Applying for E-Rate: Getting Started

1. Applying for E-Rate:Getting Started California Charter Schools Conference Long Beach March 12, 2008  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

2. Mark Session Description • Charter schools are under-represented in E-Rate funding. • What is E-Rate? • Federal subsidy to schools and libraries • 20% - 90% discounts • Telecommunications and Internet • For highest discount schools, also covers infrastructure (cabling, network equipment) and maintenance of infrastructure • Major Dollars ($2.25B national-wide)  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

3. Mark Learning Outcomes • Understand the program / process of E-Rate funding • Ascertain to what extent E-Rate could benefit your school • Get started with steps necessary to pursue E-Rate funding • Review key elements required for an E-Rate tech plan  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

4. Mark Take Aways • Given CA budget outlook for 2010-2011, most charters cannot afford to NOT apply for E-Rate • E-Rate is complex • Trying to “do it in-house to save money” tends to result in funding denials • Consider retaining professional help, at least the first few years • We have prepared some Tips and Tools that can help Be sure to take away a copy of our free CDROM! • E-Rate is a year-long process. For funding starting 7/1/2010, you should start the process NOW.  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

5. Mark Co-Presenters • Alice Marie Miller, CA Charter School Association • Eileen Miller, The Miller Institute • Mark L. Miller, Ph.D., The Miller Institute • Bully Soares, Hawaii Charter School Admin Office  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

6. Mark Announcing Strategic Alliance with ExED  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

7. Mark Audience Q&A Electronic Show of Hands How many have ever applied for E-Rate? • Never applied • Applied for 2009-2010, first time • Applied in past but never got funding • Applied multiple times and got funded  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

8. Mark Audience Q&A Electronic Show of Hands Have many have a Tech Plan that is: • (No Tech Plan) • Written But “Not Approved” • Governing Board Approved • E-Rate (County) Certified • EETT (CDE) Certified  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

9. Alice Can You Afford to NOT do E-Rate? • CA Outlook for 2010-2011 K-12 funding? • Current best guess (not a pretty picture) • 50% of CA students qualify for free/reduced lunch • CA serves some of country’s poorest students • E-Rate should be viewed as oneelement of overall tech funding strategy (major -- $2.25B), covering: • Priority 1 (ALL schools): • Telecom • Internet • Priority 2 (highest discount schools, typically 90% discount) • Cabling & Network Equipment (highest discount schools) • Maintenance of Cabling & Network Equipment  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

10. How Are E-Rate Discounts Computed? Alice  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

11. Alice Key Points About E-Rate Discounts • Even schools serving well-to-do students earn at least 20% discounts • Does not matter if you serve lunch or if kids eat lunch, or whether they are free or just reduced; what matters is percent eligible for lunches • Only highest discount schools (typically 75% eligibility or 90% discount level in most years) receive Priority 2 funds • Schools should estimate costs for preparing a tech plan and applying for E-Rate, versus savings and/or improved capabilities from E-Rate, and look at Return on Investment OVER 3 YEARS (most tech plans cover 3 years)  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

12. Alice Other Tech Funding Sources • CTF (CA Teleconnect Fund) • 50% on circuits (you must also apply for E-Rate to fully benefit) • EETT (Enhancing Education Through Tech) • No Child Left Behind • Microsoft Vouchers (K-12 if 40% FRE) • $50-75/pupil, Anti-Trust Settlement • Deadline to apply has passed; but may redeem until 2012 • Grant Funding • For that laptop cart, software • Some tech funding inevitably must come from ADA  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

13. Alice EETT • Title II Part D • Enhancing Education Through Technology • Part of No Child Left Behind • May get big boost (CA $73M) from Obama Stimulus • Federal Program but implemented at state level • Rules vary from state to state • CDE requires more elaborate tech plans than many states • To improve academic achievement through the use of tech in K-12 • Ensure student technological literacy by 8th grade • Integration of technology resources and systems with teacher training and curriculum development • Formula grant needs State-Approved technology plan • Based on % Title I students and population • There are also competitive EETT grants  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

14. Miller Institute E-Rate Clients 76 Funding Requests for FY 2008-2009 Potentially Impact: > 70,000 Students Total Funding Requests: about $8M Two clients’ applications still pending None denied All others approved at close to amounts requested Applications for 2009-2010 completed 2/12/2009 Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

15. Doesn’t My District “Do My E-Rate?” Very often, no! Never assume! Even when included for Priority 1, districts often neglect the Priority 2 needs of charters serving high discount populations Direct-funded charters are normally expected to file independently and MUST HAVE SEPARATELY APPROVED TECH PLANS Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

