ERate for California

1
E-Rate for California

2
Agenda

• General Program Information
• Technology Plans
• Competitive Bidding and the Form 470
• Form 471
• PIA (Program Integrity Assurance)
• Form 486 Invoicing
• Program Updates Gotchas
• Audits, Appeals, Cost Effectiveness and Other
  Reviews
• USAC Tools Training Materials, DRT
• California Teleconnect Fund
• Q and A
• Afternoon
• Form 471 Tour
• Tour of USAC Web Site
• Calnet 2

3
The California Department of Education
(CDE)does not administerthe 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

4
1. General Program Information
5
Discount Calculations

• Calculated based on two factors
• Percentage of students eligible for National
  School Lunch Program http//www.usac.org/sl/applic
  ants/step05/discount-matrix.aspx
• Urban or Rural status of Entity
  http//www.usac.org/sl/applicants/step05/urban-rur
  al/

6
http//www.usac.org/sl/applicants/step05/discount-
matrix.aspx
7
Discount Calculationsand Entities

• Instructional Facilities will have a discount
  that comes straight from Matrix
• Non-Instructional Facilities will use District
  Weighted Average (District Office, Maintenance,
  Bus Barn, Gardeners Shed, etc)
• For use on Block 4 of the Form 471

8
Eligibility

• 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

9
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

10
Non-Instructional Facility (NIF)

• Scenario One NIF as a hub. This NIF is
  essential for the transport of info to the
  Schools and is eligible for P2 funding

11
Ineligible for Priority 2 NIF

• Scenario Two NIF as an end-point. The schools
  would maintain service if the NIF were removed,
  therefore the NIF is ineligible for P2 support

12
Eligible Services - Categories

• Four categories of service
• Priority 1 (funded first)
• Telecommunications Services
• Internet Access
• Priority 2 (starts with neediest applicants)
• Internal Connections
• Basic Maintenance of Internal Connections

13
Eligible Services List

• Posted on USAC website (http//www.usac.org/sl/too
  ls/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

14
FY09 Draft ESL updates

• Eligible
• Ethernet
• VoIP user licenses
• Ineligible
• E-mail Archiving
• Intranet Web Hosting
• Video-on-Demand Servers
• Softphones

15
Telecommunications Service

• The transmission, between or among points
  specified by the user, of information of the
  users 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

16
Internet 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

17
Internal 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

18
2 in 5 Rule

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

19
Basic 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

20
Basic Maintenance of Internal 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, i.e.
  SmartNet
• Include the components that the BMIC Contract
  will cover on your Item 21 attachment
• BMIC can not be 24/7 coverage

21
Manage 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

22
Funding 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

23
2. Technology Plan
24
Technology Plan Overview

• FFC rules require an approved technology plan
  when receiving E-rate for more than basic
  telephone service.
• Must be written prior to posting Form 470.
• Must cover all 12 months of the funding year.
• E-rate only plans should not cover more than 3
  years EETT tech plans that meet E-rate
  requirements can cover 5 years with progress
  review during 3rd year for E-rate purposes.
• Must include all services that the E-Rate
  discount covers.
• Must be approved by a Certified Technology Plan
  Approver Locater Tool
• Technology Plan approver locator tool
  http//www.sl.universalservice.org/reference/tech/
  default.asp

25
5 Required Elements of a Technology Plan

• 1. Goals
• 2. Professional Development
• 3. Needs Assessment
• 4. Budget
• 5. Evaluation

26
Tech Plans for E-rate

• EETT Plan for E-rate
• Executive Summary/Introduction
• Stakeholders
• Curriculum
• Professional Development
• Infrastructure
• Adult literacy
• Research
• Funding and Budget
• Monitoring and Evaluation
• Must also include E-Rate supplemental budget
  analysis and also see
• www.cde.ca.gov/ls/et/rs/techplan.asp

• E-Rate Only Plan
• Goals a Realistic Strategy
• Professional Development
• Needs Assessment
• Sufficient Budget
• Evaluation Process
• Tech Plan Help
• www.usac.org/sl/
• applicants/step02/

