Alaska Commissioners Agree to Save State USF
The Regulatory Commission of Alaska declared an emergency, with the state USF set to dissolve later this month. The 5-0 statement at a partially virtual meeting Wednesday tees up the RCA to expedite rules to extend the looming Alaska USF sunset by three years to June 30, 2026. RCA members convened after receiving comments on last-minute Department of Law (DOL) draft regulations that could allow the extension (see 2305100061 and 2305080035).
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Commissioners agreed to meet again June 7 to weigh emergency regulations, which must be sent to the lieutenant governor before the month ends. The RCA could “continue” the meeting if another day or two is needed to develop the regulations. Commissioners noted one legally thorny issue is how to keep the current network access fee regime. RCA Administrative Law Judge Laura Barson said DOL staff seem committed to helping the commission develop emergency rules within a tight time frame.
The RCA tried to extend AUSF three years in February, but DOL rejected the agency’s legal approach in a March memo. Commissioners had appeared resigned to let AUSF expire. But an extension again seemed possible when the department followed up in early May to suggest legally acceptable draft language. The RCA also received many industry and public comments in docket R-21-001 that objected to allowing AUSF to die. At Wednesday’s meeting, Barson noted overwhelming support” to continue AUSF in 99 comments received in April and May.
RCA members agreed they had a basis for declaring an emergency. Docket filings “establish that the public peace, health, safety or general welfare is truly at risk and that emergency regulations are absolutely necessary,” said Commissioner Janis Wilson. “We do not have another vehicle to mitigate that risk.”
"It would be foolish to shut it down,” said Commissioner Robert Pickett, who claimed last April it would take a miracle to save AUSF. “A lot of money is at stake,” he said. “This is not the time to roll the dice and ... hope everything works out.”
A legislative fix will be needed for AUSF in the long term, said Chairman Keith Kurber. Pickett said he sees “good potential support in the legislature.” Work on a bill must begin this fall to have a chance of passing next spring, he said. “To just fall asleep at the switch and try to coast into 2026 would be a huge mistake.”
“Maintaining the status quo for three years is the simplest, most conservative solution to assure continuity in affordable local voice service in rural areas over this temporary period,” said Alaska Communications in comments last week. However, AC and others said the RCA should revise the DOL draft language as suggested earlier this month by an industry coalition or the Alaska attorney general’s Regulatory Affairs and Public Advocacy (RAPA) section.
Proposed edits to the DOL draft would restore network access fee revenue to the contribution base and “more clearly preserve” the essential network support distribution mechanism, AC said. “These crucial pieces ensure that the RCA’s decisions setting distribution and contribution methods are maintained and its policies underlying the current system are carried forward over an extension term.”