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California LifeLine Team August 9, 2017 www.californialifeline.com SUMMARY OF TELECOMMUNICATIONS LOW-INCOME PROGRAMS FOR THE EMERGING TRENDS COMMITTE

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Page 1: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

1

California LifeLine Team

August 9, 2017

www.californialifeline.com

SUMMARY OF

TELECOMMUNICATIONS

LOW-INCOME PROGRAMS

FOR THE EMERGING

TRENDS COMMITTE

Page 2: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

2

California LifeLine Historical Participation

Page 3: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

3

Map of California LifeLine Participants by County

Inyo

Kern

San Bernardino

Fresno

Riverside

Tulare

Siskiyou

Lassen

Modoc

Imperial

Mono

ShastaTrinity

San Diego

Humboldt

Tehama

Monterey

Plumas

Los Angeles

ButteMendocino

Madera

Lake

Merced

Kings

Yolo

Ventura

Placer

Tuolumne

Glenn

SonomaEl Dorado

Santa Barbara

Colusa

Sierra

Mariposa

San Luis Obispo

Napa

Stanislaus

Solano

San Benito

NevadaYuba

Alpine

San Joaquin

Santa Clara

Del Norte

Orange

MarinCalaveras

Sutter

Alameda

SacramentoAmador

Contra Costa

San Mateo

Santa Cruz

San Francisco

Data as of June 30, 2017

Number of Participants

11 - 2,000

2,001 - 10,000

10,001 - 20,000

20,001 - 70,000

70,001 - 150,000

150,001 - 600,000

Page 4: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

4

California LifeLine Participation by County

Data as of June 30, 2017

Page 5: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

Number of Participants by Service Provider

5

Rank Service ProviderNumber of

Participants% of Total

1 Virgin Mobile USA 410,741 22.34%

2 AT&T (SBC) 314,798 17.12%

3 TracFone Wireless 309,536 16.83%

4 Amerimex Communications 166,384 9.05%

5 TruConnect Communications 163,649 8.90%

6 Telrite Corporation 115,925 6.30%

7 Frontier (fka Verizon CA) 87,549 4.76%

8 Boomerang Wireless 83,330 4.53%

9 Air Voice Wireless 62,111 3.38%

10 TAG Mobile 26,472 1.44%

11 Cox Comm. 20,025 1.09%

12 i-wireless 19,080 1.04%

13 Blue Jay Wireless 12,482 0.68%

14 Tcast (Blue Casa) 9,662 0.53%

15 Time Warner Cable 7,276 0.40%

16 Frontier (Citizens CA) 3,757 0.20%

17 TC Telephone 2,973 0.16%

Jun-17

Rank Service ProviderNumber of

Participants% of Total

35 Ducor 323 0.02%

36 Frontier (SWWC 1) 309 0.02%

37 Calaveras 277 0.02%

38 TDS (Happy Valley) 244 0.01%

39 Sebastian (Foresthill) 209 0.01%

40 SureWest (Televideo) 99 0.01%

41 Brighthouse 58 0.00%

42 Free Choice (PCS1) 38 0.00%

43 TDS (Hornitos) 37 0.00%

44 TDS (Winterhaven) 29 0.00%

45 Pinnacles 6 0.00%

46 Astound BB (Wave) 4 0.00%

47 EnhancedComm 4 0.00%

48 Race Technologies 4 0.00%

49 Sage 3 0.00%

50 Matrix (Vartec) 2 0.00%

51 Matrix 1 0.00%

52 CuraTel, LLC (Adir) - 0.00%

Jun-17

Rank Service ProviderNumber of

Participants% of Total

18 ConnectTo 2,553 0.14%

19Global Connection Inc. of

America 2,405 0.13%

20 Budget PrePay 2,304 0.13%

21 Sierra 1,961 0.11%

22 SureWest (Roseville) 1,855 0.10%

23 MCI 1,499 0.08%

24 Sebastian (Kerman) 1,485 0.08%

25 AT&T Comm. 1,273 0.07%

26 Frontier (Global Valley) 1,027 0.06%

27 Charter 911 0.05%

28 Volcano 779 0.04%

29 Ponderosa 690 0.04%

30 Siskiyou 618 0.03%

31 Frontier (Tuolumne) 611 0.03%

32 Frontier (Golden State) 580 0.03%

33 Cal Ore 449 0.02%

34 Frontier (SWWC) 370 0.02%

Jun-17

Data as of June 30, 2017

Does Not Receive Federal Lifeline Support

Page 6: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

California LifeLine Budget and Expenditures

6

FY 12-13 FY 13-14 FY 14-15 FY 15-16 FY 16-17 FY 17-18 Authorized Budget (in millions) $280,000 $282,732 $298,646 $483,530 $485,780 $630,046 Actual Expenditures (in millions) $186,260 $185,286 $292,986 $464,921 $324,071

