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Nebraska PSC Sets USF Contribution Hearing; Oklahoma Vote Possible Tuesday

The Nebraska Public Service Commission will mull changing state USF contribution in a Jan. 6 hearing at 10 a.m., members decided 4-0 Tuesday. One member was excused. The state commission is weighing a proposal in docket NUSF-119 to extend its…

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connections-based mechanism to business and government services. Big carriers oppose that change (see 2009020032). The Oklahoma Corporation Commission could vote next week on changing state USF contribution from a revenue-based method to a connections-based mechanism with a 91 cents per line monthly surcharge (see 2008110047). An administrative law judge last month recommended changing to connections. Commissioners, scheduled to hold a hearing on exceptions to the ALJ recommendation next Tuesday, “might vote at the end of the hearing, or take the matter under advisement,” an OCC spokesperson emailed Monday. CTIA complained Oct. 30 that the ALJ barely discussed its views, including that the connections method may violate state or federal law and hurt poor or unemployed people (see 2008170054). AT&T, CTIA and the Oklahoma AG “place an outsized emphasis on potential changes to amounts contributed by customer classes and completely ignore the record concerning growing inequities under the current revenue-based methodology,” the OUSF administrator responded, posted Nov. 10. Meanwhile, in Texas last week, the Public Utility Commission again urged the legislature to deal with state USF, despite concerns by state lawmakers, small telcos and others that the fund may become insolvent without PUC action before the legislature meets in 2021 (see 2010160052). Texans paid more than $2.7 billion into TUSF over the past 10 years, so the commission “was reluctant, in the midst of a pandemic and economic downturn, to further burden the Texans who pay into the fund,” Executive Director John Paul Urban responded to four Texas House members who raised concerns. The PUC didn’t consider increasing the surcharge until funds nearly ran out because telecom companies who pay into TUSF didn’t “provide any insight into the drastic declines in reviews that abruptly occurred,” Urban said. “When Commission staff estimated the fee needed to support all the requested TUSF subsidies, they had to account for the downward trends in revenue and a depleting fund balance. These trends continue to worsen and the fund balance continues to deplete.”