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E-Rate for CaliforniaE-Rate for California

What’s New?

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AgendaAgenda1. Background of E-Rate2. Technology Plans3. General Program Information4. Competitive Bidding and the Form 4705. Form 4716. CALNET 27. PIA (Program Integrity Assurance)8. Form 486 & Invoicing9. Program Updates & Gotchas10. Audits and Appeals11. USAC Tools – Training Materials, DRT12. California Teleconnect Fund13. Q and A

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1. Background of E-Rate1. Background of E-Rate

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Background of E-RateBackground of E-Rate

• Funded by FCC• Provides discounts between 20% and 90% to

assist most schools and libraries in the United States to obtain affordable telecommunications and Internet access

• Annual budget of $2.25 billion• Annual application process

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Who Administers the E-rate Program?Who Administers the E-rate Program?

• The federal E-rate program is overseen by the Federal Communications Commission (FCC) and is administered by the Schools and Libraries Division (SLD) of the Universal Service Administrative Company (USAC)

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How is USAC related to the FCC?How is USAC related to the FCC?

Comprehensive information about the E-Rate program is available at the SLD website:

http://www.usac.org/sl/

USAC is a not-for-profit corporation appointed by the FCC to act as the administrator of the E-Rate program

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The California The California Department of Education (CDE)Department of Education (CDE)

does notdoes not administer administerthe federal E-Rate program.the federal E-Rate program.

CDE has no statutory authority to administer the federal E-Rate program

CDE only provides general information about the E-Rate program including: training and outreach, reference materials, and other publicly available SLD/USAC resources

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EligibilityEligibility

• Schools – Elementary, Secondary, Charters, Private, Religious, Adult Ed (conditional), Pre-K, Juvenile Justice

• Libraries – public, separate from school libraries• Consortia – any combination of the above

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Funding Commitment ProcessFunding Commitment Process

• E-rate Technology Planning – What are my goals?• Form 470 - Starting the Application Process • Competitive Bidding• Form 471 – Selecting Your Vendors • PIA (Program Integrity Assurance) Review • Funding Commitment• Form 486 Receipt of Services Confirmation• Form 472 – BEAR and Form 474 – SPI – Invoicing

“Getting the Money”

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2. Technology Planning2. Technology Planning

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Technology Plan HelpTechnology Plan Help

• SLD - http://www.usac.org/sl/applicants/step02/• Libraries -

http://www.library.ca.gov/services/libraries/erate.html• CDE - http://www.cde.ca.gov/ls/et/rs/techplan.asp• Recent News Brief from SLD -

http://www.usac.org/sl/tools/news-briefs/preview.aspx?id=116

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Required ElementsRequired ElementsFor E-Rate Plan:1. Goals2. Professional

Development3. Needs Assessment4. Budget5. Evaluation Process

• Tech Plan Helpwww.usac.org/sl/applicants/step02/

For EETT/Federal/State funding:• Executive Summary/Introduction• Stakeholders• Curriculum • Professional Development • Infrastructure• Adult literacy • Research • Funding and Budget• Monitoring and Evaluation• E-Rate supplemental budget

analysis … and also see: www.cde.ca.gov/ls/et/rs/techplan.asp

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Documentation of Tech Plan ApprovalDocumentation of Tech Plan Approval1. E-rate only tech plan:

– You can expect to receive an approval letter from your COE as the USAC-certified technology plan approver. Ask your COE for projected approval date.

2. EETT tech plan: – You can expect to receive an approval message via

email from CDE that confirms your EETT tech plan has been approved.

– In general, CDE will make a determination regarding the approval of your EETT tech plan within 60 to 90 days of due date for review cycle.

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Technology Plan RemindersTechnology Plan Reminders1. Must cover entire funding year

2. Must be “written” prior to posting Form 470

3. Must include all services that E-Rate discount is being requested on

4. Must be approved by a “Certified Technology Plan Approver”

5. Technology Plan approver for 486 purposes is:• If EETT & E-rate, the approver is CDE• If only E-rate, the approver is COE or State Library• Private Schools see USAC tech plan approver list

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EETT Tech PlanEETT Tech Plan

• 3 time periods (cycles) for EETT Technology Plan Approval– Oct 5, 2007 Cycle A (Best practice)– Dec 7, 2007 Cycle B (May work)– April 8, 2008 Cycle C (too late for E-rate)

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E-Rate and Tech PlanE-Rate and Tech Plan

• Include supplemental budget analysis if using EETT plan as your approved E-Rate tech plan

• Know what you are applying for– Based on needs of District that are supported

by the tech plan.