16. E-Rate is Complex Schools must comply with numerous regulations What is eligible may not match common sense Many vendors (and consultants) try to “scam the system” -- with schools as the victims E-Rate is a “hurry up and wait” program with strict deadlines followed by long delays Vendors often promulgate misinformation and offer inappropriate types of assistance that taint competitive bidding Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

17. What E-Rate is NOT Technology funding with no strings attached Rebate on all that stuff you already bought Free money to buy that new computer lab Paperwork to get discounts while you just keep working with your favorite vendor Blank check for a shopping spree Risk-free Flexible Easy (Any HS student with a web browser could fill out the forms) Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

18. Funding Delays and DenialsA Few Real World Examples Mark “Applicant has not provided sufficient documentation. The category of service was changed from Telcom to Basic Maint in accordance with program rules. The 470 cited did not include service of this type; therefore it does not meet the 28 day competitive bidding requirement.”  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

19. E-Rate Good Bad and Ugly A Brief Perspective from Hawaii The Good All that money for technology, you can’t get any other way … Bully  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

20. E-Rate Good Bad and Ugly A Brief Perspective from Hawaii The Bad Compliance “Hell” 15 Day Letters Dotting I’s, Crossing T’s Selective Reviews Bully  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

21. E-Rate Good Bad and Ugly A Brief Perspective from Hawaii’s Charters The Ugly Fraud, Waste and Abuse Judy Green Scam TUSD Trillion/ERC saga Many examples of schools losing out due to corrupt vendors Bully  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

22. Audience Participation Mark Electronic Show of Hands Have many know of schools who lost significant funding due to: • Problems with competitive bidding • Issues with dates on paperwork • Forgot to file Form 486 after funding approved • Forgot to invoice SLD for approved funds • No tech plan, plan not approved, or plan expired • Other compliance problems  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

23. Why You Need a Tech Plan Required for E-Rate which is now required for CTF … Required for EETT Required for Microsoft Vouchers Required for all future tech funding Valuable fund-raising tool, even when not strictly required by donors Because failing to plan is planning to fail -- but that’s a whole other talk Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

24. Levels of Tech Plans Governing Board Approved Plan Informal document to guide decision-making No immediate funding benefit Valuable step toward E-Rate plan E-Rate (County-Approved) Plan Five key elements Substantial potential funding benefit Recently the sweet spot for charter schools EETT (CDE-Approved) Plan Typically a superset of E-Rate Plan (about a dozen elements) Each state sets additional criteria for approval CDE sets a very high bar (about 2x effort vs. E-Rate) States require alignment to State Tech Plan Goals Recently only modest incremental funding potential vs. E-Rate Plan, but Obama Stimulus might increase EETT funding Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

25. Key Elements of Tech Plans School Background, Demographics, Educational Philosophy Stakeholder Participation Time Period (usually July 1 - June 30, next 3 years) Curriculum Integration Professional Development Nuts & Bolts (Infrastructure, Hardware,Technical Support, Software) Funding and Budget Monitoring and Evaluation Additional Topics as Required by States for EETT Approval Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

26. Our Tips and Tools Can Help Be sure to take away a copy of our CDROM If you didn’t get one already, please stop by the Cyber Café for a copy, or give us a business card, or download from the web Tips are advice based on our experience with E-Rate, including answers to frequently asked questions, such as, “What should I do if I haven’t gotten my Funding Commitment Decision Letter yet and it is July ? I need to start my services!” Tools are checklists and information-gathering aids we generally use in conjunction with our school clients to ensure compliance and gather crucial information needed to file a form Eileen  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved. 26

27. Example Tool: Form 470 Checklist Form 470 is the “first form” in the annual E-Rate process However, you cannot file it until you have first completed a number of key steps, not the least of which is writing a tech plan This tool helps avoid funding denials caused by “jumping the gun” and starting the application process before you have met all the pre-requisites Eileen  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

28. Example Tool: Form 471 Impact Assessment Form 471 is the “main” form in E-Rate application process. You describe your school, students, compliance with rules, and request funding for specific products and services. One part is “Block 2” where you assess the impact that the funding will have on measures of your school’s infrastructure. Eileen  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

29. Example Tip: E-Rate Binder A key requirement for E-Rate funding is document retention. All documents must be kept for 5 years after the last date to receive service (may be 10 or more years). SLD may visit your school and ask to see your Binder. Our Tip helps you with organizing your Binder to remain compliant. Eileen  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

30. Example Tip: Awaiting FCDL The Funding Commitment Decision Letter is your notice that your funding has been approved (or modified or denied). If you start service before you receive the FCDL, you risk paying 100% when you budgeted for a healthy discount This Tip helps you decide what to do while waiting. Eileen  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

