On December 19th, the FCC released the Second E-rate Modernization Report and Order, lining out the official changes to the E-rate program which are a result of the December 11th vote.

Most notably, this Order has increased the overall cap of the E-rate program by $1.5 billion, providing the funding support required for the FCC’s goal to make Category Two funding available for all eligible E-rate applicants.

Other changes to the program include:

  • E-rate discounts for the cost-effective purchase of wide area networks, and suspending the requirement to amortize upfront construction costs
  • Increasing the Category Two budget amount for large urban libraries to $5.00/sq. ft.
  • Incentivizing state support for “last-mile” broadband connections
  • Establishing the Category Two budget system through 2019

A PDF copy of the Order can be downloaded here, and a summary of the Order is available on the FCC web site here.