E-rate/Schools and Libraries Program

For several years now, a well-funded litigation group has sought an appellate court decision deeming the current method of funding the Federal Communications Commission's Universal Service Fund unconstitutional. The litigants finally hit paydirt in an enbanc appeal to the Fifth Circuit Court of Appeals that ruled in their favor on a 9-7 vote. The litigants ostensibly expressed concerns about constitutional rights, economic freedom, what constitutes a tax, how specific a congressional delegation of authority has to be, and the extent to which the FCC could lawfully delegate administration of

In a ruling that quickly caused shock waves in the U.S. telecommunications industry, the Fifth Circuit Court of Appeals ruled, 9-7, that the Universal Service Fund (USF) is unconstitutional as currently administered. The Court explained its ruling by saying that the USF is a “misbegotten tax” that violates Article I, § 1 of the Constitution, which states that all legislative powers are given to Congress, which is made up of the Senate and the House of Representatives.

Sen Chris Van Hollen (D-MD), Baltimore City Mayor Brandon Scott (D-MD), and Federal Communications Commission Chairwoman Jessica Rosenworcel spoke about plans to expand internet connectivity in Baltimore. The Enoch Pratt Free Library currently has about 2,000 hotspots in circulation. According to Meghan McCorkell, Enoch Pratt Free Library’s chief of marketing, communications and strategy, about 969 people are waiting for a hotspot.

After the Fifth Circuit ruled, 9-7, that the Universal Service Fund is unconstitutional as currently administered, we've seen the following responses.

At the July Federal Communications Commission Open Meeting, the FCC approved, on a 3-2 vote, an order to make Wi-Fi hotspots and Internet services eligible for E-rate program support for libraries and K-12 schools. This historic decision adopts a SHLB Coalition recommendation we and others proposed over three years ago. The proposed order allows schools and libraries to apply for E-rate funds to help offset the costs of purchasing Wi-Fi hotspots and I

he Federal Communications Commission voted to approve final rules to support the students, school staff, and library patrons around the country who find themselves on the wrong side of the digital and educational divide. Now, schools and libraries will be able to utilize E-Rate resources to loan out Wi-Fi hotspots which will provide internet access for those individuals without a reliable connection at home.

On July 18, the Federal Communications Commission will vote on new rules to make the offpremises use of Wi-Fi hotspots and mobile wireless internet services eligible for E-Rate funding. The new rules would take the next step towards modernizing the program to ensure students and library patrons have access to the connectivity needed for a 21st century quality education.

The Federal Communications Commission (FCC) will hold an Open Meeting on the following subjects on Thursday, July 18, 2024, which is scheduled to commence at 10:30 a.m. in the Commission Meeting Room of the Federal Communications Commission. 

On July 9, the House Commerce Committee's Communications and Technology Subcommittee held a hearing on the fiscal year (FY) 2025 budget for the Federal Communications Commission. FCC Chairwoman Jessica Rosenworcel testified before the subcommittee along with fellow commissioners Brendan Carr, Geoffrey Starks, Nathan Simington, and Anna Gomez.

AT&T CEO John Stankey said the most critical issue facing the telecommunications industry is the effective implementation of Broadband Equity, Access, and Deployment Program. To close the digital divide, Stankey said, additional policies should be created to ensure that all BEAD Program funds (“every dollar of taxpayer money”) are used to expand access to broadband as quickly as possible.