• Note: Ensure all E-rate requested services/products are included in your technology plan

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3. General Program Information3. General Program Information

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Discount CalculationsDiscount Calculations

• Calculated based on two factors1. Percentage of students eligible for National

School Lunch Program http://www.usac.org/sl/applicants/step05/discount-matrix.aspx

2. Urban or Rural status of Entity http://www.usac.org/sl/applicants/step05/urban-rural/

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Discount Matrix

% Eligible Students Urban Rural

Less than 1% 20% 25%

1% to 19% 40% 50%

20% to 34% 50% 60%

35% to 49% 60% 70%

50% to 74% 80% 80%

75% to 100% 90% 90%

http://www.usac.org/sl/applicants/step05/discount-matrix.aspx

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Discount CalculationsDiscount Calculations

• Instructional Facilities will have a discount that comes straight from Matrix

• Non-Instructional Facilities will use District Weighted Average (District Office, Maintenance, Bus Barn, Gardener’s Shed, etc)

–For use on Block 4 of the Form 471

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Free and Reduced Lunch InformationFree and Reduced Lunch Information(NSLP)(NSLP)

• Reported to CDE in October of each year. (posted in April/May)

• Where the numbers come from– Claim Reimbursement from Food Services Manager

for month of October– Program Integrity Assurance (PIA) looks at Dataquest

information that is posted in April/May• Dataquest Link: http://dq.cde.ca.gov/dataquest/

– Keep all Free and Reduced lunch information in your records for future USAC Inquiries

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County District Code School Code Sub Code

1. Name Of Participant

Address

City

Zip Code

ZIP CODE

2. Month/Year STATE USE ONLY

/

3. a. Original Claim

b. Adjusted Claim

4 . A D JU S T M E N T C O D E 5. REASON CODE 6. Number Of Children Approved To Receive Free Meals Or Milk

7. Number Of Children Approved To Receive Reduced Price Meals

8. Number Of ½ Pints Of Fluid Milk Purchased This Month

9. Total Cost Of Fluid Milk Purchased This Month

PART I – MONTHLY REPORT MEAL SUPPLEMENT ELIGIBILITY DATA

Report items 12 through 16a monthly.

10. Number Of Children Approved For Free Meal Supplements

11. Number Of Children Approved For Reduced Price Meal Supplements

A. Authorized Sites Participating

B. Enrollment C. Number Of Operating Days

D. Paid Meals Or Special Milk

Served

E. Free Meals Or Special Milk Served

F. Reduced Price Meals Served

G. Total Meals Or Special Milk Served

12. National School Lunch (Program A)

13. Basic School Breakfast (Program B)

14. Especially Needy School Breakfast (Program C)

15. Special Milk (Program D) 16. Meal Supplements (Snacks) (Program E)

INCLUDE AREA ELIGIBLE COUNTS 16a. Area Eligible Meal Supplements (For Information Only)

PART II – REVENUE Report items 17 through 26 annually. Participants in School Lunch, Basic Breakfast, Especially Needy Breakfast, and/or Meal Supplement Programs must report annual revenue and costs on the June claim. All monetary figures entered on this claim must be rounded to the nearest whole dollar. Please refer to the claim instruction booklet for more detailed information. Yearly cost and revenue totals for the Summer Seamless Feeding Waiver sites must be included in the totals.

H. Daily Sales (Actual Receipts)

I. Federal Reimbursement

J. State Reimbursement

K. Needy Meal Tax/ Rev. Add-On

L. Other M. Total (Columns H Through L)

17. National School Lunch (Program A)

18. Basic School Breakfast (Program B) 19. Especially Needy School Breakfast (Program C) 20. Meal Supplements (Program E) 21. Miscellaneous Food Service 22. TOTAL (Lines 17 through 21)

PART III – COST INCURRED 23. Food

24. Labor

25. Other

26. Total Costs

Name Of Person Preparing Claim

Telephone Number Ext # ( )

E-mail Address

CERTIFICATION: I certify to the best of my knowledge this claim is true and correct in all aspects, that the records are available to support this claim, that this claim is in accordance with the terms of existing School Nutrition Program agreement(s), and that I have not received payment for this claim.

Original Signature Of Authorized Official Title Of Authorized Official

Date

All claims must be submitted with a copy.

Claim for Reimbursement School Nutrition Programs CNFS 71-5 (06/05) Return To: California Department Of Education Child Nutrition Fiscal Services 1430 N Street, Suite 2213 Sacramento, Ca 95814

Note: Please submit by the claim submission target date of the 10th of the month following the month claimed. All claims must be postmarked by the 20th day of the second month following the month claimed to be considered for payment.

California Department Of Education Fiscal And Administrative Services Division

If label is not available, type or print agreement number (county, district, school, and sub codes), name, and address in the space provided.

STATE USE ONLY

Refer to the claim instruction booklet for detailed instructions.

