It has been less than a week since the inauguration, but we are already seeing some indications of changes affecting schools and the E-rate program.
The first is a change in leadership at the FCC. Previous Chairman Ajit Pai resigned effective January 20th and existing Commissioner Jessica Rosenworcel has already been designated Acting Chair. Next, we expect, President Biden will nominate a fifth Commissioner to fill the remaining slot on the Commission. Although the FCC is not a highly political agency, the fifth Commissioner will give the Democrats a 3:2 edge within the Commission.
The Acting Chair is notably important because Jessica Rosenworcel has long been a proponent of the use of E-rate to help fund off-campus internet to address the “Homework Gap,” and, more recently during the pandemic, to support remote learning. Most immediately, although not directly E-rate related, Commissioner Rosenworcel’s interest in remote learning should help assure that the new Emergency Broadband Benefit (“EBB”) program, providing discounts on internet services and devices for low-income families (see our newsletters of December 28th and January 11th) will focus heavily on school and student needs.
Longer-term, the Democratic-leaning FCC Commission is expected to be receptive to making E-rate more useful on- and off-campus, if only to eliminate cost allocations on shared internet services or on cybersecurity products and services. Supporting this approach is the specific language included in the Executive Order on Supporting the Reopening and Continuing Operation of Schools and Early Childhood Education Providers signed by President Biden on January 21st stating:
The Federal Communications Commission is encouraged, consistent with applicable law, to increase connectivity options for students lacking reliable home broadband, so that they can continue to learn if their schools are operating remotely.
While contemplating the direction that the FCC might take over the next four years, it’s interesting to review what the FCC has done over the past four years under a Republican administration. Last week, the FCC did just that itself. Each of the FCC’s bureaus, offices, and task forces was asked to summarize four years of effort. Here are links to all those reports, highlighting the few issues noted as having any effect on E-rate:
| Consumer & Governmental Affairs Bureau |
| Enforcement Bureau |
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We have also entered into a Consent Decree focusing on certain New York City Department of Education E-rate practices—which resulted in repayment of more than $17 million to the Universal Service Fund and relinquished rights to another $7.3 million in unpaid invoices. |
| International Bureau |
| Media Bureau |
| Public Safety and Homeland Security Bureau |
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In support of our national security mission, the Bureau designated Chinese companies Huawei and ZTE as national security threats, which bars Universal Service Funds from being used to purchase or maintain their equipment or services. |
| Wireless Telecommunications Bureau |
| Wireline Competition Bureau |
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We further strengthened universal service and enhanced programmatic efficiency and accountability for all of the USF programs, for instance by implementing performance measures for high-cost recipients, promoting the deployment of Wi-Fi for schools and libraries, boosting funding for rural health care providers, and launching the National Lifeline Eligibility Verifier in all states and territories including Washington, DC.
The Bureau also ensured connectivity for Schools, Libraries, and Health Care Facilities by waiving certain program rules, extending deadlines, and increasing funding opportunities.
- We partnered with the Department of Education to promote the CARES Act’s funding for remote learning; waived several Lifeline Program rules to help low-income consumers keep and maintain the broadband service that has been so crucial during the pandemic; and provided regulatory relief to ensure consumers would not lose access to software platforms so essential to school and work.
- Finally, just recently, at the end of 2020, the Bureau began implementation of the $3.2 billion Emergency Broadband Connectivity Fund. This new program will reimburse participating companies for providing discounted broadband service and connected devices to eligible households during the COVID-19 pandemic.
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| Office of Communications Business Opportunities |
| Office of Economics and Analytics |
| Office of Engineering & Technology |
| Office of General Counsel |
| Office of the Managing Director |
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USF and TRS Program Oversight and Management
- Completed the transfer of funds to the Treasury for both the $8 billion USF and $1.4 billion TRS programs; and
- Completed the timely transition to a new Business Process Outsourcing (BPO), which substantially improved management and oversight of the E-Rate program and resulted in significant cost savings and stronger information security controls
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| Incentive Auction Task Force |
| Rural Broadband Auctions Task Force |
Of course if you’d really like to review what has happened in the E-rate world over the past four years, you might be better off reviewing the summaries we’ve provided in our newsletters for 2017, 2018, 2019, and 2020. We’ve been at this longer than most.