Common Audit Findings: Contributors

In USAC’s continuing efforts to ensure carriers are successful at following FCC rules, we have put together a list of some of the most common problem areas identified during audits.

For more information about the audit process, review the BCAP page of our website, which includes a checklist of documentation contributors should maintain for audit purposes. Using all of this information will help to expedite the audit process and should reduce or eliminate audit findings in the future.

Audit Findings

For specific areas of revenue reporting on the FCC Form 499-A, we have outlined a description of the revenue reported, some common audit findings, and ways to prevent a finding like this in the future.

FINDING: Error in Categorizing Fixed Local/Long Distance Bundled Service Revenue on Lines 404.1 & 404.2
FINDING: Failure to Report Itemized State and Federal USF Surcharges as Revenue
FINDING: Improper Assessment of USF on End-User Bill
FINDING: USF Charge Liability Account vs. USF Charge Revenue Account
FINDING: Error in Reporting Reseller Revenue
FINDING: Insufficient Reseller Information and Certificates
FINDING: Filer Ineligible to File a Consolidated Form 499-A
FINDING: Incomplete Consolidated Form 499-A Documentation
FINDING: Incorrectly Identifying Regional LNP Percentages
FINDING: Improper Assessment of USF on Lifeline Customers
FINDING: Improper Revenue Reporting on FCC Form 499-A Lines 418.1, 418.2, 418.3 and 418.4