The rental housing sector is pushing federal policymakers to reform the Universal Service Fund (USF) in a way that aligns with how broadband is currently delivered in multifamily communities. With bulk billing and managed Wi‑Fi becoming common practice, advocates say reforms must recognize these delivery models rather than penalize them.
The USF, administered by the FCC, has long funded affordable communications, expanding from telephone to broadband and Lifeline supports. In today’s rental housing landscape, reliable internet is essential for work, education, healthcare, and civic participation, meaning USF design decisions affect millions of households.
Lawmakers recently reconstituted the USF Working Group, a bipartisan, bicameral effort to modernize the program and ensure its long-term sustainability. Housing and broadband stakeholders see this as a timely chance to address structural gaps that have historically limited renter access to affordability programs.
A key issue is renter eligibility. Bulk billing—where connectivity is bundled into rent or offered as a transparent amenity—can reduce upfront costs and administrative hurdles, but under some prior programs, households in such arrangements were ineligible for benefits that require a separate retail bill. Advocates urge changes that let benefits flow to renters through property owners or broadband fees, preserving equity while preserving the efficiency of bulk delivery.
In a joint letter, NMHC, NAA, and RETTC urged policymakers to maintain a technology-neutral framework and to recognize bulk billing as an affordability enabler rather than a barrier. The letter calls for practical mechanisms to ensure renters gain access to Lifeline-like support, regardless of how service is billed, while safeguarding program integrity.
Alongside federal action, several states have considered laws affecting bulk billing. California’s AB 1414, Virginia’s HB 1709, and New York’s S 7601 illustrate the tension between consumer choice and affordability. Industry groups warn that overly prescriptive rules could destabilize assets already delivering cost-effective broadband, underscoring the need for careful policy design that keeps renters connected while expanding the reach of USF support.
Looking ahead, NMHC, NAA, and RETTC say they will continue to engage with the USF Working Group, offering data, real-world examples, and expertise. They also point to resources like the Bulk Billing Toolkit to support advocates at the local level as the policy conversation moves forward.
