Updated September 2017
Each year, before the FCC Form 471 application filing window opens, the FCC releases an Eligible Services List (ESL) for the upcoming funding year. This list contains a description of the products and services that will be eligible for discounts, along with additional helpful information such as eligibility conditions for each category of service for each specified funding year.
We suggest that you review this list, the ESL Glossary and Frequently Asked Questions (FAQs) before you file an FCC Form 470 to open your competitive bidding process so you know which services are eligible for the upcoming year.
The ESL includes five service types that fall in one of two funding categories:
This category covers broadband connectivity and basic conduit access to the Internet. This category does not include charges for content, equipment purchases, or other services beyond basic conduit access to the Internet. This service type also includes leased lit fiber, leased dark fiber, and self-provisioned networks.
This service type includes local and long distance wired telephone service; interconnected Voice over Internet Protocol (VoIP), and cellular phone service (excluding data plans, text messaging and voicemail which are ineligible); and Centrex service. Digital Subscriber Line (DSL), T-1, T-3, and satellite services are also eligible.
Voice Services are subject to a voice phasedown of 20 percent each funding year until Funding Year (FY) 2019 when voice services will no longer be funded.
For example, an applicant with a 90 percent Category One discount would be eligible for a 70 percent discount on voice services in FY2015, a 50 percent discount in FY2016, a 30 percent discount in FY2017, and so on.
Starting in FY2015, VoIP is only eligible under the Voice Services category.
These two service types include eligible products, such as access points, routers, switches, hubs, and wiring. Eligible products are located at the applicant site and must be necessary to transport information to classrooms or publicly accessible areas of a library.
Services provided by a third party for the operation, management, and monitoring of eligible broadband internal connections components are eligible Managed Internal Broadband Services (e.g., managed Wi-Fi). Program support is limited to eligible expenses or portions of expenses that directly support and are necessary for the broadband connectivity within schools and libraries. Applicants may lease equipment as a part of an Internal Connections request or managed internal broadband services (MIBS) request.
This category covers the repair and upkeep of eligible products. Eligible repair and upkeep services include hardware, wiring, and cable maintenance, along with basic technical support and configuration changes. The products must be eligible for discounts in order for their associated repair and upkeep services to be eligible.
Basic Maintenance of Internal Connections services must be for actual work services performed on eligible products and parts that are repaired or replaced. Unbundled warranties or fixed price contracts are not eligible for reimbursement, unless the ineligible portions of the warranty or contract can be cost-allocated.
Software upgrades and patches, including bug fixes and security patches and online and telephone-based technical assistance need not provide evidence of work being performed.
Services such as software upgrades and patches, including bug fixes and security patches, and online and telephone-based technical assistance and tools that are typically standard fixed priced offerings will continue to be funded as BMIC if the service or equipment would not function and serve its intended purpose with the degree of reliability ordinarily provided but for these specific services.
If a product or service has both eligible and ineligible uses or components, the eligible portions of the product or service may still be eligible for discounts. We refer to these products or services as partially eligible.
For example, an Internet access service may be delivered to a school run by a church (an eligible location) and to the church office (an ineligible location).
To request discounts on the eligible portion of these products and services, you must perform a cost allocation.
There is not a single approved method to allocate eligible and ineligible costs. Your method must use tangible criteria that results in a reasonable allocation.
Products and services may be eligible under certain conditions. We refer to these products or services as conditionally eligible.
If a product or service contains ineligible features on an ancillary basis that are not offered or priced separately, ancillary use of these ineligible features may not require a cost allocation if they meet certain requirements.
Services must not only be eligible, but must also be delivered to eligible locations and used for eligible purposes. The customary work activities of school or library employees and customary activities that occur on school or library property are presumed to fall under the definition of educational purposes.