The Supreme Court upheld the fee added to phone bills for the Universal Service Fund, aimed at providing subsidized phone and internet services in schools, libraries, and rural areas. In a 6-3 decision, the Court reversed a lower court ruling that deemed the funding unconstitutional, emphasizing its crucial role in serving tens of millions of Americans. The case, challenged by the conservative group Consumers' Research, highlighted divisions among the justices but ultimately led to a reaffirmation of the FCC's authority to collect the fee from telecom providers.
At arguments in March, liberal and conservative justices alike expressed concerns about the potentially devastating consequences of eliminating the fund, which has benefited tens of millions of Americans.
The full 5th U.S. Circuit Court of Appeals, among the nation's most conservative, ruled 9-7 that the method of funding is unconstitutional.
The justices had previously denied two appeals from Consumers' Research after federal appeals courts upheld the program.
The court's ruling upheld the fee added to phone bills to help provide subsidized services in schools, libraries, and rural areas.
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