However, Rep. Tauzin and others have stated and written that their proposal now provides that the Department of Education will administer the program. Hence, the reference in HR 1746 IH to the NTIA may be a error based on using a 1998 draft of the bill. The state education departments would then distribute the money. The source of funding is switched from an FCC mandated tax on phone users under the authority of universal service, to the existing excise tax on phones. Funding goes to the states in the form of block grants to the state education departments, rather than directly to schools.
Funding is limited to five years, rather than in perpetuity.
Funding is limited to the amounts raised by the excise tax. This bill was introduced on May 11, 1999. The House Telecommunications Subcommittee held a hearing on September 30, 1999. No other action has been taken. Legislative History with Links to Related Materials.