FCC to Tackle Lifeline Program Fraud
Brendan Carr, the Chairman of the Federal Communications Commission (FCC), shared on Tuesday that there will be a vote next month concerning a proposal aimed at combating fraud within the Lifeline program. This program uses tax funds to assist over 116,000 individuals, including those who have passed away.
Carr emphasized that if taxpayer money is being spent, it should exclusively benefit living, legal citizens of the United States. His statement followed a report from the FCC Office of Inspector General that highlighted significant fraudulent activities within the Lifeline program. Created to aid low-income Americans in accessing affordable communication services, this initiative covers voice and broadband services and is funded by the Universal Service Fund.
The inspector general’s findings included alarming data: at least 16,774 deceased individuals were still registered, with estimates suggesting up to 39,362 may have been billed posthumously. Carr remarked that it seems “natural” to want taxpayer dollars directed toward legal American citizens, but the report pointed out some disturbing anomalies within the program.
1. A recent recommendation from the inspector general indicated that providers allocated nearly $5 million in federal funds to deliver services to over 116,000 deceased individuals, based on data from just three states.
2. California, under Gavin Newsom, emerged as a primary offender, permitting the use of more than 94,000 deaths to secure federal funds for services. The FCC has since revoked California’s ability to manage its own verification process.
3. The Federal Lifeline Program, which funnels nearly $1 billion annually, lacks sufficient safeguards to ensure that only valid beneficiaries receive funds. Reports have surfaced of non-citizens fraudulently obtaining Social Security numbers, with current verification processes inadequately preventing duplicate subscriptions and similar issues.
Carr underscored that, as it stands, the agency’s regulations do not guarantee that these federal funds reach only American citizens. He pointed out the rising concern regarding non-citizens acquiring Social Security numbers through fraudulent means.
“The FCC will vote on a proposal that aims to resolve these shortcomings. Your taxpayer money should only support the households that Congress intended to benefit,” Carr stated.
