WASHINGTON, June 3 (Reuters) - The U.S. Federal Communications Commission said on Wednesday it is reviewing a $3 billion annual internet subsidy program for schools and libraries amid concerns about excessive screen time for children, adding that it could reform the scheme or end it.
FCC Chairman Brendan Carr said in a statement that the commission is launching a complete review of the E-Rate program, with a new proposal to be released this week. An initial vote on the proposal will take place on June 25.
The FCC has been subsidizing connectivity to and within schools for almost 30 years, Carr noted.
He added that states are addressing excessive screen time in schools, with some school districts removing devices and reducing screen time, particularly for younger children.
In May, the Department of Health and Human Services released the first-ever Surgeon General's warning on the harms of screen use and called on parents to cut excessive screen time for children.
A senior official at the FCC told reporters the proposal raises the question of whether the program has fulfilled its mission and whether continued funding is consistent with Congress' objective.
The agency is seeking public comment on potential legal and policy considerations for assessing children's screen time, as well as protecting children and empowering parents, guardians, and teachers in decision-making involving children's access to subsidized internet service.
E-Rate is funded by fees paid by telecom companies that are collected from consumers through the "Universal Service Fee" on monthly phone bills.
The agency in September voted to end government subsidies for wireless use on school buses. It provided $48 million to fund Wi-Fi on buses in 2024, which the agency said at the time was to help kids do homework on trips.
(Reporting by David Shepardson; Editing by Rod Nickel and Edwina Gibbs)
