Saturday, April 27, 2013

WARNING: The cost of the Federal free phone program is spinning out of control

What started out as an effort by President Reagan to help poor people in rural areas have a phone in cases of emergency has mushroomed into what critics suspect is a new welfare program. 
"The cost has gone from $143 million a few years ago to $2.2 billion today," Republican Louisiana Sen. David Vitter said, noting that today's cost is 15 times what it was. 
The cost of the program increased dramatically after cellphones were added in 2008. Only low-income people on welfare and food stamps legally qualify, but some lawmakers say the program is out of control.
[...] 
"....The FCC, itself, said in a recent year there were 270,000 beneficiaries that had more than one of these subsidized cellphones. That's completely against the law right there." Funded by a small tax on all phone bills, the program has exploded -- with companies advertising free phones and offering 250 minutes.
Read the whole story HERE and listen to a few of the needy Obamaphone recipients below:



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