Information About

E-rate




Also referred to as Universal Service Fund. Under the authority of the FCC, USAC, the Universal Service Administrative Company(USAC {Link without Title} ), a not-for-profit, admnisiters the program exclusively as of 1999. Schools, Libraries and Health Organizations apply for and receive discounted telecommunictions services.

Spawned from the Telecommunications Act Of 1996 and designed to close the "technology gap" between better funded metropolitan schools and poor & rural schools. Eligibility is based on incomes of the school's student body (determined by the National Free and Reduced Lunch Program).

All US Telecommunications customers pay a tariff on there bills to fund the program. In 2004 year the program has come under fire for indidences of waste, fraud and abuse. For example, the Pomona Unified School District in Pomona, California was cited by the company contracted to administer the E-Rate program for fraud in applying for the program. The district purchased 460 Apple Powerbook laptops and claimed that each computer was used as a Network Server by virtue of installation of the server edition of Mac OS X . In fact, the audit found that most computers were used for workstation purposes, with some used to play movies or games. {Link without Title}


EXTERNAL LINKS