The FCC has issued an advisory regarding Affordable Connectivity Program provider noncompliance with program usage and de-enrollment rules. The FCC’s Office of Inspector General reports that there is significant provider noncompliance with the ACP program rules. The initial concern stemmed from an investigation that found that an ACP provider improperly claimed program funds on behalf of subscribers who were not using their ACP service. In response to the initial investigation mentioned above, the ACP provider voluntarily repaid $49.4 million in improperly claimed ACP funds, including improperly claimed funds for improper enrollments. The OIG made clear that providers, not low-income households, are responsible for the alerted conduct.
In response to the advisory, the FCC’s Wireline Competition Bureau released a Public Notice announcing additional measures it is taking to protect the integrity of the ACP. The Bureau has: (1) referred the investigation of the ACP provider who claimed improper enrollments to the Enforcement Bureau for further investigation; (2) directed USAC to strengthen the proactive monitoring of claims and de-enrollment rates of ACP providers; and (3) directed USAC to increase the frequency and scope of its ongoing ACP non-usage reviews.