USF Reform Draft Expected By End Of May, Lawmaker Says
Energy and Commerce Subcommittee Chairman Richard Hudson calls current funding model unsustainable as reform talks advance.
Energy and Commerce Subcommittee Chairman Richard Hudson calls current funding model unsustainable as reform talks advance.
WASHINGTON, April 27, 2026 – Energy and Commerce Subcommittee Chairman Richard Hudson, R-N.C., said lawmakers aim to release draft legislation to reform the Universal Service Fund by the end of May, citing bipartisan progress.
“We’ve made tremendous progress the last six months,” Hudson said Monday at a legislative and policy conference hosted by NTCA, “by the end of May we’ll have a text ready to go.”
The $8 billion-per-year federal subsidy program supports broadband access in rural areas, low-income communities, schools, libraries, and health care providers. It is funded through fees on interstate and international voice revenues, a base lawmakers say is shrinking.
The carriers said they’re looking to foster competition in the direct-to-device space.
The company told the FCC that costs exceeded the amount of the award.
Researchers say make-ready expenses could cost up to $4.63 billion nationwide
The vote followed what broadband advocates described as a telecom industry-backed astroturf campaign.