FCC Encyclopedia

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Lifeline is a government benefit program supported by the Universal Service Fund that provides a discount on phone service for qualifying low-income consumers. Lifeline helps ensure that eligible consumers have the opportunities and security that phone service brings, including being able to connect to jobs, family, and emergency services.    

The Lifeline program is available to eligible low-income consumers in every state, territory, commonwealth, and on Tribal lands. Consumers with proper proof of eligibility may be qualified to enroll.  To participate in the program, consumers must have an income that is at or below 135% of the federal Poverty Guidelines or participate in a qualifying state, federal or Tribal assistance program.

To participate in the program, consumers must either have an income that is at or below 135% of the federal Poverty Guidelines or participate in one of the following assistance programs:

• Medicaid;
• Supplemental Nutrition Assistance Program (Food Stamps or SNAP);
• Supplemental Security Income (SSI);
• Federal Public House Assistance (Section 8);
• Low-Income Home Energy Assistance Program (LIHEAP);
• Temporary Assistance to Needy Families (TANF);
• National School Lunch Program's Free Lunch Program;
• Bureau of Indian Affairs General Assistance;
• Tribally-Administrered Temporary Assistance for Needy Families (TTANF);
• Food Distribution Program on Indian Reservations (FDPIR);
• Head Start (if income eligibility criteria are met); or
• State assistance programs (if applicable).

Federal rules prohibit eligible low-income consumers from receiving more than one Lifeline discount per household.  An eligible consumer may receive a discount on either a wireline or wireless service, but not both.  A consumer whose household currently is receiving more than one Lifeline service must select a single Lifeline provider and contact the other provider to de-enroll from their program. Consumers violating this rule may also be subject to criminal and/or civil penalties.

The Lifeline program is administered by the Universal Service Administrative Company (USAC).  USAC is responsible for data collection and maintenance, support calculation, and disbursement for the low-income program.  USAC’s website provides information regarding administrative aspects of the low-income program, as well as program requirements.

On January 31, 2012, the Commission adopted comprehensive reform and modernization of the Lifeline program.   As a universal service program that fulfills Congress’s mandate to ensure the availability of communications to all Americans, Lifeline for the past 25 years has helped tens of millions of low-income Americans afford basic phone service.  Access to telephone service is essential for finding a job, connecting with family, or getting help in an emergency, and the percentage of low-income households with phone service has increased from 80% in 1985, when Lifeline began, to nearly 92% last year.

Highlights of FCC’s Lifeline reforms :

Changes to eliminate waste, fraud, and abuse, saving up to $2 billion over 3 years

• Setting a savings target of $200 million for 2012, and putting the Commission in a position to adopt an appropriate budget for the program in early 2013 after review of a six-month report and one-year report on the effects of the Order.
• Creation of a National Lifeline Accountability Database to prevent multiple carriers from receiving support for the same subscriber.  The database will build on FCC efforts in 2011 that eliminated nearly 270,000 duplicate subscriptions in 12 states following review of over 3.6 million subscriber records, saving $33 million.
• Creation of eligibility databases from governmental data sources, enabling fully automated verification of consumers’ initial and ongoing Lifeline eligibility.  This would reduce the potential for fraud while cutting red tape for consumers and providers.  A database based on the three most common federal benefit programs through which consumers qualify for Lifeline will be created no later than the end of 2013.
• Establishing a one-per-household rule applicable to all providers in the program, defining household as an “economic unit” so that separate low-income families living at the same address can get connected.
• Establishing clear goals and metrics to measure program performance and effectiveness.
• Phasing out support for services such as Toll Limitation – subsidies to carriers for blocking or restricting long-distance service—and ending Link Up – subsidies to carriers for initial connection charges. Link Up will continue in Tribal lands.
• Reducing burdens on carriers by establishing a uniform, interim flat rate of reimbursement, allowing carriers to obtain a subscriber’s signature electronically, and streamlining enrollment through uniform, nationwide eligibility criteria.

Modernizing Lifeline

• Adopting an express goal for the program of ensuring availability of broadband for all low-income Americans.
• Establish a Broadband Adoption Pilot Program using up to $25 million in savings from other reforms to test and determine how Lifeline can best be used to increase broadband adoption among Lifeline-eligible consumers. Starting this year, the program will solicit applications from broadband providers and will select a number of projects to fund. Lifeline will help reduce the monthly cost of broadband service, but applicants will be expected to help address other challenges to broadband adoption, including the cost of devices and digital literacy.
• Proposes increasing digital literacy training at libraries and schools. A Further Notice of Proposed Rulemaking seeks comment on using savings from other Universal Service Fund reforms to increase digital literacy training at libraries and schools, a key step in increasing broadband adoption.
• Build on FCC efforts to close the broadband adoption gap and address digital literacy, including the Connect-to-Compete initiative, which enlists government, non-profit, and private sector leaders to address broadband adoption barriers through digital literacy training and low-cost broadband availability.
• Allow Lifeline support for bundled services plans combining voice and broadband or packages including optional calling features.

