Friday, November 08, 2019

A Reasonable Revision to the Lifeline Postponement Request

Back in June 2019, I posted a blog, "A Reasonable Lifeline Postponement Request," supporting a petition filed by CTIA and some public interest organizations asking the FCC to postpone an impending FCC deadline that, if implemented, may have adversely impacted Lifeline customers by constraining the flexibility of service providers to tailor offerings in an affordable way to meet Lifeline customers' demands. 

Specifically, the petition asks the Commission to stay implementation of the December 1, 2019 (1) increase in the minimum required broadband data usage allowance from 2 GB to 8.75 GB, and (2) the phase-down in support for voice services in the Lifeline program. The petition asks for the postponement until the Commission can consider the Wireline Competition Bureau’s State of the Lifeline Marketplace Report, due to be completed by June 30, 20121.

Now, TracFone, a major provider of Lifeline services, has proposed that the Commission increase the minimum service standard for mobile wireless data to 3 GB per month until the Commission has an opportunity to evaluate the appropriate level of the minimum service standard in the State of the Lifeline Marketplace Report, which it suggests the FCC place on an accelerated timeline for completion.

On November 5, CTIA filed an ex parte letter with the Commission endorsing TracFone's compromise proposal as "a rational means for the Commission to continue to increase the minimum service standards while taking care to avoid unintended consequences for millions of Lifeline eligible low-income consumers."

I agree. The FCC is right to continue its focus on ensuring that the Lifeline program is run as efficiently as possible and as free from abuse and waste as possible. At the same time, the program serves as a "safety net" for low income consumers, and the Commission should take care that any proposed changes in minimum service standards don't reduce the effectiveness of the program for its intended beneficiaries.