FCC set to recommend broadband pilot programs for low-income users

Just days after issuing proposed reforms to the high-cost portion of the Universal Service program, the Federal Communications Commission said it plans to tackle reform to the low-income portion of the fund -- known as Lifeline and Linkup -- at its next monthly meeting on March 3.

The FCC plans to issue a notice of proposed rulemaking to “eliminate waste, fraud and abuse” and “improve program administration, accountability and fiscal responsibility.” What the FCC has in mind is anyone’s guess. The commission hasn't been as forthcoming about what’s on tap there as it has been with regard to other proposed reforms. More intriguingly, the commission also said the NPRM seeks to “modernize the program in light of market and technology changes, including support for pilot programs for broadband adoption.” Considering that the high-cost fund is being transitioned from a program focused on voice to one focused on broadband, it’s only logical that the FCC would consider a similar transition for the low-income fund. One message from the FCC that has been loud and clear throughout the Universal Service reform process, however, is that it doesn't want to increase the overall size of the fund. That fund is paid for by mandatory contributions from providers of voice services as a percentage of total revenues.