[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 2448 Introduced in Senate (IS)]







107th CONGRESS
  2d Session
                                S. 2448

          To improve nationwide access to broadband services.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 2, 2002

 Mr. Hollings (for himself, Mrs. Clinton, Mr. Stevens, Mr. Inouye, Mr. 
 Rockefeller, and Mr. Dorgan) introduced the following bill; which was 
  read twice and referred to the Committee on Commerce, Science, and 
                             Transportation

_______________________________________________________________________

                                 A BILL


 
          To improve nationwide access to broadband services.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Broadband 
Telecommunications Deployment Act of 2002''.
    (b) Table of Contents.--
    The table of contents for this Act is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
           TITLE I--TRUST FUND FOR BROADBAND LOANS AND GRANTS

Sec. 101. Broadband deployment trust fund.
  TITLE II--ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN RURAL 
                                 AREAS

Sec. 201. Loan program.
Sec. 202. Grants for planning and feasibility studies on broadband 
                            deployment.
Sec. 203. Pilot program for wireless or satellite broadband trials in 
                            rural areas.
Sec. 204. Rural and underserved community broadband technology 
                            initiative.
Sec. 205. Report on universal service and competition.
Sec. 206. Block grants to States for broadband deployment.
Sec. 207. GAO to study broadband deployment in other countries.
Sec. 208. Assessment of homeland security and public safety needs in 
                            rural and underserved areas.
TITLE III--RESEARCH ON TECHNICAL AND FINANCIAL REQUIREMENTS FOR FASTER 
                           BROADBAND SERVICES

Sec. 301. Research enhancement of broadband telecommunications 
                            services.
Sec. 302. Grants to colleges and universities to research faster 
                            broadband technology.
          TITLE IV--STIMULATING DEMAND FOR BROADBAND SERVICES

Sec. 401. Grants to colleges and universities for research.
Sec. 402. Grants to libraries to digitize collections.
Sec. 403. Grants to museums to digitize collections.
Sec. 404. Grants for DTV conversion and programming.
              TITLE V--DIGITAL NETWORK TECHNOLOGY PROGRAM

Sec. 501. Amendment of National Telecommunications and Information 
                            Administration Organization Act.
Sec. 502. Definitions.
Sec. 503. Funding.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) Broadband service could revolutionize the way Americans 
        live. Therefore, it is important that Congress examine the 
        issues surrounding the availability and subscription to 
        broadband service.
            (2) The Federal Communications Commission recently 
        concluded that advanced telecommunications capability is being 
        deployed in a reasonable and timely manner and that although 
        investment trends in general have slowed recently, investment 
        in infrastructure for advanced telecommunications remains 
        strong.
            (3) Approximately 85 percent of Americans have access to 
        broadband service provided by either the cable or telephone 
        companies.
            (4) Some communities, such as those in rural and urban 
        areas do not have access to broadband service.
            (5) According to numerous reports only 10 to 12 percent of 
        consumers actually subscribe to broadband service, leading many 
        to believe that the low adoption of broadband by consumers is 
        not due to low availability, but instead to a lack of demand by 
        consumers. In the top one-tenth of zip codes ranked by median 
        family income, high-speed subscribers were reported in 96 
        percent of the zip codes. By contrast, high speed subscribers 
        were reported in 59 percent of zip codes with the lowest median 
        family income.
            (6) Cable and telephone companies provide broadband service 
        with speeds of up to 1.5 megabits per second to residential 
        consumers. However, many in the technology industry state that 
        higher speeds are needed to provide telemedicine, video 
        conferencing, movie and music over the internet and other 
        internet applications.
            (7) The Federal Communications Commission's policies for 
        promoting broadband deployment must not undermine competition 
        or universal service.
            (8) Congress must explore ways to ensure that broadband 
        service is available to all Americans and that no one is left 
        behind. This includes exploring ways to increase deployment in 
        unserved and underserved areas, address consumer demand 
        factors, facilitate innovation that results in higher service 
        speeds, and promote consumer confidence when using the 
        Internet.

           TITLE I--TRUST FUND FOR BROADBAND LOANS AND GRANTS

SEC. 101. BROADBAND DEPLOYMENT TRUST FUND.

    (a) In General.--The National Telecommunications and Information 
Administration Organization Act is amended--
            (1) by redesignating part C as part D; and
            (2) by inserting after part B (47 U.S.C. 921 et seq.) the 
        following new part:

``PART C--ASSISTANCE TO PROMOTE BROADBAND DEPLOYMENT AND DEMAND.

``SEC. 131. BROADBAND DEPLOYMENT AND DEMAND TRUST FUND.

