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SLD Releases FY 2010 Demand Estimate to FCC
Message Posted March 15, 2010

The SLD has released their demand estimates for Funding Year 2010 and demand has decreased slightly (by 1.8%). Demand for FY 2010 totals $3.92 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 2010 cap (around $600 million) so priority 2 funding should reach around the 80-85% range.

A few notes:

1) Demand for Priority 1 services remained about the same as last year (FY 2010 is $2.038 billion and FY 2009 was $2.043 billion).

2) Demand for Priority 2 services decreased by 3.09%, however demand at the 90% discount level increased by 24.1%.

3) A total of 42,713 Form 471s were received, which included 131,459 FRNs. 98% of applications were filed online and 80% of Form 471s were certified online as well.

4) In Pennsylvania, 5894 FRNs were filed (nearly identical as last year), by 1261 different entities (48 more than last year). In fact, only 7 public school districts did not apply, which represents a non-participate rate of about 1.4% which is one of the lowest in the nation. In 2009, Pennsylvania's non-participation rate was 2%, with 5% non-participation in FY 2008.

5) Total demand from PA applications is $112,313,487.52, a decrease of more than $51 million from FY 2009. Pennsylvania requests for priority 1 services are $71,618,171 (a decrease of $23 million), and requests for priority 2 services/equipment are $40,695,316 (a decrease of $27 million from last year).

6) The nationwide breakdown by service category, compared with FY 2010, is provided below. A more detailed breakdown of the SLD’s demand estimates for FY 2010 is available at: http://www.usac.org/_res/documents/sl/pdf/FY2010%20Demand%20Estimate%20Letter.pdf

FY 2009 FY 2010
Telecommunications Services $1,549,141,561 $1,573,277,342
Internet Access $495,289,488 $464,919,094
Internal Connections $1,626,337,247 $1,614,967,662
Maint. of Internal Connections $316,265,032 $262,780,293
Total Demand $3,986,033,329 $3,915,944,392

-Julie

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

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