FCC Named Decisions

Request for Review by Park Hill School District, Kansas City, Missouri of the Decision of the Universal Service Administrator which rescinded Park Hill’s special construction and self-provisioned network for FY2016 and FY2017.  Kellogg & Sovereign Consulting serves as the E-Rate consultant for Park Hill and KS worked closely with Park Hill from the original planning stages in 2015.  Gina Spade with Broadband Legal Strategies served as legal counsel.  The FCC granted the request for waiver and provided clarification regarding E-Rate support for a shared network.  “We clarify that E-Rate eligible entities may share self-provisioned networks supported by the E-Rate program with ineligible entities so long as the ineligible entities pay their fair share of the undiscounted costs associated with constructing and/or operating the network. We further clarify that E-Rate eligible entities that elect to share their self-provisioned network with an ineligible entity bear the burden of demonstrating that the cost allocation method used to determine the ineligible entity’s fair share is reasonable.”

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Addresses 257 requests from petitioners seeking waivers of the FCC Form 471 application filing window deadline for various funding years under the E-rate program. The Commission grants 97 requests and 2 requests in part because the petitioners either timely filed their FCC Forms 471 or the petitioners have demonstrated that special circumstances exist justifying a waiver of the filing deadline.

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In this order, consistent with the Commission’s Bishop Perry Order and the Bureau’s Academy of Academic Excellence Order, the Telecommunications Access Policy Division grants 78 appeals of decisions by USAC denying their funding requests because the applicants failed to file their FCC Forms 471 before the filing window deadline. Established 14 day grace period for filing window deadline in special circumstances.

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In this Order, the Commission grants 72 appeals of decisions by the Universal Service Administrative Company reducing or denying funding on the grounds that the applicant did not have a legally binding agreement in place when it filed its FCC Form 471, that the applicant’s existing contract expired before the end of the funding year, or that the execution date of the contract did not accompany the signature lines of both the applicant and the service provider. Released on March 28, 2007. CC Docket No. 02-6. (FCC 07-35)

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Grants 128 appeals filed by Alaska Gateway School District, et al. of decisions by USAC reducing or denying funding from the E-rate program on the grounds that they failed to submit an FCC Form 486 by the deadline established by USAC. In each case, good cause exists to waive USAC’s deadline for the FCC Form 486 filed with USAC, and the FCC remanded the underlying applications associated with these appeals to USAC for further action consistent with this Order.

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Grants 38 appeals seeking to correct ministerial or clerical errors on their FCC Forms 470 and 471 and other related froms for funding under the E-rate program.

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In this order, the Bureau grants two requests for review finding that the petitioners did not violate the Commission’s competitive bidding rules using a tiered selection process.

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Request for Review of the Decision of the Universal Service Administrator by Bishop Perry Middle School,New Orleans, LA, et al., Schools and Libraries Universal Service Support Mechanism, File Nos. SLD-487170, et al., CC Docket No. 02-6, Order. 

Grants 196 appeals of decisions by USAC concerning the Schools and Libraries Program denying funding due to certain clerical or ministerial errors in the application, i.e., a failure to timely file an FCC Form 471, a failure to timely file a certification related to an FCC Form 470, or a failure to comply with minimum processing standards. Directs USAC to provide all future and pending applicants with a 15-day opportunity to cure any ministerial or clerical errors on their FCC Form 470, FCC Form 471, or associated certifications and to develop targeted outreach procedures designed to better inform applicants of application procedures.

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Review of the Decision of the Universal Service Administrator by Ysleta Independent School District, El Paso, Texas, et al., Federal-State Joint Board on Universal Service, Changes to the Board of Directors of the National Exchange Carrier Association, Inc., CC Dockets No. 96-45 and 97-21, Order. 

Affirms SLD’s decisions and denies the Requests for Review. however, FCC waives the filing window for Funding Year 2002 to permit the applicants to resubmit requests for eligible products and services for Funding Year 2002 under the terms of the order; Most of the applicants selected a Systems Integrator to provide millions of dollars worth of services, but chose the Systems Integrator without seeking bids on any of the prices of the specific E-rate funded services sought. Most of the applicants also submitted FCC Forms 470 expressing interest in purchasing a catalogue of virtually every eligible service, rather than developing a list of services actually desired, based on their technology plans, with sufficient specificity to enable bidders to submit realistic bids with prices for specified services. Some applicants also stated on their FCC Forms 470 that they did not have an RFP relating to the E-rate eligible services, and then subsequently released such an RFP just a few days later; FCC states these practices are contrary to FCC rules and policies and create conditions for considerable waste of funds.

