Citing COVID-19, FCC OKs Interim ICS Rate Caps 4-0

Citing the impact of COVID-19 on incarcerated people and their families, FCC commissioners unanimously approved an order and Further NPRM Thursday to cut interstate rates for inmate calling services (see 2105120031). It’s “not the last action we will take because there is more that needs to be done,” said acting Chairwoman Jessica Rosenworcel during Thursday’s meeting.

The commission capped interim interstate rates at 14 cents per minute for smaller prisons and 16 cents for larger jails, which includes a 2 cent cap for site commission payments (see 2105190033). The rate for facilities with an average daily population of 1,000 people will remain at 21 cents per minute because there isn’t enough data available to adjust it. International rates were also capped for the first time, at the same rate for interstate calls, plus the cost a provider pays to complete the call.

Commissioners approved mandatory data collection to establish permanent rates. "It's vitally important that we get up-to-date data," Rosenworcel told reporters, especially for facilities with fewer than 1,000 people. "I hope we can get more information about site commissions," Rosenworcel said: "I want to understand how we think about those going forward in light of the 2017 D.C. Circuit case" (see 1706130012).

The last time ICS rates were cut was in August under then-FCC Chairman Ajit Pai, who tweeted Wednesday that he's "very pleased" the commission was going to reduce rates for families of prisoners. "#Phonejustice is critical to enabling them to stay in touch," Pai tweeted.

The final order included changes sought by Commissioner Geoffrey Starks to “ensure that international call termination charges are transparent to consumers,” he said. Starks hopes "there will be opportunities to further meet the commission’s obligation of ensuring there truly are just and reasonable charges made to incarcerated individuals and their loved ones who are using ICS services to remain connected.” It's a welcome addition, said Jenner & Block's Rebekah Goodheart, counsel for the Wright Petitioners that have long sought lower rates, in an interview: "We support the commission's order [and] think it's a good interim step."

Lowering rate caps is a matter of “social justice,” Rosenworcel said. “We are not yet where we need to be.” Commissioners praised former acting FCC Chairwoman Mignon Clyburn for pushing the commission to lower rates during her tenure. Commissioner Brendan Carr said he spoke with former prisoners and families of jailed people. He's interested in further understanding “the role site commissions play in the rates and whether the commission can and should do more to address those charges.” Calling "a loved one can be prohibitively expensive” behind bars, said Verizon Senior Vice President-Public Policy and Government Affairs Kathy Grillo in a statement.

Commissioners denied Global Tel*Link’s petition for reconsideration on the jurisdictional nature of a call. This affirmed that the nature depends on the physical location of the endpoints of a call and not whether a phone number’s area code is associated with a particular state.

A FNPRM proposes to amend rules to require providers to provide all forms of telecom relay services. It seeks comment on permanent ICS rate caps and how to revise site commissions.

Meeting Notebook

The FCC "would've been in a position to provide speedier oversight" of Frontier Communications business practices if the Trump administration "hadn't given up its oversight authority," Rosenworcel said (see 2105190052). It's alleged the telco didn't provide expected DSL speeds; it counters that it did deliver. "The nation's communications regulator should be able to look into these issues and make sure that consumers get what they pay for when they order broadband service," Rosenworcel told news media. The FTC's lawsuit against Frontier "shows why the FTC can never fully fill the regulatory gap left in the wake of the repeal of net neutrality at the @FCC, the expert agency on telecommunications services," tweeted acting FTC Chair Rebecca Kelly Slaughter: "I look forward to working with [Rosenworcel] to ensure that Americans get the protections they need for this essential service."

Rosenworcel told reporters she asked the Office of General Counsel to review a New York attorney general's report on fake comments that were submitted to the commission (see 2105060058). Rosenworcel said she asked the commission to pause its "misguided decision to roll back our net neutrality rules" in 2017 because there was an "extraordinary amount of fraud in the public record."

