The document discusses updates and changes to the E-Rate program for funding years 2016 and beyond. Key points include: - More school districts will be eligible for E-Rate funding and internal connections are now an eligible funding category. - Schools will have a 5-year budget of $150 per student for eligible internal connection products and services. - Discount rates are increasing for many schools, especially those with higher percentages of students eligible for the national school lunch program. - Funding for category 1 and 2 services is expected to be fully funded for funding year 2016 with unused funds from previous years.

1. E-Rate 2.0- Getting ready for
FY2016 and beyond
Tracy Hill
Education Sector Sales – US and Canada
thill@extremenetworks.com

2. FCC’s Landmark Modernization
©2014 Extreme Networks, Inc. All rights reserved.2
• Much needed update to a very
successful Federal Program
• More school districts eligible for
funding
• E-Rate is now a dependable,
supplementary funding source for
Internal Connections
• Schools need the best solutions at the
best price – leveraging all funding
sources

3. 5 Year Budget Plan
(Enrollment) x $150 = Pre-discount budget
• Each school receiving Category Two support in FY2015 or
FY2016 will have a five-year, pre-discount budget for those
products and services.
• Separate budgets apply to each individual school site
– A school district or library system would have separate budgets for
each of their component schools
• Discount rate is calculated for the entire district
– Shared discount rate is applied to each site
– Each site has a pre-discount budget and can be applied for separately
• YR 2 – Could be remaining balance or 100% left if school didn’t apply for any
Category 2 in FY2015
©2014 Extreme Networks, Inc. All rights reserved. Info from USAC.org3

4. Discount Matrix for Category 2
Category one
schools and
libraries discount
matrix
Category two
schools and
libraries discount
matrix
Discount level Discount level
% of students eligible for
National School Lunch
Program
Urban
discount
Rural
discount
Urban
discount
Rural
discount
< 1……………………….
1-19………………………
20-34…………………….
35-49…………………….
50-74……………………..
75-100……………………
20
40
50
60
80
90
25
50
60
70
80
90
20
40
50
60
80
85
25
50
60
70
80
85
©2014 Extreme Networks, Inc. All rights reserved.4

5. ALL Discount Levels, ALL Services funded
On May 6, 2015, USAC submitted an estimate of demand for the E-rate
program for Funding Year 2015 (July 1, 2015 to June 30, 2016) of $3.92
billion, which includes estimated demand for category one services
(telecommunications, telecommunications services and Internet access) of
$2.255 billion and of $1.665 billion for category two services (internal
connections, basic maintenance of internal connections and managed
internal broadband services).
No unused funding from previous years is needed to fully fund category one
services. We therefore direct USAC to fully fund eligible category one
services under the new cap. We also direct USAC to fully fund eligible
category two services, first using as much as $1.575 billion in E-rate funds
unused from previous years, and then using any additional funds needed
under the new cap to fully meet demand.
©2014 Extreme Networks, Inc. All rights reserved.5
https://apps.fcc.gov/edocs_public/attachmatch/DA-15-559A1.pdf

6. Category 2 FY2015 Snap Shot
©2014 Extreme Networks, Inc. All rights reserved.6
• Funding Cap increased by FCC last December is for every funding year
• $3.9b will be available for this year, as well as any roll-over funds not used this
year
• “Middle Class” schools- 40-70% discount range may not know about FY2015
funding or potential for FY2016

7. E-Rate News for FY2016
• Fiber in Category 1
– Fiber Build-out project – available for FY2016, applicants can apply for fiber
upgrades within and to their district hoping to drive down the long-term costs of high
speed connections.
– Fiber RFP’s should start early and USAC and the FCC have trainings available for
districts.
– Fiber projects will be paid out of Category 1 with no budget limitations. Highlights
are to decrease cost over 5 years and speed connection to school.
https://www.fcc.gov/events/e-rate-fiber-build-workshop
• Voice Phase Down
– Continues with an additional -20% for next year to the eventual 0% for all applicants
at the end of 5 years
• Approved Eligible Services List for FY2016
– No significant changes
– Broader definition of firewalls, can use Cat 1 if bundled with ISP, Cat 2 is not
©2014 Extreme Networks, Inc. All rights reserved.7

