The Universal Service Fund high-cost program has an unacceptably ...
The Universal Service Fund high-cost program has an unacceptably high rate of erroneous payments, said the FCC Office of Inspector General in a Wednesday report on the IG’s second round of USF audits. After studying USF high-cost distributions, the…
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OIG estimated that the high-cost program’s erroneous payment is 23.3 percent, resulting in $971.2 million in improper payments, the FCC said. A program is considered to be “at risk” if the rate exceeds 2.5 percent. The OIG report looked at 384 audits of high-cost recipients performed by commercial audit firms contracted and managed by the Universal Service Administrative Co. with FCC OIG oversight. The commission is collecting industry feedback on how to improve USF management and administration. In comments last week, USF payers and recipients said they wanted more clarity, administrative efficiency and audit consistency (CD Nov 17 p6).