SHLB Commends the FCC for Waiving the E-rate Amortization Requirement January 31, 2019
FOR IMMEDIATE RELEASE
Decision will promote greater broadband build-out to schools and libraries
Washington, D.C. (January 31, 2019) - Today the Federal Communications Commission waived and proposed to eliminate E-rate applicants’ obligation to amortize large upfront, non-recurring costs over multiple years.
John Windhausen Jr., executive director of the SHLB Coalition, made the following statement:
“The SHLB Coalition is thrilled that Chairman Pai and the FCC have suspended the E-rate amortization requirement for FY 2019 applicants and proposed to eliminate it altogether. Uncertainty over the amortization rule has been one of the biggest disincentives to building high-capacity broadband to our nation’s schools and libraries. As the FCC points out, the concern that special construction might overwhelm the E-rate program has dissipated over time. Reinstating the amortization requirement would have been costly for schools, libraries, and broadband providers, and would have jeopardized several state matching programs. Special construction has proven to benefit thousands of schools and libraries, and has reduced the demand for E-rate dollars by allowing applicants to obtain lower-cost broadband services. We encourage the FCC to eliminate the amortization rule altogether.”
The SHLB Coalition previously filed an ex-parte letter with the FCC asking it continue to suspend the amortization requirement for special construction E-rate applications in FY2019 and thereafter. The FCC cited the SHLB letter twice in its order and notice of proposed rulemaking.
The SHLB Coalition is a non-profit, 501(c)(3) advocacy organization that supports open, affordable, high-quality broadband connections for anchor institutions and their surrounding communities. The SHLB Coalition is based in Washington, DC and has a diverse membership of commercial and non-commercial organizations from across the United States.