Home Login RADIO ONLINE RSS Facebook

Fifth Circuit Overturns FCC's Universal Service Fund


Federal Communications Commission's (FCC)
Federal Communications Commission's (FCC)

In a landmark decision, the U.S. Court of Appeals for the Fifth Circuit has ruled the Federal Communications Commission's (FCC) Universal Service Fund (USF) unconstitutional, a decision that has sparked immediate reactions from key FCC officials.

Chairwoman Jessica Rosenworcel's Response:

FCC Chairwoman Jessica Rosenworcel expressed strong disapproval of the court's 9-7 ruling. "This decision is misguided and wrong," Rosenworcel stated. She emphasized the long-standing bipartisan support for the USF, which has been crucial in providing communications access to rural and underserved areas, as well as to schools, libraries, and hospitals across the nation. Rosenworcel criticized the court's understanding of the statutory framework that established the USF, which she argues has facilitated the creation of the world's most extensive communications network. She vowed to explore all available options to challenge the ruling.

Commissioner Geoffrey Starks' Reaction

Commissioner Geoffrey Starks also voiced his disappointment with the decision, labeling it as a significant setback in efforts to bridge the digital divide. Starks highlighted that the Fifth Circuit's ruling contradicts recent decisions by the Sixth and Eleventh Circuits, both of which upheld the constitutionality of the USF. "This decision is a monumental blow in our long-running effort to close the digital divide," he stated, underscoring the potential negative impact on vulnerable households, rural communities, and young learners who depend on the USF for connectivity. Starks indicated that he is currently reviewing the decision to determine how the FCC can continue to pursue its mandate of universal service as outlined in the Communications Act.

Implications of the Ruling

The ruling has immediate and far-reaching implications for the USF, which has been a cornerstone of the FCC's mission to ensure that all Americans have access to essential telecommunications services. Established nearly 30 years ago, the USF has supported various programs aimed at extending telecommunications services to rural and low-income areas, as well as providing critical support to schools and libraries through the E-Rate program, and healthcare facilities via the Rural Health Care program.

With this ruling, the future of these programs is uncertain, raising concerns about how the FCC will continue to support underserved communities in their access to essential communications services. Both Chairwoman Rosenworcel and Commissioner Starks have made it clear that they will seek avenues to counter the court's decision and uphold the principles of universal service.

Next Steps

As the FCC evaluates its next steps, stakeholders across the telecommunications industry, as well as the communities reliant on USF support, will be closely monitoring the developments. The FCC's leadership is expected to pursue legal and regulatory strategies to address the court's ruling and continue advocating for the importance of universal service in the nation's communications landscape.

Latest Radio Stories

Townsquare Q3 Revenue Rises 3.9%, Suspends Dividend
Townsquare Media
Townsquare Media
Townsquare Media reported third-quarter net revenue of $110.9 million, up 3.9% from $106.8 million a year earlier, as digital advertising growth and political spending offset weakness in its subscription digital marketing business. The company also announced it is suspending its quarterly More

Xperi Q3 Revenue Rises 2.2%, AutoStage Expands Reach
Xperi
Xperi
Xperi reported third-quarter revenue of $114 million, up 2.2% from $111.6 million a year earlier, as growth in advertising and related revenue helped double its Media Platform revenue. The company also expanded its DTS AutoStage broadcaster services and reported additional automotive More

Audio, Video Podcasts Serve Different Listener Needs
Edison Research at SSRS
Edison Research at SSRS
Audio and video podcasts play complementary roles in consumers' routines, with 70% of monthly podcast consumers reporting that they both listened to audio-only podcasts and watched video podcasts in the past month, according to new research from Edison Research at SSRS, SiriusXM Media and Publicis Media. More

Chicago's 93.9 LITE FM Sets Christmas Flip for Nov. 5
WLIT (93.9 LITE FM) in Chicago
WLIT (93.9 LITE FM) in Chicago
iHeartMedia's WLIT (93.9 LITE FM) in Chicago will begin around-the-clock holiday music November 5 at 3pm, marking its 26th year as Chicago's Christmas station. Station personalities Melissa Forman, Producer Jim, Robin Rock and Mick Lee, along with Edison the Reindeer, will host a More

CT40 Sets Holiday Specials With Fitz, Lauren Alaina
Country Top 40 with Fitz
Country Top 40 with Fitz
"Country Top 40 with Fitz" and syndication partner Skyview Networks have announced two holiday specials, including a Christmas program co-hosted by country artist Lauren Alaina and a countdown of the biggest country songs of 2026. "Deck the Hits with Lauren and Fitz" will be available for the weekend of More

MaxxKonnect Acquires FCCInfo.com, Keeps Searches Free
MaxxKonnect
MaxxKonnect
The MaxxKonnect Group has acquired FCCInfo.com from Cavell, Mertz & Associates, assuming ownership and operation of the FCC database and mapping service used by broadcast engineers, consultants and station operators. Financial terms were not disclosed. MaxxKonnect plans to More

Return to Menu

Advertisement

Advertisement

Advertisement