Craig J. Nichols, Secretary E-RATE 201 NEW FORMS & PROPOSED CHANGES, OPENINGS, CLOSINGS & MERGERS, COMMON MISTAKES 1

Table of Contents  New Forms & Proposed Changes Forms 470 & 471 Forms 479, 486, 500 Form 472 (BEAR)  Openings, Closings, and Mergers Tutorial 2

FORMS 3

Overview Proposed changes to FCC Form 470, Description of Services Requested and Certification Form Consolidated telecommunications and Internet access services into one field for Priority One services in Block 2 Clarifying text in Block 2 regarding Request For Proposal (RFP) services Additional text in the certification regarding document retention in Block 5 4

Overview Proposed changes to the Form 471, Description of Services Ordered and Certification Form Removed Block 2 Request for additional information regarding broadband connectivity on an FRN level, in Block 5 Additional text in the certification regarding document retention in Block 6 5

PROPOSED FORM 470 UPDATES 6

Form 470, Page 3: Block 2 7

Proposed FCC Form 470 Updates  Consolidated the Telecommunications and Internet access categories of service into the field Priority One Services  Applicants must still distinguish services between Telecommunications and Internet access on Form 471 8

Proposed FCC Form 470 Updates 8a, 10a, 11a. YES, I have released or intend to release an RFP for one or more of these services. It is available or will become available on the Internet at: 9

Form 470, Page 7: Block 5 10

Proposed FCC Form 470 Updates Document retention certification Block 5, Item 19 update  “I certify that I will retain required documents for a period of at least five years (or whatever retention period is required by the rules in effect at the time of this certification) after the last day of service delivered.” 11

PROPOSED FORM 471UPDATES 12

Proposed FCC Form 471 Updates  Block 2 has been removed and a new data gathering section has been added to Block 5 13

Form 471, Page 7: Block 5 14

Proposed FCC Form 471 Updates Additional Block 5 reporting requirements:  For Broadband and other connectivity services only E.g. T ‐ 1, fiber, DSL, cable, cellular wireless hotspots, satellite  Does not apply to non ‐ broadband or other connectivity services E.g. Cellular service, web hosting and service  Complete information for every applicable funding request 15

Proposed FCC Form 471 Updates  In Block 5 if you are not requesting broadband or other connectivity services for the individual funding request, check the box 16

Proposed FCC Form 471 Updates  If you are requesting broadband or other connectivity services, fill out Block 5, Item 24  For example, if you request one T ‐ 1, six fiber connections that average 150 Mbps and one gigabit connection: 17

Proposed FCC Form 471 Updates Item 24 b, 1 ‐ For all applicants, if the Internet service is available to students or patrons in more than just a single location or office  If the access is provided by wired connections, approximately what percentage of the school classroom or public library rooms included in the Block 4 worksheet for this FRN will have access to wired drops? _____? 18

Proposed FCC Form 471 Updates Item 24 b, 2 ‐ For all applicants, if the Internet service is available to students or patrons in more than just a single location or office  If the access is provided by Wi ‐ Fi connections, approximately what percentage of the school classroom or public library rooms included in the Block 4 worksheet for this FRN will have access to a Wi ‐ Fi signal? _____? 19

Proposed FCC Form 471 Updates Item 24 c ‐ For consortia and statewide applications, do the connections in this FRN include the last mile connection to the school or library?  Yes  No  If no, are these connections only for backbone connections?  Yes  No 20

Form 471, Page 7: Block 6 21

Proposed FCC Form 471 Updates Document retention certification Block 6, Item 33 update  “I certify that I will retain required documents for a period of at least five years (or whatever retention period is required by the rules in effect at the time of this certification) after the last day of service delivered.” 22

FORMS 479, 486, 500 PROPOSED CHANGES 23

Proposed FCC Form 479 Changes  Proposed Changes to FCC Form 479  Certification by Administrative Authority to Billed Entity of Compliance with the Children’s Internet Protection Act Document retention certification updated Item 6e, CIPA Waiver for Libraries in FY2004, consolidated with Item 6d, the general checkbox for CIPA waivers Minor text edits 24

Proposed FCC Form 479 Changes  Document retention period updated to provide flexibility in the event the documentation retention period is changed in the FCC rules. 25

Proposed FCC Form 479 Changes  Item 6e, CIPA Waiver for Libraries in FY2004, consolidated Text added to Item 6d to inform libraries that need to make this waiver request to do so using the CIPA waiver in Item 6d  Minor text edits For example, “Telephone Number” instead of “10 ‐ Digit Telephone Number” 26

