Freedom Line Blog

Fox News explains the ‘ObamaPhone’ program lauded by an enthusiastic recipient in this viral video:

The video is drawing attention to the government program — Lifeline — as a national debate unfolds on entitlements and the growing percentage of Americans who pay no income taxes and get a long menu of government benefits. But even though some beneficiaries may credit President Obama for providing the phones, Lifeline is an extension of a program that has existed since 1985. Still, critics including Rep. Tim Griffin, R-Ark., note the program has swelled from $772 million in 2008 to $1.6 billion.

Much of the increase since 2008 springs from the Obama Administration’s decision to subsidize cellular phones and service on top of the landline systems the program originally covered.  The expanded coverage and spending has grown the number of beneficiaries from 7.1 million in 2008 to 12.5 million today.

The government justifies the nearly $1 billion in new spending by claiming that 92 percent of low-income homes now have phone service.

No doubt President Barack Obama needs four more years – and at least a few hundred million dollars more – to close that pernicious 8 percent gap.