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Thursday, September 24, 2009

Matsui Unveils Broadband Assistance Bill

House Energy and Commerce Communications Subcommittee member Doris Matsui, D-Calif., has introduced a bill that would expand the Universal Service Fund's lifeline assistance program for broadband adoption. The bill directs the FCC to establish a broadband program that provides low-income Americans living in rural and urban areas with assistance in subscribing to affordable broadband internet service. Matsui said her measure would help "fully close the digital divide."

In California, an estimated 96 percent of residences have access to broadband but just over half have signed up for a high-speed connection at home. In most cases, adoption rates are associated with income as seen in recent data from the Public Policy Institute of California, which show that only 58 percent of the state's residents earning under $40,000 a year subscribed to dial-up or broadband at home, according to Matsui's release. In contrast, 97 percent of those earning $80,000 or more subscribed to one of the services.

"It is clear that millions of Americans cannot afford broadband services," Matsui said in a press release, pointing out that in the current economic climate, many cannot afford to pay up to $60 a month for broadband. The legislation models the assistance provided for basic telephone service under the FCC's current lifeline assistance program, which is designed to ensure that quality telecommunications services are available to low-income customers at reasonable rates.

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