SLD Conducting 1000 Site Visits of E-rate Recipients
Message Posted January 23, 2005
The SLD has contracted with consulting firm, Bearing Point, to conduct 1000
on-site applicant visits beginning this month to supposedly do spot checks
on selected invoices. In reality, we are learning that these "visits" are
like mini-audits and should be treated as such. But unlike normal audits
that are typically done on applicants that have received large funding
amounts or who are under suspicion for wrongdoing, these mini-audits are
being done at random, including in small, rural areas that only receive a
few thousand dollars in E-rate funding.
We know of a few applicants in Pennsylvania that already have been notified
of their "visits" and we've heard stories from applicants in other states
who have already undergone their Bearing Point audit. Below is a brief
summary of how the initial contact is typically made, what the applicant was
told they would be asked for during the visit, and what the auditors
actually requested while they were there.
My advice is to treat this as an actual audit instead of the friendly site
visit as it is billed to be. Give them only what they ask for and know that
if they find that you are in violation of a rule or procedure, a funding
recovery process will begin to recover E-rate funding. Although you don't
have to report anything back to me, if you are the lucky recipient of one of
these visits, I'd really appreciate knowing your experience so I can share
it with other applicants and report anything inappropriate to SLD officials.
What we've learned from the initial mini-audits:
1) Applicants do not have a lot of flexibility on the scheduling. A
typical call announcing a visit specifies a date, then asks, “Would 8:00 or
8:30 a.m. be most convenient?” If the date selected is truly inconvenient
for an applicant, we expect it can be changed, but don’t expect an extended
postponement (e.g., until after the Form 471 deadline).
2) The SLD hopes that any visit can be completed in one day or less. The
focus of each visit is supposed to be to check on one invoice, however we've
heard that when they get there they want to see documentation for numerous
invoices. Expect the auditor(s) to ask for competitive bid and assessment
documentation, the associated contract, proof of applicant payment, and an
inventory record. The actual installation will need to be confirmed.
3) Checks will also be made on the availability of supporting resources (as
per Item 25 certifications). Teachers and staff will be questioned as to
how the equipment is being used and on staff development.
4) There is nothing wrong with serving tea, but these are not social
visits. Negative reports can lead to more in depth audits and/or repayment
demands. If information is requested that cannot immediately be provided,
offer to provide it later. Document everything — questions and answers.
5) The following is a list of questions and document requests received by
applicant in another state DURING the site visit:
o Copy of the bill for the specific FRN
o Copy of the district’s payment for their portion of the bill
o Copy of the inventory for the site of the specific FRN
o How has your FRN been used?
o Questions about a couple of other FRNs and other sites (which weren’t
included in the initial request)
o Electronic version of long range tech plan
o Copy of letter approving long range tech plan
o Questions about which doors have locks – storage areas, wiring closets,
and classrooms – and questions about air conditioning in wiring closets
o Proof of adequate staff development. How is staff development delivered?
Who does staff development?
o A checklist of what is installed on new hardware.
o Who determines which hardware is purchased? How can you show that?
o Proof of adequate technical support
o Who does the E-rate applications?
o Who decides on what is requested?
o Who chooses vendors?
o How are vendors selected?
o Proof of additional bids
o Questions about satisfaction with vendors
o Do you use the SLD web site and WebEx training sessions?
o Do you file 472’s or does the vendor file 474? Why?
o Do you use a consultant? Why or why not?
o Where are your records for the last 5 years? (Are they color coded?)
o Questions about how E-rate money been used since the beginning of the
program
o Questions regarding moving and labeling equipment with the corresponding
FRN
o How has the program helped? What would you change?
o Information on the number of networked computers in the district
o Pictures taken of everything identified as being connected with E-rate
o Request to speak with a classroom teacher and/or media specialist
o Proof of instructional use of Internet. Asked for a specific example of
how the Internet has improved student achievement. Asked about the computer
programs or Web sites being used
Julie Tritt Schell
jtschell@comcast.net
(717) 730.7133 (voice)
(717) 730.9060 (fax)
| 
Back to 2005 Archives Main