27
Tech Plan Written

• Written same as created When a tech plan
  contains all required elements to support
  services requested on Form 470 USAC considers
  the plan written.
• Must document and keep evidence of written date
  prior to filing Form 470 by e-mailing plan to
  Assistant Superintendent, memo with date
  announcing that tech plan is written, date
  stamp

28
Documentation of Tech Plan Approval

• 1. E-rate only tech plan
• You can expect to receive an approval letter from
  your COE or State Library as the USAC-certified
  technology plan approver. Ask your COE/State
  Library 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
  (Cycles A, B or C).
• View Tech Plan approval status at
  http//www.cde.ca.gov/ls/et/rs/ap/county.asp

29
EETT Tech Plan Approval

• Due dates (cycles) for submission of EETT
  Technology Plan to CTAP for approval
• Oct 3, 2008 Cycle A (Best practice)
• Dec 5, 2008 Cycle B
• April 3, 2009 Cycle C

30
Important Tech Plan Reminders

• Include a supplemental budget analysis if using
  EETT plan as your approved E-Rate tech plan
  form located at www.cde.ca.gov/ls/et/rs/techplan.
  asp
• Ensure all E-rate requested services/products are
  included in your technology plan

31
Technology Plan Help

• SLD - http//www.usac.org/sl/applicants/step02/
• Libraries - http//www.library.ca.gov/services/lib
  raries/erate.html
• CDE - http//www.cde.ca.gov/ls/et/rs/techplan.asp
• CTAP http//www.cde.ca.gov/ls/et/rs/ctapcoordinat
  ors.asp

32
Contact Information

• State Library Rushton Brandis,
• [phone], rbrandis_at_Library.ca.gov
• CDE John Vardanega,
• [phone], jvardane_at_cde.ca.gov
• CDE Tech Plans Bill Fong,
• [phone], bfong_at_cde.ca.gov
• Department of General Services (CMAS) Mary
  Gilbert,
• [phone], mary.gilbert_at_dgs.ca.gov
• K-12 HSN/Butte COE Russ Selken, 530-532-5678,
  rselken_at_bcoe.org

33
Technology Plan Help

• SLD - http//www.usac.org/sl/applicants/step02/
• Libraries - http//www.library.ca.gov/services/lib
  raries/erate.html
• CDE - http//www.cde.ca.gov/ls/et/rs/techplan.asp
• Recent News Brief from SLD - http//www.usac.org/s
  l/tools/news-briefs/preview.aspx?id116

34
3. Competitive Bidding and the Form 470
35
Preparation for Posting of Form 470

• Document ALL of your eligible existing services,
  contracts and their expiration dates
• Identify existing contracts and services
• Expected growth (P1 and P2)
• National School Lunch Program (NSLP) data for
  discount percentage
• Identify bidding restrictions (i.e., CMAS,
  geographic restrictions, etc.)

36
Forms 470

• Indicates the services and categories of service
  which you are seeking discounts
• Must be based on tech plan
• Must be posted for 28 days
• Indicates if you are planning/have issued RFP
• Can only correct this by posting new Form 470
• Indicates any special requirements and/or
  disqualification factors
• Indicates who will be receiving the services

37
File Online!

• Once the Form 470 is posted you must
• Certify online using a PIN, OR
• 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

38
Special Notes for Form 470 Processing

• When does the 28 day bidding period begin?
• The day that ALL material for public viewing
  (i.e. RFP) is made available
• AND
• 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

39
Form 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

40
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

41
Competitive 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!!!

42
Competitive Bidding and Program Compliance

• http//www.sl.universalservice.org/reference/BestP
  ractices.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.

43
Program 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 (If not using CMAS)

44
Evaluation 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

45
SAMPLE SAMPLE SAMPLE SAMPLE SAMPLE
46
Form 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)

47
Contracts

• 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 dont look
  like a traditional contract.

