FCC Proposes Cap Increase for RHC


On June 6, 2018, Chairman Pai announced that he is circulating a draft order that would increase the current $400 million cap for the Universal Service Fund's Rural Healthcare Program.  The News Release can be viewed here.  Chairman Pai has proposed to increase the cap to $571 million, the amount the cap would be if it had been indexed to inflation since the program’s inception.  If adopted, the order could eliminate the need to prorate the 2017 funding requests because the demand exceeded the cap.  The five FCC commissioners will have to vote on the draft order but they can do that at any time; they do not have to wait for the next Commission meeting in July.

FCC Proposes to Restrict USF funds in the Interest of National Security



The Commission today released its NPRM seeking comment on whether the Commission should prohibit Universal Service Funds (USF) from being used to purchase any equipment or services by any company posing national security threat to the integrity of communications networks.  The NPRM was adopted at the Commission’s meeting yesterday.  The comment cycle will be set when the NPRM is published in the Federal Register.
Commissioner's Statements:
Chairman Pai
Clyburn
O'Rielly
Carr
 

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FCC Announces 2Q USF Contribution Factor


On March 9, 2018, the FCC released a Public Notice that the proposed universal service contribution factor for the second quarter of 2018 will be 0.184 or 18.4%.  USAC projected demand and expenses for the second quarter of 2018 to be $1.9 million.

The full text may be viewed here.

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