    ``(a) Creation of Trust Fund.--There is established in the Treasury 
of the United States a trust fund to be known as the Broadband 
Deployment and Demand Trust Fund.
    ``(b) Expenditures From Trust Fund.--Amounts in the Trust Fund 
shall be available for making expenditures to carry out the provisions 
of the Broadband Telecommunications Deployment Act of 2002, and for 
such expenditures as may be necessary to administer the programs 
established therein.
    ``(c) Treatment as Trust Fund.--Subchapter B of chapter 98 of the 
Internal Revenue Code of 1986 shall apply to the administration of the 
Trust Fund.

``SEC. 132. REGULATIONS.

    ``The Secretary of Commerce may prescribe such regulations as may 
be necessary to carry out this part.

``SEC. 133. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Authorization.--For each of fiscal years 2003 through 2007 
there are authorized to be appropriated to the Broadband Deployment and 
Demand Trust Fund an amount equivalent to 50 percent of the taxes 
received in the Treasury after September 30, 2002, and before October 
1, 2007, under section 4251 (relating to tax on communications) of the 
Internal Revenue Code of 1986.
    ``(b) Sunset of Appropriations Stream.--The authorization of 
appropriations by subsection (a) Trust Fund shall terminate at the end 
of fiscal year 2007, but any balances remaining in the Trust Fund at 
the close of that fiscal year, and any repayments of loans made from 
the Trust Fund received after fiscal year 2007, shall remain available 
for obligation and expenditure from the Trust Fund.''.

  TITLE II--ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN RURAL 
                                 AREAS

SEC. 201. LOAN PROGRAM.

    (a) Purpose.--The purpose of this section is to provide loans to 
fund the costs of the construction, improvement, and acquisition of 
facilities and equipment for broadband service in eligible rural and 
underserved communities.
    (b) Definitions.--In this section:
            (1) Broadband service.--The term ``broadband service'' 
        means any technology identified by the National 
        Telecommunications and Information Administration, in 
        consultation with the Rural Utilities Service of the Department 
        of Agriculture, as having the capacity to transmit data to 
        enable a subscriber to the service to originate and receive 
        high-quality voice, high-speed data, graphics, or video.
            (2) Eligible rural community.--The term ``eligible rural 
        community'' means any incorporated or unincorporated place 
        that--
                    (A) has not more than 50,000 inhabitants, based on 
                the most recent available population statistics of the 
                Bureau of the Census; and
                    (B) is not located in an area designated as a 
                standard metropolitan statistical area.
            (3) Eligible underserved community.--The term ``eligible 
        underserved community'' means any census tract located in--
                    (A) an empowerment zone or enterprise community 
                designated under section 1391 of the Internal Revenue 
                Code of 1986;
                    (B) the District of Columbia Enterprise Zone 
                established under section 1400 of such Code;
                    (C) a renewal community designated under section 
                1400E of such Code; or
                    (D) a low-income community designated under section 
                45D of such Code.
    (c) Loans.--
            (1) In general.--The Rural Utilities Service, in 
        consultation with National Telecommunications and Information 
        Administration, shall make loans to eligible entities to 
        provide funds for the construction, improvement, or acquisition 
        of facilities and equipment for the provision of broadband 
        service in eligible rural and underserved communities.
            (2) Loans to lecs.--The Rural Utilities Service, in 
        consultation with National Telecommunications and Information 
        Administration, shall make loans to local exchange carriers (as 
        defined in section 3(26) of the Communications Act of 1934 (47 
        U.S.C. 151(26)) that are eligible entities to provide funds to 
        upgrade or install remote terminals located more than 25,000 
        feet from the closest central office of the local exchange 
        carrier, and for the installation of fiber optic cable or 
        broadband wireless facilities between such remote terminals and 
        the closest central office of a local exchange carrier, in 
        order to provide broadband service to eligible rural and 
        underserved communities.
            (3) Effect of communications policy.--Notwithstanding any 
        other provision of this section, the Rural Utilities Service 
        may not make a loan under this subsection if the National 
        Telecommunications and Information Administration determines 
        that the loan would have an adverse effect on communications 
        policy, including competition in the communications 
        marketplace.
    (d) Eligible Entities.--To be eligible to obtain a loan under this 
section, an entity shall--
            (1) be able to furnish, improve, or extend a broadband 
        service to an eligible rural or underserved community; and
            (2) submit to the Rural Utilities Service a proposal for a 
        project that meets the requirements of this section.
    (e) Broadband Service.--The National Telecommunications and 
Information Administration shall, from time to time as advances in 
technology warrant, review and recommend modifications to the rate-of-
data transmission criteria for purposes of the identification of 
broadband service technologies under subsection (b)(1).
    (f) Technological Neutrality.--For purposes of determining whether 
to make a loan for a project under this section, the Rural Utilities 
Service shall apply technologically neutral criteria and encourage the 
use of a variety of landline and wireless technologies among 
applications.
    (g) Terms and Conditions for Loans.--A loan under subsection (d) 
shall--
            (1) be made available in accordance with the requirements 
        of the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et 
        seq.);
            (2) bear interest at an annual rate, as determined by the 
        National Telecommunications and Information Administration, in 
        consultation with the Rural Utilities Service, of--
                    (A) 4 percent per annum; or
                    (B) the current applicable market rate; and
            (3) have a term not to exceed the useful life of the assets 
        constructed, improved, or acquired with the proceeds of the 
        loan or extension of credit.
    (h) Use of Loan Proceeds To Refinance Loans for Deployment of 
Broadband Service.--Notwithstanding any other provision of this Act, 
the proceeds of any loan made by the Rural Utilities Service under this 
Act may be used by the recipient of the loan for the purpose of 
refinancing an outstanding obligation of the recipient on another 
telecommunications loan made under this Act if the use of the proceeds 
for that purpose will further the construction, improvement, or 
acquisition of facilities and equipment for the provision of broadband 
service in eligible rural and underserved communities.
    (i) Incumbent Local Exchange Carrier Must Make Upgraded Facilities 
Available.--In addition to any other requirement to provide unbundled 
network elements, any incumbent local exchange carrier (as defined in 
section 251(h) of the Communications Act of 1934 (47 U.S.C. 251(h))) 
that uses funds made available under subsection (c)(2) shall make 
remote terminals and fiber optic cable so funded, and any loop that 
includes such components, available to a requesting telecommunications 
carrier on an unbundled basis in accordance with the requirements of 
sections 251 and 252 of the Communications Act of 1934 (47 U.S.C. 251, 
252).
    (j) Funding.--
            (1) In general.--The Secretary of Commerce shall make 
        available from amounts in the Broadband Deployment and Demand 
        Trust Fund not more than $125,000,000 for each of fiscal years 
        2003 through 2007 for loans under this section, of which 
        $25,000,000 shall be for loans under subsection (c)(2).
            (2) Value of loans outstanding.--The aggregate value of all 
        loans made under this section shall be at least $2,500,000,000 
        for each such fiscal year, including not more than $500,000,000 
        for outstanding loans under subsection (c)(2).
            (3) Allocation of funds.--
                    (A) In general.--From amounts made available for 
                each fiscal year under paragraph (1), the Rural 
                Utilities Service shall establish a national reserve 
                for loans to eligible entities in States under this 
                section.
                    (B) Unobligated amounts.--Any amounts in the 
                reserve established for a State for a fiscal year under 
                subparagraph (A) that are not obligated by April 1 of 
                the fiscal year shall be available to the Rural 
                Utilities Service to make loans under this section to 
                eligible entities in any State, as determined by the 
                Rural Utilities Service.