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Eligible Services - CategoriesEligible Services - CategoriesFour categories of service

– Priority 1 (funded first)

1. Telecommunications Services

2. Internet Access– Priority 2 (starts with neediest

applicants)

3. Internal Connections

4. Basic Maintenance of Internal Connections

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Eligible Services ListEligible Services List• Posted on USAC website

(http://www.usac.org/sl/tools/eligible-services-list.aspx)

• Provides guidance to applicants and service providers on the eligibility of products and services under E-rate

• Organized by category of service• Revised and updated each year in advance of

the application window

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‘‘08 08 ProposedProposed ESL Changes ESL Changes

• Centrex as basic phone service• How distance learning and video conferencing

may be eligible as Internet Access• A definition of eligible web hosting• “Failover” products or services added to the

Other Miscellaneous Ineligible Components section as ineligible

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Telecommunications ServiceTelecommunications Service

• The transmission, between or among points specified by the user, of information of the user’s choosing, without change in the form or content of the information as sent and received.– Examples: ATM, T-1, Centrex, Local and Long

Distance Telephone Service, Cellular Service and Paging Service

– Rule of thumb:• USAC funds the various types of services• USAC does NOT fund end-user equipment - e.g.,

telephone sets

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Internet AccessInternet Access

• Basic conduit access to the Internet

• Examples: T-1, DSL, DS-3, and Wireless service– Rule of thumb:

• USAC funds the conduit to the Internet • USAC does NOT fund content

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Internal ConnectionsInternal Connections• Components at the applicant site that are necessary to

transport information to the school or library.– Examples: Access Points, Routers, Switches, Hubs,

Wiring, PBXs and Codecs– Rule of thumb:

• USAC funds items that get the information to the classroom or room in the library

• USAC does NOT fund end-user equipment such as telephones (including IP telephones) or laptops

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Non-Instructional Facilities (NIFs)Non-Instructional Facilities (NIFs)

• Are eligible for Priority 1 services, telecommunications and internet access

• Are NOT eligible for Priority 2 services, internal connections, UNLESS they are essential for the effective transport of information to an instructional building of a school or to a non-administrative building of a library

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2 in 5 Rule2 in 5 Rule

• Applies to Internal Connections funding requests only– Is entity specific– Implemented in Funding Year 2005

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Basic Maintenance of ICBasic Maintenance of IC

• Ensures the necessary and continued operation of eligible internal connection components at eligible locations.– Ex: Repair and upkeep of eligible hardware,

wire and cable maintenance.– Rule of thumb:

• USAC funds basic technical support of eligible hardware. (8 X 5, M-F)

• USAC does NOT fund end-user support or help desk

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Basic Maintenance of Internal Basic Maintenance of Internal Connections (BMIC)Connections (BMIC)

• Not subject to 2 in 5 rule• Caution:

– If a contract goes beyond what the FCC defines as basic maintenance, the entire contract will be denied

– Eligible as recurring monthly services, ie – SmartNet– Include the components that the BMIC Contract will

cover on your Item 21 attachment– BMIC can not be 24/7 coverage

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Educational PurposeEducational Purpose• Activities that occur on library or school property are presumed to be integral, immediate and proximate to the education of students or the provision of library services to library patrons and therefore qualify as educational purposes.

• Customary work activities of employees of a school or library are presumed to fall under the definition of education purposes.

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Manage the Cycle - TeamworkManage the Cycle - Teamwork

• Authorized signer ( Legally Authorized Signer )• Designated contact person (Will receive E-rate calls)• Organize paper trail

– Written Technology Plan– Assessment of existing Contracts, with signatures and

dates (expiring contracts, etc)– Prior years submitted applications– Correspondence from SLD, Service Providers, etc.– All bids received and evaluation documents– Calendar of Deadlines

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4. Competitive Bidding and the 4. Competitive Bidding and the Form 470Form 470

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Preparation for Posting of Form 470Preparation for Posting of Form 470

• Document ALL of your eligible existing services, contracts and their expiration dates

• Expected growth – (P1 and P2)• National School Lunch Program (NSLP) data for

discount percentage• Identify bidding restrictions (i.e. CMAS,

geographic restrictions, etc)

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File Online!File Online!• Once the Form 470 is posted you must

1.Certify online using a PIN, OR

2.Print the certification page, sign and mail

• Mail this form immediately

• View form online to get the Allowable Contract Date

– Also provided in the Receipt Acknowledgement Letter

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Special Notes for Form 470 ProcessingSpecial Notes for Form 470 Processing

• When does the 28 day bidding period begin?

1. The day that ALL material for public viewing (i.e. RFP) is made available

AND

2. The day the Form 470 is posted online

– If RFP is released AFTER the posting of the Form 470 the 28 day bidding period begins with the day the RFP was released

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Form 470 RemindersForm 470 Reminders• Allow adequate time

– Competitive Bidding – minimum of 28 days– Local Procurement– Board Approval– Signing Contracts

• CMAS - Letter of Intent (LOI)• CALNET 2 – 3 signatures needed

• Understand– Your existing services– Products and services you will need in the coming year

• Identify E-rate category for each product and service, P1 or P2

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Receipt Notification Letter (RNL)Receipt Notification Letter (RNL)

• GOLDEN Opportunity to review application and correct minor errors

• http://www.universalservice.org/_res/documents/sl/pdf/sampleletters/470RNL.acc.pdf

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Competitive BiddingCompetitive Bidding

• Fair and open competitive bidding process• Avoid conflicts of interests

–Independent Consultant vs. Service Provider

–Applicant vs. Service Provider• Follow the rules – FCC, State and local• Read the contract fine print• Document the process!!!

