1.Short
title; table of contents
(a)This Act may be cited
as the Digital Age Communications Act
of 2005
.
(b)The table of
contents for this Act is as follows:
Sec. 1. Short title; table of
contents.
Sec. 2. Definitions.
TITLE I—Regulatory framework
Sec. 101. Findings and policy.
Sec. 102. Prohibition of unfair methods of
competition.
Sec. 103. Actions for complaints.
Sec. 104. Time limits on Commission action.
Sec. 105. Additional powers of the Commission.
TITLE II—Transfer or assignment of permits, licenses, or
certificates
Sec. 201. Findings.
Sec. 202. Modification of authority to deny or condition
licenses.
TITLE III—Universal Service
Sec. 301. Applicability of Communications Act of
1934.
Sec. 302. Principles of universal service.
Sec. 303. Definition of basic electronic communications
services.
Sec. 304. Contribution mechanism.
Sec. 305. Universal service block grant program.
Sec. 306. Waiver authority.
Sec. 307. State universal service programs not
preempted.
Sec. 308. Report to Congress.
TITLE IV—General Provisions
Sec. 401. Findings and policy regarding allocation of Federal,
State, and local responsibility.
Sec. 402. Rulemaking and delegation of authority.
Sec. 403. Judicial review of decisions.
Sec. 404. Right-of-way authority.
Sec. 405. State regulation of basic local rates.
Sec. 406. Retention of additional State authority.
Sec. 407. Preemption of State authority.
Sec. 408. Transition and sunset of existing
agreements.
Sec. 409. Effective date.
2.
(a)In this Act, the
following definitions shall apply:
(1)The term antitrust laws
includes—
(A)the Act entitled
An Act to protect trade and commerce against unlawful restraints and
monopolies
, approved July 2, 1890;
(B)sections 73
through 76 of an Act entitled An Act to reduce taxation, to provide
revenue for the Government, and for other purposes
, approved August 27,
1894;
(C)the Act entitled
An Act to amend sections 73 and 76 of the Act of August 27, 1894,
entitled An Act to reduce taxation, to provide revenue for the Government, and
for other purposes
, approved February 12, 1913; and
(D)the Act entitled
An Act to supplement existing laws against unlawful restraints and
monopolies, and for other purposes
, approved October 15, 1914.
(2)The
term Commission
means the Federal Communications
Commission.
(3)Electronic
communications networkThe term electronic communications
network
means—
(A)a transmission
system; and
(B)where applicable,
switching or routing equipment and other facilities which permit the conveyance
of signals by wire, radio, optical, or other electromagnetic means, over
satellite, cable, or other facilities, whether fixed or mobile, to the extent
that such facilities are used for the purpose of transmitting signals,
irrespective of the type of information conveyed.
(4)Electronic
communications serviceThe term electronic communications
service
means a service normally provided for remuneration which
consists wholly or mainly in the conveyance of signals on electronic
communications networks.
(5)The
term household
includes—
(A)all the persons
who occupy a housing unit; and
(B)housing units
located in Indian lands (as such term is defined in section 4(4) of the Indian
Gaming Regulatory Act (25 U.S.C. 2703)).
(6)The term housing unit
means—
(A)a house;
(B)an
apartment;
(C)a mobile
home;
(D)a group of rooms;
or
(E)a single room
that is occupied as separate living quarters.
(7)The term Joint Board
means the Federal-State
Joint Board on universal service required under section 254(a) of the
Communications Act of 1934 (47 U.S.C. 254(a)).
(8)The term low-income household
means a
family whose income does not exceed 80 percent of the median income for the
area, as determined by the Commission, with adjustments for family size, except
that the Commission may establish an income ceiling higher or lower than 80
percent of the median for the area if the Commission finds that such a
variation is necessary because of prevailing levels of construction costs or
unusually high or low family incomes.
(9)
(A)The term separate living quarters
means an
area in which the occupants of that area—
(i)live and eat
separately from any other person in the building in which the area is located;
and
(ii)have direct
access to such area—
(I)from the outside
of the building in which the area is located; or
(II)through a common
hall.
(B)For
purposes of subparagraph (A), the term occupants
includes—
(i)a
single family;
(ii)1
person living alone;
(iii)2
or more families living together; or
(iv)any other group
of related or unrelated persons who share living arrangements.
