Lifeline/Low-Income Consumers

Reps Jahana Hayes (D-CT), and Marc Veasey (D-TX) introduced the Preventing Disruptions to Universal Services Funds Act (H.R.5400) to extend access to federal funds for telecommunications programs for three years, eliminating the need for a yearly fund recertification. The bill was created to ensure internet access for millions across the country is not disrupted by federal funding costs allowing for continuous access to available resources.

There is currently a policy debate circulating asking who should pay to fund the Federal Communications Commission’s Universal Service Fund. For decades the USF has collected fees from telephone carriers providing landline and cellular phones – and these fees have been passed on to consumers. As landline telephone usage has continued to fall, the fees charged to customers have increased. To fix this, there have been calls to spread fees more widely.

The COVID-19 pandemic highlighted just how important it is to have a broadband internet connection at home — for remote school or work, virtual doctor’s exams and meetings and many other pursuits. But broadband can be costly, so the federal government offered new subsidies to help low-income households afford a high-speed line and a device with which to use it. Dozens of internet service providers all across California have signed up for the Emergency Broadband Benefit (EBB) program, which covers up to $50 of the monthly cost of an internet connection (or up to $75 on Tribal lands).

Federal Communications Commission Acting Chairwoman Jessica Rosenworcel announced the FCC has enrolled over six million low-income households into the Emergency Broadband Benefit program, the US’s largest broadband affordability program.  Since mid-May 2021 millions of families who previously could not get online or struggled to pay for this modern-day necessity are now connected.  The temporary subsidy program initiated by Congress provides discounts of $50 (and up to $75 on Tribal lands) to qualifying households on their monthly internet bill, and some Emergency Broadband Benefit provider

In response to the impact of the ongoing COVID-19 pandemic in the United States, the Federal Communications Commission's Wireline Competition Bureau has waived certain Lifeline program rules in eight previous orders to provide necessary relief for low-income households. The effects of the COVID-19 pandemic continue to be felt by many Americans. The importance of access to affordable communications services for low-income consumers has been underscored by the pandemic and its long-lasting impact.

The Federal Communications Commission is partnering with the National Association of Regulatory Utility Commissioners (NARUC) and the National Association of State Utility Consumer Advocates (NASUCA) to acknowledge Lifeline Awareness Week, September 20-24, 2021. Lifeline is an FCC program designed to help make communications services more affordable for low-income consumers.

The National Hispanic Media Coalition (NHMC)'s policy team came together to attempt to uncover the real impact of the Emergency Broadband Benefit (EBB) program for eligible Latinx households. The NHMC conducted their analysis using 11 states chosen based on their significant Latinx populations: Arizona, California, Florida, Illinois, Maryland, Nevada, New Jersey, New Mexico, New York, Pennsylvania, Texas. The NHMC published their findings along with recommendations for federal agencies to boost Latinx enrollment in broadband subsidy programs. Major findings include:

Over five million households have enrolled in the Emergency Broadband Benefit Program since its launch in mid-May. The Federal Communications Commission released more granular enrollment data to inform its evolving awareness efforts, increase transparency in the program, and empower its outreach partners to better target awareness and enrollment efforts.

Consumer groups are still very much concerned about what happens if TracFone gets acquired by Verizon even though Verizon promises to serve the public interest.

Public-interest groups have agreed to drop their challenge to Verizon's proposed $6.9 billion purchase of TracFone Wireless after the company agreed with their conditions. Public Knowledge, Access Humboldt, the Benton Institute for Broadband & Society, the California Center for Rural Policy, and Communications Workers of America submitted a letter to the Federal Communications Commission August 11 withdrawing their objections to the deal, contingent on the Federal Communications C