Cinnamon Mueller Client Updates

 

Loans and Loan Guarantees Available for Rural Broadband Deployment

The Rural Utilities Service (“RUS”), part of the USDA, is accepting applications for loans under the Rural Broadband Access Loan and Loan Guarantee program for the 2015 fiscal year.  Applications are due by September 30, 2015.

Background.  The RUS administers USDA programs that provide loans for infrastructure and improvements to eligible rural communities where traditional financing may not otherwise be available.  Most types of entities may apply for loans to use for constructing or improving broadband facilities. 

Types of Loans.  Applicants may apply for one, or any combination of three types of loans: direct cost-of-money, direct 4%, and private loan guarantees.

Requirements.  Key requirements of the loan and loan guarantee program include:

  • Loans are available for the construction, improvement, and acquisition of facilities and equipment to provide broadband service for eligible rural areas. 
  • Applicants must propose to serve areas where at least 15% of the households are unserved by broadband service with speeds of at least 4/1 Mbps. No part of the proposed service area may have three or more incumbent service providers or overlap with service of a current RUS borrower.
  • Successful applicants must:
  • Offer broadband speeds of at least 10/1 Mbps throughout the proposed funded service area.
  • Complete build-outs within three years from the time funds are made available.
  • Match at least 10% of the requested loan amount.
  • Loans are available in amounts ranging from $100,000 to $20,000,000.

Application Process.  RUS will accept applications from now through September 30, 2015.  Applications will be evaluated based on the number of unserved households in the proposed funded service area, among other factors.  Priority will be given to applicants proposing to serve the greatest proportion of unserved households in the proposed area.  Application instructions are available here

            Comments Sought on the Application Process.  In addition to opening the application submission period, the RUS also seeks comments on the burden and ways to improve the loan application process.  Comments are due by September 28, 2015.

If you have questions about the rural broadband loans or filing comments on open issues, please contact Jake Baldwin or Madeleine Goldfarb at (312) 372-3930 or jbaldwin@cinnamonmueller.com or mgoldfarb@cinnamonmueller.com

Copyright Forms and Fees Due by August 31, 2015

 

Cable operators must file with the U.S. Copyright Office their Statement of Accounts (Form SA1-2 or SA3) and pay any royalty fees due for the January 2015 – June 2015 accounting period by August 31, 2015. The following forms apply:

  • SA1-2 Short Form. For use by cable systems with semiannual gross receipts of less than $527,600. 
  • SA3 Long Form. For use by cable systems with semiannual gross receipts of $527,600 or more.

Copyright filings must be accompanied by a filing fee in addition to the royalty payment.  The filing fee is calculated based on the type of form filed:  

 

SOA Type

Filing Fee

SA-1 ($137,100 or less gross revenues)

$15

SA-2 ($137,101 – $527,599 gross revenues)

$20

SA-3 ($527,600 or more gross revenues)

$725

Operators must remit the royalty fee and filing fee in a single electronic payment.  If you have any questions about copyright forms or fees, please contact Jake Baldwin at (312) 372-3930 or jbaldwin@cinnamonmueller.com.  

Form 477 Due September 1, 2015

 

            The next Form 477 is due September 1, 2015.  Broadband, telephone, and interconnected VoIP providers must file Form 477.  Broadband providers are required to report information about broadband connections; telephone and interconnected VoIP providers must report information their local telephone services as of June 30, 2015.   

This is the third Form 477 filing requiring the use of the new filing interface on the FCC’s website.  Instructions for filers can be found here.  Filers can also review a brief summary of the Form 477 changes on the FCC’s website

If you have any questions about Form 477, please contact Scott Friedman at (312) 372-3930 or sfriedman@cinnamonmueller.com.