FCDL Comment:
Based on documentation provided, FRN is denied because you did not select the most cost-effective bid proposal. FCC rules state that in selecting a provider of eligible services, applicants must carefully consider all bids submitted and must select the most cost-effective service offering. The FCC codified in the Ysleta Order that in evaluating bids from prospective service providers, applicants must select the most cost-effective offering from the bids received. The selected bid must itself be cost-effective compared to prices available commercially and stated that "there may be situations where the price of services is so exorbitant that it cannot, on its face, be cost-effective. For instance, a proposal to sell at prices two to three times greater than the prices available from commercial vendors would not be cost-effective, absent extenuating circumstances." You posted requests for seeking up to 100 MBPS on FCC Form 470# 237940001161390 and the associated RFP. You received a bid from Chickasaw offering these specific services at an amount of $1,400 per month for 20 MB, a bid from Meetpoint offering these specific services at an amount of $4,237.50 monthly for 20 MBPS, a bid from OneNet for $1,662 for 20 MB, a bid from Skybeam for $500 monthly for 20 MBPS and a bid from Windstream for $1,452.12 for 50 MPBS. All bids are for the specific services requested on the Form 470. You selected a bid from Meetpoint for an amount of $4,237.50 monthly. The bid chosen is over two times more costly than the bid offering from Chickasaw, Skybeam, OneNet and Windstream. You received two bids at a less expensive rate for a higher bandwidth. This violates the FCC requirement that applicants select the most cost-effective offering from the bids received absent extenuating circumstances. During the review you did not present extenuating circumstances which mitigates your choice of a bid over two to three times greater than the price available from another commercial vendor.