About High Cost:

• Overview of the Program
• Overview of the Process
• Site Visits
• Training Events
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• Filing Appeals
• Red Light Status (FCC site)
• Requesting Confidential Information
• Understanding Audits
• Understanding Disaggregation
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• USAC FCC Filings

High Cost Tools:

• Required Forms
• Filing Requirements and Deadlines
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• High Cost Maps IAS
• HCM CLLI Tool
• Disaggregation Maps
• Disaggregation Checklist
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• Disbursement Data Search
• Certification Search
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• Latest News
• Program Compliance - Whistleblower Hotline
• Submitting A Complaint

Step 1: Understand What is Supported

The High Cost Program of the Universal Service Fund, which is administered by the Universal Service Administrative Company (USAC), ensures that consumers in all regions of the Nation have access to and pay rates for telecommunications services that are reasonably comparable to those in urban areas.

Only eligible telecommunications carriers (ETCs) - whether incumbent local exchange carriers (ILECs) or competitive ETC (CETC) carriers - receive High Cost support.

The High Cost Program consists of five support components:

• High Cost Loop (HCL) Support, which includes two sub-components -Safety Net Additive (SNA) Support and Safety Valve Support (SVS)
• High Cost Model (HCM) Support
• Insterstate Access Support (IAS)
• Interstate Common Line Support
• Local Switching Support (LSS)

Long Term Support (LTS) was merged into ICLS in July 2004. Each of the High Cost support components has its own requirements for certification and submission of line count and revenue data as required.

ILEC categories - rural or non-rural company, and "price cap" or "rate-of-return" - determines the type of High Cost support for which a CETC is eligible. The table below provides an overview of which type of High Cost support is available to each category.

Type of Support	Rural or Non-Rural?	Price Cap or Rate-of Return Carrier?	Is it capped?	Subject to True-Up Process?	Subject to ILEC Disaggregation Plans?
High Cost Loop Support	Rural	Price Cap and Rate-of-Return	Yes	No	Yes
High Cost Model Support	Non-Rural Only	Mostly Price Cap	No	No	No. Data at wire center level.
Interstate Access Support	Mostly Non-Rural; few Rural	Price Cap Only	No	Yes. Quarterly Reconciliation	No. Data at UNE Zone level.
Interstate Common Line Support	Mostly Rural; few Non-Rural	Rate-of-Return Only	No	Yes	Yes
Local Switching Support	Rural Only	Mostly Rate-of-Return; few Price Cap	No	Yes	Yes
Safety Net Additive Support	Rural	Price Cap and Rate-of-Return	Yes	No	Yes
Safety Valve Support	Rural	Price Cap and Rate-of-Return	Yes	No	Yes