An overview of the federal E-rate program

The federal E-rate program began over 20 years ago with a focus on providing low-income areas, schools, libraries and healthcare providers with telecommunications services, internet access and internal connections, including installation and maintenance at discounted rates. It is overseen by the Federal Communications Commission and administered by the Universal Service Administrative Company. Within USAC, there is a division specifically for E-rate in schools and libraries.

While the Telecommunications Act that established the E-rate program was passed in 1996, it really grew out of the Communications Act of 1934 that established the FCC and aimed to make telephone service universal, bringing it to rural communities across the nation. E-rate originally focused on both telephone and internet service, but in 2014 the E-rate modernization order was given in an attempt to close the Wi-Fi gap by providing only broadband funding. I guess they figured everyone had telephone service at this point, so yay for us!

The E-rate funding year runs from July 1 through June 30, but libraries actually start the process of applying for funds in the previous year. Right now, folks are starting to join the consortium or notifying vendors that they are seeking services for the funding year 2020, which won’t start until July 1, 2020. So, they’re always thinking at least six months ahead and usually an entire year.

This is the general timeline of the filing windows for the various forms, but the exact dates are announced through USAC’s website.

The State has our own State Technology Grant Fund that we use to help reimburse public libraries for a portion of their internet bills. This is allocated from the Build Indiana Fund and is a completely separate program from E-rate. We do, however, take into account the amount of money a library would be reimbursed by E-rate whether or not they actually file for it. So, if a library received a 90% discount from E-rate, we would only look at that 10% left when determining how much to reimburse the library from the State Technology Grant Fund.

Something that we aren’t involved with here at the State Library, but which may be useful to residents, would be the Lifeline program, which is also administered by USAC. The Lifeline program provides discounted phone and internet rates for those whose income is 135% or less than the federal poverty guidelines, as well as those who participate in federal assistance programs like SNAP, Medicaid, SSI, Federal Public Housing Assistance, Veterans Pension and Survivors Benefit and certain Tribal programs. They may also qualify if their child or dependent participates in any of these programs.

This post was written by Hayley Trefun, public library consultant, Library Development Office, Indiana State Library.

Federal dollars for local broadband connection at Indiana public libraries

Have you heard the phrase “Think globally, but act locally?” Nowhere is that more evident than in your local public library. Your public library provides you access to the internet either through the library computer or your own device. From your local library you can access the world through their broadband connection. The public libraries broadband connection is supported by the federal eRate program that helps with cost control as public libraries share their cost information.

The public libraries’ demands for internet access by the public increases each year; so the cost is ever increasing due to increased bandwidth demands. Each year the demands on the eRate federal dollars grows. In the beginning, libraries had speeds of 56 k. This is no longer the norm. The American Library Association and Federal Communications Commission are recommending speeds of 100 MB for rural and 1 gigabyte for urban libraries.

Whether it’s megabytes or gigabytes, the federal eRate program supports your local broadband costs. The current federal year for broadband funding support is July 2016 through June 2017. To find the figures on those dollars benefiting Indiana, visit www.usac.org/sl and use the FRN Status Tool.

Doing a search on Indiana public libraries gives the figures for 2016 and 2017 and shows a total of a little over four million dollars support for Indiana public libraries broadband services. That represents over 150 public libraries. Remember that is not the total cost, but represents the federal support for your local internet connection in the state of Indiana. So remember when you access the internet at your local public library there is both local and federal support in actual dollars for a robust broadband connection.

This blog post was written by Karen Ainslie, library development librarian and eRate coordinator. For more information, contact the Library Development Office at (317) 232-3697 or email statewideservices@library.in.gov.

E-Rate internet connectivity filing due on May 11

In the budget recently passed by the general assembly, libraries will see increased funding for the non-E-Rate portion of their internet connectivity bills. Many libraries still struggle to provide adequate bandwidth at peak usage times and the spike in usage during after school hours is especially taxing for libraries that serve communities with one-to-one programs.

The Pew Research Center recently released a report that indicates that even though low-income Americans are experiencing greater levels of connectivity, it is still significantly different from the adoption rates of middle to high income households. As more patrons have adopted the use of more devices, the libraries’ Wi-Fi can be easily overloaded. Adequate broadband delivery to the library is just the first step in helping to alleviate this issue, but one that has been recognized by the state as a service that would benefit everyone through increased funding.

With fewer than two weeks left to complete your filing for E-Rate this year, libraries have an opportunity to increase the “ask” for connectivity for next year. Filing is due on or before Thursday, May 11, 2017 at midnight. The additional $500,000 dedicated to support library connectivity is a great tool to leverage both federal and state funding to help bridge the digital divide within your community. For questions please contact Karen Ainslie of the Indiana State Library.

This post was written by Wendy Knapp. Wendy is a member of the ALA’s Office of Information Technology Policy E-Rate Taskforce.