Universal Service Fund

In a ruling that quickly caused shock waves in the U.S. telecommunications industry, the Fifth Circuit Court of Appeals ruled, 9-7, that the Universal Service Fund (USF) is unconstitutional as currently administered. The Court explained its ruling by saying that the USF is a “misbegotten tax” that violates Article I, § 1 of the Constitution, which states that all legislative powers are given to Congress, which is made up of the Senate and the House of Representatives.

Sen Chris Van Hollen (D-MD), Baltimore City Mayor Brandon Scott (D-MD), and Federal Communications Commission Chairwoman Jessica Rosenworcel spoke about plans to expand internet connectivity in Baltimore. The Enoch Pratt Free Library currently has about 2,000 hotspots in circulation. According to Meghan McCorkell, Enoch Pratt Free Library’s chief of marketing, communications and strategy, about 969 people are waiting for a hotspot.

After the Fifth Circuit ruled, 9-7, that the Universal Service Fund is unconstitutional as currently administered, we've seen the following responses.

At the July Federal Communications Commission Open Meeting, the FCC approved, on a 3-2 vote, an order to make Wi-Fi hotspots and Internet services eligible for E-rate program support for libraries and K-12 schools. This historic decision adopts a SHLB Coalition recommendation we and others proposed over three years ago. The proposed order allows schools and libraries to apply for E-rate funds to help offset the costs of purchasing Wi-Fi hotspots and I

he Federal Communications Commission voted to approve final rules to support the students, school staff, and library patrons around the country who find themselves on the wrong side of the digital and educational divide. Now, schools and libraries will be able to utilize E-Rate resources to loan out Wi-Fi hotspots which will provide internet access for those individuals without a reliable connection at home.

There’s been much handwringing this year over the prospect of defaults in the Federal Communications Commission’s (FCC) Rural Digital Opportunity Fund (RDOF) program, but very little empirical analysis of the actual extent of default that has occurred to date or data-driven projections of what’s likely to occur in the future. It’s time to dig deeper to figure out what’s going on at the local level. The FCC authorized 379 companies to receive $6 billion in RDOF support over a ten-year term, covering just under 3.5 million locations in 48 states and one territory.

On July 18, the Federal Communications Commission will vote on new rules to make the offpremises use of Wi-Fi hotspots and mobile wireless internet services eligible for E-Rate funding. The new rules would take the next step towards modernizing the program to ensure students and library patrons have access to the connectivity needed for a 21st century quality education.

The Federal Communications Commission's Wireline Competition Bureau (Bureau) announced an update to the Interim Eligible Locations list for use in the Enhanced Alternative Connect America Model (Enhanced ACAM) mechanism.  Pursuant to the Enhanced A-CAM Order, the Bureau must provide a final report on the Enhanced A-CAM obligations and support amounts no later than December 31, 2025.  The Interim Eligible Locations file is intended to update to Enhanced A-CAM carriers and other stakeholders regarding the status of locations in Enhanced A-CAM service areas based on currently available data.

Many people have criticized the Federal Communications Commission (FCC) for its execution of the Rural Digital Opportunity Fund (RDOF) program, which awarded $6 billion in funding to bring broadband to 3.5 million locations across the country.

Residential fixed broadband internet access in the United States (US) has long been distributed inequitably. These inequities remain the subject of significant focus for both researchers and policymakers alike, as taxpayers have invested hundreds of billions of dollars over the past several decades to address these broadband-related challenges. This paper evaluates the efficacy of the Connect America Fund (CAF), a key policy intervention aimed at addressing disparities in US internet access.