California Teleconnect Fund

Overview

• The CTF program provides a 50% discount for broadband on select communications services to schools, libraries, hospitals and other non-profit organizations.

• The program was established by Decision 96-10-066 on October 25, 1996. In this decision, the California Public Utilities Commission reaffirmed its commitment to universal service and created the CTF program in accordance with state and federal directives. The program is funded through a surcharge on all customers that purchase intrastate telecommunications services.

NetFortris Eligible Services for CTF Discounts

California Teleconnect Fund Program Goals

• Advance universal service by providing discounted rates to qualifying schools, maintaining pre-school, kindergarten or any of the grades 1 to 12, inclusive, community colleges, libraries, hospitals, health clinics and community organizations.
• Bring every Californian direct access to advanced communications services in their local communities; Ensure high-speed internet connectivity for community CTF-eligible institutions at reasonable rates; and
• Increase direct access to high-speed internet in communities with lower rates of internet adoption and greater financial need.

Qualifying Requirements

Schools & School Districts

• Public or nonprofit private schools
• Located in California
• Providing elementary or secondary education (K - 12)
• Annual endowments under $50 million
• Must have active County District School Code Number

Libraries

• Located in California
• Eligible to participate in state-based plans for funds under Title III of the Library Services and Technology Act

Government Owned and Operated Hospitals & Health Clinics

• Located in California
• Owned and operated by a municipal, county government, or a hospital district
• Some that do not meet the above “owned and operated” requirement may qualify as a Community Based Organization (see below)

Community Based Organizations (CBOs)

• Total revenue does not exceed $5 million, except for 2-1-1 CBOs and Health care CBOs
• Tax-exempt
• Directly offer one of the following services to a community at specific geographic locations in California: 2-1-1 Service Provider, Educational Instruction, Health care, Job Training, Job Placement, or a Community Technology program
• Provides its community access to the internet, except for 2-1-1 CBOs and Health care CBOs
• Demonstrate that a majority of the board members reside within the state or are members of the community of interest served by the CBO (such as disability)
• Demonstrate that it provides its services to the community without charge or at discounted rates

Subcategory of CBO: Health care CBOs

• In addition to the general CBO criteria above, Health care CBOs must:
• Have annual revenues of less than $50 million
• Have licensed medical personnel on site providing Health care services
• Accept medical plan such as Medi-Cal, Medicare, Department of Veteran’s Affair insurance, and/or provides services without charge or at a minimal fee.

Subcategory of Health care CBO: California Telehealth Network members

• Must individually qualify by meeting the requirements for Health care CBOs

California Community Colleges

• Must submit an application with current Management Information System code

For more information about the California Teleconnect Fund, please visit http://www.cpuc.ca.gov/ctf/ or contact NetFortris at legal@netfortris.com.