E-Rate for California

1. E-Rate for California What’s New?

2. Agenda • Background of E-Rate • Technology Plans • General Program Information • Competitive Bidding and the Form 470 • Form 471 • CALNET 2 • PIA (Program Integrity Assurance) • Form 486 & Invoicing • Program Updates & Gotchas • Audits and Appeals • USAC Tools – Training Materials, DRT • California Teleconnect Fund • Q and A

3. 1. Background of E-Rate

4. Background of E-Rate • Funded by FCC • Provides discounts between 20% and 90% to assist most schools and libraries in the United States to obtain affordable telecommunications and Internet access • Annual budget of $2.25 billion • Annual application process

5. Who Administers the E-rate Program? • The federal E-rate program is overseen by the Federal Communications Commission (FCC) and is administered by the Schools and Libraries Division (SLD) of the Universal Service Administrative Company (USAC)

6. How is USAC related to the FCC? Comprehensive information about the E-Rate program is available at the SLD website: http://www.usac.org/sl/ USAC is a not-for-profit corporation appointed by the FCC to act as the administrator of the E-Rate program

7. The California Department of Education (CDE)does not administerthe federal E-Rate program. CDE has no statutory authority to administer the federal E-Rate program CDE only provides general information about the E-Rate program including: training and outreach, reference materials, and other publicly available SLD/USAC resources

8. Eligibility • Schools – Elementary, Secondary, Charters, Private, Religious, Adult Ed (conditional), Pre-K, Juvenile Justice • Libraries – public, separate from school libraries • Consortia – any combination of the above

9. Funding Commitment Process E-rate Technology Planning – What are my goals? Form 470 - Starting the Application Process Competitive Bidding Form 471 – Selecting Your Vendors PIA (Program Integrity Assurance) Review Funding Commitment Form 486 Receipt of Services Confirmation Form 472 – BEAR and Form 474 – SPI – Invoicing “Getting the Money”

10. 2. Technology Planning

11. Technology Plan Help • SLD - http://www.usac.org/sl/applicants/step02/ • Libraries - http://www.library.ca.gov/services/libraries/erate.html • CDE - http://www.cde.ca.gov/ls/et/rs/techplan.asp • Recent News Brief from SLD - http://www.usac.org/sl/tools/news-briefs/preview.aspx?id=116

12. Required Elements • For EETT/Federal/State funding: • Executive Summary/Introduction • Stakeholders • Curriculum • Professional Development • Infrastructure • Adult literacy • Research • Funding and Budget • Monitoring and Evaluation • E-Rate supplemental budget analysis … and also see: • www.cde.ca.gov/ls/et/rs/techplan.asp For E-Rate Plan: • Goals • Professional Development • Needs Assessment • Budget • Evaluation Process • Tech Plan Help www.usac.org/sl/ applicants/step02/

13. Documentation of Tech Plan Approval 1. E-rate only tech plan: • You can expect to receive an approval letter from your COE as the USAC-certified technology plan approver. Ask your COE for projected approval date. 2. EETT tech plan: • You can expect to receive an approval message via email from CDE that confirms your EETT tech plan has been approved. • In general, CDE will make a determination regarding the approval of your EETT tech plan within 60 to 90 days of due date for review cycle.

14. Technology Plan Reminders • Must cover entire funding year • Must be “written” prior to posting Form 470 • Must include all services that E-Rate discount is being requested on • Must be approved by a “Certified Technology Plan Approver” • Technology Plan approver for 486 purposes is: • If EETT & E-rate, the approver is CDE • If only E-rate, the approver is COE or State Library • Private Schools see USAC tech plan approver list

15. EETT Tech Plan • 3 time periods (cycles) for EETT Technology Plan Approval • Oct 5, 2007 Cycle A (Best practice) • Dec 7, 2007 Cycle B (May work) • April 8, 2008 Cycle C (too late for E-rate)

16. E-Rate and Tech Plan Include supplemental budget analysis if using EETT plan as your approved E-Rate tech plan Know what you are applying for Based on needs of District that are supported by the tech plan. Note: Ensure all E-rate requested services/products are included in your technology plan

