutions--schools, libraries,
healthcare providers and others--play a key role in bringing service to
broadband deserts. Our friends at the American Library Association
(ALA) alerted us to how the Middle Rio Grande and Jemez-Zia Pueblo
Tribal Consortia are connecting pueblos in New Mexico. As the release
of our report nears, we think it is important to share some of the
innovative solutions that we've heard.
______
CTIA
Washington, DC, May 13, 2020
Hon. Roger Wicker,
United States Senate,
Washington, DC.
Hon. Maria Cantwell,
United States Senate,
Washington, DC.
Dear Chairman Wicker and Ranking Member Cantwell:
The COVID-19 pandemic has been the ultimate stress test for our
Nation's wireless networks. Hundreds of millions of Americans quickly
transitioned to staying at home as much as possible. This monumental
shift, occurring in just a few days, meant a widespread and rapid
change in how we use wireless devices and networks. We are proud to
report the wireless industry has proven more than up to the challenge
of mobile voice and data increases of nearly 25 percent higher than
usual.
Americans are able to reliably connect to their family, friends,
and co-workers even in the face of these unprecedented challenges.
Wireless networks in other countries have not fared as well with
degradations in network quality and speed. Our success is thanks to the
hard work and billions invested by our Nation's wireless providers. The
existing U.S. regulatory framework--fostered by this Committee--of
promoting competition and private investment has also been crucial to
our success.
In addition, both national and regional wireless operators have
stepped up to enhance offerings, safeguard consumers, and take care of
the employees that make it all possible.
Serving All Americans. We are especially proud of the steps our
industry has taken to ensure the pandemic does not disrupt service for
low-income and underserved communities. According to Pew Research
Center, one in five Americans access the Internet solely through their
smartphone, a number that grows much higher within communities of
color. We take our responsibility as the only source of connectivity to
those Americans seriously. Many carriers have taken extra steps to
increase data allocations and rollout new and enhanced offerings for
their low-income customers. We encourage Congress to partner with us to
get more Americans online now.
Keeping Impacted Americans Connected. Access to wireless is
important to households trying to stay connected to work and school.
About half of Americans say COVID-19 poses a major threat to their
finances and ability to keep up with their monthly bills. (Pew) More
than 650 Internet providers voluntarily joined the FCC's Keep Americans
Connected Pledge to waive late payment fees and service termination for
those unable to pay their bills during the pandemic. The FCC's Pledge
has played a key role, and we agree with the two-thirds of Americans
that say the government should now help consumers who are unable to pay
their wired and wireless broadband expenses. (Morning Consult) A simple
and temporary safety net program to help keep those Americans connected
will ensure continued broadband access in this critical time. One such
proposal that merits congressional consideration is a voucher to offset
the costs of connectivity in a technologically-neutral manner by
leveraging existing CARES Act distribution mechanisms and the FCC's
expertise. We stand ready to work with you to develop the right
solution to help COVID-19 impacted consumers.
Connecting Schoolchildren. As distance learning becomes the norm,
keeping students and educators connected has never been more important.
The wireless industry has gone above and beyond to help create online
educational tools, expand partnerships, and help provide devices to
students and teachers. Many providers are also participating in CTIA's
Connecting Kids Initiative, a program to help connect school districts
seeking hotspot solutions with wireless carriers in their local
community. So far, hundreds of thousands of kids have been newly
connected thanks to these collective efforts. Here too, we cannot be
successful alone. It is important that Congress provide the dedicated
funding the education community has sought to support hotspot-capable
devices and services for remote learning. To that end, we support the
Emergency Educational Connections Act.
Building for Tomorrow. One of the primary reasons we could meet
America's overnight surge in Internet usage is we build each year for
tomorrow's network demands. The wireless industry invests more than $20
billion a year, every year, to make sure that our networks continue to
improve their reliability and resiliency. A key component of this
annual push is incorporating new spectrum, and providers are meeting
today's demand with up to 100 megahertz of temporarily leased spectrum.
This much-needed capacity boost is thanks to the decisive action of the
FCC. We urge Congress to provide a pipeline of future licensed
spectrum, particularly mid-band spectrum, so we can build to be ready
for tomorrow's needs. Operators must also continue to modernize,
upgrade, and expand wireless facilities each and every year. During
this pandemic, Congress should ensure zoning and permitting offices
have the resources and modernized processes they need to allow new
deployments in a safe and timely manner. CTIA is ready to work with
Congress and localities to ensure we can keep building tomorrow's
infrastructure during the COVID-19 pandemic and our Nation's recovery.
Wireless carriers have risen to the challenge of the COVID-19
pandemic, working tirelessly to keep consumers connected and mobile
networks strong. We are proud of how well the industry has responded,
and we look forward to continuing to work with your Committee to ensure
wireless resiliency and connectivity for Americans as we move forward
together.
Sincerely,
Meredith Attwell Baker,
President and CEO,
CTIA.
______
National Association of Manufacturers
Washington, DC, May 13, 2020
Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Transportation,
United States Senate,
Washington, DC.
Hon. Maria Cantwell,
Ranking Member,
Committee on Commerce, Science, and Transportation,
United States Senate,
Washington, DC.
Dear Chairman Wicker and Ranking Member Cantwell:
During this time of crisis, manufacturers in America continue
operating while doing everything possible to ensure the health and
safety of millions of employees, their families and their communities.
The country is depending on the many products we make--from equipment
and vehicles needed for our Nation's first responders to items that may
not seem critical but are integral to the supply chain and necessary
during these uncertain times.
The National Association of Manufacturers appreciates the
committee's focus on the critical role of digital infrastructure at
this unique moment. Manufacturers view today's hearing on ``The State
of Broadband Amid the COVID-19 Pandemic'' as the beginning of an
important conversation, and we will continue to contribute our
perspective beyond today's hearing. Before the COVID-19 crisis,
manufacturers have been reliant on robust and reliable broadband
infrastructure to carry out operations, and today our sector's
dependence on broadband is even more evident. Broadband is supporting
remote work, training and education, and it is enabling new,
technology-driven solutions that allow individuals to carryout in-
person tasks while maintaining safe distances. Investments and policies
to enhance broadband infrastructure can support this new era of digital
transformation for manufacturers, their employees and their families.
These solutions should be part of the plan for growth as we look toward
the future.
The NAM's ``American Renewal Action Plan'' is our policy guide for
the Nation's response, recovery and renewal as we continue to fight the
COVID-19 pandemic. For long-term renewal, the plan calls for bold
actions that set the stage for long-term growth, including historic
investment in our Nation's infrastructure. The plan states:
Even before the crisis, America desperately needed bold
infrastructure investment. Now, building a 21st-century
infrastructure system will not only provide urgently needed
jobs but also lay the foundation for a more competitive
economy:
Congress should approve historic investment of at least $1
trillion in our Nation's infrastructure that aligns with the
NAM's ``Building to Win'' blueprint, which calls for upgrades
to our transportation, water, energy and digital infrastructure
systems.
The NAM's ``Building to Win'' plan covers all forms of
infrastructure critical for the manufacturing ecosystem. In focusing on
digital infrastructure, the blueprint explains, ``internet-driven
technology is at the heart of modern manufacturing through connected
shop floors and the development and use of the Internet of things and
emerging technologies.'' The plan calls for Congress to support
investment in our broadband infrastructure system, maximize consumer
choice in how they connect and reduce regulatory barriers that can slow
manufacturers' ability to deploy current and next-generation broadband
infrastructure.
Enhanced broadband investment and the growth of next generation
wireless networks are critical both for the current challenges in
COVID-19 and to support the continued technological leadership of our
Nation's manufacturers. We appreciate this Committee's attention to
this issue, and we look forward to working with you to advance
broadband infrastructure investments that support manufacturing growth
and innovation.
Sincerely,
Stephanie Hall,
Director, Innovation Policy,
National Association of Manufacturers.
______
R Street Institute
Washington, DC, May 13, 2020
Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Transportation,
U.S. Senate,
Washington, DC.
Hon. Maria Cantwell,
Ranking Member,
Committee on Commerce, Science, and Transportation,
U.S. Senate,
Washington, DC.
RE: Hearing on ``The State of Broadband Amid the COVID-19 Pandemic''
Dear Chairman Wicker and Ranking Member Cantwell,
We at the R Street Institute (``R Street'') commend you and the
Committee for holding this hearing on ``The State of Broadband Amid the
COVID-19 Pandemic.'' \1\ As we have noted recently, with the pandemic
forcing many Americans to stay inside and work, study and socialize
remotely, the need for high-speed broadband connectivity has never been
greater.\2\
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\1\ Hearing on `The State of Broadband Amid the COVID-19 Pandemic'
Before the Senate Committee on Commerce, Science, and Transportation,
116th Cong. (May 13, 2020), https://bit.ly/2yEK8hO.
\2\ Tom Struble, Boosting Connectivity to Help Conquer COVID-19,
MORNING CONSULT (April 22, 2020), https://bit.ly/35L6Sso; Jeffrey
Westling, FCC, Broadband Industry Rising to the Challenge of COVID-19,
R ST. INST. (March 26, 2020), https://bit.ly/2Wk3LVw.
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Fortunately, both the Federal Communications Commission (``FCC'')
and American broadband providers have risen to the challenge. On March
13, the FCC announced the ``Keep Americans Connected Pledge,'' which
over 700 providers have signed onto, agreeing to continue service,
waive late fees and open their networks to the public.\3\ Initially set
to expire this week, the pledge has since been extended through the end
of June.\4\ Additionally, the Commission has granted wireless providers
temporary authority to operate in key spectrum bands;\5\ waived its
gift rules to allow schools, libraries and telemedicine providers to
purchase Wi-Fi hotspots using their Universal Service support;\6\ eased
the Lifeline program's recertification and reverification requirements
to help consumers stay connected;\7\ and used funds appropriated by
Congress in the CARES Act to establish a $200 million COVID-19
Telehealth Program.\8\
---------------------------------------------------------------------------
\3\ Press Release, ``Chairman Pai Launches The Keep Americans
Connected Pledge,'' Fed. Commc'ns Comm'n (March 13, 2020), https://
bit.ly/35GqnTa.
\4\ Press Release, ``Chairman Pai Extends Keep Americans Connected
Pledge Through End of June Due to Ongoing COVID-19 Pandemic,'' Fed.
Commc'ns Comm'n (April 30, 2020), https://bit.ly/3ciPYUF.
\5\ Press Release, ``FCC Grants AT&T and Verizon Further Temporary
Spectrum Access to Keep Americans Connected During the Pandemic,'' Fed.
Commc'ns Comm'n (March 20, 2020), https://bit.ly/2yvq8OM; see also
Press Release, ``FCC Grants Wireless ISPs Temporary Access to Spectrum
in 5.9 GHz Band to Meet Increase in Rural Broadband Demand During
Pandemic,'' Fed. Commc'ns Comm'n (March 27, 2020). https://bit.ly/
2xQ2iwK.
\6\ Order, Rural Health Care Universal Service Support Mechanism &
Schools and Libraries Universal Service Support Mechanism, WC Docket
No. 02-60 & CC Docket No. 02-6 (March 18, 2020), https://bit.ly/
3bhUD87.
\7\ Order, Lifeline and Link Up Reform and Modernization, WC Docket
No. 11-42 (March 17, 2020), https://bit.ly/2WezhnB.
\8\ Report and Order, Promoting Telehealth for Low-Income Consumers
and COVID-19 Telehealth Program, WC Docket No. 19-213 & WC Docket No.
20-89 (April 2, 2020), https://bit.ly/2SOncn2.
