The Federal Communications Commission’s Wireline Competition Bureau (Bureau) has released an Order clarifying that rate-of-return local exchange carriers (LECs) must impute an amount equal to the Access Recovery Charge (ARC) they assess on voice/broadband lines on their consumer broadband-only loops receiving support either from Connect America Fund Broadband Loop Support (CAF BLS) or the Alternative Connect America Cost Model (A-CAM). The Bureau noted that it was “aware of existing uncertainty” as to whether the imputation obligation is limited to rate-of-return LECs receiving CAF BLS or whether it applies equally to carriers receiving A-CAM support. The Bureau clarified that this imputation obligation applies not only to rate-of-return LECs that receive support from CAF BLS, but also to those that receive support from A-CAM.
