Lifeline/Low-Income Consumers

The US Congress faces an imminent decision about the future of the Affordable Connectivity Program (ACP) and the connectivity it delivers to 23 million households.

The National Lifeline Association (NaLA) submitted a petition to the Federal Communications Commission requesting that the FCC temporarily waive the Lifeline reimbursement amounts in the Commission’s rules until Congress allocates additional funding for the Affordable Connectivity Program (ACP) or passes broader legislation to reform the Universal Service Fund (USF) and pay for the ACP in an alternative manner.

As the Federal Communications Commission's Affordable Connectivity Program gets set to end at the end of May, at least three internet providers touted alternative low-cost offerings, including some available only to low-income households. During the ACP’s 29-month existence, numerous providers have offered a $30 service for low-income customers so that service is essentially free when the ACP discount is applied, and some of the providers plan to continue to offer the $30 services. With a few exceptions, however, service will no longer be free.

Life Wireless, the Lifeline Assistance Program’s provider for Telrite Holdings, has vowed to continue accepting applications for their Lifeline Assistance Program after the Affordable Connectivity Program (ACP) runs out of funding in May. Life Wireless offers free service, data usage, and smartphones to low-income Americans. Subscribers are eligible for Lifeline Assistance Program help if they receive government assistance or if their income level is at or exceeds 135 percent below the federal poverty level.

A number of former Federal Communications Commission (FCC) officials are pointing to expanding the Lifeline program, under the Universal Service Fund (USF), as the way to save a version of the Affordable Connectivity Program (ACP), and prevent tens of millions of people from losing access to the monthly broadband subsidy. One way the FCC could do that was outlined in a recent petition for expedited rulemaking filed

The Federal Communications Commission is poised to raise taxes through its Universal Service Fund—a regressive, hidden tax on consumers' phone bills that funds a series of unaccountable, bloated internet subsidy programs. Rather than giving the FCC carte blanche to expand its balance sheet, Congress must reform the USF's structural problems, reevaluate its component programs, and get the FCC's spending under control. Here is my plan to do that. 

Sen Shelley Moore Capito (R-WV) indicated to West Virginia TV station WTRF that Capitol Hill lawmakers were looking at the Universal Service Fund as a source of money for the Affordable Connectivity Program. The USF has about $8.

A recent survey revealed that 81 percent of households with schoolchildren receiving a monthly broadband subsidy are worried about the prospect of losing this assistance and its potential effects on their children's education, according to the Universal Service Administrative Company. These metrics “demonstrate with incredible clarity just how important it is to stay connected in modern life and how dangerous it is to threaten disconnection,” said Federal Communications Commission Chairwoman Jessica Rosenworcel.

The Public Service Commission of Wisconsin (PSC) is encouraging eligible organizations to apply for grant funding to improve the availability of telecommunications services for Wisconsin residents. The grant funding opportunities include the Nonprofit Access Grant Program, the Lifeline Outreach Grant Program, and the Telemedicine Grant Program. All three grant programs are funded by the Universal Service Fund to help Wisconsin residents get essential and advanced telecommunications services. 

On Dec 12, 2023, Sen Ben Ray Luján (D-NM) wrote to Federal Communications Commission Chairwoman Jessica Rosenworcel requesting input on proposals to modify the contribution base for the Universal Service Fund (USF).