Details demanded on E-Rate subsidy.

Two powerful U.S. congressmen last week sent Federal Communications Commission chief William Kennard a pointed letter demanding more details on the FCC's plans to pay for the $2 billion E-Rate educational technology subsidy program.

House Commerce Committee chairman Rep. Tom Bliley (R-Va.) joined Rep. W.J. "Billy" Tauzin (R-La.) in a letter taking aim at Kennard's announcement earlier this month that he planned to push for full funding of the E-Rate program, which Congress cut in half last year.

"We still have serious concerns with the merits of this $1 billion tax increase and particularly its impact on consumers. In light of your efforts to increase taxes by $1 billion, now is an appropriate time for the FCC to provide the committee with some critical information," the May 13 letter says.

The congressmen want a list of tax collections from consumers by state during the first E-Rate cycle. Then, FCC staff should prepare a list of funds disbursed to each state during the same period, they said. The Commerce Committee also is interested in the distribution between E-Rate funds geared toward urban and rural areas and itemized expenses, including those used to fund the Universal Service Administrative Co., which administers the program.

About the Author

Connect with the FCW staff on Twitter @FCWnow.

Featured

  • IT Modernization
    shutterstock image By enzozo; photo ID: 319763930

    OMB provides key guidance for TMF proposals amid surge in submissions

    Deputy Federal CIO Maria Roat details what makes for a winning Technology Modernization Fund proposal as agencies continue to submit major IT projects for potential funding.

  • gears and money (zaozaa19/Shutterstock.com)

    Worries from a Democrat about the Biden administration and federal procurement

    Steve Kelman is concerned that the push for more spending with small disadvantaged businesses will detract from the goal of getting the best deal for agencies and taxpayers.

Stay Connected