The annual true up is the reconciliation of the previous calendar year. USAC uses data collected on the FCC Form 499-A (Annual Telecommunications Reporting Worksheet) and compares it to the projected collected end-user revenue that was reported in the quarterly FCC Form 499-Q filings. For example, the 2013 FCC Form 499-A filing is used to reconcile calendar year 2012.
True ups are calculated using averages of the contribution and circularity factors for the year. If a company is determined to be de minimis, support mechanism charges for the reconciled year are reversed on that company's USAC invoice. If a company turns out to be non-de minimis, USAC would apply additional billings or credits, as needed, to compensate for under- or over-projections on the FCC Form 499-Q filings. Non-de minimis calculations are spread over the three monthly invoices that would appear in the quarter. Note that USAC does not back bill interest on true-up adjustments from revised 499 filings. Interest will accrue on true-up adjustments if they are not paid by the due date of the invoice.
FCC Form 499-A revisions are processed in the quarter after the FCC Form 499-A revision is received.
The links below show the relevant information for each year's true up.