Topic:
INTERNET; LIBRARIES; SCHOOLS (GENERAL); TELECOMMUNICATIONS; FEDERAL ASSISTANCE PROGRAMS; HIGHER EDUCATION; COMPUTERS; EDUCATION (GENERAL);
Location:
EDUCATION - (GENERAL); TELECOMMUNICATIONS;

OLR Research Report


January 9, 2006

 

2006-R-0036

CONNECTICUT EDUCATION NETWORK AND E-RATE

By: Judith Lohman, Chief Analyst

You asked for (1) the status of the Connecticut Education Network's wiring project and (2) a copy of the section of the 1996 federal Telecommunications Act that established the Universal Service Fund (also known as “e-rate”) that helps pay for discounted telecommunications service for schools and libraries with the funding language highlighted.

CONNECTICUT EDUCATION NETWORK STATUS

The Connecticut Education Network (CEN) provides schools, libraries, and higher education institutions with high-speed Internet access, among other things. According to Rob Vietzke, CEN's co-program manager and network architect, connections were available in all K-12 school districts at the start of the 2005-06 school year.

A complete list of CEN connection sites appears in Table 1 below. The abbreviation “CTC SO” means community-technical college system office. According to Vietzke, the CTCs are currently steering all traffic through their system offices. A blank means the connection is not active for various local reasons not attributable to CEN. MAN means “municipal area network.” This applies to certain libraries that are part of networks set-up by municipalities so CEN does not have to build a separate connection. CEN will be issuing a full report on its status later this month, before the start of the 2006 legislative session.

E-RATE

E-rate is the common name for the Universal Service Fund for Schools and Libraries, established by 254 of the federal Telecommunications Act of 1996 (copy attached). By law, all interstate telecommunications carriers pay contributions into the Universal Fund. The Federal Communications Commission (FCC) directs payment from this central fund to support the schools and libraries program, as well as three other universal service programs.

Telecommunications companies required to contribute to the fund may recover the contributions directly from customers through a line-item charge on telephone bills. The FCC does not require this surcharge. Each company makes a business decision about whether and how to assess customers to recover its Universal Service Fund costs.

According to Rob Vietzke, CEN has received $5.5 million per year from the E-rate program in each of the last two years and expects about the same contribution for 2006. The E-rate program provides 55% of the total cost of CEN's K-12 school program.

TABLE 1: CONNECTICUT EDUCATION NETWORK

Sites with Optical Connectivity

(1/1/06)

Site

Town

Status

Andover Elementary School

Andover

Active

Ansonia - Emmett Obrien VT

Ansonia

Active

Ansonia High School

Ansonia

Active

Ashford

Ashford

Active

Avon High School

Avon

Active

Barkhamsted

Barkhamsted

School Under Construction

Beacon Falls - Woodland Regional High

Beacon Falls

Active

Berlin Town Hall

Berlin

Active

Bethany - Amity Regional JR/SR High

Bethany

School Under Construction

Bethany Community School

Bethany

Active

Bethel High School

Bethel

Active

Bethlehem Elementary School

Bethlehem

 

Bloomfield Board of Ed

Bloomfield

Active

Bolton High School

Bolton

 

Table 1: Continued

Site

Town

Status

Bozrah - Fields Memorial School

Bozrah

Active

Branford High School

Branford

Active

Bridgeport -Bullard Havens VT

Bridgeport

Active

Bridgeport Public Schools - Sheridan Middle School

Bridgeport

Active

Housatonic Community College

Bridgeport

CTC SO

St. Vincent's College

Bridgeport

 

State Police Troop G - CEN Hub Site

Bridgeport

Active

University of Bridgeport

Bridgeport

Active

Bridgewater Burnham School

Bridgewater

Active

Bristol Board of Education

Bristol

Active

Bristol Central High School

Bristol

Active

Bristol Eastern High School

Bristol

Active

Bristol Vo Tech

Bristol

 

Brookfield High School

Brookfield

Active

Brooklyn Middle School

Brooklyn

Active

Burlington - Louis Mills High School

Burlington

Active

Canaan- Region One High School

Canaan

Active

Lee H Kellogg School

Canaan

 

Dr. Helen Baldwin Middle School

Canterbury

 

