WASHINGTON-Meeting the statutory deadline, the Federal Communications Commission said late Tuesday it conditionally granted TracFone Wireless Inc. forbearance from rules requiring carriers participating in the Lifeline program to own facilities. TracFone is a prepaid wireless services reseller.
Additionally, the FCC will begin consideration of TracFone’s petitions to be designated an eligible telecommunications carrier and receive universal-service subsidies for serving eight states.
The Lifeline program is the part of the universal-service program aimed at providing low-income consumers access to telecommunications. The FCC said it was granting conditionally TracFone’s request because it wants to boost participation in the Lifeline program. Currently, only one-third of those eligible participate, said the commission.
The FCC said TracFone Wireless could participate in the Lifeline program if it obtained ETC status, providing Lifeline customers with access to basic and enhanced 911, including access to 911 from handsets that may not be activated. To prove it is offering basic and E-911, TracFone must obtain certification from the public-safety answering points in the areas it wants to offer Lifeline services, said the commission.
Incumbent telecommunications carriers had urged the FCC to either reject TracFone’s petition or grant it with conditions.
The Telecommunications Act of 1996 allowed the FCC to forbear from certain rules if it promoted competition. The FCC was given no more than a year plus 90 days to rule on such requests. The commission announced its decision in a press release; it has not released yet the complete text.
