[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 944 Introduced in Senate (IS)]
<DOC>
117th CONGRESS
1st Session
S. 944
To amend the Communications Act of 1934 to establish a program to
expand access to broadband in unserved and underserved areas, and for
other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 24, 2021
Mr. Graham (for himself and Mr. Scott of South Carolina) introduced the
following bill; which was read twice and referred to the Committee on
Commerce, Science, and Transportation
_______________________________________________________________________
A BILL
To amend the Communications Act of 1934 to establish a program to
expand access to broadband in unserved and underserved areas, 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 ``State Funding for Internet Expansion
Act of 2021'' or the ``State Fix Act of 2021''.
SEC. 2. EXPANSION OF BROADBAND ACCESS.
Title I of the Communications Act of 1934 (47 U.S.C. 151 et seq.)
is amended by adding at the end the following:
``SEC. 14. EXPANSION OF BROADBAND ACCESS.
``(a) Definitions.--In this section:
``(1) Anchor institution.--The term `anchor institution'
means--
``(A) a public or private elementary school or
secondary school, as those terms are defined in section
8101 of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7801);
``(B) a library;
``(C) a medical or healthcare provider;
``(D) a museum;
``(E) a public safety entity;
``(F) public housing;
``(G) an institution of higher education, as that
term is defined in section 101 of the Higher Education
Act of 1965 (20 U.S.C. 1001), including a community
college; or
``(H) any other community support organization or
agency.
``(2) Area.--The term `area' means the geographic unit of
measurement with the greatest level of granularity that is
reasonably feasible for the Commission to use in making
eligibility determinations under this section and in meeting
the requirements and deadlines under this section.
``(3) Assistant secretary.--The term `Assistant Secretary'
means the Assistant Secretary of Commerce for Communications
and Information.
``(4) Broadband.--The term `broadband'--
``(A) has the meaning given the term `broadband
internet access service' in section 8.1(b) of title 47,
Code of Federal Regulations, or any successor
regulation;
``(B) includes any service that is the functional
equivalent of the service described in subparagraph
(A); and
``(C) does not include dial-up internet access
service.
``(5) Covered entity.--The term `covered entity'--
``(A) means an entity that--
``(i) is owned by, controlled by,
affiliated with, or acting at the direction of
an entity that is organized under the laws of,
or otherwise subject to the jurisdiction of, a
country, the government of which is on the
priority watch list established by the United
States Trade Representative pursuant to section
182(a) of the Trade Act of 1974 (19 U.S.C.
2242(a)); and
``(ii) has engaged in an action that is
prohibited under--
``(I) section 1(a) of Executive
Order 13873 (84 Fed. Reg. 22689;
relating to securing the information
and communications technology and
services supply chain); or
``(II) any regulations issued in
response to the Executive Order
described in subclause (I); and
``(B) includes any subsidiary, affiliate, employee,
or representative of, and any related party with
respect to, an entity described in subparagraph (A),
without regard to the location or jurisdiction of
incorporation of that subsidiary, affiliate, employee,
representative, or party, as applicable.
``(6) Funding recipient.--The term `funding recipient'
means an entity that receives funding for a project under this
section.
``(7) Program.--Unless otherwise expressly indicated, the
term `program' means the program established under subsection
(b).
``(8) Project.--The term `project' means a project that
uses funding made available under this section to construct and
deploy infrastructure for the provision of broadband.
``(9) Public housing.--The term `public housing'--
``(A) has the meaning given the term in section
3(b) of the United States Housing Act of 1937 (42
U.S.C. 1437a(b)); and
``(B) includes housing receiving tenant-based
rental assistance provided under section 8(o) of the
United States Housing Act of 1937 (42 U.S.C. 1437f(o)).
