Rep. Zack Fields, D-Anchorage, speaks Friday, April 26, 2024, on the floor of the Alaska House of Representatives. (Photo by James Brooks/Alaska Beacon)
The Alaska House of Representatives is backing the preservation of a multibillion-dollar federal aid program that subsidizes phone and internet service in rural America.
The legality of the Federal Communications Commission’s Universal Service Fund is being considered by the U.S. Supreme Court, and on Monday, the state House voted 33-6 to request that Congress preserve the fund whether or not the court rules against it.
No state benefits more from the USF than Alaska, which in 2023 was the beneficiary of $509 million in spending from the fund. That spending subsidizes internet access for rural schools, clinics and households.
House Joint Resolution 6, which advances to the Senate, was sponsored by the House Labor and Commerce Committee.
“There’s broad, bipartisan support for the Universal Service Fund,” said committee chair Zack Fields, D-Anchorage.
The organizations supporting HJR 6 include the Alaska Federation of Natives, the Alaska Chamber of Commerce, the Alaska Municipal League, and “just about every school district in the state,” Fields said.
The Alaska Department of Law has also filed an amicus brief with the U.S. Supreme Court in support of the fund’s legality.
Rep. Will Stapp, R-Fairbanks, spoke in support of the resolution, saying that “on balance, (it) is a very beneficial program, especially in the area of delivering communication services in the rural health portion of it, which provides critical needs to all Alaskans, especially those in rural communities.
Rep. Neal Foster, D-Nome, was excused absent from the vote, and six Republicans voted against the resolution: Reps. Jamie Allard of Eagle River, Kevin McCabe of Big Lake, George Rauscher of Sutton, Dan Saddler of Eagle River, Cathy Tilton of Wasilla, and Sarah Vance of Homer.
McCabe, speaking against the resolution, said he opposes the USF because it is funded by a fee on telecom companies.
“This is a tax. It’s a big, beautiful tax,” McCabe said. “I understand the need for it. I just can’t support a tax. If you’re a conservative Republican, and you’re worried about taxes, this is a tax.”
Fields attempted to rebut the assertion by noting that most of the fund’s fees are collected outside Alaska, which benefits from the result.
“If you think that Alaskans should have good infrastructure and that maybe people from New York or Silicon Valley should pay for it, this is a good resolution for you,” he said. “Our citizens should not be saddled with the worst telecom access on the planet. We deserve equity and access.”
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