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1. Why was the Illinois Century Network founded?

  • To promote use of educational applications and content throughout the state.
  • To fulfill P-16 goals of interconnectivity between K-12 schools, community colleges, universities, libraries, and museums, as well as other institutions, in order to share resources.
  • To provide primary constituents with access to educational resources worldwide through the Internet.
  • To expand educational opportunities throughout the state.
  • To create an environment fostering development of advanced applications and services.

2. How has the Illinois Century Network been funded up to now?

  • Beginning July 1, 1999, the ICN has received generous state appropriations totaling approximately $25.5 million per year through the Illinois State Board of Education and the Illinois Board of Higher Education.
  • Additional funds have been available from federal e-rate subsidies totaling approximately $2.5 million per year.
  • Cost recovery dollars bring in an estimated $1.2 million per year.

3. Why has the Illinois Century Network implemented a cost recovery plan?

  • The Illinois Century Network is the most successful state network in the nation and has experienced unprecedented growth in both connections and utilization of the network.
  • The number of connected institutions grew dramatically from less than 3,000 to almost 6,000. Although growth in the number of connections has leveled off, bandwidth utilization continues to grow by over 100% per year.
  • The ICN has more robust throughput than any commercial network available in the state. As a result, a T-1 circuit to the ICN has considerably greater actual throughput. Cost recovery allows the ICN to ensure that the network remains an "absolute best value" for connected institutions delivering the robust throughput that ICN constituents demand and deserve.
  • It is important to note that the cost recovery plan was not instituted to fill a shortfall in the current operating budget. It was instituted in order to provide resources in a timely manner to match growth in utilization and connections. Since the ICN operates strictly as a not-for-profit entity, any surpluses that may arise will be invested back into the network. As a result, on an annual basis, the cost recovery model is reviewed and fees and baseline bandwidth amounts are adjusted as necessary.

4. What is provided as a result of the state appropriation to the ICN?

  • Primary constituents receive a specified amount of bandwidth to support educational applications and delivery of education content.
  • All constituents receive high-speed access to the commercial Internet and to one another via the network backbone.
  • Regional Technology Centers located strategically throughout the state provide certified local technicians in order to support network activities and to maintain reliable connections. (The ICN had a reliability rating of 99.95% over the last year with less than five hours unscheduled downtime.)
  • One hundred percent (100%) of all regional technical staff are fully certified having passed demanding industry tests.
  • A state-of-the-art (soon to be 24/7/365) Network Operations Center is located in Springfield to manage the network backbone and provide support for technicians at Regional Technology Centers
  • Redundancy for reliable network operation is located strategically throughout the state.
  • Regional connection points are located throughout the state that allows all constituents of the network to connect without using long distance circuits. Where possible, additional network connection points are extended closer to communities of interest in order to further reduce constituent cost.

5. How much baseline bandwidth will each connecting institution receive?

Primary Constituents: (K-12 Schools, institutions of higher education, libraries, museums)

  • Each primary constituent will receive a baseline amount of transit across the network.
  • Public and private K-12 institution baseline bandwidth is determined by published enrollment figures provided by the Illinois State Board of Education.
  • Public and private higher education baseline bandwidth is determined by published student FTE (full-time equivalent) headcount provided by the Illinois Board of Higher Education and Illinois Community College Board.
  • Public libraries and public museums baseline bandwidth is 1.5 Mbps.
  • Transit above the provided baseline will be charged at a rate based on actual costs to be determined annually.

Non-Primary Constituents (State agencies, units of local government, and other local entities that provide services to Illinois citizens)

  • Non-primary constituents will pay for all transit at the annually established megabit rate..
  • In some cases, port charges will apply.

6. Why was it necessary for the cost recovery model to distinguish between Primary and Non-Primary Constituents?

  • The cost recovery model is intended to reflect the intent of the enabling legislation and state appropriations for creation of the ICN.
  • Educational constituents, for whom ICN funding is appropriated, receive the primary benefit of the network.
  • Non-primary constituents receive a secondary benefit by having access to network services at the actual cost of providing the services. In most cases, the aggregate cost is competitive. In all cases, the actual throughput and service associated with the ICN is superior.

7. How were baseline transit levels determined?

  • Utilization statistics are gathered to determine the amount of bandwidth currently being used by primary constituents.
  • Baseline transit levels are established to have the least impact possible on primary constituents operating at current levels.

8. How are the baseline transit levels calculated for aggregate networks and other situations where constituents are connected to the ICN indirectly?

  • The baseline transit levels are for direct connections to the ICN.
  • To calculate baseline transit for aggregate network, the ICN determines the aggregate headcount for all primary constituents served at this sites.
  • If there are primary constituents without enrollment or FTE, only one additional T1 equivalent of bandwidth (1.5 Mbps) is added to the baseline.

9. Under the cost recovery model, isn't there an incentive for primary constituents to connect to the ICN directly, rather than with an indirect connection?

  • The cost recovery model is in place to provide for the continued growth and reliability of the network, not to encourage or discourage direct connections over aggregate connections. Constituents should connect to the ICN in whatever way that best provides for their needs and circumstances.
  • The apparent benefit for direct connections exists because the minimum baseline transit level for primary constituents is set at 1.5 Mbps. It should be noted that many primary constituents do not yet utilize the full 1.5 Mbps connection even though the capacity exists to do so. As K-12 schools adopt additional online tools and methods staff expect the current usage to grow.
  • If the ICN had set baseline levels as low as 56 Kbps, the impact on the primary constituents would be immediate and costly. As stated earlier, one goal in developing the cost recovery model was to have a minimal impact on primary constituents at current levels of transit.
  • Utilization statistics for aggregate networks and other circumstances with indirect connections indicate that initial baseline levels are appropriate for existing operations.
  • The ICN intends to continue promoting aggregate networks in cases where the total cost for all parties decreases. Further, the ICN intends to work with communities to further develop local fiber rings and other shared connectivity resources to increase available bandwidth to all institutions.

