1. E-rate Training Workshop for Veteran PA Applicants Let’s prepare for FY 2017
Presented by Julie Tritt Schell
PA E-rate Coordinator
for the Pennsylvania Department of Education
October 2016

2. Agenda FY 2017 FY 2015 FY 2016 What’s not changing Window dates
Data lockdown
Changes to eligible services
Voice phase down – subtract 60% from C1 discount rate
C2 budget calculations
Fiber rules
PEPPM bidding
FY 2015
BEAR Deadline
Form 498/BEAR PINs
Form 500 to return funds
FY 2016
Status of PIA Reviews and FCDLs
Form 486 reminder
Purchasing C2 before FCDL
C2 equipment labeling/tracking reminder

3. Funding Year 2017: Get Started…

4. FY 2017 Form 471 Application Window
USAC does not want to have another 2-window application cycle
Seeking to have all applicants use a single Form 471 filing window
Because of the building-block approach of EPC (consortia and libraries are dependent on the school district discount data), schools must have enrollment/NSLP data “locked-in” prior to the Form 471 single filing window opening
If new data isn’t entered, last year’s data will remain
Do Not Enter New Data Now
USAC will instruct applicants when they can update data
There will be a deadline to update data, and filing window will open after that deadline

5. FY 2017 Form 471 Application Window
Much work will be done outside of window:
Contract Records can be entered in EPC now
Existing contract records continue to exist
Discount data will be in EPC prior to window opening
Connectivity survey in EPC can be done now
Only required if information has changed
Copy FRN functionality in 471
Can copy an FRN from FY 2016 and modify
Therefore, window could be shorter than previous years
USAC wants to have FCDLs out by July 1 next year
Window deadline guess?
Plan on end of March deadline
Form 470s being accepted in EPC NOW
Work backwards from last board meeting date
Give yourself plenty of time for procurements/negotiations/approvals

6. FY 2017: What’s NOT Changing
Form 470 and Form 471
May be some minor wording tweeks in 471
Form 471 Category 2 Templates
Enrollment/NSLP Upload Template
Beneficial for large districts
EPC Framework
Not expected to change until FY 2019

7. FY 2017 Eligible Services New ESL contains almost no changes
Tries to clarify whether certain connections between buildings and between schools qualify for C1 or C2
Still being sorted out; will send message to the listserve soon
Voice continues to be phased out
60% less than C1 discount in FY 2017
So 80% applicant would have 20% discount, etc.

8. Voice Phase-Out Schedule
If Your Discount is:
Voice Discount Will Be:
FY 2015
FY 2016
FY 2017
FY 2018
FY 2019
20%
No funding
25% 5%
40%
50%
30%
10%
60%
70%
80%
90%

9. Dark Fiber/Self-Provisioned Fiber
Leased Lit Fiber: Service provider owns and manages the network, and the E-rate applicant pays a recurring fee to have data transported over the network
End-to-End service
Leased Dark Fiber: Applicant leases a portion of a provider-owned and maintained fiber network
Provider maintains fiber
Applicant lights the network
E-rate will pay for network lighting equipment
“Owned” Self-Provisioned Networks: Complete applicant ownership of a fiber network
The applicant hires a vendor to construct the network or a portion of the network
Applicant thereafter owns and maintains the network
E-rate will pay for maintenance and network lighting equipment

10. Special Construction Charges
“Build” Charges
One time charges incurred for installation of new service
Can be for Leased Lit, Leased Dark or Self Provisioned Fiber
Special Construction includes:
Construction of network facilities
Design and engineering
Project management
Can be paid by E-rate in first year
No requirement to amortize E-rate funding over 3 years
Applicants can ask vendors for up to a 4 year payment plan for the non-discounted share of these costs
Provision must be included on the Form 470

11. Dark Fiber/Self-Provisioned Fiber
Self Provision Projects in PA – FY 2016
$2.8 million
3 Districts
$200K equipment/maintenance
Leased Dark Fiber in PA – FY 2016
15 applicants
Several were for existing contracts
$1.7 million

12. Fiber Bidding Requirements
If bidding Self Provision Fiber, must also bid Leased Dark Fiber and Leased Lit Fiber
Must release RFP with Form 470
Include ALL RFP documents
Bidding period must be longer than 28 days – recommended to be 6 weeks
If construction of dark fiber facilities is found to be most cost-effective, this option is new for E-rate funding in FY 2016
Cost effectiveness must be evaluated over the entire life cycle of the facilities and must include all related costs of service and total cost of ownership
START NOW
Please me if interested

13. The Bowels of EPC…

14. How To…. Upload an RFP addendum Find previously submitted form
Submit corrections
Find PIA questions/answers
Update enrollment/NSLP data for each school
Note: Don’t do this yet!!