(10)Unfair methods
of competition
(A)The term unfair methods of competition
means—
(i)practices that
present a threat of abuse of significant and nontransitory market power as
determined by the Commission consistent with the application of jurisprudential
principles grounded in market-oriented competition analysis such as those
commonly employed by the Federal Trade Commission and the United States
Department of Justice in enforcing the Federal Trade Commission Act (15 U.S.C.
41 et seq.) and the antitrust laws of the United States; and
(ii)with respect to
interconnection, practices that pose a substantial and nontransitory risk to
consumer welfare by materially and substantially impeding the interconnection
of public communications facilities and services in circumstances in which the
Commission determines that marketplace competition is not sufficient to
adequately protect consumer welfare.
(B)Interconnection
determinationIn making any determination under subparagraph
(A)(ii), the Commission shall consider whether requiring interconnection will
adversely affect investment in facilities and innovation in services.
(b)Except as otherwise provided in subsection (a), terms
used in this Act shall have the same meaning given to such terms under sections
3, 254, and 602 of the Communications Act of 1934 (47 U.S.C. 153, 254, and
522).
<enum>I</enum><header>Regulatory
framework</header>
<section id="id670582D07E4D4B1EAE5865BBE281429D"><enum>101.</enum><header>Findings and
policy</header>
<subsection id="idB875BE9D2E924FE482A9C6F7AAB780F7"><enum>(a)</enum><header>Findings</header><text>Congress
finds that—</text>
<paragraph id="ID56c1d265644545c49fb37f4552991caa"><enum>(1)</enum><text>in 1996, Congress
enacted and the President signed into law the Telecommunications Act of 1996,
which was intended to provide a procompetitive, deregulatory framework designed
to facilitate the continuing transition to a more competitive communications
market;</text>
</paragraph><paragraph id="ID98c2064a0f574b16aaf8c64a6419f691"><enum>(2)</enum><text>since the
enactment and implementation of the Telecommunications Act of 1996, rapid
advances in technology and marketplace developments have further increased the
existence of competition in all communications markets and the likelihood of
the continuing existence and increasing intensity of competition;</text>
</paragraph><paragraph id="ID43dd6acfbd8140d7b69fdcd634de4b22"><enum>(3)</enum><text>competition in a
dynamic communications marketplace is the most effective and efficient means
for protecting consumers and enhancing the consumer welfare of all the people
of the United States in terms of achieving the optimum mix of price, quality,
and consumer choice; and</text>
</paragraph><paragraph id="ID74a503485a6e4428bd7c30493147ee12"><enum>(4)</enum><text>unnecessary
regulation regarding protection of consumers and enhancement of consumer
welfare deters—</text>
<subparagraph id="idFF02CBE807A04D33AE0D4C9F82DB214A"><enum>(A)</enum><text>investment in new
and advanced communications facilities; and</text>
</subparagraph><subparagraph id="id5F1BC16408614E2BBC62DBFA46BB4EA4"><enum>(B)</enum><text>the development
of new services and applications.</text>
</subparagraph></paragraph></subsection><subsection id="id2DC65E4C5DB447C4871410C01D01AC69"><enum>(b)</enum><header>Policy</header><text>It
shall be the policy of the United States Government—</text>
<paragraph id="IDc5bae1ec958a43c28224e27eeadf7798"><enum>(1)</enum><text>to promote the
widespread availability of communications services for all Americans in order
to assure that the American people have access to a diversity of information
sources necessary for democratic government;</text>
</paragraph><paragraph id="id8D1FBE35959C4AF598AA31F1EA6D3C43"><enum>(2)</enum><text>to promote the
integrity, reliability, and efficiency of communications facilities in a manner
consistent with—</text>
<subparagraph id="id886213D403E74BBA809DF60A9548A545"><enum>(A)</enum><text>the encouragement
of investment in advanced communications networks; and</text>
</subparagraph><subparagraph id="id0903C3BF5E8249D0802500179F9B9A9C"><enum>(B)</enum><text>innovation in
communications services and applications;</text>
</subparagraph></paragraph><paragraph id="IDa86b3783ac1b43ff9d7aa741bc817f12"><enum>(3)</enum><text>that economic
regulation of communications markets should be presumed unnecessary absent
circumstances that demonstrate the existence of a significant threat of abuse
of market power that poses a substantial and nontransitory risk to consumer
welfare; and</text>
</paragraph><paragraph id="IDcf607676950947c89281edb0a945c332"><enum>(4)</enum><text>that in order to
ensure that the actions of the Federal Communications Commission are consistent
with the findings in subsection (a), and to effectuate the deregulatory policy
declared in this subsection, the decisions of the Commission should be based on
jurisprudential principles grounded in market-oriented competition analysis
such as those commonly employed by the Federal Trade Commission and the
Department of Justice in enforcing the Federal Trade Commission Act (15 U.S.C.