``(10) Reverse auction.--The term `reverse auction' means
an auction in which--
``(A) bids are submitted for a project by the
entities that would construct or deploy infrastructure
for the provision of broadband under the project; and
``(B) the winning bid is the bid that proposes
serving an area for the lowest cost, taking into
consideration the preferences under subsection (d)(2).
``(11) Underserved area.--The term `underserved area' means
an area in which more than 10 percent, but not more than 50
percent, of the population of the area has access to
broadband--
``(A) with a download speed of not less than 25
megabits per second and not more than 50 megabits per
second; and
``(B) with an upload speed of not less than 3
megabits per second.
``(12) Unserved anchor institution.--The term `unserved
anchor institution' means an anchor institution that does not
have access to broadband offered--
``(A) with a download speed of not less than 100
megabits per second; and
``(B) with an upload speed of not less than 10
megabits per second.
``(13) Unserved area.--The term `unserved area' means an
area in which not more than 10 percent of the population of the
area has access to broadband--
``(A) with a download speed of not less than 25
megabits per second; and
``(B) with an upload speed of not less than 3
megabits per second.
``(b) Program Established.--Not later than 300 days after the date
of enactment of this section, the Commission, in consultation with the
Assistant Secretary, shall establish a program--
``(1) to expand access to broadband in unserved areas and
underserved areas, and for unserved anchor institutions, in
accordance with the requirements of this section; and
``(2) that--
``(A) is separate from any universal service
program established under section 254; and
``(B) does not require a funding recipient to be
designated as an eligible telecommunications carrier
under section 214(e).
``(c) Use of Program Funds.--
``(1) Public notice.--
``(A) In general.--Not later than 300 days after
the date of enactment of this section, the Commission
shall publish in the Federal Register a notice
informing each State and the public that amounts made
available to carry out this section shall be
distributed under this subsection.
``(B) Contents.--The notice published under
subparagraph (A) shall include--
``(i) the manner in which a State shall
inform the Commission of the acceptance by that
State, in whole or in part, of the amounts to
be distributed to the State under this
subsection;
``(ii) a notification that the acceptance
described in clause (i) shall be due on the
date that is 45 days after the date on which
the Commission issues the public notice; and
``(iii) the requirements with respect to
the use of the distributed amounts under this
section and under any further requirements that
the Commission may prescribe.
``(2) Acceptance by states.--Not later than 45 days after
the date on which the Commission publishes the notice required
under paragraph (1), each State accepting amounts to be
distributed under this subsection shall inform the Commission
of the acceptance, in whole or in part, by the State of those
amounts in the manner described by the Commission in the
notice.
``(3) Expanding access to broadband through states.--
``(A) In general.--Not later than 1 year after the
date of enactment of this section, the Commission shall
distribute amounts made available to carry out this
section among the States that have agreed to accept the
funds.
``(B) Formulas.--The amount that a State receives
under subparagraph (A) shall be the sum of--
``(i) the amount obtained by--
``(I) dividing the number of
individuals living in unserved areas in
the State by the total number of
individuals living in unserved areas in
the United States; and
``(II) multiplying 80 percent of
the amount made available to carry out
this section by the quotient obtained
under subclause (I); and
``(ii) the amount obtained by--
``(I) dividing the number of
individuals living in underserved areas
in the State by the total number of
individuals living in underserved areas
in the United States; and
``(II) multiplying 20 percent of
the amount made available to carry out
this section by the quotient obtained
under subclause (I).
``(4) Requirements for state receipt of amounts
distributed.--Each State accepting amounts distributed under
this subsection--
``(A) may allocate those amounts only through a
statewide reverse auction or auctions, in the manner
prescribed by the State, subject to the requirements of
this section (including the rules promulgated under
subsection (g)) and any further requirements that the
Commission may prescribe;
``(B) may make an allocation under subparagraph (A)
only--
``(i) to a funding recipient to expand
access to broadband in unserved areas within
the State;
``(ii) to a funding recipient to expand
access to broadband for unserved anchor
institutions located in the State; or
``(iii) if a State does not have, or no
longer has, an unserved area within the State,
to a funding recipient to expand access to
broadband in underserved areas in the State;
``(C) shall--
``(i) not later than 10 years after the
date of enactment of this section, return to
the Commission any unused portion of those
amounts; and
``(ii) before accepting those amounts,
submit to the Commission a certification that
the State will comply with clause (i); and
``(D) may not use more than 5 percent of those
amounts to administer a reverse auction that complies
with the requirements of this section.
