Everything You Need to Know about Lifeline Supported Cell Phones.

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1 Everything You Need to Know about Lifeline Supported Cell Phones. Presented By: Mark Erpelding of Open Access Connections Jon Brown of Minnesota Public Utilities Commission

2 What do we currently know about Lifeline Supported Cell phones? What have you heard clients say about Lifeline Cell Phones? What are your personal experiences with Lifeline supported Cell Phones?

3 Benefits to a Lifeline Cell Phone: Why Should We Care? Clients are better able to achieve goals (housing, employment, ect.) Clients are better able to communicate with case managers. Clients Better able to communicate with friends, family, other sources of support. Clients have ability to call 911 (even when out of minutes). Clients are able to enter the communication mainstream. A free resource for our clients!

4 What You Will Learn from Today s Presentation A A Basic Overview of the Lifeline Program Basic Eligibility Requirements Overview of Existing Lifeline providers in Minnesota You will be able to help your clients in becoming informed consumers Additional Communication

5 Free Voice Mail Services Served 62,000 people since ,800 people all across the state of Minnesota 300 partner agencies Consumer advocate on Lifeline and other technology access issues.

6 What is the Minnesota Public Utilities Commission? Government Agency for utility regulation What does the PUC regulate? Local and in-state long distance telephone companies Investor-owned owned electric and natural gas utilities Permitting for transmission lines, power plants, and pipelines Approve Eligible Telecommunications Carriers (ETC) Lifeline 50 Total Staff 5 Commissioners appointed by Governor Consumer Affairs 3 Mediators and a Manager

7 Consumer Affairs Office What does our office do? Mediation between utility companies and their customers Consumer Education Telephone Discount Programs Cold Weather Rule Utility Resource Public Comments Administrative support for agency staff and Commissioners

8 Telephone Assistance Plan - TAP State counterpart to the Federal Lifeline Program Programs mirror each other in eligibility. If you are eligible for TAP would receive Lifeline if it is available All traditional landline providers offer TAP Credit is now $3.50 as of October 2013

9 Growth of Lifeline Program Lifeline has experienced strong growth in the last 5 years The addition of cell phones to the program has been a key reason for the increase in subscribers Cell providers now make up many states largest supplier of Lifeline discounts

10 FCC Overhauls Lifeline Program 2012 After many years FCC implements host of changes to Lifeline Program Annual recertification of all lifeline subscribers Large number of customers removed Discontinued Link-Up assistance - except on tribal lands Change from tiered discount levels to a flat rate of $9.25 Implementation of duplicates database

11 FCC Overhauls Lifeline Program (cont.) Major changes to application No more self-certifying must provide proof of eligibility Additional guidelines for temporary housing Expanded/clarified definitions allowing for more than one discount per address Must be separate economic units Additional Lifeline Household Worksheet required

12 Common Questions/Issues Loss of discount Failed recertification or more than one discount How to get a replacement handset Lost or stolen Confirmation of legitimacy General questions about Lifeline No response from company after applying

13 Quick Lifeline Program Overview Part of the Universal Service Fund Lifeline began in 1984 under Ronald Reagan During Telecommunication Deregulation Expanded in 2005 during Hurricane Katrina Lifeline is a bi-partisan program!

14 Quick Lifeline Program Overview Lifeline is part of the Universal Service Fund Universal Service Fund ($8.71 billion program) Universal Service Fund is composed of: Lifeline ($2.19 billion) High Cost Program (Supporting Rural Areas) ($4.15 billion) Rural Health Care Program: ($155 million) Schools and Libraries Program ($2.22 billion)

15 Overview of The Lifeline Process FCC: Oversees Lifeline Program USAC: Contracted to Administer Lifeline Program State Public Utilities Commission: Oversees Lifeline program Locally Companies Apply to Become a State Lifeline Provider: Known as Eligible Telecommunication Carrier Some Lifeline Companies Subcontract with other Companies to Distribute Services

16 Lifeline In Minnesota $9.64 million annually (Approximately 86,800 people) $4.45 million providing landline subsidies (40,100 People) CenturyLink is Largest landline Lifeline provider $1.82 million (Approximately 16,420 people) $5.19 million providing prepaid cell phone subsidies annually (Approximately 46,700 people) Life Wireless (Parent Company Telrite) ) is largest prepaid cell phone Lifeline provider $3.63 million (Approximately 32,700 people)

17 Rise in Lifeline Cell Phones First Lifeline Cell phone provider Began operating in Minnesota February 2012 There are currently 8 active Lifeline cell phone providers. Program has grown $5.19 million annually (Approximately 46,700 people) Rise in Lifeline cell phones have come in a time of scarcity of resources

18 In comparison During the 2013 Legislative Campaign $4 million increase in the Homeless Youth Act $2 million increase in the Long Term Homeless Supportive Services Fund. These increases are through the Minnesota budget biennium. Compare this to the $5.19 million provided in free cell phone services annually. This figure will likely rise, and there is no limit to how much could be provided in Minnesota.

19 Networks are Important Companies Contract with Networks of Large Cell Phone Providers to Deliver their Services. One Network May Not Adequately Serve Your Clients!

20 What Companies Offer Lifeline Cell Phone Service There are 7 companies that provide Lifeline Cell Phone Services T-Mobile offers the Lifeline discount to eligible recipients on a contract plan. All Lifeline companies offer a plan with at least 250 minutes.