41 et seq.) and the antitrust laws of the United States.</text>
</paragraph></subsection></section><section id="id0ADAB52EA5354F1EB85AA63B413791CF"><enum>102.</enum><header>Prohibition of
unfair methods of competition</header>
<subsection id="id5ADC2B41FCE54737A1761C2715C7E9A3"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">It shall be unlawful
for any provider of electronic communications service, including any State, or
any general purpose political subdivision of a State, to engage or participate,
or to attempt to engage or participate, in—</text>
<paragraph id="idF8F25EF83BC140DCB8F550F2F9610AE0"><enum>(1)</enum><text display-inline="yes-display-inline">unfair methods of competition in or
affecting electronic communications networks and electronic communications
services; or</text>
</paragraph><paragraph id="id8EF03E7F3A4E45568F3FC1E647B4BA43"><enum>(2)</enum><text display-inline="yes-display-inline">unfair or deceptive practices in or
affecting electronic communications networks and electronic communications
services.</text>
</paragraph></subsection><subsection id="id9EDE18361C5D479BA71BB85AE462CB5D"><enum>(b)</enum><header>Rulemaking
authority</header>
<paragraph id="idA66CAC43B652454F950180328D2B5355"><enum>(1)</enum><header>In
general</header><text>The Commission may, by rule, define with specificity, the
acts or practices that shall constitute unfair methods of competition or unfair
or deceptive acts or practices as described in subsection (a).</text>
</paragraph><paragraph id="idB2C5798A3CDF4886AB6562D3FA85BE53"><enum>(2)</enum><header>Content of
rules</header><text>Rules promulgated under paragraph (1) may include such
requirements as the Commission determines necessary to prevent any methods,
acts, or practices prohibited by this section.</text>
</paragraph><paragraph id="id2704B451CE5946F99ACF2477D14FE144"><enum>(3)</enum><header>Limitation</header>
<subparagraph id="id4A1A176190524416B73F9482578CDE80"><enum>(A)</enum><header>In
general</header><text>Notwithstanding paragraph (1) and except as provided in
subparagraph (B), the Commission shall have no authority to issue rules that
declare unlawful an act or practice on the grounds that such act or practice is
an unfair method of competition or unfair or deceptive act or practice.</text>
</subparagraph><subparagraph id="id3B1BC04A497D4E2884C735E7AAB762BB"><enum>(B)</enum><header>Exception</header><text>The
Commission may declare an act or practice unlawful if the Commission
determines, based on a showing of clear and convincing evidence presented in a
rulemaking proceeding, that—</text>
<clause id="idAA09D8D75CDD4DB78960F4671C489024"><enum>(i)</enum><text>marketplace
competition is not sufficient to adequately protect consumer welfare;
and</text>
</clause><clause id="idB18502B3A8D64A9FB94ECD8B584DACCA"><enum>(ii)</enum><text>such act or
practice—</text>
<subclause id="idD56598051DDD4EB99127BFD2AC080411"><enum>(I)</enum><text>causes or is
likely to cause substantial injury to consumers; and</text>
</subclause><subclause id="id095B0B8574A24E99B51838D6CF3EAA90"><enum>(II)</enum><text>is not—</text>
<item id="id1B9FAA2658E446D5B49BDF43BA3659A2"><enum>(aa)</enum><text>avoidable by
consumers themselves; and</text>
</item><item id="id0EBA68A710414AFE8D5D47A3FDE38EA8"><enum>(bb)</enum><text>outweighed by
countervailing benefits to consumers or to competition.</text>
</item></subclause></clause></subparagraph></paragraph><paragraph id="idFA290E1727C543D7924C00F7C1F28A48"><enum>(4)</enum><header>Sunset of
rules</header><text>Any rule promulgated under paragraph (1) shall terminate on
the day that is 5 years after the date on which such rule became effective
unless the Commission, in a proceeding in which the public is afforded notice
and an opportunity to comment, makes an affirmative determination, based on a
showing of clear and convincing evidence presented in such proceeding, that the
rule continues to be necessary because marketplace competition is not
sufficient to adequately protect consumers from substantial injury which is
not—</text>
<subparagraph id="idEE7E7D1E02AD484AA87B4869FF749C24"><enum>(A)</enum><text>avoidable by
consumers themselves; and</text>
</subparagraph><subparagraph id="id51AA45A0A9EA43A7B23200CF5DC67327"><enum>(B)</enum><text>outweighed by
countervailing benefits to consumers or to competition.</text>
</subparagraph></paragraph></subsection></section><section id="idBE886B01279B4B9BA10D7566B76BBB08"><enum>103.</enum><header>Actions for