``(5) Distribution of remaining funds.--In the case of any
amounts remaining after the amounts made available to carry out
this section are distributed under this subsection, the
Commission shall transfer those amounts to the general fund of
the Treasury, where those transferred amounts shall be
dedicated for the sole purpose of deficit reduction.
``(d) Program Requirements.--
``(1) Technology neutrality required.--A State
administering a reverse auction to make awards under subsection
(c) may not favor a project using any particular technology.
``(2) Bidding preference.--Consistent with the program,
there shall be a preference, as determined by the entity
administering a reverse auction, for a bidder in the reverse
auction that proposes a project that is described by any of the
following:
``(A) Not less than 20 percent of the funds
provided by the bidder with respect to the project are
matched from private sources.
``(B) The project would expand access to broadband
on Tribal lands, as that term is defined by the
Commission.
``(C) The project would provide broadband that
has--
``(i) a latency of not more than 50
milliseconds; and
``(ii)(I) a download speed that is not less
than 100 megabits per second or an upload speed
of not less than 20 megabits per second; or
``(II) a download speed of not less than 1
gigabit per second or an upload speed of not
less than 100 megabits per second.
``(D) The project would expand access to broadband
in advance of the time specified in subsection
(g)(1)(D).
``(E) The project would expand access to broadband
to areas in which the median household income is below
150 percent of the poverty threshold, as defined by the
Bureau of the Census.
``(F) The project would provide affordable payment
options to subscribers in locations served.
``(3) Notice, transparency, accountability, and oversight
required.--The program shall contain sufficient notice,
transparency, accountability, and oversight measures to--
``(A) provide the public with notice regarding the
assistance provided under this section; and
``(B) deter waste, fraud, and abuse with respect to
program funds.
``(4) Competence.--The program shall contain sufficient
processes and requirements, as established by each State
participating in the program, to ensure that each entity
participating in a reverse auction conducted by the State--
``(A) is capable of carrying out the applicable
project in a manner that is competent and that complies
with all applicable Federal, State, and local laws;
``(B) has the financial capacity to--
``(i) meet the buildout obligations of the
applicable project; and
``(ii) satisfy the requirements of this
section and any other further requirements that
the Commission may prescribe in carrying out
this section; and
``(C) has the technical and operational capacity to
provide broadband in the manner contemplated by any bid
placed by the entity during the reverse auction, which
shall include a detailed consideration of--
``(i) the prior performance of the entity
in constructing broadband infrastructure in
rural areas; and
``(ii) the capability of the proposed
infrastructure to be constructed and deployed
by the entity to provide the proposed broadband
services in the area that the infrastructure
would serve.
``(e) Project Requirements.--Any project funded through the program
shall satisfy the following requirements:
``(1) The project shall adhere to quality-of-service
standards established by the Commission.
``(2) The project--
``(A) shall offer broadband that, at a minimum,
provides--
``(i) a download speed of not less than the
greater of--
``(I) 50 megabits per second; or
``(II) the download speed required
for an internet service to qualify as
an advanced telecommunications
capability, as defined in section
706(d) of the Telecommunications Act of
1996 (47 U.S.C. 1302(d));
``(ii) an upload speed of not less than the
greater of--
``(I) 10 megabits per second; or
``(II) the upload speed required
for an internet service to qualify as
an advanced telecommunications
capability, as defined in section
706(d) of the Telecommunications Act of
1996 (47 U.S.C. 1302(d)); and
``(iii) a latency of not more than 100
milliseconds; and
``(B) may offer broadband that, at a minimum,
provides--
``(i) a download speed of not less than 25
megabits per second;
``(ii) an upload speed of not less than 3
megabits per second; and
``(iii) a latency of not more than 100
milliseconds.