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Competitive Bidding and Program Competitive Bidding and Program ComplianceCompliance

• http://www.sl.universalservice.org/reference/BestPractices.asp

–Keep copies of all bids, winning and losing–Documentation on the award process and

the rationale for the bid award–Complete copies of all related contracts

• Best Practice: use standard evaluation process for all bids. Keep evaluation documentation for each bid.

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Program ComplianceProgram Compliance

• If you get NO bids – document this for audit purposes

–Same is true if you get only ONE bid• You may need to be proactive in soliciting

for bids

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Evaluation CriteriaEvaluation Criteria

Price must be the most heavily weighted factor• Do not include Intent to Award or Evaluation

Criteria in CMAS Request for Proposal• Can choose most responsive and responsible

response, but must DOCUMENT the choice and process

• Have District official SIGN and DATE the completed rubric as acknowledgement

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Vendor A Vendor B

      Raw Weighted Raw Weighted

Selection Criteria   Weight* (%)   Score** Score***   Score Score  

             

Prices/Charges 40% 1 0.4 2 0.8

Understanding of Needs 15% 2 0.3 1 0.15

Prior E-Rate Experience 10% 2 0.2 1 0.1

Prior District/Service Prov experience

10% 2 0.2 1 0.1

Completeness of Response 15% 2 0.3 1 0.15

References 10% 2 0.2 1 0.1

Overall Ranking 100% 1.6 1.4

SAMPLE SAMPLE SAMPLE SAMPLE SAMPLE

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Form 470 – Multi Year ContractsForm 470 – Multi Year Contracts• You may not need to file Form 470 every year if:

–The language on the Form 470/RFP covered all services on the contract AND

–The applicant indicated on the Form 470 that a contract was being sought AND

–The applicant indicated on the Form 470/RFP that a multi year contract (perhaps w/voluntary extensions)

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ContractsContracts

• Must be signed AFTER 28 days have elapsed but BEFORE you file your Form 471

• Must be signed and dated by BOTH parties – applicant and service provider– CALNET 2 ATO must have three signatures

to be binding contract• Be prepared to explain documents that don’t

look like a traditional contract.

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5. Form 4715. Form 471

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Form 471 – Your application for Form 471 – Your application for FundsFunds

• Must be filed every funding year:• This is your actual funding request

–Specific information on services, service providers selected, and signed contracts–Services Selected as result of your form 470–Discount calculation information–Contains certifications of compliance–Includes one or more funding requests

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Form 471 DeadlineForm 471 Deadline• Best Practice:

–File Online–Submit BEFORE close of window–Certify BEFORE close of window

•Online if using PIN•By trackable mail if you do not use your PIN

** Bishop Perry Order – 15 day grace period for certifications made after the deadline http://www.usac.org/_res/documents/sl/pdf/List-of-Correctable-Ministerial-and-Clerical-Errors.pdf

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Form 471 Do’s and Don’tsForm 471 Do’s and Don’ts

• WAIT AT LEAST 29 DAYS BEFORE:–Selecting a service provider–Signing a contract (see slides)–Submitting the Form 471–Signing and dating the Form 471 –MUST OCCUR IN THIS ORDER

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Item 21 AttachmentsItem 21 Attachments

• Used to prove your request

– Substantiating documentation that proves the pre-discount cost of services or products

– Should be clear and concise– The item 21 total amount must match what is

on block 5

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Item 21 AttachmentItem 21 Attachment• Samples available on USAC website

–http://www.sl.universalservice.org/reference/Form471item21Attachments.asp

• Remove ineligible costs – be careful–30% rule – if 30% or more of the dollar

value is for ineligible products and services, the entire request will be denied unless- You can rectify this during your PIA process: Remove it-Split it up- separate FRN)

• Work with service provider(s) to create your Item 21 attachment(s)

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Recurring vs. Non Recurring Recurring vs. Non Recurring CostsCosts

• Enter recurring and non-recurring costs carefully in the cost summary of each Funding Request

– Services for recurring costs must ALWAYS be received by June 30

– Services for non-recurring costs must be received by September 30 following the Funding year (deadline can be extended for certain circumstances)

•On the Form 471 contract of Sept 30th should be considered

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Form 471 RemindersForm 471 Reminders

• Mixing Priority 1 and Priority 2 services on the same Form 471 will delay your funding

• Make sure you cite the correct establishing Form 470 Application Number on each Block 5

• Make sure you choose the correct category of service

• Check your math, check it again• Review your application, Validate the information

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RAL ProcessRAL Process

Applicants should carefully review the Form 471 RAL and must notify USAC of any data entry errors within three weeks of the postmark date of the RAL. http://www.usac.org/_res/documents/sl/pdf/sampleletters/471RAL.pdf

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6. CALNET 26. CALNET 2

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CALNET 2 - What is it and how does it fit CALNET 2 - What is it and how does it fit with E-rate?with E-rate?

