Latest news with #UniversalServiceFund
Associated Press
29-04-2025
- Business
- Associated Press
Endeavor Communications Engages with Congressional Representatives to Advocate for USF's Critical Role in Providing Americans with Access to Broadband
Cloverdale, IN April 28, 2025 --( )-- Endeavor CEO Darin LaCoursiere met with congressional leaders in Washington, D.C., this week to advocate for the critical role of the Universal Service Fund (USF) in ensuring rural Americans have access to high-quality, affordable broadband services. They also discussed current broadband deployment programs, permitting reform, regulatory burdens and tax legislation. 'Congress plays a critical role in crafting the policies and programs that make it possible for Endeavor Communications to bring quality, reliable, high-speed broadband services to our local community,' said Mr. LaCoursiere. 'We appreciated the opportunity to meet with policymakers to discuss our work and the importance of a sustainable Universal Service Fund.' Mr. LaCoursiere was in Washington from April 27 to 29 to participate in the NTCA 2025 Legislative and Policy Conference. Nearly 500 rural broadband provider representatives from all over the country gathered in the nation's capital for educational briefings about emerging rules and regulations and other industry issues. They also visited policymakers on Capitol Hill and the FCC. Contact Information: Endeavor Communications Mike Harian 800-922-6677 Contact via Email Read the full story here: Endeavor Communications Engages with Congressional Representatives to Advocate for USF's Critical Role in Providing Americans with Access to Broadband Press Release Distributed by
Express Tribune
24-04-2025
- Business
- Express Tribune
Over 37m Pakistanis connected through telecom projects
Listen to article Pakistan's Universal Service Fund (USF) has connected over 37.1 million people and laid 17,200 km of fibre optic cable through 161 projects across the country, said the Minister for IT and Telecommunication, Shaza Fatima. Speaking at the Girls in ICT for Inclusive Digital Transformation event in Islamabad—organised by USF and Jazz in connection with International Girls in ICT Day—Fatima highlighted the programme's role in expanding digital access. 'Our underserved communities are coming online,' she said. 'USF's fibre projects are enabling women, freelancers, and entrepreneurs to participate in the digital economy and drive innovation.' The minister said that 4,400 telecom sites have been deployed nationwide, strengthening connectivity for millions. Prime Minister Shahbaz Sharif has allocated Rs. 23 billion to the fund this year, further reinforcing the government's push for digital inclusion. Fatima also noted past efforts under Shahbaz Sharif's tenure, including the distribution of 1.2 million laptops and freelancing training for 4.5 million people via the DG Skills Programme. 'We need all of you—as mentors, investors, role models, and allies—to accelerate this momentum,' she told the audience. USF CEO Mudassar Naveed reiterated the organisation's commitment to 'connecting the unconnected.' He said no new projects were launched in the past two years to prioritise timely completion of existing ones. However, technical groundwork for upcoming projects has been finalised under the direction of the IT ministry and USF board. 'Each village that comes online opens doors to global education, jobs, and community,' Naveed said. USF has now issued tenders for 16 new projects. Cities including Sialkot, Sanghar, Jhang, Sajawal, and Tando Muhammad Khan will be connected to high-speed fibre networks. In addition, Next Generation Broadband for Sustainable Development (NG-BSD) projects will target areas such as Badin, Abbottabad, Kalat, Gujranwala, Mandi Bahauddin, and Khuzdar, while smaller NG-BSD projects will extend services to districts including Sargodha, Haripur, Sheikhupura, and Mansehra.
