$7B Emergency Connectivity Fund Sparks New Edtech Opportunities
The $7 billion Emergency Connectivity Fund recently enacted in the American Rescue Plan is generating a lot of questions from industry partners serving the education market. Here is a brief explainer and some important elements that are still being developed by the Federal Communications Commission.
What is it?
The American Rescue Plan established a $7.17 billion fund called the Emergency Connectivity Fund to help schools and libraries address the homework gap created by the lack of connectivity by providing funding for devices and connectivity to students, school staff, and library patrons.
Is this an E-Rate program?
No, it isn’t the same as E-Rate. The fund is going to be administered by the Universal Service Administrative Company (USAC) — the same entity that administers the E-Rate program for schools and libraries. While there are some commonalities between the two programs it is important to remember that the Emergency Connectivity Fund is not E-Rate and it will be its own program with its own rules, regulations and processes.
What are the rules?
The rules, regulations and processes are not fully defined yet. In fact, the FCC’s Wireline Bureau is seeking comment on how to best establish them now. Comments are due by April 5th and replies to comments open until April, 23rd, 2021. The American Rescue Plan does stipulate that these rules and guidelines are supposed to be rolled out 60 days after enactment of the bill. See the request for comments here.
What will it fund?
For eligible schools and libraries, this will provide funding (and reimbursement) for advanced telecommunications and information services and equipment including Wi-Fi hotspots, modems, routers, devices that combine a modem and router, and connected devices. The FCC is seeking further comment and definition on this as well. These funds can be used in competitive procurements or to reimburse eligible expenses dating back to January 27th, 2020. It is also worth noting that the funds from this program will remain available until September 30th, 2030.
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