17. 3. General Program Information

18. Discount Calculations Calculated based on two factors Percentage of students eligible for National School Lunch Program http://www.usac.org/sl/applicants/step05/discount-matrix.aspx Urban or Rural status of Entity http://www.usac.org/sl/applicants/step05/urban-rural/

19. http://www.usac.org/sl/applicants/step05/discount-matrix.aspxhttp://www.usac.org/sl/applicants/step05/discount-matrix.aspx

20. Discount Calculations Instructional Facilities will have a discount that comes straight from Matrix Non-Instructional Facilities will use District Weighted Average (District Office, Maintenance, Bus Barn, Gardener’s Shed, etc) For use on Block 4 of the Form 471

21. Free and Reduced Lunch Information(NSLP) • Reported to CDE in October of each year. (posted in April/May) • Where the numbers come from • Claim Reimbursement from Food Services Manager for month of October • Program Integrity Assurance (PIA) looks at Dataquest information that is posted in April/May • Dataquest Link: http://dq.cde.ca.gov/dataquest/ • Keep all Free and Reduced lunch information in your records for future USAC Inquiries

23. Eligible Services - Categories Four categories of service Priority 1 (funded first) Telecommunications Services Internet Access Priority 2 (starts with neediest applicants) Internal Connections Basic Maintenance of Internal Connections

24. Eligible Services List • Posted on USAC website (http://www.usac.org/sl/tools/eligible-services-list.aspx) • Provides guidance to applicants and service providers on the eligibility of products and services under E-rate • Organized by category of service • Revised and updated each year in advance of the application window

25. ‘08 Proposed ESL Changes • Centrex as basic phone service • How distance learning and video conferencing may be eligible as Internet Access • A definition of eligible web hosting • “Failover” products or services added to the Other Miscellaneous Ineligible Components section as ineligible

26. Telecommunications Service • The transmission, between or among points specified by the user, of information of the user’s choosing, without change in the form or content of the information as sent and received. • Examples: ATM, T-1, Centrex, Local and Long Distance Telephone Service, Cellular Service and Paging Service • Rule of thumb: • USAC funds the various types of services • USAC does NOT fund end-user equipment - e.g., telephone sets

27. Internet Access • Basic conduit access to the Internet • Examples: T-1, DSL, DS-3, and Wireless service • Rule of thumb: • USAC funds the conduit to the Internet • USAC does NOT fund content

28. Internal Connections • Components at the applicant site that are necessary to transport information to the school or library. • Examples: Access Points, Routers, Switches, Hubs, Wiring, PBXs and Codecs • Rule of thumb: • USAC funds items that get the information to the classroom or room in the library • USAC does NOT fund end-user equipment such as telephones (including IP telephones) or laptops

29. Non-Instructional Facilities (NIFs) Are eligible for Priority 1 services, telecommunications and internet access Are NOT eligible for Priority 2 services, internal connections, UNLESS they are essential for the effective transport of information to an instructional building of a school or to a non-administrative building of a library

30. 2 in 5 Rule • Applies to Internal Connections funding requests only • Is entity specific • Implemented in Funding Year 2005

31. Basic Maintenance of IC • Ensures the necessary and continued operation of eligible internal connection components at eligible locations. • Ex: Repair and upkeep of eligible hardware, wire and cable maintenance. • Rule of thumb: • USAC funds basic technical support of eligible hardware. (8 X 5, M-F) • USAC does NOT fund end-user support or help desk

32. Basic Maintenance of Internal Connections (BMIC) • Not subject to 2 in 5 rule • Caution: • If a contract goes beyond what the FCC defines as basic maintenance, the entire contract will be denied • Eligible as recurring monthly services, ie – SmartNet • Include the components that the BMIC Contract will cover on your Item 21 attachment • BMIC can not be 24/7 coverage

33. Educational Purpose Activities that occur on library or school property are presumed to be integral, immediate and proximate to the education of students or the provision of library services to library patrons and therefore qualify as educational purposes. Customary work activities of employees of a school or library are presumed to fall under the definition of education purposes.

