The Senate Commerce Committee approved legislation Wed. that woul...

under which the fund is distributed, passed 13-9. Much of the non-rural fund goes to Miss. and W. Va. but that could change under the restructuring. Bill sponsor Sen. Smith (R-Ore.) said he would try to work with Sen. Lott (R-Miss.) to look for ways to help “specific states like Mississippi.” Lott opposed the bill, saying Miss. would go from receiving $133 million yearly to just $33 million. “It’s particularly punitive to my small rural state,” Lott said. The bill would calculate support based on wire centers, as opposed to calculating a state average, which critics said favored some states and prevented others from receiving any of the $277 million fund. The bill is known by many as the “Qwest bill,” since Qwest would be a major beneficiary of the formula change. Qwest on Wed. said it “applauded” the senators for passing the bill and that it would create investment in rural telecom infrastructure. BellSouth, which receives the funding in Miss., said comprehensive USF reform was needed, not a piecemeal approach. Sen. Dorgan (D-N.D.), an ardent supporter of USF reform, said he would reluctantly vote for the measure but added that comprehensive reform was needed during the next Congress. Rep. Terry (R-Neb.) has similar legislation in the House. “The momentum created by the Senate Commerce Committee will hopefully carry over to the House so we too can see some meaningful movement on this issue. We need to ensure that this money is allocated to the rural areas this fund was designed to help,” Terry said Wed.