New Martha Wright-Reed Act Grants FCC Power to Regulate Prison Phone Rates
A newly passed bill gives the FCC direct authority to set fair rates for prison and detention facility phone calls, ending decades of price gouging. The legislation targets a billion-dollar industry that routinely charges extortionate fees to a literally captive customer base.
A newly passed bill named the Martha Wright-Reed Act gives the Federal Communications Commission direct authority to regulate rates in the prison calling industry. The legislation makes minor but significant changes to the Communications Act of 1934, empowering the FCC to ensure just and reasonable charges for telephone and advanced communications services in correctional facilities. This new law targets a billion-dollar industry that routinely exploits a literally captive customer base.
Prison calling systems historically range from adequate to shockingly bad because companies face no real incentive to innovate or offer fair prices. These providers rely on financial models that involve kickbacks to prisons and states, incentivizing profit at all costs. Inmates frequently face extortionate rates for basic phone and video calls, a financial burden that falls disproportionately on people of color and those with low incomes.
The bill honors Martha Wright-Reed, a grandmother who organized and led the fight for reform until her death, building on years of work by former FCC commissioner Mignon Clyburn. Current FCC Chairwoman Jessica Rosenworcel notes that the agency previously lacks the power to address rates for calls made within a state's borders. With this expanded authority, predatory companies may opt to leave the market, opening the door to a more compassionate and forward-thinking generation of communication providers.