§ 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 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 4 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 2010 high-cost support or $3000 times the number of reported
   lines as of year-end 2010;

   (2) In the second year, one-third of the lesser of the incumbent's
   total 2010 high-cost support or $3000 times the number of reported
   lines as of year-end 2010;

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

   [ 79 FR 39190 , July 9, 2014]

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