Tech & Telecom Law News

Senators Urge FCC to Drop Proposed Broadband Subsidy Funding Cap

Sept. 19, 2019, 8:02 PM

The Federal Communications Commission should scrap plans to cap a fund that helps subsidize phone and broadband internet service, 30 Democratic senators said in a Sept. 19 letter to agency Chairman Ajit Pai.

The commission is considering limits to its $11.4 billion Universal Service Fund, which pays for programs that support broadband expansion in rural areas, schools and health care centers, and offers phone discounts for low-income consumers.

Pai has said setting an overall funding cap would encourage smarter spending of limited federal subsidies. The Democratic lawmakers said the proposed cap would force USF recipients to compete for funding.


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