Abuse of Free Government Cell Phones Is Focus of New Article Posted on the Phone Services Website

Atlanta, GA -- (SBWire) -- 11/06/2013 --Phone Services, a website that offers information about how people may qualify for free government cell phones through the Lifeline Assistance program, has just posted a new article that takes a close look at how the state of Georgia is dealing with the often-rampant fraud that has occurred in the program. For example, as the article noted, fraudulent Lifeline Assistance applications were responsible for close to $200 million in losses in 2012.

Titled “Is Georgia On The Right Track With Its Lifeline Assistance Fee?” the article explains how some states have attempted to combat illegal use of the program by imposing a monthly fee. The state of Georgia passed a resolution that will require residents who are part of the Lifeline Assistance program to pay $5 a month. The Georgia Public Service Commission passed this mandate in March of this year and—if it goes uncontested—the fee will go into effect in January, 2014.

As the article on the helpful site explained, the new fee is extremely controversial. For example, the CTIA, a telecom industry association of wireless companies, contends that it is against the law for the government to determine what a wireless company charges its customers.

In addition, those who oppose the resolution contend that the $5 fee would pose a financial burden on the millions of impoverished Americans who are currently part of the Lifeline Assistance program. The article includes the full details about how to qualify for the program; for example, people who participate must be part of a government assistance program such as welfare, or be at or below the 135 percent Federal Poverty Guidelines. For these individuals, most of whom are unemployed and barely scraping by each month, coming up with an additional $5 a month could be quite challenging.

In order to decrease fraud in the Lifeline Assistance program, the FCC has also passed Lifeline Assistance program reforms, which the article said should save an estimated $2 billion over the next three years. Also, a database of Lifeline participants is currently being created; this will help to find and reject duplicate subscriptions and verify those who are eligible to be part of the program.

“Although Lifeline is well-intentioned, it was clear that the program was in need of further reform,” the article concluded.

“Although the monthly charge may be a hardship on some families, for most it is manageable. It is also a disincentive to break the rule which stipulates that there be no more than one free cell service per household.”

Anybody who would like to read the full article about the current efforts to combat abuse of free government cell phones, which some refer to as “Obama phones,” may do so by visiting the Phone Services website.

About Phone Services
Phone Services is a website that provides people with information about the Lifeline Assistance program. Visitors to the site can learn about the free government cell phone program, the program availability in their state of residence, how to qualify for the program, and which wireless phone service providers take part in the program. For more information, please visit http://www.phoneservices.us/

Media Relations Contact

Pat Obrien
http://www.phoneservices.us/

View this press release online at: http://rwire.com/378231