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NaLA releases findings from 2022 Annual Consumer Survey

Results from more than 60,000 respondents indicate that consumers need affordable access to mobile wireless voice and broadband services to participate equally in all facets of daily life

NaLA’s Annual Survey of Lifeline and Affordable Connectivity Program subscribers – conducted between November 21 and December 8, 2022 provides insights into consumer demographics and experiences with FCC internet subsidy programs.

The survey results indicate that low-income consumers use Lifeline and/or ACP service to connect to family and to access other government programs, healthcare, jobs and online education.

2022 Key Takeaways

Consumers want and need mobile wireless: More than half of those surveyed said they would choose to have mobile and fixed broadband service if they could afford both, but 43% said mobile wireless services best meet their household needs. Only 2.5% of those surveyed say fixed broadband alone would suffice.
Voice, text and data are all essential. While nearly 80% of consumers surveyed value access to voice, text and data equally, consumers indicated making and receiving calls as the most important form of communication.
Consumers want choice and control of their benefits. More than 90% of those surveyed prefer having the ability to combine Lifeline and ACP support in order to get more robust benefits. This practice is currently prohibited in the state of California, but it’s clear consumers prefer to have the ability to combine benefits.
Low-income consumers need affordable access to more mobile broadband than they currently use on limited plans and budgets. More than 90% of consumers throttle their data usage over the course of the month because they cannot afford to purchase more on top of their capped plans.
No co-pay plans are essential to keeping low-income Americans connected. Nearly 95% of Lifeline and ACP subscribers say they cannot afford any additional payments toward wireless and broadband services. Lifeline and ACP are essential to keep low-income Americans connected.
Most Lifeline/ACP subscribers lack access to credit and are unbanked. More than half of Lifeline/ACP subscribers surveyed do not have a debit or credit card or a bank account.

“Imagine life without mobile wireless access to the internet in 2022. It’s nearly impossible to conceive of how a family could function. But without programs like Lifeline and ACP, many Americans would not have a phone number or an internet connection and would be cut off from society,” said David B. Dorwart, Chairman of the NaLA Board. “NaLA’s survey shows that the majority of Lifeline and ACP recipients live below the Federal Poverty Guidelines. This means that our programs are working to bring connectivity to those who need help the most. It is crucial that lawmakers continue to support these programs to ensure that all Americans have affordable access to essential communications.”

The full results, including more insights into demographics, are available here. Download the one-pager of these highlights here.

Read the official press release here.

12/14/2022 Glen Echo Group FCC, Lifeline Advocacy, Lifeline News, Press Releases No comments

Source: FCC | Wikimedia Commons | Jessica Rosenworcel

The National Lifeline Association (NaLA) congratulates FCC Chairwoman Jessica Rosenworcel on her confirmation by the U.S. Senate to become the first woman to serve as permanent chair of the FCC. On this historic day, David Dorwart, Chairman of NaLA proclaimed that “NaLA looks forward to working with Chairwoman Rosenworcel, her fellow commissioners, and the talented FCC staff on making sure that Lifeline and the Affordable Connectivity Program meet the challenges of providing affordable broadband options for all Americans.”

As NaLA explains in its comments publicly filed today, the first priority for the new FCC Chairwoman should be the successful transition from the Emergency Broadband Benefit Program (EBBP) to the Affordable Connectivity Program (ACP) on December 31, 2021. With Congress having removed the barrier to competition and consumer choice contained in the original legislation, eligible consumers will be able to apply the benefit to any plan, including those specifically designed to maximize the use of available benefits and broadband connectivity. The FCC should refrain from imposing conditions or approvals processes on plan offerings. Congress already has decided all plans must be available with ACP discounts. Further, existing subscribers receiving EBBP benefits must transition automatically into the ACP with notice and the right to switch plans, opt-out, or transfer their benefit to another provider. Imposing an opt-in requirement would likely result in more than half of EBB subscribers losing their supported broadband service after the 60-day transition period.

