FCC Record, Volume 28, No. 2, Pages 876 to 1828, February 1 - February 26, 2013 Page: 924
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Federal Communications Commission
Washington, D.C. 20554
aISS' February 1,2013
DA 13-119
Mr. Richard Belden
Chief Operating Officer
Universal Service Administrative Company
2000 L Street, NW
Washington, DC 20036
RE: Reductions to Rural Health Care and Schools and Libraries Operational Support Services
Contract
Dear Mr. Belden:
On March 6, 2012, the Federal Communications Commission (Commission) approved the
Universal Service Administrative Company's (USAC) request to extend its agreement with Solix, Inc.
through June 30, 2014 for Rural Health Care (RHC) and Schools and Libraries (E-rate) Operational
Support Services (OSS), subject to certain conditions to implement cost savings.' The Commission has
instructed USAC to consult with the Commission on an ongoing basis regarding proposed efficiencies
and price reductions, including discussions on how changes in USAC procedures could facilitate greater
efficiency.2 Last year, the Commission approved several proposed efficiencies.3 As part of that
continuing effort, USAC and the Commission have continued to discuss how to achieve greater
efficiencies. At the Commission's request, USAC has submitted several proposals designed to reduce the
annual cost of its program integrity assurance review for the E-rate program under the USAC OSS
agreement.4
' See Letter from Dana Shaffer, Federal Communications Commission, to Richard Belden, Universal Service
Administrative Company (Mar. 6, 2012).
2 See Letter from Dana Shaffer, Federal Communications Commission, to Richard Belden, Universal Service
Administrative Company (Mar. 10, 2011). USAC was instructed to examine opportunities for savings in response to
the Government Accountability's Office's finding that USAC's expansion of the complexities and layers of review
in the program integrity assurance review process may have resulted in inefficient or ineffective methods for
addressing programmatic risks. See id; United States Government Accountability Office,
TELECOMMUNICATIONS: FCC ShouldAssess the Design of the E-rate Program's Internal Control Structure
(Washington, DC 2010), GAO-10-908, pp. 21-22.
3 See Letter from Dana Shaffer, Federal Communications Commission, to Richard Belden, Universal Service
Administrative Company (Oct. 28, 2011).
4 See Letter from Richard Belden, Universal Service Administrative Company, to Steven VanRoekel, Federal
Communications Commission (Apr. 8, 2011) (USAC Cost Savings Letter); Email from Richard Belden, Universal
Service Administrative Company, to Gina Spade, Federal Communications Commission (July 12, 2012).924
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United States. Federal Communications Commission. FCC Record, Volume 28, No. 2, Pages 876 to 1828, February 1 - February 26, 2013, book, February 2013; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc177412/m1/65/: accessed April 19, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.