Bridget Duff State ERate Coordinator Division of Telecommunications DMS Overview of ERate Program Began January 1998 Eligible K12 schools and libraries receive discounts of 20 90 on eligible ID: 613621
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E-Rate 2.0: Reforming E-Rate for a New Digital Era
Bridget Duff
State E-Rate Coordinator
Division of Telecommunications, DMSSlide3
Overview of E-Rate Program
Began January 1998
Eligible K-12 schools and libraries receive discounts of 20% - 90% on eligible:
Priority
1:
Connectivity
Telecommunications
Internet Access
Priority
2: Internal Infrastructure
Internal Connections
IC MaintenanceSlide4
Overview of E-Rate Program
Funding Year: July 1- June 30
Annual Process
Procurement: Form 470 - Competitive Bidding, Eligible Services & Vendors, Vendor Selection, Contracts
Application: Form 471 – Category of Service, Discount Calculation, Cost Allocation, P1 vs. P2Review: Response to PIA, Documentation Invoicing: SPI vs. BEARSlide5
History
of
E-rate Reform
5Slide6
National Broadband Plan
March 2010, the National Broadband Plan (NBBP) was released by the FCC.
http://www.broadband.gov/plan
376 pages: set broad national broadband goals for education, government, consumers, homeland security, health care, and energy. Education section Twelve E-rate
recommendations, most of which
are in
E-rate 2.0 NPRM.
6Slide7
September 2010:
FCC
released
Sixth Report & Order
Allowed
applicants to lease fiber from any provider (not just telecommunications carriers)Allowed applicants to lease existing dark fiberAllowed community to use E-rate eligible services after hours – on school campusAllowed E-rate funded services to be provided to
most
K-12 dorms
Created one year
pilot program that provided funding for off-campus wireless connectivity through mobile
devices
Allowed for annual inflation adjustment to
E-rate
funding cap (FY 2013: $2.25B + $130M=$2.38B)Eliminated tech plan requirement for Priority 1 services
Interim E-rate Reforms
7Slide8
ConnectED
June 2013: President
Obama introduced the
ConnectED
initiative:
Within 5 years, connect 99% of schools to 100 mbps, with a target of 1 GbpsProvide high-speed wireless connectivity within all schools and libraries Called on the FCC to make this happen.FCC can change E-rate without Congressional approval
8Slide9
E-rate 2.0 NPRM
July 2013
:
FCC released
E-rate 2.0 Notice of Proposed Rulemaking (NPRM)Massive document containing 175 pages 616 questions and 357 ideas on which comments were requestedNPRM divided into six categoriesI. Introduction II. Goals and Measures
III. Ensuring schools and libraries have affordable access to 21st century broadband that supports digital learning
IV. Maximizing the cost-effectiveness of E-rate funds
V. Streamlining the administration of the program
VI. Other outstanding issues
9Slide10
E-rate
2.0 NPRM General
Seventeen
major issues/topics being considered.FCC seeking feedback from the applicant/vendor community Some of the topics are actual proposals; others are issues for which they are seeking commentsRequests for data
Initial comments were due September 16; reply comments due October 16
FCC reads all comments; especially fond of real world school and library submissions
10Slide11
Treat
Lit and Dark Fiber Equally
FCC
proposes
to treat
lit and dark fiber more consistently by making modulating electronics and special construction charges eligible as part of dark fiber (as it now does for lit fiber)Asks many questions related to fiber deployment:What are barriers to fiber deployment?Should E-rate support the purchase of WANs if it’s more cost effective than leasing? Should one-time installation costs receive a higher discount
?
Can the FCC do anything to reduce recurring costs over time by altering any of its
policies?
Should
Eligible
Services List be amended to include additional equipment that is needed for broadband connectivity within
buildings?
11Slide12
Make
Broadband Priority
One
2011 FCC
survey data indicates that 80% of applicants surveyed said they did not have sufficient bandwidthFCC proposes to update E-rate priorities so that high-capacity broadband and the associated equipment needed to disseminate that broadband to and within buildings becomes Priority One
All other services
would become Priority
Two
or phased out altogether
What different or additional services should be considered eligible such as filtering, caching and network security services,
etc?12Slide13
Revise
Eligible Services List
FCC
proposes
to phase out support for a number of specific services
including: Pagingwireless text messagingdirectory assistancecustom calling featuresinside wiring maintenance
plans
call blocking
800
number services.
