2010 Regulatory Fee Update -- FCC Begins Accepting Payments

It's official -- FCC regulatory fees are due on August 31.  Here are the links you will need to make payment by the deadline:

FCC announcement of the August 31 deadline

FCC public notice -- Payment methods and procedures

FCC public notice - Fee filer system

FCC public notice -- ITSP fees (with payment code)

FCC public notice -- Commercial wireless fees (with payment code)

FCC Regulatory Fee website

FCC Regulatory Fees Likely Due in August

In July, we reported that the FCC had adopted its FY 2010 regulatory fee schedule.  In past years, regulatory fees were due in September, usually in the third week of the month.  However, it looks like this year's fee will be due significantly earlier -- by August 31, 2010.

The first hint of an earlier due date appears in the FCC Regulatory Fee Order released on July 9.  The order did not establish a due date for regulatory fees, but the Commission stated that it intended to collect fees "during an August 2010 filing window."  (see paragraph 1).  That made us curious, but not convinced.  Last week, however, the FCC released a public notice concerning fees for its radio and TV licensees.  That public notice states that the media services fee is "due no later than 11:59 PM, ET, on August 31, 2010."  This seems a pretty good indication that fees for all filers will be due earlier than in years past.

Given that late-paid regulatory fees are subject to a mandatory, non-waivable 25% late payment penalty, carriers should plan accordingly.  

Final 2010 FCC Regulatory Fees Released

Following on the release of the 2010-11 TRS Fund contribution factor, the Commission today released its final regulatory fee schedule for FY 2010.  The Commission adopted a telecommunications provider fee that is slightly lower than it proposed in April.  The regulatory fee for telecommunications providers (including audio bridging providers) is $0.00349 per revenue dollar reported on the April 1, 2010 Form 499-A.

The Commission acknowledged that telecommunications providers pay 46% of all regulatory fees, which several carriers had argued is a disproportionately large percentage of the total amount collected by the FCC.  (And I agree.)  Recognizing these concerns, the Commission announced that it would be releasing a Further Notice of Proposed Rulemaking to "rebalance" its regulatory fees in the future.

Regulatory fee payments will be due by the end of September and are subject to a 25% late payment penalty if not paid on time.  As with last year, the FCC will not mail bills to telecommunications carriers.  Carriers are required to check the FCC regulatory fee web page for payment information before the September due date. 

Proposed 2010 FCC Regulatory Fees Released

On April 13, the FCC released its proposed schedule of FY 2010 FCC Regulatory Fees.  By law, the FCC is obligated to collect $335 million in fees in FY 2010 from the entities that it regulates.  This order identifies how the FCC proposes to allocate the fees.  Among the highlights:

  • The regulatory fee for telecommunications carriers increases to $0.00351 per dollar of interstate and international revenue.  The FCC projects that it will collect $157 million from telecommunications carriers, 57% of the total it will collect in regulatory fees.  (For my views on the proportionality of this, see my earlier post here.)
  • As with last year, the FCC will not mail invoices to telecommunications carriers.  Carriers must submit the fee payment by the deadline. 
  • Audio bridging providers must make regulatory fee payments.  However, the FCC again mistakenly refers to audio bridging providers as common carriers (see fn 26). 

The Commission has requested comment on these proposals.  It will adopt a final regulatory fee schedule in July.  Regulatory fee payments will be due by the end of September and are subject to a 25% late payment penalty if not paid on time.