*Pages 1--6 from Microsoft Word - 45411.doc* Federal Communications Commission DA 05- 108 Before the Federal Communications Commission Washington, D. C. 20554 In the Matter of Requests for Review of the Decisions of the Universal Service Administrator Ameritech Advanced Data Services – St. Lorenz Lutheran School Frankenmuth, Michigan BellSouth Telecommunications Inc. – Orleans Parish School District New Orleans, Louisiana DeltaNet, Inc. – Calvery Chapel Academy Lawrence, Kansas OneNet – Ada Independent School District 119 Ada, Oklahoma OneNet – Beaver Independent School District 22 Beaver, Oklahoma OneNet – Butler Independent School District Butler, Oklahoma OneNet – Caddo- Kiowa Area Voc- Tech Fort Cobb, Oklahoma OneNet – Cameron Independent School District Stilwell, Oklahoma OneNet – Erick Independent School District 51 Erick, Oklahoma OneNet – Forgan Independent School District 123 Forgan, Oklahoma OneNet – Great Plains Voc- Tech Center Lawton, Oklahoma OneNet – Kiamichi Area Vo- Tech District Wilburton, Oklahoma OneNet – Lawton Public School District 18 Lawton, Oklahoma ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) File No. SLD- 190856 File No. SLD- 139084 File No. SLD- 193126 File No. SLD- 139469 File No. SLD- 136909 File No. SLD- 148043 File No. SLD- 131594 File No. SLD- 188742 File No. SLD- 142525 File No. SLD- 136613 File No. SLD- 143302 File No. SLD- 133567 File Nos. SLD- 184815, 244186 1 Federal Communications Commission DA 05- 108 2 OneNet – Milburn Independent School District 29 Milburn, Oklahoma OneNet – Moyers School District 22 Moyers, Oklahoma OneNet – Oklahoma School for the Deaf Sulphur, Oklahoma OneNet – Perry Independent School District Perry, Oklahoma OneNet – Pickett- Center School District 20 Ada, Oklahoma OneNet – Sapulpa Public Schools Sapulpa, Oklahoma OneNet – Southeastern Public Library System of Oklahoma McAlester, Oklahoma OneNet – Southwestern Technology Center Altus, Oklahoma OneNet – Stuart Independent School District 54 Stuart, Oklahoma OneNet – Sulphur Independent School District Sulphur, Oklahoma OneNet – Talihina Independent School District 52 Talihina, Oklahoma OneNet – Turpin Independent School District 128 Turpin, Oklahoma OneNet – Washita Heights Independent School District 9 Corn, Oklahoma OneNet – Woodward Independent School District 1 Woodward, Oklahoma Pacific Bell Telephone Company – Alum Rock Union Elementary School San Jose, California Southwestern Bell Telephone Company – Cherryvale Unified School District 447 Cherryvale, Kansas ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) File No. SLD- 157614 File No. SLD- 138825 File No. SLD- 133545 File No. SLD- 139881 File No. SLD- 248989 File No. SLD- 149283 File No. SLD- 227111 File No. SLD- 243332 File No. SLD- 141201 File No. SLD- 135472 File No. SLD- 137880 File No. SLD- 135463 File No. SLD- 170951 File No. SLD- 139949 File No. SLD- 179828 File Nos. 204391, 149907 2 Federal Communications Commission DA 05- 108 3 Southwestern Bell Telephone Company – Erie- St. Paul Unified School District 101 Erie, Kansas Southwestern Bell Telephone Company – Frontenac- Crawford District 249 Frontenac, Kansas Southwestern Bell Telephone Company – Indianola Independent School District 25 Indianola, Oklahoma Southwestern Bell Telephone Company – Winfield Unified School District 465 Winfield, Kansas Southwestern Bell Telephone Company – Yates Center Unified School District 366 Yates Center, Kansas Sprint Local Telephone Division – Baxter Springs Unified School District 508 Baxter Springs, Kansas Sprint Local Telephone Division – Central Heights School District 288 Richmond, Kansas Sprint Local Telephone Division – Erie- St. Paul Unified School District No. 101 Erie, Kansas