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The Federal Communication Commission is concocting new plans to widen access to high-speed technology for low income Americans, The New York Times reports. The regulator argues that broadband Internet is an essential component of economic well-being.
Tom Wheeler, the FCC chairman, is suggesting major changes to Lifeline, $1.7 billion subsidy program created in 1985 that is responsible for granting low-income Americans access to advanced telecommunication services.
“…[Lifeline] has helped millions of low-income Americans pay their phone bills, saying that telephone service is critical to summoning medical help, seeking work and, ultimately, climbing out of poverty,” NY Times said.
Now, according to Wheeler, it’s time to expand that access to broadband Internet.
The service, which offers a monthly $9.25 subsidy, is meant to keep poor Americans from having to choose between essentials like food, electricity, and a landline — now the FCC believes that Internet access is crucial enough to be added to that list.
According to Pew Research data, 54 percent of Americans earning less than $30,000 a year have broadband; 88 percent of those making more than $75,000 a year have access to the Internet. Zooming in on the digital race divide, the same survey found that 53 percent and 64 percent of Hispanics and Blacks, respectively, have high-speed Internet in comparison to 74 percent of whites.
The new FCC plan is expected to help bridge the economic and racial digital gap but there is, of course, some pushback.
Republicans expressed their skepticism with the Lifeline program, arguing that it is entrenched with abuse. Last April, the Justice Department charged three people for defrauding the FCC out of $32 million from false Lifeline claims between 2009 and 2011, the NY Times said.
Michael O’Reilly, a Republican commissioner on the FCC, labeled the Lifeline program “inefficient, costly and in serious need of review.”
Wheeler, in defense of Lifeline, has devised new plans to curb fraud as the FCC plans to expand the program. “Service providers currently must verify participants’ eligibility for Lifeline,” according to FCC officials.
“And under the new plan, they would be required to keep proof of that eligibility and make it available if audited,” NY Times wrote.
Currently, more than 12 million households participate in the Lifeline program, which is only available for households that are 135 percent below the federal poverty line or participate in safety net programs such as food stamps or Medicaid.
The vote for the new FCC proposal will take place on June 18 in Washington.
