
In its Sixth Report and Order, issued in September 2010, the Federal Communications Commission codified regulations regarding gifts from eRate service providers to align with the gift rules applicable to federal agencies. Several months later, eRate stakeholders are still trying to make sense of the new rules.
Applicants are now subject to federal law regarding gifts from vendors, and any breach of this regulation is considered a competitive-bidding violation. Since the addition of the gifting rules, eRate applicants and service providers have struggled with the ambiguity of the rules and the numerous hypothetical situations they presumed they would face.
What’s more, confusion about the new eRate gift rules hasn’t stopped with applicants and service providers. The Universal Service Administrative Co. (USAC), the administrative body over the eRate program, has twice sought clarification from the FCC regarding application of the rules.…Read More