Communications and Technology Alert: SCOTUS USF Decision; NTIA BEAD Final Proposal Guidance; Broadband Data Collection Report and Order; Foreign Ownership NPRM Comment Deadlines; SCOTUS Review Copyright Infringement Liability Decision [Vol XXII, Issue 26]
Supreme Court Upholds Universal Service Fund
Last week, the Supreme Court ruled that the FCC's Universal Service Fund contribution mechanism is constitutional, reversing a Fifth Circuit decision. The mechanism requires telecommunications companies to contribute a certain percentage of their revenue to the fund. In FCC vs Consumers' Research, Consumers' Research argued that both Congress's decision to delegate of the power to set the contribution rate to the FCC and the FCC's reliance on the Universal Service Administrative Company (USAC) when setting the rate, are unconstitutional delegations of Congressional power. The Court disagreed, upholding the mechanism based on a finding that the Congress had "sufficiently guided and constrained the discretion that it lodged with the FCC to implement the universal-service contribution scheme." For more information, please contact Casey Lide (lide@khlaw.com; 202.434.4186) or Sean Stokes (stokes@khlaw.com; 410.458.1342).
NTIA Releases Guidance to States and Territories for the Restructured BEAD Final Proposal
Last week, the National Telecommunications and Information Administration released a guidance document for submission of Final Proposals under the BEAD program. The 93 page document follows the NTIA's June 6th announcement of new rules governing BEAD proposals. The new guidance document explains the requirements for updated final proposal submissions, emphasizing the sections where Biden Administration requirements have been removed. For more information, please contact Casey Lide (lide@khlaw.com; 202.434.4186) or Sean Stokes (stokes@khlaw.com; 410.458.1342).
FCC Adopts Order Streamlining Broadband Data Collection Filings
At the June Commission Open Meeting, the Commission considered and adopted a Report and Order eliminating the requirement for fixed broadband service providers to obtain certification from a professional engineer that the provider is accurately reporting location and coverage data. The removal of the certification requirement as part of a providers’ Broadband Data Collection (BDC) filings comes in response to companies having difficulty finding a professional engineer to timely certify the data in line with biannual BDC filing deadlines. The new filing parameters now permit corporate officers possessing a Bachelor of Science (B.S.) in engineering or an engineer with a similar degree who has direct knowledge in the network’s design, or an employee or agent with at least 10 years of relevant experience in broadband network design and engineering to certify the providers’ data. For more information, please contact Casey Lide (lide@khlaw.com; 202.434.4186) or Sean Stokes (stokes@khlaw.com; 410.458.1342).
FCC Announces Comment Deadlines for Foreign Ownership Requirements NPRM
The FCC announced last Monday that commentors will have until July 23rd to file comments and August 22nd to file replies to the Notice of Proposed Rulemaking (NPRM) which offers to streamline Section 310(b) review processes for broadcast, common carrier and aeronautical radio licenses. Specifically, this NPRM seeks comment on codifying longstanding agency practices related to foreign ownership in common carriers and broadcast licensees, such as proper identification of the controlling US parent, certain voting interests, trusts and trustees, as well as remedial procedures. Additionally, for broadcast licensees only, the NPRM seeks comment on how to process applications filed during the pendency of a remedial petition for a declaratory ruling under 310(b)(4) as well as foreign ownership reporting for NCE and LPFM stations. For more information, please contact Wes Wright (wright@khlaw.com; 202.434.4239) or Tim Doughty (doughty@khlaw.com; 202-434-4271).
Supreme Court to Review Fourth Circuit Copyright Infringement Liability Decision
The Supreme Court announced they would review a Fourth Circuit decision that found internet service providers could be found liable for copyright infringement. In February, the Fourth Circuit had decided that Cox was liable due to the company’s failure to terminate the subscriptions of customers who are known repeat offenders, contrary to the ISP “safe harbor” provisions of Section 512 of the Digital Millennium Copyright Act. For more information, please contact Casey Lide (lide@khlaw.com; 202.434.4186) or Sean Stokes (stokes@khlaw.com; 410.458.1342).
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