Federal Communications Commission DA 20-800 DA 20-800 Released: July 29, 2019 WIRELINE COMPETITION BUREAU ANNOUNCES DEADLINE FOR PRICE CAP CARRIERS TO ELECT SEVENTH YEAR OF CONNECT AMERICA FUND PHASE II MODEL-BASED SUPPORT WC Docket No. 10-90 Today, the Wireline Competition Bureau (Bureau) announces the process by which price cap carriers currently receiving Connect America Phase II support based on the Connect America Cost Model (CAM) may elect to receive an additional, seventh year of such support. Carriers have until September 28, 2020 to indicate, on a state-by-state basis, whether they will continue to receive model-based support for 2021. Carriers that elect not to receive a seventh year are indicating that ongoing model-based support is not necessary to maintain voice and broadband services in these areas and will receive no further model-based support after the conclusion of their six-year term (i.e., December 31, 2020). See Rural Digital Opportunity Fund; Connect America Fund, WC Docket Nos. 19-126, 10-90, Report and Order, 35 FCC Rcd 686, 741, para. 128 (2020) (Rural Digital Opportunity Fund Order). The Commission has long recognized the importance of providing a gradual transition path between recipients of CAF Phase II model-based support and recipients of funding under a new support mechanism. See Connect America Fund et al., WC Docket No. 10-90 et al., Report and Order, 29 FCC Rcd 15644, 15666-67, para. 32 (2014) (December 2014 Connect America Order). As a result, the Commission previously determined that it would offer incumbent price cap carriers the option of electing an additional, seventh year of support if they did not receive support through the subsequent competitive bidding process. Id. In the Rural Digital Opportunity Fund Order, the Commission clarified that this seventh year of support would cover the full calendar year—from January 2021 through December 2021—and be available to all price cap carriers that originally elected the offer of model-based support. Rural Digital Opportunity Fund Order at 740-2, paras. 127, 129. (directing Bureau to implement mechanism for carriers to elect seventh year of support). In exchange for receiving a seventh year of support, carriers would “be required to continue providing broadband with performance characteristics that remain reasonably comparable to the performance characteristics of terrestrial fixed broadband service in urban America.” Id. at 741-42, para. 129 (citing Connect America Fund et al., WC Docket No. 10-90 et al., Report and Order and Further Notice of Proposed Rulemaking, 26 FCC Rcd 17663, 17726-27, para. 163 (2011), aff’d sub nom. In re FCC 11-161, 753 F.3d 1015 (10th Cir. 2014)). The process we establish today is similar to prior options we have made available to allow certain carriers to elect to receive high-cost support. See e.g., Wireline Competition Bureau Announce Alternative Connect America Cost Model II Support Amounts Offered to