complaints</header><text display-inline="no-display-inline">The Commission
shall have authority—</text>
<paragraph id="idB3EDDB9822B84B2AA620A96C7026D8F0"><enum>(1)</enum><text display-inline="yes-display-inline">to hear complaints from any party injured
by a violation of the prohibitions established under section 102; and</text>
</paragraph><paragraph id="id73DB2DABB9FF46418C74DF52D7906573"><enum>(2)</enum><text display-inline="yes-display-inline">to award damages to such injured party if
the Commission determines that a violation of that section has occurred.</text>
</paragraph></section><section id="id9295F4D9577A4907BE5F7534990CC9F9"><enum>104.</enum><header>Time limits on
Commission action</header>
<subsection id="idED3BAB6159254A97B43A504E9BA17481"><enum>(a)</enum><header>120-day limit
for applications with supporting testimony</header><text>If an application is
filed with the Commission under this or any other Act, and such application is
accompanied by supporting testimony from the applicant or a detailed summary of
that testimony, together with exhibits, if any, the Commission shall issue a
decision on such application not later than 120 days after the application is
deemed complete (as the Commission shall, by rule, determine).</text>
</subsection><subsection id="idDA06AE3BD290425499EFDB21FE527151"><enum>(b)</enum><header>210-day limit
for applications without supporting testimony</header><text>If an application
is filed with the Commission under this or any other Act, and such application
is not accompanied by supporting testimony and exhibits, the Commission shall
issue a decision on such application not later than 210 days after the
application is deemed complete (as the Commission shall, by rule,
determine).</text>
</subsection><subsection id="idFAD91C82341B48B8AB8F51141FCDED35"><enum>(c)</enum><header>Waiver</header><text>The
time limits specified in subsections (a) and (b)—</text>
<paragraph id="id11DC9487FF4D4D799702A04C0E95BFD7"><enum>(1)</enum><text>may be waived by
an applicant; and</text>
</paragraph><paragraph id="idF4B602FBAB2A4F928392934173AD640F"><enum>(2)</enum><text>if so waived,
shall not be binding on the Commission.</text>
</paragraph></subsection><subsection id="id5A8BDE72C680428490611C9BE56D38DF"><enum>(d)</enum><header>Extension of
time</header><text>The Commission, in particular cases, under extraordinary
conditions, and after notice and a hearing at which the existence of such
conditions are established, may extend the time limits specified in subsections
(a) and (b) for a period not to exceed an additional 90 days.</text>
</subsection></section><section id="idA3A28C1E9CC942BDAD5D691A03A712E2"><enum>105.</enum><header>Additional
powers of the Commission</header><text display-inline="no-display-inline">The
Commission shall have authority—</text>
<paragraph id="id5903D7EC1D424B178698B488891E3E3D"><enum>(1)</enum><text display-inline="yes-display-inline">to research and investigate, from time to
time, the organization, business, conduct, or practices of—</text>
<subparagraph id="id5A60FE29513048968FE42689931CCCB8"><enum>(A)</enum><text display-inline="yes-display-inline">any person or entity engaged in, or whose
business affects, the operation of electronic communications networks;
and</text>
</subparagraph><subparagraph id="idEE9A26831199484E805E8CA4D9756272"><enum>(B)</enum><text display-inline="yes-display-inline">any provider of electronic communications
service;</text>
</subparagraph></paragraph><paragraph id="ID63047c2123d34126854ed649b12ef14b"><enum>(2)</enum><text>to require any
person or entity that owns or operates an electronic communications networks,
or any class of such persons or entities, to file, in such form, in such
manner, and at such time as the Commission may determine, reports or answers to
specific questions regarding the organization, business, conduct, or practices
of such person or entity, such reports or answers shall be in writing and made
under penalty of perjury;</text>
</paragraph><paragraph id="ID91996d2f661d43ce9e52c19ac521d730"><enum>(3)</enum><text>to make public,
from time to time, in such form, and in such manner as the Commission
determines—</text>
<subparagraph id="idD17D60F6E4CF450BA617EE5000A67CA2"><enum>(A)</enum><text>such portions of
the information obtained under paragraph (1) as are in the public interest;
and</text>