Canton Senior High School

Canton

Active

Chaplin Elementary School

Chaplin

Active

Chaplin Parish Hill High School

Chaplin

Active

Cheshire Town Hall

Cheshire

Active

Chester Elementary School

Chester

Active

The Morgan School - Clinton

Clinton

Active

Colchester

Colchester

Active

Colebrook

Colebrook

Active

Columbia - Long River Middle School

Columbia

Active

Columbia - Saxton B. Little Library

Columbia

Active

Cornwall Consolidated School

Cornwall

Active

Coventry High School

Coventry

Active

Cromwell Middle School

Cromwell

Active

Danbury - Henry Abbott VT

Danbury

Active

Danbury Board of Education

Danbury

Active

Table 1: Continued

Site

Town

Status

Danbury High School

Danbury

Active

Western Connecticut State Univ - CEN H

Danbury

Active

Darien Board of Education

Darien

Active

Deep River - John Winthrop Jr. High

Deep River

Active

Deep River Elementary School

Deep River

Active

Derby High School

Derby

Active

Durham - Cochinchaug Regional High

Durham

Active

East Granby

East Granby

Active

East Haddam

East Haddam

Active

East Hampton High School

East Hampton

Active

Department of Information Technology

East Hartford

Active

East Hartford Board of Education

East Hartford

Active

East Hartford High School

East Hartford

Active

East Hartford Two Rivers Magnet School

East Hartford

Active

Goodwin College

East Hartford

 

East Haven High School

East Haven

Active

East Lyme High School

East Lyme

Active

East Windsor Jr/Sr High

East Windsor

Active

Eastford

Eastford

Active

Easton Hellen Keller Middle School

Easton

Active

Ellington Middle School

Ellington

Active

Asnuntuck Community College - CEN Hub

Enfield

CTC SO

Enfield Fermi High School

Enfield

Active

Essex Elementary School

Essex

Active

Fairfield Board of Education

Fairfield

Active

Fairfield University

Fairfield

Active

Sacred Heart University

Fairfield

Active

Farmington High School

Farmington

 

Farmington Public Library

Farmington

 

Tunxis Community College

Farmington

 

UConn Health Center

Farmington

Active

Franklin Elementary School

Franklin

Active

Glastonbury High School

Glastonbury

Active

Goshen Center School

Goshen

 

Table 1: Continued

Site

Town

Status

Granby Board of Education

Granby

Active

Greenwich Board of Education

Greenwich

 

Griswold Senior High

Griswold

Active

Groton - UConn Avery Point

Groton

Active

Groton Board of Education

Groton

Active

Grasso Vo Tech School

Groton

Active

Mystic Aquarium

Groton

Active

Guilford

Guilford

Active

Haddam Killingworth High

Haddam

Active

ACES RESC

Hamden

Active

Eli Whitney Vo Tech School

Hamden

Active

Hamden High School

Hamden

Active

Quinnipiac College

Hamden

Active

Southern Connecticut State Univ - CEN HHamden

 

Active

Hampton Elementary School

Hampton

 

AI Prince Votech

Hartford

Active

Capitol Community College

Hartford

CTC SO

Connecticut Public Affairs Network - CTN Hartford

 

Active

Connecticut Public Broadcasting - CPTV Hartford

 

Active

Hartford - CREC Data Center

Hartford

Active

Hartford - CREC Middle Magnet School Hartford

 

Active

Hartford Board of Education

Hartford

Active

Hartford Public Library

Hartford

Active

Legislative Office Building

Hartford

Active

Rensellaer Hartford

Hartford

Active

Trinity College

Hartford

Active

UConn Law School

Hartford

Active

UConn School of Business Constitution PHartford

 

Active

Hartland

Hartland

Active

Harwinton Consolidated School

Harwinton

Active

Hebron - RHAM High School

Hebron

Active

Kent

Kent

Active

Killingly High School

Killingly

Active

Killingworth Elementary

Killingworth

Active

Table 1: Continued

Site

Town

Status

Lebanon

Lebanon

Active

Ledyard

Ledyard

Active

Lisbon Center School

Lisbon

Active

Litchfield - RESC / Ed Connection

Litchfield

Active

Litchfield High/Intermediate School

Litchfield

Active

Litchfield Hub Site - Troop L Public SafetyLitchfield

 

Active

Warmogo RHS Regional High

Litchfield

 