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These efforts, combined with the FCC's light-touch approach to
broadband regulation,\9\ have allowed American broadband networks to be
remarkably resilient in handling the increased traffic they are
facing.\10\ However, there is still more work to be done, and Congress
should consider the following steps to help provide relief and boost
connectivity in the short, medium and long term.
---------------------------------------------------------------------------
\9\ Christopher S. Yoo, Coronavirus Crisis Vindicates the FCC's
``Net Neutrality'' Rollback, Wall St. J. (April 14, 2020), https://
on.wsj.com/35OaZE8.
\10\ Alec Stapp, Why Netflix and YouTube Aren't Breaking the
Internet in the United States, Morning Consult (April 10, 2020),
https://bit.ly/2Llcikw.
---------------------------------------------------------------------------
In the short term, Congress should focus on keeping existing
networks online and assisting consumers with their broadband bills. The
FCC's Lifeline program already provides low-income consumers with some
support to help defray their broadband costs, but that support and
eligibility for it are both quite limited. Congress should consider
either boosting the Lifeline program, by expanding eligibility and
increasing the amount of support available, or authorizing one-time
vouchers akin to those used to assist Americans during the Digital
Television transition.\11\
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\11\ Deficit Reduction Act of 2005, Pub. L. No. 109-171,
Sec. Sec. 3001-3013, 120 Stat. 21 (Feb. 8, 2006).
---------------------------------------------------------------------------
In the medium term, Congress should unleash private capital by
reducing regulatory barriers to infrastructure deployment through
legislation like the STREAMLINE Act.\12\ This is an issue explored in R
Street's Broadband Scorecard, in which we analyze each state's laws
governing various aspects of broadband deployment, including access to
public rights of way, construction permitting, franchising and
zoning.\13\ While many states have made great progress in streamlining
processes and eliminating unnecessary red tape, numerous others lag
behind. These regulatory barriers make infrastructure deployment slower
and more expensive, so reducing them will help promote new investment
and construction to aid in the recovery and boost connectivity once the
pandemic has passed.
---------------------------------------------------------------------------
\12\ STREAMLINE Small Cell Deployment Act, S. 1699, 116th Cong.
(June 3, 2019).
\13\ Tom Struble & Jeffrey Westling, 2019 Broadband Scorecard
Report, R St. Inst. (Feb. 12, 2020), https://bit.ly/2YJHstM.
---------------------------------------------------------------------------
Finally, in the long term, Congress should work with the FCC and
broadband providers to identify any areas where market forces and
private capital are not enough. The recently passed Broadband DATA Act
will help in that regard,\14\ identifying the areas that are truly in
need of support. But while the FCC's Universal Service programs can
address that problem on their own, additional support from Congress
would accelerate that deployment. To fund such support, Congress should
identify new wireless frequency bands that can support commercial
services like 5G and extend the FCC's auction authority for those
bands. Encouraging the Defense Department to finish its ongoing study
of the 3.1-3.55 GHz band would help, but additional low-, mid- and
high-band spectrum will be needed to keep pace with growing demand for
wireless services. Congress should identify and begin the process of
repurposing these bands as soon as possible.
---------------------------------------------------------------------------
\14\ Broadband DATA Act, Pub. L. No. 116-130, 134 Stat. 228 (March
23, 2020).
---------------------------------------------------------------------------
* * *
We again commend you for your efforts to review the state of our
broadband networks and help keep Americans connected during the
pandemic.
Sincerely,
Tom Struble,
Technology and Innovation Policy Manager,
R Street Institute.
Jeffrey Westling,
Technology and Innovation Policy Resident Fellow,
R Street Institute.
______
Statement from the Utilities Technology Council
The Utilities Technology Council (UTC) thanks the Senate Commerce,
Science & Transportation Committee for the opportunity to submit these
comments for the record. From previous hearings and testimonies, this
Committee has well documented that without access to fast, affordable,
and reliable broadband, unserved and underserved communities are at a
distinct socio-economic disadvantage. In a COVID-19 lockdown, having a
broadband connection is a lifeline to everything people need for their
everyday lives, and it opens up opportunities to work from home. Lack
of connectivity hurts small businesses in these communities, and it
also creates a homework gap for students that prevents them from
studying at home or forces them to go out to surf on an open wi-fi
connection in a parking lot near a restaurant or other business. It
also prevents patients from getting access to telemedicine in hospitals
and clinics and medical care in their homes. Unfortunately, but not
surprisingly, the COVID-19 pandemic has once again cast these harsh
realities into the public spotlight. As this hearing examines
initiatives to maintain and expand broadband access to all Americans,
including understanding the impact of funds recently made available by
the CARES Act, UTC asks every committee member to think through, and
expand upon, how electric utilities of all ownership types are already
working to bring reliable broadband to unserved and underserved
communities--and particularly in high cost deployment areas.
Established in 1948, UTC is the global association representing
energy and water utilities on their needs related to the deployment of
reliable and resilient information and communication technology (ICT),
and when economically and regulatorily possible, are deploying creative
broadband solutions and services. Energy and water utilities use ICT
networks as the backbone for the infrastructure that delivers safe,
reliable, and secure energy and water services.
The decision for many electric utilities to provide broadband is a
natural progression, because in most cases, these utilities have
already built, and are upgrading, communications networks to modernize
the electric grid, and to enhance electric reliability and resiliency.
These networks include wireline and wireless systems that can provide
broadband capacity. Electric utilities are able to leverage both their
communications network infrastructure and their existing knowledge to
deliver broadband. Importantly, utilities are providing broadband
services to areas where other communications service providers would
not serve and they are offering gigabit speeds at prices that are often
less than $100 a month. The investments that utilities are making and
have made in deploying broadband to unserved areas are making a big
difference in these communities particularly during COVID-19, as
distance learning and working from home have become increasingly
prevalent. Given what utilities have accomplished with broadband
already, an increasing number of both Federal and state policymakers
view electric utilities as a natural fit to further engage in broadband
deployment efforts.
The Rural Digital Opportunity Fund (RDOF) represents a significant
opportunity for funding to help offset the high cost for utilities to
deploy broadband in unserved areas. The RDOF will be critical to help
fund and expand broadband services to unserved communities throughout
America, as it will prioritize funding to projects that provide faster
speeds and lower latency, and during the reverse auction, the FCC will
immediately assign support in the clearing round to the bidder with the
lowest performance tier and latency weight instead of, as was done in
the CAF II auction, carrying forward all bids at the base clock
percentage for the same area for bidding in additional clock rounds.
This will invest Federal funding wisely in future-proof projects
capable of meeting increasing consumer expectations on a cost-effective
basis. Additionally, this will also avoid investments in technologies
that become obsolete and must be replaced.
While a significant number of electric utilities are working
diligently to participate in this once-in-a-generation funding
opportunity, as many utilities plan to invest funds from RDOF to offer
fiber-to-the-home services at affordable prices, some challenges
remain. For instance, RDOF rules should ensure that only proven
broadband technologies can bid for these critical dollars. Questionable
claims about the technical capabilities of certain broadband services
and coverage in eligible areas for RDOF must be appropriately examined
and scrutinized by Federal Communications Commission (FCC) staff; and
other areas that are funded using ReConnect loans and/or other Federal
and state broadband programs to provide 25/3 Mbps services should be
eligible for RDOF dollars. Lastly, with the necessity for access to
broadband being reinforced by the ongoing pandemic, the FCC and this
Committee should work to ensure that the RDOF auction remains on
schedule and funding is awarded on an accelerated basis where possible.
As a trend, an increasing number of investor-owned utilities (IOUs)
are entering into creative partnerships with regional and local
broadband providers, and even electric cooperatives, to bring high-
speed Internet to unserved and underserved areas. Appalachian Power and
Dominion Energy in Virginia, along with Southern Company in Alabama and
Entergy in Mississippi, are excellent examples of these partnerships.
Importantly, these electric utilities are installing fiber in rural
areas to help transform and upgrade the electric grid for operational
needs, and to support the use of new smart grid technologies, while
simultaneously making it economically feasible for other providers to
offer retail broadband services in unserved areas. As this Committee
continues to work through solutions to close the rural digital divide,
UTC urges members to consider how investor-owned utilities, as well as
electric cooperatives and public power utilities are partnering to
provide broadband. Grid modernization and rural broadband efforts are
complementary, and when possible, should not be compartmentalized in
silos.
Perhaps most traditionally and obviously, utilities empower
broadband by providing telecommunications carriers and cable television
operators affordable access to utility poles. Utility poles are
essential to delivering reliable and affordable electricity to everyone
in the country. Many, if not all, of these poles carry cable,
broadband, and other services. However, evidence suggests that reducing
pole-attachment rates has no bearing on the deployment of rural
broadband. Indeed, state governmental agencies have found no conclusive
evidence linking lower pole fees to rural broadband expansion. The
Virginia State Corporation Commission concluded in a 2011 report that,
``[n]o persuasive evidence was submitted in this proceeding that proved
lower pole-attachment rates would directly result in additional
broadband deployment.'' \1\ Therefore, the Committee and the FCC should
develop deregulatory approaches that encourage voluntary access to
utility infrastructure by telecommunications carriers and cable
television service operators, which will in turn accelerate broadband
deployment.
---------------------------------------------------------------------------
\1\ ``Report on Electric Cooperative Pole Attachment Issues.''
Commonwealth of Virginia State Corporation Commission, November 1,
2011. Link to text: http://www.scc.virginia.gov/docketsearch/DOCS/
2h%40m01!.PDF
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UTC once again thanks the Committee for holding this important
hearing and appreciates the opportunity to submit this statement.
Ensuring that all Americans have access to affordable, reliable
broadband is just as important today as electricity was for the growth
of the Nation a century ago. Now as then, electric utilities are
critical partners in doing so and stand ready to assist. We look
forward to working with the Committee in ensuring that all Americans
have access to robust, affordable and reliable broadband networks and
services.
______
Response to Written Question Submitted by Hon. Roger Wicker to
Steven K. Berry
Question. There are active initiatives and programs aimed at
keeping small businesses in operation during the COVID-19 pandemic.
During this time, telecommunications carriers and broadband providers
have volunteered to not disconnect critical voice and Internet services
to these small businesses. As Congress examines continued broadband
connectivity needs amid the pandemic, how can Congress best support
telecommunications carriers and broadband providers that have
volunteered to keep small businesses connected during this public
health emergency?
Answer. CCA members have implemented several measures, including
signing on to the Keep America Connected pledge or otherwise
implementing policies to maintain connectivity. These policies have a
material impact on the business operations of smaller carriers,
including cash flow and long-term outstanding debt. Any further
extensions of the pledge absent relief will further strain carriers,
affecting operations, employee retention, and could lead to additional
carriers exiting the marketplace, in some instances leaving consumers
rural areas without a reliable service provider. Unfortunately, the
financial strain of the coronavirus pandemic on top of previously
existing challenges faced by competitive carriers has led to certain
carriers shuttering their business permanently and exiting the market
during this time.
CCA supports the Stay Connected Voucher Program, which would help
address the concern of mounting consumer debt as nonpayment continues.
The Program would assist and empower consumers while maintaining
connectivity and ensure carriers receive some reimbursement for
communications services that have been and continue to be provided.
______
Response to Written Question Submitted by Hon. Roy Blunt to
Steven K. Berry
Question. This Committee has been focused on getting
telecommunications access to families and business that still lack
modern access. However, due to COVID-19, I understand that many
Americans are being presented with new challenges, including concerns
of telecommunications affordability. Many others have struggled with
telecom affordability for a long time, depending on where they live and
how competitive their particular area is. According to Pew, about half
of Americans consider COVID to be a threat to their finances. Which is
why many sectors, including the telecommunications sector, have made
historic obligations to maintain service for customers during this
crisis period, irreverent of ability to pay.
