The U.S. Supreme Court agreed Friday to review whether funds administered by the Federal Communications Commission (FCC) to improve telephone and internet service are legal.
The court's review is in response to claims that Congress improperly delegated its authority to this independent body. According to to Reuters. The FCC, along with a consortium of interest groups and telecommunications companies, is appealing a lower court ruling that ruled such a mandate unconstitutional.
The Supreme Court is expected to hear the case and issue a decision by late June, according to Reuters. The Universal Service Fund, established under the Telecommunications Act of 1996, is administered by the FCC and allocates approximately $9 billion annually.
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Contributions from all telecommunications operators will strengthen the fund. The fund will expand services to underserved rural areas, provide grants to low-income Americans, support telecommunications on Native American tribal lands, and aid schools and libraries. The paper reported that. The controversy arose after conservative groups such as Consumers Research sued the FCC and the US government. They argued that delegating Congress's revenue-raising duties to the FCC was unconstitutional. (Related: Chinese operatives now have access to every American's phone calls and text messages, Republican senators warn)
They also challenged the FCC's decision to transfer management responsibility to Universal Service Management Company, a private nonprofit organization, the newspaper reported. At the heart of this legal battle is the doctrine of non-delegation, which states that Congress cannot transfer its legislative authority to another body.
The Supreme Court's decision to reconsider the Fifth Circuit Court of Appeals' ruling that found the funding approach unconstitutional despite split federal appeals courts on the legality of the delegation, three major industry groups Reuters reported that it had been approved. The groups, which represent major telecommunications companies such as AT&T, Verizon and T-Mobile, say overturning the lower court's ruling is critical to continuing to promote essential communications services in various communities across the United States. said.
“For decades, this has increased the availability and affordability of critical communications services to millions of rural and low-income consumers, rural health facilities, schools and libraries across the country. It risks undermining the universal service programs it has helped to promote,'' the group said, according to Reuters.
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