FAQs

Category Two (C2) Budgets

Category Two (C2) Budgets

Q1: Does E-rate Program funding received prior to Funding Year (FY) 2015 count against the five-year budget for Category Two (C2) purchases?
Q2: How long will the C2 budgets be in effect?
Q3: The cost to update the network and maintain the eligible equipment exceeds my budget. If I spend more than my budget will that affect my E-rate Program request?
Q4: Are contracts for managed internal broadband services limited to $30 per student (or a fifth of the per square foot library budget) each year?
Q5: What happens if my plans change and I can’t use all of the Category Two funding committed in a year? Can I reduce or cancel funding that USAC has already approved for the current funding year to “free up” money in its budget for the next funding year’s requests?
Q6: How do I indicate which products or services should be counted against which budgets?
Q7: Can school districts or library systems shift funds or average costs between their schools and libraries?
Q9: Are the service substitution requirements – which permit applicants to replace an approved purchase with a similar purchase, under limited conditions – still in effect?

Non-Instructional Facilities (NIFs)

Q10: How does a tech center that houses internal connections equipment, like a central switch, get C2 support?
Q11: Are NIFs with classrooms eligible for a C2 budget?
Q12: Are residential facilities of a school eligible for a C2 budget?

Schools

Q13: Can a school’s budget change from year to year?
Q14: How do I count part-time students?
Q15: How do I count virtual students?
Q16: What types of documentation should I have in order to validate a regular increase in enrollment due to part-time students?
Q17: What happens if I spend my school’s entire C2 budget and then my student population decreases in a subsequent year? Do I have to return any funding?
Q18: How should new schools determine their C2 budgets before they have enrolled students?
Q19: If a new school estimates that it will have 1,000 students in FY2015, but only 800 enroll, what happens?

Libraries

Q20: Can a library’s budget change from year to year?
Q21: How should a library determine its square footage for purposes of determining its C2 budget? Can it include outdoor spaces that get Wi-Fi service?
Q22: How should libraries count the square footage of bookmobiles?