Current:Home > FinanceAppeals judges rule against fund used to provide phone services for rural and low-income people-Angel Dreamer Wealth Society D1 Reviews & Insights
Appeals judges rule against fund used to provide phone services for rural and low-income people
View Date:2024-12-23 21:03:25
NEW ORLEANS (AP) — Calling it a “misbegotten tax,” a federal appeals court in New Orleans ruled Wednesday that a method the Federal Communications Commission uses to fund telephone service for rural and low-income people and broadband services for schools and libraries is unconstitutional.
The immediate implications of the 9-7 ruling by the 5th U.S. Circuit Court of Appeals were unclear. Dissenting judges said it conflicts with three other circuit courts around the nation. The ruling by the full 5th Circuit reverses an earlier ruling by a three-judge panel of the same court and sends the matter back to the FCC for further consideration. The matter could eventually be appealed to the Supreme Court.
At issue in the case is the Universal Service Fund, which the FCC collects from telecommunications providers, who then pass the cost on to their customers.
Programs funded through the USF provide phone service to low-income users and rural healthcare providers and broadband service to schools and libraries. “Each program has a laudable objective,” Judge Andrew Oldham, nominated to the 5th Circuit by former President Donald Trump, wrote for the majority.
Oldham said the USF funding method unconstitutionally delegates congressional taxing authority to the FCC and a private entity tapped by the agency, the Universal Service Administrative Company, to determine how much to charge telecommunications companies. Oldham wrote that “the combination of Congress’s broad delegation to FCC and FCC’s subdelegation to private entities certainly amounts to a constitutional violation.”
Judge Carl Stewart, nominated to the court by former President Bill Clinton, was among 5th Circuit judges writing strong dissents, saying the opinion conflicts with three other circuit courts, rejects precedents, “blurs the distinction between taxes and fees,” and creates new doctrine.
The Universal Service Administrative Company referred a request for comment to the FCC, which did not immediately respond to phone and emailed queries.
veryGood! (6335)
Related
- Missing Ole Miss student declared legally dead as trial for man accused in his death looms
- Latino communities 'rebuilt' Baltimore. Now they're grieving bridge collapse victims
- Lamar Odom Reveals Where He Stands With Rob Kardashian 7 Years After Khloe Kardashian Divorce
- She bought a $100 tail and turned her wonder into a magical mermaid career
- Alexandra Daddario Shares Candid Photo of Her Postpartum Body 6 Days After Giving Birth
- Newspaper edits its column about LSU-UCLA game after Tigers coach Kim Mulkey blasted it as sexist
- California set to hike wages for fast-food workers to industry-leading $20 per hour
- Go inside Hub City Bookshop in South Carolina and meet mascot cat Zora
- Real Housewives of New York City Star’s Pregnancy Reveal Is Not Who We Expected
- Phoenix gets measurable rainfall on Easter Sunday for the first time in 25 years.
Ranking
- Arizona Supreme Court declines emergency request to extend ballot ‘curing’ deadline
- Ohio authorities close case of woman found dismembered in 1964 in gravel pit and canal channel
- Full hotels, emergency plans: Cities along eclipse path brace for chaos
- Off the Grid: Sally breaks down USA TODAY's daily crossword puzzle, Hey Siri
- NFL overreactions: New York Jets, Dallas Cowboys going nowhere after Week 10
- Veteran CB Cameron Sutton turns himself in weeks after domestic violence allegation
- King Charles Celebrates Easter Alongside Queen Camilla in Rare Public Appearance Since Cancer Diagnosis
- Krispy Kreme has free doughnuts and discount deals for Easter, April Fools' Day
Recommendation
-
Opinion: NFL began season with no Black offensive coordinators, first time since the 1980s
-
2 people charged in connection with house blaze that led to death of NC fire chief
-
LSU's Kim Mulkey's controversial coaching style detailed in Washington Post story
-
State taxes: How to save with credits on state returns
-
Megan Fox and Machine Gun Kelly are expecting their first child together
-
2 killed, 3 injured during shootings at separate Houston-area birthday parties
-
2024 men's NCAA Tournament expert picks: Predictions for Sunday's Elite Eight games
-
A mom's $97,000 question: How was her baby's air-ambulance ride not medically necessary?