Free Cell Phones for the Poor

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Right, I just figured everyone assumed I was :screwloose:
I didn't know anyone actually paid attention to what I wrote.
I will give you credit for standing firm in your convictions through the serious debates thrown at you from this forum.

 
You know, I really thought about this this morning. I was thinking, "Why doesn't the government give me a cellphone?" and then I thought about how I could never accept it, because I didn't feel like I had earned it. That's the big huge difference in some of these instances. I don't think I deserve everything I want from the government. I pay taxes for a few services, but there has got to be a point where I step in. I worked at a ranch for awhile where we got room and board, but on days where we were off, we didn't get fed because it was "You don't work, you don't eat." Fair enough. I used to be kinda for higher taxes for the wealthy, but that's just putting me in the same boat as welfare folks who want free phones from my money.
Argh. eb.com has me thinking again...
These free phones aren't paid for with taxes, they're fees the telecom companies pass along to the consumer to pay for the Universal Service Fund. They've been giving free or reduced land line phone service for years, and by my estimation, the free 68 prepaid minutes a month they give on this cell phone is about equal to the cost of a basic service land line.
 
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Skywarp,

please explain the difference to me between taxes and fees.

Which one is added to our bill as an extra cost? and which one can we elect not to pay?

 
These free phones aren't paid for with taxes, they're fees the telecom companies pass along to the consumer to pay for the Universal Service Fund. They've been giving free or reduced land line phone service for years, and by my estimation, the free 68 prepaid minutes a month they give on this cell phone is about equal to the cost of a basic service land line.
Maybe it does cost the same to provide a cell phone as it would to provide a land line. I don't know. But, from what I've seen, this is not a plan to eliminate the free land line service... this is a free cell phone in addition to the free land line. Also, I assume (hope) that the free land line is limited to one per household... while the free cell phone is probably one per adult.

 
Skywarp,
please explain the difference to me between taxes and fees.

Which one is added to our bill as an extra cost? and which one can we elect not to pay?
Telecom companies aren't required to tack on a fee to your bill for the USF. They have to pay, some probably pass on more of the cost to you than others. Unless you consider the fees to be built in, you can duck this one and others with a prepaid phone.



 
Maybe it does cost the same to provide a cell phone as it would to provide a land line. I don't know. But, from what I've seen, this is not a plan to eliminate the free land line service... this is a free cell phone in addition to the free land line. Also, I assume (hope) that the free land line is limited to one per household... while the free cell phone is probably one per adult.
https://www.safelinkwireless.com/Enrollment...ow_to_qlfy.aspx

The process to qualify for Lifeline Service depends on the State you live in. In general, you may qualify if...AND

No one in your household currently receives Lifeline Service through another phone carrier.
Rules vary by state but in Florida it's definitely one lifeline service line per household: http://www.floridaopc.gov/lifeline.cfm

 
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SkyWarp: Thanks for the education!

The Universal Service Fund (USF) is one fund with four programs.
The four programs are:

* High Cost - This support ensures that consumers in all regions of the nation have access to and pay rates for telecommunications services that are reasonably comparable to those in urban areas.

* Low Income - This support, commonly known as Lifeline and Link Up, provides discounts that make basic, local telephone service affordable for more than 7 million low-income consumers.

* Rural Health Care - This support provides reduced rates to rural health care providers for telecommunications and Internet services so they pay no more than their urban counterparts for the same or similar telecommunications services.

* Schools & Libraries - This support, commonly referred to as E-rate support, provides affordable telecommunications and Internet access services to connect schools and libraries to the Internet. This support goes to service providers that provide discounts on eligible services to eligible schools, school districts, libraries, and consortia of these entities.

In the past, only long distance companies made contributions to support the federal Universal Service Fund. In 1996, Congress passed a law that expanded the types of companies contributing to the Universal Service Fund.

Currently, all telecommunications companies that provide service between states, including long distance companies, local telephone companies, wireless telephone companies, paging companies, and payphone providers, are required to contribute to the federal Universal Service Fund. Carriers providing international services also must contribute to the Universal Service Fund.

Telecommunications companies pay contributions into one central fund. USAC makes payments from this central fund to support the four Universal Service Fund programs.
I couldn't find any newer statistics than these:

Estimated 2007 Support: $6.95 billionHigh Cost: $4.3 billion

Low Income: $822 million

Rural Health Care: $37 million

(Funding Year 2007)

Schools & Libraries: $1.8 billion

(Funding Year 2007)
 
Good info ^^^ but I must add that if they have 6.95 billion, then 6.94 billion of it should be in the Schools & Libraries category.

It'd be money better spent.

 
Hooray for free cell phones!

Pennsylvanians on public assistance now have a new 'civil right' -- free cell phones. Meanwhile, the rest of us get to pay higher cell bills as a result.
I have a real problem with free luxury services being classified as a "civil right." Health care, maybe. Housing assistance pisses me off, but at least it keeps people off the street. But cell phones? WTF?

