Friday, June 16, 2017

Proposed Third Quarter 2017 Universal Service Contribution Factor

A Public Notice has been released announcing that the proposed USF contribution factor for the third quarter of 2017 will be 0.171 or 17.1 percent.  Last quarter, the contribution factor was 17.4 percent.

The contribution factor is calculated based on the ratio of total projected quarterly costs of universal service support mechanisms to contributors' total projected collected end-user interstate and international telecommunications revenues, net of projected contributions.  For the third quarter of 2017, the projected revenue requirement (or "costs") of universal service support is $1.896110 billion and the projected industry revenue is $13.110461 billion.  The quarterly contribution base is then adjusted to $11.102207 billion.  If the Commission fails to act within 14 days following the release of the Public Notice, then the calculation is deemed to be approved.

Please contact us if you have any questions.

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