State regulators will scrutinize Frontier Communications as the midsize carrier goes through bankruptcy, commissioners told us Wednesday. Some felt reassured by the company pledging uninterrupted service and no change to selling some systems in the U.S. Northwest and West.
The California Public Utilities Commission plans to act soon on COVID-19 responses via state LifeLine and the California Advanced Services Fund. “Swift action by the Commission in response to issues that have a nexus with COVID-19 impact mitigation is appropriate,” CPUC Administrative Law Judge Brian Stevens wrote in a ruling emailed Monday to the service list in R.12-10-012. The Communications Division will mail a proposal to be voted on by commissioners modifying the CASF adoption account, said Stevens. Later this month, the agency will release a proposed decision on emergency LifeLine measures for COVID-19, said assigned Commissioner Genevieve Shiroma in a Monday scoping memo in docket R.20-02-008, detailing a schedule for broader LifeLine changes. “This process will reflect our continued commitment to ensure access to voice services across the state, as federal subsidies for voice services decline, and our policy goals for increasing program participation and access to broadband services,” Shiroma wrote. Fund authorizations “will require ... sufficient information from Program carriers.” The CPUC will weigh more funding to spur wireless carriers to meet or exceed federal Lifeline minimum broadband requirements, and “to incentivize carriers to provide broadband packages for wireline participants,” she said. Comments on the scoping memo are due May 4, replies May 26. The agency will host a status conference June 23, with comments due July 7, replies July 17. The CPUC plans to release a PD in August or September, voting at least 30 days later. Shiroma agreed with commenters who asked to priortize revamping the renewals process (see 2004060061). A working group will file a proposal to improve renewals in Q4 2020 or Q1 2021 and the CPUC will issue a proposed decision within 90 days. An external contractor will assess LifeLine Q3 2020-Q2 2021 to find ways to improve participation and renewals, and the commission plans to make a proposed decision on recommendations in Q4 2021, she said.
FCC workers and their National Treasury Employees Union praise the agency's precautions to protect employees from COVID-19. But NTEU filed an unfair labor practices grievance against the agency Monday over continuing contract negotiations during the pandemic, President Tony Reardon emailed us. The FCC acted faster than some other federal agencies, but critics told us none has responded quickly or well.
Some seek to upgrade rural internet speeds amid the public health crisis by overhauling the California Advanced Services Fund (CASF). Increasing standards could fit into a legislative agenda likely focused on COVID-19, rural officials said in interviews this week. Consumer advocates urged the California Public Utilities Commission to reprioritize CASF. Comments were due Thursday.
The California Public Utilities Commission teed up a COVID-19 resolution for members' April 16 meeting to retroactively apply emergency customer protection measures from March 4 until the emergency ends. Meanwhile, industry opposed CPUC plans for power backup, among other comments. Also Friday, the CPUC clarified a state LifeLine rule.
The FCC rejected Free Press’ emergency petition for inquiry into broadcasters airing allegedly false information about COVID-19 (see 2004060026). FCC Republicans slammed the petition as an attack on free speech. “At best, the Petition rests on a fundamental misunderstanding of the Commission’s limited role in regulating broadcast journalism,” said a Monday letter from General Counsel Tom Johnson and Media Bureau Chief Michelle Carey. “At worst, the Petition is a brazen attempt to pressure broadcasters to squelch their coverage of a President that Free Press dislikes.”
NTIA proposes potential changes to the spectrum relocation fund (SRF) as an appendix to a report to Congress the FCC was required to file under the Mobile Now Act. The commission didn’t provide the report or comment Thursday. “The most significant challenge to using the SRF to support sharing with unlicensed operations is likely to be funding, in terms of both ensuring a sufficient balance in the SRF and the budgetary implications of providing such funding,” NTIA reported: “Any increase in demand for funding from the SRF is potentially problematic, given the limited resources.” Federal agencies are under increasing pressure to share spectrum with industry and the public. Citizens broadband radio service relies on using Navy and other federal spectrum, and the FCC indicated agencies should have their sharing costs reimbursed (see 2002180061). One option would be to use “a portion of the anticipated or actual revenue from future (not yet scored) auctions,” NTIA said. Funds could come from current SRF balances, the agency said: “This option offers the potential for funding to be made available without the delay that is likely in connection with identifying a future, not-yet-scored auction. Significant obstacles to this approach are the need to identify scoring offsets for the new costs and the risks associated with directing SRF funds to this purpose that potentially could be needed for other uses.” Usage fees or fees charged to communications equipment makers or distributors is another option but “would require substantial further study to determine whether the collection of such fees would be practical” and would be “logistically complex and might not generate sufficient income.” Location costs would be supported by leasing fees for federal spectrum, the agency said, though “significant resources would be required by NTIA and other federal agencies to negotiate and manage these spectrum leases.”
The FCC proposed a $6 million fine against Lifeline prepaid wireless service provider TracFone, in a Thursday notice of apparent liability. The Enforcement Bureau said that in 2018, TracFone obtained federal Lifeline support for hundreds of ineligible subscribers in Florida. The 5-0 NAL came with statements from the two Democratic commissioners, citing in part the coronavirus. Sen. Ron Wyden of Oregon and 21 other Senate Democrats pressed TracFone and 20 other ISPs that receive Lifeline funds to improve service to low-income customers amid the pandemic.
T-Mobile US said Wednesday it “officially completed” buying Sprint and its CEO transition, with Mike Sievert replacing John Legere ahead of schedule. Analysts expect a relatively smooth transition, much quicker than that which followed Sprint/Nextel 15 years ago. The deal got final federal signoff with the Tunney Act clearance by the U.S. District Court in Washington, hours after the carriers said they finished combining (see 2004010018). DOJ welcomed the decision.
In court documents emailed to stakeholders a few hours after deal completion was announced, T-Mobile got the final federal nod for buying Sprint. The final judgment on the deal and divestiture to Dish Network was in U.S. District Court in Washington, which had been reviewing the transaction on antitrust grounds.