FCC CHAIRMAN WHEELER SEEKS COMMENT ON MODERNIZING LIFELINE TO MAKE 21
ST
CENTURY BROADBAND 
AFFORDABLE FOR LOW-INCOME HOUSEHOLDS
Today, Chairman Wheeler shared with his fellow commissioners a set of comprehensive proposals to restructure 
and modernize the FCC’s Lifeline program so that it can efficiently and effectively help low-income consumers 
afford access to essential communications services in the 21
st
Century, including broadband. The proposals seek 
comment on how to modernize Lifeline while further combatting waste and better targeting the program to 
those who need it most.
Modernizing the Lifeline Program for the 21
st
Century
Congress directed the FCC to ensure that all Americans – including low-income consumers – have access to 
advanced telecommunications and information services. Since 1985, Lifeline has helped make phone service 
affordable for low-income Americans. But to continue to serve its statutory purpose, Lifeline must evolve to 
meet today’s most pressing communications needs, including access to broadband:
? While over 95% of households with incomes of $150,000 or more have access, only 48% of those 
making less than $25,000 have service at home. 
? Nearly 50% of low-income Americans have had to cancel or suspend smartphone service due to 
financial hardship. Because low-income consumers disproportionately use smart phones for Internet 
access, this puts them at a disadvantage at a time when broadband access is essential for access to 
education and information, for managing and receiving health care, for daily tasks like accessing 
government services, checking bank balances, finding bargains on goods and services, and more.
The reforms of 2012 put the program on a more stable footing. These and other reforms reduced Lifeline 
spending by nearly 24% as they became fully effective in 2013-14. Now is the time to “reboot” Lifeline to ensure 
all Americans can share in the opportunities presented by 21
st
century communications.
Rebooting the Lifeline Program
In order to bring Lifeline in the 21
st
Century, the Chairman is seeking comment on a number of proposals that 
will modernize the Lifeline program to make it more efficient, accountable, and effective at helping low-income 
consumers access the communications technology they need to participate in today’s society, while proposing 
additional protections against waste, fraud and abuse.
? Ensuring minimum service standards for voice and broadband.  The Notice proposes to establish 
minimum service standards for both voice and broadband, to ensure that both Lifeline subscribers and
ratepayers are getting the best possible value from the service delivered. The Notice seeks comment on 
what those standards should be.
? Resetting Lifeline Eligibility Administration.  Lifeline providers are currently responsible for ensuring the 
eligibility of their Lifeline customers, a situation that invites waste and burdens providers. The Notice 
proposes to remove providers from this process and seeks comment on other ways to verify eligibility, 
such as establishing a neutral third party administrator. The Notice also seeks comment on how to 
ensure that the program targets those most in need of the support.
? Increasing Competition.  Competition among providers on price and service offerings would benefit 
Lifeline subscribers and would ensure ratepayer dollars support an efficient program. The Notice seeks 
comment on how to encourage providers to participate in the program. The item also asks how to 
encourage participation by the states.
Building on 2012 Lifeline Reforms
The FCC adopted comprehensive reforms in January of 2012 to crack down on waste, fraud and abuse and 
protect ratepayer dollars, which include:
? Requiring documented proof of subscriber eligibility, and annual recertification of eligibility.
? Clarifying Lifeline subscriptions are limited to one per household.
? Establishing the National Lifeline Accountability Database to eliminate and prevent duplicate 
subscriptions.
? Independent audits of carriers every two years.
Now, the Chairman is circulating a Report and Order that would build on and strengthen these reforms by:
? Requiring providers to retain documentation regarding the eligibility of their Lifeline customers to 
facilitate oversight and audits.
? Extending all record retention requirements from three to ten years.
? Increasing program transparency by making key performance data easily available to the public.
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