E-rate 101

1. E-rate 101 For Maine Schools and Libraries

2. Simplifying E-rate can be a challenge This is brief information and an outline of the process.

3. What is “E-rate-able”? • The FCC publishes the eligible services list each year. • The services on that list are eligible for discounts from the Schools and Libraries Division (SLD) of the Universal Service Administrative Company (USAC) to schools and libraries. • The list can be found at the SLD site in PDF format: http://fjallfoss.fcc.gov/edocs_public/attachmatch/FCC-07-182A2.pdf

4. Two different service “types • Priority 1 • Priority 2

5. Priority 1 and Priority 2 • Priority 1 services are always funded. • Priority 2 services are usually only given to very high level poverty schools • Most schools and libraries in Maine have discount levels that do not qualify for Priority 2 funds.

6. Discounts - NSLP • The discounts for the E-rate program are based upon National School Lunch Program (NSLP) data. • So schools that have over 75% of students that qualify for free and reduced lunch are usually the only schools that will receive funds for Priority 2 services.

7. Discounts - NSLP • Library discounts are calculated from the school district average. • All schools and libraries can receive funds for the Priority 1 services. • The Discount Matrix can be found at: http://www.universalservice.org/sl/applicants/step05/discount-matrix.aspx

8. Priority 1 Services • Telecommunication Services Telephone (local, long distance, cell phone services); Digital Transmission Services - (T1, ATM, OC1, DSL) • Internet Services (access to Internet)

9. Priority 2 Services • Internal Connections (wiring, hubs, switches, cabling, some types of servers) • Basic Maintenance of Internal Connections • Two in Five Rule - These services can only be funded 2 times every 5 years

10. E-rate and Technology Plans • All services except telephone services require an approved technology plan. • The timing of when the plan is written and when services are requested is one of the sticking points in the program that can cause problems. • The plan needs to be dated before the Form 470 is filed.

11. E-rate and Technology Plans • Schools and libraries need to keep copies of the technology plan and the approval letter for audit purposes. • Schools and libraries also need to keep copies of all E-rate paperwork for 5 years after the last date of service.

12. E-rate and Technology Plans • Technology Plans Must meet 5 criteria for E-rate - http://www.universalservice.org/sl/applicants/step02/technology-planning/ • Private Schools and libraries just need these 5 elements • Public schools need to meet NCLB Title IID, E-rate and Chapter 125 requirements • More info at the E-rate website: http://www.maine.gov/msl/erate/

13. 5 Criteria • The plan must establish clear goals and a realistic strategy for using telecommunications and information technology to improve education or library services;

14. 5 Criteria 2. The plan must have a professional development strategy to ensure that staff know how to use these new technologies to improve education or library services;

15. 5 Criteria 3. The plan must include an assessment of the telecommunication services, hardware, software, and other services that will be needed to improve library services;

16. 5 Criteria 4. The plan must provide a sufficient budget to acquire and support the non-discounted elements of the plan: the hardware, software, professional development and other services that will be needed to implement the strategy; and

17. 5 Criteria 5. The plan must include an evaluation process that enables the library to monitor progress toward the specified goals and make mid-course corrections in response to new developments and opportunities as they arise.

18. Technology Plans • Must be written prior to the Form 470 filing • Should have a “creation date” that pre-dates the Form 470 • Should be written for 3 years but can be updated/modified if significant changes are needed • Needs to be approved by July 1 but actually needs to be “written” in the previous fall.

19. E-rate Forms • There are four basic forms - all can be filed online now. • Form 470 • Form 471 • Form 486 • Form 472 • File forms online at: http://www.sl.universalservice.org/menu.asp

20. Form 470 • Request for services • RFP of sorts; opens competitive bidding process • Must be posted for at least 28 days • Keep track of all bids • Filed once for a multi-year contract • Filed annually for telephone • Contracts must be signed and dated before the Form 471 is filed.

21. Form 471 • File after the Form 470 has been posted for at least 28 days and contracts are signed (if the service requires a contract) • Indicates what vendor has been selected • Item 21 attachment – now online – fill out carefully and accurately to avoid problems in PIA reviews

22. Form 486 • Filed after the school or library receives a Funding Commitment Decision Letter (FCDL) • Filed after services have begun. (Usually after July 1 but before October 30…exact timing depends on the date of the FCDL). 120 days after FCDL • This is the form that everyone forgets to do! • The Form 486 states that “services are now being received” • Certifies to technology plan existence, if needed • Certifies to CIPA

23. Form 472 • Filed to invoice for reimbursement once bills have been paid. (Can be yearly, quarterly, etc) • Some schools and libraries receive discounts on each monthly bill rather than invoice at the ends of the year. • Now online – no faxing

24. PINS • PINs are digital signatures that allow you to certify forms online • PIN FAQ for Applicants http://www.usac.org/sl/tools/search-tools/applicant-pin-faqs.aspx

25. PINS • PINs are automatically generated, mailed, and ready to be used once the applicant has certified any one of the forms. • PINs are assigned to a person at a location • PINS should be disabled if someone leaves and a new PIN obtained

26. E-rate Reviews PIA, site visits, denials appeals • As forms are filed they are reviewed by staff at the SLD • Schools and libraries may be asked to provide additional information. • Contracts, dates of contracts and types of services are reviewed for compliance.

27. E-rate Reviews PIA, site visits, denials appeals • This process can cause stress and lead to appeals and lost funding. • Following the process and filling in forms accurately can alleviate a good percentage of these problems.

28. Money for Maine • Although the process can be a burden there is a lot of money to be saved by schools and libraries. • Maine had funding commitments for 2006-2007 that amounted to over $ 7.2 million dollars

29. Money for Maine • But each year money is “lost” to schools and libraries due to paperwork errors, contract errors, etc that come up during the review process. • Is the money you get back worth the time and effort?

30. We are here to help! • Janet McKenney Public Library and MSLN E-rate Coordinator janet.mckenney@maine.gov • Sylvia K. Norton School E-Rate Coordinator sylvia.k.norton@maine.gov

31. Useful E-rate Links • Maine E-rate website http://www.maine.gov/msl/erate/index.shtml • SLD Website – Apply Online http://www.sl.universalservice.org/menu.asp • NSLP Data (Maine DOE) http://portalx.bisoex.state.me.us/pls/doe_sfsr/sfsrdev.ed534.ed534_parameters

32. Discount Matrix http://www.universalservice.org/sl/applicants/step05/discount-matrix.aspx • Data Retrieval Tool http://www.universalservice.org/sl/tools/search-tools/data-retrieval-tool.aspx