Service Providers

1
Service Providers
Fall 2000
2
BEARs vs. Discounts

• MUTUAL decision
• Service Provider Concerns
• capital investments in making discounts available
• special situations (e.g., state E-rate programs)
• First invoice received sets the mode for the
  year

3
BEARS vs. Discounts (contd)

• Controls
• Invoice Status Report
• Disbursement Report (See Attachment A)
• CSB calls
• See Attachment B (web site announcement)

4
Billing issues

• Single Billing Account Number confusion
• Service Provider information requirements
• Whats been included in the Form 471
• Eligible/ineligible services break out
• Effective discount rates

5
Service Provider Involvement in Competitive Bids

• Its a NO-NO!
• What does involvement mean?
• Signing the Form 470
• Acting as the contact on the Form 470
• Receiving the bids
• Performing the evaluations of bids
• Controlling information that flows OUT to other
  service providers

6
Code 9 Reporting

• Fraud? Waste? Abuse?
• Call 888-203-8100 tell the operator its a Code
  9 call
• Confidential
• Triggers investigations may not see immediate
  results

7
Less Serious Problems

• Call Ellen 202-776-0200
• Email Ellen at serviceprovider_at_universalservice.or
  g
• Triggers investigation may not see immediate
  results

8
SPIN Changes

• Pre-Copan rules
• Post commitment
• Written contract
• Original Service Provider
• in breach of contract
• unwilling to participate in E-rate program
• out of business

9
SPIN Changes (contd)

• Process (see Attachment C)
• Applicant letter of request to New Jersey
• Statement of reasons why request being made
• Indication of who the NEW Service Provider will
  be
• Participated in original bidding process
• Willing to assume original contract
• Obtained as the result of a new Form 470 posting

10
SPIN Changes (contd)

• Copan clarifications
• Precommitment?
• Tariff or month-to-month (without benefit of a
  written contract)?
• Must new Service Provider have participated in
  original competition?
• Is a new Form 470 required?

11
Product/Service Substitutions

• Fairly limited implementation
• (See Attachment D)
• Essential elements
• Obsolete products
• Upgraded products
• Newly available service offerings

12
Product/Service Substitutions (contd)

• Limitations
• Performs the same function
• Same (pre-discount) cost or less
• Consistent with state and local procurement laws
  and original contract terms and
• Same ratio of eligible to ineligible components.

13
Midyear Replacement of State Master Contracts

• Procedures developed in January 2000
• (See Attachment E)
• Limited to Master Contracts put in place by a
  state level governmental entity
• Provides a solution for those entities purchasing
  off a Master Contract that will be competitively
  bid outside the E-rate timeframe

14
Midyear Replacement (contd)

• Requires that the applicant knows
• the contract number of the EXPIRING contract
• the name and SPIN of the incumbent Service
  Provider
• when the original contract will expire
• when the State (which may or may not be the
  applicant) is going to post the new Form 470

15
Midyear Replacement (contd)

• the number(s) of the new Form 470
• when the replacement contract is awarded
• the replacement Service Provider name and SPIN
• Requires the use of SPIN 143999999
• May trigger additional questions from PIA

16
What if?

• My service provider wont send out my
  reimbursement?
• My service provider wont provide the discounted
  bills (or the BEARs) that I want?
• My service provider wont be able to finish the
  job on schedule?
• My service provider wants to be paid in full up
  front?

17
What if? (contd)

• My service provider declares bankruptcy?
• My service provider decides to stop participating
  in the E-rate program?
• My service provider is delinquent in contributing
  to the Universal Service Fund?
• My service provider hasnt obtained a SPIN?

18
What if? (contd)

• My service provider hasnt filed their
  certification for the funding year?
• My service provider is in breach of contract?
• My service provider does a poor job?
• My service provider provides incorrect amounts on
  invoices?