FCC Postpones Enforcement of 6-Cent Prison Phone Call Cap Until 2027

The Federal Communications Commission (FCC) has announced a significant delay in the enforcement of its 2024 rules designed to cap the cost of phone calls for incarcerated individuals, effectively postponing lower rates until April 1, 2027. This decision, revealed by FCC Chairman Brendan Carr, suspends a measure that would have limited in-state prison phone calls to as low as six cents per minute. The move has drawn immediate criticism, with some observers, including journalist Katrina vandenHeuvel, alleging it benefits top political donors associated with the private prison industry.

The 2024 FCC decision, which began a staggered implementation on January 1, aimed to cap in-state phone calls at six cents per minute for prisons and large jails, and seven cents for medium-sized jails. This landmark ruling followed the passage of the Martha Wright-Reed Just and Reasonable Communications Act of 2022, which granted the FCC expanded authority to regulate these rates. Prior to these caps, a 15-minute phone call could cost upwards of $11.35 in some facilities.

The FCC's original 2024 order was projected to save incarcerated people and their families approximately $386 million annually. It also included a crucial provision to ban "site commissions" or kickbacks, where private phone service providers pay correctional facilities a percentage of call revenues, a practice that incentivizes higher rates. These commissions have historically been a substantial revenue stream for prison operators.

Chairman Carr stated that the delay is necessary due to "negative, unintended consequences" stemming from the 2024 order, suggesting that the capped rates were too low to cover safety measures and that facilities might cease offering phone services. This rationale, however, is largely based on claims made by corporations profiting from the existing system.

FCC Commissioner Anna Gomez strongly criticized the decision, stating, "Today, the FCC made the indefensible decision to ignore both the law and the will of Congress." She argued that the blanket two-year waiver undermines the Martha Wright-Reed Act's intent and postpones meaningful relief for millions of families struggling with exorbitant communication costs.

Critics, including Katrina vandenHeuvel, have highlighted the financial ties between private prison companies and political campaigns. Companies like GEO Group and CoreCivic, which benefit from high phone call rates and associated kickbacks, have been significant donors to political figures, including former President Donald Trump. The FCC's delay effectively preserves a lucrative revenue stream for these entities, raising concerns about political influence over regulatory decisions.