E-Rate to Fully Fund Category One and Two Services in 2016

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The FCC’s Wireline Competition Bureau has announced that there is sufficient E-Rate funding available to fully meet the estimated demand for category one and category two requests for E-Rate supported services for funding year 2016.  Category one services are those services needed to support broadband connectivity to schools and libraries, while category two services are those services needed for broadband connectivity within schools and libraries.  Based on the Universal Service Company’s estimates, the total E-Rate demand for funding year 2016 will be $3.609 billion, which includes estimated demand for category one services of $2.330 billion and of $1.279 billion for category two services.  The Bureau previously announced that the E-Rate program funding cap for funding year 2016 is $3.939 billion, and that there is an additional $1.9 billion in unused funds available for 2016.

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