Legislation

Rep Brandon Williams (R-NY) has introduced a bill to fund the Affordable Connectivity Program (ACP) through Fiscal Year 2024. H.R. 8466, the Affordable Connectivity Program Improvement and Extension Act of 2024, will replenish the Affordable Connectivity Fund with $6 billion by amending Section 521(4)(a) of the Consolidated Appropriations Act, 2024.

The House Commerce Committee's Subcommittee on Health voted to pass a two-year Medicare telehealth extension along with other legislation that expands reimbursement for health tech. The sponsor of the telehealth extension bill, Rep Buddy Carter (R-GA), said he sees no obstacles to the telehealth extension passing the full committee, nor any significant issues for the Commerce and Ways and Means Committees to come to an agreement on a two-year telehealth extension.

An appealing way to finance fiber builds is through asset-backed securities (ABS). However, this is only available to established companies that actually have fiber assets, which they can leverage to secure a lower cost of debt. It’s not something available to new entrants in the fiber space. Since the introduction of the Broadband Equity Access and Deployment (BEAD) program, many private equity (PE) investors have entered the fiber market.

The pace of US broadband subscriber growth slowed considerably in the first quarter of 2024 as fiber, fixed wireless access (FWA) and cable broadband service providers collectively turned in results that were worse than what they posted in the year-ago period. Total industry net additions, including or excluding FWA and geosynchronous (GEO) satellite broadband providers, decelerated noticeably in Q1 2024.

Lawmakers are butting heads over a provision within the Broadband Equity Access and Deployment (BEAD) program that allows states to require low-cost service options from participating service providers. Democrats are calling it an affordability policy. Republicans say it's heavy-handed government regulation. As part of the BEAD planning process, the National Telecommunications and Information Administration (NTIA) is considering each state’s definition of a low-cost option, provided that it meets the standards laid out in the program’s statute.

Evan Feinman, director for the Broadband Equity, Access and Deployment (BEAD) program with the National Telecommunications and Information Administration, provided an update on the program. All states have submitted their Volume 1 proposals to NTIA, and Feinman said that nearly all Volume 1 proposals are approved. A check of NTIA’s Progress Dashboard today shows that only Florida, Maryland and Minnesota have yet to have their Volume 1s approved.

I have been asked my opinion several times about Rural Digital Opportunity Fund (RDOF) amnesty—letting RDOF winners walk away from their obligations without big penalties. There is no easy answer to the question. It’s certainly a timely topic, since we are seeing internet service providers (ISPs) walk away from RDOF. There are several good arguments to be made that favor some kind of amnesty.

On May 16, 2024, Federal Communications Commission Chairwoman Jessica Rosenworcel appeared before the House of Representatives Financial Services and General Government Subcommittee to review the Federal Communications Commission’s Fiscal Year 2025 budget request. The Chairwoman highlighted some of the FCC's critical work, including the National Broadband Map and efforts to stop robocalls. She also emphasized the need for the FCC's spectrum auction authority to be reinstated, and spoke about the impending end of the Affordable Connectivity Program.

Governor Moore (D-MD) announced $19.6 million in Fiscal Year 2024 awards through a new Maryland Department of Housing and Community Development program to help more Marylanders access high-speed, affordable internet. Home Stretch for Difficult to Serve Properties, administered by the department’s Office of Statewide Broadband, will provide internet access to approximately 2,400 unserved Maryland households in its first round. Home Stretch for Difficult to Serve Properties is part of the department’s new initiative to serve remaining Maryland households without internet access.

Forty-four addresses in two rural areas of York County (SC) have gained access to Comporium’s fiber-based multi-gigabit internet service. Over the past few months, Comporium placed two miles of fiber-optic network to reach addresses off Hands Mill Highway and Kingsburry Road. This project, extending the company’s fiber-optic network, provides customers the ability to access internet speeds of up to five Gigabits per second. Comporium continues to work with state and federal agencies to find ways to upgrade service to more rural customers.