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1 1 (May 5, 2021)

handle is hein.crs/govedfx0001 and id is 1 raw text is: S Congressional ____ *.Research Service 5G Fund for Rural America May 5, 2021 In October 2020, the Federal Communications Commission (FCC) adopted rules creating the 5G Fund for Rural America (5G Fund). The 5G Fund is to provide up to $8 billion from the Universal Service Fund (USF) over the next ten years to bring voice and broadband services to areas unlikely to see unsubsidized deployment of 5G networks, and $1 billion for networks that can support precision agriculture. Universal service is the concept that all Americans should have access to telecommunications services, and the cornerstone of the Communications Act of 1934, which established the FCC. The Telecommunications Act of 1996 granted the FCC authority to establish the USF and to designate the Universal Service Administrative Company (USAC), an independent not-for-profit corporation, as the USF administrator. Telecommunications providers are required to contribute a percentage of their revenue to the USF, which some pass to consumers as a fee attached to their phone bill. The USAC collects and manages provider contributions. The Telecommunications Act of 1996 expanded universal service beyond telephone service to include telecommunications and high-speed internet services (e.g., broadband), and called for increased access in rural health care facilities, schools, and libraries. Section 254 of the act provides that consumers across the nation, including rural, insular, and high-cost areas, should have access to telecommunications and information services at rates that are reasonably comparable to those in urban areas. The FCC established four programs within the USF-High-Cost, Lifeline, Rural Health Care, and Schools and Libraries-to fulfill congressional priorities. The FCC sets program rules. The USAC disburses USF funds through the programs, which totaled $8.3 billion in 2020. The FCC has changed USF programs to meet evolving consumer needs and fulfill its universal service mandate. In 2011, the FCC reformed the High-Cost program, establishing the Connect America Fund (CAF), which provided about $4.5 billion annually to eligible providers to deploy high-speed internet in rural areas. The FCC created the Mobility Fund, a program under the CAF that provided $300 million in one-time funding for mobile broadband and voice services in unserved and underserved areas, and the Mobility Fund Phase II a program that would provide recurring funding to areas unlikely to receive unsubsidized 4G Long Term Evolution (LTE) service. In April 2020, the FCC proposed to replace the Mobility Fund Phase II with the 5G Fund to spur the deployment of advanced wireless technologies, close the digital divide, and enhance economic Congressional Research Service https://crsreports.congress.gov IN11661 CRS INSIGHT Prepared for Members and Committees of Congress