Lifeline/Low-Income Consumers

The Universal Service Fund (USF) has been stuck in legislative limbo as the government wrestles with how to improve the subsidy program. Experts think USF reform could see momentum in Trump’s second term, but how that will pan out is a trickier question to answer. The USF, which supports broadband access and affordability in rural and low-income communities, is made up of four [sic] smaller programs: Connect America Fund, Lifeline, E-Rate and Rural Health Care. One glaring problem with the current USF framework is the shrinking contribution base.

The future of the $8.5 billion Universal Service Fund (USF), which supports broadband access in schools, libraries, and rural communities, hangs in the balance as three critical court cases move forward. In a rare twist, two cases saw oral arguments on the same day, adding a sense of urgency to the outcomes. These decisions could redefine affordable internet connectivity for students, families, and communities nationwide. We summarize each case and outline the stakes for the E-rate and other USF programs. As we await the courts’ decisions, SHLB is not just observing from the sidelines.

A bipartisan group of senators is looking into Universal Service Fund (USF) reform and, even better, there are solutions on which both parties can agree.

Issa Asad, 51, of Southwest Ranches (FL), and Q Link Wireless LLC, of Dania Beach (FL), pleaded guilty to conspiring to defraud and commit offenses against the United States in connection with a years-long scheme to steal over $100 million from the Federal Communications Commission's Lifeline program. Asad, Q Link’s CEO, also pleaded guilty to laundering money from a separate scheme to defraud a different federal program meant to aid individuals and businesses hurt by the Covid-19 pandemic.

At the Connected Oklahoma – Rural Broadband Summit in Oklahoma City, I shared my thoughts on the future of the Universal Service Fund (USF) and Low Earth Orbit satellites. Here's the homework I asked the audience to do:

Federal Communications Commission Chairwoman Jessica Rosenworcel announced the agency took quick action to assist people impacted by Hurricane Helene by providing discounted phone and broadband service through its Lifeline program. The agency voted to temporarily waive certain Lifeline program eligibility rules to ensure that consumers receiving federal disaster assistance can easily apply for and enroll in the Lifeline program.

There is a political consensus that the United States should continue its nearly century long commitment to assuring that the tools of modern communications are universally accessible and affordable. There is also a consensus that the primary program through which we keep that commitment—the Federal Communications Commission’s Universal Service Fund (USF)—is breaking down.

During Digital Connectivity and Lifeline Awareness Week, the Federal Communications Commission announced the implementation of a key provision of the Safe Connections Act that will help survivors of domestic violence, human trafficking, and related crimes get discounted phone, internet, or bundled services through the FCC’s Lifeline program. Survivors can now make a request with their service provider to separate their mobile phone lines from family plans where the abuser is on the account.

On September 6, 2024, the Federal Communications Commission launched its latest (and 18th overall, if you're scoring at home) inquiry into the state of broadband in the United States.

NTCA–The Rural Broadband Association is releasing the results of a survey it conducted of members on how the potential disruption of Universal Service Fund (USF) support could affect rural consumers, broadband investment in rural America, and the viability of existing rural broadband networks. The survey was conducted in August 2024 following a July decision finding the system for contributions to the federal USF unconstitutional and remanding the matter to the Federal Communications Commission. Significant findings include: