USAC Recommends Denying All FY 2013 Priority 2 Requests
February 7, 2014
This afternoon the Schools and Libraries Committee of USAC voted to recommend to the FCC that Priority 2 requests (internal connections and basic maintenance of internal connections) at the 90% discount level be denied due to lack of funding. USAC had previously recommended to the FCC that P2 requests at the 89% discount level and below be denied, but the FCC never took action on that recommendation.
The FCC is expected to approve the USAC recommendation.
The demand for FY 2013 Priority 2 requests at the 90% level totaled $1.760 billion. After all Priority 1 requests are funded, there was only $250 million available to fund Priority 2.
Note: I do not believe that the FY 2013 P2 situation is an acknowledgement that Priority 2 funding will never be available again. To the contrary, I believe the reforms announced by the FCC this week (and that will be announced in the Public Notice that’s due to be released in a few weeks) will contain reforms aimed at ensuring more funding will be available for broadband equipment for all schools and libraries.
Please let me know if you have any questions.
Julie Tritt Schell
PA E-rate Coordinator
717-730-7133 – o
717-730-9060 – f