SEC. 202. GRANTS FOR PLANNING AND FEASIBILITY STUDIES ON BROADBAND 
              DEPLOYMENT.

    (a) In General.--The National Telecommunications and Information 
Administration shall make grants to non-profit organizations for 
planning and feasibility studies on the deployment of broadband 
services in different geographic areas, including towns, cities, 
counties, and States.
    (b) Eligibility Criteria.--
            (1) In general.--The National Telecommunications and 
        Information Administration may establish additional criteria 
        for eligibility for grants under this section, including 
        criteria for the scope of the planning and feasibility studies 
        to be carried out with grants under this section.
            (2) Contribution by grantee.--An organization may not be 
        awarded a grant under this section unless the entity agrees to 
        contribute (out of funds other than the grant amount) to the 
        planning and feasibility study to be funded by the grant an 
        amount equal to the amount of the grant.
    (c) Application.--An organization seeking a grant under this 
section shall submit an application for the grant to National 
Telecommunications and Information Administration that is in such form, 
and that contains such information, as the National Telecommunications 
and Information Administration shall require.
    (d) Limitation on Use of Grant Amounts.--Grant amounts under this 
section may not be used for the acquisition of office equipment, the 
construction of buildings or other facilities, the acquisition or 
improvement of existing buildings or facilities, or the leasing of 
office space.
    (e) Reservation of Funds for Grants.--
            (1) In general.--The Secretary of Commerce shall make 
        available from amounts in the Broadband Deployment and Demand 
        Trust Fund not more than $60,000,000 for each of fiscal years 
        2003 through 2007 as a reserve for grants under this section.
            (2) Release.--Funds reserved under paragraph (1) for a 
        fiscal year shall be reserved only until April 1 of the fiscal 
        year.
    (f) Supplement Not Supplant.--
            (1) In general.--Eligibility for a grant under this section 
        shall not affect eligibility for a grant or loan under another 
        section of this Act.
            (2) Considerations.--The National Telecommunications and 
        Information Administration may not take into account the award 
        of a grant under this section, or the award of a grant or loan 
        under another section of this Act, in awarding a grant or loan 
        under this section or another section of this Act, as the case 
        may be.
    (g) Termination of Authority.--
            (1) In general.--No grant may be made under this section 
        after September 30, 2007.
            (2) Effect on validity of grant.--Notwithstanding paragraph 
        (1), any grant made under this section before the date 
        specified in paragraph (1) shall be valid.

