Big Changes for E-Rates 2015: Here’s what we know so far.

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The Schools and Libraries Program (E-Rates) is undergoing several changes for the upcoming funding year 2015-2016, and the details are yet to be ironed out. Several announcements by the FCC, coupled with the White House’s ConnectED Initiative, indicate what changes will likely occur. Though we caution all schools not to waste time pondering “what-ifs,” it is helpful to stay current. Among the encouraging developments: USAC indicates new Wi-Fi funding will improve schools’ ability to utilize online education and testing applications.


Modernization is the direction, thus plain old telephone service (POTS) is being phased out at a rate of 20% per year. The abundance of online educational resources and standardized testing has created the need for schools to establish Wi-Fi internet connectivity to every classroom.

The Federal government is responding to the fact that many schools are not able to connect students to valuable online resources. The next few years could present a golden opportunity for schools to upgrade their classroom internet capabilities. Careful planning can produce substantial educational benefits for all students K-12.

Here’s a top-ten list of likely changes for 2015:

  1. Priority 1 and Priority 2 have been changed to Category 1 and Category 2.
  2. All schools will be eligible for Category 2 funds for 2015-2019. It appears every school is eligible to purchase at least $9,200 of Wi-Fi equipment and installation at their regular discount rate. Details are not available yet, but schools considering Wi-Fi upgrades for 2014, or working on Wi-Fi upgrades for 2014 should consider the possibility of receiving E-Rates for their Wi-Fi upgrade in 2015.
  3. Technology Plans are no longer needed to qualify for E-Rates.
  4. Highest Discount Level is reduced from 90% to 85%. All other levels are unchanged.
  5. $1 Billion additional funds will be available for 2015.
  6. Web hosting is no longer eligible for E-Rate funding.
  7. Local service, long distance and VOIP are being phased out. They will be reduced 20% per year, for example: if a school received 40% for telephone in 2014, they will receive 20% in 2015, and zero in 2016.
  8. Cell phone voice service will be phased out just like telephone service.
  9. Cell data plans will be eligible only if they are the most cost effective way for a school to receive internet services. This is a murky area – do not form decisions until final rulings.
  10. Many of the details will be published for public review within the next 30 days. Final changes to E-Rate forms and the final Eligible Services List will likely not be available until mid-September.

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The Greek philosopher Heraclitus said: “The only constant is change.” 2015 will be a year of change, and careful preparation can make this year a very successful one for students, school administrators, and Wi-Fi service providers as well. The abundance of changes will create additional complexity in the program, but the end result will be positive: more students utilizing online resources to broaden their knowledge in the vast library that is the internet.

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