§  54.407   Reimbursement for offering Lifeline.

   (a) Universal Service support for providing Lifeline shall be provided
   directly to an eligible telecommunications carrier based on the number
   of actual qualifying low-income customers listed in the National
   Lifeline Accountability Database that the eligible telecommunications
   carrier serves directly as of the first of the month. Eligible
   telecommunications carriers operating in a state that has provided the
   Commission with an approved valid certification pursuant to § 54.404(a)
   must comply with that state administrator's process for determining the
   number of subscribers to be claimed for each month, and in those states
   Universal Service support for providing Lifeline shall be provided
   directly to the eligible telecommunications carrier based on that
   number of actual qualifying low-income customers, according to the
   state administrator or other state agency's process.

   (b) For each qualifying low-income consumer receiving Lifeline service,
   the reimbursement amount shall equal the federal support amount,
   including the support amounts described in § 54.403(a) and (c). The
   eligible telecommunications carrier's universal service support
   reimbursement shall not exceed the carrier's rate for that offering, or
   similar offerings, subscribed to by consumers who do not qualify for
   Lifeline.

   (c) An eligible telecommunications carrier offering a Lifeline service
   that does not require the eligible telecommunications carrier to assess
   and collect a monthly fee from its subscribers:

   (1) Shall not receive universal service support for a subscriber to
   such Lifeline service until the subscriber activates the service by
   whatever means specified by the carrier, such as completing an outbound
   call; and

   (2) After service activation, an eligible telecommunications carrier
   shall only continue to receive universal service support reimbursement
   for such Lifeline service provided to subscribers who have used the
   service within the last 30 days, or who have cured their non-usage as
   provided for in § 54.405(e)(3). Any of these activities, if undertaken
   by the subscriber, will establish “usage” of the Lifeline service:

   (i) Completion of an outbound call or usage of data;

   (ii) Purchase of minutes or data from the eligible telecommunications
   carrier to add to the subscriber's service plan;

   (iii) Answering an incoming call from a party other than the eligible
   telecommunications carrier or the eligible telecommunications carrier's
   agent or representative;

   (iv) Responding to direct contact from the eligible communications
   carrier and confirming that he or she wants to continue receiving
   Lifeline service; or

   (v) Sending a text message.

   (d) In order to receive universal service support reimbursement, an
   officer of each eligible telecommunications carrier must certify, as
   part of each request for reimbursement, that:

   (1) The eligible telecommunications carrier is in compliance with all
   of the rules in this subpart; and

   (2) The eligible telecommunications carrier has obtained valid
   certification and recertification forms to the extent required under
   this subpart for each of the subscribers for whom it is seeking
   reimbursement.

   (e) In order to receive universal service support reimbursement, an
   eligible telecommunications carrier must keep accurate records of the
   revenues it forgoes in providing Lifeline services. Such records shall
   be kept in the form directed by the Administrator and provided to the
   Administrator at intervals as directed by the Administrator or as
   provided in this subpart.

   [ 77 FR 12970 , Mar. 2, 2012, as amended at  77 FR 38534 , June 28, 2012;
    80 FR 35577 , June 22, 2015;  80 FR 40935 , July 14, 2015;  81 FR 33091 ,
   May 24, 2016;  84 FR 71328 , Dec. 27, 2019]