Rural Connectivity Advancement Program Act of 2020
This bill sets aside 10% of the net proceeds from spectrum auctions to be deposited into a Rural Broadband Assessment and Deployment Fund, which shall be used for the buildout of broadband networks.
The Federal Communications Commission (FCC) must use the fund to establish one or more programs to address (1) gaps in broadband internet access service coverage in high-cost rural areas, and (2) insufficient funding of other programs that could adversely affect the sustainability of broadband services or comparability of rates supported by such programs. Further, the FCC must establish transparency and accountability requirements for addressing such coverage gaps and funding shortfalls, and it must report annually on the distribution of amounts from the fund.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7972 Introduced in House (IH)]
<DOC>
116th CONGRESS
2d Session
H. R. 7972
To provide funds to assess the availability, accelerate the deployment,
and improve the sustainability of advanced communications services and
communications infrastructure in rural America, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
August 7, 2020
Mr. Latta (for himself and Mr. O'Halleran) introduced the following
bill; which was referred to the Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To provide funds to assess the availability, accelerate the deployment,
and improve the sustainability of advanced communications services and
communications infrastructure in rural America, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Rural Connectivity Advancement
Program Act of 2020''.
SEC. 2. DEPOSIT OF SPECTRUM AUCTION PROCEEDS IN RURAL BROADBAND
ASSESSMENT AND DEPLOYMENT FUND.
Section 309(j)(8) of the Communications Act of 1934 (47 U.S.C.
309(j)(8)) is amended--
(1) in subparagraph (A), by striking ``and (G)'' and
inserting ``(G), and (H)''; and
(2) by adding at the end the following:
``(H) Assessment and deployment set-aside.--
``(i) In general.--Notwithstanding
subparagraph (A), and except as provided in
subparagraphs (B), (D), (E), (F), and (G), 10
percent of the net proceeds from each use of a
system of competitive bidding under this
subsection completed before September 30, 2022,
shall be deposited in the Rural Broadband
Assessment and Deployment Fund established
under section 3 of the Rural Connectivity
Advancement Program Act of 2020.
``(ii) Net proceeds defined.--For purposes
of this subparagraph, the term `net proceeds',
with respect to the use of a system of
competitive bidding, means the proceeds
remaining after subtracting all auction-related
expenditures, including--
``(I) relocation payments,
including accelerated relocation
payments;
``(II) payments to incumbent
licensees for the relinquishment of all
or a portion of the spectrum usage
rights of those licensees;
``(III) costs associated with the
reallocation of spectrum, whether on an
exclusive or shared use basis;
``(IV) relocation or sharing costs,
including for planning for relocation
or sharing; and
``(V) bidding credits.''.
SEC. 3. DIRECTION AND USE OF RURAL BROADBAND ASSESSMENT AND DEPLOYMENT
FUND PROCEEDS.
(a) Definitions.--In this subsection--
(1) the term ``Commission'' means the Federal
Communications Commission; and
(2) the term ``high-cost programs'' means--
(A) the program for Universal Service Support for
High-Cost Areas set forth under subpart D of part 54 of
title 47, Code of Federal Regulations, or any successor
regulations;
(B) the Rural Digital Opportunity Fund set forth
under subpart J of part 54 of title 47, Code of Federal
Regulations, or any successor regulations;
(C) the Interstate Common Line Support Mechanism
for Rate-of-Return Carriers set forth under subpart K
of part 54 of title 47, Code of Federal Regulations, or
any successor regulations;
(D) the Mobility Fund set forth under subpart L of
part 54 of title 47, Code of Federal Regulations, or
any successor regulations;
(E) the High Cost Loop Support for Rate-of-Return
Carriers program set forth under subpart M of part 54
of title 47, Code of Federal Regulations, or any
successor regulations;
(F) the Uniendo a Puerto Rico Fund and the Connect
USVI Fund set forth under subpart O of part 54 of title
47, Code of Federal Regulations, or any successor
regulations; and
(G) the Rural Broadband Experiments, as established
by the Commission under part 54 of title 47, Code of
Federal Regulations.
(b) Establishment of Fund.--There is established in the Treasury of
the United States a fund to be known as the ``Rural Broadband
Assessment and Deployment Fund''.
(c) Borrowing Authority.--
(1) In general.--Beginning on the date on which the
Commission announces the results of an auction under section
309(j) of the Communications Act of 1934 (47 U.S.C. 309(j)),
the Commission may borrow from the Treasury of the United
States an amount not to exceed the amount that will be
deposited in the Rural Broadband Assessment and Deployment Fund
under paragraph (8)(H) of that section (as added by section 2
of this Act) as a result of that auction.
(2) Reimbursement.--The Commission shall reimburse the
general fund of the Treasury, without interest, for any amounts
borrowed under paragraph (1) as funds are deposited into the
Rural Broadband Assessment and Deployment Fund.
(d) Availability of Amounts.--Any amounts borrowed under subsection
(c)(1) and any amounts in the Rural Broadband Assessment and Deployment
Fund that are not necessary for reimbursement of the general fund of
the Treasury for such borrowed amounts shall be available to the
Commission for use in accordance with subsection (e).
(e) Use of Amounts.--
(1) Establishment of program or programs.--The Commission
shall use the amounts made available under subsection (d) to
establish 1 or more programs that are separate from, but are
coordinated with and complement, the high-cost programs to
address--
(A) gaps that remain in broadband internet access
service coverage in high-cost rural areas despite the
operations of the high-cost programs; and
(B) shortfalls in sufficient funding of the high-
cost programs that could adversely affect the
sustainability of services or reasonable comparability
of rates that are supported by those programs.
