Rates May Rise for Lifeline Telephone Programs

Under Ohio’s new telecommunications law, some telephone companies now have the ability to annually increase monthly basic local service rates for Lifeline customers by up to $1.25. Lifeline programs provide financial assistance to low-income residents and help ensure that they can afford telephone service, either through a traditional wireline company or through a qualified wireless provider.

Residential customers of AT&T Ohio with basic local wireline service, including those with Lifeline, have been notified through messages appearing on their November bills that their monthly rates will increase by $1.25 effective Jan. 4.

Under Ohio law, some companies have the ability to annually raise monthly rates by $1.25 on non-Lifeline customers. As a result of advocacy by the Office of the Ohio Consumers’ Counsel and others, rate increases for Lifeline customers were frozen until Jan. 1, 2012.

Lifeline customers will still pay discounted rates, but will no longer be exempted from annual price increases.