• Contract (s) held and administered by State– CALNET 2 Contract effective date: 1/30/2007– CALNET 2 contract expiration date: 1/29/2012

• Master contract purchasing vehicle for all telecom services

• Available to all “Public Sector” Customers• Competitively bid contract - Result of an 18 month bid

process (already bid)• Full range of products and services• Service Level Agreements

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CALNET 2 MSAsCALNET 2 MSAs• All four MSAs were signed on January 30, 2007

• Each MSA is for a 5-Year Term (to January 29, 2012) with the Potential for 2 One-Year Extensions at the State’s Option (2014)

• Each MSA is a separate contract called CALNET 2, along with their MSA number. They are also collectively called CALNET 2.

• Until CALNET I expires you will see “I” and “II” or “1” and “2” after the word CALNET to try to avoid “Contract Confusion”

• In some cases you will see just “CALNET” - that will mean both CALNET I and CALNET II as applicable; as CALNET I phases out, it will mean CALNET 2

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CALNET 2 MSAsCALNET 2 MSAsMSA 1 – Voice, Data & Video Services – AT&T

MSA 2 - Long Distance and Network Based Services – AT&T

MSA 3 – Internet Protocol Voice, Data, and Video Services – Verizon Business (VzB)

MSA 4 – Broadband Fixed Wireless Access Data Services – VzB

10% Lower Pricing Overall From CALNET I

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CALNET 2 MSAsCALNET 2 MSAs

Transition of Existing CALNET Services to MSAs I & 2 – No Cost Transition Out Will Eventually Impact Your Agency; CALNET I Expires by 12/03/08 based on Individual ATO Agreements

CALNET 2 – Each ATO is for a Two Year Term – When Term is Up, Can Use the MSAs Without another ATO For Those Services on the ATO; Adding Services Requires New ATO, New term

New Pricing Starts Within 120 Days of Each Approved CALNET 2 ATO

http://www.dts.ca.gov/stnd/calnet-transition.asp

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CALNET 1 to CALNET 2CALNET 1 to CALNET 2• State Posted Form 470 267290000544188 on Sept 15, 2005

– Includes Telecommunications Services– Did NOT Include ISP – Limited Internal Connections (extended demarc)– CALNET 2 Contract was signed on January 30th, 2007 (State

Master Contract)

– CALNET 2: http://www.dts.ca.gov/stnd/calnet-II/calnetII.asp – RFP: http://www.dts.ca.gov/stnd/calnet-II/revised-calnetII-rfp.asp

• May wish to post your own form 470 for all services you will apply for (See additional hand-outs)

• Do your own analysis to determine best choice for your agency• Three Signatures are required on a CALNET 2 contract

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CALNET 2 MSAs 1 and 2 includesCALNET 2 MSAs 1 and 2 includesMSA 1• High Speed Optical Services

(Enhancements and Additional Services) – ATM– Opt-e-MAN – CSME

• Enhanced Data Services– MPLS (AVPN)– Remote VPN (Anira)– Interlata Data Services

• Internet Services• Unified Messaging• Enhanced Centrex Features

– VoIP• Business Centrex lines • Voice mail • Local trunks • Frame relay

MSA 2• Enhanced Toll Free• Long Distance Voice• Audio Conferencing• Net Conferencing• Complete Suite of Call

Center Capabilities– ACD– IVR

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IP Voice, Data, and Video Services (MSAs 3 & 4)IP Voice, Data, and Video Services (MSAs 3 & 4)Internet Protocol (IP) based solutions to provide voice, video, and data servicesInternet Protocol (IP) based solutions to provide voice, video, and data services

• Voice Over IP (VOIP) Services

• Converged Services – VOIP• Converged Services - IP

Transport• Converged Services -

Required Premise Equipment

• IP Contact Center Services• Other IP Services• Wiring and Support Services

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SLD Guidance for E-rate Yr 11SLD Guidance for E-rate Yr 11

• See Page 5 of SLD Decision Grid for SLD guidance (handout and next slide)

• Clients either: – post own Form 470 OR – use State’s Form 470 #267290000544188,

posted on 9/15/2005.

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SLD Decision GridSLD Decision Grid

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How to decide if schools/libraries should post their How to decide if schools/libraries should post their own Form 470?own Form 470?

1. Are the services you are seeking included in State’s RFP?

2. Are services you are seeking included in State’s Form 470? A. Telecommunications services (Priority 1 services)B. Limitations to State’s Form 470:

• Form 470 did not include Internet Access• Form 470 included Internal Connections defined as:

Service or Function: Extended D-Marc • Form 470 did NOT include Basic Maintenance on Internal

Connections (Priority 2 services)• You can do a specific form 470 if the service you need is not

covered by the state form 470 (see the limitations described above as examples)

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Moving from CALNET to CALNET 2Moving from CALNET to CALNET 2“Steps in Ordering”“Steps in Ordering”

Work with your Account team to sign ATO & create product list attachment

• To be legal binding contract, CALNET 2 contract requires 3 signatures: customer + AT&T + State – ATO – Attachment to ATO (product list attachment

for svcs to be covered by ATO) has to be initialed by customer

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CALNET 2 – Multiple SPINSCALNET 2 – Multiple SPINS

