Relief Granted to Alaska Rural Health Care Providers Affected by Pro-Ration

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The Federal Communications Commission (FCC or Commission) has issued a one-time waiver, on its own motion, of the Commission’s rules in order to assist remote Alaska health care providers (HCPs) impacted by the Rural Health Care (RHC) Program pro-ration.  Because qualifying demand for RHC Program support exceeded the program’s cap in 2016, qualifying funding requests submitted during the second filing window were pro-rated to keep total program commitments within the limit.  Although the 2016 pro-ration of RHC Program support applied equally to HCPs across the country, the FCC has found its impact to be especially severe in remote Alaska.  Accordingly, for all eligible HCPs in remote Alaska that received funding commitments during the second window in 2016, the Commission has waived its rules to allow service providers to voluntarily reduce their rates, while holding constant the pro-rated support committed to those HCPs.  The FCC will refrain from applying its support calculation rules that would otherwise be triggered by a reduction in service price, as well as any other requirements that could hamper relief.  Notwithstanding any voluntary pricing reductions undertaken as a result of the waiver, service providers and HCPs will remain bound to all of the Commission’s rules relative to justifying the original funding commitment.

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