CCA Challenges FCC's 5G Fund Order at D.C. Circuit
The Competitive Carriers Association challenged parts of the FCC’s 5G Fund order in the U.S. Court of Appeals for the D.C. Circuit, seeking changes to the rules the agency adopted under former Chairwoman Jessica Rosenworcel (see 2408290041). Current Chairman Brendan Carr voted against the order, arguing that the fund should be launched only after the BEAD program plays out and money is awarded. CCA and the Rural Wireless Association voiced concerns when the order was approved in August.
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RWA already has a petition for reconsideration of the order before the FCC (see 2501130024), noted Carri Bennet, the group’s counsel, adding that the D.C. Circuit is likely to hold the case in abeyance until the FCC acts on RWA’s petition.
“We agree with CCA that this needs to be reevaluated in light of the new administration’s view of not moving forward on additional funding until we first determine where the states are going to target BEAD funding,” Bennet said Monday. “Both the RWA petition and the CCA court filing are pretty much aligned on the issues that need to be addressed.”
The FCC order is “arbitrary and unsupported by substantial evidence because the FCC based the speed threshold for defining eligible areas on its assumption” of the “‘minimum desired ... mobile user experience,’ while failing to explain or provide support for that assumption,” CCA said in the petition. The FCC also assumed “that providers will upgrade to higher speeds in those areas absent financial support.”
In addition, CCA said the determination of the speed thresholds “fails to meet the Commission’s statutory duty to ensure that consumers in rural and high-cost areas receive services that are ‘reasonably comparable’ to those provided in urban areas.”
CCA also challenged the order for making eligibility determinations based on mobile maps “that overstate mobile broadband coverage despite significant evidence that the maps are inaccurate and unreliable and do not include any build-out” from the BEAD program. The order lacks “reasoned explanation” for setting a budget for Phase I of the fund at “up to $9 billion,” the petition said.
NTCA raised similar concerns about the use of “inaccurate maps in making long-lasting ... broadband funding decisions,” Executive Vice President Mike Romano emailed. “Even as the FCC’s national broadband map represents a substantial step forward from data available previously, there are additional steps that the FCC can and should be taking to ensure that providers are reporting accurate and realistic coverage -- and to translate that data thoughtfully in making determinations of broadband funding eligibility.”
Recon Analytics’ Roger Entner said: “We have to see if the CCA is successful in its challenge and what the court decides,” which could determine next steps by the FCC under Carr.