Feb 1

Feb 1 USAC Files Universal Service Fund’s Estimated Funding Requirements For Second Quarter Of 2022

Universal Service, USF, USF Contribution

USAC Files Universal Service Fund’s Estimated Funding Requirements For Second Quarter Of 2022

February 1, 2022 – The Universal Service Administrative Company (USAC) has filed the Federal Universal Service Support Mechanisms Fund Size Projections For Second Quarter 2022. USAC’s filing shows the following total projected 2Q 2022 funding requirements for each Universal Service Fund (USF) support mechanism:

High Cost Support Mechanism – $880.14 million. The 2Q 2022 total funding requirement for the High Cost Support Mechanism was initially projected at $999.62 million, but was adjusted as follows: decreased by prior period adjustments of $134.73 million and increased by administrative costs of $15.25 million; resulting in a total projected 2Q 2022 funding requirement of $880.14 million.

Low Income Support Mechanism – $220.47 million. The 2Q 2022 total funding requirement for the Low Income Support Mechanism was initially projected at $277.76 million, but was adjusted as follows: decreased by prior period adjustment of $72.98 million and increased for administrative costs of $15.69 million; resulting in a total projected 2Q2022 funding requirement of $220.47 million.

Rural Health Care Support Mechanism – negative $7.62 million. The 2Q 2022 Rural Health Care Support Mechanism collection requirement of $153.01 million represents one quarter of the cap for Funding Year 2021. The amount includes collection requirements for the Telecommunications Program, the Healthcare Connect Fund, and administrative costs. The collection requirement of $153.01 million is adjusted as follows: decreased by funds available for roll forward from prior years of $153.01 million, decreased by prior period adjustment of $7.62 million; resulting in a total projected 2Q 2022 funding requirement for the Rural Health Care Support Mechanism of negative $7.62 million.

Connected Care Pilot Program – $7.81 million. The 2Q 2022 Connected Care Pilot Program initial collection requirement of $8.33 million was adjusted as follows: decreased by prior period adjustment of $0.59 million and increased by $0.07 million for administrative expenses, resulting in a total projected 2Q 2022 funding requirement of $7.81 million.

E-Rate Schools and Libraries Support Mechanism – $563.22 million.

For its consolidated budget, USAC projects total administrative costs of $58.09 million for 2Q 2022, which breaks out to $34.02 million in direct costs for all four support mechanisms, and $24.07 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.

USAC Files First Quarter 2022 USF Size Projections

November 2, 2021 – The Universal Service Administrative Company (USAC) has filed its fund size and administrative cost projections for the federal universal service support mechanisms for the first quarter of calendar year 2022. USAC’s filing shows the following total projected 1Q 2022 funding requirements for each federal Universal Service Fund (USF) support mechanism:

High Cost Support Mechanism – $1.0445 billion

Low Income Support Mechanism – $137.51 million

Rural Health Care Support Mechanism – $11.72 million

Connected Care Pilot Program – $9.21 million

E-Rate Schools and Libraries Support Mechanism – $637.95 million

USAC projects a consolidated budget of $55.57 million for 1Q 2022. This breaks out into $30.37 million in direct costs for all USF support mechanisms, and $25.20 million in total joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds.

The FCC will use the of the quarterly funding requirements for the four USF support mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor. Then, USAC will bill USF contributors on a monthly basis for their individual obligations based on the USF contribution factor, collect these owed amounts, and distribute USF support to eligible recipients.

2021

USAC Files Fourth Quarter 2021 USF Size Projections

August 2, 2021 – The Universal Service Administrative Company (USAC) has filed the fund size and administrative cost projections for the federal universal service support mechanisms for the fourth quarter of calendar year 2021. USAC’s filing shows the following total projected 4Q 2021 funding requirements for each federal Universal Service Fund (USF) support mechanism:

High Cost Support Mechanism – $1.1377 billion (The 3Q 2021 funding requirement was $1.289 billion; The 2Q 2021 requirement was $1.413 billion)

Low Income Support Mechanism – $230.93 million (The 3Q 2021 funding requirement was $286.26 million; The 2Q 2021 requirement was $254.82 million)

Rural Health Care Support Mechanism – $153.12 million (The 3Q 2021 funding requirement was $149.39 million; The 2Q 2021 requirement was $149.36 million)

Connected Care Pilot Program – $8.55 million (The 3Q 2021 funding requirement was $8.59 million; The 2Q 2021 requirement was $8.76 million)

E-Rate Schools and Libraries Support Mechanism – $594.14 million (The 3Q 2021 funding requirement was $579.84 million; The 2Q 2021 requirement was $634.61 million)

USAC projects a consolidated budget of $61.14 million for 4Q 2021. This breaks out into $30.89 million in direct costs for all USF support mechanisms, and $30.25 million in total joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. (The consolidated budget for 3Q 2021 was $59.83 million, and it was $60.58 million for 2Q 2021.)

