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E-rate Modernization = Unprecedented Opportunity for Applicants
The E-rate program offers $4 billion worth of discounts to K-12 schools and libraries each year. Due to the $1.9 billion in rollover funding, there is an unprecedented $5.8 billion available for the 2019 Funding Year (E-rate Year 22). Because of the E-rate Modernization Order and the additional funds, it is now possible for all schools and libraries that qualify for the E-rate program to use some funding for their digital initiatives.
Basic maintenance (Cisco CON-SW SKUs) is 100% E-rate eligible. However, services eligibility is dependent on the product eligibility for which the service covers. For example, a CON-SW SKU for a 90% E-rate eligible product would be 90% eligible.
Applicants who wish to purchase SMARTnet (CON-SNT) service for eligible products should be able to do so using a cost-allocation approach. SMARTnet (SNT) contains E-rate eligible and ineligible service parts. When preparing applications for E-rate funding, applicants should only request E-rate discounts on the eligible portion of SMARTnet services. A cost allocation worksheet, which provides the cost delta between Cisco basic maintenance service (CON-SW) and the various service levels of SMARTnet, may be found here: Hardware Replacement Allocations
If you have further questions regarding product eligibility or this cost allocation methodology, please use the “Questions” tab above. Cisco partners may also visit the Cisco E-rate Partner Central site for more information. For other questions, please send an email directly to the Cisco E-rate team. We’re here to help!