With the recent addition of Wi-Fi hotspots to the E-rate program’s eligible services framework, applicants across the country are gearing up for Funding Year 2025 procurements and applications for the newly eligible service. And any time there is an E-rate rule change, there are frequently asked questions among applicants and service providers who are tasked with ensuring compliance. Here are some of the most popular questions our Guides have received about Wi-Fi hotspots:
Are hotspots eligible for Category One or Category Two discounts?
Both the Wi-Fi hotspot devices and the recurring Internet service are eligible for Category One funding. There is a pre-discount funding cap of $90 per hotspot device and $15 per month per line for Internet service.
Do I have to bid hotspots and service with an FCC Form 470?
Yes! Funding requests for Wi-Fi hotspots are subject to the same rules and process requirements as any other E-rate funding request, so all services must be competitively bid. In some cases, applicants who are under existing contracts for service may be able to conduct a new competitive bid and evaluate their existing contracts against new bids received in response to the procurement.
Can I request discounts on extra hotspots to have on hand in case some get lost, stolen, or broken?
A “spare inventory” is not eligible for funding. The FCC’s expectation is that E-rate discounted hotspots will be in (more or less) continuous use – they require service providers to terminate service to any hotspot that has gone unused for 90 consecutive days.
Do the hotspots have to be compliant with CIPA? How does that work?
CIPA compliance is required for hotspot services like on-campus Internet or Internal Connections services. The FCC does not mandate specific filtering technologies or methods, and USAC has informally suggested that applicants may want to confer with their vendors to find out what options may be available for implementing the ‘technology protection measure’ required by CIPA.
What are your questions about hotspot service? For more information and a summary of the new rules, you can view a recording of our My E-rate Guides special hotspot event here!