Daily Releases

• PR Wireless Public Notice: 8/20/2012
  The Wireline Competition Bureau (Bureau) seeks comment on a petition filed by PR Wireless, Inc. d/b/a/ Open Mobile (PR Wireless) requesting a waiver of the recertification requirement in the Lifeline Reform Order for subscribers enrolled between January 1, 2012 and June 1, 2012. Specifically, PR Wireless argues that its subscribers enrolled between January, 1, 2012 and June 1, 2012 have already demonstrated eligibility, viewed disclosures and made certifications as part of the process in Puerto Rico and that these disclosures and certifications meet nearly all of the requirements of sections 54.410(d) and (f). PR Wireless asserts that subscriber confusion and attrition will result if its waiver request is not granted.
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• Airvoice Wireless Public Notice: 8/16/2012
  The Wireline Competition Bureau seeks comment on ETC Petition filed by Airvoice Wireless.
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• ETC Designation of T-Mobile and NTCH Order: 8/16/2012
  The Wireline Competition Bureau conditionally granted petitions of T-Mobile USA, Inc. and NTCH, Inc. for designation as ETCs.
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• SI Wireless Public Notice: 8/10/2012
  The Wireline Competition Bureau seeks comment on an ETC Designation Petition filed by SI Wireless for the provision of Lifeline service in Tennessee.
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• TracFone, Smith Bagley and I-Wireless Public Notice: 8/10/2012
  The Wireline Competition Bureau seeks comment on petitions filed by TracFone, Smith Bagley and i-wireless seeking declaratory ruling or waiver from the recertification requirement for Lifeline in the Commission’s rules.
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• Birch Communications, Boomerang Wireless, IM Telecom, Q Link Wireless and Tag Mobile Public Notice: 8/8/2012
  In this Public Notice, the Wireline Competition Bureau approves compliance plans for participation in the Lifeline program by Birch Communications, Boomerang Wireless, IM Telecom, Q Link Wireless, and TAG Mobile.
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• Utphone Public Notice: 8/8/2012
  In this Public Notice, the Wireline Competition Bureau seeks comment on UTPhone Inc.’s petition for waiver of the Commission’s Link Up rules.
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• Tracfone Public Notice: 8/7/2012
  In this Public Notice, the Wireline Competition Bureau seeks comment on a request to include the Children’s Health Insurance Program (CHIP) in the list of programs which qualify households for Lifeline under the Commission’s rules.
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• Lifeline Program Savings Public Notice: 7/31/2012
  In this report, the Wireline Competition Bureau (Bureau) provides an update on the implementation of the major reforms adopted by the Commission in the Lifeline Reform Order and the progress made towards the Commission’s $200 million savings target for 2012. The Bureau estimates that the reforms have already generated approximately $42.75 million in savings to the Universal Service Fund (Fund) thus far in 2012 compared to what would have been distributed to Eligible Telecommunications Carriers (ETCs) in the absence of reform. These savings were generated by continuing in-depth data validations (IDVs) to check for and eliminate duplicative Lifeline support, eliminating Link Up support on non-Tribal lands and on Tribal lands for Lifeline-only ETCs, and capping support for Toll Limitation Service (TLS). Based on these savings and anticipated savings in the second half of the year, the Bureau anticipates the reforms will yield at least $200 million in savings to the Fund for 2012.
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• Birch, Blue Jay, EZ Reach, Linkup Telecom, Tele Circuit Network and You Talk Mobile Public Notice: 7/11/2012
  Wireline Competition Bureau seeks comment on petitions filed by Birch, Blue Jay Wireless, EZ Reach Mobile, Linkup Telecom, Tele Circuit Network Corporation and You Talk Mobile-Federal for designation as eligible telecommunications carriers.
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• TracFone Public Notice: 7/9/2012
  The Wireline Competition Bureau seeks comment on a petition filed on May 30, 2012 by TracFone Wireless (TracFone) to require eligible telecommunications carriers (ETCs) to retain documentation of program-based eligibility. In its petition, TracFone requests that the Commission require all ETCs to retain a copy of the underlying documentation used to determine program-based Lifeline eligibility for at least three years following receipt of such documentation. TracFone states that the recently-adopted rule, 47 C.F.R § 54.410(c)(1)(i)(B), which requires ETCs to review subscriber documentation prior to enrollment, does not sufficiently protect against waste, fraud, and abuse.
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• Hopi Telecommunications, Inc., Order: 6/29/2012
  The Wireline Competition Bureau grants a request for a limited extension of time to Hopi Telecommunications, Inc. to submit an application to participate in the Commission's broadband adoption pilot program for low-income consumers.
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• District of Columbia PSC Waiver Order: 6/20/2012