Are there any proposals out there to assist families in Missouri
and across the country with telecom affordability and adoption concerns
through this public health emergency period, and beyond it?
Answer. While multiple proposals have been suggested to assist
families in Missouri and across the country to ensure consumers
maintain critical broadband connectivity, particularly as education,
health, business, and other functions have moved online, CCA strongly
supports the Stay Connected Voucher proposal. This proposal builds on
the established verification and distribution channels created by
Congress in the CARES Act to swiftly ensure that families, including
those facing mounting debt as services have remain connected even in
cases where payment has been delayed due to circumstances resulting
from the pandemic, can receive assistance to meet obligations to remain
connected.
______
Response to Written Questions Submitted by Hon. Jerry Moran to
Steven K. Berry
Question 1. While I certainly support more Federal resources
dedicated to the deployment of broadband infrastructure, I think it is
important for Congress to also gauge the current financial situation of
the more than 700 broadband providers participating in the FCC's Keep
Americans Connected Pledge.
As Congress focuses its attention on improving broadband
connectivity, particularly with the high-demand for such services in
this pandemic, how should Congress prioritize funding support to the
broadband providers that are already shouldering a significant
financial hardship by putting their customers first and participating
in the pledge? Is there an estimate of total aggregated costs to date
of all the waived late fees and uncollected payments to participating
providers?
Answer. Until regular payments from consumers resume, it is
challenging to aggregate the overall cost to CCA members. As one
industry example, Verizon recently noted that last month 2.5 percent of
their customers were unable to pay. These impacts could be more
significant in high cost areas, as well as when additional unemployment
benefits and programs like the Paycheck Protection Program expire this
summer.
Carriers that have signed on to the Keep Americans Connected
Pledge, as well as those who did not formally sign the pledge but have
adopted other policies to maintain connectivity, are experiencing
financial stress as economic challenges continue.
Congress should prioritize funding in a way that empowers consumers
through a program like the Stay Connected Voucher proposal. This
proposal builds on the established verification and distribution
channels created by Congress in the CARES Act to swiftly ensure that
families, including those facing mounting debt as services have remain
connected even in cases where payment has been delayed due to
circumstances resulting from the pandemic, can receive assistance to
meet obligations to remain connected.
Question 2. In terms of legislative solutions, the witness
testimonies included the ``Stay Connected Voucher Program'' and the
Keeping Critical Connection Act. How would each of these proposals meet
the needs of the participating providers? Can these two proposals in
particular co-exist and complement each other?
Answer. These proposals are complimentary: the Stay Connected
Voucher Program empowers consumers to pay their bills and remain
connected, while the Keeping Critical Connections Act ensures that
small business providers, oftentimes the only provider in their
geographic area, are not forced out of business due to stresses from
the current crisis. This relationship is similar to Congress's approach
in the CARES Act, to both provide resources for small businesses as
well as qualifying consumers.
Question 3. These past few weeks, I have been speaking with
community and business leaders across the state of Kansas to discuss a
number of Federal policy issues in response to the COVID-19 pandemic,
and while broadband is brought up in almost every conversation,
connectivity specific to telehealth and remote learning purposes are
clear priorities to my constituents.
Congress took important steps aimed to address these issues in the
Phase III package, including the $200 million to the FCC for a
telehealth pilot program and dedicated funding to the Elementary and
Secondary School Emergency Relief Fund for ``purchasing educational
technology;'' however, I am not sure that these steps are enough to
address the immediacy of the needs at hand.
How should Congress prioritize specific-use types, like telehealth
and remote learning, in its consideration of future Federal broadband
resources? Do we envision these specific use types providing
connections to the home of the patient and/or student?
Answer. This pandemic has produced a monumental shift in how
Americans utilize broadband at home. Ensuring connectivity for students
and patients should be a priority. Wireless broadband can immediately
support additional services, like remote learning and telehealth, where
coverage is available, compared to the long-term challenges of
expanding fixed access. Policies supporting immediate connectivity,
based on data-driven research, should be embraced. I am proud of CCA
member carriers that are taking extraordinary steps to provide their
neighbors with connectivity to support telehealth and remote learning.
Question 4. How do we envision Federal support focused on
telehealth and remote learning initiatives interacting with more
comprehensive broadband programs, like USDA's ReConnect and USF's High
Cost Program, that are more generally focused on providing high-speed
broadband to the home of rural Americans? Can they be effectively
coordinated to prevent duplication of Federal spending?
Answer. Any support should be closely coordinated at the Federal
level to prevent duplication of Federal spending and maximize the use
of funds for the benefit of as many Americans in need as possible. This
is dependent on reliable data regarding where Americans do and do not
have sufficient coverage.
Question 5. If Congress were to establish new Federal broadband
programs that interact with existing Federal programs, should they be
part of the existing programs like USF or RUS or should they stand
alone?
Answer. Any newly established programs should not upset the long-
term viability and need for ongoing high cost Universal Service Fund
support but can leverage lessons learned to appropriately target
resources to preserve and expand service. This requires reliable
coverage maps. Outside of USF or RUS, Congress should consider
providing assistance directly to consumers through the distribution
process established in the CARES Act like the Stay Connected Voucher
program.
Question 6. As a member of the Senate Appropriations Committee, I
agree with your testimony emphasizing the importance of Congress
appropriately funding the Secure and Trusted Communications Networks
Reimbursement Program [also known as the ``Rip-and-Replace'' Program]
to remove network elements that are deemed to pose security risks and
replace them with alternative equipment.
Separately, I am interested in identifying an appropriate role for
Congress to support the software-based technology solutions in Open
Radio Access Network (O-RAN) equipment. How can Congress support
development of this type of innovative technology without
inappropriately tipping the regulatory scales in the form of technology
mandates?
Answer. ORAN presents exciting new opportunities, with the
potential to disaggregate functionality to increase efficiency and
reduce costs. I encourage further research and development to explore
virtualized solutions. The potential for introducing American vendors
into the ecosystem has tremendous benefits, but each layer must be
sufficiently vetted for security, and policymakers should not mandate
which technologies are used in wireless networks, but instead should
encourage research into new, secure technologies to enhance customer
choice, innovation, and cost savings. Congress can support further
research and development to support U.S. leadership in this emerging
space without unintentionally harming trusted network equipment
providers, particularly as carriers are working to remove covered
equipment from their networks. I agree that technology mandates
regarding O-RAN equipment are not appropriate.
Question 7. Your testimonies made clear that availability of
personal protective equipment (PPE) for your employees remains a
critical issue for many of the companies you represent. I have had
similar conversations with many businesses from other sectors in
Kansas, and while I understand FEMA has been able to provide PPE to
your member companies in some situations, what are your member
companies doing to engage their own supply chains for such equipment?
Do your trade associations assist your member companies in
navigating these increasingly complex supply chain concerns?
Answer. Wireless carriers were largely left on their own to
navigate the PPE marketplace and disrupted supply chain, facing the
same difficulties many Americans and business sectors faced acquiring
PPE. CCA was able to assist our carriers in acquiring cloth facial
coverings from the Federal government leveraging our participation
through the Communications Sector Coordinating Council.
______
Response to Written Questions Submitted by Hon. Shelley Moore Capito to
Steven K. Berry
Question 1. The Federal Communications Commission (FCC) recently
released their 2020 Broadband Deployment Report which has shown
progress has been made in connecting our communities across the
country. However, the report is based off data that we all agree is
deeply flawed and continues to show that the majority of the unserved
are in rural areas.
What are your members doing to keep Americans connected, and
specifically for rural communities? As states begin to reopen, what
impacts are your members anticipating in the months to come?
Answer. CCA members worked hard to provide seamless service during
the near-immediate shift of consumers primarily utilizing residence-
based broadband facilities in March of 2020. As America begins to
reopen, CCA members are preparing their employees and networks to meet
the needs of their consumers. Employee safety is paramount, and a
return to ``normal'' operations will require access to Personal
Protective Equipment (PPE) and supplies as they return to offices and
retail locations.
I commend the FCC for expediting Special Temporary Authority (STA)
licenses for spectrum, which have proven extremely beneficial in
helping carriers meet additional demands on their data, allowing them
to immediately enhance capacity and coverage by deploying service using
additional airwaves. I would encourage policymakers to look at
innovative ways to make this spectrum available for competitive
carriers on a long-term basis where appropriate, to continue meeting
consumer demand.
CCA members have taken several steps to keep their customers
connected, from maintaining service despite inability to pay to
increasing data allotments with no additional charge to consumers
during these challenging times. These efforts are at significant cost
to rural providers and are not sustainable long-term without support
from Congress.
Question 2. The Federal Communications Commission (FCC) announced
their plans for moving forward with the establishment of the 5G Fund
for Rural America (5G Fund). Their proposal would distribute up to $9
billion through USF to support 5G connectivity in rural America. I
understand the FCC has received various opinions and concerns about the
proposal which have also been expressed today.
In your testimony, you recommend that the FCC implement the mobile
provisions of the Broadband DATA Act. With those provisions implemented
what do you expect that timeline will be?
Answer. Our members believe that an appropriately targeted data
collection can be completed expeditiously, allowing the FCC to conduct
an auction in 2021.
Question 3. I participated in an EDTalk with the WV Education
Alliance which focused on expanding access to learning during the
COVID-19 crisis. One of the topics that was discussed was the FCC's
waiving of the gift rule for the E-Rate program. This would allow
schools and libraries to accept improved capacity or Wi-Fi hotspots
from providers to support remote learning.
Have any of your members been able to take advantage of this
waiver?
Answer. Waiving the gift rule for the E-Rate program is a
commonsense reform that we hope will enhance connectivity for students
across the Nation. CCA members are continuing work to determine how
they can best assist the students and schools in their community, and
any waiving of red tape facilitates increased access for carriers of
all sizes.
Question 4. Have you encountered any challenges in providing
distance learning during the pandemic? How are your members working
with school and libraries, and other anchor institution, in deploying
hotspots to help fill the gap in our rural communities?
Answer. CCA members have gone above and beyond to provide
connectivity and adapt their services during the pandemic. For Example,
when schools quickly shifted to online learning in Rutland, Vermont,
CCA member Vermont Telephone Company (VTel) partnered with Ericsson to
provide free high-speed Internet and Google Chrome books to a school
district with 70 percent of students receiving free or reduced lunch.
In less than ten days, VTel and Ericsson deployed and installed 4G/5G
wireless radios and antennas in downtown Rutland and delivered wireless
modems and routers to homes to allow students to receive free broadband
service immediately.
Other CCA members have taken steps to increase WiFi access for
their customers, including additional WiFi hotspots and access in
community centers and near carrier facilities.
Several other members have gone above and beyond to make sure that
hotspots and hotspot capable devices are widely available, including to
support distance learning.
______
Response to Written Questions Submitted by Hon. Todd Young to
Steven K. Berry
Question 1. Mr. Berry, what more can Congress do to close the so-
called homework gap and ensure Hoosier students have broadband access
for distance learning?
Answer. To close the homework gap, we must first know where
students, families, and educational facilities lack connectivity. This
requires a collection of reliable data to determine where broadband
connectivity is, and isn't being provided. Congress must ensure the FCC
implements the Broadband DATA act in the manner Congress intended.
Question 2. I've heard from a number of Hoosiers that flexibility
with E-Rate funds would go a long way to connecting more students
during the pandemic.
Mr. Berry, what flexibility should be made available? What
authority does the FCC currently have to provide flexibility? What
authority should Congress give to the FCC to provide more flexibility?
