The E-rate Program Simplifying Discount Calculations Fall 2014 Applicant Trainings Washington K-12 Statewide Training, November 10, 2014 Presentation posted.

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Presentation transcript:

The E-rate Program Simplifying Discount Calculations Fall 2014 Applicant Trainings Washington K-12 Statewide Training, November 10, 2014 Presentation posted at

Fall 2014 E-rate Program Applicant Trainings2 Revised Discount Matrix Simplified School District Calculations Sample School District Calculations Urban/Rural Classifications Alternative Discount Mechanisms Discount Exceptions Simplifying Discount Calculations Overview

Fall 2014 E-rate Program Applicant Trainings3 Discounts are calculated for the organization as a whole. Discount rates do not change based on which entities within a district/system are receiving service. Libraries derive their discount from the NSLP eligibility of the district in which the main outlet is located. Consortia continue to use simple average of member discounts. Rural status is determined at the district/system level and only if more than 50% of schools or libraries are rural. Simplifying Discount Calculations New Discount Principles

Fall 2014 E-rate Program Applicant Trainings4 Revised Discount Matrix Note lower top discount rate for Category Two services.

Fall 2014 E-rate Program Applicant Trainings5 All schools in the school district get the same discount. – Simplifies process by not having to calculate multiple discount rates for different groups of schools. – When eligible, Non-Instructional Facilities (NIFs) get the same discount as the schools in district. – Single schools within a district never get their own discount rate, even if they are the only school receiving that service. – Urban/Rural status based on all of the schools in the district (not including NIFs). Simplifying Discount Calculations School Districts

Fall 2014 E-rate Program Applicant Trainings6 All schools in the school district get the district discount, even if they apply individually or are the only recipient of service. Independent schools, not part of a district, calculate their discounts based on their own student population. Independent schools, not part of a district, determine urban/rural status based on their own physical address. Simplifying Discount Calculations Schools

Fall 2014 E-rate Program Applicant Trainings7 Libraries get their discount based on the percentage of student eligible for the NSLP in the school district in which the main outlet is located. – No longer calculate discount based on all districts in which library system has outlets. Libraries calculate their own urban/rural status based on their own outlets. Therefore, the library system’s discount may not match the school district’s discount rate. – Bookmobile and kiosks count as library outlets. Simplifying Discount Calculations Libraries and Library Systems

Fall 2014 E-rate Program Applicant Trainings8 By definition, NIFs are neither schools nor libraries. NIFs get the discount of the school district or library system, regardless of the entities they serve. NIFs with classrooms, like all other entities in the school district or library system, get the same district-wide discount. NIFs don’t get an urban/rural status – NIFs get their discount from the district/system, regardless of their physical location and are not counted in the urban/rural determination. Simplifying Discount Calculations Non-Instructional Facilities (NIFs)

Fall 2014 E-rate Program Applicant Trainings9 Urban/rural status is based on 2010 U.S. Census data. Urban/rural status is now determined for the entire school district or library system, instead of for individual schools or libraries. More than 50% of the entities in a district/system must be rural for district/system to be classified as rural. Non-instructional facilities do not get an urban/rural status and are not counted in the determination of whether more than 50% of the entities are rural. Urban/Rural Classification Urban/Rural Status Changes

Fall 2014 E-rate Program Applicant Trainings10 Urban/Rural Classification Is My Entity Rural? Schools/School DistrictsLibraries/Library Systems More than 50% of all schools are in rural areas. More than 50% of all library outlets are in rural areas. Do not include NIFs in the determination. If there are six schools in district, and three are rural, district is urban. If there are six libraries in district, and four are rural, library system is rural.

Fall 2014 E-rate Program Applicant Trainings11 School District A (10 schools) – Total student population 3,000 students – Total students eligible for NSLP = 1,000 students – All but one of the schools are located in urban areas, so district = urban – 1,000 students eligible for NSLP/3,000 students = 33% eligible Sample School District Calculations School District Discount Example

Fall 2014 E-rate Program Applicant Trainings12 Surveys continue to be valid, though you can no longer extrapolate them. If you send out a survey to each student, and you only get responses from half, and only half of those are eligible, then you can only report 25% of your students as eligible for NSLP. Starting in FY 2015, you can use NSLP applications as your survey instrument, because you can no longer extrapolate the results. Alternative Discount Mechanisms Surveys

Fall 2014 E-rate Program Applicant Trainings13 Nationwide program to reduce NSLP paperwork burden. Schools must have at least 40% of their students directly certified to qualify for CEP. All students eat free, but this does not mean they are counted as eligible for E-rate purposes. Must still determine eligibility percentage. Schools apply national multiplier (1.6) to directly certified population to determine NSLP eligible population. Schools are capped at 100% NSLP eligible for purposes of determining the E-rate discount. Alternative Discount Mechanisms Community Eligibility Program (CEP)

Fall 2014 E-rate Program Applicant Trainings14 School District Example – Calculate student population for each school – Calculate NSLP eligible population for each school May require calculation for CEP schools – Sum NSLP eligible population for entire school district – Sum student population for entire school district – Calculate percentage of students eligible in district – Determine urban/rural status of district – Look up discount rate in discount matrix Alternative Discount Mechanisms Community Eligibility Program (CEP)

Fall 2014 E-rate Program Applicant Trainings15 Districts report TOTAL student counts – Document student counts used to arrive at your total numbers for PIA and audit purposes. Remember how you determined numbers for each school and summed to determine total student counts (School A = CEP, School B = participation for Oct 2014, School C = survey, etc). Optional worksheet in online FCC Form 471 keeps numbers for you. Discount Calculation Documentation Supporting Your Discount Rate

Fall 2014 E-rate Program Applicant Trainings16 Voice Services Phase Down – All voice service (POTS, Centrex, VOIP, cellular voice, etc.) are subject to 20 percentage point reduction per year from your regular discount FY 2015 = Regular discount – 20% FY 2016 = Regular discount – 40% etc. Category Two Top Discount – Top discount rate = 85% instead of 90% Discount Calculation Exceptions Exceptions to Discount Calculations

Fall 2014 E-rate Program Applicant Trainings17 ABC K-12 School District – Total student population = 1,000 – Total student population eligible for NSLP = 800 = 80% students eligible for NSLP Category One Discount = 90% Category One Discount for Voice = 70% ( ) Category Two Discount = 85% Advanced Discount Calculations One District; Three Discounts

Fall 2014 E-rate Program Applicant Trainings18 It will include: – urban/rural status of each location – state school numbers – NSLP equivalents for CEP-locations – total discount calculations for use by both schools and libraries. Discount Calculations for OSPI will post the “valid file” in early 2015

Contacts With questions, please contact us! SLD Phone: (888) SLD Website: Training Site: WA Website: Washington state contacts: Susan Tenkhoff, (360) Dennis Small, (360)