Final forms are
now available for applying for E-Rate discounts. Are you aware of that
and of other recently released E-rate resources?
Final
forms for applying for "E-Rate" discounts on telecommunications services
for schools and libraries are now available on the U.S. Department of
Education Web site, according to a press release issued last month.
In addition to the 2 forms (Form FCC 470 and 471), you'll find instructions
for filling out the forms and an overview of the program. This overview
includes information about
What kinds of schools and libraries are eligible
Calculating the discount
Classifying urban and rural locations
Eligible services
Examples of eligible and ineligible internal connections
Rules of priority, and
What schools and libraries must do before applying.
OVERVIEW OF THE E-RATE PROGRAM (DECEMBER 1997)
On May 7, 1997, the Federal Communications Commission (FCC) adopted
a Universal Service Order implementing the Telecommunications Act of 1996.
The Order ensures that all eligible schools and libraries have affordable
access to modern telecommunications and information services. Up to $2.25
billion annually is available to provide eligible schools and libraries
with discounts, often referred to as the "E-rate," for authorized services,
beginning January 1, 1998.
Level of Discounts. Discounts range from 20 percent to 90 percent,
depending on economic need and location (urban or rural). The level of
discount is based upon the percentage of students eligible for participation
in the federal free and reduced price school lunch program. Libraries
will use the school lunch eligibility percentage and urban/rural status
for their local school district.
Services Eligible for Discount. Discounts can be applied to all
commercially available telecommunications services, Internet access, and
internal connections. Discounts are available in all states, as long as
the state adopts intrastate discount levels at least equal to the federal
discounts.
Application Process. Discounts will be applied as of January
1, 1998, for qualified pre-existing contracts. For contracts covering
new services with approved discounts, the discounts will be applied as
of the date the contract is signed. A technology plan must be developed,
and approved by an independent agency, such as a state education or library
agency, or the Schools and Libraries Corporation (SLC). Eligible institutions
must submit a self-certification of eligibility (attesting that all criteria
have been met) to the SLC along with a description of the services requested.
The percentage discount mechanism for administering this program means
that this program is not a grant program. Schools and libraries are required
to pay only the "non-discounted" portion of their costs for telecommunications
services, Internet access and internal connections. The discounted portions
of the services are directly applied to reduce the bills to be paid by
schools and libraries and these amounts will be reimbursed directly to
the service providers from the fund administrator. Requiring schools and
libraries to pay a share of the costs from their own funds is intended
to insure cost-effective purchases.
Fund Administration. SLC, a newly formed independent not-for-profit
entity established by FCC rules, has responsibility for administering
the schools and libraries program. The Universal Service Administrative
Company (USAC), a subsidiary of the National Exchange Carrier Association
(NECA), has been named by the FCC as the interim, overall administrator
of Universal Service Fund collection and distribution.
Disbursement of Funds. Once an application has been accepted
and approved, the schools and libraries will apply the applicable discount
to their telecommunications services, Internet access and internal connections,
and pay the remaining portion of the costs to the service providers. The
service providers will seek reimbursement from the SLC for the cost of
the discounts.
THREE MORE NEW E-RATE DOCUMENTS
The SLC issued three documents on November 20. All three
documents are available online:
A letter to schools, libraries & communication industry leaders from
Ira Fishman, CEO of the SLC
"Nine Steps You Can Take Now to Prepare for the Schools and Libraries
Universal Service Program"
Questions and Answers
Below are the "Nine Steps You Can Take Now to Prepare for the Schools
and Libraries Universal Service Program." (Three footnotes are not included
here but are included on the web.)
"NINE STEPS YOU CAN TAKE..."
All eligible entities must submit three separate forms to the SLC in
sequential order to participate in the Universal Service Program. These
forms: (1) describe the services that a school or library (or school district
or library system) intends to purchase; (2) detail the services for which
a contract has been signed; and (3) confirm that these services have been
provided.
Entities will need to collect the following important information to
complete the first two forms:
Applicant Data: Ascertain
Your National Center for Education Statistics Code: Public schools
may find this information online at http://nces.ed.gov/ccdweb/school/school.htm.
If unavailable, the Program's fund administrator will assign a comparable
universal service control number when you submit your "Description of
Services Requested and Certification Form 470."
The total number of buildings and rooms for which you are requesting
services.
Whether you qualify for an additional rural discount.
Student or Library Patron Data: Ascertain
Your current number of students or library patrons (i.e., population
service area or number of cardholders).
The percentage of your students eligible for the National School Lunch
Program or for libraries, the percentage of students eligible for the
National School Lunch Program in the public school district(s) in which
you are located.
Your discount percentage.
Telecommunications Services Data: Ascertain
The number of individual telephone numbers (including fax numbers)
and the number of telephone extensions, computers, and video conference
links that have or require service.
Internal Connections Data: Ascertain
The number of buildings and rooms that are or will be connected.
Internet Access Data: Ascertain
Current and/or requested dial-up connections and their dial-up speeds.
The number of current and/or requested direct connections and their
speeds.
Technology Assessment Data: Ascertain
Whether you have or will purchase desktop communications software.
Whether your electrical system is adequate for your current or requested
telecommunications services or whether it will need improvement.
Whether you have or will purchase a sufficient number of computers
to maximize the capabilities of your current or requested telecommunications
services.
Whether all staff have or will receive education technology training.
Consortium Data: Ascertain
The name(s) of billed eligible entity(ies) and zip code(s).
The name(s) of billed ineligible entity(ies) and zip code(s).
Technology Plan Data: Ascertain
Whether your technology plan(s) has been approved for other purposes,
such as participation in "Goals 2000" and Technology Literacy Challenge
and if not, whether the plan(s) has been or will be approved by your
State or its authorized designee or by the SLC's authorized designee.
(The plan will need to be approved in order for the applicant to be
eligible for the discounts.)
Contract(s) Data: Ascertain
Whether you are requesting services covered by a master contract(s),
e.g., a State contract and if so, its date.
The SLC number for each service provider with whom you have a contract.
The contract(s) award, expiration, and start dates.
The estimated nonrecurring cost(s) associated with each contracted
eligible service.
The estimated monthly cost(s) associated with each contracted eligible
service.
The estimated total annual cost(s) -- combined nonrecurring and monthly
-- associated with each contracted eligible service.
The percentage of eligible entities using current or requested services
that are shared (if applicable).
Your discount percentage for each eligible contracted service (may
vary according to the distribution of services).
Your total prediscount cost for all eligible contracted services.
Related Resources
Secretary
Riley spoke about the E-rate and "ways to achieve equity and excellence"
in public schools at the Improving America's Schools Conference in Washington,
D.C. on December 16, 1997.
The application for "21st
Century Community Learning Centers" -- which provides grants for
planning, implementing or expanding after-school projects -- is available
online.
Final forms are
now available for applying for E-Rate discounts. Are you aware of that
and of other recently released E-rate resources?