April 20, 2004
The Honorable Daniel K. Akaka United States Senate 141 Hart Senate Office Building Washington, DC 20510
Dear Senator Akaka:
The FCC is currently considering dramatic and ill- conceived changes to the Universal Service Fund that will unfairly shift costs to low income, low volume, and rural consumers and undermine the fundamental principles of universal access to utility services that have served as a foundation for our modern economy.
The American Association of People with Disabilities is urging you to oppose efforts to shift funding for universal service from a revenue based system, to a connection based one with a flat rate for each user. This type of proposed funding methodology is discriminatory and is neither "equitable" or "competitively neutral." In practice it would mean that individual residential consumers would pay the same fee as businesses, and rural residents who are low volume callers would pay the same fees as high volume callers.
The adoption of a connection based system will have a negative impact on the 44% of consumers identified as low volume users who rely on wireless service primarily for safety, security and peace of mind. 10 million prepaid wireless service customers would see rate increases, while others will be priced out of the market.
People with disabilities reap incredible and empowering benefits from telecommunications services, finding opportunities for employment, health care, education, and community involvement. However, many Americans with disabilities live on fixed or limited incomes and would be unduly burdened by the shift to a connection-based fee. Increasing the universal service fees paid by people with disabilities could limit their access to telecommunications, an outcome universal service was designed to prevent.
The Universal Service Fund was created to ensure that all communities, including rural or higher cost areas, have access to communications service at "reasonable" prices. It is now one of the primary reasons that schools, libraries, health centers, and other educational facilities have access to the advances of our digital age.
Electronic communications and the Internet will be even more central to economic life and civic activity in the future than they have been in the past. We urge you to oppose efforts to weaken universal service funding by switching to a connections based model and to support our efforts to strengthen our nation's commitment to universal service.
Sincerely,

Andrew J. Imparato President and CEO American Association of People with Disabilities |