*FY 16-17 actual expenditures as of May 31, 2017 Fiscal Reports

Page 7: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

7

California LifeLine Monthly Discount* • Effective January 1, 2017, the Specific Support Amount (SSA) is $13.75

• Method for Calculating the SSA is in General Order 153 Section § 8.5

Uniform Regulatory Framework (URF) Carriers of Last Resort (COLRs) participating in California LifeLine are required to submit a rate sheet of all their basic flat and measured service rates effective July 31st of each year for the purposes of computing the SSA.

8.5.2 CD will reset the SSA annually , effective January 1 of each year, at 55% of the highest reported URF COLR rate, rounded to the nearest $0.05.

8.5.3 In subsequent years, the SSA will be set and reported to California LifeLine Service Providers via an Administrative Letter using the same computation methodology set forth in Section 8.5.2.

*California LifeLine participants are also exempt from paying the universal service charges. As an example, a $100 phone bill exempts a California LifeLine participant from paying about $2.40 in both federal and state universal service charges. The savings from this exemption is in addition to the monthly SSA.

Page 8: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

8

California LifeLine Non-Recurring Discount

Discount

Type

Frequency of Discount

Discounted Service Connection Rate

Reimbursable Activities for Service Connections

Wireline

Up to $39

Service Connection or Service Conversion

Unlimited

$10

4 Types

Wireless

Up to $39

Service Connection

Limit of 2 Per Year

$0

2 Types

Page 9: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

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Program-Based Eligibility

• Women, Infants and Children Program (WIC)

• National School Lunch Program (NSLP)

• Low Income Home Energy Assistance Program (LIHEAP)

• Temporary Assistance for Needy Families (TANF)

1. California Work Opportunity and Responsibility to Kids (CalWORKs)

2. Stanislaus County Work Opportunity and Responsibility to Kids (StanWORKs)

3. Welfare-to-Work (WTW)

4. Greater Avenues for Independence (GAIN)

• Medicaid/Medi-Cal

• CalFresh, Food Stamps or Supplemental Nutrition Assistance Program (SNAP)

• Supplemental Security Income (SSI)

• Federal Public Housing Assistance or Section 8

• Federal Veterans and Survivors Pension Benefit Program

• Bureau of Indian Affairs General Assistance

• Head Start Income Eligible (Tribal Only)

• Food Distribution Program on Indian Reservations (FDPIR)

• Tribal TANF

Page 10: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

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Income-Based Eligibility (uses 150% of FPG*)

Household Size Household’s Annual

Income Limit

1-2 $26,400

3 $30,700

4 $37,300

5 $43,900

6 $50,500

7 $57,100

8 $63,700

9 $70,300

10 $76,900

Each Additional

Member

$6,600 *FPG is the acronym for Federal Poverty Guideline.

Page 11: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

11

California LifeLine Participation Rate*

135% of FPG

2,609,348

70%

150% of FPG

2,931,475

63%

200% of FPG

4,021,957

46%

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*June 2017 volume of participants was 1,838,767. The California Department of Finance provided the volume of eligible households using the 2015 American Community Survey. FPG is the acronym for Federal Poverty Guideline.

Page 12: SUMMARY OF TELECOMMUNICATIONS LOW-INCOME …...46 Astound BB (Wave) 4 0.00% 47 EnhancedComm 4 0.00% 48 Race Technologies 4 0.00% 49 Sage 3 0.00% 50 Matrix (Vartec) 2 0.00% ... FPG

12

Upcoming Changes from the FCC

Near Term = Year 2017 and Beyond

California’s Extension

from the FCC to Implement

Restrictive Eligibility

Criteria Ends (Oct. 31, 2017)

Minimum Standards for Mobile Voice

Telephony Services and BIAS Increase

(Dec. 1, 2017) (Dec. 1, 2018)

Monthly Monetary

Support for All Voice

Telephony Services

Decreases to $7.25

(Dec. 1, 2019)

Consumers in All States Use the National

Lifeline Eligibility Verifier

(Dec. 31, 2019)

Monthly Monetary

Support for All Voice

Telephony Services

Decreases to $5.25

(Dec. 1, 2020)

Monthly Monetary

Support for All Voice

Telephony Services

Stops* & BIAS Required in

All Supported Service Plans (Dec. 1, 2021)

*exception if the only ETC in the Census block then get $5.25