FEDERAL COMMUNICATIONS COMMISSION WASHINGTON OFFICE OF THE CHAIRMAN October 14,2016 The Honorable Sean P. Duffy U.S. House of Representatives 1208 Longworth House Office Building Washington, D.C. 20515 Dear Congressman Duffy: Thank you for your letter regarding the importance of mobile voice and broadband networks to the economic competitiveness and safety of rural America, as well as your views regarding the opportunity that a Mobility Fund Phase II may provide to improve rural mobile coverage. Americans rely more and more on mobile broadband service. As providers roll-out more robust wireless networks, they are providing greater broadband speeds, efficiency, capacity, and a wealth of innovative features. The Commission is committed to ensuring that Americans living, working, and travelling in rural areas have access to these mobile broadband networks that are increasingly essential for full participation in today's society and economy. The Commission will move forward with rules for Mobility Fund Phase II by the end of this year. Our recently-completed analysis of Form 477 data shows that there are significant gaps in 4G LTE coverage throughout the country that need to be addressed through Mobility Fund Phase II. The primary focus of Mobility Fund Phase II will be targeting our necessarily limited universal service funds to promote 4G LTE service in areas where it might not otherwise be expanded or sustained without federal support. With that goal in mind, the Commission is working to address the key structural and operational issues for a Phase II fund, including the appropriate budget, eligible geographic areas, proper distribution methodology, and the public interest obligations of support recipients. I appreciate your interest in this matter. Please let me know if I can be of any further assistance. Sincerely, Tom Wheeler