Simplifying the rules and educating applicants will strengthen the $2.25 billion-a-year eRate program and help prevent waste, fraud, and abuse, the Federal Communications Commission (FCC) learned at a public forum held May 8 in Washington, D.C.

FCC Commissioner Kathleen Q. Abernathy organized the forum to hear specific, concrete suggestions for reforming the eRate program, which has provided 66 percent of U.S. public schools with discounts on their telecommunications services, internet access, and internal wiring since its inception five years ago.

"While the program has been successful, like all government programs it can be improved," Abernathy said. "Today we have the opportunity to discuss some of the harder questions that have been raised—questions that the commission did not address at the April 24 hearing."

Owing to increased publicity over instances of eRate fraud and abuse, the FCC recently has stepped up its efforts to improve the program. At the aforementioned hearing in late April, the FCC adopted new rules, clarified others, and issued a Further Notice of Proposed Rulemaking to invite public comment (see "FCC moves to ban eRate 'bad actors,' approves wireless," http://www.eschoolnews.com/news/showstory.cfm?ArticleID=4371).

At the May 8 forum, participants representing schools, libraries, service providers, and consultants shared their ideas about how to streamline the program so it can succeed in the future. Representatives from the Schools and Libraries Division (SLD) of the Universal Service Administrative Co. (USAC), which administers the eRate program, also attended.

Simplicity

"The program must be made more simple," said Greg Weisiger, eRate contact for the Virginia Department of Education, who spoke on behalf of the Council of Chief State School Officers' eRate Alliance. The 31 members of the alliance met for three days in Washington, D.C., last week to make recommendations for this forum.

Each year, approximately 20 percent of eRate applications are denied. Many of these denials are for procedural errors or confusion over eligible services—not waste, fraud, or abuse, Weisiger said.

"Whatever can be done to simplify and streamline the eligible services list, the application process, and the rules on the SLD web site will go a long way to improving applicant participation and reducing confusion," he said. He also suggested that eliminating the Form 470, eliminating Block 3 from Form 471, and allowing Form 486 certification on the Form 471 for certain services would help.

Orin Heend, president of eRate consulting firm Funds for Learning LLC, agreed. "Simplify the rules, make them less ambiguous, and don't change them in the middle of an application year," he said.

Education

Participants agreed that applicants' knowledge of the program and its rules is essential to preventing waste, fraud, and abuse.