Please ensure Javascript is enabled for purposes of website accessibility

USAC Clarifies Priority 1 Voice Over IP Eligibility

In their January 16, 2009 News Brief, USAC published detailed eligibility requirements for Priority 1 Voice Over IP (VoIP) services.  Although the eligibility of VoIP services has not changed since the 2008 Eligible Services List, Funds For Learning has observed a substantial amount of confusion among E-rate stakeholders as to what types of “managed VoIP services” qualify for Priority 1 funding.

The full text of the News Brief may be found at .  Among the clarifications made in the News Brief:

  • VoIP services may be filed in the Telecommunications Services or Internet Access category, but they must be provided by a eligible telecommunications provider (a “common carrier.”)
  • Leased call processing hardware (VoIP servers, IP PBX devices, etc) is only eligible for Priority 2 – Internal Connections funding.
  • A leased on-premise router or voice gateway may qualify for Priority 1 discounts if all Tennessee Order requirements are met.
  • Telephone handsets are not eligible for E-rate discounts in any service category.


SLD News Brief about Priority 1 Voice Over IP

question icon

We’re here to help!

Our mission is to provide high-quality consulting and support services for the needs of E-rate program participants. We consult with applicants to help them understand, effectively utilize, and maintain compliance with E-rate rules and regulations. We help prepare and submit paperwork, and interact with program administrators on our clients’ behalf.

Request a Consultation