Definition of Universal Service
The Communications Act of 1934 first established the concept of making affordable basic telephone service available to everyone everywhere within a nation, state, or other governmental jurisdiction. This concept led to the formation of a fund known as the Universal Service Fund (USF), which was finally codified in the Telecommunications Act of 1996. In some cases, the concept has been widened to include other telecommunications-information services, mainly Internet access.
Before the Telecommunications Act of 1996, the Universal Service Fund (USF) operated as a mechanism by which interstate long distance carriers were assessed to subsidize telephone service to low-income households and high-cost areas in order to ensure that all the people in the United States have access to rapid, efficient, nationwide communications service with sufficient facilities at realistic charges.
The Telecommunications Act of 1996 expanded the traditional definition of universal service - affordable, nationwide telephone service – to include other services, such as rural health care providers and eligible schools and libraries.
The FCC was established by the Communications Act of 1934 and is charged with regulating interstate and international communications by radio, television, wire, satellite and cable. Today the FCC's jurisdiction covers the 50 states, the District of Columbia, and U.S. possessions.
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