Free Wireless Lifeline Plans Likely to be Approved in California

On January 29, 2013, the California Public Utilities Commission (“CPUC”) released two draft Resolutions proposing to approve free Lifeline plans for Nexus Communications, Inc. (Draft Resolution T-17389) and Assurance Wireless (Draft Resolution T-17388), both granted ETC Designation by the CPUC in 2011. If approved, these free plans would afford Lifeline Subscribers 250 minutes of use per month at no cost (after the federal subsidy of $9.25 is applied). This marks a departure from the CPUC’s existing policy that wireless Lifeline subscribers be required to pay a minimum of $2.50 per month in order to be eligible for Lifeline service. These Resolutions are slated for vote and the CPUC’s February 28th Business Meeting.