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Schools and libraries must complete an application which includes a description of the services requested in sufficient detail to allow a company to bid on the services, along with self-certification of the percentage of students eligible for the school lunch program, eligibility to participate in the universal service discount program and the school's or library's agreement not to resell any discounted services. The universal service administrator then posts the application on a Web site dedicated to this purpose. Competing providers bid on the descriptions of services. (The submitted description of services is not a substitute for state, local, or other procurement processes with which schools and libraries must still comply.) Pre-discount prices offered by companies to eligible schools and libraries may not exceed the lowest price charged to similarly situated non-residential customers. Schools and libraries must then wait four weeks after posting of their applications on the Web site before they may sign contracts with any service providers. Once approved for services, schools and libraries must only pay the portion of their bill after the discount. For example, a school that is eligible to receive a 90% discount will pay only 10% to the companies providing the services. These companies must apply for reimbursement of the remaining 90% of the bill from the universal service administrator.

For more information and application details as they are released, visit the FCC Web site: or


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