The Universal Service Fund is funded by assessments on long-distance voice revenue from landline and wireless telecommunications providers. The providers pass these assessments along to consumers on their bills. Due to declining long-distance revenue and increased needs of the program, the contributions factor (the percentage assessed on revenue) has increased steadily from less than 10% fifteen years ago to over 3o% today.
All four USF programs support broadband networks and services, yet the contributions are still based on long-distance revenue. The system needs to be modernized so that all users of the broadband networks are assessed for contributions to the Fund.
USF Contributions Resources
The Critical Need for Universal Service Fund Contributions Modernization – WTA’s two-page issue brief on the need for USF contributions modernization for policymakers – updated June 2024
Latest Advocacy
- WTA and ABC Coalition Petition for Reconsideration of forbearance from assessing broadband for contributions to USF in Open Internet Order – filed June 21, 2024
- Industry Notice of Ex Parte with office of Chairwoman Rosenworcel – April 1, 2024
- Industry Notice of Ex Parte with office of Commissioner Carr – April 4, 2024
- WTA Notice of Ex Parte with office of Commissioner Gomez – April 17, 2024
- WTA statement on “missed opportunity” in Open Internet proceeding – April 25, 2024
Further Notice and Proposed Rulemaking on USF Contributions Reform – adopted April 27, 2012
- Rural Associations’ comments on Contributions Reform FNPRM – filed July 9, 2012
- Rural Associations’ reply comments on Contributions Reform FNPRM – filed August 6, 2012
Materials for Policymakers
WTA statement on introduction of S. 3321, the Lowering Costs for Broadband Consumers Act – released November 16, 2023
WTA responds to inquiry from USF Working Group – August 25, 2023
WTA Statement on Senate Commerce Committee approval of the Fair Contributions Act – released May 11, 2022
Letter to Policymakers on USF Modernization – released February 14, 2021
Watch a short video produced by CoBank explaining the need for USF contributions modernization.
USForward: FCC Must Reform USF Contributions – A report by Mattey Consulting, LLC