SEC. 203. PILOT PROGRAM FOR WIRELESS OR SATELLITE BROADBAND TRIALS IN 
              RURAL AREAS.

    (a) In General.--The National Telecommunications and Information 
Administration shall support up to 7 pilot programs in each of fiscal 
years 2003 through 2007 for conducting innovative applications of 
wireless, satellite, and other non-wireline technologies capable of 
delivering broadband service (as defined in section 201(b)(1)) to an 
eligible rural community (as defined in section 201(b)(2)) or an 
eligible underserved community (as defined in section 201(b)(3)). The 
National Telecommunications and Information Administration shall 
support 1 pilot program per year for fiber-to-the-home technology under 
this subsection except for any year for which no application is 
received for such a program.
    (b) Application Procedures and Conditions.--The National 
Telecommunications and Information Administration shall establish such 
application procedures and conditions for grants under this section as 
it deems appropriate.
    (c) Funding.--The Secretary of Commerce shall make available from 
the Broadband Deployment and Demand Trust Fund up to $2,000,000 per 
year for each pilot program under subsection (a).

SEC. 204. RURAL AND UNDERSERVED COMMUNITY BROADBAND TECHNOLOGY 
              INITIATIVE.

    The Director of the National Institute of Standards and Technology, 
through the Advanced Technology Program, may hold a portion of the 
Institute's competitions in thematic areas, selected after consultation 
with industry, academics, and other Federal Agencies, designed to 
develop and improve technical capabilities with respect to the speed, 
quality, and availability of technologies that will extend the reach of 
broadband Internet services to individuals living in eligible rural 
communities (as defined in section 201(b)(2)) and eligible underserved 
communities (as defined in section 201(b)(3)).

SEC. 205. REPORT ON UNIVERSAL SERVICE AND COMPETITION.

    No later than May 1, 2003, a Federal-State Joint Board established 
pursuant to section 410(c) of the Communications Act of 1934 (47 U.S.C. 
410(c)) and the National Exchange Carriers Association shall report to 
the Federal Communications Commission and to the Senate Committee on 
Commerce, Science, and Transportation and the House of Representatives 
Committee on Energy and Commerce on--
            (1) the effect of reclassifying telecommunications services 
        provided by incumbent local exchange carriers on--
                    (A) the level of support available for universal 
                service;
                    (B) the universal service contribution obligations 
                of telecommunications carriers and other providers of 
                telecommunications; and
                    (C) the ability of the Commission and State 
                commissions to fulfill the requirements of subsections 
                (b), (h), and (i) of section 254 of the Communications 
                Act of 1934 (47 U.S.C. 254);
            (2) the effect on universal service of--
                    (A) reducing the availability of network elements 
                provided by incumbent local exchange carriers;
                    (B) modifying the rates, terms, and conditions for 
                the purchasing or leasing of such elements; and
                    (C) reducing the oversight of the rates, charges, 
                terms, and conditions for the purchasing or leasing of 
                telecommunications services provided by such carriers; 
                and
            (3) the effect of such changes on competition in the 
        provision of telecommunications services.

SEC. 206. BLOCK GRANTS TO STATES FOR BROADBAND
              DEPLOYMENT.

    (a) In General.--The Secretary of Commerce shall establish a grant 
program to provide funding to State and local governments to encourage 
and support the deployment of broadband technologies and services, 
particularly in eligible rural communities (as defined in section 
201(b)(2)) and eligible underserved communities (as defined in section 
201(b)(3)).
    (b) Purposes.--State and local governments receiving grants under 
this section shall use the funds--
            (1) to spur investment in broadband facilities;
            (2) to stimulate deployment of broadband technology and 
        services;
            (3) to encourage the adoption of broadband in eligible 
        rural communities (as defined in section 201(b)(2)) and 
        eligible underserved communities (as defined in section 
        201(b)(3)); and
            (4) to provide e-government services through improved 
        access to government services through broadband Internet 
        connections.
    (c) Applications.--To be eligible to receive a grant under this 
section, a State or local government shall submit an application to the 
Secretary at such time, in such manner, and containing such information 
as the Secretary may require. The Secretary shall establish a procedure 
for accepting, processing, and evaluating applications and publish an 
announcement of the procedure, including a statement regarding the 
availability of funds, in the Federal Register.
    (d) Funding.--The Secretary shall make available from amounts in 
the Broadband Deployment and Demand Trust Fund $1,000,000,000 for each 
of fiscal years 2003 through 2007 for grants under this section, of 
which $250,000,000 shall be made available for each such fiscal year 
for e-government enhancement activities described in subsection (b)(4) 
in all communities.

