Senate Communications Subcommittee Chairman Mark Pryor, D-Ark., worries...
Senate Communications Subcommittee Chairman Mark Pryor, D-Ark., worries about the FCC Wireline Bureau’s plans to hike its rate floor in July. “The rate floor, which is currently set at $14 will rise to over $20 on July 1, 2014,” Pryor…
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said in a Wednesday letter (http://1.usa.gov/P1Fo93) to FCC Chairman Tom Wheeler. “Telecommunications providers offering service at rates below this rate floor could risk losing vital universal service support if they do not take action to immediately raise the telephone rates of their customers.” Wheeler acknowledged the concern during a separate Senate Appropriations subcommittee hearing Thursday, which Pryor did not participate in. The FCC instituted a series of rate floor hikes as part of its November 2011 USF order to prevent what the agency would consider improper USF subsidies. The agency plans to phase in the increase and delay implementation beyond July, Wheeler said. The rate floor is part of the agency’s attempts to phase out excessive subsidies for basic phone service.