Rate-of-Return Carriers to Expand Rural Broadband, WC Docket No. 10-90, Public Notice, 34 FCC Rcd 2868 (Wireline Comp. Bur. 2019) (offering rate-of-return carriers the option of electing to receive A-CAM support); Connect America Fund; High-Cost Universal Service Support, WC Docket Nos. 10-90,05-337, Report and Order, 29 FCC Rcd 3964, 4029, para. 153 (offering non-contiguous carriers the option of electing to receive frozen support or model-determined support). Specifically, we require price cap carriers currently receiving CAM support to submit their election letters to the Bureau at ConnectAmerica@fcc.gov. Carriers are encouraged to submit their election letter prior to the deadline to the extent feasible. To receive an additional, seventh year of model-based support for a state or states, a carrier must submit a letter signed by an officer of the company confirming that the carrier elects the model-based support amounts as specified in Appendices A and B and committing to satisfy the specific service obligations associated with that amount of model support. Additionally, we require carriers to file this letter in WC Docket No. 10-90 via the Commission’s Electronic Comment Filing System (ECFS) to ensure that this information is publicly available to all potential Auction 904 bidders. If a carrier fails to submit an election letter by the September 28, 2020 deadline, it will be deemed to have declined the seventh year of support and will cease receiving model-based support as of December 31, 2020. Carriers submitting election letters will receive an e-mail confirming that their letters have been received and reviewed for completeness and should contact the Bureau no later than 4 p.m. on September 28, 2020 if they do not receive such confirmation. Following this deadline, the Bureau will release a public notice confirming which price cap carriers elected to receive a seventh year of support and authorizing the Universal Service Administrative Company to disburse the appropriate amounts. For additional information on this proceeding, contact Ian Forbes, Ian.Forbes@fcc.gov of the Wireline Competition Bureau, Telecommunications Access Policy Division, (202) 418-7400. - FCC - Appendix A CACM Authorized Annual Support by Carrier Carrier State Authorized Annual Support AT&T INC. AL $ 23,161,780 AT&T INC. AR $ 21,350,835 AT&T INC. CA $ 60,240,434 AT&T INC. FL $ 8,485,813 AT&T INC. GA $ 25,345,199 AT&T INC. IL $ 8,932,507 AT&T INC. IN $ 17,576,788 AT&T INC. KS $ 18,942,367 AT&T INC. KY $ 30,962,548 AT&T INC. LA $ 27,907,591 AT&T INC. MI $ 29,750,677 AT&T INC. MS $ 49,772,592 AT&T INC. NC $ 3,498,889 AT&T INC. OH $ 14,802,500 AT&T INC. SC $ 9,689,453 AT&T INC. TN $ 26,137,862 AT&T INC. TX $ 42,078,424 AT&T INC. WI $ 9,070,392 CENTURYLINK, INC. AL $ 17,290,009 CENTURYLINK, INC. AR $ 19,761,508 CENTURYLINK, INC. AZ $ 10,089,092 CENTURYLINK, INC. CO $ 26,509,143 CENTURYLINK, INC. FL $ 10,916,671 CENTURYLINK, INC. GA $ 269,719 