In its comments, NaLA also notes that Lifeline subscribers in the three National Lifeline Accountability Database (NLAD) opt-out states have faced an unfair and prejudicial delay in being able to opt-in to the EBB, which the Bureau proposes to continue into the ACP. Even though the statute permits any provider to use an alternative verification process (AVP) that guards against waste, fraud, and abuse, the Bureau has refused to approve any AVP that would allow Lifeline ETCs to rely on the NLAD opt-out state administrators’ Lifeline eligibility approvals. Additionally, the Universal Service Administrative Company (USAC) has declined to accept real-time API access to the California state administrator database of eligible LifeLine subscribers or daily transmission of the eligibility information directly from the opt-out state administrators. In the ACP Order, the Commission should require USAC to accept either real-time API access to state administrators or accept daily files from either an ETC or the state administrator. The Bureau should require nondiscriminatory approval of AVPs for Lifeline ETCs to remove this artificial and prejudicial impediment to ACP enrollment in California, Oregon, and Texas.

See the official press release here.

12/09/2021 Chelsea Boylan Lifeline News, Press Releases No comments

NaLA Applauds Historic FCC Nominations of Jessica Rosenworcel and Gigi Sohn

The National Lifeline Association (NaLA) congratulates Chairwoman Jessica Rosenworcel and Gigi Sohn on their nominations by President Biden to serve as FCC commissioners. NaLA applauds the historic designation of Chairwoman Rosenworcel as the first permanent female chair of the agency and Commissioner Sohn as the agency’s first openly LGBTIQ+ commissioner.

NaLA Chairman David B. Dorwart heralded the historic announcement and added, “NaLA looks forward to the privilege of working with these exceptional public servants in their new roles. We look forward to working on our shared goal of making sure that every American can afford to get and remain connected to essential voice and broadband communications needed to connect to family, community, education, jobs, healthcare and emergency services.”

View the official press release here.

View President Biden’s FCC nominations announcement.

About the National Lifeline Association (NaLA):

The National Lifeline Association is the only industry trade group specifically focused on the Lifeline segment of telecommunications. We support the four essential components of Lifeline: ETCs & Providers, Distributors, Lifeline Participants & Supporters, and Government & Regulatory Bodies. We are passionate about the continuity and advancement of the Lifeline program, and we drive this vision through our mission to “support the providers, distributors, participants, and supporters of Lifeline through education, cooperation, and advocacy.”

10/27/2021 Chelsea Boylan FCC, Lifeline News, Press Releases No comments

Minimum Service Standard Proposal by FCC Threatens Low Income Access to Wireless Connectivity

FCC Releases Statement on Plans for December 2020 Minimum Service Standard Increase

Last week, Federal Communications Commission Chairman Ajit Pai released a statement regarding changes to minimum service standards within the Lifeline program. “Starting Dec. 1, Lifeline’s mobile carriers will have to offer 4.5 GB of data each month, up from 3 GB,” Chairman Pai stated. The increase in monthly data stems from the recent COVID-19 pandemic, making access to viable service more significant than ever.

Proposed Minimum Service Standard Increase Will Impact Consumer Access to Wireless Services

This new proposal has caused a great deal of controversy among organizations that strive to assist low-income customers with wireless, wireline, and broadband service through the Lifeline Program. The problem here lies with the fact that the program runs on a subsidy amount of $9.25 each month to help aid its customers. “Plans including that much data cost $25 to $40 per month,” said lawyer John J. Heitmann, who represents the National Lifeline Association (NaLA).

Many nonprofit organizations are facing this exact same issue right now trying to balance the consumers’ need for more internet access with the available funding. Heitmann also stated,

“There is simply no evidence in the docket to suggest that a 50% increase in the required mobile broadband data – with no corresponding increase in subsidy support – can be provided without forcing a copay on consumers.”

In August, NaLA conducted a survey of 7,706 Lifeline subscribers asking whether they could afford a copay to remain connected to the service. The results showed that 85% of the subscribers said they could not afford a copay, and one in 10 of the customers also reported they are currently unemployed.

Digital Divide at Risk of Widening due to Proposed FCC Changes

The issue now remains with how Lifeline and other organizations that also assist low-income consumers will continue to provide the best possible service with a lack of government funding. The inability to provide reliable, affordable service poses a bigger issue in regard to the digital divide. In an interview with the Herald-Tribune Heitmann stated,

“There are two aspects of the digital divide. One is where there aren’t any high-speed networks. The other is where we have high-speed networks but people just can’t afford the services over them. And it’s the latter problem that’s the bigger problem in the United States. And it’s been made bigger by COVID.”