</subparagraph><subparagraph id="id49396A5D6E334B5EB004D82A44FB56DC"><enum>(B)</enum><text>the reports and
answers described under paragraph (2), except that the Commission—</text>
<clause id="id32C5ECFBB5E14750AD573D3F849A79B6"><enum>(i)</enum><text>may
not make public any trade secret or any privileged or confidential commercial
or financial information obtained from such reports or answers; and</text>
</clause><clause id="id4BCBEFC69FFB476B9638ACDEAB3A69F5"><enum>(ii)</enum><text>may disclose
such trade secrets or information to officers and employees of an appropriate
Federal or State law enforcement agency upon prior certification by an officer
of that Federal or State law enforcement agency that such trade secrets or
information shall—</text>
<subclause id="id8E2B2AAD9943491B9ADB991B72F6D2F9"><enum>(I)</enum><text>be maintained in
confidence; and</text>
</subclause><subclause id="id4439F016C631413B9B1892AEF785B8BA"><enum>(II)</enum><text>be used only for
official law enforcement purposes; and</text>
</subclause></clause></subparagraph></paragraph><paragraph id="idB06CD66A01494BAD8427866D2912601A"><enum>(4)</enum><text>to make annual
and special reports to Congress and to submit with such reports recommendations
for additional legislation.</text>
</paragraph></section><enum>II</enum><header>Transfer or
assignment of permits, licenses, or certificates</header>
<section id="idB8C4BE6032FB47A9A97817F35BD189C6"><enum>201.</enum><header>Findings</header><text display-inline="no-display-inline">Congress finds the following:</text>
<paragraph id="ID823187929a844fa18978a31c05499c5b"><enum>(1)</enum><text>The process by
which the Federal Communications Commission currently reviews, and imposes
conditions upon, the transfer or assignment of permits, licenses, or
certificates in the context of a merger, or other conveyance of corporate
control, is in need of reform.</text>
</paragraph><paragraph id="ID4dd3f03134fb41eaa673a7ce03f59ad8"><enum>(2)</enum><text>Currently, the
review of telecommunications industry mergers by the Commission often results
in undue delay and introduces uncertainty into the marketplace because of the
unpredictability of that review under the nonspecific public interest standard
established in the Communications Act of 1934 (47 U.S.C. 151 et seq.).</text>
</paragraph><paragraph id="id2E3800876F244618B35AF1DC0117EBFE"><enum>(3)</enum><text>The Commission
has unnecessarily invoked its authority under the nonspecific public interest
standard to allow it to impose terms and conditions on the assignment and
transfer of permits, licenses, or certificates unrelated to any competitive
impacts of the proposed transaction.</text>
</paragraph><paragraph id="ID0239f98d88b44907adeeced23cd2d1cd"><enum>(4)</enum><text>The Department of
Justice and the Federal Trade Commission have extensive institutional expertise
in analyzing issues relating to industry concentration and its effects on
competition.</text>
</paragraph><paragraph id="ID0e1bb3448eda41bfbea0484344abf342"><enum>(5)</enum><text>It is
inefficient, burdensome, and costly to the Federal Government and to the
private sector, and unnecessary for the protection of consumers or for the
enhancement of consumer welfare, for the Commission in a review of a transfer
or assignment of licenses to duplicate the work performed by the Department of
Justice or the Federal Trade Commission.</text>
</paragraph><paragraph id="ID856593e3191e4be2a00d1e5064d82eac"><enum>(6)</enum><text>The Commission
should only deny, and should impose only those conditions on, the transfer or
assignment of permits, licenses, or certificates as is necessary to ensure that
applicants for such transfer and assignment authority are in compliance with
existing Commission rules and regulations.</text>
</paragraph></section><section id="id5FD73F28955A46C6906001F27089407D"><enum>202.</enum><header>Modification
of authority to deny or condition licenses</header>
<subsection id="id43C7D14CA86B4870A7D85D650129E47F"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">In any proceeding
under the Communications Act of 1934 (47 U.S.C. 151 et seq.) to approve an
application to assign or transfer control of a license, permit, or certificate,
the Commission—</text>
<paragraph id="ID14c26459ebd54c7688fbf952180a5bea"><enum>(1)</enum><text>may not deny such
application unless—</text>
<subparagraph id="ID4bec49f6961444b782bcd34f251bfec7"><enum>(A)</enum><text>the assignment or
transfer of control would result in a violation of the—</text>