21 Life Wireless Parent Company is Telrite Corporation Uses AT&T and Verizon Networks Plan 1: 250 minutes that do not rollover Plan 2: 125 minutes that do rollover Text messaging at rate of 3 text messages per minute of air time Website: Customer Service Some Community Outreach

22 Life Wireless: Adding Minutes $5=60 additional minutes (8.3 cents/minute) $10=130 additional minutes (7.9 cents/minute) $4.95= 1 day unlimited talk & text $7.95= 3 days unlimited talk & text $12.95= 7 days unlimited talk & text $19.95= 14 days unlimited talk & text $29.95= 1 month unlimited talk & text You can add additional airtime online, or at MoneyGram locations. There is a $2.99 fee for using MoneyGram.

23 Assurance Wireless Uses the brand name Virgin Mobile, subsidiary of Sprint Uses the Sprint Network 250 minutes and 250 text messages Website: Customer Service: Lots of television commercials

24 Assurance Wireless: Adding Minutes $5= 250 additional minutes and 250 additional text messages $20= 750 additional text messages & 750 additional text messages $30= Unlimited talk, text, and web You can add additional air time online, or by purchasing Top-Up cards from stores such as Target, Wal-Mart, and Best Buy.

25 TerraCom Wireless Uses a combination of networks Offers 250 minutes and text messaging at a rate of one text message per minute of air time. Website: Customer Service: TerraCom Wireless has a history of security breeches (we will talk about this later)

26 TerraCom Wireless: Adding Minutes Additional minutes start at $5 for 60 minutes Website and customer service is unclear about additional rate plans.

27 QLink Wireless Plan 1: 250 minutes that do not rollover; text messaging at rate of 1 text/minute of air time Plan 2: 125 minutes with rollover; text messaging at rate of 1 text/minute of air time Plan 3: 68 minutes of air time with rollover; text messaging at a rate of 3 texts/minute of air time, and no additional cost for international calls. Uses the Sprint Network Website: Customer Service:

28 Qlink Wireless $10= 50 minutes of airtime $20= 100 minutes of air time $30= 150 minutes of air time $35= 200 minutes of air time $50= 500 minutes of air time $60= Unlimited air time Additional minutes can be purchased through their website or by calling customer service.

29 Budget Phone Offers 250 minutes Uses a combination of networks Website: Customer Service: Tends to provide more advanced phones Performs some outreach at community events.

30 Budget Mobile: Adding Minutes $5=100 additional minutes and 1,000 text messages $10= 250 additional minutes and 1,500 text messages $20= 750 additional minutes and 4,000 text messages $30= 1,75 additional minutes and 6,000 text messages You can purchase additional minutes through their website

31 Entouch Subsidiary of Boomerang Plan 1: 250 minutes that do not rollover Plan 2: 125 minutes that do rollover Text messaging at rate of 1 text message per minute of air time Website: Customer Service:

32 Entouch: : Adding Minutes

33 Reachout Wireless Plan 1: 250 minutes that do not rollover Plan 2: 125 minutes that do rollover Additional Minutes start at $3 for 30 minutes. Website: Customer Service

34 TerraCom Wireless & Free Phone Free Phone Minnesota Minnesota Independent 3 rd party distributor of Life Wireless Services Began operating February of 2012 Around February of 2013, stopped distributing services of Life Wireless, and began distributing services of TerraCom Wireless. July of 2013, Terracom Wireless ended their relationship with Life Wireless. July of 2013 Free Phone Minnesota closes for business

35 TerraCom Wireless & Free Phone Minnesota April 2013 Reporter of Scripps Howard News Service informs TerraCom Wireless of a Security Breech Personal information including name, address, social security number, and involvement on program enrollment TerraCom Wireless sent a letter of the 2,404 Minnesotans affected by the security breech, set up hotline, and provided minimal information how people can check their credit scores.

36 TerraCom Wireless & Free Phone Minnesota Example of how fast things can move. How confusing it can be Need for consumer advocacy Keep clients adequately informed of changes Advocate for stronger security standards

37 T-Mobile Does not offer an exclusive Lifeline cell phone service, but will provide Lifeline subsidy to existing contract plans. Very small, not very well marketed

38 What If I have Questions/Complaints about a Lifeline Provider Contact the Public Utilities Commission or toll free at Consumer.puc@state.mn.us Contact Open Access Connections Lifeline Hotline Join our Advocacy Efforts Contact Mark Erpelding,,

39 National Lifeline Issues Attacked by certain members of Congress and Senate FCC is working to eliminate duplicate members

40 What if a Lifeline Cell Phone is not Enough Service? Open Access Connections Voice Mail We partner with over 300 agencies across the state of Minnesota. Distribute more than 3,200 voice mail numbers annually. Completely free to clients. We have a hotline number for people in Greater Minnesota to check their voice mail number toll-free. Perfect complement to a Lifeline cell phone. Consistent number to put on resumes and housing applications. A Lifeline cell phone becomes unusable when you run out of minute.

41 What if a Lifeline Cell Phone is not Enough Service? How do I become a partner agency? Attend a one hour training. You will be given your own set of numbers to manage. It only takes 5 minutes to sign a person up for voice mail. Complete and send a client assignment sheet.

42 St. Cloud Training Tuesday, October 29 th, :30am-11am American Heritage National Bank nd Street South St. Cloud MN Contact me at or mark@openaccessconnections to reserve a spot!

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