8. FY2016 Eligible Service List
Internal Connections
©2014 Extreme Networks, Inc. All rights reserved.8
• Access points used in a local area network (LAN) or wireless local area network (WLAN)
environment (such as wireless access points)
• Antennas, cabling, connectors, and related components used for internal broadband
connections
• Caching
• Firewall services and components separate from basic firewall protection provided as a
standard component of a vendor’s Internet access service.
• Switches
• Routers
• Racks
• Uninterruptible Power Supply (UPS)/Battery Backup
• Wireless controller systems
• Software supporting the components on this list used to distribute high-speed broadband
throughout school buildings and libraries
http://transition.fcc.gov/Daily_Releases/Daily_Business/2015/db0911/DA-15-1012A1.pdf

9. Typical E-Rate Timeline
9
2016
Today
Aug Oct Dec
Feb
2015
Apr Jun Aug
8/1/2015 - 10/30/2015
Determine
Technology
Needs
11/2/2015 - 2/27/2016Open Bidding Process (Form 470)
11/28/2015 - 3/27/2016Select vendors, sign contracts
1/14/2016 - 3/26/2016Form 471 Window
5/1/2016 - 9/1/2016Funding commitment notification
4/1/2016 - 7/1/2016Installation for BEAR
7/1/2016 -
9/30/2017
Installation for SPI
E-Rate Timeline FY2016

10. Extreme’s Education Focused
Solutions – sample solution
10
E-Rate?? REQUIRED CAPABILITIES RECOMMENDED SOLUTION HOW WE DO IT BETTER
ALL High Density, Pervasive Wi-Fi
Connectivity
• AP 3805 – 802.11ac Access Points
(2x2:2)
• AP Licenses
• 2x V2110 Virtualized controller
• Highly scalable, seamless and secure mobile
Wi-Fi connectivity
ALL Wired Edge and Backhaul • X460-G2
• X450-G2
• High performance wired backhaul, cross-
platform stacking, embedded application
controls
• Lifetime Warranty
• Hot swappable power supply and fans
NONE Control and Monitoring of Network
and All Devices, Guest Access
• Netsight
• Mobile IAM
• Consistent device policy based on over 40
attributes centrally implemented, enforced
end-to-end
• Simple device onboarding, 100% fidelity of all
IP assets
• Internet filter and firewall integration, MDM
integration
NONE Application Usage and Visibility and
Insight
• Purview Analytics • Constant visibility and reporting on
applications and websites being accessed
MOST Services and Support • Maintenance- NBD is not eligible
• Training – at time of installation only,
certification not eligible
• Professional Services
• Extreme Networks’ Global Technical
• Support Center (GTAC) provides technical
support
• 24 hours a day, 365 days a year; and our
Networks SupportNet offerings let you choose
the exact level of service ideal for your
organization

11. Extreme Wireless Solutions – 100% E-Rate eligible
©2014 Extreme Networks, Inc. All rights reserved.11
IdentiFi Access Points deliver
wired-like performance, at scale
for high-density in every
environment. Smart Access
Points are equally adept for both
distributed and centralized
deployment models.
AP3825i Dual Radio 802.11ac/an/bgn, 3x3:3, indoor access point
with six internal antenna array and active/active E/N data
ports (requires V9 or higher)
AP3825e Dual Radio 802.11ac/an/bgn, 3x3:3, indoor access point
with six reverse polarity SMA connectors for external
antennas and active/active E/N data ports
AP3865e Dual Radio 802.11ac/a/b/g/n, 3x3:3, outdoor access point
with six standard N jack connectors for external
antennas
AP3805i Dual Radio 802.11ac Access Points (2x2:2) indoor access point
with four internal antenna array and includes four RP-SMA
connectors
V2110 supports up to 500 APs and is available as a VMware or
Microsoft Hyper-V appliance for easy deployment in cloud
environments
C5210 supports up to 2,000 APs, highly scalable for ultra-dense
environments

12. Differentiator at the edge for FY2016
©2014 Extreme Networks, Inc. All rights reserved.12
Summit G2 Family
Switches
• Modular, hot-swappable fans and
PoE power supplies
• Policy enabled
• Lifetime Warranty
• High-Performance and Highly
Scalable Switching and Routing
• High Density, Small Form Factor
• Up to 1668 watts Flexible IEEE
802.3at Power over Ethernet Plus
(PoE-plus)

