Federal Communications Commission DA 12-241 Before the Federal Communications Commission Washington, DC 20554 In the Matter of ) ) Requests for Waiver and Review of ) Decisions of the ) Universal Service Administrator by ) ) Al-Ihsan Academy ) File No. SLD-196013, et al. South Ozone Park, NY, et al. ) ) Schools and Libraries Universal Service ) CC Docket No. 02-6 Support Mechanism ) ORDER Adopted: February 22, 2012 Released: February 22, 2012 By the Deputy Chief, Telecommunications Access Policy Division, Wireline Competition Bureau: 1. Consistent with precedent,1 we grant one and deny 16 requests from petitioners2 seeking review of decisions made by the Universal Service Administrative Company (USAC) under the E-rate program (more formally known as the schools and libraries universal service support program).3 In each decision, USAC found that petitioners violated Commission rules by failing to pay the non-discounted portion of the price of the services that they purchased under the E-rate program.4 Based on our review of the record, we find that one petitioner paid the required portion of the purchase price. We direct USAC to discontinue its recovery actions against Fairfield County School District and return the $268,668 it previously recovered. In addition, we find that the other 16 petitioners did not pay their portion of the purchase price. We find that these 16 petitioners also did not demonstrate that good cause exists to justify a waiver of section 54.523 of the Commission’s rules.5 1 See Request for Review of the Decision of the Universal Service Administrator by IOSCO Regional Educational Service Agency, Schools and Libraries Universal Service Support Mechanism, File Nos. SLD-108653, et al., CC Docket No. 02-6, Order, 24 FCC Rcd 12735 (Wireline Comp. Bur. 2009). 2 See appendices A & B. 3 Section 54.719(c) of the Commission’s rules provides that any person aggrieved by an action taken by a division of USAC may seek review from the Commission. 47 C.F.R. § 54.719(c). 4 See 47 C.F.R. § 54.523; Federal-State Joint Board on Universal Service, CC Docket No. 96-45, Report and Order, 12 FCC Rcd 8776, 9036, para. 493 (1997) (subsequent history omitted); Schools and Libraries Universal Service Support Mechanism , Third Report and Order and Second Further Notice of Proposed Rulemaking, CC Docket No. 02-6, 18 FCC Rcd 26912, 26929, para. 41 (2003); Schools and Libraries Universal Service Support Mechanism, CC Docket No. 02-6, Fifth Report and Order and Order, 19 FCC Rcd 15808, 15816, para. 24 (2004). 5 Generally, the Commission’s rules may be waived if good cause is shown. 47 C.F.R. § 1.3. The Commission may exercise its discretion to waive a rule where the particular facts make strict compliance inconsistent with the public interest. Northeast Cellular Telephone Co. v. FCC, 897 F.2d 1164, 1166 (D.C. Cir. 1990) (Northeast Cellular). In addition, the Commission may take into account considerations of hardship, equity, or more effective implementation of overall policy on an individual basis. WAIT Radio v. FCC, 418 F.2d 1153, 1159 (D.C. Cir. Federal Communications Commission DA 12-241 2 2. ACCORDINGLY, IT IS ORDERED, pursuant to the authority contained in sections 1-4 and 254 of the Communications Act of 1934, as amended, 47 U.S.C. §§ 151-154 and 254, and sections 0.91, 0.291, 1.3 and 54.722(a) of the Commission’s rules, 47 C.F.R. §§ 0.91, 0.291, 1.3 and 54.722(a), the request for review or request for waiver filed by Fairfield County School District IS GRANTED and its underlying application IS REMANDED to USAC for further consideration in accordance with the terms of this order. 3. IT IS FURTHER ORDERED, pursuant to the authority contained in sections 1-4 and 254 of the Communications Act of 1934, as amended, 47 U.S.C. §§ 151-154 and 254, and sections 0.91, 0.291, 1.3 and 54.722(a) of the Commission’s rules, 47 C.F.R. §§ 0.91, 0.291, 1.3 and 54.722(a), the requests for review or requests for waiver filed by the petitioners listed in appendix B ARE DENIED. FEDERAL COMMUNICATIONS COMMISSION Gina M. Spade Deputy Chief Telecommunications Access Policy Division Wireline Competition Bureau 1969); Northeast Cellular, 897 F.2d at 1166. Waiver of the Commission’s rules is appropriate only if both (i) special circumstances warrant a deviation from the general rule, and (ii) such deviation will serve the public interest. NetworkIP, LLC v. FCC, 548 F.3d 116, 125-128 (D.C. Cir. 2008); Northeast Cellular, 897 F.2d at 1166. Federal Communications Commission DA 12-241 3 APPENDIX A Request for Waiver or Review Granted Petitioner Application Number Funding Year Date Appeal Filed Fairfield County School District Winnsboro, SC 172053 2000 Feb. 27, 2006 APPENDIX B Requests for Waiver or Review Denied Petitioner Application Number Funding Year Date Appeal Filed Al-Ihsan Academy South Ozone Park, NY 196013 2000 Jan. 24, 2005 AMI Electrical & Telecom, Inc. (Elk Hills Elementary School District Tupman, CA) 345033 2003 Nov. 10, 2004 Cathedral Preparatory Academy Perth Amboy, New Jersey 308946 2003 July 2, 2007 Dell Marketing, LP (St. Joseph High School (see below)) 170343 2000 Sept. 18, 2006 Entre Computer Solutions (The Mill Rockford, IL) 416090 2004 Apr. 25, 2011 Garvey Elementary School District Rosemead, CA 366564 2003 July 12, 2007 Mastermind Internet Services, Inc. Indianola, OK 147340 1999 Dec. 12, 2003 The Mill School Baltimore, MD 172470, 186031 2000 Feb. 15, 2005 New Way Learning Center Chicago, IL 463107 2005 May 20, 2009 New Way Learning Center Chicago, IL 523966 2006 May 20, 2009 St. Elizabeth School Chicago, IL 188132 2000 Apr. 15, 2005 St. Joseph High School Frederiksted, St. Croix, Virgin Islands 170343 2000 Dec. 21, 2006 St. Mary’s Catholic School Christiansted, St. Croix, Virgin Islands 170197 2000 Jan. 4, 2007 St. Patrick Elementary School Frederiksted, St. Croix, Virgin Islands 170405 2000 Mar. 28, 2007 Salinas City Elementary School District Salinas, CA 546537 2007 Mar. 23, 2011 Tift County School District Tifton, GA 550520 2007 Feb. 22, 2011