USAC released its annual report to the Federal Communications Commission and Congress which details their activities, expenses and spotlights various performance measures. The E-rate program is one of four Universal Service Programs USAC administers and here are some highlights:
- USAC expenses continue to climb; however, the expense rate is at a 2.4% of USF disbursements which is lower than many of the largest charitable organizations, foundations, and other federal agencies;
- The cost of the FCC OIG audit program in 2006 was at $6 million and climbed to $19.9 million in 2007 and now at $91.7 million in 2008. This covers all four USF programs;
- USAC has hired 11 auditing firms to audit USF program beneficiaries through the FCC OIG audit program;
- 4,064 service providers participated in the E-rate program in 2008. (Funds For Learning conducted a more detailed analysis of the service provider landscape which can be viewed here);
- On average, USAC is processing E-rate payments in ten days or less;
- USAC is processing E-rate appeals between 80 and 120 days.
The full report can be viewed here.