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Addressing Common Challenges in Universal Service Programs

This report highlights significant issues faced by Universal Service Programs, including low participation rates, funding shortages, and crisis-focused financing. It suggests solutions such as eliminating barriers to participation, exploring additional funding sources, forming new partnerships, and utilizing regulatory processes for better data and reporting. Strategies include outreach for Economic Income Tax Credits (EITC), cash deposit alternatives, and maximizing utility customer contributions. It emphasizes the need for collaboration to ensure that vulnerable populations are effectively served. For further inquiries, contact roger@fsconline.com.

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Addressing Common Challenges in Universal Service Programs

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  1. Common Problems with Universal Service Programs Roger D. Colton Fisher, Sheehan & Colton Belmont, MA 02478 May 2002

  2. Our participation is too low. • Eliminate barriers to participation • Enlist full range of partners • Consider “express lane eligibility”

  3. We don’t have enough money • Additional sources of funding • Rate refunds • New partners • Cost offsets • Programs with limited scope • EITC outreach • Non-energy outreach (circuit breakers) • Cash deposit alternatives

  4. We only have crisis funding • New partnerships for funding • Partnership with NFFN • Rationalize your payment plan processes • Maximize revenue potential • Utility customer contributions • External fundraising

  5. Our primary heating is non-utility • State UDAP regulations for fuel oil and propane • Use of PUC regulations for non-regulated utilities • Fuel buying co-ops work

  6. We have no data on payment problems • Use LIHEAP’s vendor contract process to require periodic reporting • Initiate state PUC rulemaking requiring reporting • Intervene in a regulatory proceeding with settlement potential

  7. Our PUC says USF is “discriminatory” • Become conversant with special contracts • Look for “reverse subsidies” • Look for “public good” arguments

  8. For more information, contact: roger@fsconline.com

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