Answer. E-rate funds should be made available to provide service to
students who are learning from home, not only to educational
facilities. Devices like hotspots and hotspot-capable devices should be
included in the program to help expand the program's reach. Congress
can use lessons learned from temporary programs implemented to address
issues regarding the pandemic to appropriately tailor FCC authority,
including flexibility, on a more permanent basis based on what does and
does not work.
______
Response to Written Questions Submitted by Hon. Richard Blumenthal to
Steven K. Berry
Question 1. Companies in the telecommunications industry differ in
being able to shoulder the financial pressures of the pandemic. The
voluntary pledges from carriers to keep Americans connected have played
a meaningful role helping distressed families; however, these
commitments and deferments of nonpayment come at a cost to companies.
Clearly this burden falls more heavily on smaller carriers.
What programs, support, and other assistance is available to
protect the competitive telecommunications market as these carriers are
being asked to keep families and small businesses connected?
Answer. Currently, there are no programs, support, or other
assistance available to competitive telecommunications carriers to
offset costs incurred to keep families and small businesses connected.
Absent Congressional action to address these issues, consumers could
face extreme bill shock as deferred payments become due, and
competitive carriers may struggle from reduced cash flow and
potentially uncollectable debt. CCA supports the Stay Connected Voucher
program to help keep Americans connected.
Question 2. We should remain vigilant toward protecting competition
in the telecommunications market during this time. A pandemic and a
period of financial hardship for competitive carriers should not
pretext for incumbents and others to hike up prices or stifle
competition.
Are you concern about this pandemic lessening competition in the
telecommunications market? If so, why? Have you seen any indication
that competitive carriers will have trouble weathering current
financial pressures?
Answer. Fortunately, we have not seen price increases from
incumbent or competitive carriers as the industry has worked to
maintain connectivity as usage patterns and locations have shifted.
However, I remain concerned that the digital divide persists, both in
terms of areas of the country without sufficient broadband service and
in individual consumers' ability to afford broadband. More work must be
done to preserve and expand wireless broadband services and to foster
increased competition in the marketplace.
The financial strain of the coronavirus pandemic, on top of
existing challenges faced by competitive carriers, has challenged
competitive carriers with increased financial pressures, and
unfortunately led to certain carriers shuttering their business
permanently and exiting the market during this time.
Question 3. Is it fair to expect that incumbent carriers should not
be increasing rates charged to competitors for services during the
pandemic and its foreseeable aftermath?
Answer. I am not immediately aware of rate increases charged to
competitors for access to backhaul or roaming services. We have seen
carriers of all sizes introduce service plans and other benefits to
assist consumers during these challenging times, even at great cost to
their business.
Question 4. Aside from financial assistance, is there anything else
we should be doing to protect competition in the telecommunications
industry during this time?
Answer. I would be remiss to downplay the urgent need for Congress
to consider financial assistance for carriers and consumers for
extraordinary circumstances during these challenging times.
In addition to financial assistance, the use of Special Temporary
Authority (STA) licenses to increase access to spectrum to meet
increased demands on networks have proven extremely beneficial, with
carriers both making spectrum available for other carriers, including
competitors, as well as putting additional spectrum to use, in some
cases within days. I encourage policymakers to look at innovative ways
to make spectrum available for competitive carriers on a long-term
basis where it will otherwise remain underutilized.
As we move towards a 5G world, access to spectrum, devices,
roaming, and infrastructure deployment will remain key issues to
protect and bolster competition in the wireless industry.
______
Response to Written Questions Submitted by Hon. Roger Wicker to
Shirley Bloomfield
Question 1. In October, the FCC is expected to begin the first
phase of the Rural Digital Opportunity Fund auction. Some are
advocating for the FCC to accelerate parts of this auction, such as by
expediting when the FCC considers long-form applications and by
removing census blocks where only one provider has committed to
deploying gigabit fiber-to-the-premises technology. Is this something
the FCC should consider and is it feasible?
Answer. NTCA has long supported policies that enable the deployment
and sustainability of future-proof networks in rural areas, with the
most efficient approach being to ``build it right'' the first time and
then scale capacity as needed to meet increasing consumer demand. We
greatly appreciate the interest in seeking to promote such outcomes,
and we look forward to working with members of Congress, the FCC, and
stakeholders to continue the conversation about how best to ensure that
the RDOF auction proceeds in a timely and most effective manner and
ultimately delivers on a shared vision of universal service.
Question 2. There are active initiatives and programs aimed at
keeping small businesses in operation during the COVID-19 pandemic.
During this time, telecommunications carriers and broadband providers
have volunteered to not disconnect critical voice and Internet services
to these small businesses. As Congress examines continued broadband
connectivity needs amid the pandemic, how can Congress best support
telecommunications carriers and broadband providers that have
volunteered to keep small businesses connected during this public
health emergency?
Answer. It is critically important that Americans continue to have
access to broadband services during this pandemic and any future
emergencies. NTCA and its members understand this, which is exemplified
by the fact that more than half of all providers who have taken
Chairman Pai's Keep Americans Connected pledge are NTCA members.
However, for small, rural providers to keep the Internet lights on
for our customers, they must have the ability to keep their own lights
on. With some NTCA members reporting significant losses in revenue due
to ``uncollectibles'' arising out of customer failures to pay since the
President declared a national emergency on March 13, the ability for
small, rural providers to maintain critical broadband services is
concerning.
To alleviate such financial pressures on these small businesses,
and to allow them to sustain voluntary efforts such as those
contemplated by the FCC Chairman's pledge, NTCA encourages Congress to
pass the Keeping Critical Connections Act (KCCA) or something
substantially similar to it. The KCCA would create a temporary disaster
program to provide critical support to smaller providers that ensure
that students and low-income individuals maintain access to broadband
services from the safety of their own homes.
______
Response to Written Questions Submitted by Hon. Jerry Moran to
Shirley Bloomfield
Question 1. While I certainly support more Federal resources
dedicated to the deployment of broadband infrastructure, I think it is
important for Congress to also gauge the current financial situation of
the more than 700 broadband providers participating in the FCC's Keep
Americans Connected Pledge.
As Congress focuses its attention on improving broadband
connectivity, particularly with the high-demand for such services in
this pandemic, how should Congress prioritize funding support to the
broadband providers that are already shouldering a significant
financial hardship by putting their customers first and participating
in the pledge? Is there an estimate of total aggregated costs to date
of all the waived late fees and uncollected payments to participating
providers?
Answer. As of mid-May nearly 60 percent of small, rural broadband
providers reported that customer account uncollectibles were up by as
much as 10 percent, and an additional 15 percent reported that
uncollectible amounts were up between 11 percent and 20 percent.
Small broadband providers that serve deeply rural areas operate on
very narrow margins and should therefore be prioritized for support to
ensure that no customer loses essential broadband access.
If substantial waves of customers are unable to pay for services
over the coming months, smaller broadband providers in particular will
face serious challenges in keeping those Americans connected, paying
their own employees, and sustaining their operations. This would put at
risk the connectivity that is so critical for millions of Americans to
work and learn from home during this crisis.
At the same time, the financial hardship suffered by small
providers during the pandemic could also result in decreased ability to
upgrade networks or participate in new Federal broadband programs such
as the FCC's Rural Digital Opportunity Fund.
Question 2. In terms of legislative solutions, the witness
testimonies included the ``Stay Connected Voucher Program'' and the
Keeping Critical Connection Act. How would each of these proposals meet
the needs of the participating providers? Can these two proposals in
particular co-exist and complement each other?
Answer. The Keeping Critical Connections Act (S. 3569/H.R. 6394) is
bipartisan, narrowly drawn legislation to help broadband providers keep
customers connected at a time when a reliable broadband connection is
more essential than ever. The bill would direct the FCC to create a
temporary emergency fund for reimbursing small broadband providers only
when an operator provides households with students with free or
discounted broadband or free upgrades to meet distance learning needs;
or keeps low-income customers connected who cannot pay their broadband
bill due to the economic impact of the COVID-19 national emergency.
Other suggestions such as the Stay Connected Voucher could also be
helpful, although the mechanics of how support should be provided to
low-income consumers remain a topic of further discussion to ensure
that such support is distributed as efficiently as possible. However,
we ask Congress to keep in mind that the price for broadband service in
rural areas oftentimes exceeds the $50 voucher or other emergency
benefit suggested by some. The Keeping Critical Connections Act would
serve in this case as a necessary complement to the voucher program--
covering the rest of the cost for the full broadband service.
NTCA is open to all suggestions by Congress and industry to address
the concerns raised during the recent hearing, and we believe the
various proposals could complement the legislation introduced by Sens.
Amy Klobuchar and Kevin Cramer.
Question 3. These past few weeks, I have been speaking with
community and business leaders across the state of Kansas to discuss a
number of Federal policy issues in response to the COVID-19 pandemic,
and while broadband is brought up in almost every conversation,
connectivity specific to telehealth and remote learning purposes are
clear priorities to my constituents. Congress took important steps
aimed to address these issues in the Phase III package, including the
$200 million to the FCC for a telehealth pilot program and dedicated
funding to the Elementary and Secondary School Emergency Relief Fund
for ``purchasing educational technology;'' however, I am not sure that
these steps are enough to address the immediacy of the needs at hand.
How should Congress prioritize specific-use types, like telehealth
and remote learning, in its consideration of future Federal broadband
resources? Do we envision these specific use types providing
connections to the home of the patient and/or student?
Answer. Recent weeks have demonstrated the importance of telehealth
and distance education. These services are not only useful during times
of crisis. Rather, the benefits enabled by telehealth and distance
education can have even greater impact when combined with traditional
in-person patient/physician encounters and in-school learning. Stated
differently, to not take advantage of these technologies in the future
when we are not facing a national emergency would be to forego the
enormous advantages they afford. Areas without access, and potential
users without the ability to connect, will be left behind.
Accordingly, policies must support networks that can reach the
homes, schools and offices of all students and patient-users. Policies
that focus insufficiently on home connections and instead score as
``accomplished'' those communities where only anchor institutions are
connected will deprive residents of the opportunities to access the
full measure of broadband-enabled benefits. Broadband connections at
schools are critical to enable rich educational resources, but those
opportunities must not end with the school day. The ``homework gap'' is
called the ``homework gap'' for a reason--because it describes the
chasm between students who have access at home to continue their
learning when the school day ends, contrasted against those who do.
Similarly, telemedicine is useful when it enables physicians to consult
with other experts--but it is necessary, as well, to enable the infirm,
the elderly, and in these times at-risk patients to interact with
physicians from the safety of their home. And, certainly in rural areas
where lack of specialists and distance from medical facilities is
prevalent, telehealth connectivity can enable patients with chronic
conditions to maintain continuing care that facilitates better health
outcomes and, ultimately, lower health care costs.
In summary, policies should support continuing deployment
(including ongoing maintenance and support) of broadband to homes
throughout a community, and those policies should reflect the need for
users in those homes to access and engage telehealth and remote
learning resources. Telehealth does not stop at the doctor's office
door, nor does remote learning hinge upon connectivity at the
schoolhouse alone.
Question 4. How do we envision Federal support focused on
telehealth and remote learning initiatives interacting with more
comprehensive broadband programs, like USDA's ReConnect and USF's High
Cost Program, that are more generally focused on providing high-speed
broadband to the home of rural Americans? Can they be effectively
coordinated to prevent duplication of Federal spending?
