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SLD Releases Yr 12 (2009-2010) Demand Level to FCC
Message Posted March 18, 2009

The SLD has released their demand estimates for Year 12, Funding Year 2009, and demand has decreased by 7.5%. Demand for Yr 12 totals $3.986 billion, although this figure is likely to be reduced as applications are denied and duplicate requests are eliminated. This demand is still well over the annual cap of $2.25 billion, but we expect a significant amount of rollover funding to be added to the FY 09 cap which could result in the funding of more priority 2 applications.

A few notes:

1) Demand for Priority 1 services increased by 4.3% which has been the recent trend as applicant apply for more bandwidth, more cell service, and other services such as webhosting and e-mail services.

2) Demand for Priority 2 services decreased by 17.4%, including a 24.2% reduction at the 90% discount level.

3) A total of 40,140 Form 471s were received. 98% of applications were filed online and 79% of Form 471s were certified online as well.

4) In Pennsylvania, 5746 FRNs were filed (nearly identical as last year), by 1213 different entities (29 more than last year). In fact, only 7 public school districts did not apply, which represents a non-participate rate of about 2% which is one of the lowest in the nation. Last year, Pennsylvania has had about a 4-5% non-participation rate, so this is continuing a trend of upward participation (21%, 20%, 25%, & 33% didn't apply in the years previous to FY 2008).

5) Total demand from PA applications is $163,491,207, an increase of over $48 million from last year. Pennsylvania requests for priority 1 services were $95,262,987, and requests for priority 2 services/equipment were $68,228,220.

6) The nationwide breakdown by service category, compared with Yr 11 (2008), is provided below. A more detailed breakdown of the SLD’s demand estimates for Yr 12 is available at http://www.universalservice.org/_res/documents/sl/pdf/sl-demand-estimate-2009.pdf.

FY 2009 FY 2008
Telecommunications Services $1,549,141,561 $1,499,188,600
Internet Access $495,289,488 $455,780,306
Internal Connections $1,626,337,247 $2,081,014,310
Maint. of Internal Connections $316,265,032 $271,589,165
Total Demand $3,986,033,329 $4,307,572,380

-- Julie

Julie Tritt Schell

717-730-7133 - o
717-730-9060 - f
jtschell@comcast.net
www.e-ratepa.org
Penn*link

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