Recently, a federal government program called the Universal Service Fund came to the Keystone State and some residents are thrilled because it means they can enjoy 250 minutes a month and a handset for free, just because they don't have the money to pay for it. Through Assurance Wireless and SafeLink from Tracfone Wireless these folks get to reach out and touch someone while the cost of their service is paid for by everyone else. You see, the telecommunications companies are funding the Universal Service Fund to the tune of $4 billion a year because the feds said they have to and in order to recoup their money, the companies turn around and hike their fees to paying customers.
That's lovely. Government is using private industry to redistribute our wealth. Kudos, Obama.

But those of use paying for the free service for the poor, should be happy about this infuriating situation, says Gary Carter, manager of national partnerships for Assurance, because "the program is about peace of mind." Free cell service means "one less bill that someone has to pay, so they can pay their rent or for day care...it is a right to have peace of mind," Cater explained.
Yeah Gary, it makes me sleep a whole lot better at night knowing that my cell service is more expensive so that someone can enjoy a luxury at no cost to them. If people are really making a decision between paying their rent or paying their cell phone bill, they need a forceful realignment of their priorities.

 
Free cell phones for the poor is still a less expensive option than a free university education for the poor so they can get, for example, an engineering degree and watch their job get shipped out to China or Mexico and end up poor anyway.

 
Hooray for free cell phones!

Pennsylvanians on public assistance now have a new 'civil right' -- free cell phones. Meanwhile, the rest of us get to pay higher cell bills as a result.
I have a real problem with free luxury services being classified as a "civil right." Health care, maybe. Housing assistance pisses me off, but at least it keeps people off the street. But cell phones? WTF?

Recently, a federal government program called the Universal Service Fund came to the Keystone State and some residents are thrilled because it means they can enjoy 250 minutes a month and a handset for free, just because they don't have the money to pay for it. Through Assurance Wireless and SafeLink from Tracfone Wireless these folks get to reach out and touch someone while the cost of their service is paid for by everyone else. You see, the telecommunications companies are funding the Universal Service Fund to the tune of $4 billion a year because the feds said they have to and in order to recoup their money, the companies turn around and hike their fees to paying customers.
That's lovely. Government is using private industry to redistribute our wealth. Kudos, Obama.

But those of use paying for the free service for the poor, should be happy about this infuriating situation, says Gary Carter, manager of national partnerships for Assurance, because "the program is about peace of mind." Free cell service means "one less bill that someone has to pay, so they can pay their rent or for day care...it is a right to have peace of mind," Cater explained.
Yeah Gary, it makes me sleep a whole lot better at night knowing that my cell service is more expensive so that someone can enjoy a luxury at no cost to them. If people are really making a decision between paying their rent or paying their cell phone bill, they need a forceful realignment of their priorities.
For once, we agree on something. Mostly. I do think housing assistance needs be expanded.

Free cell service is ridiculous. It's an extravagance; cell phones are *not* required to live in the modern era, period - I don't have one, yet somehow I manage to survive.

More importantly, the phones are likely to be stolen, traded or sold on the street.

Now - if you want to give a phone *card*, or better yet supply a free answering service of some sort, we can talk. In the modern economy, nobody legit - including McDonalds - will hire someone without access to a phone. But that's the only even semi-legitimate concern I can see.

 
Free cell phones for the poor is still a less expensive option than a free university education for the poor so they can get, for example, an engineering degree and watch their job get shipped out to China or Mexico and end up poor anyway.
When your only argument is a hammer, every topic looks like a nail, eh Exengineer?

 
For once, we agree on something. Mostly. I do think housing assistance needs be expanded.
Free cell service is ridiculous. It's an extravagance; cell phones are *not* required to live in the modern era, period - I don't have one, yet somehow I manage to survive.

More importantly, the phones are likely to be stolen, traded or sold on the street.

Now - if you want to give a phone *card*, or better yet supply a free answering service of some sort, we can talk. In the modern economy, nobody legit - including McDonalds - will hire someone without access to a phone. But that's the only even semi-legitimate concern I can see.
Free phone service has been available since the 1930s. Technology is changing such that the average American household has a cell phone, rather than a landline. The program is simply reflecting that. I don't get where you think they will use a phone card...at those abundant pay phones that are on every corner? If you need a phone number to get hired, it seems a lot cheaper to continue this program than to put someone on welfare. I don't know how much you think a Tracfone will get on the street, but it's not much. Also, if access to health care is so important, how is someone supposed to call for an ambulance in an emergency?

I don't view it as a luxury and I've ALWAYS paid for this one. Always! It's nothing new!

 
Why does one need a cell phone? What about it is so much more reliable than a landline? The free cell phone deal is an absolute joke.

 
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