34. Manage the Cycle - Teamwork • Authorized signer ( Legally Authorized Signer ) • Designated contact person (Will receive E-rate calls) • Organize paper trail • Written Technology Plan • Assessment of existing Contracts, with signatures and dates (expiring contracts, etc) • Prior years submitted applications • Correspondence from SLD, Service Providers, etc. • All bids received and evaluation documents • Calendar of Deadlines

35. 4. Competitive Bidding and the Form 470

36. Preparation for Posting of Form 470 • Document ALL of your eligible existing services, contracts and their expiration dates • Expected growth – (P1 and P2) • National School Lunch Program (NSLP) data for discount percentage • Identify bidding restrictions (i.e. CMAS, geographic restrictions, etc)

37. File Online! Once the Form 470 is posted you must Certify online using a PIN, OR Print the certification page, sign and mail Mail this form immediately View form online to get the Allowable Contract Date Also provided in the Receipt Acknowledgement Letter

38. Special Notes for Form 470 Processing • When does the 28 day bidding period begin? • The day that ALL material for public viewing (i.e. RFP) is made available AND • The day the Form 470 is posted online • If RFP is released AFTER the posting of the Form 470 the 28 day bidding period begins with the day the RFP was released

39. Form 470 Reminders Allow adequate time Competitive Bidding – minimum of 28 days Local Procurement Board Approval Signing Contracts CMAS - Letter of Intent (LOI) CALNET 2 – 3 signatures needed Understand Your existing services Products and services you will need in the coming year Identify E-rate category for each product and service, P1 or P2

40. Receipt Notification Letter (RNL) • GOLDEN Opportunity to review application and correct minor errors • http://www.universalservice.org/_res/documents/sl/pdf/sampleletters/470RNL.acc.pdf

41. Competitive Bidding Fair and open competitive bidding process Avoid conflicts of interests Independent Consultant vs. Service Provider Applicant vs. Service Provider Follow the rules – FCC, State and local Read the contract fine print Document the process!!!

42. Competitive Bidding and Program Compliance http://www.sl.universalservice.org/reference/BestPractices.asp Keep copies of all bids, winning and losing Documentation on the award process and the rationale for the bid award Complete copies of all related contracts Best Practice: use standard evaluation process for all bids. Keep evaluation documentation for each bid.

43. Program Compliance If you get NO bids – document this for audit purposes Same is true if you get only ONE bid You may need to be proactive in soliciting for bids

44. Evaluation Criteria Price must be the most heavily weighted factor • Do not include Intent to Award or Evaluation Criteria in CMAS Request for Proposal • Can choose most responsive and responsible response, but must DOCUMENT the choice and process • Have District official SIGN and DATE the completed rubric as acknowledgement

45. SAMPLE SAMPLE SAMPLE SAMPLE SAMPLE

46. Form 470 – Multi Year Contracts You may not need to file Form 470 every year if: The language on the Form 470/RFP covered all services on the contract AND The applicant indicated on the Form 470 that a contract was being sought AND The applicant indicated on the Form 470/RFP that a multi year contract (perhaps w/voluntary extensions)

47. Contracts • Must be signed AFTER 28 days have elapsed but BEFORE you file your Form 471 • Must be signed and dated by BOTH parties – applicant and service provider • CALNET 2 ATO must have three signatures to be binding contract • Be prepared to explain documents that don’t look like a traditional contract.

48. 5. Form 471

49. Form 471 – Your application for Funds Must be filed every funding year: This is your actual funding request Specific information on services, service providers selected, and signed contracts Services Selected as result of your form 470 Discount calculation information Contains certifications of compliance Includes one or more funding requests

50. Form 471 Deadline Best Practice: File Online Submit BEFORE close of window Certify BEFORE close of window Online if using PIN By trackable mail if you do not use your PIN ** Bishop Perry Order – 15 day grace period for certifications made after the deadlinehttp://www.usac.org/_res/documents/sl/pdf/List-of-Correctable-Ministerial-and-Clerical-Errors.pdf