No. 41031 (Amendment): Rule R746-341. Lifeline Rule

(Amendment)

DAR File No.: 41031
Filed: 11/28/2016 10:16:05 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

The Lifeline Rule is updated to: 1) align state eligibility requirements for subsidized telephone service with federal standards; and 2) update the participant recertification process per federal guidelines.

Summary of the rule or change:

The changes are: 1) participation in the Low-Income Home Energy Assistance Program (LIHEAP), the Temporary Assistance to Needy Families (TANF) program, or the National School Lunch Program's Free Lunch program will no longer qualify a Utah consumer for subsidized telephone service under the Lifeline program; 2) results of annual recertification efforts must be reported to eligible telecommunications carriers by the first business day of the month in which the verification was last performed; and 3) a participant who becomes ineligible for the Lifeline program must be given 60 days notice before being de-enrolled.

Statutory or constitutional authorization for this rule:

• Section 54-4-1
• Subsection 54-8b-15(7)
• Section 54-4-4

Anticipated cost or savings to:

the state budget:

The state has been administering the Lifeline program for many years and has the budget in place to continue that function. The modification to the eligibility and participant verification rules will not affect the state's administrative duties. No fiscal impact to the state is anticipated.

local governments:

Local governments are not required to enforce or comply with the Lifeline rules. No fiscal impact to local government is anticipated.

small businesses:

Small businesses that provide Lifeline telephone service must modify their eligibility review process. While doing so will require some attention, these changes do not create new costs for providers.

persons other than small businesses, businesses, or local governmental entities:

Individuals who have been qualifying for the Lifeline program through participation in the LIHEAP, the TANF program, or the National School Lunch Program's Free Lunch program will have to demonstrate participation in a different low-income assistance program or provide financial information in order to continue participating. It is not anticipated that any individuals who are currently participating in the Lifeline program will lose the subsidy due to the new eligibility programs.

Compliance costs for affected persons:

To comply, an affected Lifeline service provider must make minor changes to its eligibility review process. No associated costs are anticipated. An affected Lifeline service recipient must demonstrate participation in a low-income assistance program other than the LIHEAP, the TANF program, or the National School Lunch Program's Free Lunch program in order to retain subsidized telephone service. A service recipient who does not participate in any of the approved low-income assistance programs may still qualify by demonstrating that yearly household income is less than 135% of the federal poverty level. No associated costs are anticipated.

Comments by the department head on the fiscal impact the rule may have on businesses:

As explained in the rule analysis, the proposed amendments address administrative duties that are already being performed by affected businesses. These amendments do not impose new costs or result in any other fiscal impact for affected businesses.

Thad LeVar, Commission Chair

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Public Service Commission
Administration
HEBER M WELLS BLDG
160 E 300 S
SALT LAKE CITY, UT 84111-2316

Direct questions regarding this rule to:

• Sheri Bintz at the above address, by phone at 801-530-6714, by FAX at 801-530-6796, or by Internet E-mail at [e-mail]
• Jennie Jonsson at the above address, by phone at 801-530-6763, by FAX at , or by Internet E-mail at [e-mail]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

01/17/2017

This rule may become effective on:

01/24/2017

Authorized by:

Jennie Jonsson, Administrative Law Judge

RULE TEXT

R746. Public Service Commission, Administration.

R746-341. Lifeline Rule.

R746-341-3. Eligibility Requirements.

A. Initial Program-Based Criteria -- An ETC shall provide Lifeline telephone service to an applicant's household which, using an approved application form, is verified by either the program administrator (for State ETCs), or by a federal ETC, in compliance with the procedures set forth in 47 CFR 54.410(c), to be eligible for public assistance under one of the following or its successor programs:

1. Medicaid;

2. Supplemental Nutrition Assistance Program (SNAP or Food Stamps);

3. Supplemental Security Income (SSI);

4. Federal Public Housing Assistance (Section 8); or

5. [Low-Income Home Energy Assistance Program (LIHEAP);]Veterans Pension and Survivors Pension Benefit.

[6. Temporary Assistance to Needy Families (TANF); or

7. National School Lunch Program's Free Lunch Program.]

B. Tribal Residents -- A consumer who lives on Tribal lands is eligible for Lifeline service as a "qualifying low-income consumer" as defined by Section 54.400(a) and as an "eligible resident of Tribal lands" as defined by Section 54.400(e) if that consumer meets the qualifications for Lifeline specified Section A. or if the consumer, one or more of the consumer's dependents, or the consumer's household participates in one of the following Tribal-specific federal assistance programs:

1. Bureau of Indian Affairs General Assistance;

2. Tribally-Administered Temporary Assistance for Needy Families (TTANF);

3. Head Start (if income eligibility criteria are met); or

4. Food Distribution Program on Indian Reservations (FDPIR).

C. Initial Income-Based Criteria -- An ETC shall provide Lifeline telephone service to an applicant who certifies via supporting documentation (to either the ETC for federal ETC customers, or the program administrator for state ETC customers), under penalty of perjury, that the applicant's household income is at or below 135 percent of the then applicable Federal Poverty Guidelines.