Lyme

Lyme

 

Lyme Academy of the Arts

Lyme

 

Madison

Madison

 

Manchester - Howell Cheney VT

Manchester

Active

Manchester Board of Education

Manchester

Active

Manchester Community College

Manchester

CTC SO

Mansfield - UConn Babbidge Hub Site Mansfield

 

Active

Mansfield - UConn Chemistry Hub Site) Mansfield

 

Active

Mansfield EO Smith Region 19 High SchoMansfield

   

Mansfield Public Schools (Town Hall)

Mansfield

Active

UConn Depot Campus

Mansfield

Active

Marlborough

Marlborough

Active

Department of Public Safety HQ - CEN Hub

Meriden

Active

HC Wilcox Vo Tech

Meriden

Active

Meriden Town Hall

Meriden

Active

Middlebury Bibliomation Library Center

Middlebury

 

Middlebury Board of Education

Middlebury

Active

Middlefield Memorial School

Middlefield

Active

Middlesex Community College

Middletown

CTC SO

Libraries Online

Middletown

Active

Wesleyan University

Middletown

Active

Middletown High School

Middletown

Active

Middletown - Vinal Vo Tech

Middletown

Active

Platt Vo Tech

Milford

Active

Milford Board of Education

Milford

Active

Monroe Board of Education

Monroe

Active

Montville High School

Montville

Active

Table 1: Continued

Site

Town

Status

James Morris School

Morris

 

Naugatuck High School

Naugatuck

Active

Central Connecticut State Univ - CEN Hub

New Britain

Active

Charter Oak State College

New Britain

Active

Goodwin Vo Tech

New Britain

Active

Slade Middle School

New Britain

Active

New Canaan Town Hall

New Canaan

Active

New Fairfield High School

New Fairfield

Active

New Hartford Antolini High

New Hartford

Active

Albertus Magnus College

New Haven

Active

New Haven Board of Education

New Haven

Active

Yale University

New Haven

Active

Connecticut College

New London

Active

Mitchell College

New London

 

New London Board of Education

New London

 

UConn Avery Point

New London

Active

US Coast Guard Academy

New London

Active

New Milford Board of Education

New Milford

Active

Newington Town Hall

Newington

Active

Newtown High School

Newtown

Active

Botelle Elementary School

Norfolk

Active

North Branford High School

North Branford

Active

North Canaan Elementary School

North Canaan

Active

Gateway North Haven

North Haven

CTC SO

North Haven High School

North Haven

School Under Construction

Wheeler High School - North Stonington

North Stonington

Active

Norwalk Board of Education

Norwalk

Active

Norwalk Community College

Norwalk

CTC SO

Three Rivers Community College

Norwich

CTC SO

Norwich Board of Education

Norwich

Active

Norwich Free Academy

Norwich

 

Norwich VT

Norwich

Active

LEARN - RESC

Old Lyme

Active

Old Lyme High School

Old Lyme

Active

Table 1: Continued

Site

Town

Status

Old Saybrook

Old Saybrook

Active

Amity Regional Jr. High

Orange

School Under Construction

Orange - Mary Tracy School

Orange

Active

Oxford - Great Oak School

Oxford

Active

Plainfield - Danielson VT

Plainfield

Active

Plainfield Early Childhood Center / Board Plainfield

Plainfield

Active

Plainville High School

Plainville

Active

Plymouth Terryville High School

Plymouth

 

Pomfret Community School

Pomfret

Active

Portland

Portland

Active

Preston

Preston

 

Prospect

Prospect

Active

Putnam

Putnam

Active

Redding Joel Barlow High School

Redding

Active

Ridgefield

Ridgefield

Active

Rocky Hill High School

Rocky Hill

Active

Booth Free School

Roxbury

Active

Salem School

Salem

Active

Salisbury Central Schools

Salisbury

Active

Scotland Elementary Schools

Scotland

Active

Seymour High School

Seymour

School Under Construction

Sharon

Sharon

Active

Shelton High School

Shelton

Active

Sherman School

Sherman

Active

Simsbury High School

Simsbury

Active

Somers Middle School

Somers

Active

South Windsor High School

South Windsor

 

Southbury High School

Southbury

 