CALNET 2 awarded to two service providers

•Each Service Provider may have multiple SPINs

•Verify SPIN with service provider BEFORE filing the Form 471

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CONTACTSCONTACTS

• CALNET Transition Questions and Requests for Information – Phone: (916) 657-9150– Email: stndhelpme@dts.ca.gov

• CALNET Transition Homepage– URL: www.dts.ca.gov/stnd/calnet-transition

• Statewide Telecommunications and Network Division Homepage – URL: www.dts.ca.gov/stnd

• Department of Technology Services Homepage – URL: www.dts.ca.gov

DTS-STND and Contractor’s CALNET Homepages, etc. www.calnet.ca.gov

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CALNET 2 Contract ResourcesCALNET 2 Contract ResourcesAT&TAT&T

www.CALNETII-Info.com• Customer Sales & Support Center:• 877-972-6279

• CALNET Billing:• 877-9-CALNET, 877-922-5638

• Account Team:– Contact your account team– Bev Agron, E-rate Specialist (925) 824-0615

• calnet.ca.gov (select AT&T logo)

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CALNET 2 Contract ResourcesCALNET 2 Contract ResourcesVerizon BusinessVerizon Business

• Verizon Business– 800-477-0221– http://calnet2.verizonbusiness.com– http://CALNET.ca.gov (click on Verizon link)

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7. Program Integrity Assurance7. Program Integrity Assurance

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Program Integrity Assurance (PIA)Program Integrity Assurance (PIA)

• Applications are reviewed for compliance with program rules concerning areas such as:

– Properly executed contracts– Discount calculation– Establishing Form 470– Eligibility of services being requested– Eligibility of entities requesting discounted

services– Proper completion of all of blocks/item 21

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Be ResponsiveBe Responsive• Respond promptly, be sure to answer questions in

their entirety• Document communication with PIA, send email to

PIA as a confirmation of your phone conversations• Ask for more time if you need it

– Be advised that if you ask for more time the Reviewer will move on to another application

• Don’t assume that Reviewer has all of the information you sent in as part of your Item 21 attachment.

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Item 21 and PIAItem 21 and PIA

• Opportunity to correct – new to Funding Year 2007– Validate the reviewer’s findings– Provide different cost allocation based on

“tangible criteria”– Question reviewer’s eligibility assessment of

product – 3rd party supporting documentation required

– Split product/amount to different FRN

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What Happens After PIA ReviewWhat Happens After PIA Review

• A Decision – FCDL (Funding Commitment Decision Letter)

– Funded– Not Funded– As Yet Unfunded (Priority 2 requests)– Cancelled

• IMPORTANT – Check all entries in the FCDL carefully to make sure there are not data entry errors.

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Funding Commitment Decision LetterFunding Commitment Decision Letter

• Otherwise known as FCDL

• Should be your “trigger” to file subsequent forms

• Starts deadline clock for appeal on denial(s)

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7. Form 486 & Invoicing7. Form 486 & Invoicing

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Purpose of 486Purpose of 486

• Notifies USAC that services have started or are scheduled to start and invoices can be paid

• Certifies that Tech Plan is approved and meets program requirements

• Certifies the status of Children’s Internet Protection Act (CIPA) compliancy

• Do NOT miss the 486 deadline for your district– http://www.universalservice.org/sl/applicants/step10/form4

86-filing-information.aspx

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When To FileWhen To File• Filed AFTER receipt of FCDL.

–Form 486 must be filed online or postmarked no later than

• 120 days after the Service Start Date OR

• 120 days after the date of the FCDL–Whichever is later

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What is the deadline?What is the deadline?• Filed AFTER receipt of FCDL

– Form 486 must be filed online or postmarked no later than

• 120 days after the Service Start Date OR• 120 days after the date of the FCDL

– Whichever is later– Grace period from USAC – letter giving

additional 20 days to file 486 – (Alaska Gateway order)

• Take this letter seriously

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Form 486 Notification Letter (486NL)Form 486 Notification Letter (486NL)

• Letter received after filing of Form 486– Verify that ALL FRNs are on letter– Verify service start dates for each FRN

• USAC is now ready to begin receiving invoices for payment on these FRNs

– Form 472 – filed by Applicant OR– Form 474 – filed by Service Provider

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Receipt of FundsReceipt of Funds• One of two ways:

– Applicant pays entire bill up-front and gets reimbursed

• Form 472, or BEAR – filed by Applicant– Service Provider applies discounts to bills

and applies to USAC for reimbursement• Form 474, or SPI – filed by Service

Provider

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Special Note on Form 472Special Note on Form 472• Note – Form 472 cannot be filed if Applicant is

also receiving the California Teleconnect Fund discount.

