History: California High Cost Fund-A

 

The California High Cost Fund-A (CHCF-A) is a subsidy program established by the CPUC in 1987, based on the principle of universal service -- the concept that basic telephone service should be affordable and ubiquitously available to all members of society. The fund provides the subsidy via supplemental revenues (paid through surcharges  on customers’ telephone bills statewide) to 14 small   local telephone companies to ensure basic telephone rates between rural and urban customers are comparable. 

In November 2011, the CPUC opened a Proceeding to review the CHCF-A program, seeking stakeholder input to determine whether program policies should be updated given current market conditions including regulatory and technological changes. 

The California High Cost Fund-A (CHCF-A) is a subsidy program established by the CPUC in 1987, based on the principle of universal service -- the concept that basic telephone service should be affordable and ubiquitously available to all members of society. The fund provides the subsidy via supplemental revenues (paid through surchargeson customers’ telephone bills statewide) to 14 small  local telephone companies to ensure basic telephone rates between rural and urban customers are comparable.  

In November 2011, the CPUC opened a Proceeding in this Docket to review the CHCF-A program, seeking stakeholder input to determine whether program policies should be updated given current market conditions including regulatory and technological changes.  

In December 2014, the CPUC issued a Decision setting small telephone company Rate Case Process and Standards.