State Police Troop A - CEN Hub

Southbury

Active

Southington

Southington

Active

Sprague - Sayles School

Sprague

Active

Stafford

Stafford

Active

J.M. Wright Vo Tech

Stamford

Active

Stamford Board of Ed

Stamford

 

Table 1: Continued

Site

Town

Status

Stamford Public Libraries

Stamford

Active

UConn Stamford - CEN Hub Site

Stamford

Active

Sterling Memorial School

Sterling

Active

Stonington High School

Stonington

Active

Sikorsky Vo Tech

Stratford

Active

Stratford Board of Education

Stratford

Active

Suffield Town Hall

Suffield

 

Thomaston High School

Thomaston

 

Thompson

Thompson

Active

Tolland High

Tolland

Active

Torrington High School

Torrington

Active

Wolcott VT Torrington

Torrington

Active

Trumbull - CES

Trumbull

Active

Trumbull Board of Ed

Trumbull

Active

Union

Union

Active

Rockville High School / Vernon

Vernon

Active

Voluntown

Voluntown

Active

Sheehan High School / Wallingford

Wallingford

Active

Warren

Warren

Active

Shepaug Valley High

Washington

Active

Naugatuck Valley Community College

Waterbury

CTC SO

Rowland Government Center - CEN Hub

Waterbury

Active

UConn Waterbury

Waterbury

Active

JF Kaynor Vo Tech

Waterbury

Active

Waterbury Board of Education

Waterbury

Active

Waterford - Friendship School

Waterford

Active

Waterford Board of Education

Waterford

Active

Watertown High School

Watertown

Active

American School for the Deaf

West Hartford

Active

UConn Hartford

West Hartford

Active

University of Hartford

West Hartford

Active

West Hartford Board of Education

West Hartford

Active

Conard High School

West Hartford

Active

Hall High School

West Hartford

Active

Table 1: Continued

Site

Town

Status

University of New Haven

West Haven

Active

West Haven High School

West Haven

Active

Westbrook High School

Westbrook

Active

Weston Town Hall

Weston

Active

Westport High School

Westport

Active

Westport Town Hall

Westport

Active

Wethersfield High School

Wethersfield

Active

District 19

Willington

Active

Wilton High School

Wilton

Active

Eastern Connecticut State University

Windham

Active

Kramer School / Board of Education

Windham

Active

Windham - Windham VT

Windham

Active

Eastconn RESC

Windham

 

Windsor Library Connection

Windsor

 

Windsor High School

Windsor

Active

Windsor Locks High School

Windsor Locks

Active

Gilbert School

Winsted

 