For years these organizations have strived to meet consumers’ needs. With these new challenges arising due to COVID-19, Lifeline and these other organizations could be facing a major financial crisis down the line with the lack of proper funding.

For more information, visit https://www.heraldtribune.com/story/news/local/2020/09/28/fccs-lifeline-program-free-phone-and-internet-confronts-crisis/5762068002/

10/02/2020 Lee Schafer FCC, Lifeline Advocacy, Lifeline News, Member News No comments

FCC Must Act Now to Prevent Disruption in Lifeline Service for Millions of Low-Income Americans and Hundreds of Thousands of Veterans

KENNETT SQUARE, PA. (PRWEB) OCTOBER 1, 2020

Members of the National Lifeline Association (NaLA) urge the Federal Communications Commission (FCC) to prevent the disruption of essential Lifeline-supported service for low-income Americans, particularly low-income veterans. Unless the FCC acts now to prevent untenable increases in mobile broadband service levels without any increase in support amounts, most Lifeline users will be forced to switch from fully-supported “free” service offerings to service that requires a co-pay which more than 80% of subscribers say they cannot pay. Unless the FCC acts to reverse course, millions of low-income veterans and other Americans will lose Lifeline-supported access to the mobile voice and broadband services they need to stay in contact with employers, teachers, and loved ones during ongoing challenges associated with the COVID-19 pandemic.

Earlier this year, the FCC announced new Minimum Service Standards for mobile broadband services and a reduction in support for voice service provided through the Lifeline Program. This action was taken without increasing the subsidy for low-income Americans and without any study to determine the affordability of such services.

Read the entire NaLA press release here.

About the National Lifeline Association (NaLA)

The National Lifeline Association is the only industry trade group specifically focused on the Lifeline segment of telecommunications. We support the four essential components of Lifeline: ETCs & Providers, Distributors, Lifeline Participants & Supporters, and Government & Regulatory Bodies. We are passionate about the continuity and advancement of the Lifeline program and we drive this vision through our mission to “support providers, distributors, participants, and supporters of Lifeline through education, cooperation, and advocacy.”

For more information on NaLA, visit https://www.nalalifeline.org.

10/01/2020 Lee Schafer FCC, Lifeline Advocacy, Lifeline News, Member News, Press Releases No comments

Lifeline Service Extended by FCC, Providing Critical Connections During COVID-19 Crisis

KENNETT SQUARE, PA. (PRWEB) MAY 11, 2020

The National Lifeline Association (NALA) applauds a recent announcement by the Federal Communications Commission (FCC) that it will continue to suspend involuntary disconnections from the Lifeline program and that it will accept unemployment insurance as proof of income eligibility through June 30, 2020. The FCC’s decision was made to ensure that millions of Americans continue to have access to essential Lifeline-supported mobile voice and broadband service during the unprecedented government-directed stay at home orders established to stop the spread of the COVID-19 virus across the country.

“The FCC did the right thing in extending this waiver and ensuring that Americans who are now practicing social distancing have access to essential voice and mobile broadband services that connect them to the outside world,” said David B. Dorwart, Chairman of the NaLA Board. “For Americans who cannot afford these services, the Lifeline program is now an actual lifeline. With stay-at-home orders still in place in many states, and staggered re-openings in others, millions of Americans need Lifeline-supported service to communicate with healthcare providers, employers, and their children’s teachers. Without Lifeline-supported service, this period of isolation would be even more debilitating. We will continue to work with lawmakers and regulators to ensure those who need Lifeline-supported service will have access to it during this pandemic and economic crisis.”

Since the outset of the COVID-19 crisis, Lifeline service providers have seen an increase of up to 20% in voice minutes used and up to a 40% increase in data usage, according to a recent survey conducted by the National Lifeline Association.

Mr. Dorwart continued, “Now more than ever, it is clear that mobile voice and broadband services are essential services for low-income Americans. What was once a luxury is now a requirement to function and stay engaged. As this pandemic and economic crisis continues, regulators must continue to evaluate this program to ensure that those who need it have access to it and the crucial connections it provides.”

