STA Telecom News

August 4, 2009

Federal Universal Service Fee Increase From 11.3% to 12.9%

Effective July 2009, the Federal Universal Service Fee (FUSF) increased from 11.3% to 12.9%. This is the third consecutive quarter the FUSF has increased. During Q1 the fee was 9.5%.

 

May 29, 2009

Expect larger than normal Verizon Business bills in May

Verizon Business contributes to the Federal Universal Service Fund (FUSF) and other regulatory mandates based on revenues from interstate services and interconnected VoIP services. Verizon Business (VZB) in turn recovers these contributions from it’s customers through FUSF and Carrier (CCRC) surcharges.

VZB recently determined it has not been assessing the FUSF and CCRC surcharges on revenue from certain end user charges, which are known under the names End User Common Line Charge, Interstate Line Charge or Subscriber Line Charge, depending on the applicable service and agreement. VZB is now correcting this error, and consistent with their Service Agreement, effective with May billing cycle, they will begin to apply the FUSF and CCRC surcharge on those revenues.

VZB FUSF surcharge is based on the contribution factor that the FCC establishes each quarter. The current factor is 11.3%. This fee helps fund telephone connections in high cost areas as well as communication and information services to schools, libraries and rural healthcare facilities. The CCRC is assessed at 2.52% to recover amounts incurred by the company for regulatory costs, telecommunications services for the sight and hearing impaired, local number portability, and North American Numbering Plan administration.

VZB will bill back the FUSF and CCRC surcharges for a six month period, applying the surcharges to the appropriate revenues from the November billing cycle through and including the April 2009 billing cycle. The FUSF surcharge for the fourth quarter 2008 was 11.4% and for Q1 2009 was 9.5%. The back billed amounts will appear in your May invoice.

Source: Verizon Business

 

February 20, 2009

Effective April, 2009 the Federal Universal Service Fee surcharge is increased from 9.5% to 11.3%

This fee is applied to interstate and international telecommunications charges as well as Interconnected VoIP Service charges considered to be interstate for purposes of FUSF under FCC rules and orders, and helps to fund telephone connections, especially in high cost areas, as well as communication and information services to schools, libraries, and rural healthcare facilities. This charge is usually listed as a separate line item on your invoice under taxes and surcharges.