Rep. Blumenauer Letter to FCC Chairman Kennard.
Cosigned by 100 other Members of the House.
Date: March 27, 1998.
Source:  Office of Rep. Blumenauer.  This document was created by scanning a photocopy, and converting it into HTML.  The signatures were lost in the conversion.   A list of signatories is attached.

Congress of the United States
Washington, DC 20515

March 27, 1998

Chairman William Kennard
Federal Communications Commission
1919 M St., NW
Washington, DC 20554

Dear Chairman Kennard,

We are writing to express our support for the education rate or "e-rate" created by the Telecommunications Act of 1996. We urge the Federal Communications Commission (FCC) to do all it can to ensure full and comprehensive implementation of the e-rate program.

As you know, the Telecommunications Act of 1996 recognized that to prepare our children for the 2 1 st century, our Nation's schools and libraries must be connected to the information superhighway. In an effort to make that goal a reality, the Act included provisions for a special "education rate" or e-rate for elementary and secondary schools and public libraries to be financed by changes from implicit telecommunications subsidies, i.e. access charges to new explicit subsidies, such as PIC charges.

The e-rate is a win-win proposition for our schools, our libraries and our economic prosperity. We were pleased in May when the FCC adopted the Joint Board's recommendations for providing eligible schools and libraries discounts on the purchase of all commercially available telecommunications services, Internet access, and internal connections. It is our understanding that under that order, eligible schools and libraries will receive discounts ranging from 20% to 90%, depending on whether a school or library is disadvantaged or located in a high cost area. Under the original proposal, total expenditures for universal service support for schools and libraries would be capped at $2.25 billion per year, with a roll-over into following years of funding authority, if necessary, for funds not disbursed in any given year.

We want to be sure that the FCC's commitment to full implementation of the e-rate is not waning. Under its most recent notice in this matter, the FCC established a financing mechanism for the e-rate fund that would allow for the collection of a total-of only $625 million in the first 6 months. This is far less, on a proportional basis, than that allowed under the original report and order, and, importantly, far less than the $1 billion in applications from school districts seeking assistance in linking to the information superhighway that are expected in the first few months of the program.

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We recognize that the financing of the e-rate depends, in part, on the FCC's actions to reduce financial and regulatory burdens on telephone companies. However, we urge you not to hold our schools and libraries hostage to what are likely to be ongoing and acrimonious debates over the financial structure of our nation's telecommunications system. As you move forward to continue implementation of this critical program, we urge you to ensure that this initiative is funded at the highest possible level. Our schools, libraries, and economic future depend upon its success.

Sincerely,

[signatures omitted]

Congressional Cosignatories to Representative Earl Blumenauer's Letter to FCC Chairman Kennard Regarding the Education Rate Dated March 27, 1998