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Supreme Court takes up $8B phone and internet subsidy for rural areas


The Supreme Court seems likely to preserve the $8 billion a year the government spends to subsidize phone and internet services in schools, libraries and rural areas.

The justices heard nearly three hours of arguments in a new test of federal regulatory power, reviewing an appellate ruling that struck down as unconstitutional the Universal Service Fund, the tax that has been added to phone bills for nearly 30 years. Liberal and conservative justices alike said they were concerned about the potentially devastating consequences of eliminating the fund that has benefited tens of millions of Americans. “This is simply not the right case for the court to revamp the nondelegation doctrine,” lawyer Paul Clement told the justices on behalf associations of telecommunications companies.

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