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Electric Utilities Back Gigabit Tier in CAF Auction, Oppose Reallocation of Funding

Midwest Energy Cooperative and Utilities Technology Council representatives lobbied FCC officials on parts of its planned Connect America Fund Phase II auction of broadband-oriented support in areas traditionally served by price-cap telcos (see 1605260034). "Specifically, Midwest and UTC supported the…

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FCC’s Gigabit performance tier and urged the Commission not to reallocate funds from certain census blocks into other census block or other states," said a UTC filing Tuesday in docket 10-90 on a meeting with an aide to Chairman Tom Wheeler and Wireline Bureau staffers, one of three meetings at the commission. To account for differing levels of broadband performance, the FCC sought comment on how subsidy bids should be weighted in four proposed performance tiers, including a gigabit tier requiring participants to offer at least 1 Gbps/500 Mbps and unlimited monthly usage. The commission also is considering how to target funding in an auction that includes areas in states where some price-cap carriers declined offers of broadband support. Some parties have asked the FCC to reallocate the funding to other areas or states.