e-Rate
We’re truly our committed to the services we offer. Learn about how we can assist your school today.
What is E-Rate?
E-rate is a federally funded program that provides significant discounts to assist K-12 schools and libraries to help fund telecommunications services and technology. It is administered by the Universal Service Administrative Company (USAC) under the direction of the Federal Communications Commission (FCC). The program determines which products and services are eligible for E-rate, and then determines your school’s discount level by the percentage of students in the district that qualify for free and reduced school lunches.
Eligible products and services are split up into two categories, simply named “Category 1” and “Category 2” (with W-Fi being covered by Category 2) in the chart below.
Eligibility for these E-Rate discounts is determined by specific criteria. Schools eligible for the program include elementary and secondary institutions, both public and private, including religious schools, provided they have an endowment under $50 million and operate on a not-for-profit basis. Public libraries and library systems are also eligible, contingent on meeting the set requirements for libraries under the program. The E-Rate program divides its eligible services into two distinct categories: Category I, which encompasses telecommunications and internet access, and Category II, which includes services and equipment necessary for internal connections. At E-Rateable, we are committed to guiding eligible schools and libraries through this process, ensuring they maximize the benefits offered by the E-Rate program.
Who can apply?
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Elementary Schools: Non-profit institutional day or residential schools that provide elementary education as per state law, including public charter schools.
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Secondary Schools: Non-profit institutional day or residential schools offering secondary education as defined by state law, excluding education beyond grade 12, including public charter schools.
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Non-Eligibility: For-profit schools and schools with endowments over $50 million are not eligible.
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Non-Traditional Facilities and Students: Includes Head Start, pre-kindergarten, juvenile justice, and adult education, subject to specific eligibility criteria.
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Educational Service Agencies (ESAs): Eligible if they provide primary or secondary education as defined in state law.
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School Residential Facilities (Eligible from Funding Year 2011): Includes schools on Tribal lands, schools for children with disabilities or medical needs, juvenile justice schools, and schools with over 35% students eligible for the National School Lunch Program (NSLP).
School Eligibility:
Independent Funding Requirement: Except for Tribal College or University (TCU) libraries, only libraries with budgets separate from schools (including elementary, secondary, colleges, and universities) are eligible.
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Definition under LSTA: Must meet the definition in the Library Services and Technology Act (LSTA) and be eligible for assistance from a state library administrative agency.
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Types of Eligible Libraries:
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Public libraries
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Public elementary or secondary school libraries
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Tribal libraries
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Academic libraries
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Research libraries: Publicly available and not part of higher education institutions
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Private libraries: Eligible only if recognized by the state as a library for this purpose
Library Eligibility:
Eligibility Criteria
At E-Rateable, we understand that the funding your organization can receive through the E-rate program is closely linked to the needs of your student population, particularly in terms of access to free and reduced lunch programs. The level of funding is determined by the number of students in your school and the percentage eligible for these lunch programs. A higher percentage of students eligible for free and reduced lunch translates to greater financial support from the E-rate program.
This assistance is structured as discounts, ranging from 20% for schools with no students eligible for these lunch programs, up to 90% for schools where over 75% of students are eligible, applicable for Category I Services. For Category II Services, which cover Internal Connections and Services, the discounts range from 20% to 85% under similar criteria. To gain a deeper understanding of how these discounts are applied, we recommend reviewing the USAC Discount Matrix.
Eligibility for these E-Rate discounts is determined by specific criteria. Schools eligible for the program include elementary and secondary institutions, both public and private, including religious schools, provided they have an endowment under $50 million and operate on a not-for-profit basis. Public libraries and library systems are also eligible, contingent on meeting the set requirements for libraries under the program. The E-Rate program divides its eligible services into two distinct categories: Category I, which encompasses telecommunications and internet access, and Category II, which includes services and equipment necessary for internal connections. At E-Rateable, we are committed to guiding eligible schools and libraries through this process, ensuring they maximize the benefits offered by the E-Rate program.
The Eligible Services List (ESL) for each funding year provides guidance on the eligibility of products and services under the Schools and Libraries Program.
Categories of Service
Application Process
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Services needed to support broadband connectivity to schools and libraries.
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Includes data transmission and/or Internet access services.
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Eligible services:
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Asynchronous Transfer Mode (ATM)
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Broadband over Power Lines
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Cable Modem
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Digital Subscriber Line (DSL)
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DS-1 (T-1), DS-3 (T-3), Fractional T-1 or T-3
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Ethernet
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Integrated Services Digital Network (ISDN) (excluding dedicated voice channels)
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Leased Lit Fiber
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Leased Dark Fiber (including IRUs for a set term)
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Self-Provisioned Broadband Networks
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Frame Relay
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Multi-Protocol Label Switching (MPLS)
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OC-1, OC-3, OC-12, OC-n
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Satellite
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Switched Multimegabit Data Service
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Telephone dial-up
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Wireless (e.g., fixed wireless microwave)
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Includes costs for monthly charges, special construction, installation, activation, modulating electronics, and maintenance.
