DPI 2004 5 E-rate Workshop_ Basics

October 24, 2005 The E-rate: An Overview of Basics for 2006 Bob Bocher 608-266-2127 fax 608-266-2529 robert.bocher@dpi.state.wi.us Steve Sanders 608-266-7112 fax 608-267-1052 stephen.sanders@dpi.state.wi.us Agenda 1. 2. 3. E-rate overview What’s new for 2006? Review of the application process Fall 2005 E-rate Workshops: Two identical sessions for experienced E-rate applicants: 1) Wednesday, Nov. 2, 3:30 – 5:45pm 2) Thursday, Nov. 3, 3:30 – 5:45pm 2 E-rate Program Overview  Part of the 1996 Telecommunications Act   Funded at $2.25 billion annually; contributed by telcos Schools and Libraries Division (SLD) manages program Telecommunications Internet access Internal connections  1. 2. 3. Get discounts on three eligible services  1. 2. 3. Who is eligible? K-12 public and private schools Public libraries NIFs (Priority 1) 3 What Are E-rate Eligible Services?  Eligible services described in Eligible Services List   Lists Services which are conditionally eligible and ineligible 2006 list to be public in a few days? Telecommunications services     Priority 1  Local and long distance Wireline and wireless Voice, video, data  Internet access Priority 1 funded first, then Priority 2 funded starting with neediest applicants (90%, 89%, 88%, etc.). Seldom funded below 80%.  Priority 2  Internal connections (switches, hubs, routers, wiring) 4 How Much Discount Can I Get?    Discount based on students eligible for free/reduced lunch Data entered on DPI’s Lunch Data Website Lunch Website open: November 1 – December 6  lunch count for last operating day in Oct. Letter to be sent to all districts, but alert dist. staff now For 2006 E-rate applications, DPI will use enrollment and lunch data from the fall of 2004. 5  Discount Matrix INCOME Measured by % of students eligible for School Lunch Program If the % of students in your school that qualifies for the Lunch Program is… Less than 1% 1% to 19% 20% to 34% 35% to 49% 50% to 74% 75% to 100% URBAN RURAL Discount …and you are in an URBAN area, your discount will be… 20% 40% 50% 60% 80% 90% Discount …and you are in a RURAL area, your discount will be… 25% 50% 60% 70% 80% 90% 6 The Application Process    Technology Plan – What is my plan? Form 470 – What services do I want? Form 471 – What services did I order?  Lunch data – How much of a discount do I get?   Form 486 – When did services start? Form 472 or Form 474 – How do I receive reimbursements or discounts? Online filing/certification available for most forms 7 Top Reasons for Denial          Form 470 not filed Form 470 not certified or certified late 28-Day Rule violation Competitive bidding violations Contracts not signed or not valid Insufficient support resources Invalid telecom provider Insufficient documentation Requests for ineligible products and services 8 Document Retention    You must retain all records related to the application for receipt and delivery of discounted services for a period of five years after the last day of service This requirement started in 2004, but is being stressed more by the SLD Failure to maintain records or failure to make available required documentation is an FCC rule violation that may warrant recovery of funds 9 Examples of Retained Documents Pre-bidding process  Bidding process   All responses to bid Notes from bid review meetings  Contracts  Purchase and delivery of services  Invoices  Inventory  All E-rate forms  Retain all documentation for at least five years!! 10 What’s New for 2006?  Overall, issues of Waste/Fraud/Abuse driving most program changes   Greater Congressional scrutiny; Congressional W/F/A rpt out last week ADA bill in House  Funding suspension possible for 2005 or 2006?   Hurricane Katrina impacting opening of the 471 window 11 What’s New for 2006 (cont)  Need to get FCC Registration Number  FCC site: https://svartifoss2.fcc.gov/coresWeb/publicHome.do Schools: http://nces.ed.gov/ccd/schoolsearch/ Libraries: http://nces.ed.gov/surveys/libraries/librarysearch/  Schools need NCES no.; libraries need FSCS no.    SLD will push out PINs to 2005 applicants and if you submit a Form 470 for 2006 12 What’s New for 2006 (cont)  DPI comments to FCC E-rate Rule Notice      Eliminate Form 470 and use local procurement processes Get reimbursed after the fact Eliminate Form 486 Reduce max discount to 70% Support SECA and ALA comments You must file a Form 470 for STS services  STS/SCS contract expires June 30, 2007   Document retention 13 Technology Plans  Not required for ―basic‖ phone service -(Rule of thumb- if you dial a 9 or whatever to get out it is probably not basic; also not needed for voice mail.)  Technology plans must be ―developed‖ before the Form 470 is filed. Plans must be approved before service begins. Technology plans must cover the entire funding year for which service is being sought.   