Calculating Discount Rates
District-wide Discount: Schools
Q1: How does the E-rate Modernization Order change the way schools calculate their E-rate Program discounts?
Q3: What if some or all of the schools in my district participate in CEP? Does that change the way that I calculate my school district discount?
Q4: When does the district-wide discount rate requirement go into effect?
Q5: How does the district-wide rule affect districts that use alternative means to determine their discount percentage?
Q7: Can a district seeking Category Two purchases for only its most disadvantaged schools (i.e., those with more than 75 percent of their students qualifying for NSLP) apply on behalf of only those schools and get an 85 percent discount rate?
Q8: What is the definition of rural for purposes of the E-rate Program?
Q9: If half of the schools in a district are rural and the other half are urban, is the district considered rural?
Q10: How has the FCC Form 471 “Discount Calculation” section been changed to accommodate the new district-level calculations?
Q11: Now that all schools in a district are subject to the same discount rate, does the 3-year prohibition on transfers between schools within a district still apply?
Q12: Now that all schools in a district are subject to the same discount rate, can schools share their budget with other schools in their district if they have money left in their budget?
District-wide Discount: Libraries
Q13: How does the E-rate Modernization Order change the way libraries calculate their E-rate Program discounts?
Q14: How do the urban/rural designations apply to libraries and library systems?
Q15: Does the library always get the urban/rural status of the school district in which the central library outlet or main administrative office is located?
Q16: What is the definition of rural for purposes of the E-rate Program?
Q17: How should a library system with branches in more than one public school district calculate its discount?
Q18: How should a library system determine the central library outlet or main administrative office?
Q19: If the library system is applying as a system or an individual branch within that system is applying on its own, should it use the NSLP data for the public school district in which the library system main branch is located?
Q20: How do I calculate the discount rate for my bookmobile?
District-wide Discounts: Consortia
Eligible Fiber Services
Eligible Fiber Services and Charges
Q1: What are the fiber services eligible for E-rate support and how do they differ?
Q2: When are the recurring charges associated with leased lit fiber, leased dark fiber, and self-provisioned networks eligible for E-rate support?
Q4: Can applicants incur charges for special construction in one funding year and light the fiber in a later funding year? Stated differently, can applicants request support for special construction of fiber that is not lit, or a self-provisioned network that is not used (if another technology is employed), within the funding year of my funding request?
Q5: What if special construction for a fiber run or network cannot be completed in one year because of the terrain, the extensiveness of the build, or other foreseeable factors? Are there any exceptions that will let me seek special construction charges for fiber that is not lit within the same funding year as the funding request?
Q6: What can an applicant do if the scope of the project might prevent them from completing construction and lighting the fiber by June 30?
Q7: What if my special construction project is delayed by an extreme weather event, a natural disaster, or other unforeseen, unavoidable factor?
Q9: How do I know when on-premise equipment is Network Equipment eligible for Category One support or an internal connection eligible for Category Two support?
Q10: If on-premise equipment performs both Category One and Category Two functions, and it is determined that it qualifies as Category One Network Equipment, does an applicant have to cost-allocate anything out of their funding request due to the Category Two functionality?
Q11: May I request E-rate support for new Network Equipment and Maintenance and Operations (M&O) charges for an existing leased dark fiber or self-provisioned network?
Q12: So, to recap, of the charges I may incur for each type of eligible fiber service, which are eligible for E-rate support?
Q13: I understand that special construction charges incurred after the close of the funding year (i.e. June 30) are ineligible for E-rate support. Is it possible for me to start work early and incur charges for special construction and Network Equipment purchases incurred prior to the July 1 start of the funding year?
Requesting Bids for Fiber Services – FCC Form 470 & Requests for Proposal (RFPs)
Q14: Are there any competitive bidding requirements applicable to leased dark fiber?
Q15: If I have a pre-existing, multi-year dark fiber lease or an IRU, do I need to post a new FCC Form 470 for the current funding year and request competitive leased lit fiber bids?
Q16: What is the competitive bidding requirement applicable to self-provisioned networks?
Q17: Is “services provided over third-party networks” a technology-neutral standard? What if I’m only interested in bids for a fiber service?
Q18: Are there any competitive bidding requirements applicable to leased lit fiber?
Q19: How do I request bids for fiber services? Do I have to attach a separate Request for Proposal (RFP)?
Q20: What if I don’t seek bids for fiber on the FCC Form 470 itself, but I do request fiber bids in an attached RFP? Does that satisfy E-rate Program rules requiring a fair and open competitive bidding process?
Q21: Can the applicant state that they would prefer to self-provision a network over a leased lit fiber or leased dark fiber solution? Can the applicant state that they would prefer a leased dark fiber solution over a leased lit fiber or self-provisioning a network?
Q22: If I post a separate RFP, should I identify all of the services for which I am seeking bids in that RFP, or is it enough to just have those services identified in the FCC Form 470?
Q23: What kind of information should I include in an FCC Form 470 and/or RFP seeking bids for fiber services?
