E-Rate, a decades-old US internet connectivity programme for schools, is facing an uncertain future. Schools and libraries across America are urging the Federal Communications Commission (FCC) to reject a proposal that could end or significantly restrict the initiative, which provides more than $2 billion in annual support for internet access and telecommunications services.
According to a report by Ars Technica, FCC Chairman Brendan Carr has questioned whether the programme remains necessary, given the expansion of broadband connectivity over the past three decades. He has asked for public comment on whether to limit or discontinue E-Rate. Educational institutions, library associations and broadband industry groups argue that reliable internet access remains essential for learning, public services and network maintenance, particularly in rural and low-income communities.
What is E-Rate and why is the FCC considering ending it
Established following the 1996 telecommunications law, E-Rate provides discounts to eligible schools and libraries for telecommunications services, internet access and network equipment. The programme is funded through fees imposed on telecommunications companies, which often pass the costs on to consumers through monthly bills.
In June, Carr led a 2-1 vote to begin a formal review of the programme. The FCC's Notice of Proposed Rulemaking seeks comments on whether E-Rate should be "limited or sunset to reflect today’s extensive connectivity rates."
Carr has argued that school districts have "experimented with a massive increase in screen time for students" and that E-Rate has expanded beyond its original purpose of "supporting basic Internet access to schools and libraries for educational purposes."
The FCC already withdrew funding last year for schools and libraries to lend Wi-Fi hotspots and provide Wi-Fi connectivity on school buses.
Schools and libraries urge FCC to retain the programme
Several education and library organisations have asked the FCC to reject proposals that would eliminate or substantially restrict E-Rate.
The National Association of Elementary School Principals said it
"strongly supports the continued operation of the E-Rate program and urges the Commission to reject proposals that would eliminate, substantially restrict, or impose new conditions on this essential source of connectivity assistance for schools and libraries."
The American Library Association argued that the program continues to serve the purpose Congress intended when it passed the telecommunications law in 1996. It also questioned whether the FCC has the authority to terminate the initiative.
"Importantly, the FCC does not have the authority to terminate the E-Rate program. The E-Rate program is mandated by Congress, and the FCC is responsible for administering it," the organisation said.
The association also argued that
"the FCC lacks the authority and expertise to regulate screen time or determine educational outcomes."
It cited US law, which assigns decisions about inappropriate content for children to school boards, local educational agencies, libraries and other responsible authorities rather than the federal government.
Texas and New York libraries warn of funding gaps
Library associations in Texas and New York have also highlighted the consequences of reducing E-Rate support.
The Texas Library Association said the programme should provide more funding to help libraries improve broadband speeds. It noted that only 35% of public libraries in Texas receive E-Rate discounts, compared with 65% nationally.
The association added that only 55% of Texas public libraries meet the FCC's recommended broadband speed benchmarks.
The New York Library Association warned that reducing or ending the programme could force libraries to cut services and programmes to maintain internet access.
"E-Rate is essential for reliable broadband speeds and for regular network maintenance, safety, and security. The library can’t operate without the Internet. If the FCC terminates or limits E-Rate funding, many of New York’s libraries will be forced to reduce programs and services in order to continue providing Internet access," it said.
Why schools say they still need E-Rate
Individual schools have also shared details about their reliance on the programme. Paul Lapka, principal of Rock Valley Christian School in Iowa, told the FCC that the school spends approximately $3,120 annually on internet access and receives around $1,560 in E-Rate support.
"E-Rate support allows us to maintain reliable, high-speed Internet and network equipment. If support were reduced, we would face higher local costs, delayed network upgrades, and pressure to redirect funds from other school priorities," Lapka said.
The Schools, Health & Libraries Broadband Coalition has also opposed the proposal, arguing that E-Rate remains a key source of funding for digital connectivity.
FCC Democrat Anna Gomez, who voted against Carr's proposal, said the programme helps children in low-income neighbourhoods and rural communities access digital education.
She added:
"The FCC is not the nation’s parent. It is not the nation’s teacher. And it is not the nation’s school board."
E-Rate typically distributes more than $2 billion annually, although actual payouts depend on demand and application approvals. Its funding cap stands at $5.2 billion.
The initial public comment deadline has passed, but reply comments are due by November 12. After the comment period, Carr can propose changes or seek to end the programme.