Warning: Form 470 Menu Options Remain Problematic for FY 2020:
As of today, July 1st, USAC is scheduled to activate the FY 2020 version of the Form 470. In both format and language, the “new” version is identical to the FY 2019 version. Most importantly this means that the confusing and misleading menu options for requesting Category 1 services remain the same.
This is the same basic problem with the Form 470 that began with a revised version for FY 2018. That version led to many discrepancies — potential competitive bidding violations — between the services requested on Form 470s and services received and posted on Form 471s. As a result, the FCC issued special instructions (DA 18-444) to USAC not to deny FY 2018 applications for Form 470/471 mismatches on Internet services. The FCC also instructed USAC to clarify the Form 470 dropdown menu options for FY 2019. Unfortunately, the resulting clarifications — primarily the addition of parenthetical text — did little help. As discussed in our newsletter of November 19th, the two most common problems applicants encountered with the FY 2019 Form 470 were:
- Selection by smaller applicants of the “Internet Access: ISP Service Only (No Transport Circuit Included)” option when, in fact, their Internet services did include circuits as is the normal case involving cable modem services; and
- Failure by applicants to distinguish between non-fiber and fiber-based Internet services using either the “Internet Access and Transport Bundled (Non-Fiber)” and the “Leased Lit Fiber” (with or without bundled Internet services) options.
Again this year, the FCC is being asked to instruct USAC to ignore resulting Form 470/471 mismatches on Internet services. The most recent FCC filing on this issue was made on June 21st by SHLB (the Schools, Health & Libraries Broadband Coalition). The SHLB ex parte submission asks the FCC to:
- Provide relief for FY 2019 applicants who misfiled their Form 470 Internet access requests;
- Proactively and prospective grant relief on the same basis for FY 2020 applicants; and
- Direct USAC to work with interested stakeholders to develop new plain-language Form 470 dropdown options for FY 2021.
The best course of action for applicants filing Form 470s for FY 2020 is to carefully select the proper Category 1 dropdown options. For this we offer the same advice we provided last year.
- If unsure of the transmission media of services to be requested, include all fiber, non-fiber, and Internet options.
- Include a clear textual description of the services you are seeking in the “Narrative.”
- Consider creating a Customer Service Case, including your “Narrative” text, seeking specific USAC guidance on the proper Form 470 option choices. Adherence to such USAC advice, if provided in writing, may be useful in any future appeal proceeding.
The following table developed last year by EducationSuperHighway provides more detailed guidance.
Additional FY 2020 Form 470 reminders are included in USAC’s latest News Brief discussed below.
Reminder: Form 486s as of July 1 Do Not Require Early Filing Certifications:
Normally applicants are not required to file Form 486s for committed funding until services have started. However, applicants funded prior to July 1st — Waves 1-10 for FY 2019 — are permitted to file Form 486s earlier if they certify that the services will start sometime in July. As noted in our newsletter of April 29th, early filings are particularly useful for applicants seeking to have their services discounted using the SPI process beginning with their July invoices.
As of this week, there is no reason to file an “early” Form 486. Indeed, applicants henceforth filing “regular” Form 486s for services starting July 1st should take care not to check the “Early Filing” certification.
Update on Emails Sent from EPC:
Last week’s USAC News Brief, referenced below, noted that it had become aware that email notifications sent from EPC were coming from multiple domains and senders at USAC. Starting this week, all emails from EPC will be coming from the portal.usac.org domain. All assigned tasks will be coming from the admin@portal.usac.org email address. USAC suggests that applicants and service providers add this domain and email address to their safe sender list.