Did the Lifeline Free Government Phone Program Just Change?
Recently the FCC ruled on petitions filed by a number of states and USTelecom to give these Lifeline states and their Lifeline phone service providers more time to implement the commission’s updated Lifeline program eligibility rules. USTelecom worried that some Lifeline applicants may be excluded from the Lifeline program if they only qualify for a state Lifeline benefit that is no longer eligible. The FCC granted this temporary waiver to some of the states, with certain conditions.
The waiver request relates to the 2016 Lifeline Monetization Order issued in March, which amended the qualifying government programs and income levels for the Lifeline government phones program. Eight of the petitioning states can continue to use their old Lifeline free government phone program qualifications for the time being. These states are California, Maryland, Michigan, New York, Utah, Vermont, Washington, and Wisconsin.
States including Connecticut, District of Columbia, Florida, Idaho, Illinois, Missouri, New Mexico, Ohio, Oklahoma, Oregon, Puerto Rico, South Carolina, Texas, and West Virginia were denied the waiver from updating their Lifeline eligibility requirements by December 2. Reasons for denial include the lack of state-specific details justifying a waiver and that these states did not show good cause to delay implementation of the new rules as they wouldn’t require more time to update processes and databases to ensure ineligible applicants won’t be enrolled.
What Does this Mean to Me?
What this means for Lifeline applicants in the states granted the waiver is that applicants to the Lifeline program will continue to be able to qualify for the program based on the previously eligible federal and state programs and income levels during the time period of the waiver. One new qualifying government program for Lifeline applicants is the Veterans and Survivors Pension Benefit Program. Lifeline states must add this program to their list of qualifying government programs effective December 2, 2016.
When Does the Waiver Expire?
Per the FCC, the waiver will run from December 2, 2016 until the states align their elgibility criteria with the FCC's new rules and update their eligiblity databases or by fixed dates per the below appendix, whichever comes sooner.
Can I still Switch Lifeline Phone Service Providers?
One of the other new requirements of the Lifeline program this waiver applies to is the Benefit Port Freeze. Starting December 2, 2016, Lifeline customers will be required to remain with their service provider for a minimum period before they can transfer their benefit to another provider for free cell phones. This is called a benefit port freeze and per the Universal Service Administrative Co., or USAC, allows Lifeline carriers to invest in high-quality, low-cost service offerings for Lifeline consumers.
Per this requirement, voice service customers must remain with their service provider for 60 days before transferring their Lifeline benefit to another company. Broadband customers must remain for 12 months. During the benefit port freeze, other Lifeline Program providers are forbidden from seeking/receiving Lifeline reimbursement for the customer. After the benefit port freeze period expires, the customer may continue using the Lifeline benefit on a month-to-month basis or transfer their benefit to another provider of free phone service.
The FCC waiver allows California and Oregon to delay the effective date of these port freeze rules until June 1, 2017 or when their state databases and processes are in compliance, whichever is sooner. So, consumers in the Lifeline program can still freely switch providers in these states until then.
What’s the Takeaway?
So basically, if you live in California, Maryland, Michigan, New York, Utah, Vermont, Washington, or Wisconsin you can still qualify for the Lifeline free government cell phone program using the existing state specific criteria for acceptable federal and state government programs. For example California applicants enrolled in CalFresh can still qualify for the LifeLine benefit in California. Also, if you live in either California or Oregon, for now you can still freely transfer your Lifeline benefit for free government phones and free phone service to other phone service providers without having to wait. For now. President Obama is leaving office soon, but the Obama Phone will remain unchanged for many hoping to get a free cell phone for the time being.