North Western Regional High Winsted

Winsted

Active

Wolcott High School

Wolcott

Active

Amity Regional High

Woodbridge

Active

Beecher Road School

Woodbridge

Active

Nonewaug High School

Woodbury

Active

Woodstock

Woodstock

Active

Woodstock Academy

Woodstock

Active

Pearson Middle School

Winchester

Ordered 10/05

Redding Middle School

Redding

Ordered 10/05

Bridgeport Public Library

Bridgeport

Ordered 12/05

Danbury Public Library

Danbury

Ordered 12/05

Welles Turner Memorial Library

Glastonbury

Ordered 12/05

Meriden Public Library

Meriden

Ordered 12/05

New Haven Free Library

New Haven

Ordered 12/05

Norwalk Public Library

Norwalk

Ordered 12/05

Stratford Library

Stratford

Ordered 12/05

Wallingford Public Library

Wallingford

Ordered 12/05

Table 1: Continued

Site

Town

Status

Silas Bronson Library

Waterbury

Ordered 12/05

Willimantic Public Library

Windham

Ordered 12/05

Common Ground High

New Haven

Ordered 12/05

Stamford Academy

Stamford

Ordered 12/05

The Bridge Academy

Bridgeport

Ordered 12/05

Burnham Library

Bridgewater

Active

Deep River Library

Deep River

Active

East Haddam / Moodus - Library

East Haddam

Active

Rathburn Free Memorial

East Haddam

Active

Groton Public Library

Groton

Active

Brainerd Memorial Library

Haddam

Active

Harwinton Public Library

Harwinton

Active

Killingworth Public Library

Killingworth

Active

New Fairfield Public Library

New Fairfield

Active

Wheeler Library

North Stonington

Active

Stonington Public Library

Stonington

Active

Woodstock Library

Woodstock

Available-MAN

Shelton

Shelton

Available-MAN

West Hartford

West Hartford

Available-MAN

Richmond Memorial Library

Marlborough

Ordered 12/05

Monroe Public Library

Monroe

Ordered 12/05

Cornwall Free Library

Cornwall

Ordered 12/05

Howard Whittemore Library

Naugatuck

Ordered 12/05

Thomaston Public Library

Thomaston

Ordered 12/05

Preston Public Library

Preston

Ordered 12/05

Putnam Public Library

Putnam

Ordered 12/05

New London Public Library

New London

Ordered 12/05

Oliver Wolcott Library

Wolcott

Ordered 12/05

Gunn Memorial Library

Washington

Ordered 12/05

Scotland Public Library

Scotland

Ordered 12/05

Sharon Hotchkiss Library

Sharon

Ordered 12/05

East Hampton Public Library

East Hampton

Ordered 12/05

Cheshire Public Library

Cheshire

Ordered 12/05

Burlington Public Library

Burlington

Ordered 12/05

Table 1: Continued

Site

Town

Status

Roxbury Minor Memorial Library

Roxbury

Ordered 12/05

Scoville Memorial Library

Salisbury

Ordered 12/05

Wolcott Public Library

Wolcott

Ordered 12/05

Oxford Public Library

Oxford

Ordered 12/05

Stafford Library

Stafford

Ordered 12/05

Morris Public Library

Morris

Ordered 12/05

Weston Public Library

Weston

Ordered 12/05

     
     

Public School District Sites - Serving K-12

201

 

Public Library Sites

53

 

Vocational Technical School Sites

19

 

Network Hub Sites for CEN Backbone

7

 

Higher Education Campuses and Facilities

46

 

TOTAL

326

 

Source: Connecticut Education Network

FEDERAL TELECOMMUNICATIONS ACT OF 1996

SEC. 254. UNIVERSAL SERVICE.

(a) PROCEDURES TO REVIEW UNIVERSAL SERVICE REQUIREMENTS-

`(1) FEDERAL-STATE JOINT BOARD ON UNIVERSAL SERVICE- Within

one month after the date of enactment of the Telecommunications

Act of 1996, the Commission shall institute and refer to a

Federal-State Joint Board under section 410(c) a proceeding to

recommend changes to any of its regulations in order to

implement sections 214(e) and this section, including the

definition of the services that are supported by Federal

universal service support mechanisms and a specific timetable

for completion of such recommendations. In addition to the

members of the Joint Board required under section 410(c), one

member of such Joint Board shall be a State-appointed utility

consumer advocate nominated by a national organization of State

utility consumer advocates. The Joint Board shall, after notice

and opportunity for public comment, make its recommendations to

the Commission 9 months after the date of enactment of the

Telecommunications Act of 1996.

`(2) COMMISSION ACTION- The Commission shall initiate a

single proceeding to implement the recommendations from the

Joint Board required by paragraph (1) and shall complete such

proceeding within 15 months after the date of enactment of the

Telecommunications Act of 1996. The rules established by such

proceeding shall include a definition of the services that are

supported by Federal universal service support mechanisms and a

specific timetable for implementation. Thereafter, the

Commission shall complete any proceeding to implement

subsequent recommendations from any Joint Board on universal

service within one year after receiving such recommendations.

`(b) UNIVERSAL SERVICE PRINCIPLES- The Joint Board and the

Commission shall base policies for the preservation and advancement

of universal service on the following principles:

`(1) QUALITY AND RATES- Quality services should be available

at just, reasonable, and affordable rates.

`(2) ACCESS TO ADVANCED SERVICES- Access to advanced

telecommunications and information services should be provided

in all regions of the Nation.

`(3) ACCESS IN RURAL AND HIGH COST AREAS- Consumers in all

regions of the Nation, including low-income consumers and those

in rural, insular, and high cost areas, should have access to

telecommunications and information services, including

interexchange services and advanced telecommunications and

information services, that are reasonably comparable to those

services provided in urban areas and that are available at

rates that are reasonably comparable to rates charged for

similar services in urban areas.

`(4) EQUITABLE AND NONDISCRIMINATORY CONTRIBUTIONS- All

providers of telecommunications services should make an

equitable and nondiscriminatory contribution to the

preservation and advancement of universal service.