Express Tribune
27-03-2025
- Business
- Express Tribune
Telecom fund utilisation stalls
Chinese authorities have raised the issue of lack of access to telecommunication services in Gwadar. PHOTO: FILE Listen to article Though the Universal Service Fund (USF) has received billions of rupees from telecom firms, it has failed to start a single project to enhance internet connectivity in Pakistan's remote and deprived areas. The situation has worsened as no representative from telecom operators has been appointed to the USF board of directors in the past two years. For years, telecom operators have contributed billions of rupees to the USF and Ignite, however, there are no visible signs of how these funds have been utilised in the recent past. The government's reluctance to appoint industry representatives to the USF and Ignite boards reflects misaligned priorities, stalled progress and a lack of transparency. Sources told The Express Tribune that the total revenue of telecom companies over the last two years was around Rs1,771 billion. Of this, they contributed 1.5%, or around Rs26 billion, to the USF without revenue adjustment. Telecom operators contribute 1.5% to the USF, 0.5% to Ignite and 0.5% to the Pakistan Telecommunication Authority (PTA). "We can safely claim a contribution of Rs20 billion to the USF over two years," industry officials said, arguing that despite receiving a hefty amount, the USF has not initiated a single project during this period. To make matters worse, the telecom operators have had no representatives on the USF and Ignite boards of directors for the past two years. This shift is deeply concerning as these organisations were initially set up to function with industry expertise to ensure proper infrastructure and digital skill investments. Industry officials said that telecom operators play a crucial role in network expansion, innovation and service delivery and their exclusion from key decision-making forums could result in inefficiencies, misaligned policies and stalled digital growth. The absence of board members from cellular mobile operators (CMOs) has left Pakistan's digital future in limbo. According to sources, a significant portion of CMOs' contributions, amounting to around Rs50 billion, remains unutilised in the fund. They pointed out that previously approved projects had been scrapped, further delaying much-needed connectivity improvements in rural and remote areas. Many projects have been shut down due to funding shortages, which raises concerns about financial mismanagement. Since their inception, the USF and Ignite have performed exceptionally well when telecom industry nominees were on their boards. However, now, no CMO nominees are on the USF board as the government cites conflict of interests. Without telecom sector's expertise, decisions are being made by bureaucrats with little understanding of commercial realities, leading to stalled projects. According to industry officials, telecom operators contribute to the USF in Azad Jammu and Kashmir (AJK) and Gilgit-Baltistan (G-B), but these regions continue to suffer from poor network coverage and the lack of service expansion. Challenging geography, low population density and high infrastructure costs make private-sector investment unviable without USF support. USF subsidies are crucial for maintaining connectivity in these areas, but delays in project approvals have left AJK and G-B further isolated. Ignite, responsible for developing digital and IT skills in Pakistan, plays a key role in training youth for global freelancing markets, which helps boost foreign currency inflows. However, its recent stagnation has slowed critical IT development initiatives that could have driven digital exports. It has ignored industry feedback due to the absence of its representation on telecom boards. The lack of industry input could result in missed opportunities in 5G, AI-driven networks, the Internet of Things, cybersecurity and other emerging technologies. It has also failed to make strategic investments in skill-building programmes, hindering Pakistan's global digital competitiveness. Industry officials say the USF was created to bridge the digital divide, but its recent inaction has left millions without reliable connectivity. The absence of CMO representation in both organisations is not just a governance failure; it is seriously harming Pakistan's digital future. Without CMO nominees, projects and priorities risk being disconnected from real-world telecom challenges. The telecom industry has called for immediate appointment of CMO representatives to the USF and Ignite boards to restore industry oversight. Without urgent action, Pakistan could fall further behind in digital infrastructure and IT development, isolating millions and missing out on critical economic opportunities. The telecom sector is willing to invest in the country's connectivity and digital future, but it cannot do so if its contributions remain unutilised or blocked by bureaucratic inefficiencies, industry officials said. When contacted, a USF spokesperson stated that funds were being spent on ongoing projects, which had been 70% completed. Therefore, he added, work on new projects had not been started in the past two years. However, he revealed that some projects have now been submitted to the USF board for approval. Regarding the appointment of telecom operator representatives to the USF board, the spokesperson said that the CEOs of Zong and Ufone had been placed on the board. However, a Zong representative told The Express Tribune that its CEO had not been appointed to the USF board of directors.
