Technically it is not and was never a tax.  It is a user fee that replaced the 
old AT&T interstate line haul sharing that went away with divestiture.  When 
AT&T quit sharing a portion of the toll with the small independent telcos NECA 
and later USF stepped into that gap and allow them to get the revenue recovery 
that the law specifies by tariff.

If someone doesn't want to pay USF, then avoid using the PSTN.

Has been quite the gravy train for ILECS for a very long time.



________________________________
From: AF <[email protected]> on behalf of Dan P via AF <[email protected]>
Sent: Wednesday, May 20, 2026 12:16 PM
To: AnimalFarm Microwave Users Group <[email protected]>
Cc: Dan P <[email protected]>
Subject: [AFMUG] USF not a tax! IMO should die asap


And I am sure we all know this isn’t a one off deal.   I always love how its 
pushed as “not a tax”



https://www.propublica.org/article/alaska-telecom-subsidies-roger-shoffstall






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