CEI Joins ATR: Overturn Biden’s Costly and Unlawful Wi-Fi Hotspot Rule with H.J. Res. 33
Dear Representative,
We, the undersigned organizations, urge you to support of H.J.Res. 33, the resolution of disapproval under the Congressional Review Act to permanently overturn President Biden’s wasteful and unlawful use of E-Rate funds.
Introduced by Rep. Russ Fulcher (R-ID), H.J.Res. 33 and its Senate companion,
S.J. Res. 7, would nullify the partisan FCC edict that violates clear federal law and increases taxes on working families. CRA passage would also ensure that a future Democrat FCC could not pass a similar rule.
Last month, the Senate passed Senator Ted Cruz’s (R-TX) companion S.J.Res. 7 with unified Republican support. The Trump administration stated that the Biden- era decision “effectively caused the FCC to act as a social welfare agency rather than a regulator of communications infrastructure.” FCC Chairman Carr also praised the resolution for remedying spending “in the absence of any authorization from Congress.”
The expansion was also bad policy. Taking away parents’ ability to monitor their children’s screentime and internet habits with government-issued hotspots is an unjustified invasion into the homes of millions of Americans. Doing so on the taxpayer’s dime, turning parents’ own hard-earned money against the rules they establish for the good order and successful nurturing of their own households is insulting.
The Biden hotspot rule is also wasteful, duplicative. and harmful to rural broadband buildout. Hotspot eligibility is not limited to children who lack internet at home, which could overrun the program with affluent families looking to save on internet costs by diffusing them to their neighbors. Additionally, this hotspot welfare scheme overlaps with other federal broadband spending, including the $42 billion Broadband, Equity, Access and Deployment (BEAD) program. This doesn’t just waste taxpayer dollars; it also jeopardizes the efforts of rural providers to build out infrastructure in unserved areas.
The Biden hotspot rule finally threatens to raise the Universal Service Fund “contribution rate,” an effective tax on working families through their phone bills. The current USF contribution rate is already a staggering 36.6%. Using USF funds for hotspots threatens to raise this rate even higher, increasing working families’ tax burdens while destabilizing other USF programs.
We urge you to vote YES on H.J. Res. 33 and S.J. Res. 7 to overturn this costly, unconstitutional rule that undermines parental authority over their own children.
Sincerely,
Grover Norquist
President
Americans for Tax Reform
Nathan Leamer
Executive Director
Digital First Project
Steve Chartan
Vice President, Government Relations
Heritage Action for America
Clare Morell*
Fellow
Ethics and Public Policy Center
James Erwin
Executive Director
Digital Liberty
Phil Kerpen
President
American Commitment
Ryan Ellis
President
Center for a Free Economy
Chuck Muth
President
Citizen Outreach
Paul Gessing
President
Rio Grande Foundation
David S. McFadden
Attorney
Competitive Enterprise Institute
Nicole Neily
Executive Director
Parents Defending Education Action
Tom Schatz
President
Citizens Against Government Waste
Brent Gardner
Chief Government Affairs Officer
Americans for Prosperity
Lorenzo Montanari
Executive Director
Property Rights Alliance
Bartlett Cleland
Executive Director
Innovation Economy Alliance
Seton Motley
President
Less Government
David Williams
President
Taxpayer Protection Alliance
Evan Swarztrauber*
Senior Fellow
Foundation for American Innovation
*Indicates individual signatory