E-Rate for California Intermediate/Advanced Applicants

1. E-Rate for CaliforniaIntermediate/Advanced Applicants

2. Agenda General Info E-rate Technology Planning Discount Calculations Eligible Services Forms 470/471 Procurement/Competitive Bidding Program Compliance and Updates E-rate Gift Rules Post-Commitment Processes Appendices California Teleconnect Fund (CTF) Alternative Discount Mechanisms Interconnected VoIP Invoice Reconciliation Prepare a Form 471

3. The role of CA Dept of Ed and State Library General Information about E-rate • CDE & State Library have no statutory authority to administer the federal E-Rate program • CDE & State Library only provide general information about the E-Rate program including: training and outreach, reference materials, and other publicly available SLD/USAC resources

4. E-Rate Process

5. Intermediate/Advanced Presentation E-Rate Technology Planning

6. E-Rate Process

7. Tech plans ensure that schools and libraries are prepared to effectively use the requested services to integrate telecommunications and internet access into the educational program or library services that they provide to students. • Tech plans should support and validate all Erate services applied for, especially priority 2 services, Internal Connections (IC) and Basic Maintenance of Internal Connections (BMIC). • Purpose of the Tech Plan • Technology Planning

8. Technology Plan Review • FFC rules require an “approved” technology plan when receiving E-rate discounts for priority 2 services (there are 2 types of tech plans that can be used: an EETT or E-rate only). • Find your public charter, district or COE Tech Plan status at: http://www.cde.ca.gov/ls/et/rs/techplan.asp • *Decision: Decide which tech plan to use: A) E-rate only, B) EETT technology plan (best practice approach) Note: Libraries leverage your master plan in developing your technology plan. • Tech Plan must be “written” prior to posting Form 470. • DOCUMENT the existence of this “Written Plan” – i.e., Letter/E-mail from Cabinet, screen print of file name and date, and physical copy of plan. • Must cover all 12 months of the funding year (July 1 – June 30). • E-rate only plans should not cover more than 3 years; EETT tech plans that meet E-rate requirements can cover 5 years with progress review during 3rd year. • Tech plans must include all services (both current and future) for which E-Rate discounts are sought. • Must be approved by a “Certified Technology Plan Approver” See the Technology Plan approver locator tool on the USAC website: http://www.sl.universalservice.org/reference/tech/default.asp 10. Leverage the technology expertise of your CTAP regional assistance: CTAP: http://www.cde.ca.gov/ls/et/rs/ctapcoordinators.asp

9. 4 Required Elements of a Technology Plan Used for E-rate • Clear statement of goals and realistic strategy for using telecommunications and information technology to improve education or library services. • Professional Development strategy to ensure staff understands how to use technologies to improve education or library services • Needs Assessment of telecommunication services, hardware, software, and other services that will be needed to improve education/library services • Evaluation process to monitor progress towards goals and allows for mid-course corrections in response to new developments as they arise Budget:No longer required in the tech plan but USAC will likely request this information during PIA or other application reviews. Best practice would be to put a budget with appropriate fund sources highlighted in your E-rate related documentation files.

10. The “Two Tech Plans” • Enhancing Education Through Technology (EETT): • Executive Summary/Introduction • Stakeholders • Curriculum • Professional Development • Infrastructure • Adult literacy • Research • Funding and Budget • Monitoring/Evaluation • http://www.cde.ca.gov/ls/et/ft/eettfortechplans.asp E-Rate Only Plan: • Goals • Professional Development • Needs Assessment • Evaluation Process Tech Plan Help www.usac.org/sl/ applicants/step02/

11. The final dates to submit your EETT Tech Plan to CTAP for approval are: • Cycle A: October 7, 2011 • Cycle B: December 16, 2011 • Cycle C: April 13, 2012 • EETT Tech Plan Cycle Dates • Technology Planning

12. Must be “Written” prior to posting Form 470: • It must be documented that it is written before the posting of the form 470! (Applicant must document the existence of this plan, i.e., e-mail with plan attached, memo from cabinet level about the plan being written, including the date. “DATE STAMP,” submit EETT tech plans during cycle A [final date October 9, 2009]) • Must include a sufficient level of detail and cover all services (priority 2) for which E-Rate discounts are being sought on the Form 470(s) and subsequent Form 471(s). • Must be approved by the start of services (July 1) or the filing of Form 486, whichever is earlier • E-rate only plans must be approved by a “USAC Certified Technology Plan Approver” see USAC link: http://www.usac.org/sl/tools/reference/tech/default.asp • Combination E-rate/EETT Tech plans must be submitted to your CTAP region for approval: http://www.cde.ca.gov/ls/et/rs/ctapcoordinators.asp • Must include all four required elements (as noted previously) regardless of the type of plan being used (E-rate only or EETT) • “Must Do” Reminders • Technology Planning

