Eligible Services

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Eligible Services
ARKANSAS
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PROGRAM OVERVIEW

• Program Eligibility Issues
• Eligible Entities
• Eligible Purpose (Educational)
• Eligible Services
• Proposed Eligible Services List Changes
• Eligible Location
• Top 10 reasons why PIA calls

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ELIGIBLE ENTITIES

• Eligible Entities--Schools
• Schools must meet the statutory definition of an
  elementary or secondary school found in the
  Elementary and Secondary Education Act of 1965
• Must not operate as a for-profit business
• Must not have an endowment exceeding 50 million

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ELIGIBLE ENTITIES

• Eligible Entities--Schools
• Statutory Definitions in ESEA
• The term elementary school means a nonprofit
  institutional day or residential school,
  including a public elementary charter school,
  that provides elementary education, as determined
  under state law.
• The term secondary school means a nonprofit
  institutional day or residential school,
  including a public secondary charter school, that
  provides secondary education, as determined under
  state law, except that such term does not include
  any education beyond grade 12.

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ELIGIBILITY

• Eligible Entities - Schools
• Pre-kindergarten, and Adult Education, are NOT
  eligible in Arkansas
• Juvenile Justice students/facilities may be
  eligible.
• Must provide elementary or secondary education as
  determined under state law.
• USAC requests updated eligibility information
  from state departments of education every two
  years.

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ELIGIBLE ENTITIES

• Eligible Entities--Libraries
• Must meet the statutory definition of library or
  library consortium found in the Library Services
  and Technology Act and must be eligible for
  assistance from a state library administrative
  agency under that Act.
• A librarys eligibility for universal service
  funding also depends on its funding as an
  independent entity.
• Only libraries whose budgets are completely
  separate from any schools (including, but not
  limited to, elementary and secondary schools,
  colleges, and universities) shall be eligible to
  receive discounted services from the universal
  service support mechanism.
• Libraries operating as for-profit businesses
  shall not be eligible for discounts.

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ELIGIBLE ENTITIES

• Library. A library includes
• a public library
• a public elementary school or secondary school
  library
• an academic library
• a research library, which for the purposes of
  this definition means a library that
• Makes publicly available library services and
  materials suitable for scholarly research and not
  otherwise available to the public and
• Is not an integral part of an institution of
  higher education and
• a private library, but only if the state in which
  such private library is located determines that
  the library should be considered a library for
  the purposes of this definition.

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ELIGIBLE ENTITIES

• Library consortium. A library consortium is
  any local, statewide, regional, or interstate
  cooperative association of libraries that
  provides for the systematic and effective
  coordination of the resources of schools, public,
  academic, and special libraries and information
  centers, for improving services to the clientele
  of such libraries.

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ELIGIBILITY

• Examples of Non-instructional Facilities (NIFs)
  that can receive Priority 1 services

• SCHOOLS
• Administrative buildings
• School bus barns and garages
• Cafeteria offices
• Facilities associated with athletic activities

• LIBRARIES
• Administrative buildings
• Bookmobile garages
• Interlibrary loan facilities
• Library technology centers

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ELIGIBLE ENTITIES

• Consortium
• Of Eligible Schools and/or Libraries
• Of Eligible and Ineligible Entities
• Ineligible Entities would pay the lower
  pre-discount prices
• Only Eligible Schools and Libraries would receive
  the added benefit of universal service discount
  mechanisms

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ELIGIBLE PURPOSE

• Educational purpose is defined as
• The primary purpose of the services for which
  support is sought must be the delivery of
  services into classrooms or other places of
  instruction at schools and libraries that meet
  the statutory definition of an eligible
  institution. Support for the administrative
  functions of a library or education program is
  permitted so long as the services are part of the
  network of shared services for learning.
  Universal service support will be limited to
  services delivered to the onsite educational
  facility or facilities. Services at a personal
  residence or at locations that do not host places
  of instruction or are not accessible to library
  patrons, with the exception of a centralized
  district office or similar facility, are not
  eligible for support.

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EligibilityService Providers

• Providers of Telecommunications Services must be
  authorized as Telecommunications Carriers
• Must contribute to the Universal Service Fund, if
  applicable.
• Must provide telecommunications services on a
  common carriage basis to be deemed a
  Telecommunications Carrier.

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EligibilityService Providers

• Telecommunications Carriers must
• (1) allow the customer to transmit information of
  its own design and choosing, without change in
  the form or content of the information, and
• (2) provide that capability for a fee directly to
  the public, or to such classes of users as to be
  effectively available to the public (i.e., hold
  itself out to serve indifferently all potential
  users).

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EligibilityService Provider Tips

• Keep contact information updated by filing
  revisions to Form 498
• USAC web site SPIN Search reflects information
  from Form 498 Block 11
• Designate individual program contacts if new or
  changed
• Telecommunications Carriers provide Form 499
  Filer ID

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Service Categories
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Service Categories
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ELIGIBLE SERVICES

• Priority 1 funded first
• Telecommunications Services
• Basic telephone service wireline or wireless
  phone service (local, cellular/PCS, and/or long
  distance)
• Voice mail
• Transmission services (T-1, DSL)
• Internet Access
• Basic conduit access to the Internet

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ELIGIBLE SERVICES

• Priority 2
• Internal Connections (switches, hubs, routers,
  wiring)
• Basic Maintenance on Internal Connections
• Priority 1 funded first, then Priority 2 begins
  with neediest applicants (90 first, then 89,
  88, etc.).
• Internal Connections funded in only two out of
  five funding years.

