[Federal Register Volume 77, Number 105 (Thursday, May 31, 2012)]
[Notices]
[Pages 32113-32114]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-13127]


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FEDERAL COMMUNICATIONS COMMISSION

[WC Docket Nos. 10-90 and 05-337; DA 12-639]


Wireline Competition Bureau Announces Support Amounts for Connect 
America Fund Phase One Incremental Support

AGENCY: Federal Communications Commission.

ACTION: Notice; solicitation of comments.

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SUMMARY: In this document, the Wireline Competition Bureau (Bureau), 
identifies the data sources it relied on and announce support amounts 
for CAF Phase I incremental support for 2012.

DATES: Carriers must file notices stating the amount of support each 
wishes to accept, and the areas by wire center and census block in 
which the carrier intends to deploy broadband, or stating that the 
carrier declines incremental support for 2012, no later than July 24, 
2012.

ADDRESSES: You may submit notices stating the amount of support you 
wish to accept, identified by WC Docket Nos. 10-90 and 05-337, by any 
of the following methods:
     Electronic Filers: Comments may be filed electronically 
using the Internet by accessing the ECFS: http://fjallfoss.fcc.gov/ecfs2/.
     Paper Filers: Parties who choose to file by paper must 
file an original and four copies of each filing. If more than one 
docket or rulemaking number appears in the caption of this proceeding, 
filers must submit two additional copies for each additional docket or 
rulemaking number.
     People with Disabilities: To request materials in 
accessible formats for people with disabilities (Braille, large print, 
electronic files, audio format), send an email to [email protected] or 
call the Consumer & Governmental Affairs Bureau at (202) 418-0530 
(voice), (202) 418-0432 (tty).

FOR FURTHER INFORMATION CONTACT: Joseph Cavender, Wireline Competition 
Bureau at (202) 418-1548 or TTY (202) 418-0484.

SUPPLEMENTARY INFORMATION: 
    1. The USF/ICC Transformation Order and FNPRM, 76 FR 76623, 
December 8, 2011, comprehensively reformed and modernized the universal 
service and intercarrier compensation systems. Among other things, the 
Commission established a transitional mechanism to distribute high-cost 
universal service support to price cap carriers, known as the Connect 
America Fund Phase I (CAF Phase I). In addition to freezing existing 
high-cost support for price cap carriers, the Commission adopted a 
process to distribute up to $300 million of additional, incremental 
support in 2012 among such carriers to advance broadband deployment. 
The Commission delegated to the Wireline Competition Bureau (Bureau) 
the task of performing the calculations necessary to determine support 
amounts and selecting the necessary data.
    2. In an earlier Notice, 77 FR 9653, February 17, 2012, we sought 
comment on wire center data submitted by Windstream Communications that 
the carrier proposed we use for CAF Phase I. We also sought data for 
areas for which Windstream had not submitted data and sought comment on 
alternate approaches to generating sufficiently reliable data for such 
areas. In addition, because only the wire centers of price cap carriers 
and their affiliates would be relevant to the distribution of 
incremental high cost support; we sought comment on a proposed list of 
wire centers to include in our analysis. In a subsequent letter, we 
identified various additional data sources we might rely on. In this 
Notice, we identify the data sources we rely on and announce support 
amounts for CAF Phase I incremental support for 2012.
    3. For wire centers in the contiguous territory of the United 
States plus Hawaii, we use the data submitted by Windstream. US 
Telecom, on behalf of nine holding companies of price cap carriers 
serving that area, filed comments supporting the use of those data, and 
provided a detailed explanation of the commercially available sources 
relied upon and the statistical techniques used to generate the data. 
No party objected to the use of such data.
    4. For Alaska, we use data submitted by Alaska Communications 
Systems Group, Inc. for its wire centers in that state, which it 
developed using both internal and commercially available resources. No 
party objected to the use of those data.
    5. For the Commonwealth of the Northern Marianas, we use mapping 
data and business count data submitted by Micronesian Telecom for its 
wire centers in that territory. No party objected to the use of those 
data. In addition, for household counts, we use Geolytics estimates 
data. For road feet, we use US Census TIGER data. We allocate census 
block data to wire centers based on the mapping data submitted by the 
carrier. We calculate business counts for each census block using data 
supplied by the carrier in conjunction with an estimation

[[Page 32114]]

technique intended to ensure that the carrier is not deprived of the 
opportunity to receive incremental support solely because we lack 
adequate data.
    6. For the United States Virgin Islands, we use mapping data 
submitted by the Virgin Islands Telephone Company (Vitelco). No party 
objected to the use of those data. In addition, for household counts, 
we use Geolytics estimates. For road feet, we use US Census TIGER data. 
For business counts, we use data from the CostQuest Broadband 
Availability Tool. We allocate census block data to wire centers based 
on the mapping data submitted by the carrier.
    7. No party submitted data for Puerto Rico. For our analysis, we 
use mapping data from TomTom (formerly Tele Atlas North America). For 
household counts, we use Geolytics estimates. For business counts, we 
use data from the CostQuest Broadband Availability Tool. For road feet, 
we use US Census TIGER data.
    8. In addition, we adopt the following data sources for the lists 
of wire centers of price cap carriers and their affiliates to be 
included in our analysis. For the contiguous territory of the United 
States plus Hawaii, we use the list of wire centers submitted by US 
Telecom, which filed on behalf of the price cap carriers serving those 
areas. For Puerto Rico, we use the list of wire centers included in the 
CostQuest Broadband Availability Tool data. For all other areas, we use 
wire center information provided by the price cap carrier providing 
service in that area.
    9. Using these data, allocated support amounts for 2012, by holding 
company, are as follows.

