§  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 consumers it serves.

   (b) An eligible telecommunications carrier may receive universal
   service support reimbursement for each qualifying low-income consumer
   served. 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
   or 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 60 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;

   (ii) Purchase of minutes 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; or

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

   (d) In order to receive universal service support reimbursement, an
   eligible telecommunications carrier must certify, as part of each
   request for reimbursement, that it is in compliance with all of the
   rules in this subpart, and, to the extent required under this subpart,
   has obtained valid certification and re-certification forms 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]

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