S.C. House OKs Cell Phone Fee to Subsidize Land Lines

The South Carolina House has approved legislation that spreads the cost of phone services to cellphone customers, lowering fees on landline bills.

The 103-2 vote Wednesday follows a Public Service Commission ruling requiring cellphone companies to pay into the state's Universal Service Fund, which the Legislature created in 1996 to extend and maintain lines in rural areas.

More than 20 local telephone companies sought last fall's hearing after the bill stalled in the Legislature.

The legislation would cap rural companies' supplements at $40 million. It also requires cellphone customers to begin contributing toward services for hearing- and speech-impaired residents. That would be capped at 10 cents monthly.

House Labor Commerce and Industry Chairman Bill Sandifer says it's only fair to extend the fees to everyone who benefits from landline connections.