Sprint Local Telephone Division – Galena Unified School District 499 Galena, Kansas Sprint Local Telephone Division – Marmaton Valley School District 256 Moran, Kansas Sprint Local Telephone Division – Oswego Unified School District 504 Oswego, Kansas Sprint PCS – Heritage Charter School Dallas, Texas Sprint Spectrum, L. P. – Youngstown Youth Academy Youngstown, Ohio ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) File No. SLD- 204551 File No. SLD- 204523 File No. SLD- 147340 File No. SLD- 204380 File No. SLD- 204693 File No. SLD- 204398 File No. SLD- 204357 File No. SLD- 204551 File No. SLD- 204385 File No. SLD- 204629, 310862 File No. SLD- 204440 File No. SLD- 202864 File No. SLD- 357055 3 Federal Communications Commission DA 05- 108 4 Verizon Network Integration Corp. – Morris Catholic High School Denville, New Jersey Verizon Network Integration Corp. – South Baltimore Learning Center Baltimore, Maryland Verizon New Jersey, Inc. – Queen of Peace High School North Arlington, New Jersey Verizon New York, Inc.— Churchill School and Center New York, New York ZEN Computer Systems – Heritage Charter School Dallas, Texas Schools and Libraries Universal Support Mechanism ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) File No. SLD- 305417 File Nos. SLD- 125549, 192919, 245858, 314139 File No. SLD- 306545 File No. SLD- 164607 File No. SLD- 202864 CC Docket No. 02- 6 ORDER Adopted: January 18, 2005 Released: January 18, 2005 By the Deputy Chief, Telecommunications Access Policy Division, Wireline Competition Bureau: 1. The Telecommunications Access Policy Division has under consideration the above-captioned Requests for Review of commitment adjustment decisions issued by the Schools and Libraries Division (SLD) of the Universal Service Administrative Company (USAC). 1 For the reasons set forth 1 Letter from Christopher M. Heimann, Ameritech Advanced Data Services, Inc. – St. Lorenz Lutheran School, filed July 14, 2004; Letter from Theodore C. Marcus, BellSouth Telecommunications, Inc. – Orleans Parish School District, filed May 10, 2004; Letter from Ben Rowner, DeltaNet, Inc. – Calvery Chapel Academy, filed December 15, 2003; Letter from Kurt A. Snodgrass, OneNet – all referenced applicants, filed March 8, 2004; Letter from Christopher M. Heimann, Pacific Bell Telephone Company – Alum Rock Union Elementary School, filed June 18, 2004; Letter from Christopher M. Heimann, Southwestern Bell Telephone Company – Cherryvale Unified School District 447, filed July 20, 2004; Letter from Christopher M. Heimann, Southwestern Bell Telephone Company – Erie- St. Paul Unified School District , filed July 20, 2004; Letter from Christopher M. Heimann, Southwestern Bell Telephone Company – Frontenac- Crawford District 249, filed July 20, 2004; Letter from Christopher M. Heimann, Southwestern Bell Telephone Company – Indianola Independent School District 25, filed July 29, 2004; Letter from Christopher M. Heimann, Southwestern Bell Telephone Company – Winfield, Kansas, filed July 20, 2004; Letter from Christopher M. Heimann, Southwestern Bell Telephone Company – Yates Center Unified School District 366, filed July 20, 2004; Letter from Norina Moy, Sprint Local Telephone Division – Baxter Springs Unified School District 508, filed July 20, 2004; Letter from Norina Moy, Sprint Local Telephone Division – Central Heights School District 288, filed July 20, 2004, Letter from Norina Moy, Sprint Local Telephone Division – Erie- St. Paul Unified School District 101, filed on July 20, 2004; Letter from Norina Moy, Sprint Local Telephone Division – Galena Unified School District 499, filed on July 20, 2004; Letter from Norina Moy, Sprint Local Telephone Division – Marmaton Valley School District 256, filed on July 20, 2004; Letter from Norina Moy, Sprint Local Telephone Division – Oswego Unified School District 504, filed July 20, 2004; Letter from Norina Moy, Sprint PCS – Heritage Charter School, filed March 19, 2004; Letter from Norina Moy, Sprint Spectrum, L. P. – Youngstown (continued....) 