Serivce Substitution

The SLD does allow applicants to make minor changes to the equipment being delivered as a part of an E-rate transaction. There are multiple requirements for an equipment change as well. The SLD outlines four major requirements for service substitutions:

1. The substituted services or products must have the same functionality as the services or products contained in the original proposal.
2. The substitution does not violate any contract provisions or state or local procurement laws.
3. The substitution does not result in an increase in the percentage of ineligible services or functions.
4. The requested change is within the scope of the controlling FCC Form 470, including any Requests for Proposal, for the original service.

As an example for the functionality requirement, an applicant may substitute one network switch for another (a different product line, a different port frame size, a different manufacturer) but may not substitute a PBX or e-mail server for an originally requested switch. If the new products are more expensive than the ones originally requested, this is acceptable, but the amount of funding approved by the SLD will not increase for any reason. Therefore, in most cases the customer will be responsible for the cost(s) incurred in excess of their approved funding commitment(s).

Service substitutions are also submitted via a request letter (mail, e-mail, or fax) and also take approximately 30 to 60 days for approval. Service substitutions and SPIN changes may be submitted at the same time when applicable. Provided that the applicant can satisfy the criteria above, there are few regulations that would prevent applicants from submitting SPIN changes and/or service substitution requests if they so desire.