Remarks of Tom Wheeler Chairman, Federal Communications Commission Council of Chief State School Officers Legislative Conference

Point One: E-Rate modernization is a BIG deal. Everyone agrees education technology can better prepare young Americans to succeed in the global, digital economy. That’s why we need to get America’s biggest education technology program right. That’s why President Barack Obama has set a goal of leveraging E-Rate to connect 99 percent of all students to high-speed broadband within 5 years.

Point Two: Technology has changed; the needs of schools have changed; the E-Rate program must reflect this change. The nature of educational connectivity has changed dramatically over the life of E-Rate. How E-Rate funds are distributed, however, has not. We are in the midst of a rulemaking to address and correct that reality.

Point Three: While the details of E-Rate modernization remain in flux, the goals are clear. For E-Rate modernization to be successful, the updated program must be focused on delivering faster-speeds to schools and libraries and Wi-Fi throughout; funded and future-proofed; fiscally responsible and fact-based; and friendly to use.

Within the FCC I will soon be announcing a special strike force for the entire Universal Service Fund (of which E-Rate is a part) to make certain there is adherence to the rules and the People’s money is wisely spent. And, in order to get that new $2 billion to work for high-speed broadband, the Universal Service Administrative Corporation (USAC) is instituting a process to accelerate the speed in which all applications are processed. Beyond management, we must address how to increase the efficiency with which the funds are spent. This is a key component of the recent public notice and a priority as we head towards a late spring decision by the Commission.

I believe that once we have addressed efficiency issues -- coupled with the ongoing experience to determine costs -- we will be in a position to identify just how much is required to achieve our goals. Should the evidence substantiate a need to increase the permanent funding levels for the E-Rate program, we will do what is appropriate.