4 Federal Communications Commission DA 05- 108 5 below, we grant the Requests for Review and remand them to USAC for further consideration. 2. Prior to the Schools Fourth Order, the Commission directed USAC to recover funds disbursed in violation of the statute or a rule from service providers only. 2 In the Schools Fourth Order, the Commission determined that recovery of schools and libraries funds disbursed in violation of the statute or a rule should be directed to the party or parties responsible for the statutory or rule violation, including a school or library. 3 The Commission directed USAC to implement this policy on a going forward basis to all matters for which USAC has not yet issued a demand letter as of the effective date of the Order and to all recovery actions currently under appeal to either USAC or the Commission. 4 Each Request for Review raises the argument that another party, particularly the school or library receiving discounted services or another service provider, committed the statutory or rule violation for which SLD is seeking recovery of funds. 5 Because USAC did not consider which party was responsible for the statutory or rule violation at issue, we find it appropriate to remand the above- captioned Requests for Review of commitment adjustment decisions to USAC for further consideration consistent with the Commission’s decision in the Schools Fourth Order. 3. 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 requests for review filed by Ameritech Advanced Data Services, Inc. – St. Lorenz Lutheran School, Frankenmuth, Michigan, on July 14, 2004; BellSouth Telecommunications, Inc. – Orleans Parish School District, New Orleans, Louisiana, on May 10, 2004; DeltaNet, Inc. – Calvery Chapel Academy, Lawrence, Kansas, on December 15, 2003; OneNet – Ada Independent School District 119, Ada, Oklahoma, on March 8, 2004; OneNet – Beaver Independent School District 22, Beaver, Oklahoma, on March 8, 2004; OneNet – Butler Independent School District, Butler, Oklahoma, on March 8, 2004; OneNet – Caddo- Kiowa Area Voc-Tech, Fort Cobb, Oklahoma, on March 8, 2004; OneNet – Cameron Independent School District, Stilwell, Oklahoma, on March 8, 2004; OneNet – Erick Independent School District, Erick, Oklahoma, on March 8, 2004; OneNet – Forgan Independent School District 123, Forgan, Oklahoma, on March 8, 2004; OneNet – Great Plains Voc- Tech Center, Lawton, Oklahoma, on March 8, 2004; OneNet – Kiamichi Area Vo- Tech District, Wilburton, Oklahoma, on March 8, 2004; OneNet – Lawton Public School District 18, Lawton, Oklahoma, on March 8, 2004; OneNet – Milburn Independent School District 29, Milburn, Oklahoma, on March 8, 2004; OneNet – Moyers School District 22, Moyers, Oklahoma, on March 8, 2004; OneNet – Oklahoma School for the Deaf, Sulphur, Oklahoma, on March 8, 2004; OneNet –Perry Independent School District, Perry, Oklahoma, on March 8, 2004; OneNet – Pickett- Center School District 20, Ada, Oklahoma, on March 8, 2004; OneNet – Sapulpa Public Schools, Sapulpa, Oklahoma, on March 8, 2004; OneNet – Southeastern Public Library System of Oklahoma, McAlester, Oklahoma, on March 8, 2004; OneNet – Southwestern Technology Center, Altus, Oklahoma, on March 8, 2004; (... continued from previous page) Youth Academy, filed September 17, 2004; Letter from Ann H. Rakestraw, Verizon Network Integration Corp. – Morris Catholic High School, filed January 16, 2004; Letters from Ann H. Rakestraw, Verizon Network Integration Corp. – South Baltimore Learning Center, filed July 26, 2004; Letter from Ann H. Rakestraw, Verizon New Jersey, Inc. – Queen of Peace High School, filed January 16, 2004; Letter from Ann H. Rakestraw, Verizon New York, Inc. – Churchill School and Center, filed July 9, 2004; Letter from Jim Cao, ZEN Computer Systems – Heritage Charter School, filed March 22, 2004 (together Requests for Review). 