The FCC’s Wireline Competition Bureau (Bureau) has denied the petitions filed by Sprint seeking reconsideration of waivers granted to California, New York, and Michigan giving those States additional time to implement the FCC’s revised Lifeline requirements adopted in 2016. The Bureau’s waivers to the States required Lifeline providers to conduct eligibility verifications and recertifications if the States did not change their process to comply with the revised federal eligibility criteria by the waiver deadline. Sprint challenged this requirement, arguing that it is unreasonable, highly unusual, and perhaps unprecedented for the FCC to hold a third party responsible in the event that the party is unwilling or unable to comply with an FCC order, particularly when the third party has no control over the second party. Sprint also asserts that Lifeline providers would have to make process and system changes and incur costs in order to comply with the waiver orders. The Bureau rejected Sprint’s arguments, finding that it is reasonable and consistent with Lifeline program rules to require Lifeline providers to conduct eligibility verifications and recertifications. The Bureau indicates that Lifeline providers have primary responsibility for ensuring the eligibility of individuals for which they claim federal Lifeline support and that they currently conduct eligibility determinations and recertifications in states where there is no state eligibility process or available database. Lastly, the Bureau rejects Sprint’s suggestion to use the National Verifier, which will not launch nationally until December 31, 2019, well over three years after the FCC’s revised Lifeline eligibility criteria were adopted.
Separately, the Bureau has granted petitions to temporarily waive the FCC’s Lifeline non-usage and recertification rules for subscribers in 13 counties affected by the California wildfires in October and December 2017.
