A member of the US Federal Communications Commission (FCC) this week dismissed fears the commission’s net neutrality proceeding could interrupt funding for broadband deployments, calling such anxiety “completely misguided”.

Speaking at WTA’s annual fall conference (the group formerly known as Western Telecommunications Alliance but rebranded in recent years to WTA – Advocates for Rural Broadband), Commissioner Michael O’Rielly (pictured) addressed concerns the FCC would lose its authority to fund broadband through its Universal Service Fund (USF) programmes if Title II classification for service providers is revoked.

In 2015, the FCC adopted a new order classifying broadband service providers as Title II telecommunications services. FCC Chairman Ajit Pai in April initiated a proceeding to return those service providers to classification as Title I information services.

Title II classification serves as the underpinning for the FCC’s enforcement of its net neutrality rules, which Pai claims have stifled industry innovation. Repealing the 2015 order, he said, would “reverse the mistake of Title II and return to the light-touch regulatory framework that served our nation so well.”

Loss of power
Critics have raised the red flag with concerns such a move would also remove the commission’s authority to administer funding for broadband expansions. But according to O’Rielly, the FCC’s authority is protected elsewhere.

“In the USF/ICC Transformation Order, the commission made clear that it has authority under section 254 to fund voice and broadband capable networks. As long as a provider offers voice, which includes (Voice-over-IP), then it qualifies for support even if the customer, for example, subscribes to standalone broadband.”

“Section 254 also authorises support for broadband within the E-rate and Rural Healthcare Programs. Moreover, while the prior Commission did use Title II as authority for the Lifeline program, the agency could take the same legal position for Lifeline that it did for [the] high-cost [program],” he said.

More than 22 million comments have been filed in the Title II proceeding, driven in part by publicity from comedian John Oliver. The deadline for filing reply comments was August 30. The proceeding is not on the agenda for an FCC meeting on 26 September meeting. However, O’Rielly said the FCC is currently reviewing comments and “it wouldn’t surprise me if a decision is issued later this year”.