Proposed FCC Form 486 Changes Proposed Changes to FCC Form 486  Name changed to Receipt of Service Confirmation and Children’s Internet Protection Act and Technology Plan Certification Form  Item 6C, CIPA Waiver for Libraries in FY2004, consolidated with Item 6B, the general checkbox for CIPA waivers  Item 8, technology plan certification, updated  Item 10, document retention certification updated  Minor text edits 27

Proposed FCC Form 486 Changes Item 6C, CIPA Waiver for Libraries in FY2004, consolidated  Text added to Item 6B to inform libraries that need to make this waiver request to do so using the CIPA waiver in Item 6B  References to FCC Form 479 Item 6e (CIPA waiver for libraries in FY2004) removed from FCC Form 486 Item 11f and 11g CIPA certifications 28

Proposed FCC Form 486 Changes Item 8, technology plan certification, updated to reflect that technology plans only need to be prepared if required by program rules  For example, currently technology plans do not need to be prepared if applicants are seeking Priority One services only. 29

Proposed FCC Form 486 Changes Document retention period updated to provide flexibility in the event the documentation retention period is changed in the FCC rules  Minor text edits, for example: Adding “FCC” before form names 30

Proposed FCC Form 500 Changes Proposed Changes to FCC Form 500  Name changed to Funding Commitment Adjustment Request Form  Blocks added for: Services adjustment – service start date, contract expiration date, and service delivery extension requests FRN cancellation or reduction Equipment transfer notifications  Document retention certification updated 31

Proposed FCC Form 500 Changes Block 2: Services Adjustment  Change service start date (currently available)  Change contract expiration date (currently available)  Request service delivery extension (proposed)  NOTE: Applicants – not service providers – must request this extension (see Report and Order FCC 01 ‐ 195 and 47 C.F.R. Section ) 32

Proposed FCC Form 500 Changes  Block 3: Cancel or Reduce an FRN Cancel an FRN (currently available) Reduce an FRN (currently available) Format of this block may change  Block 4: Equipment Transfer Notification (proposed) Applicants provide the required information for equipment transfers by completing these fields 33

Proposed FCC Form 500 Changes Document retention period updated to provide flexibility in the event the documentation retention period is changed in the FCC rules  Minor text changes Additional text or changes to describe the new information required Other changes similar to those described for FCC Form 479 and FCC Form

NEW FORM

Overview Reimbursement (BEAR) Form  “Reimbursement Form Number” moved to top and renamed “Applicant Form Identifier”  “Reimbursement Date to USAC” moved to Block 3  Discount column added to Block 2  Some form items renumbered due to the above changes  Extraneous or confusing text removed  Certification language added 36

OPENINGS, CLOSINGS, AND MERGERS TUTORIAL 37

Openings, Closings, and Mergers Overview  When to contact USAC New entity number Name and address changes Merger and closing  Planning for the new entity, merger or closing  Program reminders Equipment Transfer Filing FCC Form 500 FCC Form 471 Block 4 updates 38

When to Contact USAC New Entity Number  New entity construction If the legal name is unknown, provide the CSB with a temporary name. Provide the legal name once it is known. If the physical address is not known, you may still receive an entity number. Invoices will not be paid until the physical address is provided. 39

When to Contact USAC Name and Address Changes  The entity is not new, but the BEN name changed and/or the entity moved to a new location. Update the BEN information. Update contact information, if necessary. Determine whether submitted forms require updating. 40

When to Contact USAC Merger or Closing  Merger ‐ Two or more entities combine into an existing entity, and that existing entity maintains the same entity number.  Closing – Services are permanently or temporarily discontinued to an entity. 41

When to Contact USAC Merger or Closing cont’d Inform your PIA reviewer if FCC Forms 471 are in review. If not, contact CSB.  Provide a description of what is happening (e.g., will the equipment be transferred, will services be maintained at the same level, etc.)  Cite effective dates (e.g., closing, service start date, service end date)  List all of the affected FCC Forms 471 and FRNs  Submit FCC Form 500 to cancel or modify FRNs, equipment transfer  Update name, address or contact person (if applicable)  Request invoice deadline extension, service substitution, service delivery extension and/or FCC Form 471 Block 4 update 42

