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FY 2010 Priority 2 Funding Threshold Set at 81%
Message Posted February 3, 2011

Last week the SLD board of directors recommended to the FCC to cut-off FY 2010 Priority 2 E-rate funding at 81%. Requests at and below 80% will not be funded. This does not affect priority 1 funding in any way.

For those new to E-rate, there are 2 priorities of E-rate funding. Priority 1 consists of telecommunications services and Internet Access (no equipment is purchased -- only services) and there has always been and likely always be sufficient funds to cover all requests for funding received in the Form 471 filing window. Priority 2 funding consists of internal connections and basic maintenance of internal connections. Those requests are funded only if there are funds available after Priority 1 requests are satisfied, with funding provided to the highest-discount applicants first until funding is exhausted.

In order to give you a historical perspective of Priority 2 funding levels and help you decide whether to apply for Priority 2 funding for FY 2011, below are the priority 2 (internal connections and basic maintenance of internal connections) funding thresholds for the last several years. As always, I recommend that you apply for Priority 2 funding for buildings with E-rate discounts at or above 80%.

FY 2004 – down to 81%
FY 2005 – down to 80%
FY 2006 – down to 86%
FY 2007 -- down to 81%
FY 2008 -- down to 87%
FY 2009 -- down to 77%
FY 2010 -- down to 81%

If you have any questions, please don't hesitate to contact me at jtschell@comcast.net

-- Julie

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

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