48
4. Form 471
49
Form 471 Your application for Funds

• Must be filed every funding year
• This is your actual funding request
• Based on posted on Form 470(s)
• One or more funding requests
• This is your Who, What, When, Where, How
• Service providers chosen
• Services being requested
• Dates for services
• Service Delivery locations
• Signed contracts or tariffed services

50
Form 471 Filing Deadline

• The Window for the Form 471 filing window has not
  been announced yet.
• If you are on CDE E-rate List SERV, you will be
  notified when FCC determines filing deadline,
  which then determines Form 471 filing deadline
• If you receive USAC weekly newsbriefs,
  notification will be published there.
• Must be submitted BEFORE close of window
• SLNewsBrief_at_lists.universalservice.org
• http//www.cde.ca.gov/ls/et/ft/eratelyrisserv.asp

51
Form 471 Filing Deadline

• Submit BEFORE close of window
• DEADLINE DATE ??

52
Form 471 Best Practices

• Get a Partner
• Do your own Timeline of milestones
• File Online
• Certify BEFORE close of window
• Online if using PIN
• By trackable mail if you do not use your PIN
• File EARLY!!
• Do everything before Deadline
• Allow enough time to fully complete process
  paperwork
• Organize your paperwork

53
Keep Your Dates in Order

• Remember the correct order for dates
• Allowable Contract Date (28 days after 470)
• THEN
• Contract Award Date
• THEN
• Form 471 filing
• THEN
• Form 471 Certification date
• ALL BEFORE
• Window close

54
Form 471

• Apply Online http//www.sl.universalservice.org/
  menu.asp
• Form 471 Test page http//usactrain.solixinc.com
  /TrainingSiteWarning.asp?

55
Form 471 donts

• DONT file Priority One and Priority Two funding
  requests on the same Form 471
• DONT forget to wait at least 28 days after any
  mandatory processes associated with your
  competitive bidding before selecting a service
  provider or signing any contracts
• DONT submit your Form 471 BEFORE signing all
  related contracts
• DONT forget to CERTIFY your submitted
  application (whether electronic or paper
  certification)

56
Form 471 Reminders

• Separate your Priority 1 and Priority 2 funding
  requests onto separate Form 471s.
• Verify that you are using correct establishing
  Form 470 number on each Block 5 Funding Request.
• Choose the correct category of service (e.g.,
  Telecom, Internet, etc.)
• Check your math, check it again
• Review your application
• Validate the information

57
Pre-Commitment Review

• Things to do before PIA contacts you
• Submit your Item 21 Attachments online or paper.
  
• Place application number(s),FRN(s), Attachment
  ID, and page numbers on Item 21 Attachments
• Indicate Bandwidth when you are requesting
  telecom or Internet access
• Indicate the entities receiving services and
  locations
• Clearly label ineligible items and costs
• Indicate product make and model for each product
  requested
• Provide a detail product or service description

58
Item 21 Attachment

• Samples available on USAC website
• http//www.sl.universalservice.org/reference/Form4
  71item21Attachments.asp
• Remove ineligible costs be careful
• 30 rule 30 or more of funding request dollar
  value cannot be for ineligible products and
  services. the entire request may be denied
  unless
• Can be rectified during your PIA process Remove
  it-Split it up- separate FRN
• Work with service provider(s) to create your Item
  21 attachment(s)

59
Reciept Acknowledgment Letter Process

• Opportunity to verify information one more time
• Three weeks from date of letter to submit
  corrections
• http//www.usac.org/_res/documents/sl/pdf/samplele
  tters/471RAL.pdf

60
One Last Chance.

• 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

61
5. Program Integrity Assurance
62
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

63
PIA Reviewer

• Be nice to your reviewer even if they are not
  nice to you!!!

64
Be Responsive

• Respond promptly, be sure to answer questions in
  their entirety
• Document communication with PIA, send e-mail 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
• Dont assume that Reviewer has all of the
  information you sent in as part of your Item 21
  attachment.