`(5) SPECIFIC AND PREDICTABLE SUPPORT MECHANISMS- There

should be specific, predictable and sufficient Federal and

State mechanisms to preserve and advance universal service.

`(6) ACCESS TO ADVANCED TELECOMMUNICATIONS SERVICES FOR

SCHOOLS, HEALTH CARE, AND LIBRARIES- Elementary and secondary

schools and classrooms, health care providers, and libraries

should have access to advanced telecommunications services as

described in subsection (h).

`(7) ADDITIONAL PRINCIPLES- Such other principles as the

Joint Board and the Commission determine are necessary and

appropriate for the protection of the public interest,

convenience, and necessity and are consistent with this Act.

`(c) DEFINITION-

`(1) IN GENERAL- Universal service is an evolving level of

telecommunications services that the Commission shall establish

periodically under this section, taking into account advances

in telecommunications and information technologies and

services. The Joint Board in recommending, and the Commission

in establishing, the definition of the services that are

supported by Federal universal service support mechanisms shall

consider the extent to which such telecommunications services--

`(A) are essential to education, public health, or public

safety;

`(B) have, through the operation of market choices by

customers, been subscribed to by a substantial majority of

residential customers;

`(C) are being deployed in public telecommunications

networks by telecommunications carriers; and

`(D) are consistent with the public interest,

convenience, and necessity.

`(2) ALTERATIONS AND MODIFICATIONS- The Joint Board may, from

time to time, recommend to the Commission modifications in the

definition of the services that are supported by Federal

universal service support mechanisms.

`(3) SPECIAL SERVICES- In addition to the services included

in the definition of universal service under paragraph (1), the

Commission may designate additional services for such support

mechanisms for schools, libraries, and health care providers

for the purposes of subsection (h).

`(d) TELECOMMUNICATIONS CARRIER CONTRIBUTION- Every

telecommunications carrier that provides interstate

telecommunications services shall contribute, on an equitable and

nondiscriminatory basis, to the specific, predictable, and

sufficient mechanisms established by the Commission to preserve and

advance universal service. The Commission may exempt a carrier or

class of carriers from this requirement if the carrier's

telecommunications activities are limited to such an extent that

the level of such carrier's contribution to the preservation and

advancement of universal service would be de minimis. Any other

provider of interstate telecommunications may be required to

contribute to the preservation and advancement of universal service

if the public interest so requires.

`(e) UNIVERSAL SERVICE SUPPORT- After the date on which

Commission regulations implementing this section take effect, only

an eligible telecommunications carrier designated under section

214(e) shall be eligible to receive specific Federal universal

service support. A carrier that receives such support shall use

that support only for the provision, maintenance, and upgrading of

facilities and services for which the support is intended. Any

such support should be explicit and sufficient to achieve the

purposes of this section.

`(f) STATE AUTHORITY- A State may adopt regulations not

inconsistent with the Commission's rules to preserve and advance

universal service. Every telecommunications carrier that provides

intrastate telecommunications services shall contribute, on an

equitable and nondiscriminatory basis, in a manner determined by

the State to the preservation and advancement of universal service

in that State. A State may adopt regulations to provide for

additional definitions and standards to preserve and advance

universal service within that State only to the extent that such

regulations adopt additional specific, predictable, and sufficient

mechanisms to support such definitions or standards that do not

rely on or burden Federal universal service support mechanisms.

`(g) INTEREXCHANGE AND INTERSTATE SERVICES- Within 6 months after

the date of enactment of the Telecommunications Act of 1996, the

Commission shall adopt rules to require that the rates charged by

providers of interexchange telecommunications services to

subscribers in rural and high cost areas shall be no higher than

the rates charged by each such provider to its subscribers in urban

areas. Such rules shall also require that a provider of interstate

interexchange telecommunications services shall provide such

services to its subscribers in each State at rates no higher than

the rates charged to its subscribers in any other State.

