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AGE STUDY: FCC WASTES UP TO $24,000 PER LINE A YEAR ON PHONE SUBSIDIES GOING INTO HIGH-INCOME AREAS AROUND U.S.

MOVE OVER “OBAMA PHONE”:  FCC WASTES UP TO $24,000 PER LINE A YEAR ON PHONE SUBSIDIES GOING INTO HIGH-INCOME AREAS AROUND U.S.

“Poster Child for Federal Waste”:  Amidst General Concern About Federal Phone Subsidies, Epic Waste Seen in Universal Service Fund’s Connect America Fund, (Previously the Aptly Named “High-Cost Fund”):  Worst Abuses Seen in AK, AZ, CO, HI, MI, OK, TX, and WA.

WASHINGTON, D.C.//July 10, 2013///Even as substantial media attention focuses on expenditures on the so-called “Obama phone” for eligible low-income Americans, a new report shows far bigger problems in the Federal Communication Commission’s Universal Service Fund (USF), particularly the $4.5 billion now being lavished on the USF Connect America Fund – previously known as the “High-Cost Fund” (HCF) — intended for remote rural areas, but actually spending up to nearly $24,000 per line per year for phone service in such areas as the Hawaiian island of Maui, the Breckenridge, CO. resort area, and mansion-lined gated golf communities outside of Scottsdale, AZ. The new study, “Unrepentant Policy Failure: Universal Service Subsidies in Voice & Broadband,” is the work of George Mason University Professor Thomas Hazlett, a former chief economist at the FCC, and Scott J. Wallsten, former economics director for the FCC’s National Broadband Plan and now vice president for research and senior fellow, Technology Policy Institute, and senior fellow, Georgetown University Center for Business and Public Policy …

See our YouTube video on this topic:  https://www.youtube.com/watch?v=sL6tDcIPHGI

Read the news release:  AGE Study on USF Waste

Review the Hazlett-Wallsten study:  https://www.box.com/s/ajq5ih5tzlgz3zi1r32w

Review the appendices to the Hazlett-Wallsten study:  https://www.box.com/s/k0ry3zs9suvirs2wpcp1

Listen to the 7/10/13 news conference.  http://www.hastingsgroupmedia.com/AGE/071010hazlettreport.mp3

  1. Craig - Dec 15th, 2013

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