11/2/12 News Briefs – Focus: SPIN Changes

TIP OF THE WEEK: Remember that the FY2013 FCC Form 470 is available for filing on the USAC website. Applicants do not need to wait for the window to open before filing this form and opening a competitive bidding process.

Commitments for Funding Year 2011

Funding Year 2011. USAC will release FY2011 Wave 68 FCDLs November 7. This wave includes commitments for approved Priority 2 requests at 88% and above and denials at 87% and below. As of November 2, FY2011 commitments total just over $2.44 billion.

On the day the FCDLs are mailed, you can check to see if you have a commitment by using USAC’s Automated Search of Commitments tool.

SPIN Change Reminders

Starting with FY2011, applicants requesting a change of service provider must comply with the FCC’s Sixth Report and Order (FCC 10-175), which allows these operational SPIN changes only under the following conditions:

  • You have a legitimate reason to change service providers, such as breach of contract or the service provider is unable to perform, AND
  • The newly selected service provider received the next highest point value in the original bid evaluation, assuming there was more than one bidder.

Documentation required:

  • A statement of the reason(s) you want to change service providers, together with any supporting documentation you can provide. Service provided by a new service provider at a lower cost is not an acceptable reason to change service providers.
  • A statement that the new service provider received the next highest point value in the original bid evaluation – or a statement that you did not receive any other bids – together with any supporting documentation you can provide (e.g., your original bid evaluation matrix, your memo to the file noting that you only received one or no bids).

In addition, the following requirements have not changed:

  • Your request must be allowed under your applicable state and local procurement rules. Your request must contain a statement to that effect.
  • Your request must be allowable under the terms of any contract between you and your original service provider. Again, your request must contain a statement to that effect.
  • You must inform your original service provider of your intent to change service providers. You must include a statement that you have attempted to notify the original service provider.

For more information on requests to change service providers – including the options for submitting requests – you can refer to the Operational SPIN Change guidance document on the USAC website.

SPIN Changes Due to Transition Delays

If an applicant is transitioning from one service provider to another over a funding year boundary and there is a delay before the new service provider can start providing service, the applicant can request that the Funding Request Number (FRN) for the new funding year be split in order to continue service with the original service provider until the new service provider is able to provide service.

If this is the case, be sure to include in your request the dates of service and the costs associated with the services provided by each service provider. Note that the total amount of funding for both FRNs cannot exceed the amount approved for the original FRN on the FCC Form 471.

Corrective SPIN Changes

If you want to request a change of SPIN because of a data entry error, a merger or acquisition, a bankruptcy, or similar issue that does not require changing the actual service provider, you should refer to the Corrective SPIN Change guidance document rather than the above guidance.

In your request to correct a SPIN, be sure to provide an explanation of the reason that the correction is needed (e.g., your service provider has many SPINs and you chose the wrong one, you transposed digits resulting in a valid but incorrect SPIN, your service provider was acquired by another service provider).