FCC Bureau Denies ACS Waiver Bid for CAF Phase I Support Flexibility
The FCC denied a waiver petition from Alaska Communications (ACS) seeking relief from a requirement that carriers accepting Connect America Fund Phase I incremental broadband support deploy 4/1 Mbps service to one unserved location for every $775 they accept. "The…
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Bureau concludes that the special circumstances alleged by ACS are insufficient to justify a waiver, and that grant of a waiver would not be in the public interest," said a Wireline Bureau order in docket 10-90 listed in Monday's Daily Digest. "The factors cited by ACS do not amount to special circumstances. Two of the purported special circumstances cited by ACS -- its market analysis revealing that the buildout was not economically feasible, and the discovery that many of the planned locations were already served by [wireless] ISPs -- were created entirely by ACS’s actions. ACS chose to accept Connect America funds without having completed its market analysis, even though there was clearly the possibility that the analysis would lead to a conclusion that the areas were uneconomical to build with the amount of support provided. ... Simply put, buyer’s remorse is not grounds for a waiver. Similarly, the discovery that many of the locations believed to be unserved were in fact served was not caused by some external force or condition. ... Instead, it was the result of ACS neglecting to check [a National Broadband Map] for fixed wireless service. Failure of ACS to exercise due diligence before accepting the allocated funds does not constitute special circumstances." The bureau directed the Universal Service Administrative Co. to recover support to the extent ACS failed to meet its requirements. Alaska Communications didn't comment Monday.