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September 17, 2012

Introduction

The E-Rate Central News for the Week is prepared by E-Rate Central. E-Rate Central specializes in providing consulting, compliance, and forms processing services to E-rate applicants. To learn more about our services, please contact us by phone (516-801-7804), fax (516-801-7810), or through our Contact Us web form. Additional E-rate information is located on the E-Rate Central website.

Funding Status

Wave 11 for FY 2012 will be released on Tuesday, September 18, 2012, for $50.1 million.  Priority 2 funding is being provided at 90%, and is being denied at 89% and below. Cumulative funding for FY 2012 is $1.15 billion.

Wave 61 for FY 2011 will be released on Wednesday, September 19, 2012, for $5.0 million. Priority 2 requests are being funded at 88% and above, and denied at 87% and below.  Cumulative funding for FY 2011 is $2.35 billion.

We have received a number of questions recently concerning the status of Priority 2 funding for FY 2011 and FY 2012.  Recognizing that there are always a few FRNs for which discount rates, or even categories of service, may be changed during PIA review, the following table indicates the current status of funding requests at the discount levels being funded as of last week's waves (Wave 60 for FY 2011 and Wave 10 for FY 2012). Note that there are still more requests pending than funded for FY 2011, and that Priority 2 funding has barely begun for FY 2012.

Priority 2 Funding Status for FY 2011 and FY 2012

As of September 14, 2012

FY Discount Funded Not Funded Pending Total
2011 88-90% $ 560,091,043 $ 193,459,124 $ 640,154,351 $ 1,393,704,517
2012 90% $ 9,187,454 $ 78,802,603 $ 1,276,164,510 $ 1,364,154,567

No funding wave for FY 2010 is scheduled for release this week.

E-Rate Updates and Reminders

EducationSuperHighway and the National School Broadband Test:

An organization known as EducationSuperHighway ("ESH") has launched a well-publicized nationwide effort to measure broadband speeds achieved by K-12 schools.  ESH's longer-term strategy is to (1) build "a national database of the broadband infrastructure of every K-12 school in America," (2) create technical teams "to help schools implement 100MB+ broadband infrastructure," and (3) develop "a low cost network assessment appliance that will enable schools to easily monitor and manage their networks."  ESH also indicates that it is "supporting efforts to maximize the impact of the E-Rate program…"

It is not immediately clear whether ESH is a part of a federal- and state-sponsored initiative, or is simply a well-connected, media-savvy, startup (its CEO is a self-described "serial entrepreneur").  It is, however, attracting some important "partners," most recently including the State Educational Technology Directors Association ("SETDA").  ESH indicates that the broadband test was launched in conjunction with the U.S. Department of Education (although we could find no program information on the DOE's Web site).  FCC Chairman Genachowski issued a statement applauding the test launch, but did not indicate any formal involvement.

Participating in the online test takes only a minute or so, and may generate some interesting information on a school's network.  But participants should note that it will help ESH build a national database, not only of broadband infrastructure data, but also of technical contacts for future promotional efforts.

FCC Comments on Bundled End-User Equipment:

Comments on the SECA petition seeking clarification on "free" bundled end-user equipment (see DA 12-1325) were due last Monday.  In addition to the earlier comments by E-Rate Central and Funds for Learning summarized in last week's newsletter, service provider comments, at least agreeing that clarification was needed, were filed by Jive CommunicationsNetDiverse, and Sprint Nextel.  Reply comments are due September 24th.

FCC Appeal Decisions Watch:

There was just one short FCC appeal decision (DA 12-1494) last weekquickly denying six applicant requests for review and two applicant petitions for reconsideration.  All but one of the denials were based on untimely filed appeals. The last, a petition for reconsideration, was denied because the applicant relied on arguments already rejected by the FCC and failed to provide any valid reason warranting reconsideration. Interestingly all eight requests had been filed since mid-July, two as recently as last week.

Schools and Libraries News Brief Dated September 14 – Getting Ready for FY 2013

The SLD News Brief for September 14, 2012, provides a few tips for applicants getting ready for FY 2013 — or more accurately for completing certain work for FY 2011 and FY 2012.  The Tips include:

  • Finish filing BEAR forms for FY 2011 recurring services.
  • Check the status of FY 2011 non-recurring services.
  • File Form 500 to returned unused funds to USAC.  (Actually this should read: File a Form 500 to reduce or cancel unneeded commitments.  Returning funds to USAC is a separate process.)
  • Submit your FY 2012 Form 486 (for awarded funding) if you have not already done so.