Fact Sheet: Modernizing the Lifeline Program for Broadband

Here’s an outline of proposed changes to the Federal Communications Commission’s Lifeline program.

I. Proposed changes to eliminate waste, fraud, and abuse from and otherwise reform Lifeline will:

• Establish clear goals and metrics to measure performance towards those goals;
• Create a National Lifeline Accountability Database to prevent multiple carriers from receiving support for the same subscriber;
• Set a budget for Lifeline, while acknowledging that the size of the program should fluctuate as the economy improves or worsens and the Lifeline-eligible population shrinks or grows.
• Establish national eligibility criteria to ensure access to Lifeline service for all low-income consumers who meet federal standards for participation in the program, with the recognition of the unique circumstances facing Tribal communities. States would be permitted to add to these criteria.
• Conduct independent audits every two years on every carrier that receives more than a specified annual amount of support from the program.

II. Reforms will start the process of modernizing Lifeline from telephone service to supporting broadband:
Broadband has gone from being a luxury to a necessity for Americans, including to look for and find a job and access education and healthcare services. Proposed modernization of Lifeline will:

• Establish a Broadband Adoption Pilot Program using savings from other reforms to test and determine how Lifeline can best be used to increase broadband adoption among Lifeline-eligible consumers. Starting this year, the program will solicit applications from broadband providers and will select a number of projects to fund. Lifeline will help reduce the monthly cost of broadband service, but applicants will be expected to help address other challenges to broadband adoption, including the cost of devices and digital literacy.
• Increase digital literacy training at libraries and schools. A Further Notice of Proposed Rulemaking will seek comment on using savings from USF reforms to increase digital literacy training at libraries and schools, a key step in increasing broadband adoption.
• Build on FCC efforts to close the broadband adoption gap and address digital literacy, including the Connect-to-Compete initiative, which enlists government, non-profit, and private sector leaders to address broadband adoption barriers through digital literacy training and low-cost broadband availability.