Category 1 Services:
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Focuses on internal connections needed for broadband connectivity within schools and libraries.
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Includes broadband connections within, between, or among instructional buildings on a school campus or library branch.
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Eligible components and services:
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Antennas, connectors, and related components for internal broadband connections
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Cabling
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Caching
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Firewall services and components (separate from standard Internet access service)
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Racks
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Routers
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Switches
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Uninterruptible Power Supply (UPS)/Battery Backup
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Access points for LAN or WLAN
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Wireless controller systems
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Software supporting these components for high-speed broadband distribution
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Includes functionalities that can be virtualized in the cloud, and combined equipment functionalities like routing and switching.
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Manufacturer’s multi-year warranty (up to three years) as part of an eligible component included in component cost.
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Caching defined as storing recently accessed information locally for quicker access.
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Allows for requesting both equipment and necessary software on FCC Form 470 and FCC Form 471. Software upgrades and patches considered as basic maintenance.
Category 2 Services:
We are dedicated to empowering schools and libraries through our participation in the E-Rate program. This program is an essential resource, offering substantial discounts on necessary data transmission and internet access services. Additionally, it supports internal connections, alongside the provision and management of internal broadband services and equipment, exclusively for qualifying educational and library institutions.
We've outlined a step-by-step guide for applicants to navigate the E-Rate program. These steps are crafted to ensure a seamless experience, providing you with all the essential knowledge to successfully engage with the program. From initial preparation to the final stages..
STEP 1
Filing Steps
Determine your Eligibility
The first step of the process is to determine if the products and services your school needs are eligible, and if so, at what discount.
STEP 2
Submit Form 470 (RFP)
When your technology plan is ready, create a form 470 which describes the services you are requesting and opens the bidding process for service providers.
STEP 3
Wait for 28-Day Bidding Process
During the 28-day bidding process, you are not required to take any action, this is the part of the process that allows all service providers equal rights to responding.
STEP 4
Select Service Provider and Sign Contracts
At the end of the bidding process, you and your team review the submitted bids and are required to respond to every vendor who submitted a bid. It is important to note that when evaluating bids, you must document the selection price with a bid score sheet. The price must be the primary factor affecting your decision. This particular caveat seems completely unreasonable, as other criteria including the experience of the service provider and their project management expertise should always be taken into consideration when selecting technology of any kind. Once a vendor is selected, sign the contracts and go to the next step.
STEP 5
File Form 471
(Describe Services Ordered)
After you select and sign a contract, you will complete a Form 471 online to describe the services you are ordering, and from which vendor. At this point, the vendor is now allowed to enter into an engagement process with you on the Form 471.
STEP 6
Wait for USAC to Review
After you file your Form 471, along with the Item 21 attachments, the Program Integrity Assurance (PIA) will review the content of the form for completeness and accuracy. There is both an initial review and a final review, and the status can be tracked online. You have 15 days to respond to any PIA questions regarding your Form 471 submission (additional time can be requested). We have seen review processes take anywhere from 1-6 months, so be advised and plan for the possible delay.
STEP 7
USAC Confirms Services and Funding
Once the PIA review process has been completed, USAC issues a Funding Commitment Decision Letter (FCDL), which contains USAC’s decisions on your funding request. If you disagree with the decision in the FCDL, you can appeal to USAC or the FCC. This letter contains important information for completing the rest of the of the application process, so it’s critical that you review it carefully.
STEP 8
Equipment is Installed
Once approval has been granted, begin discussing with your selected service provider the details involved in installing the equipment and starting the services. Be sure to review the contract with your service provider and determine whether it will be you or your service provider that will invoice USAC for the discounted amount of the cost of the services. Once services have started, you should be ready to file the FCC Form 486.
What is the E-rate timeline?
As seen in the timeline below, the most common time to file your Form 470 is October through January, but they can be filed as early as July 1. Form 471’s are then typically filed November 2023 through March 2024, and funding decisions are completed in July, August and September 2024. Equipment installations can begin as early as April 2025.
STEP 9
File Form 486 to Confirm Receipt of Services
After equipment has been installed and your new services have started, your next step is to file a Form 486, which informs USAC that your services have started and invoicing can begin. Form 486 must be received and certified by USAC no later than 120 days after the service start date, or 120 days after the date of the FCDL, whichever is later. Filing late can result in a reduction in funding.