The “schools and libraries universal service support program,” commonly known as the E-Rate program, was borne from the 1996 amendments to The Communications Act of 1934 (the Act). The E-Rate program, which is funded by “contributions” from every carrier that provides interstate telecommunications services, helps schools and libraries across the country, and in New Jersey, to obtain affordable broadband and communications services. The discounts provided to eligible schools and libraries can range from 20% to 90% of the costs of services and equipment.
In a recent decision, Federal Communications Commission et al. v. Consumers’ Research et al, the constitutionality of the “Universal Service Fund”, and the FCC’s authority to administer it through “contributions” from telecommunication providers, was examined by the U.S. Supreme Court (the Court). Ultimately, the Court held that the universal-service scheme, and its contribution mechanism in particular, does not violate the Constitution’s nondelegation doctrine. According to the Court, “Congress sufficiently guided and constrained the discretion that it lodged with the FCC to implement the universal-service contribution scheme,” and the FCC “has retained all decision-making authority within that sphere, relying on the [Universal Service] Administrative Company only for non-binding advice.” The Court concluded, “For nearly three decades, the work of Congress and the [FCC] in establishing universal service programs has led to a more fully connected country. And it has done so while leaving fully intact the separation of powers integral to our Constitution.”
The U.S. Supreme Court’s decision effectively ensures the continued operation of E-Rate programs – programs which provide critical funding to schools and libraries to afford, among other things, high-speed internet and internal network infrastructure.
If your district or charter school is interested in learning more about how it can leverage the opportunities available through the E-Rate program, please review this important information on the NJSBA website.
