Several telecom companies and associations wrote to House and Sen...
Several telecom companies and associations wrote to House and Senate Commerce Committee members urging a comprehensive approach to universal service fund (USF) reform. The letter specifically targeted USF legislation that would alter distribution of a narrow slice of USF…
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distributions. The letter said the bills (HR-1582 by Rep. Terry (R-Neb.) and S-1380 by Sen. Smith (R-Ore.)) were “too divisive and narrow in their scope.” The legislation would change the distribution equation for a $234 million fund that goes to RBOCs and midsized carriers that serve rural and poor areas. Under the current distribution, Miss. gets more than half of the funds and only 7 other states receive any. The bill is supported by Qwest, which would receive increased funding under the proposed distribution method, and opposed by BellSouth, which probably would lose funding. The letter was signed by USTA, BellSouth and several smaller telecom firms.