Study Examines How State and Local Permitting Practices Impact Fiber Broadband Deployment

Permitting requirements can influence the cost and feasibility of fiber network construction. A new economic study examines their impact on wireline broadband deployment across the U.S.

Key Highlights

  • A Cartesian study examines more than 100 permitting examples across 30 states and territories and identifies practices that can increase costs, delay construction, or make some wireline projects economically unviable.

  • The study highlights per-foot right-of-way fees, recurring occupancy fees, degradation fees, restrictive construction requirements, sequential approvals, and contingent approvals as practices with potentially significant effects on deployment.

  • Recommendations include cost-based fee limits, permitting “shot clocks,” clearly defined approval processes, treatment of in-kind compensation within cost-recovery limits, and time-bound dispute-resolution mechanisms.

The Fiber Broadband Association (FBA) has submitted a new economic study to the Federal Communications Commission (FCC) examining how state and local permitting practices can affect the deployment of fiber and other wireline communications infrastructure.

The study, Wireline Telecommunications Permitting Challenges: Economic Impact of State and Local Permitting Practices, was prepared by business consulting firm Cartesian. It examines more than 100 permitting examples across 30 states and territories and models the potential effects of 12 commonly identified permitting practices on wireline investment decisions.

FBA has previously supported the FCC’s Build America Agenda and its efforts to facilitate investment in wireline communications infrastructure. The association submitted the Cartesian study in connection with the FCC’s recent proposals addressing barriers to deployment.

“Cartesian’s report provides the hard data and detailed analysis that buttresses the recent comments filed with the FCC by FBA, its members, and other wireline providers and associations,” said Gary Bolton, President and CEO of FBA. “FBA believes the FCC now has the support it needs to adopt a national framework to streamline permitting practices to facilitate wireline builds and urges it to act promptly.”

According to the study, permitting requirements can create delays, additional costs, and other barriers that affect the economic feasibility of network construction. Among the practices identified as having the greatest potential negative impact on wireline deployment are one-time right-of-way (ROW) access fees assessed on a per-foot basis, recurring ROW occupancy fees, degradation fees, restrictive construction requirements, sequential approvals, and contingent approvals.

Permitting is an increasingly important consideration as communities expand fiber infrastructure to support connectivity for residents, businesses, and anchor institutions. The availability of high-speed networks also supports emerging applications and technologies, including artificial intelligence and quantum computing.

“When permitting delays and high fees turn an economically viable build into an unviable one, the fallout is real,” said Lukas Pietrzak, Interim Head of Public Policy at FBA. “Consumers wait longer for vital connectivity, undermining competition and leaving the doorway to the digital economy closed. Local governments have a legitimate role in managing public rights-of-way, but we need to ensure their actions are consistent with the overall public interest.”

Recommendations for Permitting Practices

Based on its analysis, the Cartesian study recommends several measures intended to reduce permitting-related barriers to wireline deployment, including:

  • Fee types: Prohibit fees that are not based on the costs associated with permitting, such as charges calculated according to the number of linear feet of ROW occupied or a provider’s share of service revenue.

  • Safe-harbor fee limits inclusive of all reviews, inspections, and approval: The study recommends fees of no more than $200 per permit, with a $5,000 cap per jurisdiction for large projects. Smaller projects requiring fewer permits would incur proportionately lower fees.

  • Permit-review shot clocks: Require jurisdictions to complete reviews, inspections, and approvals within 120 days of an initial application for large, complex projects, with proportionately shorter timelines for smaller and less complex builds.

  • Clear permitting requirements: Establish predefined, jurisdictional permitting requirements and approval processes and apply them consistently among providers.

  • In-kind compensation: Quantify in-kind compensation and count it against a jurisdiction’s cost-recovery limit.

  • Dispute resolution: Establish clear, time-bound mechanisms for resolving permitting disputes and stalemates, along with expedited FCC review of preemption petitions.

The Cartesian study comes at a critical time, after the FCC issued a Notice of Proposed Rulemaking (NPRM) in June 2026 that proposes rules under Section 253 of the Communications Act to alleviate constraints on the deployment of modern high-speed wireline infrastructure.

The study brings detailed economic evidence into that debate, showing how specific permitting practices can affect not only when networks are built, but whether they are built at all. FBA filed comments in support of the NPRM and will file the Wireline Telecommunications Permitting Challenges report as an additional resource for the Commission’s consideration.

FBA is also scheduled to hold a webinar on October 13 at 2:00 PM ET to discuss the Wireline Telecommunications Permitting Challenges report.

Source: Fiber Broadband Association (FBA)


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This piece was created with the help of generative AI tools and edited by our content team for clarity and accuracy.
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