Supreme Court to Review FCC's $8 Billion Universal Service Fund's Constitutionality and Mootness

Nov 22, 2024, 08:33 PM

The U.S. Supreme Court has agreed to review the constitutionality of the Federal Communications Commission's (FCC) Universal Service Fund, which allocates $8 billion annually in subsidies for telecommunications services. This decision follows challenges asserting that the fund is unlawfully managed by a private entity, violating the nondelegation doctrine. The Court's review will also address the question of mootness related to the case, which could impact federal administrative power and the oversight of subsidy programs designed to assist rural and low-income consumers. The case stems from a previous ruling by the 5th Circuit that invalidated the federal subsidy program, prompting the government's appeal.