Pai Cites Flaws in USAC E-rate Oversight, Seeks Functional Portal, Other Improvements
FCC Chairman Ajit Pai slammed Universal Service Administrative Co. E-rate oversight and urged improvements in the USF school and library discount program, which he said still has "serious flaws," despite previous remedy efforts. Pai said USAC's online E-rate Productivity Center…
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(EPC) portal to process applications "is still not adequately functional," forcing critical steps to be carried out over a legacy IT system. "EPC implementation issues have created major headaches for applicants," many of whom "are still waiting for funding commitment decision letters for funding year 2016," he said in a letter to USAC CEO Chris Henderson listed in Wednesday's Daily Digest. "USAC has failed to fulfill specific commitments made to applicants even as it rolled out EPC system upgrades. USAC has frequently failed to devise solutions for applicants, instead requiring extensive FCC involvement, including from my office, to resolve problems." He also said $30 million has been spent on EPC despite an original estimate of $19 million, and the total cost could spike to "$60 million or greater." Telcos complained last year about EPC functionality (see 1607200074). Pai said USAC's "lack of full transparency" is compounding the various problems. "The current state of affairs is unacceptable. I seek your unqualified commitment that USAC will administer the E-Rate program in a manner that fully complies with Commission direction; works for applicants and participants; and promptly apprises the FCC of all relevant information concerning implementation," he wrote Henderson. Pai urged USAC to "swiftly resolve issues that continue to plague the system," with a focus on supporting and completing "basic EPC functionality" before addressing "ancillary" issues; to "be fully transparent and accountable to the Commission"; and "to identify alternative options to assist applicants" when IT failures occur, including through manual efforts by USAC or a contractor, if necessary. He asked USAC to devise a plan of action by May 18. USAC didn't comment.