Federal Universal Service Fund ( USF ) – What is it?
The FCC has established a fund that is used to fund multiple programs that are for the public good. The funding goes to four general umbrella programs:
- Low Income: assists low-income customers by helping to pay for monthly telephone charges as well as connection charges to initiate telephone service.
- Rural Health Care: allows rural health care providers to pay rates for telecommunications services similar to those of their urban counterparts, making telehealth services affordable.
- Schools and Libraries provides telecommunication services (e.g., local and long-distance calling, high-speed lines), Internet access, and internal connections (the equipment to deliver these services) to eligible schools and libraries.
- High Cost: provides support to certain qualifying telephone companies that serve high-cost areas, thereby making phone service affordable for the residents of these regions.
What is the (Federal) Universal Service Fund charge on my bill?
Twigby is required to pay into this fund based on the eligible usage, charges, and services subscribed to or consumed by our customers. As allowed by regulations, Twigby generally recovers this mandated contribution through a charge on customer statements. It shows up on our statements as “FEDERAL UNIVERSAL SERVICE FUND”.
Is the charge the same each month?
The amount will likely vary based on your plan selections, internal rate and consumption studies, changes in eligible services, as well as the rate charged on the eligible services and products.
State USF Funds?
Each state may have a separate USF fund that has its own rules, charges, uses, and other criteria which may not be related to the Federal USF program.