Hundreds of small schools in Oklahoma were denied $20 million worth of subsidies for internet service when the Federal Communications Commission (FCC) ruled that their eRate applications violated the program's competitive bidding requirements.

In response to the FCC's ruling, the Schools and Libraries Division (SLD) of the Universal Service Administrative Co., the group that administers the eRate, pulled an additional 312 applications from its web site. The agency said these additional applications, which came from schools and libraries around the country, violated the same statute upheld by the FCC's ruling.


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