Universal Service Fund

I am pleased that the Supreme Court will review the Fifth Circuit’s misguided decision. For decades, there has been broad, bipartisan support for the Universal Service Fund and the FCC programs that help communications reach the most rural and least-connected households in the United States, as well as hospitals, schools, and libraries nationwide. I am hopeful that the Supreme Court will overturn the decision that put this vital system at risk.

Former Federal Communications Commission Chairman Ajit Pai said Congress should fund the $8.1 billion Universal Service Fund through annual appropriations. “I do think that the time has come for Congress to shift this to a general appropriation,” said Pai, FCC chairman from 2017 to 2021. “[If USF were funded by appropriation] we wouldn’t have this situation now where we’re essentially getting more and more money from a declining base of contributors.”

President-elect Donald Trump announced he will appoint current Federal Communications Commissioner Brendan Carr to be the next FCC chair. Here’s a few observations on what this is likely to mean for the telecommunications and broadband industry. Net Neutrality undoubtedly will be reversed again. Since its inception, it has come and gone, depending on which party is in the White House. A Republican commission under Carr could have another big impact that would be detrimental to big tech, according to a research note from Washington insider and National Broadband Plan author Blair Levin.

A new presidential administration will take office in January 2025, ushering in a new era at the Federal Communications Commission. Thanks to Project 2025, we have a unique ability to predict what this will mean for broadband regulation.

The internet plays an essential, everyday role in the lives of Americans. Internet access—both fixed and mobile—is a critical resource that allows individuals and families to participate in work and education opportunities, receive telehealth services, access public benefits and services, communicate with loved ones, and more.  Yet affordability remains one of the primary barriers to reliable broadband access.

Chris Mitchell speaks with Andy Schwartzman, Senior Counselor at the Benton Institute for Broadband & Society, about pressing legal issues affecting telecommunications policy in the U.S.

The Universal Service Fund (USF) has been stuck in legislative limbo as the government wrestles with how to improve the subsidy program. Experts think USF reform could see momentum in Trump’s second term, but how that will pan out is a trickier question to answer. The USF, which supports broadband access and affordability in rural and low-income communities, is made up of four [sic] smaller programs: Connect America Fund, Lifeline, E-Rate and Rural Health Care. One glaring problem with the current USF framework is the shrinking contribution base.

The future of the $8.5 billion Universal Service Fund (USF), which supports broadband access in schools, libraries, and rural communities, hangs in the balance as three critical court cases move forward. In a rare twist, two cases saw oral arguments on the same day, adding a sense of urgency to the outcomes. These decisions could redefine affordable internet connectivity for students, families, and communities nationwide. We summarize each case and outline the stakes for the E-rate and other USF programs. As we await the courts’ decisions, SHLB is not just observing from the sidelines.

The Republican who is likely to lead the Federal Communications Commission under President-elect Donald Trump detailed how he would run the agency when he wrote a chapter for the conservative Heritage Foundation's Project 2025. Federal Communications Commissioner Brendan Carr, a longtime opponent of net neutrality rules and other broadband regulations, has also made his views clear numerous times when opposing rulemakings initiated by the current Democratic majority.

The Federal Communications Commission received 2,734 applications from schools, libraries, and consortia of schools and libraries to participate in the Schools and Libraries Cybersecurity Pilot Program, representing $3.7 billion in requests to fund cybersecurity projects during the three-year program. During the application filing window—which ran from September 17, 2024 through November 1, 2024—the Pilot Program attracted applications from all 50 states, Puerto Rico, and the District of Columbia, including schools and libraries in both rural and urban communities.