WASHINGTON – Small rural phone companies will not be required by the federal government to raise monthly charges over the next two years, the Federal Communications Commission decided Thursday.

The 2-1 vote provided relief from the rule mandating the companies charge the national average phone rate, which goes from $18 to $20 in July and then to $22 the following year.

FCC Chairman Adjit Pai and fellow Republican Mike O’Rielly (cq) voted for the rate freeze. Democrat Commissioner Mignon Clyburn opposed it.

The FCC said it will consider at a later date permanently changing or revoking the six-year-old rule that has been criticized for raising phone rates to more than 1 million customers in rural America.

It was unclear, however, if the FCC acted too late to stop all rural phone bills from increasing this year. At least one company said it had already scheduled a rate hike to cover an additional service area.

Keith Gabbard, CEO of the non-profit People’s Rural Telephone Cooperative in McKee, Kentucky, said he may proceed with a planned increase to $21 per month so customers can make local calls statewide.

Pai, appointed FCC chairman by President Donald Trump, described the rural mandatory minimum rule as unfair when compared with the average rate in some high-income urban areas like Washington, D. C.’s $13 monthly fee.

Commissioner O’Rielly said he agreed with the reason that led to the rule – urban phone customers subsidizing rural customers – but voted for the freeze anyway.  .

Commissioner Clyburn, in her dissent, said phone urban customers include “those who can least afford” to subsidize rural customers. She wanted the FCC to also approve policies cracking down on waste, fraud and abuse in the subsidies in order to lower rates.

Shirley Bloomfield, CEO of NTCA, an association of rural phone and broadband companies, praised the FCC rate freeze. “A pause and thoughtful fresh look at how this policy is working has long been needed,” she said.

Contact CNHI Washington reporter Kery Murakami at kmurakami@cnhi.com.