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Year 5, Wave 30a Funding Issued
~ Many Denials for "Similar 470" Requests ~
Message Posted July 25, 2003

The SLD has released a extra Year 5 wave, known as Wave 30a, worth $166,114.66 for Pennsylvania applicants (bringing PA's Year 5 total to more than $87,245,000). But what is more significant than this "extra" wave the SLD released for Year 5 is the FRNs that were NOT funded.

A total of 26 Pennsylvania FRNs for the company Connect 2 were denied in Year 5, and almost all of the applicants were charter schools. You may recall that executives from Connect 2 were arrested on December 18, 2002 on federal criminal charges of fraud and obstruction of justice in connection with a scheme designed to defraud the E-rate program. But the SLD's reason for denial should cause all applicants to take notice. It states: "Similarities in descriptions on Forms 470 among applicants associated with Connect2 Internet Networks, in connection with documented abuses of the program by this vendor, indicate the vendor was improperly involved in the competitive bidding and vendor selection process."

The SLD obviously is sensing that identical 470's provide proof of vendor involvement in the competitive bidding process -- a no-no in the E-rate program. Therefore, the next time a vendor offers to provide you with a sample or stock description of services, think twice. Because although the vendor may have no real involvement in the bidding process, the SLD may view it differently.

Below is a list of institutions that DID receive funding in Year 5, Wave 30a.

Year 5, Wave 30a

Applicant Name/Committed Amount
DELAWARE VALLEY CHARTER HIGH SCHOOL $2,551.76
DEVEREUX BENETO DAY SCHOOL $14,736.00
DEVEREUX BENETO BRANDYWINE $7,469.06
DEVEREUX BENETO MAPLETON $36,820.44
DEVEREUX KANNER $14,019.37
FRANKLIN TOWNE CHARTER HIGH SCHOOL $8,136.00
FREIRE CHARTER SCHOOL $8,640.00
LANCASTER PARTNERSHIP CHARTER SCHOOL $10,461.53
NUEVA ESPERANZA ACADEMY $6,372.00
PHILADELPHIA ACADEMY CHARTER SCHOOL $11,616.00
ROBERTO CLEMENTE CHARTER SCHOOL $29,149.20
WAKISHA CHARTER SCHOOL $16,143.30

Total Year 6, Wave 30a $166,114.66
Total, Year 6 $87,245,461.19


Julie Tritt Schell

jtschell@comcast.net
(717) 730.7133 (voice)
(717) 730.9060 (fax)

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