Chairman Pai Response Regarding Lifeline Reform

On August 10, Federal Communications Commission Chairman Ajit Pai responded to letters from members of Congress who wrote to Chairman Pai regarding drastic cuts to the FCC's Lifeline program. In response, Chairman Pai wrote that the 2017 Lifeline Reform Order seeks to focus Lifeline support where it is most needed. At the same time, Chairman Pai wrote, "It is critical to strengthen the Lifeline program's efficacy and integrity by reducing the waste, fraud, and abuse that has run rampant in this program for the better part of a decade." Chairman Pai also noted that there is a Notice of Proposed Rulemaking (NPRM) accompanying the Order, in which the FCC sought comments on a wide variety of measures to improve the administration of the Lifeline program. Chairman Pai added a note about his proposal that was adopted in May, which creates the Uniendo a Puerto Rico Fund and Connect USVI Fund in order to accelerate the restoration of communications networks damaged and destroyed on Puerto Rico and the US Virgin Islands during the 2017 hurricane season. “In the accompanying notice, we look toward the long term and propose providing $890 million in funding to Puerto Rico and the US Virgin Islands to enhance connectivity and help future-proof the territories' networks. Moving forward with the efforts outlined in the notice will help ensure that funding is fiscally responsible and enables as many people as possible in the territories to benefit from fixed and mobile communications. And these networks will be rebuilt by facilities-based carriers who are committed to investing in the territories (several of whom I visited shortly after Hurricanes Irma and Maria), not wireless resellers.”