Last week, NDIA joined our partners—the Benton Institute for Broadband & Society, Media Justice, and the Schools, Health & Libraries Broadband (SHLB) Coalition and filed a brief with the U.S. Supreme Court calling on the court to preserve the Federal Communications Commission’s (FCC) Universal Service Fund (USF).
The FCC manages and sets policy for the USF and its programs to support the achievement of the “Universal Service” principle—that all Americans should have access to communications service —Congress outlined in the Communications Act of 1934. The USF aims to ensure this universal service is achieved and does so via four main programs:
- Lifeline – Discount to low-income households for telephone and internet
- E-Rate – Discounted internet access for schools and libraries
- High Cost – Subsidizes internet service providers (ISPs)in rural areas
- Rural Health Care – Discounts internet service for rural health care providers. The fund sustains these programs by collecting fees from providers who provide interstate, long-distance services.
Over the past few years, Consumers Research has filed several court cases in lower courts questioning the USF’s constitutionality and the FCC’s authority to administer it. Together, NDIA, Media Justice, and the Benton Institute for Broadband & Society were intervenors in one of those cases—meaning we joined the case as a third party. USF is essential to NDIA’s 1900+ affiliates. If dismantled, it would severely and negatively affect connectivity across the United States.
The Supreme Court combined two of the court cases heard in the lower courts into one case (24-354)and will hear oral arguments for it (likely in March or April). They’re accepting ‘briefs’ until mid-February (i.e., documents attorneys submit to the court that outlines the party’s arguments, evidence, and legal reasoning that the court reviews prior to hearing a case), addressing the issues brought up in each case. After hearing the case, the Supreme Court will likely issue a decision sometime in May or June.
“The National Digital Inclusion Alliance (NDIA) is honored to jointly file this brief with our public interest partners in support of preserving the Universal Service Fund (USF). NDIA’s 1900+ affiliates work tirelessly to ensure their community members can apply for jobs, take classes from home, talk to their doctors virtually, and stay connected with their loved ones. Without the USF, more residents will be left on the wrong side of the digital divide, reducing the US’ ability to compete in a global economy.”
Amy Huffman
Policy Director, NDIA
The key questions before the Court are whether the FCC has the authority to administer the USF and whether the current scope of that authority is constitutional. In our brief, NDIA and our partners argue that 1) Congress provided clear statutory direction authorizing the FCC via the 1996 Telecommunications Act to administer the USF programs and 2) the programs benefit all facets of American life—from the business community to the education sector. USF is critical to fulfilling national priorities for economic competitiveness, education, and healthcare.
Modernizing the USF and its programs is one of NDIA’s 2025 policy priorities, and we urge the 119th Congress to continue the work the 118th Congress began in passing legislation to modernize it. NDIA previously submitted comments to the Bi-Partisan, Bi-Cameral USF working group led by Senator Lujan and Senator Thune.
We’ll share more updates and information as the case progresses and we learn more. And for all you lawyers and Supreme Court watchers out there, you can download our full brief through the button below.