As discussed in recent editions of the ICORE Blog, there recently has been a significant amount of activity at the FCC affecting the telecommunications industry. The following provides a summary of other recent actions of note by the Commission and Congress:
- On June 12, 2025, members of the U.S. House and Senate announced the reconstitution of the Universal Service Fund (USF) Working Group. The bipartisan, bicameral working group was originally launched in 2023 with the goal of developing a forum to guide education, awareness, and policymaking. The announcement states that this reorganization of the Working Group indicates the continued commitment by Congress to close the digital divide and seek solutions that support the continued sustainability of the USF and to improve interagency coordination while eliminating waste, fraud, and abuse. Last week, the Working Group issued an announcement seeking comments on a series of questions and the opening of a comment portal to receive input from interested stakeholders. Comments are sought regarding the effectiveness of the USF programs and input regarding specific reforms relative to transparency and accountability, waste and fraud, coordination with other FCC programs, USAC accountability, and the FCC’s authority to make suggested reforms. Comments are due by September 15, 2025.
- On August 4, 2025, the FCC adopted a Notice of Proposed Rulemaking (NPRM), Third Further Notice of Proposed Rulemaking (FNPRM), and Order addressing the provision of Business Data Services (BDS) offered by telephone companies. Historically, the Commission relied on dominant carrier regulation under Title II for BDS to ensure that the rates, terms, and conditions of service were just and reasonable and not unreasonably discriminatory. In response to the growth in competition in the provision of BDS, the Commission has in recent years streamlined its regulation of these services to forbear from unnecessary burdens on legacy circuit-based services. In the NPRM and FNPRM the Commission is seeking comment on further deregulating BDS in light of marketplace and technological changes. The Commission seeks comment on eliminating ex ante pricing regulation and tariffing obligations for end user channel termination services provided by incumbent local exchange carriers. For rate of return carriers, this refers specifically to packet-based and legacy circuit-based end user channel termination services. In addition, comment is sought on eliminating ex ante pricing regulation and tariffing obligations for rate of return carriers’ packet-based and legacy circuit-based transport services. Since the Commission is seeking comment on changes that would fundamentally alter its regulatory framework for BDS, the Order temporarily waives the requirement for the next triennial competitive market test results update by the Wireline Competition Bureau that would be due in January, 2026.
- On August 7, 2025, the FCC adopted a NPRM designed to accelerate infrastructure builds by modernizing its environmental regulations. The proceeding seeks to cut red tape through a comprehensive review of the Commission’s National Environmental Protection Act (NEPA) rules. The NPRM will examine the FCC’s environmental regulations to ensure that are aligned with the amended NEPA statute and looks to speed up the federal permitting process, support faster infrastructure deployment, and ensure that the Commission’s rules are clear. The FCC seeks comment on the terms and exclusions in the updated NEPA statute, including the term “major federal action” which triggers federal agencies’ NEPA obligations. In addition, the NPRM seeks comment on how the updated NEPA statute should be applied to the Commission’s regulations and what changes may be required.
We will continue to monitor these important issues and will provide updates as comments and reply comments are filed by interested Parties.