  The Wireline Competition Bureau releases an order granting a petition filed by the Public Service Commission of the District of Columbia (DC PSC) on behalf of itself and the District Department of the Environment (DDOE) for waiver from 47 C.F.R. § 54.410(d) of the Commission’s rules adopted in the Lifeline Reform Order.
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• i-wireless, LLC Order: 6/12/2012
  In this Order, the Wireline Competition Bureau conditionally grants the Amended i-wireless ETC Petition and the Amended Cricket ETC Petition for the purpose of providing Lifeline services in certain states.
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• The Compliance Plan of NTCH, Inc. Public Notice: 6/11/2012
  Wireline Competition Bureau approves the compliance plan for participation in the Lifeline program of NTCH, Inc. NTCH, a facilities based carrier, was conditionally granted forbearance from the service area redefinition requirement.
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• Lifeline Waiver Order: 5/31/2012
  The Wireline Competition Bureau releases an order granting in part and denying in part four separate petitions filed by US Telecom, California, Oregon and Colorado seeking permanent or temporary waiver of the various rules adopted in the Lifeline Reform Order.
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• American Broadband & Telecom., Budget Prepay, Consumer Cellular, Global Connection, Terracom and Total Call Public Notice: 5/25/2012
  Wireline Competition Bureau approves compliance plans for participation in the Lifeline program by American Broadband & Telecommunications, Budget PrePay, Consumer Cellular, Global Connection, Inc. of America, TerraCom and Total Call.
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• USF/ICC Transformation Third Order on Reconsideration: 5/14/2012
  The Commission reconsiders and clarifies certain aspect of the USF/ICC Transformation Order in response to various petitions for reconsideration and/or clarification. The Commission addresses certain aspects of ETC reporting obligations, support adjustments for carriers with artificially low local rates, and issues related to support for carriers serving Alaska. The Commission also denies two requests related to intercarrier compensation.
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• Public Notice Seeking Comment on California Public Utilities Commission: 5/4/2012
  The Wireline Competition Bureau releases a Public Notice seeking comment on a petition filed by the California Public Utilities Commission seeking a waiver from Section 54.410 of the rules adopted in the Lifeline Reform Order.
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• Webinar Public Notice: 5/4/2012
  On May 14, 2012, from 2:00 p.m. to 4:00 p.m., Eastern Daylight Time, the Federal Communications Commission’s Wireline Competition Bureau (Bureau) will hold a webinar to discuss the Broadband Adoption Lifeline Pilot Program. The Bureau encourages virtual participation and will take questions from remote participants. The Webinar will feature short presentations by three experts who specialize in project design of field experiments, and a discussion by the experts on designing pilot projects for the Broadband Adoption Pilot Program. In addition, staff from the Bureau will be available to answer questions regarding the application procedures for entities interested in filing applications to participate in the Broadband Adoption Pilot Program. Applications are due July 2, 2012.
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• Public Notice Seeking Comment On State Waiver Petitions: 5/4/2012
  The Wireline Competition Bureau releases a Public Notice seeking comment on petitions filed by state commissions seeking a waiver from the uniform eligibility criteria adopted in the Lifeline Reform Order.
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• Public Notice Seeking Comment on USTelecom Petition for Waiver : 5/1/2012
  The Wireline Competition Bureau releases a Public Notice seeking comment on a petition filed by USTelecom seeking a temporary waiver of sections 54.407(d), 54.410(b)(2), 54.410(c)(2) adopted in the Lifeline Reform Order. Comments are due May 15, 2012.
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• Public Notice Released Regarding Effective Dates of Certain Lifeline Rules Approved by OMB: 5/1/2012
  The Wireline Competition Bureau releases a Public Notice announcing the effective dates of certain rules established in the Lifeline Reform Order which were approved by the Office of Management and Budget.
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• Lifeline Pilot Program Application Procedures and Deadline Public Notice: 4/30/2012
  The Wireline Competition Bureau released a Public Notice setting forth the application procedures and deadline of July 2, 2012, for applicants to submit proposed pilot projects for offering discounted broadband service.
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• Q Link Wireless, Total Call Mobile and True Wireless Public Notice: 4/27/2012
  Wireline Competition Bureau seeks comment on petitions for designation as an eligible telecommunications carrier filed by Q Link Wireless, Total Call Mobile and True Wireless.
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• Opposition Dates Set for Lifeline Order Reconsideration Petitions Public Notice: 4/25/2012