• Resolution T-16763, effective May 27, 2004• Bear is longer a valid method for CTF eligible

services• Applies only to Telecommunications

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Important RemindersImportant Reminders•Print and retain copies of everything

•Keep E-Rate files organized

•Create a timeline of E-Rate deadlines

•Share this information with others at your site

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8. Program Updates & Gotchas8. Program Updates & Gotchas

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FormsForms

• Form 470– Specify only the eligible services on which

you are seeking discounts– Can combine all services that cover Priorities

1 and 2 on the same Form 470• Form 471

– File separate forms for Priorities 1 and 2

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California Pre-K and Adult EdCalifornia Pre-K and Adult Ed

These student populations MAY BE eligible for E-Rate discount in California

Obtain entity numbers and establish poverty level– May use alternative discount method

Treat same as traditional classrooms Be sure to add their plans to your District

technology plan to ensure compliance

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Non-Instructional FacilitiesNon-Instructional Facilities Internal Connections GOTCHA Internal Connections GOTCHA

Educational Purposes – Priority 2

– Priority 2 services to Non Instructional Facilities (NIFs) are NOT eligible unless those internal connections are essential for the effective transport of information to an instructional building of a school or to a non-administrative building of a library.

– Be careful when applying not to violate 30% rule

http://www.usac.org/sl/applicants/step05/non-instructional-facilities.aspx

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2 in 5 Rule for IC2 in 5 Rule for IC

Determined on an individual entity basis or shared worksheet (bundle)

2007 is the third year for the rule (if applicant applied in 2005) All entities on a Block 4 worksheet that utilize approved

funding for IC, are counted as taking a year Must file Form 500 to cancel FRN if approved and not utilized Establish a matrix for tracking the UTILIZATION of funds for

approved goods or services If you receive IC (Internal Connection) funding in 2005 and

2006, you are not eligible again until 2010

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Opportunities to ensure a successful Opportunities to ensure a successful ApplicationApplication

• Bishop – Perry– Only certain errors can be corrected– http://www.usac.org/_res/documents/sl/pdf/List-of-Correctable-

Ministerial-and-Clerical-Errors.pdf

– 15 day window to respond– Can accept corrections that result in an

INCREASE in discount calc or overall request

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Alaska – Gateway (DA 06-1871)Alaska – Gateway (DA 06-1871)

• Addresses the Form 486 deadline issue• Allows for ‘after the fact’ certification of Form 486

– Similar to Bishop Perry certification corrections

• All other conditions MUST be met– Tech Plan– Start Date

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October Important DeadlinesOctober Important Deadlines

• Complete your BEAR for 06-07 prior to Oct 28th, 2007• Pay attention to 486 deadlines, Due 120 days after

FCDL (Note: this is due Oct 28th if you received your FCDL for 07-08 on or Prior to July 1st)

• Have your tech plan written PRIOR to doing your form 470 for 08-09 if it expires June 30th 2008 or sooner

• File your form 470 for 08-09 NOW!

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10. Audits10. Audits

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How To Prepare For The AuditHow To Prepare For The Audit

Follow All E-rate Rules

Document, Document, Document!– Plan ahead for an audit by documenting every

step of the process USAC Compliance Documentation Checklist for

audits– http://www.usac.org/sl/about/audits/documentation-

checklist.aspx– http://www.usac.org/sl/about/training-presentations/

training-2007/fall/2007-fall-training-presentation.aspx (divider labels)

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Prepare for the AuditPrepare for the AuditTechnology Plan DocumentationTechnology Plan Documentation

Copy of Technology Plan that covers entire year being audited

Proof of approval of Technology Plan Supplemental Budget analysis (if using EETT

Plan)• Summary of the technology environment and a

high-level network diagram

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Preparing For The AuditPreparing For The AuditBidding DocumentationBidding Documentation

Copy of State and Local procurement policies

Form 470 and any RFPs used Copy of all bids received (winning and

losing) Bid evaluations Notice of Award to winning vendor

–Copy of any change orders

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Preparing For The AuditPreparing For The AuditInvoicing DocumentationInvoicing Documentation

Proof of payment to service providersCopies of warrants and cancelled checks

Copies of BEAR Forms and supporting service provider invoices (if applicable)

Reconciliation by FRN of service provider invoices to BEARs submitted to SLD

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Preparing For The AuditPreparing For The AuditOther DocumentationOther Documentation

Eligible Services List for year being audited Reports from any other audits conducted that

relate to either E-rate program or the NSLP Financial statements and annual budgets Supporting worksheets for the discount calculation

(see notes)

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Preparing For The AuditPreparing For The AuditOther DocumentationOther Documentation

SPIN change requests including copy of notice to original service provider

ALL communication regarding E-Rate–Service Providers–SLD/USAC

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Preparing For The AuditPreparing For The AuditCIPA DocumentationCIPA Documentation

Internet safety policy–Local governing board adoption of the

Internet safety policy The date and a copy of the minutes of

the public hearing regarding the Internet safety policy [Local Board adopted policy]

Copies of Forms 479 and/or Forms 486, if applicable

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Preparing For The AuditPreparing For The AuditServicesServices

• Documentation– Other services necessary to make effective use

of E-rate discounts, such as• Training• End user equipment

– Equipment purchased using E-Rate• Vendor invoice• SLD Invoice• Serial Number• Physical location

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Preparing For The AuditPreparing For The AuditThe E-Rate TeamThe E-Rate Team

