Hispanic members of Congress urged Senate Commerce Committee Chmn...
Hispanic members of Congress urged Senate Commerce Committee Chmn. McCain (R-Ariz.) not to support S-1380, the Rural Universal Service Equity Act, because of the effects it could have on Puerto Rico. The members said it would threaten $56 million…
Sign up for a free preview to unlock the rest of this article
Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!
in funding for P.R. Signers of the Sept. 24 letter included: Reps. Acevedo-Villa (D-P.R.), Menendez (D-N.J.), Beccera (D-Cal.), Rodriguez (D-Tex.). S- 1380, sponsored by Sen. Smith (R-Ore.), would create a new formula for calculating distribution of the Universal Service Fund non-rural high-cost fund, which is primarily distributed to Bells and large ILECs. The fund has been controversial because only 8 states receive money from that fund, with the largest amount going to Miss. A similar bill (HR-1582) was introduced in the House by Rep. Terry (R-Neb.). The letter said this change, along with the 1999 FCC decision to alter financial calculations for P.R. resulting in a loss of $40 million in annual support, would “be devastating for Puerto Rican families and businesses.” “Without this support, long- distance rates to and from Puerto Rico will continue to increase, thus creating further economic hardships not only for those living in Puerto Rico but also for their friends and families throughout the Unites States,” the letter said. The letter said a “piecemeal” change to USF, instead of a comprehensive overhaul, would only hurt some states. Dale Curtis, of the Coalition for Equitable & Affordable Rural Service (CLEAR), said there are nearly 3 million Hispanics in the U.S. who don’t benefit from this program as it’s now structured. CLEAR supports the passage of both the Terry and Smith bill. Curtis also said the bill has “hold harmless” clauses that prevent the funding from being drastically reduced to any state or territory. Both the Latino Coalition and the Hispanic Business Roundtable are members of the CLEAR Coalition.