SEC. 207. GAO TO STUDY BROADBAND DEPLOYMENT IN OTHER COUNTRIES.

    The Comptroller General shall survey countries with broadband 
deployment and subscriber rates that are similar to, or greater than, 
the broadband deployment and subscriber rates in the United States in 
order to determine the actions governments, carriers, and other parties 
have taken to facilitate the deployment of broadband (including the 
factors that encourage consumers to subscribe to broadband service) and 
report the results of his survey to the Congress by May 1, 2003.

SEC. 208. ASSESSMENT OF HOMELAND SECURITY AND PUBLIC SAFETY NEEDS IN 
              RURAL AND UNDERSERVED AREAS.

    (a) In General.--No later than 6 months after the date of enactment 
of this Act, the National Telecommunications and Information 
Administration shall issue a report on the potential role of broadband 
in rural and underserved areas in addressing homeland security and 
public safety needs, and, as necessary, make recommendations to enhance 
deployment to improve emergency response systems.
    (b) Funding.--The Secretary of Commerce shall make available from 
the Broadband Deployment and Demand Trust Fund up to $500,000 for the 
study under subsection (a).

TITLE III--RESEARCH ON TECHNICAL AND FINANCIAL REQUIREMENTS FOR FASTER 
                           BROADBAND SERVICES

SEC. 301. RESEARCH ENHANCEMENT OF BROADBAND TELECOMMUNICATIONS 
              SERVICES.

    (a) In General.--
            (1) National science board research.--The Director of the 
        National Science Board, without considering any changes in 
        telecommunications regulation, shall research--
                    (A) technical changes that would be necessary with 
                respect to wireline, wireless facilities, and satellite 
                facilities to provide broadband telecommunications 
                services in order to provide speeds between 50 
                megabits-per-second and 100 megabits-per-second; and
                    (B) the financial cost of ensuring that all 
                Americans have access to broadband services with speeds 
                between 50 megabits-per-second and 100 megabits-per-
                second.
            (2) ITS broadband research.--The Director of the Institute 
        of Telecommunications Sciences of the National 
        Telecommunications and Information Administration, in 
        consultation with the Director of the National Institute of 
        Science and Technology Laboratories, shall engage in research 
        and development--
                    (A) of wireline, wireless facilities, and satellite 
                facilities to provide broadband telecommunications 
                services in order to provide speeds between 50 
                megabits-per-second and 100 megabits-per-second;
                    (B) of new broadband technologies to meet 
                government and commercial needs; and
                    (C) with respect to the technical capabilities of 
                existing technologies to improve their speed, quality, 
                and availability and extend the reach of broadband 
                services to individuals living in rural areas.
            (3) Spectrum-sharing and interference issues.--The Director 
        of the Institute of Telecommunications Sciences shall also 
        conduct research or studies--
                    (A) to enhance spectrum-sharing between 
                governmental and private sector users of broadband 
                services;
                    (B) to develop technologies that would enable 
                government and private sector users to use spectrum 
                more efficiently; and
                    (C) to provide recommendations to the Administrator 
                of the National Telecommunications and Information 
                Administration that would enhance--
                            (i) government and private sector spectrum 
                        sharing opportunities and coordination; and
                            (ii) private sector innovation of new 
                        wireless technologies that benefit government 
                        and private sector users.
    (b) Consultation and Coordination.--The Directors of the National 
Science Board, the Institute of Telecommunications Sciences, and the 
National Institute of Science and Technology Laboratories shall--
            (1) consult with governmental and commercial users of 
        broadband services as appropriate to facilitate research under 
        subsection (a); and
            (2) consult with each other in order to coordinate their 
        activities under subsection (a).
    (c) Results of Research.--The Director shall make available to the 
public, in such manner as the Director considers appropriate, the 
results of any research carried out under this section.
    (d) Funding.--The Secretary of Commerce shall make available from 
amounts in the Broadband Deployment and Demand Trust Fund for each of 
fiscal years 2003 through 2007 to carry out this section not more 
than--
            (1) $60,000,000 to the Director of the Institute of 
        Telecommunications Sciences of the National Telecommunications 
        and Information Administration, of which not more than 
        $10,000,000 shall be used to carry out subsection (a)(2);
            (2) $15,000,000 to the Director of the National Institute 
        of Science and Technology Laboratories; and
            (3) $50,000,000 to the Director of the National Science 
        Board.

