Lifeline/Low-Income Consumers

What Policymakers Should Know About Lifeline Participants

In July 2021, the Federal Communications Commission's Wireline Competition Bureau released its report on the state of the Lifeline marketplace. The aim of the report was to identify areas for FCC consideration regarding the continued transition of Lifeline from a program that primarily supports voice services to one with a greater focus on supporting broadband Internet access service. Unfortunately, there are three critical questions I noticed the FCC’s Lifeline report did not address:

Lifeline Program – Consumer Advocate Toolkit

The purpose of this toolkit is to provide consumer advocates with resources to help educate consumers about the Lifeline program and how to apply. To encourage and assist consumer outreach, USAC has created resources in this toolkit that organizations can use instead of creating outreach from scratch. Consumer advocacy groups, social service agencies, and other organizations that support low-income consumers are welcome to print and distribute any or all of the toolkit’s resources in their communities.

The Lifeline Market

The goal of universal service is to ensure that essential communications services are available and affordable for all. Equity remains a bedrock principle: the notion that society should take steps to ensure that all (or nearly all) citizens can use communications networks. However, whereas it was once fairly easy to identify the goal—widespread adoption of telephone service—today the situation is not as clear. Should, for instance, “universal service” include internet access? If so, at what level of service?

USF Contribution Reform Debate Well Underway as Stakeholders Weigh In

In addition to making unprecedented funding available for broadband, the Infrastructure Investment and Jobs Act also directed the Federal Communications Commission to study the impact of the new government broadband funding on the Universal Service Fund program. As part of this process, the commission asked stakeholders for their comments on this, and many of those comments – particularly those from service provider associations — had a common thread: The USF program will still be needed, but its contribution system needs reform.

The Infrastructure Act and the Need for Continued USF Support

While the recent COVID-response programs are welcomed additions to the effort to connect all people, they are only one part of the total ecosystem required to achieve universal service. The Universal Service Fund continues to be an important part of that ecosystem. Specifically, the Lifeline program’s voice and data and voiceonly subsidies for consumers is not replicated elsewhere, and the Emergency Connectivity Fund program does not reach as far or cover as many needs as the E-rate program. One program does not serve all ends.

Free Press Calls on the FCC to Update Its USF Programs and Push for Permanent Funding of the Affordable Connectivity Program

Free Press called on the Federal Communications Commission to reinvent its Universal Service Fund (USF) policies so that millions more people can afford the costs of connectivity in the United States. Free Press urged the FCC and Congress to redraft policies crafted in the late 1990s, and last overhauled more than a decade ago, to reflect the sector’s many changes. Free Press wrote, “the good intentions that fueled that effort are no longer a reliable blueprint in a fundamentally changed marketplace.

Benton's Thoughts on the Future of the Universal Service Fund

Acting on instruction from Congress in the Infrastructure Investment and Jobs Act, the Federal Communications Commission has invited comment on the effect of the Infrastructure Act on Universal Service Fund (USF) programs and how the FCC can reach its goals of universal deployment, affordability, adoption, availability, and equitable access to broadband throughout the United States.

To Save Universal Service Fund, FCC Must Adopt USForward Report Recommendation Immediately

INCOMPAS is pressing the Federal Communications Commission to make the smart, transparent and expedient choice to save the Universal Service Fund. By evolving USF to include contributions from broadband internet access service providers, which the FCC could do immediately without an act of Congress, INCOMPAS says low-income families, schools and rural hospitals would all benefit from this renewed commitment to ongoing affordability solutions. INCOMPAS warns that the USF program is spiraling toward disaster, with contribution levels set to rise to nearly 40%.

Does your cable company participate in the Affordable Connectivity Program?

As 2021 turned into 2022, the Federal Communications Commission transformed the Emergency Broadband Benefit Program into the Affordable Connectivity Program. Congress created the Affordable Connectivity Program through the Infrastructure Investment and Jobs Act and provided the FCC $14.2 billion to subsidize broadband service for low-income households. Broadband providers will receive up to $30/month (or up to $75/month if the household is on Tribal Land) for providing service to low-income households.

Lifeline Program Year 2021 in Review

Program highlights for 2021 include:

FCC Commissioner Geoffrey Starks' Statement on the Affordable Connectivity Program Rules

The rules repeatedly affirm our decision to spend that money in ways that advance our digital equity goals. I am proud that my colleagues adopted my recommendation to commit to deploying the new tools Congress gave us with 'particular emphasis on reaching people of color, persons with disabilities, persons who live in rural or Tribal areas, and others who are or have been historically unserved, marginalized, or adversely affected by persistent poverty or inequality.' I intend to make sure we follow through on that commitment.