`(h) TELECOMMUNICATIONS SERVICES FOR CERTAIN PROVIDERS-

`(1) IN GENERAL-

`(A) HEALTH CARE PROVIDERS FOR RURAL AREAS- A

telecommunications carrier shall, upon receiving a bona

fide request, provide telecommunications services which are

necessary for the provision of health care services in a

State, including instruction relating to such services, to

any public or nonprofit health care provider that serves

persons who reside in rural areas in that State at rates

that are reasonably comparable to rates charged for similar

services in urban areas in that State. A telecommunications

carrier providing service under this paragraph shall be

entitled to have an amount equal to the difference, if any,

between the rates for services provided to health care

providers for rural areas in a State and the rates for

similar services provided to other customers in comparable

rural areas in that State treated as a service obligation

as a part of its obligation to participate in the

mechanisms to preserve and advance universal service.

`(B) EDUCATIONAL PROVIDERS AND LIBRARIES- All

telecommunications carriers serving a geographic area

shall, upon a bona fide request for any of its services

that are within the definition of universal service under

subsection (c)(3), provide such services to elementary

schools, secondary schools, and libraries for educational

purposes at rates less than the amounts charged for similar

services to other parties. The discount shall be an amount

that the Commission, with respect to interstate services,

and the States, with respect to intrastate services,

determine is appropriate and necessary to ensure affordable

access to and use of such services by such entities. A

telecommunications carrier providing service under this

paragraph shall--

`(i) have an amount equal to the amount of the

discount treated as an offset to its obligation to

contribute to the mechanisms to preserve and advance

universal service, or

`(ii) notwithstanding the provisions of subsection

(e) of this section, receive reimbursement utilizing

the support mechanisms to preserve and advance

universal service.

`(2) ADVANCED SERVICES- The Commission shall establish

competitively neutral rules--

`(A) to enhance, to the extent technically feasible and

economically reasonable, access to advanced

telecommunications and information services for all public

and nonprofit elementary and secondary school classrooms,

health care providers, and libraries; and

`(B) to define the circumstances under which a

telecommunications carrier may be required to connect its

network to such public institutional telecommunications

users.

`(3) TERMS AND CONDITIONS- Telecommunications services and

network capacity provided to a public institutional

telecommunications user under this subsection may not be sold,

resold, or otherwise transferred by such user in consideration

for money or any other thing of value.

`(4) ELIGIBILITY OF USERS- No entity listed in this

subsection shall be entitled to preferential rates or treatment

as required by this subsection, if such entity operates as a

for-profit business, is a school described in paragraph (5)(A)

with an endowment of more than $50,000,000, or is a library not

eligible for participation in State-based plans for funds under

title III of the Library Services and Construction Act (20

U.S.C. 335c et seq.).

`(5) DEFINITIONS- For purposes of this subsection:

`(A) ELEMENTARY AND SECONDARY SCHOOLS- The term

`elementary and secondary schools' means elementary schools

and secondary schools, as defined in paragraphs (14) and

(25), respectively, of section 14101 of the Elementary and

Secondary Education Act of 1965 (20 U.S.C. 8801).

`(B) HEALTH CARE PROVIDER- The term `health care

provider' means--

`(i) post-secondary educational institutions offering

health care instruction, teaching hospitals, and

medical schools;

`(ii) community health centers or health centers

providing health care to migrants;

`(iii) local health departments or agencies;

`(iv) community mental health centers;

`(v) not-for-profit hospitals;

`(vi) rural health clinics; and

`(vii) consortia of health care providers consisting

of one or more entities described in clauses (i)

through (vi).

`(C) PUBLIC INSTITUTIONAL TELECOMMUNICATIONS USER- The

term `public institutional telecommunications user' means

an elementary or secondary school, a library, or a health

care provider as those terms are defined in this paragraph.

`(i) CONSUMER PROTECTION- The Commission and the States should

ensure that universal service is available at rates that are just,

reasonable, and affordable.

`(j) LIFELINE ASSISTANCE- Nothing in this section shall affect

the collection, distribution, or administration of the Lifeline

Assistance Program provided for by the Commission under regulations

set forth in section 69.117 of title 47, Code of Federal

Regulations, and other related sections of such title.

`(k) SUBSIDY OF COMPETITIVE SERVICES PROHIBITED- A

telecommunications carrier may not use services that are not

competitive to subsidize services that are subject to competition.

The Commission, with respect to interstate services, and the

States, with respect to intrastate services, shall establish any

necessary cost allocation rules, accounting safeguards, and

guidelines to ensure that services included in the definition of

universal service bear no more than a reasonable share of the joint

and common costs of facilities used to provide those services.

JL:ts