Commissioners approved an NPRM that seeks comment on what compensation rates should be for video relay service providers through the telecom relay service fund. The proposal would establish a tiered structure after the current one expires June 30. The first set of monthly minutes for providers would be compensated at a particular level, the following sets of minutes at other levels. The NPRM seeks comment whether to adjust tiered compensation levels or defer changes for two years to “await the resolution of uncertainty about post-Covid-19 changes in VRS costs and demand.” Commissioners also approved extending the VRS compensation plan through Dec. 31 or the effective date of the new compensation plan, whichever happens first. “If the service is relatively straightforward, the compensation system that supports it is anything but,” Rosenworcel said.

The FCC is pushing forward in mid-band and other spectrum, Rosenworcel told reporters, responding to comments last week by Carr (see 2105130064). “We’re moving forward with speed,” she said: “The 5.9 GHz band decision was published in the Federal Register earlier this month. Later this year, we will have the next major mid-band auction” at 3.45 GHz. "We’ve got lots to do and we’re doing it,” she said. The FCC saw “probably unprecedented pace and cadence in freeing up spectrum” during the Trump administration, Carr said. “We had a lot that we got going on” since in 2017, “the spectrum cupboards were basically entirely bare,” he said. Now the challenge is “continuing to move the spectrum that’s in the pipeline out into the commercial marketplace,” he said: “It’s going to be very important that we keep forward at that pace.” Carr questioned in a recent tweet whether the FCC is “on track to hit the July timeline” for new broadband maps (see 2103220050). “The best time to start working on accurate national maps was … several years ago,” Rosenworcel responded: “But we didn’t do that. The second best time is right now.” The new Broadband Data Task Force, which she launched, has “done an extraordinary amount of work in a short amount of time,” Rosenworcel said: “They’re standing up complex IT systems and the data structure” needed for maps, she said. The FCC is “talking to carriers” and seeking additional information to update maps, she said. “We’re working on two tracks, we’re getting a whole lot done and we’re following contracting law while we do it.”

Rosenworcel didn’t provide the vote total so far on the 4.9 GHz stay she circulated for an electronic vote (see 2105140051), when asked. The FCC was right to address the band last year since it has been “underutilized,” Rosenworcel said: “I want to make sure that we come up with ideas … that can optimize its use going forward and make sure that we do so at national scale. A stay is the first step.” Carr said the FCC shouldn’t retreat on the 2020 rules. “I was very glad that we took a step in the right direction last year towards opening up that band towards more intensive use,” he said: The FCC “shouldn’t be moving backwards.”

The FCC approved a petition for partial reconsideration that relieves certain combining companies receiving cost-based or fixed model-based USF support from having to comply with the mixed support merger condition. The rule was established to prevent “improper cost-shifting post-transaction.” Thursday’s order applied to Fort Mojave Telecom, a cost-based carrier serving the Fort Mojave Indian Tribe. It exempts the provider from the condition after Dobson, a model-based company, combined with Lavaca, a cost-based company. Dobson holds an indirect interest in Fort Mojave, and “there’s no danger of cost-shifting to Fort Mojave,” Rosenworcel said: “In fact, Fort Mojave’s tribal broadband deployment plans could be hindered by the mixed support condition."

The commission will continue to “fine-tune our policy, so it will not get in the way of deployment in rural areas and tribal lands,” Rosenworcel said. There was a brief moment of levity from Carr, who suggested the staffer presenting the item needed "stronger and more robust internet connectivity to up the audio quality.”

The FCC unanimously OK'd a combined $534,000 in forfeitures for connected companies over offering unauthorized GPS services for vehicles and illegally modifying equipment. Air-Tel was fined $327,290 and IOU Acquisitions $207,290 for providing the unlicensed GPS services when the companies were licensed only for radiolocation services. They're Colorado-based, have shared facilities and are managed by DMR Networks and connected with DMR Senior Manager John Gazzo, said a 2018 notice of apparent liability. Gazzo didn’t comment Thursday. The FCC became aware of the matter through a 2017 complaint, said Enforcement Bureau Chief Rosemary Harold. The companies have since repeatedly sought to gain authorization for their services, through unsuccessful petitions for reconsideration and applications for special temporary authority. “Both companies have ceased operating on the licenses at issue in this case,” said a new release. Commissioners denied Air-Tel's license modification application and application for review involving this matter, in an order in Thursday's Daily Digest.