65
If corrections are needed

• Services Cost Allocations
• Work with the service provider to identify the
  ineligible services, so they are clearly
  identified
• On the Item 21 Attachment identify the
  ineligibles services and associated costs
• Prepare a revised Form 471 Block 5 to reflect
  the cost allocations
• Best Practice Break out FRN with PIAs
  assistance
• Entity Removal
• On the original Form 471 Block 4 worksheet
  identify the entities to be removed
• Prepare a revised Form 471 Block 4 worksheet if
  new discount calculations and student counts
• On the Block 5 funding request, indicate your
  revision to the dollars requested based on the
  share of the funding request for the entities
  being removed

66
What 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.

67
Post-Commitment

• Review the FCDL for Accuracy
• Read the FCDL comment to determine if
  modifications have occurred to the FRN to ensure
  you invoice for the correct services.
• Verify SPIN, discount, fund request, start and
  end dates, and contract number (if applicable)
• If you disagree with the decision, you may file
  an appeal.

68
What next?

• FCDL should be your trigger to file subsequent
  forms
• Starts deadline clock for appeal on denial(s)
• Note Appeals must be done within 60 days of the
  date of FCDL

69
6. Form 486 Invoicing
70
Purpose of 486

• Notifies USAC that entity is ready to receive
  services, services have started or are scheduled
  to start and invoices can be paid
• Certifies that Tech Plan is approved and meets
  program requirements
• Certifies status of compliance with Childrens
  Internet Protection Act (CIPA)
• Do NOT miss Form 486 deadline for your district
  LATE FILINGS WILL LOSE
• http//www.universalservice.org/sl/applicants/step
  10/form486-filing-information.aspx

71
What is the Form 486 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 SLD will send letter
  giving reminder to file Form 486 (Alaska
  Gateway order)
• Take this letter seriously you have 20 days from
  date of the SLD letter to take action!

72
Form 486 Compliance Review

• USAC may review Form 486 for compliance with
  program requirements for technology planning
  before the form is successfully processed.
• If Form 486 undergoes review, USAC does not issue
  a Form 486 Notification Letter until all
  compliance issues have been resolved. (i.e.
  Approved Tech Plan)

73
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

74
Receipt of Funds

• One of two ways
• Applicant pays entire bill up-front and gets
  reimbursed
• Form 472 (BEAR) BEAR submitted by Applicant
• Service Provider applies discounts to bills and
  submits invoices to USAC for reimbursement
• Form 474 (SPI) filed by Service Provider

75
Special Note on Form 472

• Note Form 472 (BEAR) cannot be filed if
  applicant is also receiving California
  Teleconnect Fund (CTF) discounts on same
  services.
• Applies only to Telecommunications (data-voice)
• Internet services may also be eligible for CTF
  discounts

76
Important 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

77
7. Program Updates Gotchas
78
Forms

• Form 470
• Be careful when specifying services
• Understand the categories of service
• 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
• File separate forms for different discount bundles

79
California Pre-K and Adult Ed

• These student populations are eligible for E-Rate
  discount in California except
• Adult Ed. enrichment VS secondary curriculum
• Children under age of 3
• Treat same as traditional classrooms or
  facilities
• Obtain entity numbers and establish poverty level
• Head Start is 90
• May use alternative discount methods
• Be sure to add their plans to your District
  technology plan to ensure compliance

80
Non-Instructional Facilities Priority Two GOTCHA

• Educational Purposes Priority 2
• Priority 2 services to Non Instructional
  Facilities (NIFs) are eligible ONLY IF 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.

81
2 in 5 Rule for IC

• Determined on an individual entity basis or
  shared worksheet (bundle)
• All entities on a Block 4 worksheet that utilize
  approved funding for IC, are counted as taking a
  year
• 2009 is the fifth year for the rule (if applicant
  applied in 2005)
• 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
• USAC tool does not track pending or utilized,
  just funded

82
October Important Deadlines

• Complete your BEAR for 07-08 prior to Oct 28th,
  2008
• Pay attention to 486 deadlines, Due 120 days
  after FCDL (Note this is due Oct 28th if you
  received your FCDL for 08-09 on or prior to July
  1st)
• Have your tech plan written PRIOR to posting your
  Form 470 for 09-10 if it expires June 30th 2009
  or sooner
• File your Form 470 for 09-10 NOW!

