Before the

**Federal Communications Commission**

**Washington, D.C. 20554**

+----------------------------------+---+------------------------------+
| In the Matter of                 | ) | File No. SLD-135248          |
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| Request for Review of the        | ) | CC Docket No. 96-45          |
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| Decision of                      | ) | CC Docket No. 97-21          |
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| the Universal Service            | ) |                              |
| Administrator by                 |   |                              |
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| North Country Library System     |   |                              |
|                                  | ) |                              |
| Watertown, New York              |   |                              |
|                                  | ) |                              |
| Federal-State Joint Board on     |   |                              |
|                                  | ) |                              |
| Universal Service                |   |                              |
|                                  | ) |                              |
| Changes to the Board of          |   |                              |
| Directors of the                 | ) |                              |
|                                  |   |                              |
| National Exchange Carrier        | ) |                              |
| Association, Inc.                |   |                              |
|                                  | ) |                              |
|                                  |   |                              |
|                                  | ) |                              |
|                                  |   |                              |
|                                  | ) |                              |
+----------------------------------+---+------------------------------+

**ORDER**

**Adopted**: March 29, 2001 **Released**: March 30, 2001

By the Accounting Policy Division, Common Carrier Bureau:

1\. The Accounting Policy Division has under consideration a Request for
Review filed by North Country Library System (North Country), Watertown,
New York, on behalf of Henderson Free Library (Henderson), Henderson,
New York on June 9, 2000, pursuant to section 54.719(c) of the
Commission's rules.[^1] North Country seeks review of a decision of the
Schools and Libraries Division (SLD) of the Universal Service
Administrative Company (Administrator), denying its requests for Funding
Year 2 because of a violation of the 28-day posting requirement for
signing and submitting its FCC Form 471 to SLD. For the reasons
discussed below, we deny the Request for Review.

2\. Under the schools and libraries universal service support mechanism,
eligible schools, libraries, and consortia that include eligible schools
and libraries, may apply for discounts for eligible telecommunications
services, Internet access, and internal connections.[^2] The
Commission's rules require that the applicant make a bona fide request
for services by filing with SLD an FCC Form 470, which is posted to the
Administrator's website for all potential competing service providers to
review.[^3] After the FCC Form 470 is posted, the applicant must wait at
least 28 days before signing and submitting an FCC Form 471, which
requests support for eligible services.[^4] SLD reviews the FCC Forms
471 that it receives and issues funding commitment decisions in
accordance with the Commission's rules. Section 54.507(g) of the
Commission's rules provides, inter alia, that applicants filing
applications during a filing window receive priority for support as
compared to applicants that file their applications after the window has
closed.[^5] In Funding Year 2, the filing window for priority funding
closed on April 6, 1999.[^6] The Commission's rules also provide that
applicants filing outside the established window will be funded, if
funds are available, on a first come, first serve basis.[^7]

3\. By letter dated August 24, 1999, SLD denied Henderson's request for
funding of telecommunications services, Funding Request Number 202012,
because "\[t\]he \[F\]orm 471 was signed and/or submitted prior to the
expiration of the 28-day waiting period from the day of the posting of
the FCC Form 470 to the SLD Web Site."[^8] On behalf of Henderson, North
Country appealed to the Administrator, arguing that, although Henderson
filed its Form 470 on December 10, 1998, SLD did not post the FCC Form
470 on its web site until March 9, 1999. [^9] This posting delay,
asserted North Country, made it impossible for Henderson to file its FCC
Form 471 before the priority funding application window closing deadline
of April 6, 1999 and still remain in compliance with the 28-day
rule.[^10] In the Administrator's Decision on Appeal, SLD affirmed its
earlier decision denying funding because Henderson's FCC Form 471 was
signed and received by SLD prior to the expiration of the 28^th^ day
after it was posted on the SLD's web site.[^11]

4\. In the instant Request for Review, North Country again argues that
SLD's delay in posting Henderson's FCC Form 470 prevented Henderson from
filing its FCC Form 471 in a manner that complied with the Commission's
rules.[^12] North Country faults SLD for delaying the posting of
Henderson's Form 471 without accounting for such delay and claims that
Henderson is unaware of any problems encountered by SLD that caused that
delay.[^13]