Yahoo
26-03-2025
- Business
- Yahoo
Supreme Court leans toward upholding federal internet subsidy program
The Supreme Court leaned toward upholding a $9 billion subsidy program that funds phone and internet services in rural areas and schools during oral arguments Wednesday. The dispute gives the justices an opportunity to examine the so-called nondelegation doctrine, which prevents Congress from delegating its legislative authority to the executive branch. The Supreme Court has not struck down a statute under the doctrine in 90 years, but anti-regulatory groups have hoped the court's conservative supermajority will revitalize it by agreeing that Congress handed the Federal Communications Commission (FCC) too much power in administering the subsidy program, called the Universal Service Fund (USF). At Wednesday's arguments, however, a majority of the nine justices appeared sympathetic toward the government's defense of the setup, including members of both the court's liberal and conservative wings. 'What you're saying is that we should read this statute as expansively as possible to give the agency as much power as it could possibly be viewed as giving, and all in order to, in the end, blow the statute up. And I think that that's just not the right way to think about the interpretation of regulatory statutes,' Justice Elena Kagan pressed the challengers' attorney. Established in 1996, the USF provides billions in annual subsidies to rural and low-income consumers as well as schools, libraries and health care facilities. It is funded by telecommunication companies and is intended to help the FCC accomplish its decades-long aim of providing affordable 'universal service' nationwide. Consumers' Research, a conservative nonprofit, has filed a series of challenges to how Congress allows the FCC to determine how much the companies must contribute to the fund. The commission, in turn, sets the rates based on financial projections from a private company. The 5th U.S. Circuit Court of Appeals ruled that those two factors, together, amounted to an unconstitutional delegation of Congress's lawmaking authority. 'At its heart, this case is about taxation without representation,' Trent McCotter, a partner at Boyden Gray who represented the challengers, told the court. 'Every year, Americans pay billions for the Universal Service Fund,' he continued. The rate has increased ten-fold. The amount collected is now 20 times the size of the FCC's entire annual budget.' Under the nondelegation doctrine, the court has long permitted agencies to exercise significant authority if Congress gave it an 'intelligible principle' to guide its work. The government insists the fund easily meets that standard since Congress included a series of statutory 'principles' the FCC must follow. 'This statute has plenty in it that imposes limits on what the FCC is doing,' Kagan told McCotter. Several of the court's conservatives expressed skepticism at a need to replace the existing standard with a hard numerical cap on the fund contributions. 'It could be very high, and then the question is what exactly are we accomplishing?' said Justice Brett Kavanaugh. Picking up on Kavanaugh's questioning moments later, Justice Amy Coney Barrett later pressed, '$3 trillion or $5 trillion, that's just kind of throwing a number out there for the sake of throwing a number Why have they really set the policy in a way that's meaningfully different than they did in this statute?' Justice Neil Gorsuch, meanwhile, probed the government about the bounds of the FCC's authority by posing a hypothetical of the commission ordering every American be provided access to billionaire Elon Musk's Starlink. Gorsuch suggested taking the government's position meant it would be permitted. 'It sounds like it. It's a pretty good deal. I'd like one,' Gorsuch joked. Acting Solicitor General Sarah Harris repeatedly insisted that Congress imposed sufficient limits on the agency. 'Section 254 is no delegation running riot,' she said. The case is the latest at the Supreme Court to take aim at federal agency power. It comes amid the court's broader assault on the so-called 'administrative state,' including major decisions that eliminated broad deference to agencies and ruled that agencies must have clear authorization when taking actions of great political and economic significance. A decision in the cases, FCC v. Consumers' Research and Schools, Health & Libraries Broadband Coalition v. Consumers' Research, is expected by early summer. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
USA Today
26-03-2025
- Business
- USA Today
Supreme Court seems likely to uphold $8 billion phone and internet subsidy program