83
8. Audits, Appeals, Cost Effectiveness and Other
Reviews
84
Compliance Attestation Examination

• AKA The Big Audit
• Directed by the FCCs Office of Inspector General
  (OIG)
• Randomly selected by FCC
• Annually between November and July 1st

85
Compliance Attestation Examination

• Examine payments made during a single fiscal year
  May include examination of MUTIPLE funding
  years!
• Conducted by third party auditing firms who may
  be on-site 2 to 8 weeks
• Purpose Did applicant comply with FCC rules?
  (not just looking for waste, fraud, and abuse)
• Applicant must be able to prove compliance with
  rules

86
Examples of Rule Violations that Warrant Recovery
of Funds

• Insufficient documentation of the competitive
  bidding process
• Lack of necessary resources equipment not fully
  utilized
• Service substitutions not meeting criteria
  established in the rules
• Failure to pay (or show proof of payment) of
  non-discounted share
• Failure to complete services within funding year
• Discount calculation violation
• Technology Plan not approved and/or not
  containing required elements and requested
  services
• More specific examples located on USAC Audit
  training slides located at
• http//www.universalservice.org/sl/about/training-
  presentations/training-presentations-archive/train
  ing-2008/fall/materials.aspx

87
How To Prepare For The Audit

• Follow All E-rate Rules
• Retain Retain Retain Lessen your pain!!
• Document, Document, Document!
• Plan ahead for an audit by documenting every step
  of the process
• Create an E-Rate Binder for EACH funding year
• USAC Compliance Documentation Checklist for
  audits
• http//www.usac.org/_res/documents/sl/pdf/CompDocC
  hecklist.pdf

88
(No Transcript)
89
Who Should Be Available During Audits?

• Person(s) 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 responsible for NSLP documentation
• is knowledgeable about the network and the
  location of equipment
• Appoint a single contact person who can manage
  interactions between auditors and staff members

90
Document Retention Requirements

• Keep for 5 years after last date of service
• Be aware of contract dates and extensions as the
  5-year minimum may be extended
• All USAC correspondence, including Quarterly
  Disbursement Reports
• Make sure all departments understand
  documentation retention requirements for E-Rate
• Align Board policy with E-rate requirements

91
Technology Plan Documentation

• Copy of Technology Plan that covers entire year
  being audited (should be part of your ANNUAL
  e-rate documentation)
• Copy of Draft and creation date documentation
• Proof of approval of Technology Plan
• Supplemental Budget analysis (if using EETT Plan)
• Summary of the technology environment and a
  high-level network diagram

92
Bidding Documentation

• Copy of State and Local procurement policies
• Form 470 and all request for bid documentation
• RFP/RFB/RFQ, announcements, advertisements,
  addendums, etc
• ALL correspondence between applicant and service
  providers (email, phone log, job walk sign-in
  sheet, etc)
• Copy of all bids received (winning and losing)
• Document if NO bids are received
• Bid evaluations
• Notice of Award to winning vendor
• Contract
• Board Award
• Copy of any change orders

93
Invoicing Documentation

• Proof of payment to service providers
• Copies of warrants or cancelled checks, check
  register
• Auditors will ask for reconciliation of payment
  by invoice
• Copies of all invoices, phone bills
• Invoices should be detailed
• Copies of BEAR Forms
• Reconciliation (by FRN) of service provider
  invoices to BEARs submitted to SLD (removal of
  all ineligible costs)
• Copy of reimbursement check from service provider
  to prove receipt of E-rate funds if applicable

94
Priority Two Services Documentation

• Equipment purchased using E-Rate
• Detailed vendor invoices
• Packing slips showing date of delivery
• Walk through or sign off that shows when services
  were delivered
• Asset register see detailed USAC example
• http//www.usac.org/_res/documents/sl/pdf/2007_tra
  ining/samples-checklist-inventory-list.pdf
• Well-marked equipment
• Service Substitution
• Equipment Transfer documentation
• Basic Maintenance
• Maintenance log

95
CIPA 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
• Internet filtering reports
• Copies of invoices for Internet filtering
  services
• Copies of Forms 479 and/or Forms 486, if
  applicable

96
Discount Documentation

• NSLP Method
• Proof of discount calculations including source
  data and reports
• Auditors may ask for a sampling of actual NSLP
  applications
• USDA and FCC agreement
• http//www.fns.usda.gov/cnd/Governance/Policy-Memo
  s/2008/SP_29-2008.pdf
• Alternative Methods
• Keep copies of every survey and a summary report
• Source data and annual poverty guidelines

