US telcos pay USD1.8m to settle alleged USF violations

2 Oct 2013

Two US telcos have agreed financial settlements with the country’s Federal Communications Commission (FCC) to resolve what the regulator said had been ‘alleged violations’ of requirements to contribute to the Universal Service Fund (USF). Kentucky-based Lightyear has submitted a voluntary contribution of USD475,000, while Delaware-based Open Access has agreed to pay USD1.3 million to resolve the regulator’s investigations into missing USF payments. The fund is serviced by fees on national and international long-distance calls, and is used to subsidise costly rural network deployments and to ensure that services are available to low-income households, rural healthcare facilities, schools and libraries.