E-rate, which provides discounted internet services to build connectivity for schools, gave $10.5 billion to districts between 2021 and 2025.

The Federal Communications Commission (FCC) has begun to accept public comment on a proposed rule weighing changes to, including the discontinuance, of the federal E-rate program. The E-rate program, which provides discounted rates for internet services to schools and libraries, began in 1996 when President Bill Clinton signed the bipartisan Telecommunications Act.

According to the National Center for Education Statistics, a year prior to its passage only 8% of public school classrooms had internet access. By 2003, 93% of public school classrooms had internet access. Most recently, between 2021 and 2005, $10.5 billion in federal funds to school districts came from E-rate, making E-rate the fifth largest source of federal funds for schools. In fact, almost 25,000 entities including districts, schools, consortiums and libraries received funds during that period.

FCC’s proposed rule, published in the Federal Register on August 14, 2026, asks if E-rate policy changes are needed in light of concerns over screen time in schools or whether the program “should be limited or sunset” given “today’s extensive connectivity rates.” The public comment period closes October 13, 2026.

Source: K-12 Dive.