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Submitted via IRC for Runaway1956
Federal Communications Commission Chairman Ajit Pai has proposed a new spending cap on the FCC's Universal Service programs that deploy broadband to poor people and to rural and other underserved areas.
Pai reportedly circulated the proposal to fellow commissioners on Tuesday, meaning it will be voted upon behind closed doors instead of in an open meeting. Pai has not released the proposal publicly, but it was described in a Politico report Wednesday, and an FCC official confirmed the proposal's details to Ars. Democratic FCC commissioners and consumer advocacy groups have criticized Pai's plan, saying it could harm the FCC's efforts to expand broadband access.
The FCC's Universal Service system's purpose is to bring communications service access to all Americans and consists of four programs: The Connect America Fund, which gives ISPs money to deploy broadband in rural areas; Lifeline, which provides discounts on phone and broadband service to low-income consumers; the E-Rate broadband program for schools and libraries; and a telecom access program for rural health care providers.
Pai's plan suggests an $11.4 billion annual cap on the total cost of the four programs, which is more than current spending but would put an upper bound on what the program could spend in the future. The cap would be indexed for inflation, FCC Commissioner Michael O'Rielly wrote on Twitter.
(Score: 5, Insightful) by Thexalon on Tuesday April 02 2019, @02:05PM (8 children)
My understanding of how rural broadband spending works in the US is this:
1. The government gives telecoms a bunch of money to build out rural broadband capacity, replacing the antiquated copper that's still in use in a lot of places.
2. The telecoms kick back about 2% of that money to politicians as "campaign contributions" to both keep the program going and make sure nobody's asking annoying questions about where the money is going.
3. Almost nothing gets built. Most of the remaining cash just goes straight to the bottom line.
So while in theory, there's big bucks going to rural broadband, the amount actually spent on rural broadband is a fraction of what is supposed to be spent on rural broadband. The investors are happy, the politicians are happy, what's the problem?
The only thing that stops a bad guy with a compiler is a good guy with a compiler.
(Score: 1) by fustakrakich on Tuesday April 02 2019, @05:44PM (5 children)
4. Reelection rates remain steady at around 95%
The voters are happy too. Really, what is the problem?
La politica e i criminali sono la stessa cosa..
(Score: 4, Interesting) by Thexalon on Tuesday April 02 2019, @06:12PM (1 child)
What's the problem, really:
1. We're all chipping in tax dollars so that those who own telecom stocks can get richer than they otherwise would, which is probably not the best use of government money.
2. Rural telecom networks aren't being improved, which is the ostensible goal of the policy. This is all part of the US having an embarrassingly bad and expensive network compared to other developed countries.
I agree that politicians keep getting reelected, but this is one of those things where it's unlikely that any politician will be punished electorally for any of this: It's an obscure issue, and not as important in the grand scheme of things. And that's exactly the kind of thing where public corruption gets a foothold.
The only thing that stops a bad guy with a compiler is a good guy with a compiler.
(Score: 1) by fustakrakich on Tuesday April 02 2019, @10:34PM
Still can't blame the politician for voters lack of oversight. It's time to acknowledge the high maintenance costs of this majority rule stuff. Only we can make it work.
La politica e i criminali sono la stessa cosa..
(Score: 2) by sjames on Tuesday April 02 2019, @08:49PM (2 children)
Are you sure the voters are happy or are they just choosing between giant douche and turd sandwich?
(Score: 1) by fustakrakich on Tuesday April 02 2019, @10:38PM (1 child)
Doesn't matter, choosing between giant douche and turd sandwich is still their own choice, they can't blame anybody else for the limits they put on themselves.
La politica e i criminali sono la stessa cosa..
(Score: 2) by sjames on Tuesday April 02 2019, @10:58PM
Don't blame me, I voted for Ficus.
(Score: 2) by arslan on Tuesday April 02 2019, @10:15PM (1 child)
So.. assuming what you say is true, Ajit Pai is doing the right thing then by breaking that cycle? .. and channeling the funds for the better good or other evils..
(Score: 0) by Anonymous Coward on Wednesday April 03 2019, @01:59AM
We have at this point given billions to AT&T, Verizion, and comcast to build out networks both state and federal. Just ask the people of new york city and New Jersey how well that is working out.
For example VZ has basically all but abandoned any sort of expansion. They took the money and bought out vodaphones share of verizon wireless. That does not build more fiber.
If you want we can find hundreds more examples like this. In a few cases it is working. But overall we are getting ripped off.