Carriers would have to pay 12.3 percent of their long-distance re...
Carriers would have to pay 12.3 percent of their long-distance revenue to the Universal Service Fund in the fourth quarter, if the FCC adopts the contribution factor proposed Monday. The figure is 0.6 percentage points less than this quarter’s…
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12.9 percent, a record-setting figure that elicited alarm and outrage (CD July 31 p5) from state consumer advocates and carriers advocating USF reform. The Universal Service Administrative Co. said it would need to collect $1.86 billion from carriers in Q4. To set the carrier “contribution factor,” the commission divides the amount needed by projected carrier revenue. Of $2 billion in anticipated USF support, about $1.15 billion is projected for the rural high-cost program, $542.2 million for the E-rate program, $261.7 million for low-income support and $53.4 million for the rural health-care program.