FCC Fully Funds E-rate Program for FY2021; USAC Estimates Demand at $3.03 Billion

On August 27, 2021, the Wireline Competition Bureau (Bureau) announced that there is sufficient funding available to fully meet the Universal Service Administrative Company’s (USAC) estimated demand for category one (C1) and category two (C2) requests for E-rate supported services for funding year (FY) 2021.

USAC estimates the total demand for FY 2021 will be $3.03 billion, which includes estimated demand for C1 services of $1.69 billion and of $1.34 billion for C2 services.  The FY 2021 figures are a slight decrease from FY 2020 for C1 services a slight increase for C2 services.  Overall, FY 2020 demand was $2.91 billion.

The E-Rate program funding cap for funding year 2021 is $4.27 billion.  There is an additional $500 million available in funds carried forward from past years.

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