The Federal Communications Commission (FCC) is proposing new rules for the Lifeline program, aiming to ensure benefits go only to "living and lawful Americans." FCC Chairman Brendan Carr cited concerns over alleged fraud, specifically California giving benefits to deceased individuals. The initiative seeks public comment on measures that could change eligibility requirements nationwide.

Carr's plan involves collecting full Social Security numbers, verifying eligibility through the Citizenship and Immigration Services program, and potentially preventing states from using their own verification processes. The FCC's move follows an Inspector General advisory that revealed nearly $5 million in federal funds were provided to providers for over 116,000 deceased subscribers, with the majority in California.

California officials dispute the FCC's claims, attributing discrepancies to lag time between a death and account closure. They argue that the focus on California is misleading. The Lifeline program, which provides subsidies for phone and internet service to low-income households, spends nearly $1 billion annually.

The FCC’s decision comes amid a broader push to combat fraud in government assistance programs. The next steps involve a vote on the proposed rule changes, which could significantly impact the program's administration and the beneficiaries' access to essential services. This could trigger more legal battles.