(2) Purposes.--In carrying out paragraph (1), the
Commission shall use amounts made available under subsection
(d) in an efficient and cost-effective manner only--
(A) for the assessment of, and to provide subsidies
in a technology-neutral manner through a competitive
process (subject to weighting preferences for
performance quality and other service metrics as the
Commission may find appropriate) to providers for
support of, deployment of broadband-capable
infrastructure in high-cost rural areas that the
Commission determines are unserved by fixed terrestrial
broadband internet access service at a download speed
of not less than 25 megabits per second and an upload
speed of not less than 3 megabits per second (or such
higher speed as the Commission may determine
appropriate based upon an evolving definition of
universal service); and
(B) to assess, and provide subsidies to providers
to enable providers to sustain, broadband internet
access service in any rural area in which--
(i) only one provider of fixed terrestrial
broadband internet access service operates; and
(ii) the high-cost nature of the area
precludes the offering of voice service and
broadband internet access service at rates and
performance levels available in urban areas as
determined by the Urban Rate Survey conducted
by the Commission.
(3) Tribal considerations.--In distributing amounts under
this subsection, the Commission shall consider the broadband
internet access service needs of residents of Tribal lands (as
defined in section 54.400 of title 47, Code of Federal
Regulations, or any successor regulation).
(4) Limitations.--
(A) Prohibition on funding other programs.--
(i) In general.--The Commission may not use
amounts made available under subsection (d) to
fund any program that was not established by
the Commission under paragraph (1) of this
subsection, including any program established
under section 254 of the Communications Act of
1934 (47 U.S.C. 254) in effect on the date of
enactment of this Act, except for using the
Universal Service Administrative Company to
administer funding.
(ii) Rule of construction.--Nothing in
clause (i) shall be construed to prohibit the
Commission from using amounts made available
under subsection (d) to supplement the
provision of support under the high-cost
programs, as authorized under paragraph (1)(B)
of this subsection.
(B) Transparency and accountability for addressing
gaps in coverage.--The Commission shall establish
transparency and accountability requirements for
amounts made available for the purpose set forth in
paragraph (1)(A) that, at a minimum--
(i) provide--
(I) a process for challenging any
initial determination by the Commission
regarding whether an area is served or
unserved; and
(II) written public notice on the
website of the Commission of--
(aa) how each challenge
under subparagraph (I) was
decided; and
(bb) the reasons of the
Commission for each decision;
(ii) establish broadband service buildout
milestones and require periodic certification
by funding recipients to ensure compliance with
the broadband service buildout milestones;
(iii) establish a maximum buildout
timeframe of 4 years beginning on the date on
which funding is provided;
(iv) establish periodic reporting
requirements for funding recipients that
identify, at a minimum, the nature of the
service provided in each area where funding is
provided;
(v) establish standard penalties for
noncompliance with the requirements established
under this subparagraph and as may be further
prescribed by the Commission;
(vi) establish procedures for recovery of
funds, in whole or in part, from funding
recipients in the event of default or
noncompliance with the requirements established
under this subparagraph and as may be further
prescribed by the Commission; and
(vii) require a funding recipient to--
(I) offer voice service and
broadband internet access service; and
(II) permit a consumer to subscribe
to one type of service described in
subclause (I) or both types.
(C) Transparency and accountability for addressing
shortfalls in funding.--The Commission shall establish
transparency and accountability requirements for
amounts made available for the purpose set forth in
subparagraph (1)(B) that, at a minimum--
(i) establish periodic reporting and
certification requirements for funding
recipients to ensure that the funding results
in the offering of voice service and broadband
internet access service at reasonably
comparable rates and performance levels;
(ii) establish standard penalties for
noncompliance with the requirements established
under this subparagraph and as may be further
prescribed by the Commission;
(iii) establish procedures for recovery of
funds, in whole or in part, from funding
recipients in the event of default or
noncompliance with the requirements established
under this subparagraph and as may be further
prescribed by the Commission; and
(iv) require a funding recipient to--
(I) offer voice service and
broadband internet access service; and
(II) permit a consumer to subscribe
to one type of service described in
subclause (I) or both types.
(f) Reports.--
(1) Auction-specific reports.--Not later than 30 days after
the date on which the Commission announces the results of an
auction under section 309(j) of the Communications Act of 1934
(47 U.S.C. 309(j)), the Commission shall publish and submit to
the Committee on Commerce, Science, and Transportation of the
Senate and the Committee on Energy and Commerce of the House of
Representatives a report on the amount of net proceeds that
will be deposited in the Rural Broadband Assessment and
Deployment Fund under paragraph (8)(H) of that section (as
added by section 2 of this Act) as a result of that auction.
(2) Auction proceeds deployment report.--Section 309(j) of
the Communications Act of 1934 (47 U.S.C. 309(j)) is amended by
adding at the end the following:
``(19) Report on rural broadband assessment and deployment
fund proceeds.--Not later than March 1, 2021, and not less
frequently than annually thereafter, the Commission shall
publish and submit to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on Energy and
Commerce of the House of Representatives a report on--
``(A) the distribution of amounts made available
under section 3(d) of the Rural Connectivity
Advancement Program Act of 2020 for the preceding year;
and
``(B) the projected distribution of amounts that
will be made available under section 3(d) of the Rural
Connectivity Advancement Program Act of 2020 for the
year after the year in which the report is published
and submitted.''.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Energy and Commerce.
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