What Are the “New” Basics? Back to the New Basics Schools and Libraries Division Washington, DC • Orlando • Boston • New Orleans • Cleveland • San Francisco • Phoenix September/October 2007

New FCC Direction Help applicants be successful Starts with FY 2006 Ability to correct mistakes Differentiate between minor errors and fatal flaws that can lead to denial Only FCC can waive rules; these are not covered by “error correction”

Ministerial & Clerical Errors Correcting minor errors due to data entry Applicants get opportunity to correct information once data entered by USAC Form 470 Receipt Notification Letter Form 471 Receipt Acknowledgment Letter Make corrections to the letter you receive and return to USAC in timeframe specified in the letter to get corrections processed Some corrections may require review; others are automatic. Minimum Processing Standards (MPS) are incorporated here

M&C Errors Can fix many things but not: Form 470 Can fix many things but not: Posting for category of service Item 7: Seeking multi-year or voluntary contract extensions Change in contact info requires review Form 471 Can fix most things on the form Some fixes happen during PIA instead of through the RAL process

Additional contact from PIA PIA will verify items with you more than before At the end of the review, we will give you one more opportunity to fix modification and denial reasons Applicants can split out PIA-detected services or entities into separate funding requests.

Paying Your Share FCC recently clarified that applicants do not have to secure the funding for their share until they file the Form 486. During PIA review, you may be asked for a letter indicating that you have reasonable expectation of getting the funds. When you file your Form 486, you must show that you have sufficient funds to cover your share. If you do not, we will work with you to cancel FRNs to match the funds that you do have.

More from PIA FCC clarified that the 30% Rule does not apply to entities, only services But, we will work with you to determine the eligible portion of the services and will fund that part Contract standards have been loosened to no longer require service provider signature Still have to comply with your own procurement regulations Still have to retain documentation for five years from the last date to receive service.

Time to Respond FCC has standardized on 15 days to respond to requests for information from USAC Applicants can always ask for an extension, but must be in writing Special rules in place during summer and winter breaks Further relief possible during disasters

Explain all issues for FRNs Starting with FY 2007, SLD will identify all issues on each FRN Previously, stopped at first denial Now, see all modifications and denial reasons Appeals will have to resolve all issues before funding can be approved

Deadline Reminders We will help you remember deadlines. After filing Form 470, we will remind you to file your Form 471 (must be in window). After filing Form 471 in the window, we remind you to file your Form 471 certification. 120 days after the SSD reported on the Form 471, we remind you to file your Form 486. In all cases, you have 20 days from the letter date to take action. If you waited until the last minute, our notifications may cross in the mail with your submission.

2-in-5 Rule for IC Allows you to only get Internal Connections 2 out of every 5 years, starting in FY 2005. FY 2007 is the first year when you may not be eligible for IC based on this rule. Applies at the school or library level See 2-in-5 tool to see your specific status

More on 2-in-5 Schools and libraries use a year regardless of how much of what type of IC they received. If you got IC, and didn’t use ANY money, you can get your year back. If USAC paid an invoice for the IC FRN, you cannot get that year back. Plan strategically!

Helping Applicants to Succeed (HATS) We’re here to help! No compliance check Schools that have had difficulty getting funded are invited to participate HATS team member sits with you to walk you through the E-rate process, identifying problem and suggesting solutions.

Rollover Money FCC announced that it would “roll over” $650M from previous years into 2007 This is in addition to the $2.25B “Rollover” can happen in the future, too

More Information to You Weekly NewsBrief provides timely guidance written in plain language on a variety of topics. Appeals decision include tip sheets to better explain the program rules that impacted your funding. Site Visit and HATS teams leave behind Tip Sheets as well.

SLD Website Useful items on the SLD website (www.usac.org/sl) Important announcements Process Overview Funding announcements NewsBriefs Weekly email Searchable

More website resources Reference Area “How to” guidance Copies of letters Searchable Tools Section Online Application section and Forms What to expect on a site visit What to expect in an audit Submit a Question

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