Answer. Interagency and inter-program coordination is necessary to
achieve the highest return on Federally-enabled investments. NTCA has
consistently championed the promise of building networks for the
future, rather than deploying facilities that meet today's needs
without contemplating the future. Programs that aim to serve specific
needs--such as telehealth and remote learning--are incredibly valuable,
but they can and must be carefully coordinated even within a given
agency and across agencies to promote coherence and cohesion with other
policies. For example, the FCC can and should ensure that the high-cost
and E-Rate programs are working in concert to achieve availability and
affordability goals rather than racing to deploy duplicative
connections to certain locations within a given community. Similarly,
the FCC and RUS must coordinate with one another to ensure that their
programs enable deployment and sustainability of the best possible
networks, rather than enabling the construction of two government-
supported networks that will compete with one another in an area where
a business case for private investment in even just one network was
lacking. This can indeed be done, but a consistent approach and
mindfulness to the need to do so is essential.
Question 5. If Congress were to establish new Federal broadband
programs that interact with existing Federal programs, should they be
part of the existing programs like USF or RUS or should they stand
alone?
Answer. Congress should look to leverage and build upon the success
of existing programs at the FCC and RUS that have support the
deployment and ongoing sustainability of robust, high-capacity networks
in rural areas throughout the Nation. Where opportunities to develop
targeted solutions for education, health care or other needs are
identified, the accomplishments of existing programs can be leveraged
to support ``value adding'' supplements that enable additional gains
for those other needs. This coordinated approach will make the most of
existing programs while enabling focused solutions that increase
usefulness without the risk of waste or duplication.
Question 6. Your testimonies made clear that availability of
personal protective equipment (PPE) for your employees remains a
critical issue for many of the companies you represent. I have had
similar conversations with many businesses from other sectors in
Kansas, and while I understand FEMA has been able to provide PPE to
your member companies in some situations, what are your member
companies doing to engage their own supply chains for such equipment?
Do your trade associations assist your member companies in
navigating these increasingly complex supply chain concerns?
Answer. NTCA members are in contact with local, state, and Federal
authorities regarding access to PPE. Many are securing PPE through
private companies--some through local lumberyards or other local
sources and others through nationwide vendors. At the same time, other
providers, who often reside in states where PPE supplies are in greater
demand, continue to operate on limited supplies and continue to search
for a steady supply of equipment such as N95 masks and contactless
thermometers.
From the association level, NTCA engages with the government and
industry on all COVID-19 related issues and responses and shares
relevant information with members directly and on our website. NTCA has
also worked closely with FEMA to secure cloth masks, which we are
shipping directly to our members right now.
______
Response to Written Questions Submitted by Hon. Shelley Moore Capito to
Shirley Bloomfield
Question 1. The Federal Communications Commission (FCC) recently
released their 2020 Broadband Deployment Report which has shown
progress has been made in connecting our communities across the
country. However, the report is based off data that we all agree is
deeply flawed and continues to show that the majority of the unserved
are in rural areas.
What are your members doing to keep Americans connected, and
specifically for rural communities? As states begin to reopen, what
impacts are your members anticipating in the months to come?
Answer. I have never been prouder of NTCA's membership than I have
over the past several months. As ``hometown providers'' based largely
in the areas they serve, their community commitment in the face of the
coronavirus pandemic has been heartening. We estimate that more than
half of the signers of FCC Chairman Pai's pledge to ``Keep Americans
Connected'' are NTCA members--and, in so many cases because of their
hometown presence, our members have gone above and beyond the terms of
the pledge to help their families, friends, and neighbors.
In West Virginia specifically, Hardy OneNet of Lost River has
temporarily increased its broadband speeds with no additional charge
for residential customers.
Also, as mentioned in my testimony, the following are just a few
other examples of NTCA members' efforts to get and keep homes, schools,
libraries, and medical facilities connected in rural America:
1. Big Bend Telephone (BBT) (Alpine, Texas): BBT Engineering
developed a solution to extend school districts' networks to
students' homes in a scaled back temporary installation package
that provides synchronous connectivity and basic home Wi-Fi.
The student experience completely mimics the classroom without
actually being in the classroom. All of this has been provided
at no cost to the school district or the students' families.
2. Rainbow Communications (Everest, Kan.): Rainbow Communications
has installed 30 community Wi-Fi hot spots throughout its
service area that provide free Internet access to students. The
company also increased the Internet plans at the local
libraries to accommodate higher usage demand and has worked
with school districts to identify and promote improved access
for students in need at home.
3. NineStar Connect (Greenfield, Ind.): NineStar Connect connected a
COVID-19 triage clinic in just three days--a process which
usually takes weeks. NineStar also partnered with the hospital
to offer customers e-visits to serve more people and reduce
risk of infection.
4. Consolidated Telephone Company (CTC) (Brainerd, Minn.): To
maintain proper social distancing, CTC created ``Broadband in a
Box'' where a CTC technician will complete pre-installation
tasks outside of the premises and then leave a self-
installation kit on the customer's doorstep to allow for
completion of the activation work. The standardized kit
includes step-by-step instructions on how to complete
installation and other helpful resources.
5. Scott County Telephone Cooperative (SCTC) (Gate City, Va.): SCTC
is upgrading broadband connections for any customer with
students and/or teachers in the home. The company is also
upgrading any displaced workers for free. Additionally, SCTC
set up Wi-Fi at 12 locations to provide free access for school
age kids, and available to use by all.
Question 2. The FCC is preparing for the Rural Digital Opportunity
Fund (RDOF) Phase 1 Auction and is currently in the pre-auction process
with bidding expected to begin in October. I believe this is great news
for rural America and West Virginia. According to the preliminary
estimates, nearly 128,000 homes and businesses in West Virginia, or
230,000 individuals, would be eligible for the RDOF support. I know
Mrs. Bloomfield you mentioned in your testimony that 90 percent of your
members remain focused on network deployment plans for the year. In
light of the pandemic, are your companies prepared and planning on
applying?
Answer. Yes, our members are currently reviewing the RDOF bidding
locations. Now more than ever, with so many needing access to the
digital world, we cannot take our foot off the accelerator with respect
to broadband deployment. Subject to ensuring that the final auction
procedures do not hinder bids placed by proven technologies under the
auspices of a ``technology neutrality'' policy that allows bids by
unproven technologies at higher performance levels, we expect that--
just as with every other universal service initiative to date--our
members will engage and be involved in trying to reach neighboring
communities that have been neglected too long by other providers.
Question 3. With Americans having to stay home during the pandemic,
the security of our communications networks is even more critical. What
are some of the initiatives your members are doing to keep their
networks secure?
Answer. Cyberattacks are now so commonplace that all providers must
have access to threat indicators to protect their network and
customers. That is why NTCA--The Rural Broadband Association created
CyberShare--a new cyberthreat information sharing program created
especially for small broadband companies. CyberShare communicates
critical information among local and regional telecommunications
operators.
Based on a pilot program administered by NTCA in 2019 with funding
from the National Institute of Hometown Security and Department of
Homeland Security, CyberShare provides high-quality indicators of
cyberattacks as well as actionable threat information. Through
CyberShare, small providers have access to a trusted community that
allows for collaboration to improve security posture--even if a company
lacks the resources to hire a dedicated staff member with security
clearance.
______
Response to Written Questions Submitted by Hon. Richard Blumenthal to
Shirley Bloomfield
Question 1. Companies in the telecommunications industry differ in
being able to shoulder the financial pressures of the pandemic. The
voluntary pledges from carriers to keep Americans connected have played
a meaningful role helping distressed families; however, these
commitments and deferments of nonpayment come at a cost to companies.
Clearly this burden falls more heavily on smaller carriers.
What programs, support, and other assistance is available to
protect the competitive telecommunications market as these carriers are
being asked to keep families and small businesses connected?
Answer. NTCA--The Rural Broadband Association represents nearly 850
cooperatives and small businesses deploying broadband infrastructure in
rural areas across 45 states. To continue delivering critical
connectivity to more than a third of the Nation's landmass, these
smaller rural operators must be able to pay suppliers for things like
routers and fiber. Our members are seeing unprecedented demand for new
installations, and this takes not only innovation but also the costly
network supplies needed to put those connections in place. NTCA members
also need to pay larger national and regional operators for the
connections between the very rural markets they serve and Internet
points of presence around the country--these are costs that only grow
larger in the face of increased network demands. Finally, and most
importantly, they must pay their own employees--the front-line
essential workers who are being sent out despite the risks to make sure
that those without voice and broadband services or those in need of
upgraded services get such access. As with most small businesses, the
Paycheck Protection Program is available to address keeping employees
paid. However, there is no program to address the cost of unpaid
bills--the revenue from which goes into sustaining service.
NTCA therefore supports the Keeping Critical Connections Act (S.
3569/H.R. 6394), which represents bipartisan, narrowly drawn
legislation to help broadband providers keep customers connected at a
time when a reliable broadband connection is more essential than ever.
The bill would direct the FCC to create a temporary emergency fund for
reimbursing small broadband providers of all kinds--but only when an
operator provides households with students with free or discounted
broadband or free upgrades to meet distance learning needs; or keeps
low-income customers connected who cannot pay their broadband bill due
to the economic impact of the COVID-19 national emergency.
Question 2. We should remain vigilant toward protecting competition
in the telecommunications market during this time. A pandemic and a
period of financial hardship for competitive carriers should not
pretext for incumbents and others to hike up prices or stifle
competition.
Are you concern about this pandemic lessening competition in the
telecommunications market? If so, why? Have you seen any indication
that competitive carriers will have trouble weathering current
financial pressures?
Answer. One important factor in the Federal Communications
Commission's understanding of competition is the ``market failure''
nature of many rural areas. Specifically, in many rural areas including
those served by NTCA members, ``reasonably comparable'' end-user rates
are not sufficient, standing alone, to cover the costs of paying loans
that make broadband networks possible in the first instance and to
maintain and upgrade such networks over the long-term to keep up with
consumers' needs. It is only via the sufficient and predictable support
made available through the High-Cost Universal Service Fund Program
that any operator can make a ``business case'' to buildout and maintain
high-quality communications networks offering services reasonably
comparable in terms of quality and price as compared to those found in
urban areas.
Our small providers often operate on thin margins. While NTCA
members continue to do their very best to keep their friends and
neighbors connected, the ability to sustain these efforts over time is
jeopardized by the devastating economic impacts of COVID-19. Providers
are doing all they can to keep the Internet lights on for all, but in
order to do that, they need to keep their own lights on as well.
NTCA members report that customers are increasingly raising
concerns about an inability to pay for their communications services in
recent weeks; a recent survey of our members found that as of mid-May
nearly 60 percent of small, rural broadband providers reported that
customer account uncollectibles were up by as much as 10 percent, and
an additional 15 percent reported that uncollectible amounts were up
between 11 percent and 20 percent. To put such impacts into
perspective, we heard from one rural cooperative who is nearly $60,000
in the red already in keeping voice and broadband service on for
customers who have become unable to pay these past several weeks.
Question 3. Is it fair to expect that incumbent carriers should not
be increasing rates charged to competitors for services during the
pandemic and its foreseeable aftermath?
Answer. NTCA members, who are small broadband providers typically
locally owned and operated, are not planning to use the pandemic to
increase rates and charges--they continue to be regulated in many
aspects of their state and Federal operations, and would need to seek
regulatory approval to do so. The bigger concern, however, is whether
these smaller providers can even sustain the services they have in
place now. We estimate that more than half of the signers of FCC
Chairman Pai's pledge to ``Keep Americans Connected'' are NTCA
members--and, in so many cases because of their hometown presence, our
members have gone above and beyond the terms of the pledge to help
their families, friends, and neighbors. In the end, whether by pledge
or by DNA, because they so often live in the small towns and very rural
areas they serve, NTCA members are simply focused on doing the right
thing by their customers and communities.