Q24: What if I do not expressly request bids for special construction in conjunction with my FCC Form 470 seeking bids for a fiber service? Can a service provider still include special construction charges in their proposal?
Q25: Do I need to do anything during the competitive bidding process to indicate that I would like service providers to offer an installment payment option for my non-discount share of special construction charges?
Q26: How do I seek bids for Network Equipment for a leased dark fiber or a self-provisioned network?
Q27: How do I seek bids for Maintenance & Operations (M&O) services for a leased dark fiber or self-provisioned network?
Q28: If I’m seeking bids for Network Equipment or Maintenance and Operations (M&O) services for an existing leased dark fiber or self-provisioned network, what are the competitive bidding requirements?
Q29: Is there a reference source to help determine which Category One (C1) drop-down options to utilize when selecting services to solicit bids on the FCC Forms 470?
Selecting the Most Cost-Effective Service Offering
Preparing a Fiber Funding Request (FCC Form 471)
Q31: What are the different types of funding requests that I may need to include in my FCC Form 471 if I request E-rate support for leased dark fiber or a self-provisioned network?
Q32: What types of funding requests might an applicant file when seeking support for leased lit fiber?
Q33: Do I have to include all funding requests related to the same requested service in one FCC Form 471?
Q34: What helpful information should I put in the narrative of a special construction funding request?
Q35: Am I still required to amortize large non-recurring capital costs over a period of three years for charges of $500,000 or greater?
Q36: Can you explain the requirements regarding installment payments for the non-discount share of special construction charges?
Q37: Can I obtain additional E-rate support to match funding that I receive from my state, Tribal government, or other federal agency for special construction charges?
Q38: What will USAC evaluate to determine if I may receive additional E-rate discounts to match state, Tribal, or federal funding for my special construction funding request?
Q39: Does USAC have a list of state, federal, or Tribal sources of funding that have been deemed eligible for the purposes of obtaining additional E-rate discounts for special construction charges?
Program Integrity Assurance (PIA) Review
Q40: What kind of information should I be prepared to provide to USAC to demonstrate that I have selected the most cost-effective solution for my connectivity needs?
Q41: I understand that USAC might ask very technical and detailed questions about my fiber build. I’m not an engineer or techie. Is there someone who can help me understand the information that the questions are asking for and whether I’m providing USAC with the correct information?
Q42: I understand the questions, but I do not have all of the information that PIA reviewer has requested. Do I still have to respond to the questions? If so, what do I do?
Invoicing
General Tips
Eligible Services
Classification of Category One and Category Two services
Q1: Are costs for applicant-owned wide area networks (WAN) now eligible as Category One services?
Q3: How are connections between buildings of a single school classified?
Q4: What if the different schools or libraries are located on the same campus? Are the connections installed between them eligible for Category One support?
Q5: Isn’t a connection that crosses a public right-of-way eligible for Category One support, and any fiber connection that does not cross a public right-of-way an internal connection?
Q6: So, in the high-rise example above, if three floors of the building are occupied by instructional facilities of a single school, the connections installed between the floors occupied by the single school would be internal connections?
Q7: What about a single school campus that is intersected by a public right-of-way, with instructional buildings located on either side of the public right-of-way? Would the connections between all of the instructional buildings be internal connections?
Q8: What about a single school with multiple campuses that are located miles apart? Would connections installed between the instructional buildings on the different campuses be internal connections?
Voice Services
Q9: Will the E-rate Program still cover at least voice access from every classroom in case of an emergency or in case a teacher needs to take a student somewhere and needs to call for a temporary substitute?
Q11: Are phased out services still covered (grandfathered) if they are part of pre-existing multi-year contracts that have previously been funded? How about for any extensions that were explicitly anticipated?
Hurricane Relief Orders
About the FCC Emergency E-rate Assistance Order and General Questions
Q1: What does FCC Order FCC 17-139 mean for schools and libraries impacted by the recent hurricanes?
Q4: What is my first step as a Directly Impacted Applicant? How do I apply for the additional funding?
Q5: What must a school or library certify in order to obtain benefits as a Directly Impacted Applicant?
Q6: What is the deadline for submitting FCC Form 471 FY 2017 applications for the Second FY 2017 Application Window?
Q8: Will my FY 2018 funding be impacted because I applied for funding in the Second FY 2017 Application Window?
Q9: I qualify as a Directly Impacted Applicant and want to take advantage of all of the different kinds of relief. How do I do this?
Q10: The FCC’s Order seems to suggest that any funding I receive in excess of the cost for products and services requested in my application must be returned to USAC. Is this true?
Eligibility
Q12: I meet the definition of both a Directly Impacted Applicant and an Indirectly Impacted School. Can I get relief as both types of entities?
Q13: My school or library is not located in the area designated for individual assistance but I still sustained damage as a result of one of the Hurricanes. What relief is available to me?
Q14: I received a number of displaced students. What relief is available to me?
Q15: My school district’s student population increased by 5 percent overall. Is this sufficient or does each school have to show an increase in population of 5 percent or more?
