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Tribal Telecom 2013: Federal regulatory update

Tribal Telecom 2013: Federal regulatory update. Healthcare Connect Fund and Remote Areas Fund Chris Barron Alexicon. Healthcare Connect. Replaces portions of the current Rural Health Care (RHC) program Replaces Internet Access program Retains telecommunications component (i.e., voice)

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Tribal Telecom 2013: Federal regulatory update

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  1. Tribal Telecom 2013:Federal regulatory update Healthcare Connect Fund and Remote Areas Fund Chris Barron Alexicon

  2. Healthcare Connect • Replaces portions of the current Rural Health Care (RHC) program • Replaces Internet Access program • Retains telecommunications component (i.e., voice) • Encourages formation of Rural Healthcare Provider (HCP) consortiums • Non-rural HCPs can participate, but only as part of consortiums w/ predominantly rural HCPs • Retains current $400m total annual support cap • Allows HCPs to purchase services or build facilities • Creates new Pilot Program for Skilled Nursing Facilities • $50m over three years

  3. Healthcare Connect • Funding • 2 for 1 match for cost of broadband services or facilities • 35% HCP contribution • Begins January 1, 2014 (July 1, 2013 for existing pilot projects) • Primary focus – encourage “the growth or formation of statewide, regional, or Tribal broadband health care networks...” (para. 45) • Program to support cost of: • Broadband and other advanced services • Upgrading existing facilities to higher bandwidth • Equipment necessary to create networks of HCPs, as well as equipment necessary to receive broadband services • HCP-owned infrastructure where shown to be the most cost-effective option

  4. Healthcare Connect • Supported entities: • Health Care Providers • Public or not-for-profit • Hospitals, rural health clinics, community health centers, health centers service migrants, community mental health centers, local health departments or agencies, post-secondary education institutions/teaching hospitals/medical schools, consortia of the above

  5. Healthcare ConnectSupported Services • For all applicants • Broadband services • Reasonable and customary installation charges • Equipment necessary to make service functional • Connections to off-site administrative offices and data centers • Connections to research and education networks • Consortium Applicants • Equipment necessary for a network • Upfront charges for deployment of new or upgraded facilities, including dark fiber • HCP constructed and owned facilities, if shown to be the most cost-effective option

  6. Remote Areas Fund • Remote Areas Fund (RAF) – adopted in original FCC “Transformation” Order • Allocated budget: $100 million (annual) • Purpose: To ensure those living in remote areas, where the cost of providing terrestrial broadband service is “extremely high”, can obtain broadband service • Remote Areas • Terrestrial • Extremely high • Aimed at 4 meg / 1 meg speeds

  7. Remote Areas Fund • FCC Initial Proposal: A portable consumer subsidy • Each consumer receives a fixed amount • Used to cover upfront charges or for a discount on monthly service rates • Subsidy provided to companies, who pass it directly through to customers (like Lifeline) • One time - $200? • Monthly retail discount = difference between price of “basic” satellite service and a reference price • Basic - $50? • Reference - $37?

  8. Remote Areas Fund • Consumer Eligibility • Single subsidy per household or residence • Same definition as in Lifeline program • Service Providers • Must be ETCs • Issues to be addressed about new ETC applications directly related to the RAF • Will be required to provide voice service

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