Supreme Court to Rule on FCC's Universal Service Fund Legality

The U.S. Supreme Court will determine the legality of a fund managed by the FCC designed to expand telecommunications services. This follows claims that Congress unlawfully delegated its authority. The case hinges on constitutional principles regarding Congress's power to delegate legislative functions.

The U.S. Supreme Court has agreed to deliberate on the legality of a congressionally mandated fund managed by the Federal Communications Commission (FCC). This examination follows accusations that Congress illegally delegated its powers to an independent agency, questioning the constitutionality of such actions.

The fund in question, part of the Telecommunications Act of 1996, is critical in promoting telecommunications access across the U.S. It benefits rural areas, low-income families, Native American lands, schools, and libraries. Each telecommunications carrier contributes to the fund, which collects about $9 billion annually.

The legal battle involves the non-delegation doctrine, with challengers, including Consumers' Research, arguing that Congress wrongfully handed over its revenue-raising role to the FCC. The issue is set to be reviewed by the Supreme Court with a decision expected by June.