Conversely, NTCA's rural incumbent providers must continue to pay
larger national and regional operators for the connections between the
very rural markets they serve and the middle mile Internet backbone and
transit capacity during the pandemic and in its foreseeable aftermath.
These are costs that only grow larger in the face of increased network
demands.
Question 4. Aside from financial assistance, is there anything else
we should be doing to protect competition in the telecommunications
industry during this time?
Answer. It is important to ensure that the FCC's Rural Digital
Opportunity Fund (RDOF) delivers on its promises to enable the delivery
of robust and reliable voice and broadband services over wide swaths of
rural America for decades to come. Given that the winners in the RDOF
auction will essentially become the new ``providers of last resort'' in
areas served for decades by price cap providers, this auction is
critically important to provide broadband comparable to what is
available in urban areas and generate competition.
The FCC voted to adopt final rules for phase one of the RDOF
reverse auction that would allow certain unproven technologies to seek
to bid in the highest tiers of the auction. We look forward to further
review of the final auction procedures that the FCC develops, and we
hope that they will promote the integrity and effectiveness of the
auction. We are encouraged by Chairman Pai's reference to `careful
case-by-case review' of whether certain technologies without a
meaningful track record of performance at high levels can indeed
deliver on such promises, as such review of detailed information will
be essential to ensure that rural Americans will realize the benefit of
services being promised and that RDOF dollars are well-spent. Rural
America no longer has the time or patience for empty promises.
Also, many rural areas are ``market failure'' areas, where
reasonably comparable consumer rates will not cover the costs of
repaying loans taken out to build networks and the costs of maintaining
networks once built. NTCA therefore welcomes a renewed conversation now
not only on how we get broadband where it is not, but also how we keep
broadband where it already is--sustaining high-quality voice and
broadband services at affordable rates for the long-term benefit of
rural consumers and communities. One part of that conversation is to
ensure the Universal Service Fund contribution base is modernized to
better reflect the broadband services it supports.
______
Response to Written Questions Submitted by Hon. Kyrsten Sinema to
Shirley Bloomfield
According to the FCC, only 65 percent of Americans living in rural
areas have access to broadband. In March 2020, the Broadband DATA Act
to improve and verify broadband mapping became law.
We still do not have updated coverage maps, which slows the
distribution of additional funding to the rural areas that need it?
Question 1. Do you support using the FCC's Rural Digital
Opportunity Fund rather than developing a new proposal?
Answer. The FCC's Rural Digital Opportunity Fund (RDOF) represents
the next era of support for broadband deployment under the High-Cost
Universal Service Fund Program. RDOF, if executed properly, promises to
enable the delivery of robust and reliable voice and broadband services
over wide swaths of rural America for decades to come. Given that the
winners in the RDOF auction will essentially become the new ``providers
of last resort'' in areas served for decades by price cap providers,
this auction is critically important to provide those consumers with
broadband comparable to what is available in urban areas and generate
competition.
Current circumstances highlight how important such connectivity is
for Americans, as it has become clear that a critical means of allowing
Americans to work and learn from home using Virtual Private Networks
and videoconferencing is latency-sensitive and bandwidth-intensive. If
networks are built that only incrementally improve upon what the larger
operators make available now, rural consumers might get a brief benefit
only to find in a few years that they are once again falling behind the
rest of the country. RDOF prioritizes stronger networks, which should
go a long way toward fulfilling the mission of universal service both
now and well into the future.
Question 2. How do you recommend we address the lack of quality
maps prior to spending the new funding?
Answer. The first phase of RDOF will flow only to areas that are
wholly unserved--these are areas where the maps are not wrong, because
no one claims to serve there. By contrast, the FCC has specifically
said they will hold back on sending any funds to places where the maps
are in doubt, and funds for those areas will flow only after the maps
are fixed. We believe this careful sequencing helps to address the
legitimate concerns that have been raised about mapping while getting
better service to areas where there is no dispute it is needed right
now.
______
Response to Written Questions Submitted by Hon. Amy Klobuchar to
Gene Kimmelman
Question 1. At Wednesday's hearing, we discussed how millions of
Americans who are newly eligible for the Supplemental Nutrition
Assistance Program or Medicaid due to job losses or reductions in
income during the pandemic are also eligible for the Lifeline program
that helps low-income Americans obtain Internet services--but are
unaware that they can receive this assistance.
Do you believe that we need Federal guidelines to ensure that low-
income Americans are informed about existing resources to help them
connect to the internet, and what key factors should be included in any
such guidelines?
Answer. Broadband is essential for nearly every facet of daily
life, yet Lifeline is the only Federal program aimed at ensuring that
broadband access is affordable. Even before the pandemic caused
millions of Americans to lose their jobs, only about 40 percent of
households that were eligible for the Lifeline program subscribed, due
in part to individuals not knowing that they are eligible. Federal
agencies must ensure that eligible individuals are given notice of
their eligibility for this program and guidelines are one way of doing
this. Guidelines should address: (1) how Federal agencies administering
benefits programs that make households automatically eligible for
Lifeline benefits (like the Supplemental Nutrition Assistance Program
administered by the U.S. Department of Agriculture) can work with each
other and the Federal Communications Commission to notify eligible
households of their lifeline eligibility; (2) how Federal agencies can
also coordinate with state and local authorities, as well as
organizations supporting low-income individuals; and (3) how eligible
households can enroll in the Lifeline program through clear and simple
explanations in multiple languages. These explanations should be given
to eligible households.
Question 2. Reports have highlighted the challenges that many
students of color face in accessing the Internet at home. At the
hearing, we also discussed my bill with Senators Hirono, Peters, and
Rosen to help ensure that college students with financial need can
access Internet services and equipment during the pandemic, which
includes dedicated funding for students at minority-serving
institutions.
Why is addressing these disparities critical to closing the digital
divide, particularly during the pandemic, and what risks are we facing
in the absence of action to promote greater access to opportunities
provided by the internet?
Answer. Individuals without access to postsecondary education are
less likely to earn a living wage throughout the course of their lives.
Ensuring that individuals can complete their postsecondary education is
key to improving our Nation's economy. However, the pandemic has forced
most colleges to move classes online, and in many cases, close their
facilities that provide Internet to students. At the same time,
minorities are less likely to have access to broadband at home.
According to the Pew Research Center, only 66 percent of African
Americans and 61 percent of Hispanics report having broadband at home.
Thus, it can be more difficult for these students to complete schooling
without special help accessing the internet.
Without action to help postsecondary students, and anyone without
access to broadband, our Nation will never close the digital divide.
That could mean that our country is split into the haves, and the have-
nots. Millions of people without Internet access will be unable to
participate in nearly every facet of daily life, including accessing
online education, working from home, receiving virtual medical care,
connecting with friends and family, or civically engaging. A key reason
that many Americans don't have access to broadband at home is
affordability. If we don't take action to make broadband more
affordable, we will be unable to promote equal access to the
opportunities provided by broadband.
______
Response to Written Questions Submitted by Hon. Richard Blumenthal to
Gene Kimmelman
Question 1. Companies in the telecommunications industry differ in
being able to shoulder the financial pressures of the pandemic. The
voluntary pledges from carriers to keep Americans connected have played
a meaningful role helping distressed families; however, these
commitments and deferments of nonpayment come at a cost to companies.
Clearly this burden falls more heavily on smaller carriers.
What programs, support, and other assistance is available to
protect the competitive telecommunications market as these carriers are
being asked to keep families and small businesses connected?
Answer. Ensuring a competitive broadband marketplace is a key way
to ensure that broadband is affordable for all Americans. That is why
our Nation must ensure that small carriers are able to weather this
storm and continue to provide service after this crisis has ended. At
the same time, it is incredibly important that we keep families
connected during this COVID-19 crisis. After all, the Internet is
essential for all facets of life while staying at home. That is why the
FCC has asked carriers to adhere to the Keep Americans Connected pledge
throughout the summer--this pledge would preclude carriers from
shutting off service to those who can't pay their bills because of the
pandemic. Currently, there is relatively little assistance available
for small carriers. Some smaller carriers, as small businesses, are
eligible for Paycheck Protection Program loans, which can help keep
their businesses afloat during the COVID-19 pandemic. There is also
proposed legislation, the Keeping Critical Connections Act (S. 3569),
that would reimburse small Internet providers for offering discounted
service to needy students, or for maintaining service to households
that are unable to pay their bills because of the crisis.
Question 2. We should remain vigilant toward protecting competition
in the telecommunications market during this time. A pandemic and a
period of financial hardship for competitive carriers should not
pretext for incumbents and others to hike up prices or stifle
competition.
Are you concern about this pandemic lessening competition in the
telecommunications market? If so, why? Have you seen any indication
that competitive carriers will have trouble weathering current
financial pressures?
Answer. Yes, I am very concerned about a less competitive
marketplace after this pandemic ends. Smaller carriers have less money
on hand to keep struggling customers connected without payment, and
there are many reports of smaller carriers worrying about being able to
stay afloat through the COVID-19 pandemic. We must support the ability
of these carriers to weather the current storm so that they can
continue to serve their customers and provide competition in the
telecommunications marketplace. Many competitive carriers offer fiber
in communities that larger carriers won't serve because these areas are
not profitable enough (Comments of Incompas and the Northwest
Telecommunications Assn, WC Docket No. 19-308, Feb. 5 2020). In other
areas, these providers offer consumers a competitive option with lower
prices and/or better customer service. If these carriers go out of
business, then consumers will be left with little or no choice in
broadband service.
Question 3. Is it fair to expect that incumbent carriers should not
be increasing rates charged to competitors for services during the
pandemic and its foreseeable aftermath?
Answer. Many competitive providers rely upon incumbent providers
for access to infrastructure. By raising rates on the competition
during a pandemic, incumbent carriers may speed up the dissolution of
these businesses. That could leave many Americans without competitive
options, or without access to broadband altogether, and is not
acceptable. This could be exacerbated in the long term if the Federal
Communications Commission moves forward with its Unbundled Network
Elements proceeding. Evidence shows that precluding competitive
providers from accessing unbundled network elements would prevent them
from entering into new markets, leaving consumers with little or no
choice in providers, and harm the deployment of competitive fiber
networks.
If telecommunications were regulated as a Title II service, the
Federal Communications Commission could hold carriers to charging just
enough to get a ``reasonable rate of return'' (47 U.S.C. 201(b)).
Without this safeguard, incumbents may try to make up the shortfall in
profits from customers unable to pay their bills by increasing rental
fees for infrastructure from competitive carriers. Currently, incumbent
carriers are not prevented from increasing rates either by competition
or by regulation--and consequently, may freely price out existing
competition.
Question 4. Aside from financial assistance, is there anything else
we should be doing to protect competition in the telecommunications
industry during this time?
Answer. Promoting competition is about more than providing
financial assistance during the COVID-19 crisis. It's about using
Federal funds to promote competition from the get-go. The government
should direct more funding towards open-access infrastructure, which
can be used by incumbent and competitive providers. In addition, by
directing funding to community broadband projects, Congress can create
competition where there is none. This will ensure more choice for
consumers.
In addition, Congress should also direct the FCC to prohibit all
types of exclusive agreements between landlords and providers because
they unjustly limit consumer choice. For example, landlords should not
be able to enter into revenue-sharing agreements with broadband
providers because such agreements incentivize the owners to allow only
one communications provider to service their tenants.
______
Response to Written Question Submitted by Hon. Kyrsten Sinema to
Gene Kimmelman
Question. Arizonans across the state rely on local libraries for
vital services during this crisis. Libraries support Arizonans with
distance learning, teleworking, and helping vulnerable populations
access necessities like food and health information.
