Wednesday, March 31, 2021

Three propitious elements of Biden administration’s infrastructure proposal

There are three propitious elements relating to advanced telecommunications infrastructure in the Biden administration’s American Jobs Plan asking Congress to invest trillions of dollars in America’s aging infrastructure. As the plan is drafted into legislative language, it is critical these elements be more clearly defined. The administration wants to turn a new page, with an infrastructure reboot for the 21st century as its chief legacy. But in order to do so, it must avoid past references that will make it harder to turn the page and quickly move to a new future.

This paragraph from the White House fact sheet on the proposed plan hits on the key infrastructure policy proposals:

Build high-speed broadband infrastructure to reach 100 percent coverage. The President’s plan prioritizes building “future proof” broadband infrastructure in unserved and underserved areas so that we finally reach 100 percent high-speed broadband coverage. It also prioritizes support for broadband networks owned, operated by, or affiliated with local governments, non-profits, and co-operatives—providers with less pressure to turn profits and with a commitment to serving entire communities.

The first of the three positive elements is mentioned in the first sentence: “future proof” infrastructure. That is widely interpreted to mean replacing outdated copper telephone lines that reach nearly every American doorstep with fiber. Only fiber has the capacity to keep up with future growth in applications and services that require ever greater amounts of carrying capacity. Legislative language implementing the administration’s plan should set an explicit fiber to the premises (FTTP) infrastructure standard.

The second positive element is in the paragraph title: “100 percent coverage.” In other words, universal service like that achieved with voice telephone service by the latter half of the 20th century. That’s one of the most positive aspects of the plan given America’s checkered crazy quilt of some neighborhoods having landline advanced telecommunications infrastructure reaching all premises while adjacent ones even less than a mile away do not. It will be critical the legislative language incorporate a universal service standard by classifying fiber delivered IP protocol-based telecommunications as a common carrier utility under Title II of the Communications Act.

The administration’s proposal also refers to prioritizes building advanced telecommunications infrastructure in “unserved and underserved areas.” This is a potential minefield that could bog down a future bill implementing the plan given long running debates over the definition of unserved and underserved areas. Enabling legislation should avoid these or similar terms relative to prioritizing spending.

The third and related salubrious piece of the administration’s proposal recognizes that investor owned providers aren’t up to the goal of universal service. Expecting them to finance, own, build, operate and maintain advanced telecommunications infrastructure demands too much from their shareholders and violates their expectations for robust earnings and dividends. It’s long past time to abandon total reliance on them to build the infrastructure the nation needs.

Consistent with a universal FTTP infrastructure standard, legislation should create a “public option” and support the construction of “networks owned, operated by, or affiliated with local governments, non-profits, and co-operatives—providers with less pressure to turn profits and with a commitment to serving entire communities.” Many of these entities have already begun to plan and deploy FTTP networks and are properly prioritized in the administration’s proposal.

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