Universal Service Fund (USF) is threatened by mismanagement and c...
Universal Service Fund (USF) is threatened by mismanagement and confusion of assistance to schools and libraries with traditional function of reaching underserved markets, executives of small telcos said Tues. “There’s a cancer in USF called USAC [Universal Service Administrative…
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Corp.],” said A.J. Passarella of Loretto (Tenn.) Telephone Co. National Exchange Carriers Assn. owns USAC but has no control, said NECA board member Robert Eddy of Sherburne County (Minn.) Telephone Co. “I'm not sure who does.” He said wireless carrier claiming USF payments reported number of lines in county almost equal to population and after being challenged shifted thousands of those lines to another county. Overall, unequal USF burdens and benefits favor wireless carriers and burden rural telcos, said Eddy and Wheat State Telephone’s (Kan.) Archie Macias. Passarella said school districts received USF money for poor schools, shifted purchased resources to rich ones, then got more funds for poor schools.