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5G Spectrum

C-Band Auction Rules, ICS Rates Headline Aug. 6 FCC Agenda

Chairman Ajit Pai said Wednesday the FCC will stick with Dec. 8 for starting the auction of C-band spectrum for 5G, circulating draft final auction procedures (see 2007150047). Commissioners approved the auction 3-2 in February, including a procedures NPRM (see 2002280044). The FCC will also consider inmate calling services rates and media modernization among other items at the Aug. 6 commissioners’ meeting.

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The FCC was expected to keep the starting date, despite a COVID-19 delay in the citizens broadband radio service auction, which now starts July 23 (see 2006080048 and [2003310049]). Carriers are expected to use both bands to fill gaps in their mid-band spectrum portfolios.

The procedures “spell out the many details of the auction -- competitive bidding procedures, application requirements, and deadlines governing participation in Auction 107,” Pai blogged: “To spur the deployment of ultra-fast, world-leading 5G networks, we need to make C-band spectrum (among other spectrum bands) available as quickly as possible. If the Commission adopts this plan to launch this auction in December, barely nine months after adopting rules, that’s exactly what we’ll be doing.” The FCC “rejected calls to do literally nothing until Congress passed a law on the subject (breaking news: it still hasn’t),” Pai said.

Prompt access to mid-band spectrum is key to delivering the benefits of the 5G economy to U.S. consumers, so it’s imperative that we keep this critical auction on track even as we continue to identify and free up additional licensed mid-band spectrum for 5G,” said Scott Bergmann, CTIA senior vice president-regulatory affairs.

We strongly support Chairman Pai and the FCC … moving quickly towards a public auction,” emailed Competitive Carriers Association President Steve Berry. “C-band spectrum offers tremendous opportunities for carriers, including those in rural and hard-to-reach areas, to provide next-generation technologies to their customers,” he said: “Implementing auction procedures is a critical step in keeping the FCC on track for a December 2020 auction.”

Repurposing of this mid-band spectrum is critical if the U.S. is to maintain its leadership role in deployment of 5G wireless networks,” said Free State Foundation President Randolph May: “Hopefully, the full Commission will adopt the auction procedures at its August meeting, so the auction can go forward in December.”

ICS

Pai also announced an item to revise inmate calling services rates and charges (see 2007150049), which are getting heightened scrutiny during COVID-19, when most inmates can't receive visits from loved ones (see 2003300022).

"Unlike virtually every other American, inmates and the people they call generally have no choice in their telephone service provider," Pai wrote. Without better regulation, he said, "rates for inmate calling services can be unjustly and unreasonably high" and make it difficult for inmates and their loved ones to stay connected.

The U.S. Court of Appeals for the D.C. Circuit has twice rejected and remanded FCC efforts in the ICS matter, Pai said. After the remands, the agency sought to refresh comments this year in docket 12-375 (see 2002040054). The meeting item would "follow the law and the facts to respond to the court’s directives" and "comprehensively" update rates and charges for inmate calling services, Pai said.

Commissioners would also vote to propose lowering per-minute caps for interstate calls: from 21 cents for debit and prepaid calls and 25 cents for collect calls to 14 cents for debit, prepaid and collect calls from prisons and 16 cents for debit, prepaid and collect calls from jails. The agency would propose to cap rates for international inmate calling services for the first time. Since the D.C. Circuit "has no authority to cap" the "egregiously high intrastate inmate calling services rates across the country," Pai said he wants states to address those. The FCC will address ancillary service charges, separate fees that aren’t included in the per-minute rates that ICS providers charge for individual calls, and would propose new fee caps and limits on types of charges allowed, Pai wrote.

ICS providers and lawyers didn't comment or declined to comment. Separately in a letter Wednesday, the FCC requested additional information on ICS operations, costs and revenues from GlobalTel*Link from an ongoing data collection.

High Rates

Those backing lower prison phone rates said what Pai proposes is good -- and more may be needed.

The expected FCC reforms are a good first step," emailed MediaJustice Executive Director Steven Renderos, "but this action won't fully address all the issues within the prison telephone industry. The good news is that elected leaders at all levels are already proposing comprehensive solutions.” He said Rep. Bobby Rush, D-Ill., “introduced legislation that would eliminate predatory kickbacks between telephone companies and governments,” and “New York City recently made jail phone calls completely free.”

Congress shouldn't suspend its action on prison phone rates just because the FCC says it will address ICS at its August meeting, Benton Institute Senior Counsel Andrew Schwartzman told us. He's pleased to see the FCC address the issues the court remanded but said it's a shame it took three years.

"Public Knowledge welcomes action that will provide relief from the outrageous rates charged to incarcerated people for making and receiving calls," but the rates the FCC is proposing are "still way too high," emailed Senior Fellow Al Kramer. Legislation passed as part of the Health and Economic Recovery Omnibus Emergency Solutions Act by the House and pending in the Senate "broadens the FCC's authority to use costs to set all rates and gives the FCC explicit authority to set intrastate rates," he said. Portions of state rates "often are kicked back as commissions to state confinement systems, generally are much higher than the FCC proposed rates," he said.

Other Items

There are a few other media and telecom items on the tentative agenda, too.

FCC members will vote to eliminate obsolete equal access and billing options rules for telecom relay services, Pai wrote. If the rules are changed, TRS providers would no longer need to "maintain antiquated features of circuit-switched networks" as other telecom companies transition to IP-based platforms, Pai said. Commissioners would also vote to eliminate requirements to publish in the Federal Register requests for comment on state TRS program certification applications, Pai wrote.

Commissioners will also vote on a media modernization order to allow same-market AM stations to duplicate content. The current radio duplication rule that doesn't allow stations to do so would be retained for FM stations, Pai said. “The record indicates that the realities of the marketplace and technical challenges faced by AM broadcasters suggest the rule should be eliminated with respect to that service." NAB pushed for the rule to be eliminated for both bands, while Common Frequency wants it retained. The FCC’s Democrats voted “concur” on the November NPRM teeing up the draft order (see 1911220034), raising concerns about spectrum efficiency and localism. “This approach will afford AM broadcast licensees greater flexibility, facilitate all-digital broadcasting by AM stations, and ultimately allow stations to improve service to their communities,” Pai said.

A second broadcast media modernization draft order -- eliminating rules requiring stations with unique antenna locations to share them -- in previous stages generated little controversy. “We didn’t receive a single comment in the record from any broadcast licensees that would most directly be affected by repealing these antenna siting rules,” Pai said. “To our knowledge, there has never been a case where all the criteria necessary to invoke the rules were successfully met.” The lack of use and interest is a reason to do away with the rules, Pai said. The October NPRM drew no opposition at the FCC and almost no commissioner remarks (see 1910250036).