NATE-VERIZON-FCC TRIFECTA – Contractors are celebrating Verizon’s proactive role in ensuring that future builds will allow their companies to remain profitable and provide safe, quality installations and maintenance. The carrier will limit 1099 crews and set up a hotline for NATE members to report any misuse of undocumented labor. They’ll also remove non-compliant vendors from future bids.
After NATE: The Communications Infrastructure Contractors Association issued an urgent open letter warning that the contracting industry would implode without meaningful carrier reform, Verizon sprang into action, reaching out immediately to tackle contractors’ top concerns.
Together, they forged a breakthrough contracting framework: the turfing model will be retired, and no contractor will be forced into unsustainable matrix pricing. This bold shift cements Verizon’s commitment to its infrastructure partners and paves the way for a truly best-in-class wireless ecosystem.
The Federal Communications Commission, led by Chairman Brendan Carr, also played a pivotal role, championing contractor stability to guarantee a skilled workforce builds and maintains America’s networks. As Chairman Carr declared in today’s press release on the Verizon-Frontier merger approval, the deal “…delivers for America’s tower and telecom crews who do the hard, often gritty work needed to build high-speed networks.”
Verizon’s matrix revamping, payment terms, and other changes announced
In a letter dated May 15, 2025, Verizon Senior Vice President and Deputy General Counsel William H. Johnson laid out a comprehensive set of commitments that speak directly to the needs of contractors, small businesses, and safety advocates alike.
At the heart of Verizon’s announcement is the recognition that a healthy network depends on healthy partners. By July 1, Verizon will:
- Revamp its pricing matrix, adding line items for site-specific conditions (via an “Exceptions and Allowances” process) and rolling out regionally based RFPs to account for inflation.
- Expand its Minor Materials Program to allow substitutions when costs are matched or improved, and cover consumables like lugs, weatherproofing, straps, and heat-shrink.
- Conduct an annual, transparent review of its pricing methodology, together with NATE, to ensure rates keep pace with macroeconomic changes.
To speed payments and reduce friction, Verizon will also:
- Adopt 30-day payment terms under new Master Service Agreements, with fair indemnity provisions developed in joint working sessions.
- Form a standing working group to revisit MSA terms periodically, ensuring that contracts remain balanced and up to date.
Verizon’s commitment extends to operational efficiency and vendor fairness:
- Small-business fee credits: Avetta platform fees paid by qualifying suppliers will be credited back, and Verizon will explore “just-in-time” equipment release to minimize warehousing costs.
- Timely financial audits: Routine audits will be completed no more than six months after the project closes, with the process streamlined to catch issues early.
- Strict workforce compliance: The company will limit 1099 crews to specialized, pre-approved work and set up a hotline for NATE members to report any misuse of undocumented labor, removing non-compliant vendors from future bids.
Finally, underscoring its shared passion for safety, Verizon has pledged a donation to NATE for expanded training classes, and agreed—subject to further working-group details—to phase out “turf vendor” models altogether.
By embracing contractor feedback and turning it into concrete policy changes, Verizon demonstrates that its leadership isn’t just about building colocations and upgrades but building trust. These new measures will help ensure that every tower site is delivered on time, on budget, and to the highest quality and safety standards, keeping America connected today and ready for tomorrow’s innovations.
NATE applauds Chairman Carr and Verizon’s collaboration
Todd Schlekeway, President and CEO of NATE, informed Wireless Estimator that the NATE’s leadership has been engaged in active negotiations for months with Verizon executives on a range of issues and reforms that, when implemented, will lead to a more sustainable and healthier environment for the Association’s member contractors and their tower technician workforce.
“NATE is excited to announce that these collaborative and respectful meetings have led to an agreement that we believe will lead to positive, impactful reforms for our contractor member companies related to pricing, master service agreements, current third-party vendors and mandates, financial audits, and workforce requirements,” said Schlekeway.
In the negotiations process, NATE did not receive every request, “but that is how negotiations go,” said Schlekeway, who said the major concerns of contractors were achieved.
“NATE would like to extend our gratitude to FCC Chairman Brendan Carr and his staff for collaborating with the association’s leadership and Verizon to help our respective organizations come to terms on this agreement. During his tenure at the FCC, Chairman Carr invested a lot of time and sweat equity in visiting sites and conducting tower climbs with some of America’s best contractor firms and technicians. These tangible experiences have given the Chairman a deep understanding of the prominent role that NATE members play daily, conducting the tough, gritty work on the frontlines to enable connectivity,” added Schlekeway.
“NATE also extends our appreciation to Verizon for coming to the table and brokering an agreement to foster a stronger relationship and partnership between the association’s contractor members and those fortunate to count Verizon as a customer. NATE looks forward to the next steps in our collaboration with Verizon, which includes establishing the official working group between our respective organizations.”
Contractors were elated to hear of Verizon’s many changes. “The agreement between NATE, Verizon, and the FCC is massive news. As a 36-year tower contractor and employer of over 200, we look forward to how this will bring fairness back to our relationship. We can’t thank Chairman Carr enough for looking out for the tower workforce, the employers that support them,” said Craig Snyder, Chairman and Founder of VIKOR.
“Having been involved in the negotiation team representing NATE, I can tell everyone that Verizon negotiated in good faith. Their senior leadership team is interested in making things right for the industry. The mutually agreed-upon working group will be a big benefit in the future. We appreciate them coming to the table and are hopeful their peers will follow Verizon’s lead,” said Snyder.
It is expected that NATE will be engaged with AT&T and T-Mobile regarding similar contracting issues. It is also likely that the FCC will assist in negotiations since T-Mobile requires regulatory approval to acquire UScellular’s wireless operations in a deal valued at $4.4 billion.
View Verizon’s correspondence with the FCC.
