At the FCC’s September 30, 2025 Open Meeting the Commission adopted several items of interest to the ILEC industry. Please note the following:
- In advancing its Build America Agenda (see ICORE Blog dated 7/9/25), the Commission adopted a Notice of Inquiry (NOI) into state and local requirements that are perceived to constrain the deployment of high-speed wireline infrastructure. The NOI cites steps taken by the Commission in 2018 to streamline regulations that resulted in significant capital investments in high-speed broadband infrastructure. The NOI seeks comments regarding concerns expressed by telecommunications providers regarding continuing delays resulting from authorization requirements established by state and local governments. Specific comments are sought regarding (1) delays that providers encounter when seeking access and use of public rights of way; (2) the fees imposed when seeking such authorizations; (3) the in-kind compensation requirements imposed on providers as a condition of accessing and using public rights of way; (4) whether these fees, delays, and conditions prohibit or have the effect of prohibiting the provision of services in violation of Section 253 of the Communications Act. In addition, the NOI invites broad comment on other types of state and local requirements that have a prohibitive effect on the deployment of telecommunications infrastructure and services. Comments in the NOI are due November 17, 2025 and Reply Comments are due December 17, 2025.
- The Commission adopted a Declaratory Ruling (Ruling) addressing the E-Rate Program for Schools and Libraries. The Ruling purports to better align E-Rate eligibility with Section 254 of the Communications Act and clarifies that the provision of Wi-Fi, or other similar access point technologies including the equipment needed to provide such services on school buses is ineligible for E-Rate funding. The Ruling effectively nullifies the Commission’s 2023 School Bus Declaratory Ruling which authorized E-Rate funding for Wi-Fi on school buses. In reaching this Ruling the Commission determined that extending E-Rate funding to school bus Wi-Fi does not serve an educational or classroom purpose. USAC is directed to deny as ineligible all pending requests for school bus Wi-Fi in funding year 2025 and subsequent funding years.
- The Commission adopted an Order on Reconsideration reversing the FCC’s July, 2024 Wi-Fi Hotspots Order (see ICORE Blog dated 9/9/24). In the July, 2024 Order the Commission authorized the provision of E-Rate support for the off-premises use of Wi-Fi hotspots and associated wireless internet services by students, school staff members, and library patrons. In keeping with the Declaratory Ruling discussed above, the Commission has concluded that in regard to the July, 2024 Order, the FCC lacked the authority to expand the E-Rate Program to fund hotspots that students, school staff, or library patrons could use outside of a school or library. Further, the Order on Reconsideration concludes that July 2024 Wi-Fi Hotspots Order represented unreasonable policy choices, poor stewardship of scarce funds, and invited waste, fraud, and abuse. USAC is directed to deny pending funding requests for funding year 2025 and beyond related to the off-premises use of Wi-Fi hotspots.
Regarding the two items above related to the E-Rate Program, in a letter dated September 29, 2025, over 50 members of Congress urged the Commission to not take action regarding E-Rate support for school bus access or Wi-Fi hotspots. The letter cites the significant level of demand for these resources and the negative impact that their discontinuance will have on school districts, students, and low-income families especially in rural parts of the Country. Both of the E-Rate items were adopted by the Commission by a 2-1 vote with Commissioners Carr and Trusty voting in favor and Commissioner Gomez dissenting.