[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1908 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 1908

    To establish an education satellite loan guarantee program for 
communications among education, Federal, State, and local institutions 
   and agencies and instructional and educational resource providers.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 21, 1995

 Mrs. Morella (for herself and Mr. Brown of California) introduced the 
  following bill; which was referred to the Committee on Economic and 
                       Educational Opportunities

_______________________________________________________________________

                                 A BILL


 
    To establish an education satellite loan guarantee program for 
communications among education, Federal, State, and local institutions 
   and agencies and instructional and educational resource providers.
    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. PURPOSE.

    It is the purpose of this Act to acquire a dedicated communications 
satellite system on which instruction, education, and training 
programming can be collocated and free from preemption.

SEC. 2. EDUCATIONAL SATELLITE LOAN GUARANTEE PROGRAM.

    (a) Program Authorized.--
            (1) In general.--The Secretary of Commerce is authorized to 
        carry out a program to guarantee any lender against loss of 
        principal or interest on a loan described in subsection (b) 
        made by such lender to a nonprofit, public corporation that--
                    (A) is recognized for expertise in governing and 
                operating educational and instructional 
                telecommunications in schools, colleges, libraries, 
                State agencies, workplaces, and other distant education 
                centers;
                    (B) was in existence as of January 1, 1992;
                    (C) the charter of which is designed for 
                affiliation with Federal, State, and local educational 
                and instructional institutions and agencies, and other 
                distant education and instructional resource providers;
                    (D) has a governing board that includes members 
                representing elementary and secondary education, 
                community and State colleges, universities, elected 
                officials and the private sector; and
                    (E) has as its sole purpose the acquisition and 
                operation of an integrated communications satellite 
                system and other telecommunications dedicated to 
                transmitting instruction, education, and training 
                programming.
            (2) Interim acquisition of transponder capacity.--As an 
        interim measure to acquire a communications satellite system 
        dedicated to instruction, education, and training programming, 
        a corporation that meets the requirements of paragraph (1) may 
        acquire unused transponder capacity owned or leased by Federal 
        Government agencies and unused transponder capacity owned or 
        leased by non-Federal broadcast organizations for reuse by 
        schools, colleges, community colleges, universities, State 
        agencies, libraries, and other distant education centers at 
        competitive, low costs, subject only to preemption for national 
        security purposes.
            (3) Encouragement of interconnec- tivity.--A corporation 
        that meets the requirements of paragraph (1) shall encourage 
        interconnectivity between elementary and secondary schools, 
        colleges, and community colleges, universities, State agencies, 
        libraries, and other distant education centers with ground 
        facilities and services of United States domestic common 
        carriers, international common carriers, and ground facilities 
        and services of satellite, cable, and other private 
        communications systems, to ensure technical compatibility and 
        interconnectivity of the space segment with existing 
        communications facilities in the United States and foreign 
        countries, to best serve United States education, instruction, 
        and training needs and to achieve cost-effective, 
        interoperability for friendly end-user, ``last mile'' access 
        and use.
            (4) Technical and training needs.--A corporation that meets 
        the requirements of paragraph (1) shall determine the technical 
        and training needs of educations users and providers to 
        facilitate coordinated and efficient use of a communications 
        satellite system dedicated to instruction, education, and 
        training to further unlimited access for schools, colleges, 
        community colleges, universities, State agencies, libraries, 
        and other distant education centers.
    (b) Eligible Loans.--The Secretary of Commerce only shall guarantee 
a loan under this section if--
            (1) the authorized corporation described in paragraph (1) 
        has--
                    (A) investigated all practical means to acquire a 
                communications satellite system;
                    (B) reported to the Secretary the findings of such 
                investigation; and
                    (C) recommended the most cost-effective, high-
                quality communications satellite system to meet the 
                purpose of this Act; and
            (2) the proceeds of such loan are used solely to acquire 
        and operate a communications satellite system dedicated to 
        transmitting instruction, education, and training programming.
    (c) Loan Amount Limitations.--The Secretary of Commerce shall not 
guarantee more than $270,000,000 in loans described in subsection (a) 
pursuant to the program assisted under this section, of which--
            (1) not more than $250,000,000 shall be for the guarantee 
        of such loans the proceeds of which are used to acquire 
        communications satellite system; and
            (2) not more than $20,000,000 shall be used for the 
        guarantee of such loans the proceeds of which are used to pay 
        the costs of not more than 4 years of operating and management 
        expenses associated with providing integrated communications 
        satellite system services described in subsection (a).
    (d) Liquidation or Assignment.--
            (1) In general.--In order for a lender to receive a loan 
        guarantee under this section such lender shall agree to assign 
        to the United States any right or interest in the 
        communications satellite system or communications satellite 
        system services that such lender possesses upon payment by the 
        Secretary of Commerce on such loan guarantee.
            (2) Disposition.--The United States may exercise, retain, 
        or dispose of any right or interest acquired pursuant to 
        paragraph (1) in any manner the United States deems fit, upon 
        the recommendation of the Secretary of Commerce.
    (e) Special Rule.--Any loan guarantee under this section shall be 
guaranteed with full faith and credit of the United States.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as may be necessary for each fiscal year to 
carry out this section.
    (g) Definitions.--For purposes of this subsection--
            (1) the term ``acquire'' includes acquisition through 
        lease, purchase, or donation;
            (2) the term ``communications satellite system'' means one 
        or more communications satellites capable of providing service 
        from space, including transponder capacity, on such satellite 
        or satellites; and
            (3) the term ``national security preemption'' means 
        preemption by the Federal Government for national security 
        purposes, to exclude technical and business purpose 
        preemptions.
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