Texas Universal Service Fund

The Texas Universal Service Fund (TUSF) assessment rate has been increased from 3.3% to 24% effective August 1, 2022. In lieu of charging the maximum 24%, GVTC increased the assessment to only 9% in consideration of the financial impact this would have on customers.

Why is the rate increasing?

Two years ago, the Public Utility Commission of Texas (PUC) decided to reduce the financial support paid to rural telecommunication providers like GVTC. The telecommunication providers were forced to sue the state and the courts decided that the PUC was required to pay the more than $200 million that was owed.  In turn, the PUC has chosen to implement a steep rate increase in the Texas Universal Service Charge on consumer bills to generate the necessary funds.  While the PUC authorized an increase from 3.3% to 24%, GVTC increased the assessment to only 9% in consideration of the financial impact this would have on customers.  

Who does this affect?

This rate increase impacts residential and business phone customers.