Supreme Court seems likely to uphold $8 billion phone and internet subsidy program Show Caption Hide Caption SCOTUS hears case on Louisiana congressional maps Lawyers from Louisiana argued that their new congressional maps are sound under "breathing room" promised by the Supreme Court. WASHINGTON – The Supreme Court on Wednesday seemed likely to uphold an $8 billion program that subsidizes high-speed internet and phone service for millions of Americans, which has been challenged as being funded by an unconstitutional tax. The case raises questions about how much Congress can 'delegate' its legislative authority to a federal agency and whether the Supreme Court should tighten that standard. Under a program Congress created in 1996, telecommunications companies are charged a Universal Service Fund fee – passed on to customers − that boosts phone and internet service to households and hospitals in rural areas, low-income families, and public schools and libraries. A private administrator overseen by the Federal Communications Commission distributes the funding, collects the fees and estimates how much needs to be raised each quarter. The FCC must approve the estimate before it's used to determine the fee for each carrier. Consumers' Research, a conservative group challenging this setup along with a carrier and a group of consumers, argues it's Congress, not the FCC – and certainly not a private entity − that must determine the fee level. 'At its heart, this case is about taxation without representation,' said R. Trent McCotter, the attorney representing the challengers. 'The amount of public revenue to raise is a quintessential legislative determination, not some minor detail to be filled in later.' Both liberal and conservative justices took issue with McCotter's argument that the program would pass muster if Congress merely sets an upper limit on the program, such as $1 trillion. They questioned how meaningful that would be. 'That seems pretty empty,' Justice Amy Coney Barrett said. 'It's just kind of throwing a number out there for the sake of throwing a number. Why have they really set the policy in a way that's meaningfully different than they did in the statute?' McCotter replied that setting a clear boundary would satisfy the constitutional requirement that Congress has the power to tax. But Justice Brett Kavanaugh likewise said it 'wouldn't make a lot of sense' if the court said a $1 trillion limit set by Congress is a constraint but the law's direction to the FCC to raise 'sufficient' funds to achieve universal service is not. Congress can give agencies an 'intelligible principle' Under past Supreme Court decisions, Congress can allow a federal agency to exercise discretion in implementing a law as long as it gives the agency an 'intelligible principle' to follow. Justice Elena Kagan said the principles are clear in this instance. The program has to subsidize services essential to education, public health and public safety. That doesn't mean the FCC can include any services it wants, such as giving everyone Starlink, she said. 'There are constraints on this agency and on their operation of the program,' Kagan said. Challenge is part of an effort to curb the `administrative state' The Supreme Court's conservative supermajority has, in recent years, curtailed executive agencies' authority. And the latest challenge is part of that larger conservative effort to curb the 'administrative state.' But Paul Clement, a former solicitor general for former President George W. Bush who represented users of the program, told the justices this is not the right case to overturn past Supreme Court decisions that set a low bar for the non-delegation rule. 'We all benefit from having a communications system that is truly universal,' he said. 'I may not live in rural Alaska, but it's nice to be able to place a call there.' Consequences are 'really troubling' The Justice Department warned that declaring the funding scheme unconstitutional would jeopardize many other programs. 'The consequences of (the challenger's) position are really troubling,' said Sarah Harris, the department's acting solicitor general, creating a 'minefield for the U.S. code.' The telecommunications law, according to Harris, follows the same delegation framework Congress has used in a range of areas, including to prevent unfair competition, oversee the securities industry, ensure the safety of food and drugs, regulate labor relations and set air-quality standards. Several justices echoed that concern. Justice Samuel Alito said the court wasn't given enough information about the possible impact on other programs. He also said he was 'quite concerned' about what would happen to phone and internet service for people in rural areas if the court says Congress needs to play a more direct role but lawmakers don't follow through. Barrett, likewise, said the consequences could be 'devastating' for the program. McCotter responded that the more justices worry about how significant the program is, the greater the reason Congress should be more involved. A decision is expected by the end of June.