When should such changes be made? FY 2014?
13Slide14
CIPA
FCC
seeks comment
on several CIPA related questions, including:
Are
laptops, netbooks with Internet access, smartphones, and Internet enabled e-readers considered computers that must comply with CIPA?Are personally owned devices that are not owned by schools and libraries required to be CIPA compliant when used on-campus?Are school-owned devices used off campus and used with outside networks required to be CIPA compliant?
14Slide15
Establish
Connectivity Goals
The State Education Technology Directors Association (SETDA) has set
the following goals:
INTERNET
connectivity goal of 100 Mb per 1000 users by 2014 (increasing to 1 Gb per 1000 users by 2017)WAN connectivity goal of 10 Gb per 1000 users by 2017 Should the FCC adopt these goals? Are these targets appropriate for all schools?
How
are schools’ bandwidth needs changing, particularly in those schools that have one-to-one initiatives?
W
hat
should the goals be for schools that have very few students?
How
should the FCC measure and monitor progress to such goals?
Should applicants have to install monitoring equipment to identify how much bandwidth they are actually using?15Slide16
Streamline E-rate
FCC
proposes
several options for streamlining the administration of the
E-rate program, including:
Requiring all forms and USAC correspondence to be submitted/sent electronically Providing more detailed and comprehensive funding statuses throughout the application process Speeding review of applications and issuance of commitment decisions (asks commenters to explain problems they have had during PIA review process) Removing distinction between telecommunications services and Internet access
More effectively identifying and capturing unused funds (why do funds go unused and how can USAC identify and de-obligate those funds more quickly?)
Streamlining the E-rate
appeals review process
16Slide17
Change
Funding Distribution
FCC
seeks comment
on four major options for revising the distribution of
E-rate funds:Revising the discount matrix to increase certain applicants’ matching requirements through a phase-in process What should the maximum E-rate discount be? 70%? 75%?Should all of the discount bands be adjusted downward by a certain percentage? Should the discount matrix be abandoned in lieu of a discount calculated as NSLP percentage plus 20% (urban) or 25% (rural)?
17Slide18
Change
Funding Distribution
FCC
seeks comment
on four major options for revising the distribution of
E-rate funds:Incorporating a per-student or per-building cap on funding into the discount matrix. What would those caps be? Should they apply to both Priority 1 and Priority 2 funding? Should installation fees be excluded from the calculation? Should there be a di minimus amount funding available?
How would consortia apply using a per-student cap?
18Slide19
Change
Funding Distribution
FCC
seeks comment
on four major options for revising the distribution of
E-rate funds:Providing more equitable access to Priority 2 funding How can the FCC ensure more applicants have access to P2 fundingShould the 2/5 rule be replaced with another rule, such as a 1/5 rule?Should P2 be funded on a rolling-funding cycle? Should there be different priorities established, such as a broadband/Internet P1 category and other service (such as voice) become Priority 2 (or some other priority)?
19Slide20
Change
Funding Distribution
FCC
seeks comment
on four major options for revising the distribution of
E-rate funds:Allocating funds through a fixed dollar amount before the funding year begins How would this amount be calculated for libraries? How would it be calculated for schools?How would this work with consortia?What would the reporting requirements be?
20Slide21
Change
Funding Distribution
FCC
proposes
two major revisions to E-rate discount calculations: Change E-rate discount calculations to be based on a simple average of District’s NSLP enrollment Current formula is a weighted average approach that uses each school building’s discount as part of the calculation
Change definition
of rural
to ensure greater funding to truly rural areas by using NCES
codes
Should the definition be based on ‘rural’ or ‘remote-rural’ areas
?
Should
the rural schools and libraries receive a greater discount than they currently receive and should the rural factor also be incorporated into the highest discount bands? 21Slide22
Increase Funding Cap
FCC
seeks comment on whether to increase the annual $2.25B funding cap (temporarily or permanently) to ensure high capacity broadband connectivity to and within schools and libraries
22Slide23
Reform
Competitive Bidding
The FCC
seeks comments
on how to
reform the competitive bidding process: What are reasons that applicants do not receive multiple bids? How can they reduce the number of applicants that don’t receive multiple bids?Does the Lowest Corresponding Price Rule help ensure that applicants receive cost-effective prices?Should applicants be exempted from the Form 470 bidding process if they have complied with state procurement rules or if their total E-rate funding is below a certain amount?