13. Service Providers may notact as technology plan approvers, write/create, or assist in the tech plan in any capacity • Remember to include in your tech plan all the services that you apply for on Form 470/471, required for priority 2 - internal connections, and basic maintenance • Additional reminders • Technology Planning

14. E-rate Plans: John Vardanega, jvardane@cde.ca.gov, 916-323-2241 • EETT Plans: Doris Stephen, dstephen@cde.ca.gov, 916-324-9943 • CTAP: http://www.cde.ca.gov/ls/et/rs/ctapcoordinators.asp • CTAP Tech Plan Builder: http://myctap.org/index.php/techplan/tpb • Libraries: Rushton Brandis, rushbrandis@library.ca.gov , 916-653-5471 • Help • Technology Planning

15. Questions?

16. Intermediate/Advanced Presentation Discounts

17. Calculate the discount rate for each individual school • School District average = weighted average of the schools • Multiply E-Rate discount by total student population of the school to get weighted product • Add all weighted products and divide by total students in school district • Discounts are based on schools actually receiving services in the FRN (may not be all schools in the district) • Schools/School Districts • Calculating Your Discount

18. Calculate the total percentage of students eligible for NSLP in the school district in which the building is located • Use the urban/rural status of the county or census tract in which the library outlet is located • Individual Libraries • Calculating Your Discount Library Systems • Calculate the E-Rate discount for each library outlet • Calculate the simple average of the library outlets • Add discounts for each outlet and divide by total number of outlets

19. NIFs on the campus of single school/library and that serve only that entity, get the discount of that school/library Separate entity number necessary only if public right-of-way is crossed • NIFs that serve multiple schools/libraries, and without classrooms or public areas, get shared discount for the school district/library system • NIFs that serve multiple schools and with classrooms use the snapshot method to get discount • Snapshot method: Choose a specific day and determine the NSLP eligibility of the student population that is in class on that day • Non-Instructional Facilities (NIFs) • Calculating Your Discount

20. School under construction • Population is known = use that data • Population is unknown = use district shared discount • Library under construction • Same as regular individual library outlet • Private/Charter Schools • Population is known: use that data • Population is unknown: apply for 20% but can amend with actual figures if obtained later • New School Construction • Calculating Your Discount

21. Allow for socio-economic survey to be used to establish reimbursement rate and reduce paperwork for schools • Applicant uses approved NSLP eligibility percentage to calculate discount rate • Schools submit base-year documentation to support discount rate • If extension is granted, applicants can submit extension approval letter to support discount rate • Provisions 1, 2, and 3 • National School Lunch Program

22. All Head Start students meet free lunch guidelines under NSLP • Head Start entities automatically qualify for 90% discount • Home based Head Start is not eligible • Head Start • National School Lunch Program

23. Questions?

24. Intermediate/Advanced Presentation Eligible Services List (ESL)

25. Local and long distance service • Cellular • Digital Transmission Services • Etc • For more details refer to Beginners Presentation at http://www.k12hsn.org/programs/erate/training_materials.php • Telecommunications Services • Priority One

26. Broadcast “Blast” messaging • Monitoring services for 911, E911 or alarm telephone lines • Services to ineligible locations • End-user devices • Cell phone, tablet computers • Not Eligible as Telecom Services • Priority One

27. Two separate categories on the ESL • Telecommunications Services can only be provided by an eligible telecommunications carrier • Telecommunications* can be provided by non-telecommunications carriers via fiber in whole or in part *Applies to Dark Fiber • Telecommunications Services vs Telecommunications • Priority One

28. Support for IA includes Internet Service Provider (ISP) fees as well as the conduit to the Internet • Other eligible IA services include: • E-mail service • Wireless Internet access • Interconnected VoIP • Web hosting • Internet Access (IA) • Priority One

29. Costs for Internet content • Subscription services such as monthly charges for on-line magazine subscriptions • Internet2 membership dues • Web site creation fees • Web based curriculum software • Software, services or systems used to create or edit Internet content • Not eligible as Internet Access • Priority One

30. Interconnected VoIP (aka Hosted VoIP) Defined as a service that Enables real-time, two-way voice communications. Requires a broadband connection from the user’s location. Requires Internet protocol-compatible customer premises equipment (CPE). Permits users generally to receive calls that originate on the public switched telephone network and to terminate calls to the public switched telephone network.

