E-Rate Program Overview November 2011

1. E-Rate Program OverviewNovember 2011 Mary Mehsikomer Technology Integration Development & Outreach Facilitator – TIES Minnesota E-Rate Coordinator for Schools (651) 999-6510 mary.mehsikomer@ties.k12.mn.us TIES

2. Agenda • General information about E-rate • Technology planning • Requesting services (FCC Form 470) • Competitive bidding process • Ordering services (FCC Form 471) • Application review & funding commitments • Begin receiving services (FCC Form 486) • Invoicing USAC (FCC Form 472 and FCC Form 474) • Deadlines TIES

3. What are E-Rates? • Federal program • Discounts on Internet access and telecommunications services for schools and libraries • 20-90% based on free and reduced price lunch eligibility • Funded through the Universal Service Fund TIES

4. Operation • Federal Communications Commission (FCC), an independent U.S. government agency, established and oversees the E-rate program • Universal Service Administrative Company (USAC), a not-for-profit, administers the E-rate program along with three other programs • Schools and Libraries Division (SLD) is the part of USAC with responsibility for E-rate • Program enacted in Telecommunications Act of 1996 – began operation in 1998 TIES

5. Funding Year (FY) vs. Fiscal Year (FY) • E-rate operates from July 1 through June 30 each year • Funding Year (FY) is determined by the year in which services begin • Funding Year 11 = July 1, 2011 – June 30, 2012 • State Fiscal Year (FY) for that year would be FY12 – July 1, 2011 – June 30, 2012 TIES

6. How much money is there? • $2.25 billion annually – adjusted for inflation • FCC can roll over unused funding once each year • Funding is divided by Priority 1 and Priority 2 • Priority 1 – Telecommunications and Internet Access Services • Priority 2 – Internal Connections and Basic Maintenance on Internal Connection • Minnesota schools and libraries leverage between $20-25 million each year TIES

7. Who is eligible? • Public school districts, schools, and charter schools • Nonpublic schools • Public libraries and public library systems • Consortia – groups of eligible schools and/or libraries that group together to aggregate demand, create network efficiency, and negotiate cooperative puchasing TIES

8. How do we know what our discount will be? • 20-90 percent • Based on free and reduced price lunch eligibility • Rural or urban location TIES

9. The Matrix • Does not refer to the Keanu Reeves movie • Is a table that illustrates the level of discounts and conditions TIES

10. Discount Matrix

11. Timeline • Technology Plan • Form 470 – July 1 • Form 471 – Application Window • Form 486 – 120 days after Funding Commitment Decision Letter or 120 days after service start date – whichever is later • Form 472 (BEAR) – Quarterly or 120 days after last day of service TIES

12. Categories of Service • Priority 1 (funded for all) • Telecommunications Services • Internet Access • Telecommunications • Priority 2 (funded for neediest) • Internal Connections • Basic Maintenance of Internal Connections TIES

13. The Steps of E-Rate • Write a technology plan • File Form 470 • Conduct the bid process and choose vendors • File Form 471 • Application Review • Funding Commitment • Form 486 • Form 472 (BEAR) TIES

14. Technology Planning • Elements • Needs assessment • Goals and strategies for using technology to improve education or library services • Professional Development • Evaluation Strategy TIES

15. Do I need a technology plan? • If only applying for Priority 1 services an approved technology plan is not needed BUT…. • If there is Priority 2 classified equipment on site at the school provided by the service provider – an approved technology plan is recommended TIES

16. What is the deadline for the technology plan? • A technology plan must be WRITTEN before a school district files any Form 470s • File it and put a “creation date” on it • Technology plan must be approved by the time the Form 486 is filed or July 1 of the program year occurs – whichever is earlier • MDE is the tech plan approver – see http://www.education.state.mn.us/MDE/Learning_Support/School_Technology/Tech_Planning/index.html TIES

17. MDE Technology Planning Resources TIES

18. MDE’s Process • Needs assessment tools • Technology Infrastructure Survey • Instructional Uses of Technology Infrastructure • Technology Plan Template • Recommend submitting SOON TIES

19. File Form 470 • Form 470 used to request service from vendors – describe services and scope of need • Competitive bidding process • May involve an RFP • RFP must be available for entire posting time of Form 470 • 28 days at minimum • Receipt Acknowledgement Letter (RAL) TIES

20. BEN and PIN • Not characters in a children’s book about bunny rabbits and kittens • BEN = Billed Entity Number • PIN = Personal Identification Number • RFP = Request for Proposals • In Minnesota RFP required for purchases exceeding $50,000 TIES

21. Competitive Bidding • Be open, fair, and above all, careful • Beware of gifts • Make sure all vendors have access to the same information • Keep documentation • Make sure roles relationships are clearly delineated • Price is primary factor – most heavily weighted TIES

22. Form 471 • Services and service providers chosen • Identifying eligible entities • Calculate discounts • Certify compliance with program rules • Filed during application window • Includes Item 21 attachments TIES

23. FRNs and SPINS • FRN = Funding Request Number – assigned to each request on the Form 471 • SPIN = Service Provider Identification Number • Must have a SPIN assigned to the service provider • Item 21 Attachment – Further description of services associated with a funding request • Receipt Acknowledgement Letter TIES

24. What’s a NIF? • Noninstructional Facility • Eligible for Priority 1 services • School building with no classrooms or library building with no public areas • Examples – bus garages, athletic facilities, some service cooperative or regional management information center offices TIES

25. Application Review and Funding Commitments • Application review is done by PIA • Program Integrity Assurance • May request documentation • Several layers of review • Check Form 471 application status at http://www.sl.universalservice.org/menu.asp TIES

26. What PIA is doing • Verifying eligibility of schools • Verifying services are eligible • Allowing some corrections to the application • Additional verification TIES

27. Funding Commitment Decision Letter • Issued by SLD when application review is completed • Review it carefully • Also known as FCDL • Details on what is/is not approved for funding • Can be appealed TIES

28. Form 486 • Notifies USAC that eligible services have started and invoices can be processed and paid • Provide the name of TPA (Technology Plan Approver) • Report status of compliance with CIPA TIES

29. CIPA • Children’s Internet Protection Act • Internet Safety/Acceptable Use Policy • One public hearing • Educating students on cyberbullying and Internet safety • Internet filter - “technology protection measure” TIES

30. Invoicing • Use BEARS if not directly discounted by service provider (AKA Form 472) – work with service provider to decide • BEAR – Billed Entity Applicant Reimbursement • Recommend quarterly BEAR filing • Must be completed by 120 days after last day of service UNLESS granted an extension • Quarterly disbursement report TIES

31. Questions? • For more detail, refer to USAC Training Slides at http://www.usac.org/sl/about/training-sessions/training-2011/fall/presentations.aspx • Call USAC/SLD at 1-888-203-8100 • Call or e-mail Mary Mehsikomer at (651) 999-6510 or mary.mehsikomer@ties.k12.mn.us TIES