The Connect America Fund – also known as the Universal Service High-Cost program – is the FCC's program to expand access to voice and broadband services for areas where they are unavailable. Through CAF Phase II, the FCC provides funding to local telephone companies to subsidize the cost of building new network infrastructure or performing network upgrades to provide voice and broadband service in areas where it is lacking.

CAF is a multi-year program, comparable to extending electricity and phone service to rural America early in the twentieth century, and building the interstate highway system in the 1950s and '60s. To ensure CAF support is used efficiently, the FCC has focused on areas that are clearly unserved or underserved by unsubsidized service providers. 

Will broadband be offered in my area through CAF?

CAF-II-Map thumbnailFor a map of the areas where service providers have accepted and will receive CAF Phase II support over the course of the six–year program, visit www.fcc.gov/reports-research/maps/caf-2-accepted-map.

Larger companies that accepted CAF Phase II support have committed to adding service for more than 3.6 million homes and businesses in 45 states and the Northern Mariana Islands.

However, in some states and areas, service providers declined the offered funding. They may continue to have an obligation to provide voice services to new locations, but they do not have the CAF Phase II obligation to provide broadband services to new locations.

What is the timetable for broadband access through CAF?

If you live in a state where a service provider has accepted CAF Phase II support, you may have access to broadband service within the next several years. Companies that accepted CAF Phase II support have six years to plan and provide broadband to consumers, although not every household is guaranteed access. The deployment schedule is determined by the service provider, not the FCC.

What are the minimum requirements for broadband services under CAF?

The companies that accepted CAF Phase II support must meet the following requirements for voice and broadband services:

  • Speed: Service providers must offer broadband at speeds of at least 10 megabits per second downstream and 1 Mbps upstream.
  • Latency: Service providers' network latency cannot be higher than 100 milliseconds round trip. Latency is the time it takes for a data packet to travel back and forth through a network.
  • Usage Allowance: Currently, the carrier must offer at least one plan with a minimum usage allowance of at least 150 gigabytes per month, or in certain circumstances, a plan with 100 GB of usage.
  • Pricing: Service providers must offer service at rates reasonably comparable to rates in urban areas.

What are the plans for broadband deployment beyond CAF Phase II?

In areas where service providers accepted CAF Phase II support, the FCC plans to evaluate and address the areas that remain unserved after the completion of the program in 2020. In the areas that remain unserved, the FCC will award support through a competitive bidding process.

Certain areas are served by another group of service providers, primarily smaller local telephone companies ("rate-of-return carriers") that were not eligible for CAF Phase II support. These service providers receive support through other mechanisms and are usually subject to broadband obligations. For more information about rate-of-return carriers, please visit https://www.fcc.gov/general/rate-return-resources.

The FCC will monitor progress and consider additional ways to ensure access to broadband service for unserved and underserved consumers.

For more details about CAF, please visit www.fcc.gov/general/connect-america-fund-caf.

 

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Date Last Updated/Reviewed: 
Thursday, November 30, 2017