Clarification Sought on CAF Phase I Round 2 Buildout Grace Period; Comments Due April 28

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Puerto Rico Telephone Company, Inc. has filed a petition seeking a declaratory ruling or clarification that, upon notification that an eligible telecommunications carrier (ETC) receiving CAF Phase I Round 2 funding has not met a final buildout milestone, the ETC will be afforded the same 12-month grace period provided to CAF Phase 2 recipients under Section 54.320(d)(2) of the FCC’s rules.  In its December 2014 CAF Phase II Report and Order, the FCC amended its rules to allow ETC recipients of CAF funding an additional 12 months to meet their final build-out milestone deadlines in certain cases.  Rule 54.320 was originally adopted for “all recipients of high-cost and CAF support,” but in the 2014 CAF Phase II Report and Order the FCC did not specifically state whether Rule 54.320(d)(2) was intended to apply to recipients of CAF Phase I Round 2 funding in addition to CAF Phase II recipients.  Moreover, a December 2016 public notice announcing that CAF Phase I Round Two recipients must certify by July 3, 2017 that they completed deployment to all required locations and offering service by the relevant three-year deadline does not address the 12-month cure period.  Comments on the petition are due by April 28, 2017 and reply comments by May 15, 2017.

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