13. BMIC - The Extreme Way
Here is an example of how to quote support an E-Rate opp:
Product being quoted:
– WS-C5210 (qty 1)
Support that should be quoted:
97003-H30643 (qty 1) – 100% E-rate eligble
97304-H30643 (qty 1) – 0% E-Rate eligible
13
Cost Allocation, done by the applicant during the application is very complicated and time consuming.
2 Separate part numbers – easier during the 471 application, can be 2 separate
transactions. Purchase of NBD outside of E-Rate makes the process easier.

14. NetSight NMS-K12
14
• Lower cost for E-Rate
ineligible network
management
• Single pane of glass
management for
wired/wireless visibility
• Policy based network
management solution that
fits unique K-12 business
needs
• Network Inventory
Management
• Identity and access control
for both district owned and
BYOD
• List price - $4995, maintenance yearly cost $995
• Great way to drive down INELIGIBLE costs, TCO,
differentiating value

15. USAC FY2015 Update
15
• FY2015 Funding Decisions Letter from Mel Blackwell
– The FCC Order provided a target of September 1 to complete all “workable”
applications. We adjusted the date to September 24 to reflect the effect of
the three week FCC Form 471 deadline extension. We received
approximately 48,000 applications of which about 42,000 were classified as
“workable,” by September 24, based on the definition provided in the Order.
– With your help, we reviewed and committed 41,852 applications, 225
applications short of the target. These remaining applications will be
completed this week.
– In total (48,000 minus the 42,000) we have approximately 6,000
“unworkable” applications remaining. While the definition of “unworkable” is
clear in the Order, the term does not fully capture the reality of these
applications. For the most part, these applications are, in fact, workable, but
they do require additional review and information requests of varying scope.
However, nearly all of these are in process and we project that most will be
completed in the next 90 days.
http://www.usac.org/_res/documents/sl/pdf/e-rate-productivity-
center/Letter_2015_Funding_Decisions_EPC.pdf

16. “Workable” definition from Modernization Order
• “Workable” means that a funding request is filed timely and is complete,
with all necessary information, to enable a reviewer to make the
appropriate funding decision, and the applicant, provider, and any
consultants are not subject to investigation, audit, or other similar
reason for delay in a funding decision.
• Funding requests from applicants that decline to respond to USAC
inquiries over the summer may be considered “unworkable” for
purposes of this performance goal, though USAC will process these
applications as quickly as possible when school staff return for the year.
©2014 Extreme Networks, Inc. All rights reserved.16

17. Other Delays - Over budget applications
• Site budgets
– Each separate site within the
district must stay in budget
– Pre-discount budgets can not
be shared between entities
– Eligible NIF equipment must be
shared between entity budgets
• If school district plans to
purchase above and beyond
Pre-Discount budget, should be
split into two separate projects
17

18. Our areas of expertise include:
• Hosted VoIP Solutions
• On-Premise Phone Solutions
• Audio/Visual
• Video Conferencing
• Wireless Switchers and Routers
• Video Surveillance
• Door Access
• Soundmasking
• Outside Plant Services
• Project Management
• Physical Infrastructure
• Design Build
Communication Innovators, based in Pleasant Hill, Iowa
has worked with each of our customers over the past 25
years to ensure that every solution we design not only
works for your current needs, but gives you the flexibility
to shape your solution as your business grows and
evolves with the latest technology solutions.
800-926-7587 | gotoci.com

19. Our areas of expertise include:
• Hosted VoIP Solutions
• On-Premise Phone Solutions
• Audio/Visual
• Video Conferencing
• Wireless Switchers and Routers
• Video Surveillance
• Door Access
• Soundmasking
• Outside Plant Services
• Project Management
• Physical Infrastructure
• Design Build
Communication Innovators, based in Pleasant Hill, Iowa
has worked with each of our customers over the past 25
years to ensure that every solution we design not only
works for your current needs, but gives you the flexibility
to shape your solution as your business grows and
evolves with the latest technology solutions.
800-926-7587 | gotoci.com

20. Extreme Education Specialist Contact:
Tracy Hill – thill@extremenetworks.com