``(3) The project shall incorporate prudent cybersecurity
and supply chain risk management practices, as specified by the
Commission in the rules promulgated under subsection (g), after
consultation with the Director of the National Institute of
Standards and Technology and the Assistant Secretary.
``(4)(A) Any laborer or mechanic employed by any contractor
or subcontractor in the performance of work on the project
shall be paid wages at rates not less than those prevailing on
similar construction in the locality, as determined by the
Secretary of Labor under subchapter IV of chapter 31 of title
40, United States Code (commonly referred to as the `Davis-
Bacon Act').
``(B) With respect to the labor standards specified in
subparagraph (A), the Secretary of Labor shall have the
authority and functions set forth in Reorganization Plan
Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section
3145 of title 40, United States Code.
``(5) The funding recipient may not purchase any materials,
products, or services from a covered entity.
``(f) Determinations Regarding Unserved and Underserved Areas.--
``(1) Initial determination.--
``(A) In general.--Not later than 120 days after
the date of enactment of this section, the Commission
shall, for the purposes of any reverse auction
conducted under this section, make an initial
determination as to--
``(i) whether an area is an unserved area
or an underserved area; and
``(ii) whether an anchor institution is an
unserved anchor institution.
``(B) Resources.--In making a determination under
subparagraph (A), the Commission shall--
``(i) to the extent practicable, use the
National Broadband Availability Map created by
the Assistant Secretary;
``(ii) to the extent practicable, use data
from the Broadband Serviceable Location Fabric
established under section 802(b)(1)(B);
``(iii) consider other data obtained or
purchased by the Commission that relates to
access to broadband;
``(iv) consider other publicly available
data or information regarding access to
broadband; and
``(v) consider other publicly available
data or information on State broadband
deployment programs and any additional
information States have on their constituents'
broadband access.
``(2) Challenge process.--The Commission shall provide for
a process--
``(A) for challenging any initial determination
under paragraph (1);
``(B) that, at a minimum, provides not less than 45
days for a person to voluntarily submit information
concerning--
``(i) the broadband offered in the
applicable area; or
``(ii) the broadband offered to an anchor
institution, if applicable; and
``(C) that is sufficiently streamlined such that a
reasonably prudent person that submits verified data,
or meets other requirements imposed by the Commission,
may easily challenge an initial determination made
under paragraph (1) with little burden on that person.
``(3) Rebuttal period.--The Commission shall provide for a
30-day period, beginning on the day after the last day of the
challenge process under paragraph (2), during which a person
may submit a rebuttal to any challenge brought under that
paragraph.
``(4) Final determinations.--Not later than 255 days after
the date of enactment of this section, and after taking into
consideration the challenges brought under paragraph (2) and
rebuttals submitted under paragraph (3), the Commission shall
make a final determination of--
``(A) the areas that are unserved areas or
underserved areas; and
``(B) the anchor institutions that are unserved
anchor institutions.
``(g) Rulemaking, Distribution, and Award of Funds.--
``(1) In general.--Not later than 255 days after the date
of enactment of this section, the Commission, in consultation
with the Assistant Secretary, shall promulgate rules that
accomplish the following:
``(A) Implement the requirements of this section.
``(B) Establish the design of, and requirements
for, a reverse auction conducted by a State under this
section.
``(C) Establish notice requirements for all reverse
auctions conducted under this section that, at a
minimum, and in accordance with the determinations made
under subsection (f), provide the public with notice
of--
``(i) the initial determination of which
areas are unserved areas or underserved areas
under paragraph (1) of that subsection;
``(ii) the final determination of which
areas are unserved areas or underserved areas
under paragraph (4) of that subsection, after
the processes for challenging the initial
determination and for rebutting any such
challenge have concluded; and
``(iii) with respect to a particular
reverse auction, which entities have applied to
bid for funding.