14 E-Rate Changes/Expiration Revision Timelines for Information and Technology Plans Plan Expires Developed prior to 470 Filing ** Plan to DPI by: Plan Dates Dec 31, 2005 June 30, 2006 Dec 31, 2006 June 30, 2007 Dec 31, 2007 Nov 2004 Nov 2005 Nov 2005 Nov 2006 Nov 2006 Nov 1, 2005 May 1, 2006 Nov 1, 2006 May 1, 2007 Nov 1, 2007 Jan 1, 2006 – June 30, 2009 July 1, 2006 – June 30, 2009 Jan 1, 2007 – June 30, 2010 July 1, 2007 – June 30, 2010 Jan 1, 2008 – June 30, 2011 ** E-Rate Note: A change in the E-Rate technology plan requirements occurred in August 2004. Technology plans must be “developed”, but not approved, before Form 470 is submitted. 15 Technology Plans  Technology plans approved for the Ed Tech (EETT) program are acceptable for E-rate with one qualification:  The plan must also include documentation ―that the applicant is aware of and will be able to secure the financial resources it will need to achieve its technology aims, including technology training, software, and other elements outside the coverage of the Commission’s support program.‖ 16 Technology Plans  Must cover five areas: 1. 2. 3. 4. 5. Goals / Strategies for using technology Professional development Needs assessment Sufficient budget Evaluation process 17 Technology Plans  Libraries are covered by Library System Plans and approved by DPI Public school plans are approved by DPI   http://www.dpi.state.wi.us/dpi/dltcl/imt/techexp.html  Private schools by WCRIS or TEACH 18 CIPA/NCIPA Compliance  Compliance with CIPA required for Internet access and internal connections; not telecommunications. CIPA requirements include filtering and an Internet Safety Plan Certification made on Form 471 and 486  19 The Application Process    Technology Plan – What is my plan? Form 470 – What services do I want? Form 471 – What services did I order?  Lunch data – How much of a discount do I get?   Form 486 – When did services start? Form 472 or Form 474 – How do I receive reimbursements or discounts? Retain all documentation for at least five years!! Online filing/certification available for most forms 20 The Application Process 2005 2006 Dec – Feb? AP waits 28 days, then picks service provider (SP) and posts Form 471 detailing funding requests. Before 470 Applicant actions Applicant (AP) requesting more than local/long distance telco service writes Tech Plan. Oct - Dec AP files Form 470 to describe services sought and open bid process. May - Oct AP tells SLD that services started, certifies Tech Plan & CIPA compliance. June – Oct 06 AP requests reimbursement on Form 472 or SP requests payment on Form 474. Form 472 or Tech Plan Form 470 SLD posts AP Form 470 to Web issues RNL to AP. Form 471 SLD issues RAL. PIA reviews 471, contacts AP, then sends funding letter (FCDL). Form 486 $$$ Form 474 SLD reviews invoice. SLD actions 21 21 www.sl.universalservice.org Forms are off the SLD home page. ` E-rate Form 470  470 begins required request/bidding process for services  tariffed or monthly telco or Internet services, if you have no contract  new contractual services  470 must be posted on SLD Website for at least 28 days before you select a provider or sign a contract  Will get a 470 Receipt Notification Letter (RNL) from SLD Violating 28 day rule is #1 reason for denial of applications 23 Main Sections (Blocks) of Form 470      Block 1: Applicant Address and Identifications Block 2: Summary Description of Needs or Services Requested Block 3: Technology Resources Block 4: Recipients of Service Block 5: Certification and Signature 24 Tips on Filing Form 470    You can file the 470 now for 2006 services File one Form 470 for all services, or file separate Forms for each service The 470 request for services must be open and fair   Bid document (RFP) helpful, but not required Do not get too close to vendors! 470 and any bid documents must indicate length of contract, including any optional extensions  Can file 470 once for multi-year contracts  25 More Tips on Filing Form 470  Select the most cost-effective provider of the service  Does not have to be the least expensive, but cost must be the primary factor    File online, use ―Interview‖ form for easy applications After 28 days, then file Form 471 Early January 2006: Drop dead date for 470 filing  Maybe later in January for 2006?  Form 470 must be certified by close of Form 471 application filing window 26 Block 1: Basic contact info, type of applicant. Assigned 470# after completing Block 1. 27 Block 2: Check if tariffed, month-to-month, or contracted service. 28 Block 2: Describe your services; separate sections for the 3 eligible services. Added: Basic Maintenance of Internal Connections. 29 Block 4: List recipients of the service your requesting. I.e., number of schools in the district, the area code and their phone exchange (3 digit prefix). 30 E-rate Form 471    Provides specific information on services, service providers selected, and contracts and/or agreements Provides discount calculation information Must be filed for each funding year  Applicant certifies compliance with rules, including securing access to resources to make effective use of discounts Must be postmarked on or before the last day of the Form 471 application filing window 2006 Form 471 drop dead date:  ?????, 2006 10:59PM CST 31 31 Tips on Filing Form 471 Points to Remember:  WAIT AT LEAST 28 DAYS from the posting of the Form 470 before  selecting a service provider  executing  signing a contract or agreement and submitting Form 471  Use the new Form 471!!!! 