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Priority 1 Funding

• Telecommunications

• Internet Access

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Priority 1 Funding

• Priority 1 vs. Priority 2 Use the Touch test
• Can you touch it?
• No? Priority 1
• Yes? Priority 2
• (Except for Basic Maintenance )

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ELIGIBILITY

• Educational Purposes Priority 1
• Wireless Telecommunications Services used offsite
  may be eligible. For example,
• School bus drivers delivering children to and
  from school
• Library staff providing library services on a
  librarys mobile library unit van
• Teachers or other school staff accompanying
  students on a field trip or sporting event.

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Service Category Confusion

• Cell Phones
• Text Messaging
• Internet Access
• Last year, 1,335 FRNs were placed in the wrong
  service category
• 1,100 FRNs were placed in the wrong service
  category on their Form 471 but were moved and
  funded.
• 225 FRNs were denied after the category of
  service was changed and the Form 470 did not post
  for support the category of service
• Prevent confusion by checking both Telecom and
  Internet Access categories on the Form 470 for
  Cell phones.

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Internet Access (IA)

• Internet Access
• Basic conduit access to the Internet or for
  services that are an integral component part of
  basic conduit access.
• Examples T-1, DSL, DS-3, and Wireless service
• Eligibility also extends to E-mail and Web
  hosting services
• Rule of thumb
• Conduit to the Internet is funded
• NOT content on the Internet

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Telecom or IA?

• This is a direct link between two eligible
  schools, also known as a point to point
  connection.
• This is only eligible as a Telecommunications
  service and must be provided by an eligible
  Telecommunications carrier.
• Why? Because it is not being used to access the
  Internet.

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Eligible in IA?
Configuration 1x T-1 between HS and Elem 1x
T-1 from Elem to the Internet

• Eligibility
• Eligible at Telecom
• Conditionally Eligible in IA
• IA Conditions
• Must be used as basic conduit access
• Must be the most cost effective means of
  accessing the Internet and documentation to
  support its cost effectiveness

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Eligible in Telecom?
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Eligible Local Telephone Charges

• Single Party Service
• Dual Tone Multi Frequency signaling or equivalent
• Voice grade access to the public switched network
• Access to 911
• Access to operator services, inter-exchange
  service, directory assistance
• 900/976 call blocking
• Long distance
• Taxes
• Universal Service charges
• Voice mail
• 911/E911 trunk lines
• Burglar/fire alarm telephone lines

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Local Telephone Charges Ineligible for
E-Rate

• These charges must be subtracted from E-Rate
  funding requests on Block 5
• Unlisted telephone line charges
• Payphone service
• Telephone Directory listing
• Directory Advertising

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Priority 2 Funding

• Internal Connections (IC)

• Basic Maintenance of Internal Connections (BMIC)

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Internal Connections

• 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
• Items that get the information to the classroom
  or room in the library is funded
• NOT end-user equipment such as telephones (this
  includes IP telephones) or laptops

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2 out of 5 Rule

• Discounts for Internal Connections are available
  to an eligible entity two of every five funding
  years.
• This applies to individual recipients (individual
  school, library, or non-instructional facility).
• This limitation does not apply to
  Telecommunications and Internet Access services,
  nor to basic maintenance services categorized as
  Priority 2 services.

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2 out of 5 Rule Examples
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Two-in-Five Tool

• This tool will help you determine in which
  funding year an entity will be eligible for
  Internal Connections discounts.

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ELIGIBILITY

• Educational Purposes Priority 2
• Priority 2 services to 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.

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ELIGIBLE SERVICES

• No end user equipment (phones, fax machines)
• Telecommunications Services
• Basic Telecommunications Services (local long
  distance voice services)
• Centrex or Plexar is not basic service
• Advanced Telecommunications Services (T-1, ATM,
  Frame Relay, etc.)
• See eligible services list for more detail

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ELIGIBLE SERVICES

• Internet Access Services
• Special Rules regarding Internet Content
• Generally no content supported
• Bundled must show that approach is most
  cost-effective

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ELIGIBLE SERVICES

• Internal Connections
• Wiring
• Routers
• Switches
• Hubs
• Network servers
• System software
• Wireless LANs
• Private branch exchange (PBX)
• Internal Connections Basic Maintenance

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Basic Maintenance of Internal Connections
(BMIC)

• 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
• ONLY basic technical support of eligible
• hardware is funded.
• NOT end-user support such as a student calling a
  help desk for technical assistance.
• Prefer Time and Materials Contracts, not term or
  unspecified detail contracts

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Further Info (BMIC)

• Include quantity, make and specific model number
  of the equipment being maintained. Provide the
  specific functionality for the server.
  (Network/file/web server is insufficient)

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ELIGIBLE SERVICES

• Eligible Services List provides detail about
  specific services
• Updated periodically
• List is available on web site
• If service is NOT on list
• Assume it is not eligible
• When in doubt, break it out! If you want to
  request discounts on a service of questionable
  eligibility, include it as a SEPARATE Funding
  Request

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Special Eligibility Conditions

• On-premise Equipment
• Leased On-Premise Equipment

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On-Premise Equipment

• Is it possible for this Router to be eligible as
  Priority One equipment?