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Request for Review of Decisions of the Universal Service Administrator by MasterMind Internet Services, Inc., SPIN-143006149, Federal-State Joint Board on Universal Service, CC Docket No. 96-45, Order. 

Concludes that, to the extent a MasterMind employee was listed as the contact person on the FCC Form 470 that initiated a competitive bidding process in which MasterMind participated, such Forms 470 were defective and violated competitive bidding requirements and the requests for support were properly denied; In those instances, however, where SLD denied requests for support that did not name a service provider as the contact person on the Form 470, FCC grants MasterMind’s requests for review, and remand those applications to SLD for further processing; concludes that MasterMind has not demonstrated special circumstances warranting a waiver of competitive bidding requirements.

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Request for Review of the Decision of the Universal Service Administrator by Copan Public Schools, Copan, Oklahoma, File No. SLD-26231, Federal-State Joint Board on Universal Service, CC Docket No. 96-45, Changes to the Board of Directors of the National Exchange Carrier Association, Inc., CC Docket No. 97-21, Order. 

Modifies the current categories of permissible SPIN changes and permit a SPIN change whenever an applicant certifies that (1) the SPIN change is allowed under its state and local procurement rules and under the terms of the contract between the applicant and its original service provider, and (2) the applicant has notified its original service provider of its intent to change service providers.

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Request for Review by the Department of Education of the State of Tennessee of the Decision of the Universal Service Administrator, Application No. 18132, Request for Review by Integrated Systems and Internet Solutions, Inc. of the Decision of the Universal Service Administrator, Request for Review by Education Networks of America of the Decision of the Universal Service Administrator, Federal-State Joint Board on Universal Service, CC Docket No. 96-45, Changes to the Board of Directors of the National Exchange Carrier Association, Inc., CC Docket No. 97-21, Order. 

Grants in part and denies in part the requests for review filed by the Department of Education of the State of Tennessee (Tennessee) and Education Networks of America (ENA); finds that Tennessee may receive discounts on Internet access service provided by ENA, but may not receive discounts on charges by ENA to Tennessee related to components of the ConnecTEN network it previously owned, but sold to ENA; denies the request for review filed by Integrated Systems and Internet Solutions, Inc. (ISIS 2000); contrary to ISIS 2000’s claim, Tennessee complied with FCC’s competitive bidding requirements.

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Request for Review by Kalamazoo Public Schools, Kalamazoo, Michigan of the Decision of the Universal Service Administrator which denied one of Kalamazoo’s Funding Year 2000 requests for discounted services. 

The decision clarifies process for meeting the 28 day competitive bidding requirement in cases where there is an existing contract for services.

“… we recognize that Kalamazoo was not necessarily required to sign a new contract to satisfy the competitive bidding rules. Instead, the relevant question is whether, after Kalamazoo posted its service for bidding with a [current year] FCC Form 470 and waited the 28-day competitive bidding period, it carefully considered all bids before choosing to continue service under its existing contract.”

“Although applicants who, after a bidding process, choose to continue service under an existing contract need not formally enter into a new contract, we believe it would facilitate application processing for applicants to memorialize their decision to continue the service and enter the date of this memorialization as the contract award date of the renewed contract in their FCC Form 471.”

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Request for Review of the Decision of the Universal Service Administrator by Nassau County Board of Cooperative Educational Services, Westbury, New York, File No. SLD-139083, Federal-State Joint Board on Universal Service, CC Docket No. 96-45, Changes to the Board of Directors of the National Exchange Carrier Association, Inc., CC Docket No. 97-21, Order. 

SLD denied funding for the one-time capital costs of a telecommunications service where those costs were incurred prior to the start of the funding year because it concluded that such costs should be deemed to be delivered in the year in which they actually occur. We find that, in limited situations, the infrastructure costs incurred by a telecommunications provider in preparation for the commencement of telecommunications service should be deemed to be recoverable beginning in the year in which the telecommunications service commences. We therefore reverse the decision of SLD, and remand this application for further review.

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The FCC granted a request for review filed by Queen of Peace High School (Queen of Peace) seeking review of a decision by the Universal Service Administrative Company (USAC) concerning discounted services under the E-rate program for funding year (FY) 2009. The FCC found that Queen of Peace’s competitive bidding process was not compromised by its inclusion of a service provider name on its FCC Form 470. The FCC also clarified that the Commission’s competitive bidding rules prohibit applicants from including a particular manufacturer’s name, brand, product or service in an FCC Form 470 or request for proposals (RFPs) unless they also use the words “or equivalent” in such a description. 

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