------------------------------------------------------------------------
                         Company                          Support amount
------------------------------------------------------------------------
Alaska Communications Systems...........................      $4,185,103
AT&T....................................................      47,857,148
CenturyLink.............................................      89,904,599
Cincinnati Bell.........................................               0
Consolidated Communications.............................         421,247
Fairpoint Communications................................       4,856,858
Frontier Communications.................................      71,979,104
Hawaiian Telcom.........................................         402,171
Virgin Islands Telephone Co. (Vitelco)..................         255,231
Micronesian Telecommunications..........................               0
Puerto Rico Telephone Company...........................               0
Verizon.................................................      19,734,224
Windstream Communications...............................      60,404,310
------------------------------------------------------------------------

    10. No later than 90 days after release of this Notice, carriers 
must file notices stating the amount of support each wishes to accept, 
and the areas by wire center and census block in which the carrier 
intends to deploy broadband to meet its obligation, or stating that the 
carrier declines incremental support for 2012. We encourage carriers to 
file their notices in advance of the deadline. Copies of such notices 
must be filed with the Commission, USAC, the relevant state or 
territorial commissions, and any affected Tribal government.
    11. Pursuant to the rules established by the Commission in the 
Order, carriers must deploy broadband to a number of unserved locations 
equal to the amount of incremental support each accepts, divided by 
$775. Carriers accepting incremental support must certify that 
deployment funded through CAF Phase I incremental support will occur in 
areas shown as unserved by any other carrier on the National Broadband 
Map, and that, to the best of the carrier's knowledge, the locations to 
be served are, in fact, unserved. Carriers must further certify that 
the carrier's current capital improvement plan did not already include 
plans to complete broadband deployment within the next three years to 
the locations to be counted to satisfy the deployment obligation, and 
that incremental support will not be used to satisfy any merger 
commitment or similar obligation. Carriers must complete deployment to 
two-thirds of the required number of locations within two years of the 
date they accept support, and to all required locations within three 
years.
    12. Paperwork Reduction Act. This document contains modified 
information collection requirements subject to the Paperwork Reduction 
Act of 1995 (PRA), Public Law 104-13. It was submitted to the Office of 
Management and Budget (OMB) for review under Section 3507(d) of the 
PRA. OMB, the general public, and other Federal agencies were invited 
to comment on the modified information collection requirements 
contained in this proceeding. OMB approved the requirements on April 
16, 2012.
    13. Congressional Review Act. The Commission will send a copy of 
this notice to Congress and the Government Accountability Office 
pursuant to the Congressional Review Act.
    14. Final Regulatory Flexibility Certification. The Regulatory 
Flexibility Act (RFA) requires that agencies prepare a regulatory 
flexibility analysis for notice-and-comment rulemaking proceedings, 
unless the agency certifies that ``the rule will not have a significant 
economic impact on a substantial number of small entities.'' The RFA 
generally defines ``small entity'' as having the same meaning as the 
terms ``small business,'' ``small organization,'' and ``small 
governmental jurisdiction.'' In addition, the term ``small business'' 
has the same meaning as the term ``small business concern'' under the 
Small Business Act. A small business concern is one which: (1) Is 
independently owned and operated; (2) is not dominant in its field of 
operation; and (3) satisfies any additional criteria established by the 
Small Business Administration (SBA). This Public Notice selects data 
sources necessary to implement the Connect America Fund Phase I 
incremental support mechanism adopted by the Commission in the USF/ICC 
Transformation Order, which provides additional support to price cap 
carriers to deploy broadband facilities. This Public Notice also 
notifies carriers of the support for which they are eligible. It does 
not modify the rules governing the Connect America Fund Phase I 
incremental support mechanism. Selecting these data sources and 
publishing eligible support amounts imposes no new burden on any 
company and has no negative economic impact on any company. 
Accordingly, we certify that the measures taken herein will not have a 
significant impact on a substantial number of small entities.
    The Commission will send a copy of this Public Notice, including 
this certification, to the Chief Counsel for Advocacy of the Small 
Business Administration. In addition, the notice (or a summary thereof) 
and certification will be published in the Federal Register.

Federal Communications Commission.
Trent Harkrader,
Division Chief, Telecommunications Access Policy Division, Wireline 
Competition Bureau.
[FR Doc. 2012-13127 Filed 5-30-12; 8:45 am]
BILLING CODE 6712-01-P