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The Telecommunications Act of 1996 expanded the traditional goal of universal service to include increased access to both telecommunications and advanced services such as high-speed internet for all consumers at just, reasonable, and affordable rates. The Act established principles for universal service that specifically focused on increasing access to evolving services for consumers living in rural and insular areas, and for consumers with low-incomes. Additional principles called for increased access to high-speed internet in the nation’s schools, libraries, and rural healthcare facilities. The FCC established four programs within the Universal Service Fund to implement the statute: Connect America Fund (formally known as High-Cost Support) for rural areas; Lifeline (for low-income consumers), including initiatives to expand phone service for Native Americans; Schools and Libraries (E-rate); and Rural Healthcare.

The Universal Service Fund is paid for by contributions from telecommunications carriers, including wireline and wireless companies, and interconnected Voice over Internet Protocol (VoIP) providers, including cable companies that provide voice service, based on an assessment on their interstate and international end-user revenues. The Universal Service Administrative Company, or USAC, administers the four programs and collects monies for the Universal Service Fund under the direction of the FCC.

On July 21, 2023, the Commission released an NPRM and Order taking steps to further enhance Tribal applicants' access to the E-Rate program to encourage greater Tribal participation in the program

On July 24, 2023, the Commission adopted plan to bring reliable broadband to rural communities.

On October 20, 2023, the Commission kicked off rulemaking to explore innovative ways to continue to address Alaska's unique connectivity challenges.

On November 8, 2023, the Commission proposed to permit eligible schools and libraries to receive E-Rate support for Wi-Fi hotspots and wireless Internet services that can be used off-premises.

On November 13, 2023, the Commission proposed a three-year pilot program within the Universal Service Fund (USF) to provide up to $200 million available to support cybersecurity and advanced firewall services for eligible schools and libraries.

On December 14, 2023, the Commission adopted rules for further improvements to Rural Health Care Program.

On December 27, 2023, the Commission deferred the commencement of the next fiveyear deployment obligation term for legacy rate-of-return carriers receiving Connect America Fund Broadband Loop Support (CAF BLS) in 2024 until January 1, 2025.