Any low-income consumers who are experiencing difficulty getting or staying connected during the COVID-19 pandemic can find more information about Lifeline eligibility and how to apply in their state here: https://www.lifelinesupport.org/

About the National Lifeline Association (NaLA):

The National Lifeline Association is the only industry trade group specifically focused on the Lifeline segment of telecommunications. We support the four essential components of Lifeline: ETCs & Providers, Distributors, Lifeline Participants & Supporters, and Government & Regulatory Bodies. We are passionate about the continuity and advancement of the Lifeline program and we drive this vision through our mission to “support providers, distributors, participants, and supporters of Lifeline through education, cooperation, and advocacy.”
For more information on NaLA, visit https://www.nalalifeline.org.

Read full NaLA press release here.

05/12/2020 Chelsea Boylan FCC, Press Releases No comments

FCC Supports Lifeline Participants with COVID-19 Order

FCC releases COVID-19 Order placing a 60 day waiver on recertification and reverification. The FCC delays launch of RAD Database 60 days beyond target date.

FCC Issues COVID-19 coronavirus Order Supporting Lifeline Participants and Providers

In response to the COVID-19 public health emergency, the FCC (Federal Communications Commission) is taking action to ensure Lifeline participants continue to have access to communications services during this critical time. The FCC noted in its COVID-19 Order that there has been a dramatic disruption in American’s lives that discourage person-to-person contact, forcing consumers to turn to telemedicine, telework, online learning, and overall social distancing.

The FCC stated that they believed that the coronavirus pandemic and community efforts to slow its spread makes requiring Lifeline subscribers to recertify and reverify an unreasonable burden at this time. The FCC went on to adjust the launch date of its Representative Accountability Database 60 days beyond its initial launch date of March 26th, 2020. They believe this will allow ETCs and Lifeline Providers to prioritize assisting eligible consumers to get connected and stay connected to voice and broadband services during this unprecedented time of need.

In the COVID-19 Order, the FCC announced 3 temporary changes to the Lifeline program:

Recertification – Waived 60 Days

Effective March 17th, 2020, recertification is on hold for the anniversary dates between April 14th, 2020 and August 14th, 2020. Subscribers with these anniversary dates will receive a new notice from USAC to recertify their eligibility after the waiver period ends on May 18th, 2020.

Recertification will remain as planned for subscribers with anniversary dates outside the window listed above.

Reverification – Waived 60 Days

All new reverification activity is on hold for 60 days from today through May 18th, 2020.

USAC will not conduct any de-enrollments for subscribers with documentation deadlines falling on or before May 18th, 2020. Any impacted subscribers will receive a new opportunity to provide necessary eligibility documentation after the end of the waiver period.

USAC will not open any new reverification documentation requests until after Monday, May 18th, 2020.

Beginning Tuesday, May 19, 2020, USAC will continue reverification activities as normal.

Representative Accountability Database – Delayed Implementation

To reduce the burden on Lifeline providers, full implementation of the Representative Accountability Database (RAD) will be delayed until Monday, May 25th, 2020.

When launched, RAD will function as communicated prior to this waiver. Please continue to encourage your enrollment representatives to register for a Representative ID and link IDs to the respective NLAD sub-accounts, API IDs, and/or SPINs as batch users. RAD will be mandatory on Monday, May 25, 2020.

The FCC and USAC made additional statements that noted they are working hard to make sure the Lifeline Support Team functions as normally as possible, but they continue to monitor the situation.

The full detail of the FCC Order can be found here: https://docs.fcc.gov/public/attachments/DA-20-285A1.pdf

For questions about the Lifeline Program, call (800)-234-9473 or email [email protected]

03/17/2020 Jordan Axt FCC, Lifeline Advocacy, Lifeline News, Member News, USAC No comments

John Heitmann Presents: “Federal Communication Commission (FCC) & Washington Update”

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05/31/2019 Chelsea Boylan Member News No comments

TracFone Files Second Emergency Petition on National Verifier

November 30, 2018 – TracFone Wireless filed an emergency petition on the National Verifier, urging the FCC to direct the USAC to implement fifteen specific modifications of the National Verifier and its associated processes. This petition follows an earlier filing from TracFone in August 2108, which raised many similar concerns about aspects of the (then soft-launched) Lifeline Eligibility National Verifier.

Initial Emergency Petition on the National Verifier

The National Verifier, which has since hard launched in six states, was created to assist the Lifeline eligibility process for Lifeline Providers (also referred to as “ETCs”), who are typically wireless resellers that provide Lifeline service to qualifying low-income Americans.

