House effort to kill ‘Obamaphone’ program fails

An effort by House Republicans to end federal “Obamaphone” subsidies for wireless voice and broadband service fell short on Tuesday.

The “End Taxpayer Funded Cell Phones Act” won a majority of votes in the House, 207-143. But it was considered under a suspension of House rules, a process used to more quickly process non-controversial bills.

So-called suspension bills need a two-thirds majority to pass, and the final tally fell short of that mark because most Democrats opposed the measure. While it failed on Tuesday, Republicans have the option of bringing it back up and passing it under regular rules, and with a simple majority vote.

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The bill, which was authored by Georgia Republican Rep. Austin Scott and co-sponsored by 27 Republicans, would have ended the wireless portion of the monthly $9.95 “Lifeline” subsidy. Republicans have complained for years that the program is too large after recent expansions, and stands too far outside of congressional oversight.

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The program, which is administered by the Federal Communications Commission, began in the Reagan administration as a way of helping low-income consumers in rural areas gain access to emergency services. The program grew in 2005 to cover wireless service, though that move was widely attributed to President Obama after the release of a viral video of a woman who said she was voting for the president because of the subsidy.

It expanded this year to include broadband service, a move that critics argue moves it even further away from its original intent. Figures provided to the agency this month suggested as much as $500 million annually is being directed to fraudulent applicants using duplicate addresses, which is prohibited under the rules of the program.

Still, Democrats accused Republicans during Tuesday’s debate of trying to remove a vital service for low-income people.

Senior FCC Republican Commissioner Ajit Pai sent a letter to the administrative agency responsible for overseeing the Lifeline program this month, asking it to identify measures that have been taken to counteract fraud.

The Lifeline program is part of the agency’s larger, $12 billion Universal Service Fund, which is funded through a fee imposed on telecommunication services. The fee changes on a quarterly basis, but currently stands at 17.9 percent.

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