AT&T Overpaid Utah USF $2.26M From 2021 to 2023

The Utah Public Service Commission should repay AT&T for the carrier's error of assessing a higher Utah Universal Service Fund (UUSF) surcharge than the PSC required for two years, AT&T officials said during testimony Friday. AT&T seeks recovery of overpayment to the Utah USF from July 2021 to June 2023 totaling $2.26 million, AT&T tax directors Jannet Tolley and Randy Phoenix testified in docket 24-087-02. The mistake occurred because AT&T failed to fully implement a July 2021 drop in the UUSF surcharge to 36 cents from 54 cents previously. AT&T properly entered the change in its systems for only AT&T affiliates but not the company itself, which uses a different billing system, Tolley testified. "The excess collection and remittances were the result of an inadvertent administrative error. The Company did not benefit from the error as the excess collections for July 2021 through June 2023 were not retained but were remitted to the UUSF each month.” Customers weren’t harmed because AT&T quickly provided credits after learning about the error in July 2023, Tolley said. AT&T has enhanced its billing system with automation features to prevent the problem from recurring, she said. AT&T overpayment to UUSF might mean a 38% increase to the surcharge will be needed, the PSC said in April (see 2404160023).