Sen. Smith (R-Ore.) introduced a universal service fund (USF) ref...
Sen. Smith (R-Ore.) introduced a universal service fund (USF) reform bill similar to one by Rep. Terry (R-Neb.) (HR- 1582). Sources said that Smith’s USF bill, while similar, wasn’t identical to Terry’s, which is designed to spread more evenly…
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USF funding for RBOCs and midsized carriers that serve rural areas (CD April 4 p1). The formula used to distribute the $254 million spreads money to just 7 states, critics said, with more than half going to Miss. A spokesman for Terry said the formula took statewide averages, so states with both urban and rural areas often couldn’t receive USF funding for rural areas. The bill is pushed by Qwest and opposed by both USTA and BellSouth. “Senator Smith’s bill does not address the overarching challenges threatening universal telephone service,” USTA Pres. Walter McCormick said: “This approach picks winners and losers and pits state against state. What is needed is a unifying approach.” BellSouth said the bill didn’t address the crucial question of USF reform: “Where does the money come from? It is the funding side of the universal service equation that is in peril; the distribution side should not be addressed separately.”