5\. We affirm SLD's decision to deny Henderson's funding request on the
basis that Henderson violated the 28-day posting requirement. Consistent
with the Commission's rules, FCC Form 470 instructions clearly state
that applicants must wait at least 28 days after the posting of FCC Form
470 on the SLD Web site before filing their FCC Form 471.[^14] Our
examination of the record indicates that SLD received Henderson's FCC
Form 470 on December 14, 1998, and posted the form on its website on
March 9, 1999.[^15] Consistent with the 28-day rule, as part of this
posting, SLD indicated that the earliest date on which Henderson could
submit its Form 471, was April 6, 1999.[^16] Henderson, however,
submitted its FCC Form 471 on March 29, 1999.[^17]

6\. The record further indicates that the delay in posting the form to
the SLD website was caused by the filing of a defective FCC Form 470 by
Henderson. Specifically, Henderson left certification items 24, 25, and
26 blank on its Form 470.[^18] The record reflects that, in an effort to
notify Henderson of this omission, SLD telephoned Henderson on eleven
separate occasions between December 1998 and March 1999 without
success.[^19] In light of the thousands of applications that SLD reviews
and processes each funding year, it is administratively necessary to
place on the applicant the responsibility of understanding and complying
with all the relevant program rules and procedures.[^20] It therefore is
incumbent on the applicant to ascertain the date its Form 470 has been
posted, so that it can wait the appropriate period of time before
entering into an agreement.[^21]

6\. We conclude, moreover, that North Country has not presented adequate
grounds for grant of a waiver of the 28-day posting requirement. We have
strictly enforced both the 28-day posting requirement and the section
54.507(g) filing window deadline.[^22] Only in rare cases, have we
granted waivers of these rules.[^23] In those instances, the applicants
properly submitted their FCC Form 470 but SLD failed to post them to its
web site in a timely manner causing the waiting period to extend past
the filing window deadline.[^24] In this instance, however, Henderson's
defective Form 470, not SLD, caused the posting delay. Therefore, a
waiver of the Commission's rules is not warranted.

7\. ACCORDINGLY, IT IS ORDERED, pursuant to authority delegated under
sections 0.91, 0.291, and 54.722(a) of the Commission's rules, 47 C.F.R.
§§ 0.91, 0.291, and 54.722(a), that the Request for Review filed by
North Country Library System, Watertown, New York, on behalf of
Henderson Free Library, Henderson, New York, on June 9, 2000 IS DENIED.

FEDERAL COMMUNICATIONS COMMISSION

Mark G. Seifert

Deputy Chief, Accounting Policy Division

Common Carrier Bureau

[^1]: Letter from Yvonne Reff, North Country Library System, to Federal
    Communications Commission, filed June 9, 2000 (Request for Review).
    Section 54.719(c) provides that any person aggrieved by an action
    taken by a division of the Administrator may seek review from the
    Commission. 47 C.F.R. § 54.719(c).

[^2]: 47 C.F.R. §§ 54.502, 45.503.

[^3]: *See* Schools and Libraries Universal Service, Description of
    Service Requested and Certification Form, OMB 3060-0806 (December
    1998) (FCC Form 470); 47 C.F.R. § 54.504(b); *Federal-State Joint
    Board on Universal Service*, CC Docket No. 96-45, Report and Order,
    12 FCC Rcd 8776, 9078, para. 575 (1997) (*Universal Service First
    Report and Order*), *affirmed in part*, *Texas Office of Public
    Utility Counsel v. FCC*, 183 F.3d 393 (5th Cir. 1999) (affirming
    *Universal Service First Report and Order* in part and reversing and
    remanding on unrelated grounds), *cert. denied*, *Celpage, Inc. v.
    FCC*, 120 S.Ct. 2212 (May 30, 2000), *cert. denied*, *AT&T Corp. v.
    Cincinnati Bell Tel. Co.*, 120 S.Ct. 2237 (June 5, 2000), *cert.
    dismissed*, *GTE Service Corp. v. FCC*, 121 S.Ct. 423 (November 2,
    2000).

[^4]: 47 C.F.R. § 54.504(b), (c); Schools and Libraries Universal
    Service, Services Ordered and Certification Form, OMB 3060-0806
    (December 1998) (FCC Form 471).

