E-rate Update - Service Start Date Guidance/Minimum Processing Standard
Message Posted April 1, 1998
SLC REVISES MINIMUM PROCESSING STANDARD - PROVIDES GUIDANCE ON SERVICE START DATE
The Schools and Libraries Corporation today released two additional updates for schools and libraries completing a Form 471 application for E-rate.
A) The Minimum Processing Standards have been revised to acknowledge that Item 7 on page 1 of Form 471 may be left blank on those 471 applications which are exclusively for tariff services not under contract. Please keep in mind that schools and libraries still needed to submit a Form 470 for this service. The SLC update just acknowledges that there is no appropriate option under Item 7 for purchases from tariff.
If you are one of the schools or libraries in PA who signed a written, binding contract for tariff services prior to the web site becoming operational, please continue to complete your Form 471 using the contract dates, etc. Otherwise, indicating that it is a tariff purchase will signal the SLC to only apply your discounts retroactively to the 29th day of posting, as opposed to the date of your contract signing.
B) In response to many questions from schools and libraries, the SLC released the following guidance on what should be included in the *Service Start Date* Column (column 7) of Items 15/16 on Form 471.
1. For services covered under a binding, written contract that are already being delivered, the service start date is the actual date such services started, or January 1, 1998, whichever is later.
2. For tariff services received by the applicant prior to the Form 470 and that applicant chooses to continue after the Form 470 28 day posting, the service start date is Day 29 after the date of the Form 470 posting.
3. For new services either under contract or tariff, the applicant has two choices:
a. If the applicant chooses to start services and is willing to assume the risk that it will not receive any, or the full amount, of discounts for which it is applying, the service start date is the actual date services start. The applicant must be prepared to pay the full cost for such services.
b. If the applicant will not initiate services until it receives its commitment for discounts, June 1, 1998 is the earliest service start date that should be listed.
4. (*This is not included in the official guidance, but we called SLC and received this valuable piece of information as well.) For one-time purchases (internal connections such as routers, hubs, switches, etc.) the service start should be the date you make your purchase or cut your purchase order.
Note: For services billed on a monthly basis, the Total Annual Pre-Discount Cost (Items 15/16, Column 10) should reflect the number of months from the service start date as listed in Column 7 of Items 15/16 until December 31, 1998.
Important Reminder: Discount commitments will be retroactive to the service start date. Applicants should exercise caution in their contracts and purchasing decisions to guard against the possibility that funding requests will be denied or adjusted by the SLC should the funding request not comply with Program rules and/or should total funding requests exceed the available funds.
For questions about the service start date or the minimum processing standards, please call toll-free 888-203-8100, or send e-mail to question@slcfund.org.
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Julie L. Tritt
Office of Educational Technology 717/787-5820
Pennsylvania Department of Education 717/787-7222 (fax)
333 Market Street, 10th Floor 00jtritt@psupen.psu.edu
Harrisburg, PA 17126 www.cas.psu.edu/pde.html
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