E-Rate BasicsPresentation to the Technology Oversight CommitteeAugust 26, 2009

What is E-Rate?

• Federal program administered by the FCC and Administered by the Universal Service Administration Company (USAC) and the Schools and Libraries Division (SLD)

• Fund comes from taxes levied on telecommunication services

• Intended to ensure that schools/libraries have access to affordable telecommunications by providing discounts on telecommunications, Internet Access, and Internal connections.

Funding to support technology

• District Budget -Maintenance and Operations • E-Rate• Building Renewal• Bond• Other• Technology override• Grants

Historical Context

• 1998 - First year for E-Rate• 1998/99 – 2002/03 - Successful E-Rate

applications submitted by TUSD TTS

• 2003/04- 2006/07 - Unsuccessful E-Rate applications submitted by TUSD TTS• 2006/07 – AG investigation

Historical Context• 2007/08 – TUSD process for E-Rate applications revised

• Office of Resource Development Coordinates E-RATE process• Use of E-Rate Consultant to ensure a compliant process and application• Use of multi-department team: Purchasing, Curriculum, Facilities, TTS• Development of Technology Infrastructure Plan as part of broader

Educational Based Technology Plan• Survey of Teachers, students, parents, community 3000+ responses

• Identified needs and desired outcomes

• Gap Analysis between what we have and what we want

• Plan for bridging the gap

• Proposed infrastructure standards for classrooms and schools

• Governing Board approved Standards for Infrastructure August 2007• E-Rate application is aligned to approved Infrastructure Standards

Historical Context

• 2007/08 - Application in Final Review

• 2008/09 - Application in Initial Review*• Applications can go in and out of Initial Review at anytime

before a funding commitment decision letter is issued

• 2009/2010 – Application in Initial Review

Who does E-Rate fund?

• K-12 schools and school districts – defined as an elementary or secondary school under NCLB

• Libraries- eligible under LSTA

What does E-Rate fund?

• Priority 1 – (funded first)

• Telecommunications Services• Telephone, cell phones, long distance, WAN

• Internet Access

• Priority 2 – (funded with neediest applicants first)

• Internal Connections• Equipment and wiring necessary to receive services in

the classrooms and rooms in libraries – published list of eligible items

• Basic Maintenance of Internal Connections• Necessary for continued operations of eligible internal

connection components

How much does E-Rate fund?

E-Rate provides discounts on eligible services or equipment based on percentage of student eligible for free or reduced lunch under NSLP

• District wide services (Priority 1) – discount is generally based on weighted student FRE count for the district• TUSD – Discount for 2009-2010 application 76%

E-Rate Discount• 75% - 100% of students FRE

• 48 TUSD schools

• 50%-74% of students eligible for FRE• 42 TUSD schools

• 35% -49% of students eligible for FRE• 9 TUSD schools

• 20% -34% of students eligible for FRE• 11 TUSD schools

• 1% -19% of students eligible for FRE• 5 TUSD schools

• 90% Discount

• 80% Discount

• 60% Discount

• 50% Discount

• 25% Discount

How much does E-Rate fund?

• Priority 2 – Internal connections• Discount is based on where the equipment is

located• If located at a school with a 90% discount – the cost of

the equipment is 90% discounted• If located at district level, discount is district weighted

discount (76%)

• Highly unlikely that Internal connections are funded below the 90% level

E-Rate application process

• Create Technology Plan • Must be approved by a USAC certified approver (ADE)

• Request Services• Form 470 – Either district files or state if using SMC• RFP - Special FCC rules –more restrictive than AZ

• Competitive Bidding• Choose/Contract for Services (From 471)• FCC rules about how bid evaluation is conducted

• Application development & Funding Commitments• Governing Board must commit applicant share and

necessary but ineligible costs

E-Rate application process

• Funding Commitment Decision Letter (FCDL)• Approved for funding• Denied • Appeal

• Start services

• Invoice USAC

E-Rate Planning

• Tentative Plan for Year 13 (2010/11)• Sept – Planning with E-RATE Team• Updates for Infrastructure Plan• File 470s – RFPs for necessary services

• Oct – Complete competitive bidding• Nov – Presentation to Governing Board on

recommendations• Dec - Presentation to Governing Board to approve

bids, contracts and request commitment of applicant share and necessary but not eligible funding; Begin filing process

• January – Complete applicationsEnd of Jan/early Feb - Close of filing window

• Questions?