Fund Administration
About Fund Administration:
- Fund Adminstration Overview
- How the Universal Service Fund Works
- Purpose of the Universal Service Fund
- Understanding Audits
Fund Administration Tools:
Late Payment Fees
Failure to pay the USAC invoice by the due date will result in the assessment of late payment sanction.
You will find a late payment fee on your invoice if you have made a late payment for the invoice three cycles prior. For example, your June invoice is due by July 15th. Failure to pay by July 15th will result in a late payment sanction, which would be reflected on the September invoice.
Each invoice that is paid late will result in a late payment sanction calculated on that particular invoice. For example if you pay your January and February invoices late you will receive a separate lat payment sanction for each invoice.
Because the unpaid amount is a debt owed to the United States, we are required by the DCIA to impose interest and to inform you what may happen if you do not pay the full outstanding debt. Under the DCIA, the United States will charge interest at the annual rate equal to the U.S. prime rate as of the date of delinquency plus 3.5 percent from the date the contribution was due. This interest rate incorporates administrative charges of collection pursuant to 47 C.F.R. § 54.713. If the debt remains unpaid more than 90 days, you will be charged an additional penalty of 6 percent a year for any part of the debt that is more than 90 days past due. If the debt remains unpaid, the full amount of the outstanding debt may be transferred to the United States Department of Treasury (“Treasury”) for debt collection, and you will be required to pay the administrative costs of processing and handling a delinquent claim as set by the Treasury (currently 28 percent of the debt) However, if you pay the full amount of the outstanding debt and associated administrative fees and penalties within 30 days of the due date, the DCIA interest will be waived. These requirements are set out at 31 U.S.C. § 3717.
Please note that USAC-assessed late payment sanctions are based on the date a payment was received rather than the date a payment was mailed.
Click here for more information on important invoicing deadlines.