USAC Files Third Quarter 2021 USF Size Projections

May 1, 2021 – The Universal Service Administrative Company (USAC) has filed the federal universal service support mechanisms fund size and administrative cost projections for the third quarter of calendar year 2021. USAC’s filing shows the following total projected 3Q 2021 funding requirements for each federal Universal Service Fund (USF) support mechanism:

High Cost Support Mechanism – $1.289 billion (The 2Q 2021 funding requirement was $1.413 billion)

Low Income Support Mechanism – $286.26 million (The 2Q 2021 funding requirement was $254.82 million)

Rural Health Care Support Mechanism – $149.39 million (The 2Q 2021 funding requirement was $149.36 million)

Connected Care Pilot Program – $8.59 million (The 2Q 2021 funding requirement was $8.76 million)

E-Rate Schools and Libraries Support Mechanism – $579.84 million (The 2Q 2021 funding requirement was $634.61 million)

USAC projects a consolidated budget of $59.83 million for 3Q 2021. In other words,

USAC projects total administrative costs of $59.83 million for 3Q 2021, which breaks out to $30.95 million in direct costs for all four support mechanisms, and $28.88 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. This is a slight decrease in administrative costs from last quarter ($60.58 million in total administrative costs for 2Q 2020). The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.

USAC Files Second Quarter 2021 USF Fund Size Projections – Demand Increases

February 1, 2021 – The Universal Service Administrative Company (USAC) has filed the Federal Universal Service Support Mechanisms Fund Size Projections For Second Quarter 2021.

The filing shows the following total projected 2Q 2021 funding requirements for each Universal Service Fund (USF) support mechanism:

High Cost Support Mechanism – $1.413 billion

Low Income Support Mechanism – $254.82 million

Rural Health Care Support Mechanism – $149.36 million

Connected Care Pilot Program – $8.76 million

E-Rate Schools and Libraries Support Mechanism – $634.61 million

USAC projects total administrative costs of $60.58 million for 2Q 2021, which breaks out to $31.63 million in direct costs for all four support mechanisms, and $28.95 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.

USAC Files Universal Service Support Mechanisms Fund Size Projections For First Quarter Of 2021

November 2, 2020 – The Universal Service Administrative Company has filed the Federal Universal Service Support Mechanisms Fund Size Projections for the First Quarter of 2021. The filing shows the following total projected 1Q 2021 funding requirements for each support mechanism:

High Cost Support Mechanism - $1.359 billion (The 4Q 2020 funding requirement was $1.248 billion)

Low Income Support Mechanism - $262.32 million (The 4Q 2020 funding requirement was $244.08 million)

Rural Health Care Support Mechanism - $166.88 million (The 4Q 2020 funding requirement was $150.51 million)

E-Rate Schools and Libraries Support Mechanism - $611.27 million (The 4Q 2020 funding requirement was $553.08 million)

USAC projects $58.91 million in administrative costs for 1Q 2021, which breaks out to $31.66 million in direct costs for all four support mechanisms, and $27.25 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.

2020

USAC Files Universal Service Support Mechanisms Fund Size Projections For Fourth Quarter Of 2020

August 1, 2020 – The Universal Service Administrative Company has filed the Federal Universal Service Support Mechanisms Fund Size Projections for the Fourth Quarter of 2020. The filing shows the following total projected 4Q 2020 funding requirements for each support mechanism:

High Cost Support Mechanism - $1.248 billion (The 3Q funding requirement was $1.205 billion)

Low Income Support Mechanism - $244.08 million (The 3Q funding requirement was $206.66 million)

Rural Health Care Support Mechanism - $150.51 million (The 3Q funding requirement was $150.96 million)

E-Rate Schools and Libraries Support Mechanism - $553.08 million (The 3Q funding requirement was $554.76 million)

USAC projects $59.38 million in administrative costs for 4Q 2020, which breaks out to $33.48 million in direct costs for all four support mechanisms, and $25.90 million in joint and common costs which include costs associated with billing, collection, and disbursement of universal service funds. This is a slight decrease from last quarter, as administrative costs for 3Q 2020 were $60.24 million. The FCC will use the of the quarterly funding requirements for the four USF Support Mechanisms, the projected administrative expenses, and the USF contribution base amount, to establish a quarterly USF contribution factor.

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