Should
applicants be required to submit all competitive bidding documentation with their Form 471s or should they be required to submit a bid evaluation sheet?
23Slide24
Reform
Competitive
Bidding
(CONT)
Does the current system provide enough information to vendors to formulate bids?
Should all state master contracts automatically be deemed E-rate eligible even if they were not procured under the E-rate competitive bidding system?Should the deadline for signing contracts with vendors be revised to make it easier to comply with E-rate deadlines? Should technical assistance be offered by USAC to help applicants figure out cost effective pricing options and/or planning and procuring cost effective networks?
24Slide25
Increase
Consortia/Bulk Buying
The FCC
seeks comment
on ways to increase consortium purchasing
Does consortia purchasing reduce costs?How should the FCC encourage more consortia and other types of bulk buying opportunities?Should applicants be required to buy from state or regional master contractsShould the FCC or USAC establish a bulk buying program?
25Slide26
Increase
Transparency
FCC
proposes
to increase the transparency and seeks comments on the following:Transparency of E-rate spending How can the FCC increase transparency with respect to how E-rate funds are allocated and spent?Transparency of prices available for E-rate supported services How can the FCC best increase
the transparency of prices for E-rate supported
services
?
Transparency of prices being bid for E-rate
supported
services
Should the FCC consider
making bid responses public or at least accessible to other E-rate applicants? Transparency of actual purchase prices As an alternative to requiring public disclosure of all bids to provide E-rate services, should the FCC make available the prices applicants are paying for E-rate supported services?26Slide27
Direct
Payments to Applicants
FCC
proposes
to permit schools and libraries to receive BEAR reimbursement checks directly from USAC and not have to pass through the respective service providers
Should invoicing deadlines be more rigid in order to recapture and reuse unspent funds? 27Slide28
Permit
Multi-year 471s
FCC
proposes
to have PIA only review the first year of a
three year contract, provided there was no changes to the contract or recipients of service in the second and third years of contract. In the second and third years, applicants would still have to request E-rate funding via the Form 471, but their contracts would not be subject to PIA review.Should FCC also consider multi-year funding commitments? Should applicants only be permitted to sign contracts up to three years in length?
28Slide29
Expand
Document Retention
FCC
proposes
to extend the
E-rate program document retention requirements from five to at least ten years and seeks comments on the benefits and burdens of doing so Should applicants and vendors be required to keep records of all communications relating to bids for and purchases of E-rate services/equipment? Should the additional retention period only be required on an “as-notified” basis? 29Slide30
Permit
Community Wireless Hotspots
Should E-rate
support be available for off-site Internet access for students and the general public through “community wireless hot spots?”
30Slide31
Restrict
Authorized Signatories
The FCC
proposes
to require
E-rate applications to be signed by a person with authority equivalent to that of a corporate officer (presumably this is to eliminate E-rate consultants from signing forms)The FCC proposes to require a corporate officer of the service provider sign certain forms submitted to USAC
31Slide32
Filing
Comments
with the
FCC
Comments should:
Include your organization’s name and date on each pageUse a table of contents, regardless of the length of the submission Track the organization set forth in the NPRM in order to facilitate or internal review process (i.e., refer to paragraph numbers from the NPRM) Begin with a short and concise summary of your argument
Be submitted in .PDF
format
32Slide33
Filing
Comments w/the FCC
To submit your comments, go to:
http://
apps.fcc.gov/ecfs/upload/display?z=xj9g5
Click ‘Submit a Filing’ at the top left under ECFS Main Links. That will take you to an input page, asking for contact information. Proceeding # is 13-184Helpful filing guide available at:http://e-ratepa.org/erate_2oh.htm
33Slide34
Questions?Slide35
DMS E-Rate Assistance Team
Bridget Duff
b
ridget.duff@dms.myflorida.com
850-921-1650
Adolfo Arauzadolfo.arauz@dms.myflorida.com850-921-1651Lauren Harrislauren.harris@dms.myflorida.com850-922-7503