SEC. 302. GRANTS TO COLLEGES AND UNIVERSITIES TO RESEARCH FASTER 
              BROADBAND TECHNOLOGY.

    (a) In General.--The Director of the National Science Foundation 
shall establish and administer a grant program to fund research at 
colleges and universities into advancing the technical aspects of 
broadband technology in order to provide speeds between 50 megabits-
per-second and 100 megabits-per-second. In carrying out this 
subsection, the Director shall ensure that grants are geographically 
distributed nationwide.
    (b) Funding.--The Secretary of Commerce shall make available from 
amounts in the Broadband Deployment and Demand Trust Fund not more than 
$50,000,000 for each of fiscal years 2003 through 2007 to the National 
Science Board for purposes of activities under this section.

          TITLE IV--STIMULATING DEMAND FOR BROADBAND SERVICES

SEC. 401. GRANTS TO COLLEGES AND UNIVERSITIES FOR RESEARCH.

    (a) In General.--The National Telecommunications and Information 
Administration shall establish and administer a grant program to fund 
research at colleges and universities to develop computer or Internet 
applications that require broadband facilities and are of particular 
use to residential consumers.
    (b) Funding.--The Secretary of Commerce shall make available from 
amounts in the Broadband Deployment and Demand Trust Fund not more than 
$50,000,000 for each of fiscal years 2003 through 2007 for grants under 
this section.

SEC. 402. GRANTS TO LIBRARIES TO DIGITIZE COLLECTIONS.

    (a) In General.--The National Telecommunications and Information 
Administration shall establish and administer a grant program for 
libraries to enable them to make a record in digital format of their 
collections.
    (b) Consultation With Knowledgeable Persons.--In making grants 
under subsection (a), the National Telecommunications and Information 
Administration shall consult with--
            (1) the Librarian of Congress;
            (2) the Archivist of the United States; and
            (3) representatives of libraries, academic institutions, 
        and other individuals with professional responsibilities 
        related to collection, curation, preservation, and display of 
        books, records, films, and other written or recorded matter of 
        public interest.
    (c) Funding.--The Secretary of Commerce shall make available from 
amounts in the Broadband Deployment and Demand Trust Fund not more than 
$100,000,000 for each of fiscal years 2003 through 2007 for grants 
under this section.

SEC. 403. GRANTS TO MUSEUMS TO DIGITIZE COLLECTIONS.

    (a) In General.--The National Telecommunications and Information 
Administration shall establish and administer a grant program for 
museums to enable them to make a record in digital format of their 
collections.
    (b) Consultation With Knowledgeable Persons.--In making grants 
under subsection (a), the National Telecommunications and Information 
Administration shall consult with--
            (1) the Secretary of the Smithsonian Institution;
            (2) the Chairman of the National Endowment for the Arts;
            (3) the Chairman of the National Endowment for the 
        Humanities; and
            (4) representatives of museums, academic institutions, and 
        other individuals with professional responsibilities related to 
        collection, curation, preservation, and display of objects of 
        significant public interest.
    (c) Funding.--The Secretary of Commerce shall make available from 
amounts in the Broadband Deployment and Demand Trust Fund not more than 
$100,000,000 for each of fiscal years 2003 through 2007 for grants 
under this section.

SEC. 404. GRANTS FOR DTV CONVERSION AND PROGRAMMING.

    The Secretary of Commerce shall make available from amounts in the 
Broadband Deployment and Demand Trust Fund not more than $50,000,000 
for each of fiscal years 2003 through 2007 to the National 
Telecommunications and Information Administration for grants under the 
Public Telecommunications Facilities Program for facility upgrades to 
transmit digital television programming and to develop educational and 
public interest digital programming.

              TITLE V--DIGITAL NETWORK TECHNOLOGY PROGRAM

SEC. 501. AMENDMENT OF NATIONAL TELECOMMUNICATIONS AND INFORMATION 
              ADMINISTRATION ORGANIZATION ACT.

    Title I of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 901 et seq.), as amended by 
section 101, is amended by adding at the end the following:

              ``PART E--DIGITAL NETWORK TECHNOLOGY PROGRAM

``SEC. 171. PROGRAM AUTHORIZED.

    ``The Secretary shall establish, within the NTIA's Technology 
Opportunities Program a digital network technologies program to 
strengthen the capacity of eligible institutions to provide instruction 
in digital network technologies by providing grants to, or executing 
contracts or cooperative agreements with, those institutions to provide 
such instruction.

