Jeff
Yes and No!
The Act requires all Telecommunications companies to pay into the fund which is redistributed by Universal Service Administrative Company. This is a private company not a branch of the Govt. (There's your NO)
The communications companies add a fee to every bill that covers their part to the fund. If you have a cell phone, home phone, cable or internet most of those companies add this fee. (there's your YES)
But it is not anything new.
As for the recent increase, in part.... started in 2011 because Internet was added to the fees.
This program is what funds some poor communities schools and libraries as well as the individuals that qualify for a variety of services including phones and the internet.
I don't really get all the hub bub about it. Or the blame game. I'm not a Democrat nor a Republican I hate both parties equally. Which is why I usually stay off this board.
Call it whatever you want...
Obama-net coming soon to a school near you!
The Universal Service Administrative Company (USAC) is an independent American nonprofit corporation designated as the administrator of the federal Universal Service Fund (USF) by the Federal Communications Commission. USAC is a subsidiary of the National Exchange Carrier Association. The USAC administers USF programs by providing subsidies for high cost telephone companies serving rural areas, low-income consumers, rural health care providers, and schools and libraries.
USAC has more than $26.2 billion in E-Rate funding commitments and $17.9 billion in E-Rate funding disbursements issued to schools and libraries nationwide through the E-Rate program since 1998.[1] USAC collects contributions from telecommunications providers and distributes more than $7.5 billion annually. It is governed by a board of directors representing various stakeholder interests and carries out rules adopted by the FCC. The company has 243 employees.[2]