FCC’s Gomez Disappointed by Fifth Circuit's USF Decision

ARLINGTON, Va., Oct. 3, 2024 - Federal Communications Commission member Anna Gomez voiced her disappointment Thursday with the federal court ruling that the FCC’s Universal Service Fund was unconstitutional.

In July, the Fifth Circuit held that the funding mechanism supporting the $8.1 billion USF impermissibly handed taxing power to the FCC and its non-profit private sector agent, the Universal Service Administrative Co.

“The core of the Commission’s mission is to provide connection for everyone everywhere,” said Gomez. “[The Fifth Circuit’s] decision is disappointing, but it does not disrupt our continued work.”

Gomez, joined by former Commissioner Mignon Clyburn, attended the annual AnchorNets conference (Oct. 2-4) in Arlington, Va., hosted by the Schools Health & Libraries Broadband Coalition.

Among other things, the USF spends $2.4 billion annually to connect schools and libraries to the Internet and $4.3 billion to subsidize rural broadband ISPs with high deployment costs.

“The [Fifth Circuit decision] threatens our ability to close the digital divide domestically [and also threatens] our global competitiveness,” Gomez said. “[We] remain committed to ensuring that consumers in all regions of the country get access to affordable, high-speed connectivity.”

Gomez noted in her discussion that she had a vision for bringing broadband internet access to all Americans. She cited interagency coordination as a key aspect of expanding broadband access.

On Sept. 30, the FCC filed a petition asking the Supreme Court to reverse the Fifth Circuit. Consumer’ Research, victorious in the Fifth Circuit, this week asked the high court to affirm the lower court's holding.