31. Mark E-Rate is a Year-Long ProcessFor funding starting 7/1/2010, start the process NOW • > 60% of Forms 471 are certified in the final week of the annual “window” (early February) • During those final weeks, the SLD web site is slow, vendors are do not respond to RFPs from small charter schools, the Help Desk is staffed by temps, and serious mistakes become inevitable • Work backwards 28 days: allowing time for contract negotiations, time for Board to approve contracts; Form 470 should be filed by October • Work backwards from Form 470 checklist: technology plan should be written by end of summer  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

32. Mark E-Rate is a Year-Long Process(Working Backwards from the 471 Filing Deadline) • Working backwards from tech plan completion by end of summer, and factoring in teacher vacations -- teacher input is part of the rubric for tech plan approval -- work on the tech plan should begin no later than spring • Hence, you should start work now in order to receive funding for 2010-2011 school year • Most mistakes on E-Rate forms are caused by poor planning and starting too late  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

33. Mark E-Rate Step by Step • Start in the spring • Estimate your discount level and strategize: • Discount dollars just too low to justify the effort? • Worth pursuing Priority 1? • Worth pursuing Priority 2? • Review Eligibility of Entities • Be careful about Pre-K, Adult Ed • Do not include for-profits • Avoid overlapping apps (District vs School) • Sign Letters of Agency  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

34. Mark E-Rate Step by Step • Write a tech plan with teeth • Say what you plan to do, in reasonable detail • Not just platitudes and generalities • Be sure it covers NEXT funding year, 7/1 - 6/30 • Most plans are for 3 years • Update goals and budget annually, before 470 • Plan must address all 5 elements • Never allow bidders to “help” write the plan • Identify funding sources and budget for: • School’s share of eligible costs (e.g., 10%) • Necessary but ineligible costs • Board approval of plan and budget • Allow “wiggle room” in wording of resolution  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

35. Mark E-Rate Step by Step • Time stamp your “plan that is written”before filing Form 470 and retain a copy in your binder • Determine which of the products and services needed in your plan are eligible for E-Rate discounts. If you will not seek Priority 2, treat otherwise-eligible Priority 2 services as necessary but ineligible costs • Prepare Form 470 online, describing the eligible services sought, in sufficient detail for bidders to understand your needs (6 phone lines, 3 Mbps Internet access, etc.) • Ideally, post an RFP on a web site to accompany the Form 470, giving greater detail as to needs  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

36. Mark E-Rate Step by Step • Do not talk with bidders individually during this period. Never allow potential bidders to influence the contents of the 470 or RFP. Answer clarification questions by RFP Addenda on the web site. Insist that all communications occur by email and archive all correspondence. • Wait 28 days (29 to be safe). • Perform a formal bid evaluation with cost as the highest weighted factor. Document in a matrix showing the factors considered. Consider ALL bids. Ensure that bidders are authorized for the services. • Sign contract(s) with the winning bidders. Ensure that contracts have “escape clauses” in case funding is not approved.  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

37. Mark E-Rate Step by Step • File separate Form 471 for Priority 1 versus Priority 2 • Do not include low discount schools on Priority 2 applications • If uncertain about the eligibility of any request, break it into a separate funding request number [FRN] or even a separate 471 • Always file online. Ideally, certify electronically as well. Save your security codes. Triple-check every date. Save every document, even losing bids. • Undergo Program Integrity Assurance [PIA] to answer reviewer’s questions about your 471. Never ignore or postpone answering SLD inquiries.  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

38. Mark E-Rate Step by Step • Receive FCDL and start services • File Form 486, indicating that services have started and that you are compliant with the Child Internet Protection Act [CIPA] • File invoicing forms (472, 474) to actually cause the money to be disbursed • Start the cycle all over again for next year … In the interest of brevity, we may have skipped a few details …  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

39. Mark Take Aways, Again • Given CA budget outlook for 2010-2011, most charters cannot afford to NOT apply for E-Rate • E-Rate is complex • Trying to “do it in-house to save money” tends to result in funding denials • Consider retaining professional help, at least the first few years • We have prepared some Tips and Tools that can help Be sure to take away a copy of our free CDROM! • E-Rate is a year-long process. For funding starting 7/1/2010, you should start the process NOW.  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

40. Q&AFor More Information: The Miller Institute for Learning with Technologywww.learningtech.org/erate erate@learningtech.org Tel: 650-598-0105 This presentation is available online: www.learningtech.org/erate/ccsa2009/ Tips and Tools available on CDROM or via same URL. Schools and Libraries web site: www.usac.org/sl Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

41. Audience Participation Mark Electronic Show of Hands Based on what you have heard today, are you now planning to apply for E-Rate for 2010-2011? • Definitely Yes • Undecided • Probably Not  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.

42. Session Evaluation Please take just a few minutes to fill out the session evaluation form. Mark  2009, The Miller Institute for Learning with Technology. Permission granted to K-12 institutions to copy for educational use only. All other rights reserved.