``SEC. 172. ACTIVITIES SUPPORTED.

    ``An eligible institution shall use a grant, contract, or 
cooperative agreement awarded under this part--
            ``(1) to acquire the equipment, instrumentation, networking 
        capability, hardware and software, digital network technology, 
        and infrastructure necessary to teach students and teachers 
        about technology in the classroom;
            ``(2) to develop and provide educational services, 
        including faculty development, to prepare students or faculty 
        seeking a degree or certificate that is approved by the State, 
        or a regional accrediting body recognized by the Secretary of 
        Education;
            ``(3) to provide teacher education, library and media 
        specialist training, and preschool and teacher aid 
        certification to individuals who seek to acquire or enhance 
        technology skills in order to use technology in the classroom 
        or instructional process;
            ``(4) to implement a joint project to provide education 
        regarding technology in the classroom with a State or State 
        education agency, local education agency, community-based 
        organization, national non-profit organization, or business, 
        including minority business or a business located in HUB zones, 
        as defined by the Small Business Administration;
            ``(5) to provide leadership development to administrators, 
        board members, and faculty of eligible institutions with 
institutional responsibility for technology education; or
            ``(6) to acquire equipment, instrumentation, networking 
        capability, hardware and software, digital network technology, 
        and infrastructure necessary to meet community networking 
        needs.

``SEC. 173. APPLICATION AND REVIEW PROCEDURE.

    ``(a) In General.--To be eligible to receive a grant, contract, or 
cooperative agreement under this part, an eligible institution shall 
submit an application to the Secretary at such time, in such manner, 
and accompanied by such information as the Secretary may reasonably 
require. The Secretary, in consultation with the panel described in 
subsection (b), shall establish a procedure by which to accept such 
applications and publish an announcement of such procedure, including a 
statement regarding the availability of funds, in the Federal Register.
    ``(b) Peer Review Panel.--The Secretary shall establish a peer 
review panel to aid the Secretary in establishing the application 
procedure described in subsection (a) and selecting applicants to 
receive grants, contracts, and cooperative agreements under section 
171. In selecting the members for such panel, the Secretary may consult 
with appropriate cabinet-level officials, representatives of non-
Federal organizations, and representatives of eligible institutions to 
ensure that the membership of such panel reflects membership of the 
minority higher education community, including Federal agency personnel 
and other individuals who are knowledgeable about issues regarding 
minority education institutions.

``SEC. 174. MATCHING REQUIREMENT.

    ``The Secretary may not award a grant, contract, or cooperative 
agreement to an eligible institution under this part unless such 
institution agrees that, with respect to the costs to be incurred by 
the institution in carrying out the program for which the grant, 
contract, or cooperative agreement was awarded, such institution will 
make available (directly or through donations from public or private 
entities) non-Federal contributions in an amount equal to \1/4\ of the 
amount of the grant, contract, or cooperative agreement awarded by the 
Secretary, or $500,000, whichever is the lesser amount. The Secretary 
shall waive the matching requirement for any institution or consortium 
with no endowment, or an endowment that has a current dollar value 
lower than $50,000,000.

``SEC. 175. LIMITATION.

    ``An eligible institution that receives a grant, contract, or 
cooperative agreement under this part that exceeds $2,500,000, shall 
not be eligible to receive another grant, contract, or cooperative 
agreement under this part until every other eligible institution has 
received a grant, contract, or cooperative agreement under this part.

``SEC. 176. ANNUAL REPORT AND EVALUATION.

    ``(a) Annual Report Required From Recipients.--Each institution 
that receives a grant, contract, or cooperative agreement under this 
part shall provide an annual report to the Secretary on its use of the 
grant, contract, or cooperative agreement.
    ``(b) Evaulation by Secretary.--The Secretary, in consultation with 
the Secretary of Education, shall--
            ``(1) review the reports provided under subsection (a) each 
        year;
            ``(2) evaluate the program authorized by section 171 on the 
        basis of those reports; and
            ``(3) conduct a final evaluation at the end of the third 
        year
                    ``(c) Contents of evaluation.--The Secretary, in 
                the evaluation, shall describe the activities 
                undertaken by those institutions and shall assess the 
                short-range and long-range impact of activities carried 
                out under the grant, contract, or cooperative agreement 
                on the students, faculty, and staff of the 
                institutions.
                    ``(d) Report to congress.--The Secretary shall 
                submit a report to the Congress based on the final 
                evaluation within 1 year after conducting the final 
                evaluation. In the report, the Secretary shall include 
                such recommendations, including recommendations 
                concerning the continuing need for Federal support of 
                the program, as may be appropriate.

