Three Key Reforms on FCC’s September Agenda

Since the start of the coronavirus pandemic, internet providers have stepped up to provide lightning-fast speeds and nationwide connectivity to Americans working (and learning) from home. Citing a recent report by WhistleOut, the Wall Street Journal reports, “As of July, average home internet speeds across the U.S. were running at 94.6 megabits per second, up from 84.9 megabits in March…The Federal Communications Commission (FCC) considers 25 megabits per second the minimum for broadband service.” These unprecedented, large-scale service improvements are due in large part to FCC initiatives allowing providers the spectrum and flexibility they need to serve struggling Americans. And in this month’s open meeting, the FCC is poised to adopt reforms that will further bolster the digital domain and help close the digital divide without taxpayer money. Below, the Taxpayers Protection Alliance (TPA) analyzes three of the reforms on the agency’s September agenda.

Expanding Access to and Investment in the 4.9 GHz Band

In its September 30 meeting, the FCC is likely to adopt an order that would expand access to the 4.9 GHz band by permitting states to lease this bandwidth to private companies (e.g. electric utilities) in order to unlock the band’s full potential. The federal agency currently places strict limits on the band, requiring that the spectrum be used for narrowly designated public safety purposes.

These onerous limits on use, coupled with complicated sharing rules, have resulted in the 4.9 GHz band falling far short of its potential. The FCC notes that only 3.5 percent of potential licensees use the band. In total, “There are currently only 3,559 licenses issued, and in many instances the same licensee holds multiple licenses in its jurisdiction based on the 4.9 GHz licensing structure requiring geographic area licensees to obtain individual licenses for permanent fixed sites.”

Proposed FCC reforms would simplify use rules, making it far easier to bring these airwaves alive. The order would allow one designated statewide band licensee per state to lease its spectrum rights to third parties, freeing up to 50 megahertz of mid-band spectrum for commercial wireless use and continued public safety purposes.

Allowing Shared Use in the 3.1-3.55 GHz Band

Currently, the 3.1 to 3.55 GHz band is reserved for both federal and non-federal radiolocation services, bolstering governmental operations such as radar systems. For example, the Department of Defense uses the band to support radar systems used to detect and track air and surface targets and support weapons control efforts. While these uses are undoubtedly critical for national security purposes, research suggests that the band could successfully be shared with private providers to expand internet connectivity across America.

According to research conducted by the National Telecommunications and Information Administration, allowing spectrum sharing in the 3.1-3.55 GHz band could spur commercial wireless innovation while protecting incumbent federal users. The FCC aims to facilitate the successful public-private sharing of the band by relocating non-federal radiolocation licensees (i.e. power companies, municipalities, weather tracking services) to the 2.9-3.0 GHz band, safeguarding these critical users while freeing up mid-band spectrum for 5G use.

The FCC has made a significant, sustained effort to free up mid-band spectrum for 5G, and this proposal demonstrates the agency’s continued commitment to this goal. Spectrum sharing in the 3.1-3.55 GHz band, coupled with the upcoming C-band auction at the end of the year, will give internet providers the bandwidth they need to deliver fast, reliable digital services to consumers.

Relaxing Record Keeping Requirements for Cable Operators

The federal government has a pesky habit of requiring records for, well, everything. While the cost of each individual record/file-keeping requirement in isolation may not be that bad, the rules – and costs – certainly add up. Fortunately, reform-minded agencies have taken a proactive approach to scaling back needless record-keeping requirements. In its September meeting, the FCC is considering eliminating the onerous requirement for cable operators to maintain online public inspection files pertaining to their “attributable interests” in video programming services.

These recordkeeping rules date back to 1993 and were designed to help the FCC enforce channel occupancy limits. These limits were struck down by the U.S. Court of Appeals for the D.C. Circuit in 2001, after the Court found that the rules imposed a substantial burden on speech. Despite the Court’s remand and reversal, companies are still forced to comply with corresponding, anachronistic recordkeeping rules. Consumers pay the ultimate price for these outdated rules, shouldering higher cable bills as the result of federal fiat. The FCC is wise to eliminate these rules and keep costs low for providers and consumers.

The Full Agenda

For a full list of items the FCC will be considering in its September 30th meeting, check out the FCC’s website: https://www.fcc.gov/news-events/events/2020/09/september-2020-open-commission-meeting

For analysis of each of these items from FCC Chairman Ajit Pai himself, head over to his blog on Medium: https://medium.com/@AjitPaiFCC/a-big-fall-kickoff-626116b29190