[^5]: 47 C.F.R. § 54.507(g).

[^6]: \<[http://www.sl.universalservice.org]{.underline}\>

[^7]: 47 C.F.R. § 54.507(c).

[^8]: Letter from Schools and Libraries Division, Universal
    Administrative Company, to Cheryl A. Shutts, Henderson Free Library,
    dated August 24, 1999 (Funding Commitment Decision Letter).

[^9]: *See* Letter from Yvonne Reff, North Country Library System, to
    Schools and Libraries Division, Universal Service Administrative
    Company, filed August 31, 1999.

[^10]: *See id.*

[^11]: *See* Letter from Schools and Libraries Division, Universal
    Service Administrative Company, to Yvonne Reff, North Country
    Library System, dated May 29, 2000 (Administrator's Decision on
    Appeal).

[^12]: *See* Request for Review.

[^13]: *See id*.

[^14]: *See* Instructions for Completing the Schools and Libraries
    Universal Service Description of Services Requested and
    Certification Form (FCC Form 470) (December 1998) (Form 470
    Instructions) at page 3.

[^15]: *See* Schools and Libraries Universal Service, Description of
    Services Requested and Certification Form (Aug. 8, 2000)
    \<[http://www.sl.universalservice.org]{.underline}\>.

[^16]: After SLD has completed data entry of an applicant's FCC Form
    470, SLD notifies the applicant by letter of its allowable contract
    date.

[^17]: *See* Schools and Libraries Service Program, Services Ordered and
    Certification Form, 471 Application Display (Aug. 8, 2000)
    \<[http://www.sl.universalservice.org]{.underline}\>.

[^18]: *See* FCC Form 470, Henderson Free Library, filed Dec. 9, 1998;
    47 C.F.R. § 54.504(b)(2) (establishing the certification process for
    Form 470).

[^19]: *See* Schools and Libraries Service Program, Callback Detail For
    Problem Resolution and Problem Resolution Form Detail Log, Henderson
    Free Library, Funding Year 1999-2000.

[^20]: *See Request for Review by Anderson School Staatsburg,
    Federal-State Joint Board on Universal Service, Changes to the Board
    of Directors of National Exchange Carrier Association*, File No.
    SLD-13364, CC Dockets No. 96-45 and 97-21, Order, DA 00-2630 (Com.
    Car. Bur. rel. Nov. 24, 2000), at para. 8 ("In light of the
    thousands of applications that SLD reviews and processes each
    funding year, it is administratively necessary to place on the
    applicant the responsibility of understanding all relevant program
    rules and procedures").

[^21]: In this case, although SLD was under no obligation to notify
    Henderson of its incomplete Form 470, SLD made repeated attempts to
    do so.

[^22]: *See Request for Review by Minor High School, Federal-State Joint
    Board on Universal Service, Changes to the Board of Directors of
    National Exchange Carrier Association*, File No. SLD-139210, CC
    Dockets No. 96-45 and 97-21, Order, 15 FCC Rcd 13,790 (Com. Car.
    Bur. 2000) (affirming denial of request for funding based on
    violation of the 28-day posting requirement where applicant signed
    Form 471 one day before expiration of 28-day waiting period);
    *Request for Review by Currituck County Schools*, File No.
    SLD-111040, CC Dockets No. 96-45 and 97-21, Order, 15 FCC Rcd 5564
    (Com. Car. Bur. 2000) (denying waiver of 28-day posting requirement
    where applicant signed contracts one day before expiration of 28-day
    waiting period). Section 54.507(g) provides, among other things,
    that applicants filing Form 471 application during a filing window
    receive priority for support over applicants that file after the
    window has closed. 47 C.F.R. § 54.507(g).

[^23]: *See Request forWaiver by Council Bluffs Community Schools*, File
    No. SLD-E007282, CC Dockets No. 96-45 and 97-21, Order, 15 FCC Rcd
    18,836 (Com. Car. Bur. 2000); *Request for Review by Runnemede
    Public Schools*, File No. SLD-154153, CC Dockets No. 96-45 and
    97-21, Order, DA 99-2957 (Com. Car. Bur. rel. Dec. 21, 1999)
    (*Runnemede*).

[^24]: *See id.*