Q16: My school increased its student population by over five percent of my pre-Hurricane count due to an influx of displaced students. My school is not located in an area designated by FEMA as eligible for individual assistance as result of Hurricanes Harvey, Irma, or Maria. Can I still seek relief?
Q17: My school lost students and then regained other students because of evacuation patterns in my community. What student count do I use to determine if I have experienced a 5 percent or more increase?
Q18: My student population increased as a result of other natural disasters other than from Hurricanes Harvey, Irma, and Maria. Am I eligible for relief?
Q19: My school is providing additional services, but has not experienced a 5 percent net increase in student population due to the influx of students displaced by the Hurricanes. Is my school still eligible for relief?
Q20: Some of the schools in my district or libraries in my system were damaged and others were not. Can I apply for relief?
Q21: In my district of 15 schools, 12 were completely destroyed and three were undamaged. I have a funding commitment for recurring services for all 15 schools. Can I use the entire commitment for FY 2017 even though the 12 schools are not expected to reopen this year?
Q22: If I don’t apply in the Second FY 2017 Application Window as a Directly Impacted Applicant, am I still eligible for a higher discount?
FCC Form 470
Q23: For the Second FY 2017 Application Window, do I have to post a new FCC Form 470?
Q24: How do I file the FCC Form 470 for the Second FY 2017 Application Window?
Q25: I plan to file a new FCC Form 470. How quickly can I purchase the services requested?
Q26: How do I indicate on the FCC Form 470 that the request is for a Directly Impacted Applicant or Indirectly Impacted School?
Q27: If I submit a new FCC Form 470 for the Second FY 2017 Application Window, how will service providers be able to search and find bid opportunities?
Q28: Can a state agency file an FCC Form 470 that then results in a contract that is not signed by the state? For example, can a state file a FCC Form 470 and then leave the vendor selection and contract award to the local school or library districts?
Q29: The Necessary Resources certification on the FCC Forms 470 and 471 states that the applicant has secured access to all of the resources necessary to use the services purchased effectively. How can I make this certification truthfully if I do not have, for example, an approved budget or a current assessment of damage to my computers?
Q30: I am a Service Provider looking for applicants that need to purchase products and services destroyed or damaged by the Hurricanes. Where do I find these opportunities?
FCC Form 471
Q31: Can applicants ask for more funding than they did in the first FY 2017 application window?
Q32: Can an entity repeat a funding request on a FY 2017 Form 471 filed in the second FY 2017 application window if the entity does not yet have a funding commitment on its first FY 2017 request?
Q33: Is the Category Two budget reset for each individual school or for its entire school district?
Q34: Do I have to apply in the Second FY 2017 Application Window to have my Category Two budget reset?
Service Providers
Q35: My service provider wants to waive my non-discounted share as a sign of support for our district. Is that OK?
Q36: My service provider wants to provide some additional eligible equipment and services for free or as a donation as a sign of support for our district. Is that OK?
Q37: I need my network to be up and running right now. A new service provider said they can fix it today. Can I just take their bid?
Service Substitutions
Document Retention
Eligible Equipment and Equipment Transfers
Q40: Some of my facilities have closed and the district is in the process of evaluating which facilities will reopen and when. If I can salvage some of my equipment, where can I use it?
Q41: If a consortium owned a piece of equipment located at a damaged school, can the consortium replace the equipment at an 85 percent discount?
Q42: If there was no damage to eligible equipment and services as a result of the Hurricanes but there was physical damage to my school or library (e.g., part of the roof was damaged), am I eligible for relief?
Eligible Services
Low Cost High Speed Internet Access
Q1: Do I always have to post an FCC Form 470 and conduct a competitive bidding process to get E-rate Program funding for Internet Access?
Q2: Must the Internet Access meet all the criteria to qualify for funding?
Q3: I don’t have a service provider that can offer those bandwidth speeds. Can I still use this exemption?
Q4: Can I use this exemption to get support for a telecommunications broadband circuit?
Q5: What types of Internet connections can this be used for? For example, must the connection be provided over fiber or over cable?
Q6: I have three libraries that need Internet Access. Company A advertised in the local paper that it provides Internet Access at 100 Mbps downstream and 20 Mbps upstream for a cost of $250 per month per location with no installation charge. Would this offering be eligible for the exemption?
Q7: I have two schools that are interested in this exemption. The Internet Access cost for one school is $3,000 per year, but the cost for the second school is $4,000 per year. Can I average the cost for the two schools to fall below the $3,600 per entity annual limit?
Q8: I’d like to use this exemption to purchase Internet Access for my administrative office, which is a non-instructional facility. Is that allowed?
Q9: I am already receiving Internet Access for my LAN/WLAN but it is not sufficient to meet all of my needs. Can I use this exemption as a way to supplement my existing Internet Access at a particular school or library?
Non-Instructional Facilities (NIFS)
Q3: My NIF has classrooms. Do I still use the snapshot method to figure out the discount rate?
Q4: My NIF is located in a rural area, but the district is urban. How do I get a higher discount rate for my NIF?
Q5: To determine the urban/rural status of my district, do I count NIFs when figuring out if more than half of my entities are rural?
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