District bid for discounts hits a snag This year, Phila. schools and the state both applied for the technology breaks, leading to an inquiry.

April 10, 2002|By Martha Woodall INQUIRER STAFF WRITER

At a time when city schools are scrounging for every nickel, district officials are nervous because their application for more than $20 million in discounts for technology and Internet service has hit a snag.

This year, administrators of a federal program known as the "e-rate" were stumped when they received two sets of applications for discounts for Philadelphia city schools, and they wanted to know why. They have called for a special review and told the district to submit detailed information by next Wednesday.

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One application was the usual paperwork the district files every year for a Federal Communications Commission program that gets its nickname from the term "education rate." The district, which typically receives $22 million, is seeking up to $53 million in discounts.

The other was filed Dec. 19 by the state Department of Education seeking $23 million for technology services in 72 schools the department expected would be managed by Edison Schools.

James E. Nevels, chairman of the new Philadelphia School Reform Commission, signed a follow-up document Jan. 17.

Why did the state step in, before the official state takeover of Philadelphia schools on Dec. 21 and before Edison had been given any contracts?

Both the state and the school commission said yesterday that they thought they had to do that to meet the program deadlines and to ensure that Edison could seek discounts if it received a contract to manage the schools.

Edison has not yet received any school-management contracts, and the state withdrew its application March 29. That came a week after Edison had received a letter from e-rate officials seeking more information about the state application.

"We realized that we did not know and continue to not know what our relationship will be managing schools," Edison spokesman Adam Tucker said.

Gretchen Toner, a Department of Education spokeswoman, said the state had not been trying to help Edison obtain a management contract in Philadelphia.

"We did this just in case Edison would get a contract," she said. "We did not want to leave the money on the table."

Toner said she didn't believe the state's actions would harm the district's discount chances, despite the call for a special federal review of the Philadelphia application.

The district has until next Wednesday to complete a detailed document explaining the $76 million sought through both sets of applications.

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