15. Category 2 Bidding... Let’s Recap

16. Category 2 Bidding Options
Nonpublic schools/libraries: Post Form 470 only
No RFP required
Public schools:
Post Form 470 and RFP (public school entities)
Use PA PEPPM Contract

17. Public Schools C2 Bidding: Option # 1
Post Form 470 and RFP (public school entities)
RFP required if cost of equipment exceeds $19,400 (state law)
Form 470 and RFP bidding must be done concurrently and bidding window required to be open for at least 28 days before bids are due (E-rate rule)
RFP must be published in at least 2 local newspapers of general circulation once/week for 3 consecutive weeks (state law)
Equipment list MUST allow for equivalent manufacturer’s products to be bid (E-rate rule)
“Cisco 48-port PoE Switch or equipment that is equivalent in functionality and quality”
Assuming all RFP requirements have been met, schools must accept the lowest-price bid (state law)
School board must approve contract prior to signing
Contract must be signed before submitting Form 471

18. Public Schools C2 Bidding: Option # 2
Conduct PEPPM Mini-Bid
No Form 470 required (PEPPM filed Form 470 when contracts were being competitively bid)
More appropriate for equipment/installation, rather than cabling project
Sign separate contract with the vendor and use those contract dates – not PEPPM dates
Can be a signed vendor quote with expiration date and any terms
Cannot contact PEPPM bidder ahead of bidding to seek equipment list
If you don’t know exactly what equipment you need, list general equipment needs (wireless controller, WAPs for 35 classrooms, and installation), and then perhaps a site walk-through
Contact several vendors to seek opinions

19. Public Schools C2 Bidding: Option # 2
More on PEPPM Bidding:
Cannot just go to PEPPM list and select vendor and equipment you want/need
A ‘category list’ is posted on the PA E-rate website
“Master Contracts”
Must then request ‘mini-bids’ from all vendors in that category
Can list preferred manufacturer, but must request bids for “equivalent” products
Minimum 2 week bidding period suggested
Then conduct bid evaluation among all product lines that offer the ‘category’ of service, including equivalents
Can consider other factors besides price
EPC Contract Module requires you to list # of bids received

20. Example: PEPPM Mini-Bid Category List
Manufacturer
PEPPM Vendor Name
Wireless Equip.
Cabling/ Connectors
Caching Servers
Firewall Equip.
Switches
Routers
UPS
Racks
Managed Wi-Fi Service
Aerohive Networks  
Aerohive Networks x
Alcatel-Lucent  
Alcatel-Lucent USA, Inc.
Allied Telesis, Inc.  
En-Net Services, LLC
Checkpoint  
ePlus Technology, Inc.
Cisco  

21. Category 2 Bidding Timeline
Post 470/Release RFP/Issue PEPPM Mini-Bid by Dec 1
Bids due Dec 29
(December 15 for mini-bids)
Evaluate bids Dec 30 – Jan 15
February board approvals of contracts
Sign contracts by February 27
Upload contracts to EPC Contract Wizard by March 1
Complete 471 no later than March 15

22. Calculating Remaining C2 Budgets
Multiply each school's current enrollment by $150, then subtract the pre-discount amount of any C2 E-rate funding used FY 2015 or FY 2016
EXAMPLE:
School A had 250 full and part time students in FY 2016.  Their C2 budget was $37,500 ($150 x 250).
School received C2 funding commitments for $25k in 2016 (this is the pre-discount amount, not what was requested from E-rate)
The remaining budget available for next 4 years (FY 2017 – 2020) would be $12,500 ($37,500 - $25,000)
IF….School A's enrollment for FY 2017 increases to 275, they would have an additional $3750 ($150 x additional 25 students) for FY 2017
School A's remaining C2 budget, adjusted for FY 2017 enrollment, would be $16,250 ($12,500 + $3750)
Hint: If enrollment declined for FY 2017, I would use last year’s enrollment data

23. Funding Year 2015: Not Over!

24. Direct BEAR Reimbursement Payments
Beginning July 1, 2016, applicants using the BEAR process submit BEARs directly to USAC without service provider approval
USAC deposits funds directly to applicants’ bank accounts
Do not pass through the service providers
All reimbursements from USAC will be made using electronic funds transfer (EFT)
Most reimbursements happening within 3-4 days
Disbursements made on Mondays and Thursdays
Remittance Contact received and 486 contact receives paper BEAR approval letter
All BEAR applicants must file Form 498 to provide bank account information to USAC
Only complete once
Check 498 approval status at:
Takes a minute for the list to load
Search by your Billed Entity Number
Even if not submitting a BEAR this year, get your 498 filed