In Arizona, some libraries have added outside antennas and boosted
their Wi-Fi so residents can park in the library parking lots and
access free Wi-Fi hotspots.
How can Congress further the work of libraries during this time?
Answer. Many without access to broadband at home rely upon
libraries to connect, and Congress should promote policies that enable
and promote libraries to serve their communities. The FCC has allowed
schools and libraries to offer E-Rate funded Wi-Fi networks to patrons
on the premises while the library is closed during the pandemic.
However, it is often not practical, or even possible, for library
patrons to sit in a parking lot to take virtual classes, work remotely,
or receive virtual medical care. Congress must do more.
The first thing that Congress can do to further the work of
libraries during the pandemic is to pass the Emergency Educational
Connections Act of 2020 (S. 3690), which will enable library patrons
without access to broadband to connect at home through the use of Wi-Fi
hotspots, modems and/or routers. Congress can ensure more reliable
connectivity by modifying the E-Rate program to allow schools and
libraries to use their E-Rate funded connectivity to provide backhaul
to community members throughout the pandemic, and ideally into the
long-term. Additionally, Congress could promote connectivity on tribal
lands by expanding the entities on tribal lands that are eligible to
receive E-Rate funding because they function like a library. Congress
should also continue to fund digital equity initiatives, many of which
are spearheaded by libraries. These programs ensure that everyone has
the skills and devices they need to access broadband.
Furthermore, Congress should adopt policies that ensure that it is
as easy for libraries to provide patrons with access to books and other
materials digitally as it is with physical copies. When libraries own
copies of physical books, they can lend them freely, but e-books and
other materials are often subject to licensing restrictions that make
them much more costly and limited than print books ever were. While
many libraries have introduced ``controlled digital lending'' programs
to lend a digital copy of a book in place of a print book, Congress can
do more to enhance the ability of libraries to provide their patrons
with access to books and other materials in the digital age.
______
Response to Written Question Submitted by Hon. Roger Wicker to
Jonathan Spalter
Question. In October, the FCC is expected to begin the first phase
of the Rural Digital Opportunity Fund auction. Some are advocating for
the FCC to accelerate parts of this auction, such as by expediting when
the FCC considers long-form applications and by removing census blocks
where only one provider has committed to deploying gigabit fiber-to-
the-premises technology. Is this something the FCC should consider and
is it feasible?
Answer. The FCC should not consider expediting parts of the Rural
Digital Opportunity Fund auction to advantage one segment of potential
bidders. While our members share your commitment for getting the Rural
Digital Opportunity Fund implemented, it is imperative that the FCC
stick with the original October RDOF auction schedule for ALL bidders,
which in turn will allow it to make millions of locations available for
bid, and ultimately served by broadband. The FCC still has very
important work to do between now and October to ensure that the auction
is a success; adding in an expedited phase for the benefit of only a
limited number of potential bidders threatens the greater success of
the auction, and may serve only to delay it.
Before the auction can begin the FCC must resolve challenges to the
eligible areas and publish the final list of eligible areas; allow time
for all bidders to devise their bidding strategy against the final set
of eligible areas; establish a date and process for short form
applications, review the applications, allow for corrections where
deficient; and complete a mock auction to allow for a smooth and
successful auction. The potential harms from the significant delay to
the rest of the Phase I auction, and the millions of Americans who will
be involved in that, far outweigh the limited benefits of accelerating
the program for a select few.
In addition to these procedural challenges, removing certain census
blocks from the RDOF auction will result in many areas not being
subject to the competitive pressures of a reserve auction. There is no
doubt that accelerating the process means that some providers who would
be ready to bid in October as planned will not have that opportunity.
This means taxpayers are on the hook for more money per location than
would have been necessary and it means less money--millions and
potentially billions--is available to serve additional locations that
taxpayers will be asked to pay for later.
______
Response to Written Question Submitted by Hon. John Thune to
Jonathan Spalter
Question. Most, if not all, of your companies have committed to the
FCC's broadband pledge. Why do you think this pledge should remain
voluntary and not be codified?
Answer. USTelecom members are committed to meeting the broadband
needs of the communities and enterprises they serve. Our companies were
among the first to commit to maintaining connectivity for customers
facing financial hardships caused by the national health emergency and
will strive to meet the broadband needs of all their customers going
forward. With that said, we firmly believe that the pledge should
remain voluntary. Codifying the pledge would put unnecessary
constraints on the very sector that is keeping our economy going, and
limit our members' ability to have flexibility to work directly with
their customers. In today's highly competitive broadband market, our
members have every incentive to work with their customers to retain
them. Codifying the pledge is an unnecessary burden at a time when
carriers are responding not only to the COVID-19 pandemic, but also to
the growing demands our networks face as more of our economy moves
online.
______
Response to Written Questions Submitted by Hon. Roy Blunt to
Jonathan Spalter
Question 1. The broadband funding being provided through CARES and
other potential legislation would be on top of funding already provided
through the FCC's universal service programs, the RUS ReConnect
program, and other state programs.
How can we ensure that this funding is coordinated so that it goes
to places that need it most instead of duplicating or overbuilding
other efforts?
Answer. First, Congress can start by funding the Broadband DATA
Act, which the President signed into law earlier this year. While the
Act calls on the FCC to develop a targeted national map of broadband
availability, the bill did not provide any source of funding to do so.
Detailed, targeted maps provide policymakers and regulators a clear
picture on where to direct limited broadband funding, putting Federal
dollars to their most efficient use. Second, all Federal Government
entities, and, to the extent possible, state governments, should use
the map to direct and influence policy so there is one consistent tool
for ensuring all government funding is coordinated, eliminating
overbuilding and closing the digital divide.
Question 2. Back in January, I wrote to FCC Chairman Pai expressing
concern about the Letter of Credit issue being imposed by the FCC for
all Rural Digital Opportunity Fund auction winners.
In light of the COVID-19 crisis and access to capital drying up,
can you provide us an update on where things stand with the Letter of
Credit requirement?
Answer. First, thank you, Senator Blunt, for continuing to follow
up on this important issue along with so many of your colleagues in the
Senate. The Letter of Credit requirement is an impediment for every
broadband provider interested in participating in the RDOF. We are
happy that the FCC modified the Letter of Credit requirement in its
final rules, but as capital markets continue to dry up during the
COVID-19 crisis, the FCC should consider providing further
modifications to ensure the RDOF auction is a success.
______
Response to Written Questions Submitted by Hon. Jerry Moran to
Jonathan Spalter
Question 1. While I certainly support more Federal resources
dedicated to the deployment of broadband infrastructure, I think it is
important for Congress to also gauge the current financial situation of
the more than 700 broadband providers participating in the FCC's Keep
Americans Connected Pledge.
As Congress focuses its attention on improving broadband
connectivity, particularly with the high-demand for such services in
this pandemic, how should Congress prioritize funding support to the
broadband providers that are already shouldering a significant
financial hardship by putting their customers first and participating
in the pledge? Is there an estimate of total aggregated costs to date
of all the waived late fees and uncollected payments to participating
providers?
Answer. USTelecom members participated in the FCC's Keep Americans
Connected Pledge because keeping customers connected is the right thing
to do. That said, there are real world costs to doing so. As our member
companies continue to calculate the total pledge-related cost, it is
clear that Congress should avoid mandates to ensure service providers
have sufficient flexibility to work with their customers to maintain
service going forward. Congress should also continue to examine near
and long-term solutions to ensure that broadband is available and
affordable for all Americans.
Question 2. In terms of legislative solutions, the witness
testimonies included the ``Stay Connected Voucher Program'' and the
Keeping Critical Connection Act. How would each of these proposals meet
the needs of the participating providers? Can these two proposals in
particular co-exist and complement each other?
Answer. We appreciate Congress continuing to look for ways to
ensure broadband remains available for customers. There are likely ways
that different approaches can complement one another. Providers are
currently assessing the mounting costs related to the FCC's Keep
Americans Connected Pledge and the impact of COVID-19 on their
businesses. In my opening statement, I discussed our member company
SmartCity, who has experienced an 85 percent loss in revenue. There is
no guarantee that SmartCity or many other service providers will ever
recover those types of losses. However, the greater impact of these
losses on the country as a whole is a reduction in the resources needed
to deploy broadband deeper into the far reaches of the Nation.
USTelecom encourages Congress to ensure that FCC high-cost support
programs such as the RDOF, ACAM, and legacy rate-of-return remain on
their current timetable for deployment and have the necessary resources
and certainty to continue closing the digital divide.
In addition, as stated in a recent letter I sent to Congress, along
with my counterparts at seven communications associations, we stand
ready to work with Congress to ensure consumers are able to afford
their broadband service. Regardless of the mechanism, whether through
an emergency or Lifeline-like program, USTelecom appreciates that there
are different options to provide support to consumers in need for
broadband connectivity. Congress should ensure wireline technology is
included and any program is easy to administer to ensure participation
and success.
Question 3. These past few weeks, I have been speaking with
community and business leaders across the state of Kansas to discuss a
number of Federal policy issues in response to the COVID19 pandemic,
and while broadband is brought up in almost every conversation,
connectivity specific to telehealth and remote learning purposes are
clear priorities to my constituents. Congress took important steps
aimed to address these issues in the Phase III package, including the
$200 million to the FCC for a telehealth pilot program and dedicated
funding to the Elementary and Secondary School Emergency Relief Fund
for ``purchasing educational technology;'' however, I am not sure that
these steps are enough to address the immediacy of the needs at hand.
How should Congress prioritize specific-use types, like telehealth
and remote learning, in its consideration of future Federal broadband
resources? Do we envision these specific use types providing
connections to the home of the patient and/or student?
Answer. Ensuring access to broadband for our students and
healthcare providers has never been more important than now. The best
way we can ensure adequate access to broadband is for Congress to
prioritize funding to enable universal connectivity in multiple
formats. It is generally helpful to use the structures of existing
programs but Congress should also give the implementing agency, like
the FCC, the flexibility to move quickly and efficiently to distribute
the funding to meet the Congressional goal, much as it did with
telehealth funding in the CARES Act.
Question 4. How do we envision Federal support focused on
telehealth and remote learning initiatives interacting with more
comprehensive broadband programs, like USDA's ReConnect and USF's High
Cost Program, that are more generally focused on providing high-speed
broadband to the home of rural Americans? Can they be effectively
coordinated to prevent duplication of Federal spending?
Answer. Telehealth and distance learning applications cannot be
enabled without connectivity. A rising tide raises all ships. First,
Congress should commit to providing the necessary funding to finally
close the digital divide. An important part of that effort is funding
the Broadband DATA Act, which calls on the FCC to develop a targeted
national map of broadband availability. A detailed targeted map will
give providers, policymakers and regulators a clear picture on where to
direct broadband funding. Better targeting the resources of programs
such as the Connect America Fund, Rural Digital Opportunity Fund and
ReConnect will undoubtedly improve access to telehealth and remote
learning education opportunities via broadband.
Question 5. If Congress were to establish new Federal broadband
programs that interact with existing Federal programs, should they be
part of the existing programs like USF or RUS or should they stand
alone?
Answer. Back in March of this year I wrote to FCC Chairman Pai
sharing some of USTelecom's recommendations on how the FCC along with
help from Congress can better ensure that consumers, businesses,
healthcare providers, and students can remain connected not just during
this pandemic, but after this pandemic as well.
In my letter, I recommended that Congress authorize a one-time
infusion of funds to ensure that all service providers can rapidly
augment their existing infrastructure to support non-traditional usage
demands, including funds to augment backhaul to prevent congestion.