``(D) With respect to a funding recipient that
receives funding under this section for a project,
provide that, not later than 6 years after the date on
which the funding recipient receives the funding, the
funding recipient shall provide service to not less
than 80 percent of the areas proposed to be served by
the project.
``(E) Establish broadband buildout milestones and
periodic certification by funding recipients to ensure
compliance with the broadband buildout milestones.
``(F) Establish periodic reporting requirements for
funding recipients that require those funding
recipients to identify, at a minimum, with respect to
the project to which the funding relates--
``(i) the technology used;
``(ii) the level of service offered; and
``(iii) the percentage of the applicable
area served.
``(G) Establish mechanisms to reduce waste, fraud,
and abuse within the program with respect to any
reverse auction conducted under this section.
``(H) Establish processes to--
``(i) assist States in conducting statewide
reverse auctions;
``(ii) coordinate with States to ensure
that funds disbursed by the Commission and
program funds awarded by the States are not
used to expand access to broadband in the same
unserved areas;
``(iii) ensure the efficient use of program
funds by coordinating with other Federal
programs that expand access to broadband, such
as--
``(I) the program set forth under
subpart D of part 54 of title 47, Code
of Federal Regulations (or any
successor regulations);
``(II) the program set forth under
subpart J of part 54 of title 47, Code
of Federal Regulations (or any
successor regulations); and
``(III) the broadband loan and
grant pilot program known as the `Rural
eConnectivity Pilot Program' or the
`ReConnect Program' authorized under
section 779 of division A of the
Consolidated Appropriations Act, 2018
(Public Law 115-141; 132 Stat. 399);
and
``(iv) ensure that each participating State
conducts a reverse auction in a manner that--
``(I) achieves the goals of this
section; and
``(II) does not conflict with the
rules of, or reverse auctions conducted
by, the Commission.
``(2) Sense of congress.--It is the sense of Congress that,
in conducting the rulemaking under paragraph (1), the
Commission should consider using milestones for completion
under the program that are similar to those with respect to the
program set forth under subpart J of part 54 of title 47, Code
of Federal Regulations (or any successor regulations).
``(3) State rulemaking requirements.--A State that accepts
funding under the program shall promulgate rules that
establish--
``(A) standard penalties for any funding recipient
or project that does not comply with this section or
with any additional requirements imposed by the State
with respect to a reverse auction conducted by the
State; and
``(B) procedures for the recovery of funds, in
whole or in part, from a funding recipient if the
funding recipient, or the project carried out by the
funding recipient, fails to comply with the
requirements of this section or with any additional
requirements imposed by the State with respect to a
reverse auction conducted by the State.
``(h) Reports Required.--
``(1) Inspector general and comptroller general annual
reports.--Not later than 1 year after the date on which funds
are first awarded under the program, and annually thereafter
through fiscal year 2030, the Inspector General of the
Commission and the Comptroller General of the United States
shall 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 that--
``(A) reviews the program for the year covered by
the report; and
``(B) includes any recommendations to address
waste, fraud, and abuse with respect to the program.
``(2) State reports.--A State that, in a year, receives
funds under the program shall submit to the Commission--
``(A) a report regarding how those funds were spent
during the applicable year; and
``(B) a certification that the State, for that
year, has complied with the requirements of this
section and with any further requirements prescribed by
the Commission in carrying out this section, including
a description of services provided with those funds and
the number of locations to which broadband service was
provided with those funds.
``(i) Authorization of Appropriations.--There is authorized to be
appropriated to the Commission $20,000,000,000 for fiscal year 2021 to
carry out the program, which shall remain available through fiscal year
2030.''.
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