ACP / Net Neutrality / Digital Discrimination

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In this edition of the ICORE Blog we revisit and provide updates on important issues that we’ve discussed on this site in the recent past. These issues continue to generate significant interest and comment at the FCC, the U.S. Congress, and in the Courts.

* Affordable Connectivity Plan (ACP)

On May 31, 2024, FCC Chairwoman Rosenworcel announced the end of the ACP effective June 1, 2024. As previously reported here, the ACP will no longer continue due to the lack of additional Congressional funding. The Chairwoman also sent letters to Congress regarding the end of the program. On a related note, a proposed amendment to the National Defense Authorization Act for Fiscal Year 2025 was recently released which would provide $6 billion for the ACP and an additional $3 billion for the Secure and Trusted Communications Networks Reimbursement Program.

* Net Neutrality

In the ICORE Blog dated May 10, 2024, we reported that on April 25, 2024 the FCC adopted a Declaratory Ruling, Order, Report and Order, and Order on Reconsideration (Open Internet Order) restoring FCC oversight of broadband internet access service (BIAS) as a telecommunications service under its Title II authority. As discussed in the May 10, 2024, Blog, a significant level of comments were filed prior to the FCC’s action that were in opposition to the reclassification of BIAS and that opposition has continued. On May 31, 2024, USTelecom, NCTA, CTIA, and others filed a petition at the FCC seeking a stay of the Open Internet Order. USTelecom et al asserted they are likely to prevail in their argument that the FCC’s actions are unlawful and if allowed to go into effect the Open Internet Order will cause harm to the Petitioners’ member companies. On June 7, 2024, the FCC issued an Order denying the petition for a stay stating that the Petitioners’ arguments for a stay are not persuasive and failed to show why the Petitioners’ members would suffer irreparable harm.

In addition to the Petition for a stay, Petitions for Review of the Open Internet Order were filed by interested parties in several U.S. Circuit Courts of Appeal. On June 6, 2024 the U.S. Judicial Panel on Multidistrict Litigation issued an Order consolidating the Petitions for Review at the U.S. Court of Appeals for the Sixth Circuit. In response, the FCC filed a motion on June 7, 2024, with the Sixth Circuit requesting that the consolidated cases be transferred to the U.S. Court of Appeals for the D.C. Circuit.

In a related matter, on June 5, 2024, the U.S. House Appropriations Committee’s Financial Services and General Government Subcommittee approved the fiscal year 2025 appropriations bill. The bill includes funding for the FCC at a level below the FCC’s requested amount and prohibits funds for the reclassification of BIAS under Title II.

Digital Discrimination

As previously discussed on this site (see ICORE Blog editions of 1/27/23, 12/6/23, 2/23/24, and 4/10/24) the FCC adopted rules regarding Digital Discrimination in November of 2023. Numerous Petitions for Review were filed in the Federal Courts and have been consolidated for review in the U.S. Court of Appeals for the 8th Circuit Court. On April 24, 2024, the Petitioners filed a Brief with the 8th Circuit Court supporting their position that the FCC failed to explain its position regarding claims of disparate impact and failed to consider the totality of the costs that the new rules will impose. On April 29, 2024, multiple Amicus Briefs were filed by interested parties in support of the Petitoners. As mentioned above, the U.S. House Appropriations Committee’s Financial Services and Government Subcommittee approved the fiscal year 2025 appropriations bill. The bill includes funding for the FCC at a level below the FCC’s requested amount and prohibits funds related to the FCC’s Digital Discrimination Rulemaking.

It’s clear from the discussion above that these important issues remain unsettled and subject to change. We will continue to follow these issues and will provide updates as more information becomes available.

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