10/11/2013 THE STATE OF E-RATE TODAY Craig J. Nichols, Secretary 1 - - PDF document

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10/11/2013 THE STATE OF E-RATE TODAY Craig J. Nichols, Secretary 1 - - PDF document

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10/11/2013 THE STATE OF E-RATE TODAY Craig J. Nichols, Secretary 1 Increasing Pressure on the Fund Annual Funding Available: $2.25B Cap + Inflation (+ Approved Rollover Funds) FY 2013 Funding: $2.25B + $130M = $2.38B (+ $450M) = $2.83B

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10/11/2013 1

Craig J. Nichols, Secretary

THE STATE OF E-RATE TODAY

1

Increasing Pressure on the Fund

  • Annual Funding Available:

$2.25B Cap + Inflation (+ Approved Rollover Funds)

  • FY 2013 Funding:

$2.25B + $130M = $2.38B (+ $450M) = $2.83B

  • FY 2013 Demand: $4.986B
  • $2.7B for P1 - First year rollover funds needed for P1
  • $2.286B for P2 - If all P1 requests funded, only $130M left for P2

2

Funding Years 2010-2012

$13,342,595.98 $9,979,152.32 $193,769,652.57

Status of Priority 1 Funding Requests

Amount Denied Amount Pending Amount Funded 3

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SLIDE 2

10/11/2013 2

Funding Years 2010-2012

$225,737,581.52 $16,946,041.00 $84,425,290.36

Status of Priority 2 Funding Requests

Amount Denied Amount Pending Amount Funded 4

Funding Years 2010-2012

5.58% 94.42%

Amount Denied

Telecommunications & Internet Access 5

Increasing Capacity Pressure on Schools

  • Standardized Online T

esting (e.g., Common Core/PAARC)

  • Digital Curriculum/eBooks
  • BYOD/BYOT
  • Increasing use of Apps/Video Streaming/Cloud
  • Flipped Classroom

– Individualized, Interactive, Collaborative

  • Distance Learning/Virtual Schools

6

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10/11/2013 3

Increasing Capacity Pressure on Schools

  • 2010 FCC Schools and Libraries Survey:

– 50% reported slower connection speeds than average home – 39% report cost as greatest barrier to full broadband capacity

  • 2012 American Library Association Survey:

– 25% of libraries have broadband speeds of 1.5Mbps or less – 9% have speeds of 100 Mbps or more

7

E-RATE REFORM

8

National Broadband Plan

March 2010 FCC releases 376 page order that set broadband goals for education, government, consumers, homeland security, health care, and energy

  • T

welve E-Rate recommendations, most of which are contained in recently released E-Rate 2.0 NPRM

9

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SLIDE 4

10/11/2013 4

SETDA

May 2012 SETDA Report: “The Broadband Imperative: Recommendations to Address K-12 Education Infrastructure Needs”

  • Capacity Goals:
  • 2014-2015

– ISP Circuit: At least 100 Mbps per 1000 students – WAN: At least 1 Gbps per 1000 students

  • 2017-2018

– ISP Circuit: At least 1 Gbps per 1000 students – WAN: At least 10 Gbps per 1000 students

10

E-Rate 2.0

April 11, 2013 FCC Commissioner Jessica Rosenworcel: “Reboot, reinvigorate, and recharge E-Rate.”

  • 2011 FCC Study: 80% of schools & libraries do not believe

their broadband needs are being met

  • Four steps to reform E-Rate:
  • Increase E-Rate funding to handle increased demand
  • By FY2015, every school should have access to 100Mbps per 1000

students; by FY2020, 1 Gbps per school

  • Encourage & institute new & creative public-private partnerships
  • Simplify E-Rate application process

11

ConnectED

June 6, 2013

Obama Administration unveils ConnectED Initiative

  • Upgraded Connectivity – Within 5 years:
  • 99% of students connected at speeds no less than 100Mbps with target of 1

Gbps

  • High speed wireless within schools and libraries
  • Increase E-Rate $$$
  • Trained Teachers
  • Digital education tools
  • Use existing ESEA $$$
  • Build on Private Sector Innovation
  • Educational Devices
  • Global learning opportunities
  • Educational software

12

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SLIDE 5

10/11/2013 5

Obama Administration

June 14, 2013

  • Presidential Memorandum: “Expanding America’s

Leadership in Wireless Innovation”

  • NIST & NTIA Announcement: Will establish new Center

for Advanced Communications in Boulder, CO

13

LEAD Commission

  • Leading Education by Advancing Digital (LEAD)

Commission

  • June 13, 2013: Five-Point Blueprint

– Solve infrastructure challenge by updating wiring of schools – Build a national effort to deploy devices – Accelerate adoption of digital curriculum – Embrace & encourage model schools – Invest in human capital

  • June 18, 2013: Supports FCC Chairman nominee

Wheeler’s call to bolster E-rate, digital learning

14

U.S. Senate Commerce Committee

  • July 17, 2013
  • E-rate 2.0 Hearing
  • Witnesses representing:

– Calcasieu Parish School System – Maine State Library – LEAD Commission – Cisco

15

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10/11/2013 6

FCC E-Rate 2.0 NPRM

  • FCC Notice of Proposed Rulemaking (NPRM)
  • Released July 23, 2013
  • 175 pages
  • 616 questions and 357 ideas on which comments are requested
  • Document divided into six categories:

1. Introduction 2. Goals and Measures 3. Ensuring schools and libraries have affordable access to 21st Century broadband that supports digital learning 4. Maximizing the cost-effectiveness of E-Rate funds 5. Streamlining administration of the program 6. Other outstanding issues

16

E-Rate 2.0 NPRM

  • Three Goals for Modernizing E-Rate Program:

I. Increased Broadband Capacity

  • Simplify rules on fiber deployment to lower barriers to new

construction

  • Prioritize funding for new fiber deployments that will drive higher

speeds and long-term efficiency

  • Phase out support for services like paging and DA
  • Ensure that schools and libraries can access funding for modern high-

speed WI-FI networks in classrooms and library buildings

  • Allocate funding on a simplified, per-student basis

17

E-Rate 2.0 NPRM

  • Three Goals for Modernizing E-Rate Program:

II. Cost-Effective Purchasing

  • Increase consortium purchasing to drive down prices
  • Create other bulk buying opportunities
  • Increase transparency on how E-Rate dollars are spent
  • Improve competitive bidding process
  • Create pilot program to incentivize and test more cost-effective

purchasing practices

18

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SLIDE 7

10/11/2013 7

E-Rate 2.0 NPRM

  • Three Goals for Modernizing E-Rate Program:
  • III. Streamlined Program Administration
  • Speed review of E-Rate applications
  • Provide streamlined electronic filing system & require electronic

filing of all documents

  • Increase transparency of USAC’s processes
  • Simplify Eligible Services List & adopt more efficient ways to

disburse E-Rate funds

  • Streamline E-Rate appeals process

19

E-Rate 2.0 NPRM

  • Other Broad Issues Addressed by NPRM:
  • Applicability of CIPA to devices brought into schools and libraries,

& to devices provided by schools and libraries for at-home use

  • Adjusting to changes to NSLP that affect E-Rate
  • Additional measures for protecting program from waste, fraud, and

abuse

  • Wireless community hotspots
  • Comment Dates:
  • Initial Comments due September 16, 2013
  • Reply Comments due October 16, 2013

20

NPRM Detail

  • Go to FAEDS presentation

21

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10/11/2013 8

QUESTIONS?

22