32 Tips on Filing Form 471  File separate Forms 471 for Priority 1 and Priority 2 services  Remove ineligible costs and document or estimate eligible costs carefully (30% Rule) online speeds processing and reduces errors correct, and save Receipt Acknowledgement Letter  Filing  Examine, (RAL)  Paper forms and instructions: http://www.sl.universalservice.org/form/ 33 34 Form 471 Online Interview You can use the interview form if you meet the following conditions: 1. You are one of the following: • An individual school • A school district • An individual library • A library system. 2. You have National School Lunch Program student counts - or equivalent data using an alternative discount mechanism - for each school (individual schools and school districts) or for all school districts in which your outlets/branches are located (individual libraries and library systems). You are strongly encouraged to print a copy of the Form 471 Interview Filing Guide to use for reference. 35 36 Block 1: Basic contact information 37 RECORD YOUR SECURTIY CODE!!!! 38 Block 2 or 3: Impact of services ordered 39 Block 4: Calculate Discount. Adding entities (schools) 40 Block 4: Calculate Discount. Adding entities (schools) 41 Block 4: Calculate Discount. Adding entities (schools) NCES Codes: http://nces.ed.gov/globallocator/ 42 Block 5: One for each funding request. Adding entities (schools) Spin search tool http://www.sl.universalservice.org/Forms/SPIN_Contact_Search.asp But VERIFY with service provider! 43 Block 5: Type of service. 470 Number Contract or Month-tomonth 44 Block 5: Service start and end dates OR Contract award and expiration date 45 Block 5: Item 21 Attachment 46 Block 5: •Enter Amounts. •Add another block 5? 47 Block 6: Certifications Have necessary resources 48 Block 6: Certifications Have technology plan 49 Block 6: Certifications Send Signed Certifications or PIN 50 Block 6: 51 Application Review  Review of Applications  Review by PIA, which may include:  Competitive bidding process  Contracts and agreements  Discount calculation  Sufficient budget  Establishing Form 470  Technology Plan  Bills from previous year 52 Funding Commitments Funding Commitment Decision Letter (FCDL)  FCDL reports status of individual funding requests:  Funded  Not Funded  As Yet Unfunded (Internal Connections)  Canceled  May receive more than one FCDL  Use the information on the FCDL to prepare the Form 486 53 E-rate Form 486  Form 486  Notification that services have started and the SLD can pay invoices Certifies that Tech Plan (if required) has been approved and covers the entire funding year. Certifies status under Children’s Internet Protection Act (CIPA)    Lead members of consortia may be required to collect CIPA certifications from consortium members on a separate form (Form 479) 54 Filing Form 486 (cont) Form 486 Deadline  Form 486 must be postmarked no later than  120 days after the Service Start Date featured on the Form 486 OR  120 days after the date of the Funding Commitment Decision Letter 55 56 57 58 Invoices  Invoices — Form 472 or Form 474  BEAR (Billed Entity Applicant Reimbursement) Form 472 filed by the applicant and certified by the service provider after the applicant receives services and pays for the services in full OR  SPI (Service Provider Invoice) Form 474 filed by service provider after providing services and billing applicant for its non-discount share 59 Invoice Deadlines Invoice (Form 472) Deadline  Invoices must be postmarked no later than    120 days after the last date to receive service OR 120 days after the date of the Form 486 Notification Letter 60 61 Appeals  Decisions of the SLD can be appealed to the SLD or to the FCC   Generally, appeal first to the SLD Can appeal to the FCC if SLD does not grant the appeal     Can be filed electronically or on paper Must be postmarked within 60 days of the SLD decision See Appeals Procedure in Reference Area for specific guidance Requests for waivers of rules must be filed with the FCC 62 Where to Go For Help  On the Web: www.sl.universalservice.org     Client Service Bureau: 888-203-8100 Via e-mail: question@slcfund.org Via fax: 888-276-8736 Fax on demand documents: 800-959-0733 63 DPI Help  DPI E-rate Web site:  dpi.wi.gov/pld/erate.html send message to: imailsrv@dpi.listserv.wi.gov leave subject blank in body type: subscribe wierate Steve Sanders 608-266-7112; fax 608-267-1052 stephen.sanders@dpi.state.wi.us 64  DPI’s WIERATE email list     DPI Staff: Bob Bocher 608-266-2127; fax 608-266-2529 robert.bocher@dpi.state.wi.us The E-rate: An Overview of Basics for 2006 Questions ? Bob Bocher 608-266-2127 fax 608-266-2529 robert.bocher@dpi.state.wi.us Steve Sanders 608-266-7112 fax 608-267-1052 stephen.sanders@dpi.state.wi.us