How the Universal Service Fund Can Better Serve Consumers While Spending Less

The Universal Service Fund (USF) is facing calls for reform as broadband deployment goals are largely met. This report argues that continuing to subsidize Internet service providers’ operating costs wastes billions on outdated programs. Instead, it recommends sunsetting the High-Cost program, consolidating efforts, and modernizing Lifeline into a streamlined voucher for low-income households. By shifting focus to affordability and funding through broad-based taxpayer support, USF could better serve consumers while reducing overall expenditures.