25. Problems Getting 498 Approvals
Applicants creating form, but not certifying
How will you know? If your BEN doesn’t show up in the 498 Status Tool
This usually means the person isn’t set up as “school or library official” in EPC and couldn’t certify
Change this permission in EPC and it will allow you to certify form
Applicants submit form, but not receiving the request to upload the cancelled check
After you submit the 498, go directly to the secure site to upload the check:
Applicants getting 498 denials:
Check doesn’t match bank account data on form, or
Bank account and Bank routing numbers are switched
Simply modify your submitted 498 – don’t submit new one
Search for it in EPC under Records
File an Invoice Deadline Extension Request (IDER) NOW
You will be granted an additional 120 days to submit the BEAR
If you have a PIN: Submit IDER request in BEAR Module
Instant approvals!
If you don’t have a PIN: Use ‘Submit a Question’ feature to request extension (not in EPC)

26. PINs Needed to Submit BEARs
All BEARs must be submitted online
Paper BEARs can no longer be submitted
Must be filed in “old” BEAR system:
PIN needed to log-in to Online BEAR
PIN is not your EPC Password
If you had a PIN but can’t find it, call CSB at and they will regenerate it
If you don’t have a PIN, you must complete a simple template and submit to USAC
Template available at:
Submit using ‘Submit a Question’ feature
New and regenerated PINs are taking several weeks to be ed/mailed
If you don’t yet have a PIN, request an IDER!!!

27. FY 2015 BEAR Deadline
October 28, 2016 is the ABSOLUTE deadline to submit a BEAR for FY 2015 recurring services
October 28, 2016 is also the ABSOLUTE deadline to request an extension
No exceptions (ask anyone who missed the deadline last year and appealed to the FCC)
If you don’t yet have your 498 approved… Or
If you don’t yet have a PIN…
Please, file an IDER NOW

28. Unused FY 2015 C2 Funds C2 budgets are based on school enrollments
Funding is “drawn down” from a school’s budget whenever funds are COMMITTED
not when funds are disbursed
Therefore, to regain the unused funds in your C2 budget you must file a Form 500
Paper form (for now)
Type-in version available at:
Must include detailed spreadsheet showing what equipment wasn’t purchased for which school
Functionality not yet available for FY 2016 Form 500s
Will be in EPC in coming months

29. Funding Year 2016: Barely Begun!

30. Status of PA FY 2016 FCDLs Total FRNs FRNs Decided % FRNs Decided
$ Requested
$ Committed
% Committed
Total
4469
2630
58.8%
$81,780,427
$23,552,187
28.7% C1
3403
2143
62.9%
$50,138,668
$15,236,235
30.3% C2
1066
487
45.6%
$31,641,758
$8,315,951
26.2%

31. Status of PA FY 2016 FCDLs Small schools and libraries are fairing ok
But districts and C2 applications are suffering
49% of School District FRNs funded
Only 16% of SD Funding awarded
35% of School District C2 FRNs funded
Why? EPC system

32. Status of PA FY 2016 FCDLs
Most of FY 2016 FRNs should be committed by the end of November(?)
What can you do?
If PIA contacted you in a previous month and you haven’t received an FCDL, back the reviewer and ask if the have any additional questions
Express if it’s urgent you receive the FCDL
Check the new FRN Status Tool:

33. FY 2016 Form 486s
If you have been funded for FY 2016, don’t forget to file your Form 486 to “turn-on funding”
A “486-Due List” was sent to the listserve last week
You must wait until you receive an FCDL to file the 486
Deadline is 120 days after FCDL date
VERY easy form to file in EPC (click, click, click)
Guide at:
If you’re on the “486-Due List” but know you’ve certified your 486, it likely means it’s being held for further review by USAC
Will soon have further information on next steps for these affected applicants

34. Purchasing C2 Equipment Before FCDL
Many of you need the C2 equipment and don’t want to (or can’t) wait for the FCDL
You may purchase equipment now, but remember:
PO should be for the full amount and then YOU submit the BEAR to get reimbursed after FCDL
Applicant assumes the risk
Label all equipment with FY 2016, FRN xxxxxx
Keep detailed asset inventory:
Make & Model
Serial Number (if available)
Physical Location of Equipment (building/room number)
Date Installed
Funding Year 2016 and FRN #
Purchase Order #
Full details at:

35. FY 2016: Lessons Learned Use the narrative boxes
Upload ALL RFP documents
Amendments, FAQs, any supplemental documentation that an applicant shares with vendors
Have EPC account configured correctly
User permissions
Be sure all NIFs are included
Don’t miss BEAR deadline
Upload C2 contracts
Obtain signed contract extensions, if contract permits
Expect to provide invoices for C2 BEARs
Label and track equipment for audits

36. Want E-rate Training? Beginners training: October 31 – IU 21
November 7 – IU 7
November 11 – IU 21
Category 2 Training:
Coming soon

37. Reminders! File FY 2015 BEARs by October 28
Apply for PIN if you don’t have one
Submit Form 498 if filing a BEAR
File IDER now to obtain invoice deadline extension
File FY 2016 Form 486s after FCDL (120 days)
File FY 2017 Form 470s NOW
Review C1 contracts for expiration dates
Determine what schools need C2 equipment
And which procurement option to use
Don’t update enrollment/NSLP in EPC YET

38. Questions?