Lifeline/Low-Income Consumers

In March 2016, the Federal Communications Commission adopted the Lifeline Reform and Modernization Order (2016 Lifeline Order), which included changes to eligibility verification for enrollment and recertification. The FCC directed the Universal Service Administrative Company to establish a system for independent, third-party eligibility determinations. To accomplish this, USAC built the National Lifeline Eligibility Verifier (National Verifier) to automate, where possible, and standardize eligibility verification across all states and territories.

The Universal Service Administrative Company (USAC) submitted the federal Universal Service Support Mechanisms fund size and administrative cost projections for the second quarter of calendar year 2026 (2Q2026). USAC projects a consolidated budget of $65.67 million for 2Q2026.  Direct costs for all support mechanisms total $33.88 million.

On January 27, 2026, Federal Communications Commission Chairman Carr posted a press release announcing that the FCC will vote on a reform proposal so that “only living and lawful Americans participate in the Federal Lifeline Program.” A motivating factor in the reform, the press release continued, was the finding from the FCC’s Inspector General report that 116,000 dead people used the Lifeline program. Over nearly five years, this cost taxpayers $5 million in costs to reimburse carriers.

On January 28, 2026, the Federal Communications Commission released a draft Notice of Proposed Rulemaking (NPRM) proposing significant reforms to its Lifeline program, which makes communications services more affordable for low-income households. The FCC cites program integrity concerns, fraud prevention, and waste reduction as primary motivations. These proposals would substantially affect both Lifeline subscribers and participating service providers. Proposed changes include:

Federal Communications Commission Chairman Brendan Carr announced that the items below are tentatively on the agenda for the February Open Commission Meeting scheduled for Wednesday, February 18, 2026: 

Heading into February 2026, the Federal Communications Commission will continue to take actions that advance the interests of consumers and ensure the agency is a good steward of scarce federal dollars. First up, the FCC will vote on proposals aimed at strengthening the integrity of the federal Lifeline program—ensuring Universal Service Fund dollars flow only to living and lawful beneficiaries.

At a time when millions of families are already struggling with the rising cost of living and the loss of the Affordable Connectivity Program, the Federal Communications Commission should be focused on making connectivity more affordable, not erecting new barriers that risk raising phone and internet bills for the people who can least afford it. While I support efforts to protect the integrity and success of the Lifeline program, this proposal goes well beyond that goal.

TruConnect Communications met with Federal Communications Commissioner Anna Gomez to discuss the need to reform the Lifeline Program so that it can deliver the connectivity needed by eligible low-income households to participate in today’s digital society, while simultaneously delivering broader societal benefits such as reduced Medicaid costs and better healthcare outcomes, especially in rural America and for Veterans, where and for whom, telehealth is essential to accessing necessary healthcare.

On November 20, 2025, the Federal Communications Commission issued Order DA 25-965 (Order) revoking California’s long-standing waiver related to the use of the National Lifeline Accountability Database (NLAD) and federal eligibility determinations. We respectfully request that the FCC reconsider the Order. California’s enrollment and eligibility process fully meets the federal rules requiring a Social Security Number (SSN) of all applicants participating in the federal program.

Federal Communications Commission Chairman Brendan Carr appointed seven members to the Board of Directors of the Universal Service Administrative Company (USAC). Each position has a three-year term beginning on January 1, 2026, and ending on December 31, 2028.