USTelecom strongly believes that leveraging the existing the Rural
Digital Opportunity Fund and its reverse-auction mechanism would best
ensure that the funding gets to the consumers who need it the most the
fastest.
Question 6. Your testimonies made clear that availability of
personal protective equipment (PPE) for your employees remains a
critical issue for many of the companies you represent. I have had
similar conversations with many businesses from other sectors in
Kansas, and while I understand FEMA has been able to provide PPE to
your member companies in some situations, what are your member
companies doing to engage their own supply chains for such equipment?
Do your trade associations assist your member companies in
navigating these increasingly complex supply chain concerns?
Answer. The communications sector has proven to be amongst the most
critical during this pandemic and many of our employees are on the
front lines, directly interfacing with customers or even entering their
homes. We can only protect our workers through proper PPE, and it
remains difficult to source for our front line workers. USTelecom has
been and continues to be actively engaged in communications with our
members and recently completed a Covid 19 survey that provided
important insights into where PPE constraints were most challenging.
The area of primary and immediate concern right now is the availability
of gloves and hand sanitizers and other hygienic products. Through
USTelecom chairmanship the Communications Sector Coordinating Council
(CSCC), we have been working closely with DHS and FEMA to secure and
distribute approximately 1 million masks to broadband providers around
the country. We would welcome Congress's continued focus on making PPE
available to our front line telecommunication employees, especially in
instances where supplies on the open market are not readily available.
______
Response to Written Questions Submitted by Hon. Shelley Moore Capito to
Jonathan Spalter
Question 1. The Federal Communications Commission (FCC) recently
released their 2020 Broadband Deployment Report which has shown
progress has been made in connecting our communities across the
country. However, the report is based off data that we all agree is
deeply flawed and continues to show that the majority of the unserved
are in rural areas. What are your members doing to keep Americans
connected, and specifically for rural communities?
Answer. The first thing Congress needs to do is ensure better and
more accurate maps by funding the Broadband DATA Act. Completing the
broadband maps will help us take a giant step toward identifying those
locations that have no broadband service, estimating the costs to
provide it and allocating resources appropriately. We need Congress to
fund the maps today to start the projects of tomorrow.
USTelecom members were among the first to commit to maintaining
connectivity during this time, even when customers are faced with
financial hardships, and we will continue to do so. I could not be more
proud of the efforts our providers are making during these times. Many
of our members are providing free hot-spots to students to complete
their work; providing free or reduced home broadband access to
households with students, and, where possible, expediting their
broadband deployment to unserved rural homes thanks to programs such as
the Universal Service Fund.
Question 2. As states begin to reopen, what impacts are your
members anticipating in the months to come?
Answer. Internet connectivity has proven to be a crucial resource
during this pandemic and we expect to continue to see shifts in traffic
over the networks. And there is still more to be done to ensure all
Americans are connected. First, Congress should commit to providing the
necessary funding to finally close the digital divide. That includes
committing the resources it will take to serve even the hardest to
reach parts of West Virginia. A central element to that effort is
developing a targeted national broadband map that identifies where
broadband is available, and where it is not. Congress wisely passed the
Broadband DATA Act, which calls on the FCC to develop a national
detailed targeted broadband map. Congress must now fund that bill to
give providers, policymakers and regulators a clear picture on where to
direct broadband funding. With adequate funding and by better targeting
the resources of existing programs such as the Connect America Fund,
Rural Digital Opportunity Fund and ReConnect program, we can connect
every American with high speed broadband service.
______
Response to Written Questions Submitted by Hon. Todd Young to
Jonathan Spalter
Question 1. Mr. Spalter, what more can Congress do to close the so
called homework gap and ensure Hoosier students have broadband access
for distance learning?
Answer. Ensuring access to broadband for students is more important
than ever, and USTelecom companies welcome congressional action that
addresses closing the homework gap.
In March, I wrote to the FCC encouraging the Commission to take a
hard look at modifying the E-rate program for this pandemic. The FCC
and Congress could target funding to low-income or unemployed consumers
or emergency programs specifically designed to target support to
students. All options should be on the table and we are actively
involved in discussions across the spectrum of stakeholders including
Congress and the FCC to help close the homework gap.
Question 2. I have heard from Hoosier constituents that are closely
watching--and in many cases planning to participate in the upcoming
RDOF Phase 1 auction. Some have shared with us concerns about
challenges filed with the FCC that, if accepted, could remove some
blocks from eligibility of Phase 1 of the auction.
Mr. Spalter, how do you think the FCC should deal with these claims
of service in order to get it right for these communities that have
been waiting years for robust broadband while also ensuring RDOF phase
1 gets off the ground in a timely manner?
Answer. We all understand that our current broadband mapping
process is flawed, leaving many locations ineligible for funding
because a single home in a census block has broadband. As a result,
many Americans are left without connectivity.
Congress wisely passed the Broadband DATA Act, which instructed the
FCC to build a broadband map that is clear and accurate. Congress
should complete that effort and provide the funding necessary to
produce the map. Once the map is complete, we will have a means of
distributing support on a targeted basis to the very households that
are most in need.
Question 3. Is there a greater mapping issue at hand here?
Answer. Yes, absolutely this is a mapping issue. Congress passed
the Broadband DATA Act but never provided the FCC the funding to
implement it. The FCC estimates it needs $65 million to complete the
maps, and Congress should appropriate the funds immediately so we can
get to work connecting all Americans.
Question 4. This pandemic has certainly underscored the need to
explore any and all strategies that increase broadband access to as
many rural and underserved areas as quickly as possible. One strategy
that has been proposed is network virtualization and the move to an
open, modular approach to telecommunications that will change supply
chain dynamics in ways that favor the United States. We can improve
broadband access and increase network security by prioritizing research
and development in innovations such as O-RAN.
Mr. Spalter, how important is it that the United States steps up
its investment in R&D? What role should the Federal Government play in
the development and transition to this open architecture approach?
Answer. Funding R&D for modern communications network equipment is
critically important for the U.S. to maintain our position as a global
leader. These technological innovations will improve broadband access
significantly--including for rural and underserved communities--while
increasing security for everyone.
Additionally, by developing and standardizing O-RAN interfaces, we
move to an environment where networks can be deployed without being
dependent upon a single vendor. O-RAN will make the United States
supply chain more secure by increasing supplier diversity, market
competition, and opportunities for business innovation, protecting both
the economic and national security interest of the United States.
The Federal Government's role in funding research and transitioning
to an open architecture approach is critically important. But the
Federal Government should also endorse market-based open interoperable
solution and use Federal funds to support supplier diversity and
support global deployment of interoperable 5G. Additionally, the
Federal Government can remove barriers to 5G deployment, and avoid
heavy-handed or prescriptive solutions. Finally, I encourage Congress
to continue to support our government's participation in the
international standards-development process.
______
Response to Written Questions Submitted by Hon. Richard Blumenthal to
Jonathan Spalter
Question 1. Companies in the telecommunications industry differ in
being able to shoulder the financial pressures of the pandemic. The
voluntary pledges from carriers to keep Americans connected have played
a meaningful role helping distressed families; however, these
commitments and deferments of nonpayment come at a cost to companies.
Clearly this burden falls more heavily on smaller carriers.
What programs, support, and other assistance is available to
protect the competitive telecommunications market as these carriers are
being asked to keep families and small businesses connected?
Answer. USTelecom members participated in the FCC's Keep Americans
Connected Pledge because keeping customers connected is their business
and it is the right thing to do. The voluntary pledge has proven
successful with providers working closely with their customers to
maintain service. That said, there are real world costs to doing so.
We are pleased Congress continues to look for ways to ensure
broadband remains available for customers and that providers have the
opportunity to expand and grow their networks. While the industry at
large remains on solid financial footing, individual providers are
facing mounting costs related to the impact of COVID-19. In my opening
statement, I shared the story of our member company SmartCity, who has
experienced an 85 percent loss in revenue. There is no guarantee that
SmartCity or other similar service providers will ever recover those
losses.
As stated in a recent letter I sent to Congress, along with seven
communications industry CEO colleagues, we stand ready to work with
Congress to ensure consumers are able to afford their broadband
service. Whether through an emergency or Lifeline-like program,
Congress should ensure wireline technology is included and any program
is easy to administer to ensure participation and success.
Question 2. We should remain vigilant toward protecting competition
in the telecommunications market during this time. A pandemic and a
period of financial hardship for competitive carriers should not
pretext for incumbents and others to hike up prices or stifle
competition.
Are you concern about this pandemic lessening competition in the
telecommunications market? If so, why? Have you seen any indication
that competitive carriers will have trouble weathering current
financial pressures?
Answer. The competitive broadband market has not changed. This
pandemic continues to highlight the need, benefits of investing in, and
maintaining robust broadband networks. I am proud USTelecom members
wisely invested billions annually in their network infrastructure
leading up to this crisis. Those investments are the reason why U.S.
carriers continue to meet the increased demands during this time and
why competition remains robust in the broadband market.
Question 3. Is it fair to expect that incumbent carriers should not
be increasing rates charged to competitors for services during the
pandemic and its foreseeable aftermath?
Answer. Competitive providers and USTelecom members alike must work
through the unprecedented challenges of the COVID-19 pandemic. However,
it is important that Congress and regulators recognize USTelecom
members have the added responsibility and expense of addressing the
growing demands on our network infrastructure as more of our economy
moves online.
Question 4. Aside from financial assistance, is there anything else
we should be doing to protect competition in the telecommunications
industry during this time?
Answer. USTelecom and our members vigorously support a competitive
marketplace. With the proliferation of competition among broadband
providers who invest heavily in infrastructure comes a need to reassess
the application of regulations to ensure all providers are competing on
a level playing field. You may be surprised to learn that in many
cases, USTelecom members have less than a ten percent share of the
broadband market, but continue to be regulated like a dominant carrier.
While consumers are benefiting from vibrant competition and
significant network investments through faster speeds, lower prices and
innovative services, some providers are trying to use regulatory
arbitrage to maintain unfair competitive advantages.
It is important that Congress and the FCC promote competition,
rather than seek government interventions that artificially subsidize
and prioritize one category of providers.
More immediately, we urge Congress to appropriate the necessary
funds authorized in the Broadband DATA Act to finance the deployment of
comprehensive broadband maps. The beneficiaries of better maps will
ultimately be consumers, as bidders for Federal universal services
program support will know with pinpoint accuracy not only where
broadband has been deployed, but also where it has NOT yet been
deployed. Better and more accurate maps will encourage more potential
bidders to participate in future auctions, and hence encourage
competition.
______
Response to Written Question Submitted by Hon. Edward Markey to
Jonathan Spalter
Question. We should remain vigilant toward protecting competition
in the telecommunications market during this time. Are any of your five
largest members raising prices, or proposing to raise prices, to any
carrier customers during this crisis? Is it fair to expect that
incumbent carriers should not be increasing rates charged to
competitors for services during the pandemic and its foreseeable
aftermath?
Answer. The competitive broadband market has not changed as a
result of the pandemic. This pandemic continues to highlight the need,
benefits of investing in, and maintaining robust broadband networks. I
am proud USTelecom members wisely invested billions annually in their
network infrastructure leading up to this crisis. Those investments are
the reason why U.S. carriers continue to meet the increased demands
during this time and why competition remains robust in the broadband
market. Competitive providers and USTelecom members alike must work
through the unprecedented challenges of the COVID-19 pandemic. However,
it is important that Congress and regulators recognize USTelecom
members have the added responsibility and expense of addressing the
growing demands on our network infrastructure as more of our economy
moves online.
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