USACE-RateResources
Glossary of Terms

Glossary of Terms

Use this E-Rate Glossary to find commonly-used program terms and definitions. Click the ‘Terms’ column heading to sort the table alphabetically or use the search bar to filter results.

Download the full E-Rate Glossary of Terms or view the comprehensive USAC Glossary.

Looking for E-Rate's specific Eligible Services Glossary? Visit our Eligible Services List page.

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Terms
Program
 Definitions
Funding Year (FY) E-Rate, Rural Health Care

The time period during which universal service program support is provided. At USAC, funding years begin on July 1 and end on June 30 of the following calendar year: e.g., FY2026 begins July 1, 2026 and ends June 30, 2027.
General Contact E-Rate, High Cost, Service Providers

The service provider or applicant employee responsible for filling out the FCC Form 498. The General Contact has a unique level of permission in USAC’s E-File system, with the ability to submit forms, modify data, and add or remove authorized users.
General Financial Contact E-Rate

A person who is authorized by an E-Rate applicant to retrieve information on the FCC Form 498 and obtain access to EPC. They may complete, but not certify, updates to the FCC Form 498.
Government Accountability Office (GAO) E-Rate, High Cost, Service Providers

An independent, nonpartisan government agency within the legislative branch that reports on the programs and expenditures of the federal government. As the supreme audit authority of the government, it studies how taxpayer dollars are spent, evaluates program outcomes, audits expenditures, and issues legal opinions.
Head Start E-Rate

A comprehensive child development program that serves preschool-age children and their families. Head Start facilities in some states are eligible for E-Rate program funding. To see which Head Start programs may receive E-Rate funding, visit the program’s Eligibility Table for Non-Traditional Education.
Improper Payment E-Rate, Rural Health Care, Lifeline, High Cost, Service Providers

Any payment that should not have been made, or that was made in an incorrect amount under statutory, contractual, administrative, or other legally applicable requirements. Improper payments are subject to IPIA and IPERA rules. USAC calculates estimates of improper payment rates via the PQA program and provides this information to the FCC.
Internal Connections E-Rate

Eligible equipment (such as routers, switches, wireless access points, and cabling) considered necessary to transport or distribute broadband within one or more instructional buildings of a single school campus or within one or more non-administrative buildings that comprise a single library branch. A Category Two service type on the ESL. See also Eligible Services List.
Internet Service Provider (ISP) E-Rate, Rural Health Care, Lifeline, High Cost, Service Providers

An organization that provides services for connecting to the public internet. For the purposes of universal service support, ISPs may be referred to as service providers. See also Service Provider.
Invoice E-Rate

A statement or document that (1) service providers submit to USAC after they have provided or completed service to the universal service support applicant or (2) applicants submit to USAC after they have paid for services in full. Invoices are submitted using the E-File system.
Invoice Deadline Extension E-Rate

A single, one-time 120-day extension of the deadline to submit an invoice – FCC Form 472 (BEAR Form) or FCC Form 474 (SPI Form). The extension must be requested on or before the invoice deadline.
Invoice Status Report (ISR) E-Rate

A report sent to E-Rate service providers upon USAC’s receipt of an FCC Form 474 (SPI Form). The report identifies which invoice line items were accepted, modified, and/or denied. For additional information about invoicing in E-Rate, visit the program’s Electronic Invoicing page.
Legally Binding Agreement E-Rate

An agreement, enforceable by law, between two or more parties that creates an obligation to do, or not do, something. Also known as a contract. Contract definitions and requirements are contained in each state or territory’s contract law.
Letter of Agency (LOA) E-Rate, Rural Health Care

A document authorizing the project coordinator of a consortium leader to apply for universal service support on behalf of other members of the consortium. A LOA may also authorize a consultant to act on behalf of an applicant or service provider.
Library Services and Technology Act (LSTA) E-Rate

The federal law, 20 U.S.C. Section 9121 et seq., that provides the statutory definition of a library.
Local Area Network (LAN) E-Rate

A data network that provides connections generally within an eligible school or library to other locations within the school or library.
Lowest Corresponding Price (LCP) E-Rate

The lowest price that a service provider charges to non-residential customers who are similarly situated to a particular E-Rate program applicant (school, library, or consortium) for similar services.
Managed Internal Broadband Services (MIBS) E-Rate

Services provided by a third party for the operation, management, and monitoring of internal connections components. E-Rate support is limited to eligible expenses or portions of expenses that directly support and are necessary for broadband connectivity within schools and libraries. A Category Two service type on the ESL. See also Eligible Services List.
Managed Wi‑Fi E-Rate

See Managed Internal Broadband Services (MIBS).
Mini‑Bid E-Rate

An evaluation process used by E-Rate applicants when a state files an FCC Form 470 and signs state master contracts with more than one service provider. The applicant must evaluate all eligible state master contracts by determining the factors to use for its evaluation, with the price of eligible equipment and services as the most heavily-weighted factor, and demonstrate why the service provider it chooses is the most cost-effective solution.
Ministerial and Clerical (M&C) Errors E-Rate, Rural Health Care

Also known as M&C errors, these are data entry mistakes: e.g., mistyping a number or incorrectly calculating arithmetic. M&C errors on FCC forms may be corrected after the forms are certified by USAC.
National School Lunch Program (NSLP) E-Rate

A federal program that provides school lunches to eligible students at a free or reduced rate. A school system’s NSLP participation rate (i.e., the number of students enrolled in the NSLP divided by the total student population) is one measure of poverty that schools may use to calculate their discount rates in the E-Rate program. For additional information about discount calculations in E-Rate, visit the program’s Calculating Discounts page.
NCES Codes E-Rate

An identification code for public schools issued by the National Center for Education Statistics (NCES), the primary federal entity for collecting and analyzing data related to education. Private schools may also request NCES codes.
News Brief E-Rate

A monthly newsletter that provides up-to-date E-Rate program information, including important dates, tips regarding the application process, and other breaking news. Visit E-Rate’s News Brief page to view past News Briefs and subscribe.
Non‑Discount Portion E-Rate

An applicant’s share of the cost of eligible equipment and services in the E-Rate program. Also known as the non-discount share, this is the amount the applicant pays after all E-Rate program discounts are applied.
Non‑Instructional Facility (NIF) E-Rate

A school building without classrooms or a library building without public areas. Examples of school NIFs include administrative buildings, bus barns, and cafeteria facilities. Examples of library NIFs include administrative buildings, bookmobile garages, and interlibrary loan facilities. NIFs are eligible to receive E-Rate program discounts on Category One services only. Visit the E-Rate program’s NIFs page for additional information.
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