1. Income-based eligibility is based on family size and actual income; therefore, an applicant shall certify, under penalty of perjury, the number of individuals residing in the household.

2. An applicant shall certify, under penalty of perjury, that the documentation presented accurately represents the applicant's annual household income. The following documents, or any combination of these documents, are acceptable for Lifeline certification;

a. Prior year's state, federal, or tribal tax return;

b. Current year-to-date earnings statement from an employer or three consecutive months of paycheck stubs within the previous twelve months;

c. Social Security statement of benefits;

d. Veterans Administration statement of benefits;

e. Retirement/pension statement of benefits;

f. Unemployment/Workers Compensation statement of benefits;

g. Federal or tribal notice letter of participation in Bureau of Indian Affairs General Assistance; or

h. Divorce decree or child support wage assignment statement.

D. In order to be approved as a qualifying low-income consumer, an applicant must not already be receiving a Lifeline service, and there must not be anyone else in the applicant's household subscribed to a Lifeline service.

E. Eligibility Certification -- The application form for participation shall be supplied by the ETC or the program administrator and shall be consistent with both the federal requirements, then in effect, and any additional information requirements of the program administrator, and shall include:

1. a statement, under penalty of perjury, as to whether the person is participating in one of the programs listed in Subsection R746-341-3(A) or qualifies under other federal eligibility criteria; or a statement, under penalty of perjury, as to whether the person's household income is at or below 135 percent of the current Federal Poverty Guidelines;

2. if qualified by income-based criteria, a statement, under penalty of perjury, that identifies the number of individuals residing in the household and affirms that the documentation presented to support eligibility accurately represents the applicant's household income;

3. a statement that if the applicant is later shown to have submitted false information in an attempt to qualify for the Lifeline program, the applicant shall be responsible to re-pay the benefits received; and

4. the signature of the applicant, either physical or electronic.

F. False Certification Penalties -- A participant who does not qualify, but who has submitted false documentation or statements to qualify for the Lifeline program, is responsible to re-pay the value of the benefits received to the state Lifeline program, and is subject to whatever penalties are then current for the federal Lifeline program.

G. Tribal Land Lifeline Discounts - This rule does not govern or otherwise affect the Tribal Land Lifeline Discount program.

 

R746-341-4. Duties of the Program Administrator.

A. Initial Eligibility

1. The program administrator shall process all applications submitted for participation in the state Lifeline telephone service program. The program administrator shall check the NLAD for pre-existing participation if possible. The program administrator shall inform the applicant and the state ETC of the results of the application process.

B. Annual Eligibility Verification

1. The program administrator shall verify on an annual basis the continuing eligibility status of state ETC Lifeline telephone service participants. The annual eligibility verification shall be performed on the participant list as defined by the FCC in its May 22, 2013 Public Notice in Docket No. 11-42 and any subsequent FCC guidance.

2. The annual eligibility verification shall be performed by the program administrator using the same process as outlined in the de-enrollment process in R746-341-4.C. and in accordance with 47 CFR Section 54.410(f)(3).

3. The program administrator shall provide results of the annual recertification efforts to the ETCs pursuant to 47 CFR Section 54.410(f)(4) and will provide all necessary FCC Form 555 information to ETCs [by December 31 of the year in which the annual verification was performed]no later than the first business day of the month in which the verification was last performed.

C. De-Enrollment Process

1. The program administrator shall manage the de-enrollment process for state ETC Lifeline [telephone service ]participants who are no longer eligible for the program. Upon an initial finding that a Lifeline recipient is no longer eligible to participate in the state the Lifeline program, the program administrator shall send a notice to the participant explaining the participant's Lifeline telephone service benefit will be discontinued after [30]60 days unless the participant verifies continuing eligibility before that date. The notice shall include the reason(s) for the recipient being ineligible and a description of the options available to the recipient to demonstrate eligibility.

2. At the end of [thirty]60 days, if the participant has not demonstrated continuing eligibility, the program administrator shall notify the relevant state ETC to discontinue the ineligible participant's Lifeline telephone service benefit. The benefit must be discontinued in the month following notification; thus the next month's benefit cannot be provided.

3. Ineligible past participants may reapply for the Lifeline program, but must do so by submitting a completed application to the program administrator for state program participation, or to a federal ETC for federal only participation, in accordance with the application process in R746-341-3.

D. Participants Switching Between ETCs -- When a current Lifeline telephone service participant desires to change to a different ETC's Lifeline telephone service, the participant and ETCs shall follow the established NLAD procedures. A participant who is not able to complete the switch due to unresolved problems may seek the assistance of the Division of Public Utilities requesting help in resolving the issue.

E. Documentation Retention -- The program administrator shall retain income and program eligibility certification documentation, in electronic format, for as long as required by then current federal Lifeline policies. Copies of the relevant documentation shall be made available on request to auditors from either the federal Lifeline telephone service program or the state Lifeline telephone service program.

 

KEY: telephone, telecommunications, rules and procedures, lifeline rates

Date of Enactment or Last Substantive Amendment: [January 7, 2015]2017

Notice of Continuation: October 19, 2015

Authorizing, and Implemented or Interpreted Law: 54-4-1; 54-4-4; 54-8b-15(7)

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