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On-Premise Equipment

• Is it possible for this Router to be eligible as
  Priority One equipment?

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On-Premise Equipment

• Is it possible for this Router to be eligible as
  Priority One equipment?

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On-Premise Equipment

• Is it possible for this Router to be eligible as
  Priority One equipment?

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Leased On-Premise Equipment

• What is it?
• Equipment located on the applicants premise is
  presumed to be Internal Connections.
• However, the FCCs Tennessee Order establishes
  that this presumption can be rebutted under
  certain conditions as part of an end-to-end
  Priority One Service.

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Conditions of the TN Order

• The leased on-premise equipment is an integral
  component of a Telecommunications or Internet
  Access service.
• The on-premise equipment will be provided by the
  same service provider that provides the eligible
  telecommunications or Internet access service of
  which it is a part.
• Responsibility for maintaining the equipment
  rests with the service provider, not the school
  or library.
• Ownership of the equipment will not transfer to
  the school or library in the future, and the
  relevant contract or lease does not include an
  option to purchase the equipment by the school or
  library.

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Tennessee Order Contd

• 5. Upfront, capital charges of the eligible
  on-premise equipment are less than 67 of total
  charges (recurring plus non-recurring) in the
  funding year.
• 6. The equipment will not be used by the school
  or library for any purpose other than receipt of
  the eligible telecommunications or Internet
  access service of which it is a part.
• 7. The Local Area Network of the school or
  library is functional without dependence on the
  equipment.
• 8. There is no contractual, technical, or other
  limitation that would prevent the service
  provider from using its network equipment in part
  for other customers.

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Ineligible Services

• A description of ineligible services or
  components, indicating the method used to
  determine these ineligible costs (e.g., provided
  by service provider, percentage of total cost,
  etc.).
• A description of substantial one-time charges for
  installation or other services.

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Ineligible Services

• A description of any equipment components of the
  service provider that are located at the
  applicant site. (See the SLD web document
  On-premise Priority 1 Equipment.)
• An explanation of any dollar discrepancy between
  the information provided here and the information
  provided on the Form 471.

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The Top 10 reasons why PIA Program Integrity
Assurancecontacts applicantsregarding service
eligibility

• (in no particular order)

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Top 10 PIA Contact Reasons

• Other or Misc charges
• Item 21 includes a summary phone bill or quote
  that includes the following terms, other,
  miscellaneous, fees, other charges and credits,
  and surcharges.
• Find the page(s) where these charges are itemized
  and include them in your Item 21.

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Top 10 PIA Contact Reasons

• Category of service doesnt match
• The category of service on the FRN does not match
  the category of service on the Item 21.
• Make sure your information is consistent.
• Post for the proper service category, reference
  the Eligible Services List to determine the
  correct category.

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Top 10 PIA Contact Reasons

• Item 21 does not match requested amount
• Item 21 attachment does not support the amount
  being requested
• Use the documents that led you to the requested
  amounts when filling out the Form 471 Block 5. If
  theres a discrepancy, explain why.

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Top 10 PIA Contact Reasons

• Multi-year on-premise equipment
• On-Premise equipment spans multiple years
• If you have answered the On-Premise questions in
  a prior year, you may refer PIA to your prior
  years FRN or application.

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Top 10 PIA Contact Reasons

• Mixed bucket
• Mixed bucket requests are requests that include
  services from more than one category of service
• If requesting a service such as cellular service
  with Internet service be sure to post for both
  services on your Form 470 (e.g., Blackberry
  services).

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Top 10 PIA Contact Reasons

• Generic responses
• Make and model information are generic
• Do not just say Company Xs high speed router,
  say Company Xs D1542 router. Be as specific as
  you can.

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Top 10 PIA Contact Reasons

• Missing details for Basic Maintenance
• BMIC request whose Item 21 states Maintenance is
  being requested on eligible products and
  services.
• PIA needs the details
• Be sure to provide the make, model and quantity
  for all equipment being maintained.

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Top 10 PIA Contact Reasons

• Missing line count
• The type of phone service is listed but there is
  no line count.
• Provide the number of lines when submitting the
  Item 21 attachment.
• If you do not know this answer ask your service
  provider.

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Top 10 PIA Contact Reasons

• Missing bandwidth information
• Digital Transmission Services request doesnt
  include bandwidth
• Provide the speed of the services being provided
  such as 8mbps or 100mbps

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Top 10 PIA Contact Reasons

• Missing server functionality information
• Requesting a File/Network/Web server without
  stating the functionality
• State the specific functionality in your Item 21
  such as DHCP, DNS, Proxy, E-mail
• This applies for both IC and BMIC requests