FCC Addresses Duplicate Claims for Lifeline Support

Sharon Gillett, the Chief of the Federal Communications Commission's Wireline Competition Bureau, has sent new instructions to the Universal Service Administration Company (USAC) to take specific steps to resolve duplicate claims for Lifeline support.

When a duplicate claim is uncovered , the FCC directs USAC to notify the eligible telecommunications carriers (ETCs) involved and direct those ETCs to stop including the duplicate subscribers among the subscribers claimed for Lifeline support on the form 497. USAC shall inform the ETCs at issue in writing and direct them to notify the customer by phone, and in writing where possible, that he or she has 30 days to select one Lifeline provider or face de-enrollment from the program. Once the customer selects a Lifeline provider by signing a new certification, the chosen ETC must notify USAC and the ETC who had previously served the customer of the customer's selection. Once the chosen ETC notifies USAC and the competing ETC of the customer's choice, the selected ETC may seek reimbursement for the customer, while the other ETC must de-enroll the customer from its Lifeline service and may not seek reimbursement for that customer going forward. In instances where multiple customers in a single household are receiving support from two or more ETCs, USAC should direct the ETCs to educate the subscribers on the Commission's "one-per-household" requirement and require the subscribers to make a single Lifeline provider selection for the household or they will be de-enrolled from the program. We believe this approach will not only protect the fund against waste, fraud and abuse upon a finding of duplicate support, but would also provide an incentive for ETCs to better educate their customers about the Lifeline program, and increase their due diligence prior to initiating service to a low-income consumer.