During the beginning stages of the implementation of the National Verifier, TracFone requested a delay to the hard launch. Furthermore, they identified areas for improvement that would ultimately benefit the consumer and support the goals of the program to bridge the digital divide facing low-income consumers in America who are in dire need of access to telephony and broadband services. This consumer group includes veterans, disabled, and retired individuals living at or below 135% the federal poverty guidelines.

TracFone, FCC Discuss Lifeline Enrollment Concerns in National Verifier

On November 29, 2018, TracFone spoke with FCC Chairman Pai’s advisor to discuss its concerns regarding the National Verifier implementation. One of the main concerns was that the National Verifier would no longer accept SNAP (Supplemental Nutrition Assistance Program) benefit cards and most Medicaid cards as documentation for enrollment in Lifeline-qualifying programs.

TracFone’s latest petition raises concerns about the continued implementation of the National Verifier without consideration of the prior requests. In the petition, TracFone states:

“Each of the modifications will maximize the efficiency and effectiveness of the National Verifier, and importantly, allow the USAC to at all times retain full control of the ultimate Lifeline eligibility determination.”

TracFone Files Second Emergency Petition

Within the petition were requests for fifteen specific modifications of the National Verifier, including simplifying the paper application, allowing service providers to check applicant verification using APIs, and suspending new requirements of additional proof that are burdensome to eligible participants. TracFone asked the FCC to initiate a new rulemaking which would, among other things, explore other methods by which current low-income program participation and invalid addresses could be verified more efficiently. TracFone additionally asserted that implementation of the USAC’s changed policy regarding additional proof would preclude many Lifeline-eligible, low-income households from demonstrating their eligibility.

Additionally, TracFone’s petition conveys the seriousness of the challenges presented by the implementation of the National Verifier. It is essential that the USAC address the shortcomings associated with the National Verifier while providing a more effective and simplified enrollment process to better serve eligible Lifeline customers.

Read the November 30 TracFone Filing Here.

12/19/2018 Chelsea Boylan FCC, Member News, USAC No comments

Lifeline Minimum Service Standards Increase Effective December 1, 2018

December 1, 2018 – New Lifeline minimum service standards are in effect today, as stated in the FCC’s 2016 Lifeline Modernization Order. The Order (FCC 16-38) aimed to modernize Lifeline to support broadband and establish an automatic update to the Lifeline minimum service standard for mobile voice service through November 30, 2018.

Newly Effective Lifeline Minimum Service Standards

The new standards, effective December 1, 2018 are as follows:

Mobile broadband (data): 2 GB/month of 3G mobile technology
Mobile voice: 1,000 minutes per month
Fixed (home) broadband: 18/2 Mbps –*There is an exception if the service provider does not offer any generally available residential fixed broadband packages at the subscriber’s residence that meet this standard (in this case, the service provider can receive support for the highest-performing, fixed broadband residential offering of at least 4 Mbps/1Mbps)
Fixed (home) broadband: 1,000 GB of usage per month
Fixed (home) voice: No minimum service standard

How Will the Lifeline Minimum Service Standards Affect Lifeline Participants?

The increase in minimum standards for data has increased from 1GB/month to 2GB/month, while voice users see an increase in the minimum from 500 to 1,000 minutes. The doubling of these standards is a step towards the future for low income Americans who participate in the program.

The 2016 Order, which initiated the gradual service standard increases, was created with the intent to phase-out voice-only subsidy in an effort to increase focus on providing broadband, on which Americans are becoming increasingly reliant.

2019 Lifeline Budget Determination

In addition to the changes in minimum service standards, the 2016 Lifeline Order adopted an initial budget of $2.25 billion for the calendar year beginning January 1, 2017. The Order stated that the budget amount would be indexed to inflation in accordance with the Consumer Price Index for all items from the Department of Labor, Bureau of Labor Statistics in subsequent years.

In accordance with this formula for determination, the Wireline Competition Bureau announced via the July 2018 FCC Public Notice that “the indexed budget for federal universal service support for the Lifeline program for the calendar year beginning […] January 1, 2019, will be $2,327,114,250.”

12/03/2018 Lee Schafer Member News No comments