One thing never changes, however: Each year, the federal government sends his company, Summit Telephone, more than $1 million.

The money comes from a special government subsidy program that Congress created to bring fast, affordable phone and internet service to hard-to-reach places. You help pay for it.

Pull up your latest phone bill and look for a line labeled “Universal Service Fund.” Some phone companies list it as a “Universal Connectivity Charge” or fold it into a “Regulatory Programs & Telco Recovery Fee.” It’s all the same thing: a surcharge added to the monthly bill of phone customers throughout the United States.

The federal government and phone companies don’t call it a tax — but it acts like one. Carriers must currently contribute 37 cents of every dollar of their interstate and international phone revenues to the fund.

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[–] 3 points 5 months ago

Agreed. This really sounds like a loophole needs to be closed. I think eliminating the "fee" would be throwing the baby out with the bathwater. Rural communities deserve to be connected; the issue is the 300 buildings connected in a town of 80 people.

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