Would Means-Testing Bring More Efficiencies to the High-Cost Program?

The American people rightfully expect that all federal programs operate as efficiently as humanly possible and are targeted to help those truly in need. As Commissioners at the Federal Communications Commission, we have an obligation – as stewards of federal programs funded by monthly fees on American’s communications bills – to improve the functionality and effectiveness of the programs we oversee, including the Federal universal service fund (USF). Failure to do so would waste consumers’ hard-earned income, diverting it from the intended purposes and undermining public confidence in the programs. We should end the practice of spending scarce USF high-cost support to illogically subsidize the cost of communications services for very rich people who happen to live in the more rural portions of our nation. Because of our budgetary constraints, each dollar spent subsidizing service unnecessarily is a dollar that is not being used to help bring broadband to unserved Americans, particularly those who cannot afford the full cost of service. We seek comment on whether, and if so how, to implement means-testing within the high-cost universal service program.