§ 54.319   Elimination of high-cost support in areas with 100 percent coverage
by an unsubsidized competitor.

   (a)  Universal  service  support  shall  be eliminated in an incumbent
   rate-of-return local exchange carrier study area where an unsubsidized
   competitor, or combination of unsubsidized competitors, as defined in § 54.5,
   offers to 100 percent of residential and business locations in the study
   area voice and broadband service at speeds of at least 10 Mbps downstream/1
   Mbps upstream, with latency suitable for real-time applications, including
   Voice  over  Internet  Protocol, and usage capacity that is reasonably
   comparable  to  comparable offerings in urban areas, at rates that are
   reasonably comparable to rates for comparable offerings in urban areas.

   (b) After a determination there is a 100 percent overlap, the incumbent
   local exchange carrier shall receive the following amount of high-cost
   support:

   (1) In the first year, two-thirds of the lesser of the incumbent's total
   high-cost support in the immediately preceding calendar year or $3000 times
   the number of reported lines as of year-end for the immediately preceding
   calendar year;

   (2) In the second year, one-third of the lesser of the incumbent's total
   high-cost support in the immediately preceding calendar year or $3000 times
   the number of reported lines as of year-end for the immediately preceding
   calendar year;

   (3) In the third year and thereafter, no support shall be paid.

   (c) The Wireline Competition Bureau shall update its analysis of where there
   is a 100 percent overlap on a biennial basis.

   [ 80 FR 4478 , Jan. 27, 2015]

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