  On April 5, 2012, the Consumer and Governmental Affairs Bureau released a Public Notice listing petitions for reconsideration of the Commission’s Lifeline Reform Order. The Public Notice was subsequently published in the Federal Register and the Wireline Competition Bureau issues this Public Notice listing May 7, 2012 and May 15, 2012 as the dates in which parties must file oppositions and replies, respectively.
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• T-Mobile, Kajeet, Tag Mobile, Telrite and Global Connection Public Notice: 4/10/2012
  Wireline Competition Bureau seeks comment on petitions for designation as an eligible telecommunications carrier filed by T-Mobile, kajeet, Inc., TAG Mobile, Telrite Corp., and Global Connection, Inc. of America.
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• Lifeline Reform Guidance Regarding the Effective Date Public Notice: 3/29/2012
  The Wireline Competition Bureau provides guidance regarding the effective date of the $9.25 flat rate on non-Tribal lands.
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• USTelecom et al Public Notice: 3/9/2012
  The Wireline Competition Bureau (Bureau) seeks comment on a Petition for Waiver and Clarification of the Commission’s Lifeline Reform Order filed by the United State Telecom Association, the Independent Telephone and Telecommunications Alliance, the National Telecommunications Cooperative Association, the Organization For the Promotion and Advancement of Small Telecommunications Companies, the Western Telecommunications Alliance, and the Eastern Rural Telecom Association (collectively “USTelecom et al.”) on March 9, 2012. Comments are due March 20, 2012.
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• Comments and Comment Dates Established for Lifeline Public Notice: 3/6/2012
  Wireline Competition Bureau sets the comment cycle for Lifeline Further Notice of Proposed Rulemaking, released Feb. 6, 2012.
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• Guidance for the Submission of Compliance Plans Public Notice: 2/29/2012
  The Wireline Competition Bureau provides guidance on the compliance plans that must be submitted to the Bureau by carriers seeking to avail themselves of the Commission’s conditional grant of forbearance in the Lifeline Reform Order.
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• TracFone Wireless, Inc Public Notice: 2/27/2012
  The Wireline Competition Bureau (Bureau) seeks comment on an Emergency Petition for Declaratory Ruling and Interim Relief filed by TracFone Wireless, Inc. (TracFone) on February 22, 2012. In its petition, TracFone states that it received a letter from the Puerto Rico Telecommunications Regulatory Board (Board), directing TracFone to de-enroll, as of March 1, 2012, certain Lifeline subscribers found by the Board to be receiving duplicative Lifeline benefits. TracFone notes that a second letter directed the company to de-enroll, as of April 1, 2012, certain Lifeline subscribers found by the Board to be receiving more than one Lifeline benefit per family unit. According to the petition, de-enrolled subscribers would be barred from re-enrolling in Lifeline for four months following their de-enrollment by the eligible telecommunications carrier (ETC). TracFone asserts that the Board’s process for resolving duplicative Lifeline subscriptions is inconsistent with Section 254 of the Communications Act of 1934, as amended, as well as the Commission’s Lifeline Reform Order.TracFone requests that the Commission issue an order concluding that the Board’s directives to TracFone and other ETCs are unlawful, and the Commission should preempt the Board’s duplicate resolution process.
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• Cricket Communications, Inc. Order: 2/7/2012
  In this Order, we approve a Compliance Plan submitted by Cricket Communications, Inc. (Cricket) for complying with conditions imposed in the Cricket Forbearance Order.
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• Lifeline Reform Order: 2/6/2012
  The Report and Order comprehensively reforms and begins to modernize the Universal Service Lifeline program. The Order substantially strengthens protections against waste, fraud and abuse and improves program administration and accountability. The Order includes a Further Notice of Proposed Rulemaking on a number of program issues, including the establishment of an eligibility database and using universal service funds to support digital literacy.
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• Virgin Mobile USA, L.P. Public Notice: 2/3/2012
  The Wireline Competition Bureau seeks comment on Virgin Mobile’s petition for Commission agreement with the Kansas State Corporation Commission for redefinition of the service areas of several rural telephone companies.
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• USF/ICC Transformation Public Notice: 2/3/2012
  On January 12, 2012, the Consumer and Governmental Affairs Bureau released a Public Notice listing the 24 petitions for reconsideration of the Commission’s USF/ICC Transformation Order.
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• Virgin Mobile USA, LP Public Notice: 1/23/2012
  Wireline Competition Bureau seeks comment on Virgin Mobile’s petition for forbearance from the service area definition requirement for eligible telecommunications carriers for the limited purpose of participating in the Lifeline program.
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