CTF Subsidies: The California Teleconnect Fund (CTF) is a program run by the California Public Utilities Commission (CPUC) that provided a 25% discount on select telephone services and 50% discounts on broadband services to schools, libraries, hospitals, and Community Based Organizations.
E-rate Subsidies: The Federal Communications Commission’s (FCC) E-rate program makes telecommunications and information services more affordable for schools and libraries by providing discounts for telecommunications, Internet access and internal connections to eligible schools and libraries.
Why are subsidies ending? Due to E-Rate Modernization, which re-focuses the program on providing the necessary support to ensure our nation’s schools and libraries have affordable access to high-speed broadband, discounts on all voice services were phased out on July 1, 2019. The E-rate phase-out began in 2015, and continued until all voice services were phased out in July 2019. Voice funding was phased out so more funds could be dedicated to closing the Wi-Fi gap. Consistent with the E-rate program’s phase out of its voice discount, the FCC determined that CTF support for voice services should be discontinued on July 1, 2019 as well.
What does this mean for me? If you are a California organization currently benefitting from CTF funding, your monthly bill for voice services is about to increase by 25%. If you’re also benefitting from E-rate funding, your monthly bill will increase by more than 25%. You should consider reevaluating your service options.
What can I do about it? 101VOICE, with a 10 year history of providing superior voice service to the state, local, and education market, offers better, more reliable coverage, easy system migration, better security features, emergency alerting and pricing that will make you smile. In addition, if you’re a member of a Joint Powers Authority (JPA), such as SPURR or MiCTA, you don’t even have to go out to bid. We do it all for you and eliminate the hassle. We recognize that your budget relies on these discounts and want to help you close the gap through more beneficial pricing. Contact us for a quote today!