CENTURYLINK, INC. IA $ 17,893,887 CENTURYLINK, INC. ID $ 6,279,869 CENTURYLINK, INC. IL $ 2,093,982 CENTURYLINK, INC. IN $ 10,736,352 CENTURYLINK, INC. KS $ 16,501,327 CENTURYLINK, INC. LA $ 9,471,015 CENTURYLINK, INC. MI $ 9,028,031 CENTURYLINK, INC. MN $ 54,035,150 CENTURYLINK, INC. MO $ 74,927,427 CENTURYLINK, INC. MT $ 15,195,628 CENTURYLINK, INC. NC $ 10,008,390 CENTURYLINK, INC. ND $ 5,656,741 CENTURYLINK, INC. NE $ 6,888,416 CENTURYLINK, INC. NJ $ 450,340 CENTURYLINK, INC. NM $ 10,942,747 CENTURYLINK, INC. NV $ 1,072,346 CENTURYLINK, INC. OH $ 15,982,805 CENTURYLINK, INC. OR $ 17,759,903 CENTURYLINK, INC. PA $ 10,562,353 CENTURYLINK, INC. SC $ 2,952,228 CENTURYLINK, INC. SD $ 9,117,215 CENTURYLINK, INC. TN $ 1,662,828 CENTURYLINK, INC. TX $ 11,300,418 CENTURYLINK, INC. UT $ 1,894,802 CENTURYLINK, INC. VA $ 15,731,765 CENTURYLINK, INC. WA $ 24,412,884 CENTURYLINK, INC. WI $ 55,384,589 CINCINNATI BELL INC. HI $ 4,424,319 CINCINNATI BELL INC. KY $ 2,034,186 CINCINNATI BELL INC. OH $ 194,944 CONSOLIDATED COMMUNICATIONS, INC. CA $ 14,837 CONSOLIDATED COMMUNICATIONS, INC. FL $ 2,660,998 CONSOLIDATED COMMUNICATIONS, INC. IL $ 8,084,857 CONSOLIDATED COMMUNICATIONS, INC. ME $ 13,289,220 CONSOLIDATED COMMUNICATIONS, INC. MN $ 2,516,502 CONSOLIDATED COMMUNICATIONS, INC. MO $ 1,689,794 CONSOLIDATED COMMUNICATIONS, INC. NH $ 4,376,606 CONSOLIDATED COMMUNICATIONS, INC. NY $ 2,568,269 CONSOLIDATED COMMUNICATIONS, INC. OH $ 420,997 CONSOLIDATED COMMUNICATIONS, INC. OK $ 215,303 CONSOLIDATED COMMUNICATIONS, INC. PA $ 239,836 CONSOLIDATED COMMUNICATIONS, INC. TX $ 1,915,321 CONSOLIDATED COMMUNICATIONS, INC. VT $ 8,789,359 CONSOLIDATED COMMUNICATIONS, INC. WA $ 1,321,014 FRONTIER COMMUNICATIONS CORPORATION AL $ 2,998,480 FRONTIER COMMUNICATIONS CORPORATION AZ $ 13,281,066 FRONTIER COMMUNICATIONS CORPORATION CA $ 38,074,824 FRONTIER COMMUNICATIONS CORPORATION CT $ 435,139 FRONTIER COMMUNICATIONS CORPORATION FL $ 342,490 FRONTIER COMMUNICATIONS CORPORATION GA $ 375,826 FRONTIER COMMUNICATIONS CORPORATION IA $ 4,240,587 FRONTIER COMMUNICATIONS CORPORATION ID $ 5,223,121 FRONTIER COMMUNICATIONS CORPORATION IL $ 31,017,498 FRONTIER COMMUNICATIONS CORPORATION IN $ 22,815,087 FRONTIER COMMUNICATIONS CORPORATION MI $ 21,733,859 FRONTIER COMMUNICATIONS CORPORATION MN $ 27,551,363 FRONTIER COMMUNICATIONS CORPORATION MS $ 816,996 FRONTIER COMMUNICATIONS CORPORATION MT $ 1,114,484 FRONTIER COMMUNICATIONS CORPORATION NC $ 3,596,156 FRONTIER COMMUNICATIONS CORPORATION NE $ 2,735,761 FRONTIER COMMUNICATIONS CORPORATION NM $ 4,426,327 FRONTIER COMMUNICATIONS CORPORATION NV $ 1,379,494 FRONTIER COMMUNICATIONS CORPORATION NY $ 17,381,485 FRONTIER COMMUNICATIONS CORPORATION OH $ 22,927,850 FRONTIER COMMUNICATIONS CORPORATION OR $ 3,897,357 FRONTIER COMMUNICATIONS CORPORATION PA $ 3,891,253 FRONTIER COMMUNICATIONS CORPORATION SC $ 2,709,651 FRONTIER COMMUNICATIONS CORPORATION TN $ 2,126,605 FRONTIER COMMUNICATIONS CORPORATION TX $ 16,576,929 FRONTIER