E rate and Grant Opportunities

E-rate 2.0 FCC released 7 th Report and Order July 23 rd Adopts three primary goals – ensuring affordable access to high-speed broadband sufficient to support digital learning in schools and robust connectivity for all libraries – maximizing the cost- effectiveness of spending for E-rate supported purchases – making the E-rate application process and other E- rate processes fast, simple and efficient. Draft Eligible Services List released Aug 4 th

Rule Changes of Note Adopted bandwidth targets: – Internet bandwidth At least 100 Mbps per 1,000 students and staff in short term 1 Gbps per 1,000 users in the longer term – WAN bandwidth Long-term target of 10 Gbps per 1,000 students Making the Process Fast, Simple and Efficient – Streamlined application process for multi-year contracts – Eliminates the requirement for technology plans – Requires electronic filing of documents – Requires each district to calculate and use a single district-wide discount rate – Updates the E-rate program’s definition of “rural” – Extends document retention period from 5 to 10 years Ensuring Affordable Access – $1 Billion Annual Target for Category Two Services – Increasing Minimum Contribution (i.e. Decreasing the Discount Rate) Max discount for Category Two goes from 90% to 85%. Rest of discount matrix to be adjusted accordingly.

Per student Category 2 Funding Caps $150/Student x Students in District x Applicant Discount Rate = Total Budget for Category 2 through FY 2019 Bottom Line: $30/Student/Year for 5 years Disproportionate Effect on Rural and Remote School Districts Rural and small schools pay significantly more per student for P2 services than their urban counterparts Higher implementation costs Higher ongoing expenses $30/Student viability requires economies of scale that are impossible in many rural and remote rural school districts

Service “Priorities” are now “Categories”* Category Two: The services and internal connections for broadband connectivity Access points, Cabling Caching, Firewalls, Routers, Racks, UPS, Wireless LAN Controller, Software Improvements and upgrades Functionalities listed above that can be virtualized Equipment that combines eligible functionalities, like routing and switching Category One: The services needed to support broadband connectivity ATM, BPL, Cable Modem, DSL, Ethernet, Fiber (Lit and Dark),Frame Relay, Integrated Services Digital Network,OC-1, OC-3, OC-12, OC-n, Satellite Service, Switched Multimegabit Data Service,Telephone dial- up,T-1, T-3, Fractional T-1,Wireless services (e.g., microwave), Wireless Internet access and mobile hotspot * Based on Draft Services Eligibility List (ESL) from FCC

Eligible Services Changes The draft ESL reflects notable changes to eligible services compared to previous funding years: – Internet caching equipment has been added to the Category Two list of eligible equipment – Managed network services will be eligible as a Category Two service – On-campus wireless Internet access and mobile hot-spot data service plans will be eligible under Category One services, but must meet cost-effectiveness guidelines – Voice telephony services will be phased out of eligibility over a five-year period – Legacy telephone components, web hosting, voice mail and services will not be eligible for E ‑ rate discounts as of Funding Year 2015 – Basic maintenance services for eligible equipment will remain eligible

Now Eligible: Managed Wi-Fi Managed Wi-Fi: Third party operation, management, and/or monitoring of eligible broadband internal connections components May include services necessary to manage and repair the LAN/WLAN network, such as diagnostic services, 24-hour network monitoring, or helpdesk support Multiple managed services models: I.Third party owns and installs the equipment and school and library applicants lease the equipment as part of a managed services contract II.The school owns the equipment and has a third party manage it for them

More Information Available At Universal Service Administrative Company – E-rate website – Funds For Learning – E-rate consultant –

Example Grants 21 st Century Community Learning Centers Title 1 LEA Grants GEAR UP Partnership Grants Individuals with Education Disabilities Act School-Based Health Centers Capital Program (SBHCC) Health Care Innovation Challenge Grate Investing in Innovation (i3) Innovative Approaches to Literacy (IAL) RUS-Distance Learning & Telemedicine

Exceptionally Rural Area: 5,000 and under and not included within the boundaries of any incorporated or unincorporated city, village, or borough having a population in excess of 5,000 DLT focuses on using the unique capabilities of telecommunications to connect rural areas to each other and to the world to overcome the effects of remoteness and low population density Eligible entities: Currently deliver or are proposing to deliver education via telecommunications Interactive Video Equipment Computer Network Components Technical assistance and instruction Computer Hardware and Software Interactive Video Equipment Computer Network Components Technical assistance and instruction Computer Hardware and Software 50% Recommended Match 2014 Funding up to $500K 2014 Due Date July 7 Distance Learning and Telemedicine (DLT)