Upcoming Dates:
| February 25 |
Extended invoice deadline for FY 2023 recurring service FRNs with approved extensions beyond the original October 28, 2024, deadline. |
| February 26 |
Last day to submit and certify an FCC Form 470 and still wait the minimum 28-day period before submitting and certifying a FY 2025 Form 471 by March 26, 2025, the last date of the application filing window. |
| February 26 |
Free SHLB Webinar: Should Congress Repeal the FCC’s E-Rate Hotspot Lending Decision? 1:00-2:00 PM ET | Register |
| February 28 |
FY 2024 Form 486 deadline for Wave 28. The Form 486 deadline is 120 days after the FCDL date, or the service start date (typically July 1st), whichever is later. The next Form 486 deadlines for FY 2024 are:
Wave 29 03/07/2025
Wave 30 03/14/2025
Wave 31 03/21/2025 |
| March 18 |
Opening of the Cybersecurity Pilot Form 471 application window. |
| March 18 |
USAC Cybersecurity Pilot Program CBR Form 471 webinar: 3:00-4:00 PM EST | Register |
| March 26 |
Close of the E-Rate Form 471 application window for FY 2025. |
| March 26 |
Oral arguments before the U.S. Supreme Court regarding the constitutionality of the Universal Service Fund (see our newsletter of November 25, 2024). |
| May 28 |
Extended invoice deadline for FY 2023 non-recurring service FRNs with approved extensions beyond the original January 28, 2025, deadline. |
| July 1 |
Withdrawal deadline for selected Cybersecurity Pilot participants opting not to continue in the Program. |
| September 15 |
Close of the Cybersecurity Pilot Form 471 application window and deadline for filing the Form 484 Part 2. |
Supreme Court Rules that E-Rate is Subject to the False Claims Act:
The U.S. Supreme Court ruled unanimously last week that the E-Rate program is subject to the False Claims Act. The case, commonly referred to as “Todd Heath vs. Wisconsin Bell,” was heard by the Court early last November (see our newsletter of November 11, 2024).
The basis for this case traces back to the early days of E-Rate in which Todd Heath, an independent telephone auditor, found and reported instances in which Wisconsin Bell, an AT&T subsidiary, was apparently charging E-Rate applicants higher fees for telephone services than it was charging similarly situated, non-residential customers, in violation of the FCC’s “Lowest Corresponding Price” rule. Mr. Heath has long been pursuing treble damages under the False Claims Act. Treble damages under the False Claims Act allow a whistleblower to seek three times the amount of actual damages sustained by the government due to fraudulent claims. To be eligible under the False Claims Act, E-Rate funds — or at least any portion of E-Rate funds — must be deemed “federal funds.”
In its unanimous decision, the Court did not find that all E-Rate funds were federal funds but that at least $100 million in delinquent contributions, settlements, and restitution awards collected by the FCC were sufficient to bring the E-Rate program under the False Claims Act.
From our perspective, the implications of this decision for E-Rate are two-fold:
- Had the Court decided that E-Rate funds as a whole were “federal funds,” it would have clearly subjected E-Rate to the “Single Audit” process. This issue, which has arisen in several states, remains unresolved. In our view, there is already sufficient audit activity within the E-Rate program.
- By finding that E-Rate is subject to the False Claims Act, other individuals or firms may be encouraged to independently review E-Rate funding arrangements. It will continue to be important to adhere to E-Rate’s competitive bidding and record retention requirements.