Connect America Fund; High-Cost Universal Service Support

In this order, the Wireline Competition Bureau (Bureau) adopts the methodology for establishing reasonable limits on recovery of capital costs and operating expenses or "benchmarks" for high cost loop support (HCLS). The methodology the Bureau adopts, builds on the analysis proposed in the USF/ICC Transformation FNPRM, but also includes several changes in response to the comments from two peer reviewers and interested parties and based on further analysis by the Bureau. These changes significantly improve the methodology while redistributing funding to a greater number of carriers to support continued broadband investment. The methodology the Bureau adopts today is described in detail in a technical appendix to the order.