WCB Announces CAF Phase II Auction Post-Authorization Defaults

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The FCC’s Wireline Competition Bureau (Bureau) has announced that Gila Local Exchange Carrier, Inc. d/b/a Alluvion Communications, Inc. (GLEC) and Fond du Lac Communications, Inc. (Fond du Lac) have filed letters notifying the Commission of their decisions to withdraw from the Connect America Fund (CAF) Phase II auction support program in December 2022 and March 2023, respectively.  GLEC and Fond du Lac were authorized to receive support over a 10-year term to offer voice and broadband service to 29 locations in Arizona and 13 locations in Minnesota, respectively.

With these filings, the Commission considers GLEC and Fond du Lac to have defaulted on their CAF Phase II auction service milestones.  Accordingly, GLEC and Fond du Lac will not receive further CAF Phase II auction support payments.  Additionally, pursuant to FCC rules, the Commission has instructed the Universal Service Administrative Company (USAC) to recover CAF Phase II funds from GLEC and Fond du Lac. 

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