97
Other Documentation

• SPIN change requests including copy of notice to
  original service provider
• School closure, consolidation or construction
  documentation
• ALL communication regarding E-Rate
• Service Providers
• SLD/USAC
• Case Numbers
• PIA questions and responses
• Documentation of other services necessary to make
  effective use of E-rate discounts, such as
• Training
• End user equipment

98
Other Documentation

• Reports from any other audits conducted that
  relate to either E-rate program or the NSLP
• Eligible Services List for every funding year
• Board minutes and policies relating to document
  retention or other E-rate related issues
• Financial statements and annual budgets

99
Other Levels of Scrutiny

• Site Visits
• Selective Review Information
• Request (SRIR)
• Cost Effectiveness Review

100
Site Visits

• Single FRN reviewed
• On-site 4 hour visit
• Review of
• Asset register
• Equipment in the field
• Staff development
• Invoices/payments
• Technology plan approval
• Competitive bidding
• Best practices feedback

101
Item 25 Selective Reviews

• PIA on steroids
• Intensive review of the Item 25 Block 6
• certification from Form 471
• Complete documentation of necessary
• resources
• hardware, software, professional development,
  retrofitting, maintenance
• Competitive bidding documentation
• Technology Plan
• Budget matching funds and support for non
• E-rate items

102
Cost Effectiveness Review

• Occurs during PIA
• Must be able to justify that the selected
  solution is cost effective, not just the MOST
  cost effective
• Bright line test
• Routers that cost two to three times the
  commercially available price
• Single bid received does not equal cost
  effective
• Think about reasons why the price may be
  inflated
• Location
• Structural challenges
• Anticipated growth of student population, etc

103
Appeals

• 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 or if USAC denies the
  initial appeal

104
USAC Appeals Approved 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-guide
  lines.aspx

105
9. Tools Data Retrieval Tool and Other
106
Data 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

107
View Prior Years Applications

• www.usac.org/sl
• Apply Online
• Form 470 Search Posted
• Form 471
• Application Status (if you dont know the
  application number)
• Display (must have application number)

108
10. California Teleconnect Fund
109
11. Q and A

• Questions?

110
Contact Information

• State Library Rushton Brandis, [phone],
  rbrandis_at_Library.ca.gov
• CDE John Vardanega, [phone],
  jvardane_at_cde.ca.gov
• CDE Tech Plans Bill Fong, [phone]
• K-12 HSN/Butte COE Russ Selken, 530-532-5678
  rselken_at_bcoe.org

111
3. CALNET 2
112
CALNET 2 - What is it and how does it fit 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

113
CALNET 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 States 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

114
CALNET 2 MSAs

• MSA 1 Voice, Data Video Services ATT
• MSA 2 - Long Distance and Network Based Services
  ATT
• 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

115
CALNET 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

116
CALNET 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/cal
  netII.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

117
CALNET 2 MSAs 1 and 2 includes

• MSA 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

118
IP Voice, Data, and Video Services (MSAs 3
4)Internet 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

119
SLD 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 States Form 470 267290000544188, posted on
  9/15/2005.

120
SLD Decision Grid
121
How to decide if schools/libraries should post
their own Form 470?

• Are the services you are seeking included in
  States RFP?
• Are services you are seeking included in States
  Form 470?
• Telecommunications services (Priority 1 services)
• Limitations to States 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)

122
Moving from CALNET to CALNET 2 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 ATT State
• ATO
• Attachment to ATO (product list attachment for
  svcs to be covered by ATO) has to be initialed by
  customer

123
CALNET 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

124
CONTACTS

• CALNET Transition Questions and Requests for
  Information
• Phone [phone]
• Email stndhelpme_at_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 Contractors CALNET Homepages, etc.
  
• www.calnet.ca.gov

125
(No Transcript)
126
CALNET 2 Contract Resources ATT

• 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 [phone]
• calnet.ca.gov (select ATT logo)

127
CALNET 2 Contract ResourcesVerizon Business

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