WTA Supports Introduction of Legislation to Require FCC to Address USF Contributions Modernization
WASHINGTON, D.C. (Dec. 22, 2021) – WTA – Advocates for Rural Broadband supports bipartisan legislation, H.R. 6314, introduced by Representative Joe Neguse (D-CO) and five of his colleagues in the House of Representatives that requires the FCC to complete a study and rulemaking on modernizing the Universal Service Fund (USF) contributions system.
“The USF contributions mechanism is a relic of the ‘96 Telecom Act, and is based on revenue from long-distance telephone service. There isn’t anyone who doesn’t think it’s antiquated,” said Derrick Owens, Senior Vice President of Government & Industry Affairs. “Although the contribution factor dipped a bit this past quarter, it still remains close to 30% and this is not sustainable. We encourage the FCC and Congress to work together to find a solution so that contributions to the Fund are spread equitability among those who benefit from the broadband network. We applaud this bipartisan group of Representatives for their efforts in spurring the FCC to action.”