                 ``Part F--Community Networking Program

``SEC. 191. PROGRAM AUTHORIZED.

    ``(a) In General.--The Secretary shall establish, within NTIA's 
Technology Opportunities Program, a community networking program to 
enable underserved communities to deploy broadband capable networks, 
aggregate demand for broadband services, and provide broadband access 
for economic development, public safety, health care, and educational 
needs of the community.
    ``(b) Conferences.--The Secretary shall conduct conferences 
throughout each of the fiscal years 2003 through 2007 to inform State 
and local governments and the public about best practices in community 
networking and broadband applications for small businesses, 
telemedicine, distance learning, teleagriculture, and other specialized 
uses of such applications.

``SEC. 192. ACTIVITIES SUPPORTED.

    ``An eligible entity shall use a grant under this part to acquire 
the equipment, instrumentation, networking capability, hardware, 
software, broadband network technology, and infrastructure necessary to 
provide access to broadband telecommunications and information services 
necessary to promote economic development and enhance the public 
safety, educational, and health care needs of the eligible community.

``SEC. 193. APPLICATION PROCEDURE.

    ``(a) In General.--To be eligible to receive a grant under this 
part, an eligible entity shall submit an application to the Secretary 
at such time, in such manner, and accompanied by such information as 
the Secretary may reasonably require. The Secretary, in consultation 
with the panel described in subsection (b), shall establish a procedure 
by which to accept such applications and publish an announcement of 
such procedure, including a statement regarding the availability of 
funds, in the Federal Register.
    ``(b) Peer Review Panel.--The Secretary shall establish a peer 
review panel to aid the Secretary in establishing the application 
procedure described in subsection (a) and selecting applicants to 
receive grants, contracts, and cooperative agreements under section 
191.

``SEC. 194. MATCHING REQUIREMENT.

    ``The Secretary may not award a grant to an eligible entity under 
this part unless the entity agrees to make available, directly or in 
kind, non-Federal contributions to the costs of the program equal to 
the amount of the grant.''.

SEC. 502. DEFINITIONS.

    Section 102(a) of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 901(a)) is amended by adding 
at the end the following:
            ``(6) Eligible institution.--The term `eligible 
        institution' means an institution that is--
                    ``(A) a historically Black college or university 
                that is a part B institution, as defined in section 
                322(2) of the Higher Education Act of 1965 (20 U.S.C. 
                1061(2)), an institution described in section 326(e)(1) 
                (A), (B), or (C) of that Act (20 U.S.C. 1063b(e)(1) 
                (A), (B), or (C)), or a consortium of institutions 
                described in this subparagraph;
                    ``(B) a Hispanic-serving institution, as defined in 
                section 502(a)(5) of the Higher Education Act of 1965 
                (20 U.S.C. 1101a(a)(5));
                    ``(C) a tribally controlled college or university, 
                as defined in section 316(b)(3) of the Higher Education 
                Act of 1965 (20 U.S.C. 1059c(b)(3));
                    ``(D) an Alaska Native-serving institution under 
                section 317(b) of the Higher Education Act of 1965 (20 
                U.S.C. 1059d(b));
                    ``(E) a Native Hawaiian-serving institution under 
                section 317(b) of the Higher Education Act of 1965 (20 
                U.S.C. 1059d(b)); or
                    ``(F) an institution determined by the Secretary, 
                in consultation with the Secretary of Education, to 
                have enrolled a substantial number of minority, low-
                income students during the previous academic year who 
                received assistance under subpart I of part A of title 
                IV of the Higher Education Act of 1965 (20 U.S.C. 1070a 
                et seq.) for that year.
            ``(7) Eligible entity.--The term `eligible entity' means a 
        State, local, or Tribal government or a nonprofit organization.
            ``(8) Eligible community.--The term `eligible community' 
        means a community that satisfactorily demonstrates to the 
        Secretary that access to broadband services or broadband 
        service applications are essential to the economic development, 
        public safety, education, and health care needs of the 
        community and such access is not available at affordable rates 
        or on reasonable terms.''.

SEC. 503. FUNDING.

    The Secretary of Commerce shall make available, from amounts in the 
Broadband Deployment and Demand Trust Fund, for each of the fiscal 
years 2003 through 2007--
            (1) $250,000,000 to entities described in section 102(a)(6) 
        of the National Telecommunications and Information 
        Administration Organization Act to carry out part E of title I 
        of that Act; and
            (2) $250,000,000 to carry out part F of title I of that 
        Act, of which $25,000,000 shall be used to acquire equipment, 
        instrumentation, networking capability, hardware and software, 
        and infrastructure necessary to improve homeland security and 
        public safety needs in rural and underserved communities.
                                 <all>