USF Cost Modeling CAF II

Economic Network Modeling

Aug 30, 2016

Client:  Univeral Service Administrative Company

Staff:   Jim Stegeman, Mark Guttman

Model: Connect America Cost Model (CACM)

The Administrator of the Universal Service Fund, the Universal Service Administrative Company (USAC), procured the services of CostQuest Associates to assist with the public hosting, execution, and support of the Connect America Cost Model, under policy direction from the Commission.  The Connect America Cost Model provides the ability to calculate costs using a variety of different inputs and assumptions, allowing the Bureau to examine various options for different network deployments to serve funded locations (e.g., fiber to the premises or fiber-fed digital subscriber line), different assumptions about the amount of existing facilities assumed to exist (e.g., green-field or brown-field deployments, the mix of aerial, buried or underground plant), as well as different  assumptions about unit costs for capital and operating expenses.