Planning Competitive bidding  New competitive bid is required when: Increasing services and/or bandwidth significantly. Adding entities. Negotiating new pricing.  Merging entities should conduct the bid together (if possible).  Include the possibility for expansion when developing and requesting competitive bids. 43

Planning Contracts  Review existing contracts for: Provisions to add new entities. Termination clauses (e.g., penalties). Successor rights, benefits and obligations.  Contract addendum to accommodate new entities could alter the original scope of the procurement. This may lead to a competitive bidding violation. 44

Planning How to Apply  Merging entities should consider applying as a consortium if the merger occurs during the funding year. Merging entities sign Letter of Agency (LOA) Each entity has its own FRN for services PIA may ask about duplicative services  Services/Equipment Requests Will the same level of service be needed?  Be able to explain why you are maintaining the same level of service (e.g., network service, cell phones) 2 ‐ in ‐ 5 status will change for NEW entities only 45

Planning How to Apply (cont.)  Calculating discounts  If you know which students will attend the “new” school, calculate the discount based on that student population.  Unknown student population: Use the school district weighted average, or If not part of a school district, use 20 percent discount The discount can updated during PIA review once the population is known  Use the FCC Form 471 instructions on new construction for guidance in determining the discount calculation. 46

Planning Invoicing  Use the entity name from the FCDL to invoice for the service. Additional documentation may be necessary if the invoice information differs from the information on the FCDL.  Ensure the new customer bills clearly identify the relationship between the old and new entities for Service Certifications.  If you get questions from invoicing, attach a description of the merger. 47

Planning Post Commitment Block 4 Updates  When the entity is closed and the students are transferred to another entity, an applicant should submit a request to add and/or remove an entity to and/or from FCC Form 471 Block 4 or Block 5 Item 22 and transfer the funding to USAC Appeals.  Original discount and/or funding request will not increase  Appeals reviewer may request cost allocation for the cost of services to the closed school – split FRN may occur  Entity will not be removed if a disbursement was made for an internal connections FRN  USAC will issue a revised FCDL (RFCDL) 48

Program Reminders Document Retention The receiving entity is responsible for retaining the closed entities’ documentation. Make sure you have a document retention strategy and that you follow it. Non ‐ Instructional Facilities (NIFs) Closed entities may become NIFs when the facility is repurposed for the school use (e.g., admin building, IT). Swing Schools The closed entity may be designated a swing school. Swing schools are used to house students on a temporary basis. Schools should have a plan outlined for student placement. 49

Program Reminders Equipment Transfers  You must notify USAC when equipment is transferred if it is less than 3 years from the date of purchase.  Equipment may be transferred to another eligible entity if the facility where the equipment is located is permanently or temporarily closed.  The eligible entity is not required to have the same discount.  Submit equipment transfer requests to USAC. Use the FCC Form 500 when the new version of the form is available. 50

Program Reminders Service Substitutions Service substitutions are changes in the products and/or services specified and approved in the FCC Form 471 and Item 21 attachment. Service sub criteria:  The substituted services or products have the same functionality as the services or products contained in the original proposal.  The substitution does not violate any contract provisions or state or local procurement laws.  The substitution does not result in an increase in the percentage of ineligible services or functions.  The requested change is within the scope of the controlling FCC Form 470, including any Requests for Proposal (RFP), for the original service.  DEADLINE: Request must be received or postmarked by the last day to receive services. 51

Program Reminders Invoice Deadline Extensions  An extension of the deadline to file invoices – FCC Form 472 (BEAR Form) or FCC Form 474 (SPI Form)  An extension request must be filed with and granted by USAC before an invoice can be processed. DEADLINE: Requests should be received or postmarked no later than 120 days after the last day to invoice. 52

Program Reminders Service Delivery Extension  Extensions can be requested if the service provider: Was unable to complete delivery and installation for reasons beyond the service provider’s control, or Was unwilling to complete delivery and installation after USAC withheld payment for those services on a properly submitted invoice for more than 60 days after submission of the invoice.  To request an extension, applicants will complete FCC Form 500, when the new form is available.  DEADLINE: Requests MUST BE received or postmarked on or before the last date to receive service. 53

Program Reminders Service Delivery Extension  Extensions are automatically granted when: A Funding Commitment Decision Letter (FCDL) is issued by USAC on or after March 1 of the funding year for which support is authorized. Operational SPIN changes or service substitutions are approved by USAC on or after March 1 of the funding year. 54

E-rate Funding in Florida 55

E-rate Team Contact Information Bridget Duff Adolfo Arauz Lauren Harris