10. What is the charge for a connecting institution under the cost recovery model?

Primary Constituents:

  • All constituents pay for the circuit to connect to the network (as is the case in connecting to any Internet Service Provider).
  • Constituents pay for the equipment required at their location to maintain their connection.
  • Each primary constituent receives the specified amount of baseline bandwidth for which there is no charge to the constituent.
  • Constituents desiring additional transit above the baseline will be charged at a rate based on actual costs to be determined annually.
  • Port charges may also apply for additional circuits above those required to provide baseline bandwidth.

Non-primary Constituents:

  • In addition to their access circuit cost (which all constituents pay), non-primary constituents pay for transit at the annually established megabit rate.
  • In locations where the ICN provides subsidized access the network, non-primary constituents will also be charged a proportionate share of these costs..

11. How are the needs for additional bandwidth determined?

  • Constituents are responsible for determining specific bandwidth needs depending on institutional priorities and resources.
  • Upon request, the ICN Regional Technology Centers will assist to determine bandwidth needs based on utilization data.
  • The ICN cannot and should not establish institutional priorities; therefore, the decision to secure additional bandwidth is the sole responsibility of the constituent.

12. How much will additional bandwidth cost?

Note: The ICN operates on a July 1 - June 30 fiscal year.

  • Based on the actual costs to the ICN, the costs for additional bandwidth are formulated annually..
  • This is representative of the typical method the industry uses to provide additional transit bandwidth.
  • Although the cost recovery policy provides for an annual evaluation and adjustment, the ICN reserves the right to make more frequent adjustments that may benefit ICN constituents should costs be significantly less than anticipated.

13. What options are available for constituents who are not using all the bandwidth currently available to them and do not have the funds to pay for the full amount of bandwidth of their circuit? This is particularly important for non-primary constituents who do not receive a baseline bandwidth as a result of State funding for the ICN.

  • In an effort to assist all constituents fulfill connectivity needs, the ICN recognizes the need to provide bandwidth in smaller increments and is prepared to apply a rate limit to a larger circuit where a smaller amount of transit is required. The rate limit will restrict the throughput of the circuit and constituents will only be charged for the bandwidth available to them, regardless of the capacity of the transport circuit.
  • Constituents may request more bandwidth at the beginning of each monthly billing cycle and the ICN will work to develop online monitoring capabilities to assist institutions to plan accordingly.
  • The ICN will sell bandwidth and apply rate limits in 1 Mbps increments for DS3 and greater circuits and in fractional T1 increments for T1 and lower

14. Is there any way a constituent can control costs?

Primary Constituents:

  • Larger institutions are able to prioritize traffic to match institutional priorities (e.g., streaming video or Internet2 would likely be higher priority than student recreational use of the network).
  • For users with a T1 connection, use beyond the baseline is not an issue, however, responsible use of network resources in alignment with institutional priorities is encouraged.
  • Institutions with larger access connections will be physically limited by mutual agreement to a specific amount of bandwidth.
  • Advance notice of changes in baseline bandwidth and cost per megabit per month will be given to all constituents no later than November of each year to allow time to plan and budget accordingly.

Non-primary Constituents:

  • Non-primary constituents will enter into a Service Agreement and will be limited by mutual agreement to a specific amount of bandwidth to meet particular needs.

15. Does cost recovery impact constituent access circuit costs?

Primary Constituents:

  • Charges for additional bandwidth covered in the cost recovery model are separate from access circuit costs, which represent an agreement between the constituent and the local telecommunications provider.
  • All primary constituents are required to pay access circuit costs.

Non-primary Constituents:

  • Charges for transit are separate from the separate from the access circuit costs, which represent an agreement between the constituent and the local telecommunications provider.
  • Non-primary constituents have always been responsible for access circuit costs except in some aggregate network arrangements.
  • Port charges are applicable in circumstances where the ICN provides subsidized access to the network such as the local loop at the POP site.

Note: The ICN has entered negotiations that may further impact connectivity options and further lower costs in the future. ICN staff has successfully negotiated special Individual Case Basis (ICB) tariffs in SBC territory reducing T1 circuits by up to 40% and DS3 circuits by 22 - 30% for education customers. Non-primary constituents are also eligible to take advantage of the T1 pricing. Negotiations are ongoing with other telecommunications providers in the state and updates will be sent out periodically to constituents when successful.

16. When was the cost recovery model implemented?

  • For all constituents, the cost recovery model became effective July 1, 2002.

17. How are constituents billed for costs identified in the cost recovery model?

  • Bills are sent by the ICN on a monthly basis.

18. Are constituents notified if utilization approaches the baseline?

  • Upon request, the ICN will work with institutions to monitor traffic and advise of utilization trends.
  • Methods are under investigation to automate reporting of utilization trends in order to aid institutions in planning and monitoring utilization.
  • While the ICN will make every effort to notify constituents when their utilization is reaching capacity, ultimately it is the constituent's responsibility to monitor its network needs.

19. Where can ICN constituents get updated information?

20. How can constituents provide feedback to this policy?

  • The Advanced Engineering Taskforce (AET) is a statewide advisory committee to the ICN that includes representatives from constituent groups. The annual report issued by the AET is factored into the annual review of the cost recovery model.
  • Regional meetings are held on an annual basis to review the proposed changes to the cost recovery model. These meetings provide a forum for constituent input into any proposed changes or adjustments that are being considered. All public meetings are listed in the Calendar of Events section.
  • Immediate questions and comments call the ICN at 877.844.2724.

 

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