Finding sufficient funding available, FCC directs USAC to fully fund E-rate funding requests

The Federal Communications Commission's Wireline Competition Bureau announces that there is sufficient funding available to fully meet the Universal Service Administrative Company’s (USAC) estimated demand for category one and category two requests for E-Rate supported services for funding year 2019. On April 1, 2019, USAC submitted a demand estimate for the E-Rate program for funding year 2019. It estimates the total demand for funding year 2019 will be $2.896 billion, which includes estimated demand for category one services of $1.91 billion and of $985 million for category two services. The Bureau announced that the E-Rate program funding cap for funding year 2019 is $4.15 billion. Additionally, according to USAC projections, $1 billion in unused funds from previous years is available for use in E-Rate funding year 2019.5 The Chief of the Bureau is delegated authority to determine the proportion of unused funds needed to meet category one demand and to direct USAC to use any remaining funds to provide category two support. In light of the current funding cap of $4.15 billion and available carry forward funding of $1 billion, there is sufficient funding to fully fund all category one and category two funding requests. The FCC therefore directs USAC to fully fund eligible category one and category two requests, using the $1 billion in E-Rate funds unused from previous years, and any additional funds needed under the current cap to fully meet demand for such services.