General

FCC Commissioner Mignon Clyburn has penned an op-ed for Multichannel News on the need to reform the Commission’s Lifeline program. An excerpt:

The FCC’s Lifeline program, originally established in 1985, was designed to ensure that Americans have universal access to telephone service because it was found that such access was “crucial to full participation in our society and economy, which are increasingly depending upon the rapid exchange of information.” The FCC emphasized at the time that its “responsibilities under the Communications Act require us to take steps … to prevent degradation of universal service and the division of our society …  into information ‘haves’ and ‘have nots.’ ”

Today, a full three decades after the creation of Lifeline, the program still only funds voice service. It has been stuck in a bygone era since its inception and is in need of serious reform.

Commissioner Clyburn goes on to list her recommendations for reform, which include:

• Establishing minimum service standards for any provider that receives a Lifeline subsidy. This will ensure that we get the most value for each universal service dollar spent and better service for Lifeline recipients.

• Relieving providers of responsibility for determining customer eligibility. Lifeline is the only federal benefit program I know of where the provider determines the consumer’s eligibility. That must cease. For providers, this change would yield significant administrative savings, and for consumers, it would bring dignity to the program experience.

• Leveraging efficiencies from existing programs. A coordinated enrollment system would allow customers to enroll in Lifeline at the same time that they apply for other benefit programs; and

• Instituting public-private partnerships and coordinated outreach efforts. The lack of a centralized effort is leaving too many who qualify behind.

Commissioner Clyburn’s recommendations dovetail nicely with IIA’s own assessment of how best to bring Lifeline into the digital age. As we outlined in our white paper “Bringing the FCC’s Lifeline Program Into the 21st Century,” there are four key steps the FCC should make:

• Bring the Lifeline Program into the 21st Century by making broadband a key part of the program’s rubric;

• Empower consumers by providing the subsidy directly to eligible people instead of companies;

• Level the playing field between service providers to broaden consumer choice and stimulate competition for their purchasing power;

• Safeguard and simplify the program by taking administration away from companies that are not accountable to the American public, instead vesting that governmental responsibility with an appropriate government agency.