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A bill to permanently exempt the universal service program from A...

A bill to permanently exempt the universal service program from Antideficiency Act rules was introduced this week by Rep. Dennis Rehberg, R-Mont., and co-sponsored by Rep. Betsy Markey, D-Colo. The rules, imposed in 2003, apply only to the E-Rate…

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program and are thought to be a reason that the program has run into funding problems (CD April 28 p1). But officials involved with the program fear the rules could also be applied to the high-cost and low-income funds. A permanent exemption makes sense, said Tom Wacker, National Telecommunications Cooperative Association vice president of government affairs. An exception could prevent contributions from “soaring, potentially resulting in higher monthly telephone bills for rural consumers,” he said. The NTCA supports a similar bill, S 348, introduced by Senate Commerce Committee Chairman Jay Rockefeller, D-W.Va.