Erate is changing in 2015 dramatically. Here are some of the top things to know about the changes to erate, how it will affect you and how to prepare for it.

  1. Everyone needs to apply because there is money for everyone
  2. Recommended bandwidth levels per student for Internet connectivity
    1. Short term 100Mbps per 1,000 Students
    2. Long term 1000Mbps per 1,000 Students
  3. Internal Connections Wired and Wireless
    1. No measurement yet
    2. Analysis will be run as a solution price per Users or unique devices
  4. Priority Two items will now be considered Category Two Services
    1. Category Two Services can be used for internal connections
    2. 1 billion dollars is being committed in each year 2015 and 2016 toward Category Two services to “Close the Wifi Gap”
    3. Maximum Discount rate is now 85% not 90%
    4. Discount rates are now district wide not building by building
    5. Schools will be able to request Category Two Service funds with the equation. #of Students * (Discount Rate[max of .85]*$150) = Amount of Money available over 5 year period For Example: 1,000 Students with Discount rate of 65% times $150 = $97,500 over 5 year period from Erate and requiring $52,500 paid for by school
  5. The following items will be eligible for Category Two Services Money:
    1. Routers, switches, wireless access points, internal cabling, racks, wireless controller systems, firewall services, uninterruptable power supply, and the software supporting each of these components used to distribute high-speed broadband throughout schools and libraries
  6. Items that will be removed from being covered by Erate as legacy expenses
    1. Circuit cards/components; interfaces, gateways, antennas; servers; software; storage devices; telephone components, video components, as well as voice over IP or video over IP components, and the components, such as virtual private networks, that are listed under Data Protection other than firewalls and uninterruptible power supply/battery backup  paging; telephone service components, including directory assistance charges, text messaging, custom calling services, direct inward dialing, 900/976 call blocking, and inside wire maintenance plans; e-mail; web hosting; and voicemail
    2. The following voice services discount will be reduced at a rate of 20% per year over 5 years: Local phone service, long distance service, plain old telephone services, radio loop, 800 service, satellite telephone, shared telephone service, Centrex, wireless telephone service such as cellular, and interconnected VoIP

Source: Wireline Competition Bureau seeks comment on E-rate Modernization

If you have any additional questions or are interested in discussing how you can “Close the Wifi Gap” please contact us to talk to an account executive or engineer about your needs.

Ben Parker
Sales and Implementation Engineer
Chi Corporation

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