What is a universal service program?
Universal service is the principle that all Americans should have access to communications services. Universal service is also the name of a fund and the category of FCC programs and policies to implement this principle.
How does E-rate funding work?
The discounts range from 20 percent to 90 percent of the costs of eligible services. E-rate program funding is based on demand up to an annual Commission-established cap of $4.276 billion. The E-rate program is administered by the Universal Service Administrative Company under the direction of the FCC.
Who is eligible for the E-Rate program?
Eligible participants include public and most non-profit K-12 schools as well as all public and many private libraries. Program participants must carry out a competitive bidding process to select the most cost-effective companies to provide the goods and/or services requested.
Who owns universal service Administrative Company?
As an independent not-for-profit designated by the FCC, USAC administers the Universal Service Fund (USF). The USF is almost $10 billion and is available annually thanks to the companies and institutions that make universal service possible.
Who pays into Universal Service Fund?
This revenue is deposited into a central fund, from which the USAC distributes money to the four central services at the core of the USF: High Cost, Low Income, Schools and Libraries, and Rural Health Care. Providers of telecommunication services are legally required to contribute to the Universal Service Fund.
What is a universal service provider?
A universal service provider, abbreviated as USP, is defined in postal statistics as a public or private entity providing a universal service or parts thereof within a country, not specifying whether required by license, authorization or another legal instrument.
What are the benefits of E-rate program for schools?
What benefits are available under the E-Rate program? Eligible schools and libraries may receive discounts on telecommunications, telecommunications services, and Internet access, as well as internal connections, managed internal broadband services and basic maintenance of internal connections.
Which law is tied to E-rate funding?
The Children’s Internet Protection Act
The Children’s Internet Protection Act, passed in the year 2000, stipulates that in order to receive E-rate funding, schools and libraries are required to block or filter internet access to pictures that are: (a) obscene; (b) child pornography; or (c) harmful to minors (for computers that are accessed by minors).
What is E-rate program discuss with an example?
The program provides annual subsidies or discounts of 20 to 90 percent on eligible services and technology equipment. For example, a school district that qualifies for an 80 percent discount through the E-rate program will only pay the remaining 20 percent.
What does Universal Service Administrative Company do?
USAC works to protect the integrity of universal service, promote compliance among program participants, and provide information about universal service to Congress, the FCC, program audiences, and the general public.
Do I have to pay federal Universal Service Fund?
A “Universal Service” line item may be placed by a service provider on a telephone bill if the service provider chooses to recover USF contributions from its customers. The FCC does not require this charge to be passed on, but service providers are allowed to do so.
Why do I pay federal Universal Service Fund?
The money is used to help organizations like schools, libraries, and rural health care providers that operate in high-cost areas by giving them discounts on telecommunications services. The fund supports programs that provide discounted essential service and free service installations to income-eligible families.