FCC Commissioner Nathan Simington's Statement Regarding the Affordable Connectivity Program Rules

For the most part, I am very satisfied with the resulting order, which incorporated extensive feedback from all commissioners’ offices, industry, and other groups outside of the FCC.

FCC Releases Affordable Connectivity Program Rules

In this Order, the Federal Communications Commission adopts final rules for the Affordable Connectivity Program, which builds upon the Emergency Broadband Benefit Program (EBB Program), to offer eligible low-income households discounts off the cost of broadband service and connected devices.

Universal Service Monitoring Report 2021

In response to the Telecommunications Act of 1996, the Federal Communications Commission established universal service mechanisms to help ensure that all Americans have access to affordable telecommunications service. Congress mandated that these programs be supported by contributions from every telecommunications carrier that provides interstate telecommunications, and other providers of telecommunications services if the FCC finds contributions from such providers to be in the public interest.

NTIA's Office of Internet Connectivity and Growth Makes First Report to Congress

On December 23, 2021, the Department of Commerce’s National Telecommunications and Information Administration (NTIA) highlighted the accomplishments of its new Office of Internet Connectivity and Growth over the past year and begins what will be annual tracking of investments in federal broadband support programs and Universal Service Fund programs. In the ACCESS BROADBAND 2021 Report NTIA also makes recommendations to improve efforts to track broadband spending and outcomes. The law also requires the Office of Internet Connectivity and Growth to submit a report to Congress each year that i

How Tech Is Helping Poor People Get Government Aid

In making his case that safety net programs should be easier to use, Jimmy Chen, a tech entrepreneur, recalled visiting a welfare office where people on food stamps endured long waits to submit routine paperwork. They passed the time as people in lines do, staring at their phones — which had the potential to do the work online with greater convenience, accuracy and speed.

Verizon Completes Its Takeover of TracFone Wireless

Verizon Communications closed its $6.25 billion purchase of prepaid cellular-service provider TracFone Wireless, cementing its lead in a market split among three major mobile-phone networks. Verizon previously agreed to buy the company from América Móvil SAB of Mexico for a combination of cash and stock.

Transition of the Emergency Broadband Benefit Program into the Affordable Connectivity Program

The Infrastructure Investment and Jobs Act retains the basic structure of the Emergency Broadband Benefit Program in the creation of a longer-term broadband affordability program to be called the Affordable Connectivity Program. In our first article, we looked at some of the bigger changes coming for broadband providers and consumers currently in the Emergency Broadband Benefit Program.

FCC Begins the Transition of the Emergency Broadband Benefit Program into the Affordable Connectivity Program

On November 18, 2021, the Federal Communications Commission's Wireline Competition Bureau released a public notice seeking public comment on how to modify and extend the Emergency Broadband Benefit Program to a longer-term broadband affordability program: the Affordable Connectivity Program.

CPUC Approves Verizon’s Acquisition of TracFone With Consumer Protection Conditions

The California Public Utilities Commission (CPUC), in ongoing efforts to ensure reliable and affordable telecommunication services, approved Verizon Communications’ acquisition of TracFone Wireless with consumer protection conditions to ensure the acquisition will be in the public interest. The CPUC's Decision finds that in order for Verizon and TracFone to meet the burden of proving their acquisition is in the public interest, they must adopt a number of specific measures to protect consumers-including California Lifeline customers-from price increases and service disruptions.

A Big Day For Lifeline

November 5, 2021 may be remembered as the day the U.S. House of Representatives passed the infrastructure bill. But it was also a big day for the Federal Communications Commission's Lifeline program—because of actions both the FCC and Congress took that day.

Infrastructure Investment and Jobs Act will Make Broadband More Affordable

The Infrastructure Investment and Jobs Act not only provides the means to make broadband service more available by funding deployment of broadband middle-mile and last-mile networks, it also aims to make the service provided more affordable so more people can subscribe and use it.

FCC Pauses Lifeline Minimum Service Standard Increase and Voice-Only Services Phase-Out

The Federal Communications Commission's Wireline Competition Bureau paused the scheduled phase-out in Lifeline support for voice-only services and the scheduled increase in the mobile broadband data capacity minimum service standards for the Lifeline program. As directed by the FCC in the 2016 Lifeline Order, support for services that meet only the voice minimum service standard is scheduled to be eliminated in most areas on December 1, 2021.

CPUC Issues Proposal That Would Require Consumer Protections for Verizon’s Acquisition of TracFone

This proposal that would approve Verizon Communications’ acquisition of TracFone Wireless with consumer protection conditions to ensure the proposed acquisition will be in the public interest.