COMMUNICATIONS CORPORATION UT $ 2,547,047 FRONTIER COMMUNICATIONS CORPORATION WA $ 8,688,054 FRONTIER COMMUNICATIONS CORPORATION WI $ 30,983,715 FRONTIER COMMUNICATIONS CORPORATION WV $ 38,068,337 MUTUAL TELEPHONE COMPANY (IA) IA $ 2,184,040 PTI PACIFICA INC. MP $ 2,627,177 WILKES TELEPHONE MEMBERSHIP CORPORATION VA $ 857,021 WINDSTREAM HOLDINGS, INC. AL $ 511,038 WINDSTREAM HOLDINGS, INC. AR $ 13,163,783 WINDSTREAM HOLDINGS, INC. FL $ 5,236,626 WINDSTREAM HOLDINGS, INC. GA $ 24,867,807 WINDSTREAM HOLDINGS, INC. IA $ 28,672,554 WINDSTREAM HOLDINGS, INC. KY $ 21,576,987 WINDSTREAM HOLDINGS, INC. MN $ 1,519,855 WINDSTREAM HOLDINGS, INC. MO $ 14,187,910 WINDSTREAM HOLDINGS, INC. MS $ 917,403 WINDSTREAM HOLDINGS, INC. NC $ 1,952,082 WINDSTREAM HOLDINGS, INC. NE $ 13,591,437 WINDSTREAM HOLDINGS, INC. NY $ 1,557,976 WINDSTREAM HOLDINGS, INC. OH $ 4,154,270 WINDSTREAM HOLDINGS, INC. OK $ 7,788,213 WINDSTREAM HOLDINGS, INC. PA $ 13,001,364 WINDSTREAM HOLDINGS, INC. SC $ 935,383 WINDSTREAM HOLDINGS, INC. TX $ 21,260,790 WINNEBAGO COOPERATIVE TELECOM ASSN. IA $ 209,176 Sub-Total   $ 1,497,972,328 Appendix B CACM Authorized Annual Support by State State Carrier Authorized Annual Support AL AT&T INC. $ 23,161,780 AL CENTURYLINK, INC. $ 17,290,009 AL FRONTIER COMMUNICATIONS CORPORATION $ 2,998,480 AL WINDSTREAM HOLDINGS, INC. $ 511,038 AR AT&T INC. $ 21,350,835 AR CENTURYLINK, INC. $ 19,761,508 AR WINDSTREAM HOLDINGS, INC. $ 13,163,783 AZ CENTURYLINK, INC. $ 10,089,092 AZ FRONTIER COMMUNICATIONS CORPORATION $ 13,281,066 CA AT&T INC. $ 60,240,434 CA CONSOLIDATED COMMUNICATIONS, INC. $ 14,837 CA FRONTIER COMMUNICATIONS CORPORATION $ 38,074,824 CO CENTURYLINK, INC. $ 26,509,143 CT FRONTIER COMMUNICATIONS CORPORATION $ 435,139 FL AT&T INC. $ 8,485,813 FL CENTURYLINK, INC. $ 10,916,671 FL CONSOLIDATED COMMUNICATIONS, INC. $ 2,660,998 FL FRONTIER COMMUNICATIONS CORPORATION $ 342,490 FL WINDSTREAM HOLDINGS, INC. $ 5,236,626 GA AT&T INC. $ 25,345,199 GA CENTURYLINK, INC. $ 269,719 GA FRONTIER COMMUNICATIONS CORPORATION $ 375,826 GA WINDSTREAM HOLDINGS, INC. $ 24,867,807 HI CINCINNATI BELL INC. $ 4,424,319 IA CENTURYLINK, INC. $ 17,893,887 IA FRONTIER COMMUNICATIONS CORPORATION $ 4,240,587 IA MUTUAL TELEPHONE COMPANY (IA) $ 2,184,040 IA WINDSTREAM HOLDINGS, INC. $ 28,672,554 IA WINNEBAGO COOPERATIVE TELECOM ASSN. $ 209,176 ID CENTURYLINK, INC. 6,279,869 ID FRONTIER COMMUNICATIONS CORPORATION $ 5,223,121 IL AT&T INC. $ 8,932,507 IL CENTURYLINK, INC. $ 2,093,982 IL CONSOLIDATED COMMUNICATIONS, INC. $ 8,084,857 IL FRONTIER COMMUNICATIONS CORPORATION $ 31,017,498 IN AT&T INC. $ 17,576,788 IN CENTURYLINK, INC. $ 10,736,352 IN FRONTIER COMMUNICATIONS CORPORATION $ 22,815,087 KS AT&T INC. $ 18,942,367 KS CENTURYLINK, INC. $ 16,501,327 KY AT&T INC. $ 30,962,548 KY CINCINNATI BELL INC. $ 2,034,186 KY WINDSTREAM HOLDINGS, INC. $ 21,576,987 LA AT&T INC. $ 27,907,591 LA CENTURYLINK, INC. $ 9,471,015 ME CONSOLIDATED COMMUNICATIONS, INC. $ 13,289,220 