Description of the E-rate team, their roles and responsibilities

–staff–vendors–consultants–For consortia, letters of agency

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Who Should Be AvailableWho Should Be Available

Person who – filed the E-rate forms–managed the bidding and award process–reviewed and approved invoices–prepared E-rate invoices– is responsible for budget (CBO)

–is knowledgeable about the network and the location of equipment

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AppealsAppeals

• Submitted to USAC if you feel program rules were not upheld by the denial of funds

• Submitted to FCC if you are questioning the existing program rules

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USAC Appeals –USAC Appeals –Approved for Limited CircumstancesApproved for Limited Circumstances

• When the appeal makes it clear that USAC erred in its initial review

• When the applicant provides USAC with information it did not provide when the original request was made

• When USAC obtains policy clarification or new policies that impact the original decision

• http://www.usac.org/sl/about/appeals/appeals-guidelines.aspx

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11. Tools – Data Retrieval Tool and Other11. Tools – Data Retrieval Tool and Other

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Data Retrieval ToolData Retrieval Tool• Comprehensive data regarding status of applications, past and

present– Search by Funding Year, Entity number, State, Type of Service,

etc– Provides deadline information for forms– Columns to look at on the DRT for deadline information

• B: 471 Status• E: 470 Status• P: Commitment Status (If funded then look at R to see if

486 has been filed)• R: 486 SSD (If blank, no 486 on file)• T: FCDL date (this date + 120 calculates the deadline for the

Form 486)• AX: BEAR or SPI

– www.usac.org/sl

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View Prior Years’ ApplicationsView Prior Years’ Applications

• www.usac.org/sl– Apply Online

• Form 470 – Search Posted• Form 471 –

–Application Status (if you don’t know the application number)

–Display (must have application number)

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12. California Teleconnect Fund12. California Teleconnect Fund

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WhatWhat currently are CTF-eligible services? currently are CTF-eligible services?

• Measured business line or its functional equivalent• Switched 56 or its functional equivalent• Integrated Services Digital Network (ISDN) or its functional equivalent• T-1 line• DSL - even though this is a CTF-eligible service, the CPUC cannot

mandate carriers to offer the discount because the State is preempted from regulating broadband internet services, pursuant to FCC 05-150, released on 8/5/05.

• OC 3 – OC 192 (fiber transfer that has a bandwidth of up to 1 Gbps)• Functional equivalents vary between service providers

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SB 1102 – PU Code Section 884.5 (Statewide Average is 69% and SB 1102 – PU Code Section 884.5 (Statewide Average is 69% and 68% for FY 06-07 and FY 07-08, respectively.)68% for FY 06-07 and FY 07-08, respectively.)

E-rate Discount Application - Five Categories:1) CTF participant with pending E-rate application – apply the statewide average E-rate discount

before applying the CTF discount. The E-rate and CTF discounts will be trued up to the effective date of the E-rate.

2) CTF participant that has not filed for E-rate – apply the current statewide average discount before applying the CTF discount (69% for FY 06-07 and 68% for FY 07-08).

3) CTF participant that applied for E-rate discount, but denied – 0% must be shown on the funding commitment letter. Apply the 50% CTF discount to CTF-eligible services.

4) CTF participant that is a necessary small school as defined in Section 42283 of the Education Code – apply the 50% discount to CTF-eligible services unless the customer presents the actual E-rate discount. In that case, apply the E-rate discount before applying the CTF discount.

5) CTF Participant that has been approved for E-rate for the entire fiscal year, but the dollar amount granted is not sufficient to cover all the CTF eligible services for the entire fiscal period. Apply the actual E-rate discount before applying the CTF discount.

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CTF Application ProcessCTF Application Process

• CTF Application and guidelines can be downloaded from the CPUC website at: http://www.cpuc.ca.gov/static/telco/public+programs/ctf_faq.htm__

Steps:1. Applicant completes and mails the application to the CPUC.2. TD reviews the application.3. TD sends the approval letter to the applicant.4. Applicant notifies the carrier within 30 days of the approval letter. 5. Customer informs carrier their approved application number.5. Carrier sends the applicant the discounted application form.6. Customer completes and mails the discounted application service form to the carrier.7. Carrier reviews the form and it may take at least 3-4 months for

the customer to see the credit on their bill.

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Where to file the application?Where to file the application?

California Public Utilities Commission Communications Division – CTF Program505 Van Ness AvenueSan Francisco, CA 94102

For further questions or information, please contact:Fe N. Lazaro at fnl@cpuc.ca.gov

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13. Q and A13. Q and A

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Contact InformationContact Information• State Library: Rushton Brandis, (916) 653-5471,

rbrandis@Library.ca.gov• CDE: Patrick McMenamin, (916) 322-5894,

pmcmenam@cde.ca.gov• CDE: Tech Plans: Larry Hiuga, (916) 327-4629,

lhiuga@cde.ca.gov• Department of General Services (CMAS):

Mary Gilbert, mary.gilbert@dgs.ca.gov(916) 375-4377

• K-12 HSN/Butte COE: Russ Selken, 530-532-5678 rselken@bcoe.org