s with fiber-optic cabling more suited to broadband data rates, bid in the reverse auction for A-CAM funds. Recipients that successfully bid for funds to build broadband networks are subject to requirements to build out their broadband facilities within 10 years. They must also make these services available for a defined period of years. The Connect America Fund supports ongoing maintenance and operations of broadband wireline and wireless networks. Moreover, these carriers will no longer receive funding based on rate of return analysis. Rather, price cap systems will be instituted SO that carriers will have incentives to operate efficiently rather than have guaranteed revenues. With price caps, carriers agree to impose an upper limit on their rates and keep them at an agreed-upon level for a specific number of years. As part of the plan, the amount of money collected for A-CAM was capped at the amount collected in 2011. This did not take into account inflation. This is a major issue for rural carriers building out their networks. Although, more money has been allocated to the program, adequate funding is still an issue. www.TechnicalPDF.com Lifeline Subsidies for Low-Income Residents In October 2016, the FCC finalized rules to include affordable broadband in universal service for rural, low- income, and other underserved areas. The fund supports wireline and mobile broadband as well as voice. The FCC currently defines broadband as 25Mbps downstream (from the provider to the customer) and 3Mbps upstream (from the customer to the provider). Currently, 18 million households in the United States do not have broadband access. For the most part these are low- income residents and households in rural areas. The Lifeline program provides a $9.25 monthly subsidy for Internet access and for mobile services to low-income residents, veterans, and people on or near Tribal lands. This covers only a portion of the monthly fixed line or mobile broadband fees. The fund also supplies subsidies to rural healthcare facilities SO th