31. Priority One Services May be applied for in either Telecommunications or Internet Access on Form 470. USAC highly recommends posting in both Telecom and Internet Access. Interconnected VoIP

32. Leased Dark Fiber added as Telecommunications in the FY2011 Eligible Services List • Allows for the lease of dark fiber as a priority one service, from any entity • On the FCC Form 470, file for both Telecom and Internet Access • On the FCC Form 471, select the Telecom box if the dark fiber is provided by a telecom carrier • In all other cases, select the Internet Access box • Leased Dark Fiber as Priority One • Dark Fiber

33. Dark fiber must be lit immediately • Does NOT allow for unneeded capacity or warehouse dark fiber for future use • Maintenance costs of dark fiber and installation costs to hook up the dark fiber are eligible • This includes charges for installation within the property line • Modulating electronics for leased dark fiber are not eligible • Leased Dark Fiber as Priority One • Dark Fiber

34. Installation costs to hook up the dark fiber is eligible from the eligible entity to the property line • Dark Fiber • Leased Dark Fiber as Priority One

35. Special Construction charges to build out connections from applicants’ facilities to an off-premise fiber network are NOT eligible • Dark Fiber as Priority One • Dark Fiber

36. Installation and Fiber costs between two eligible buildings, not crossing a public right of way are considered Internal Connections • Dark Fiber • Dark Fiber as Priority Two

37. Support for equipment and cabling on-site that transport info to classrooms or public rooms of a library • Subject to the Two-in-Five Rule • Entities can only receive funding every two out of five years • Internal Connections • Priority Two

38. Internal Connections • Priority Two

39. Support for basic maintenance of eligible internal connections (BMIC) such as: • Repair and upkeep of hardware • Wire and cable maintenance • Basic tech support • Configuration Changes • Basic Maintenance of Internal Connections • Priority Two • Agreements or contracts must state the eligible components covered, make, model and location • Service must be delivered within the July 1st to June 30th timeframe • Two-in-Five Rule does not apply to BMIC

40. Standard manufacturer warranties of no more than three years remain eligible. • If there is a cost associated with the warranty, then the warranty is not eligible • Support for BMIC is limited to actual work performed under the contract • BMIC Updated Guidance • Priority Two

41. Applicants may make estimates based on: • Hours per year of maintenance • History of needed repairs and upkeep • Age of eligible internal connections • Applicants using the factors listed above must submit a bona fide request • It is not reasonable to estimate an amount that would cover the full cost of every piece of eligible equipment. • BMIC Updated Guidance • Priority Two

42. Flat rate contracts may be eligible however, applicants may only invoice for services actually delivered/work performed. • Exceptions that will not require demonstration that work was performed are: • Software upgrades and patches • Bug fixes and security patches • Online and telephone based technical support • BMIC Updated Guidance • Priority Two

43. In general, equipment may not be transferred for money or any other thing of value • A no-cost transfer may occur three years or more after the purchase of the equipment to other eligible entities • No equipment transfer may occur prior to three years from the purchase, unless the eligible entity is permanently or temporarily closing • Equipment transfer rules • Equipment Transfers

44. Notify USAC • Both the closing entity and the recipient must retain records of the transaction • Include the reason for the transfer • Records must be kept for five years after the date of the transfer • Records for equipment >3 years follow the traditional document retention requirements • Equipment transfers less than 3 years • Equipment Transfers

45. As of January 3, 2011, applicants can dispose of obsolete equipment, but no sooner than five years after the date the equipment is installed • Resale for payment or other consideration is allowable no sooner than five years after the equipment is installed • Resale or disposal is prohibited before the five years have passed. • Disposal of Equipment Rules • Disposal of Equipment

46. Trade-ins of equipment may be permitted if the E-rate funded equipment to be traded in has been installed for five years • This limitation does not apply for equipment not funded through E-rate • Trade-ins and Exchanges • Trade-ins and Exchanges

47. Questions?

48. E-Rate Process

49. Intermediate/Advanced Presentation Form 470

50. Form 470 – Starts Competitive Bidding • Be VERY familiar with eligible services and proper category • “Service or Function” • MUST provide enough detail to encourage service providers to bid • Broaden scope – plan for growth or reduction in number of eligible entities or bandwidth or number of lines • Any limiting factors to bidding should be identified unless on RFP