2 Changes to the Board of Directors of the National Exchange Carrier Association, Inc., CC Docket Nos. 97- 21 and 96- 45, Order, FCC 99- 291, para. 9 (rel. Oct. 8, 1999) (Commitment Adjustment Order). 3 Federal State Joint Board on Universal Service, Changes to the Board of Directors for the National Exchange Carrier Association, Inc., Schools and Libraries Universal Support Mechanism, Order on Reconsideration and Fourth Report and Order, 19 FCC Rcd 15252 (2004) (Schools Fourth Order). 4 Id. 19 FCC Rcd at 15256, para. 10. 5 Id. 5 Federal Communications Commission DA 05- 108 6 OneNet – Talihina Independent School District 52, Talihina, Oklahoma, on March 8, 2004; OneNet – Turpin Independent School District 128, Turpin, Oklahoma, on March 8, 2004; OneNet – Washita Heights Independent School District 9, Corn, Oklahoma, on March 8, 2004; OneNet – Woodward Independent School District 1, Woodward, Oklahoma, on March 8, 2004; Pacific Bell Telephone Company – Alum Rock Union Elementary School, San Jose, California, on June 18, 2004; Southwestern Bell Telephone Company – Cherryvale Unified School District 447, Cherryvale, Kansas, on July 20, 2004; Southwestern Bell Telephone Company – Erie- St. Paul Unified School District 101, Erie, Kansas, on July 20, 2004; Southwestern Bell Telephone Company – Frontenac- Crawford District 249, Frontenac, Kansas, on July 20, 2004; Southwestern Bell Telephone Company – Indianola Independent School District 25, Indianola, Oklahoma, on July 29, 2004; Southwestern Bell Telephone Company – Winfield Unified School District 465, Winfield, Kansas, on July 20, 2004; Southwestern Bell Telephone Company – Yates Center Unified School District 366, Yates Center, Kansas, on July 20, 2004; Sprint Local Telephone Division – Baxter Springs Unified School District 508, Baxter Springs, Kansas, on July 20, 2004; Sprint Local Telephone Division – Central Heights School District 288, Richmond, Kansas, on July 20, 2004; Sprint Local Telephone Division – Erie- St. Paul Unified Schools District 101, Erie, Kansas, on July 20, 2004; Sprint Local Telephone Division – Galena Unified School District 499, Galena, Kansas, on July 20, 2004; Sprint Local Telephone Division – Marmaton Valley School District 256, Moran, Kansas, on July 20, 2004; Sprint Local Telephone Division – Oswego Unified School District 504, Oswego, Kansas, on July 20, 2004; Sprint PCS – Heritage Charter School, Dallas, Texas, on March 19, 2004; Sprint Spectrum, L. P. – Youngstown Youth Academy, Youngstown, Ohio, on September 17, 2004; Verizon Network Integration Corp. – Morris Catholic High School, Denville, New Jersey, on January 16, 2004; Verizon Network Integration Corp. – South Baltimore Learning Center, Baltimore, Maryland, on July 26, 2004; Verizon New Jersey, Inc. – Queen of Peace High School, North Arlington, New Jersey, on January 16, 2004; Verizon New York, Inc. – Churchill School and Center, New York, New York, on July 9, 2004; ZEN Computer Systems – Heritage Charter School, Dallas, Texas, on March 22, 2004, ARE GRANTED, and these appeals ARE REMANDED to USAC for further action consistent with this Order. FEDERAL COMMUNICATIONS COMMISSION Vickie Robinson Deputy Chief, Telecommunications Access Policy Division Wireline Competition Bureau 6