MI AT&T INC. $ 29,750,677 MI CENTURYLINK, INC. $ 9,028,031 MI FRONTIER COMMUNICATIONS CORPORATION $ 21,733,859 MN CENTURYLINK, INC. $ 54,035,150 MN CONSOLIDATED COMMUNICATIONS, INC. $ 2,516,502 MN FRONTIER COMMUNICATIONS CORPORATION $ 27,551,363 MN WINDSTREAM HOLDINGS, INC. $ 1,519,855 MO CENTURYLINK, INC. $ 74,927,427 MO CONSOLIDATED COMMUNICATIONS, INC. $ 1,689,794 MO WINDSTREAM HOLDINGS, INC. $ 14,187,910 MP PTI PACIFICA INC. $ 2,627,177 MS AT&T INC. $ 49,772,592 MS FRONTIER COMMUNICATIONS CORPORATION $ 816,996 MS WINDSTREAM HOLDINGS, INC. $ 917,403 MT CENTURYLINK, INC. $ 15,195,628 MT FRONTIER COMMUNICATIONS CORPORATION $ 1,114,484 NC AT&T INC. $ 3,498,889 NC CENTURYLINK, INC. $ 10,008,390 NC FRONTIER COMMUNICATIONS CORPORATION $ 3,596,156 NC WINDSTREAM HOLDINGS, INC. $ 1,952,082 ND CENTURYLINK, INC. $ 5,656,741 NE CENTURYLINK, INC. $ 6,888,416 NE FRONTIER COMMUNICATIONS CORPORATION $ 2,735,761 NE WINDSTREAM HOLDINGS, INC. $ 13,591,437 NH CONSOLIDATED COMMUNICATIONS, INC. $ 4,376,606 NJ CENTURYLINK, INC. $ 450,340 NM CENTURYLINK, INC. $ 10,942,747 NM FRONTIER COMMUNICATIONS CORPORATION $ 4,426,327 NV CENTURYLINK, INC. $ 1,072,346 NV FRONTIER COMMUNICATIONS CORPORATION $ 1,379,494 NY CONSOLIDATED COMMUNICATIONS, INC. $ 2,568,269 NY FRONTIER COMMUNICATIONS CORPORATION $ 17,381,485 NY WINDSTREAM HOLDINGS, INC. $ 1,557,976 OH AT&T INC. $ 14,802,500 OH CENTURYLINK, INC. $ 15,982,805 OH CINCINNATI BELL INC. $ 194,944 OH CONSOLIDATED COMMUNICATIONS, INC. $ 420,997 OH FRONTIER COMMUNICATIONS CORPORATION $ 22,927,850 OH WINDSTREAM HOLDINGS, INC. $ 4,154,270 OK CONSOLIDATED COMMUNICATIONS, INC. $ 215,303 OK WINDSTREAM HOLDINGS, INC. $ 7,788,213 OR CENTURYLINK, INC. $ 17,759,903 OR FRONTIER COMMUNICATIONS CORPORATION $ 3,897,357 PA CENTURYLINK, INC. $ 10,562,353 PA CONSOLIDATED COMMUNICATIONS, INC. $ 239,836 PA FRONTIER COMMUNICATIONS CORPORATION $ 3,891,253 PA WINDSTREAM HOLDINGS, INC. $ 13,001,364 SC AT&T INC. $ 9,689,453 SC CENTURYLINK, INC. $ 2,952,228 SC FRONTIER COMMUNICATIONS CORPORATION $ 2,709,651 SC WINDSTREAM HOLDINGS, INC. $ 935,383 SD CENTURYLINK, INC. $ 9,117,215 TN AT&T INC. $ 26,137,862 TN CENTURYLINK, INC. $ 1,662,828 TN FRONTIER COMMUNICATIONS CORPORATION $ 2,126,605 TX AT&T INC. $ 42,078,424 TX CENTURYLINK, INC. $ 11,300,418 TX CONSOLIDATED COMMUNICATIONS, INC. $ 1,915,321 TX FRONTIER COMMUNICATIONS CORPORATION $ 16,576,929 TX WINDSTREAM HOLDINGS, INC. $ 21,260,790 UT CENTURYLINK, INC. $ 1,894,802 UT FRONTIER COMMUNICATIONS CORPORATION $ 2,547,047 VA CENTURYLINK, INC. $ 15,731,765 VA WILKES TELEPHONE MEMBERSHIP CORPORATION $ 857,021 VT CONSOLIDATED COMMUNICATIONS, INC. $ 8,789,359 WA CENTURYLINK, INC. $ 24,412,884 WA CONSOLIDATED COMMUNICATIONS, INC. $ 1,321,014 WA FRONTIER COMMUNICATIONS CORPORATION $ 8,688,054 WI AT&T INC. $ 9,070,392 WI CENTURYLINK, INC. $ 55,384,589 WI FRONTIER COMMUNICATIONS CORPORATION $ 30,983,715 WV FRONTIER COMMUNICATIONS CORPORATION $ 38,068,337 Sub-Total   $ 1,497,972,328 2