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Proposed Second Quarter 2023 Universal Service Contribution Factor

On March 14, 2023, the FCC released proposed contribution factor for second quarter 2023 which will be 29.0 percent. The contribution factor requires telecommunications companies to pay a percentage of their interstate end-user revenues to the Universal Service Fund.

The FCC announcement also “…emphasizes that carriers may not markup federal universal service line-item amounts above the contribution factor. Thus, carriers may not, during the second quarter 2023, recover through a federal universal service line item an amount that exceeds 29.0% of the interstate telecommunications charges on a customer’s bill.”

The second quarter contribution factor public notice can be viewed here.

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