<clause id="id03F5231E032049429E5C3ED204AFBD54"><enum>(i)</enum><text>Communications
Act of 1934 (47 U.S.C. 151 et. seq); or</text>
</clause><clause id="id65A6E7A77A6142668CF96E71D24F6B19"><enum>(ii)</enum><text>any rule or
regulations established by the Commission in effect on the date such
application is received by the Commission; and</text>
</clause></subparagraph><subparagraph id="ID44e01e82cd4740d28895f94d8668f9e0"><enum>(B)</enum><text>a violation
described in subparagraph (A) cannot be cured by the conditional approval of
the assignment or transfer of control under the provisions of paragraph
(2);</text>
</subparagraph></paragraph><paragraph id="ID7115f0c3c4324c10a7b29180a90e7640"><enum>(2)</enum><text>may not condition
approval of such application except, to the extent necessary, to—</text>
<subparagraph id="ID9db09e1082474a05a47c5a87bc3f3954"><enum>(A)</enum><text>ensure that the
assignee or transferee is in compliance with all Commission rules and
regulations in effect on the date of such approval; or</text>
</subparagraph><subparagraph id="ID8c8af0e941e34f5d9820a7aad1df1230"><enum>(B)</enum><text>permit the
orderly disposition of assets to comply with such rules and regulations;
and</text>
</subparagraph></paragraph><paragraph id="IDe780e1b34eeb4ce6bc65a04b004bbc49"><enum>(3)</enum><text>notwithstanding
section 104, shall complete all action on any such application not later than
90 days after the date of receipt by the Commission of the application, unless
the applicant requests an extension.</text>
</paragraph></subsection><subsection id="id176FB144FC4041A4A0A11FE026B32460"><enum>(b)</enum><header>Effective
date</header><text>Subsection (a) shall apply to any application for a transfer
of a permit, license, or permit that is pending on, or submitted to the
Commission on or after, the date of enactment of this Act.</text>
</subsection><subsection id="id1438F5FD5B414E93917F4988E112C5AC"><enum>(c)</enum><header>Deadlines for
pending applications</header><text>If an application for a transfer of a
permit, license, or permit is pending before the Commission for more than 30
days, as of the date of enactment of this Act, the Commission shall complete
all action on such application not later that 60 days after such date of
enactment, unless the applicant requests an extension.</text>
</subsection></section><enum>III</enum><header>Universal
Service</header>
<section id="idD6089663A7F248C69F20AA886CC2DA17"><enum>301.</enum><header>Applicability
of Communications Act of 1934</header><text display-inline="no-display-inline">The provisions of section 214(e) and 254 of
the Communications Act of 1934 (47 U.S.C. 214(e) and 254) are repealed as of
the date that is 3 years after the date of enactment of this Act.</text>
</section><section id="idF021B023CB0247B8B3C9DE6F080C6198"><enum>302.</enum><header>Principles of
universal service</header><text display-inline="no-display-inline">The policy
of the United States Government regarding the preservation and advancement of
universal service shall be based on the following principles:</text>
<paragraph id="idF4A20E4BA95746C796BD9C65790E71DD"><enum>(1)</enum><header>Affordability</header><text>Quality
basic electronic communications services shall be affordable to—</text>
<subparagraph id="id4F6A97A531474B79BC65CACCC7113848"><enum>(A)</enum><text>all low-income
households; and</text>
</subparagraph><subparagraph id="idE5FE0AA299CA40BDA409599EAD972431"><enum>(B)</enum><text>households in
high cost areas of the Nation.</text>
</subparagraph></paragraph><paragraph id="idEFBD276ACA1147E7987B6064C186B0E4"><enum>(2)</enum><header>Efficiency</header><text>Universal
service support and contribution mechanisms for the provision of affordable
basic electronic communications services shall burden the economy no more than
is necessary.</text>
</paragraph><paragraph id="id5AF9E369C2C94318B45050744D32A027"><enum>(3)</enum><header>Neutrality</header><text>Neither
the distribution of universal service support for basic electronic
communications services nor the collection of universal service contributions
shall discriminate in favor of or against any company or technology.</text>
</paragraph><paragraph id="idA4F30E0057054D579ADD1A8383940307"><enum>(4)</enum><header>Transparency</header>
<subparagraph id="idE1EDAFE13EC24509BF97CF90C16F0A12"><enum>(A)</enum><header>Rules</header><text>Rules
governing universal service mechanisms shall be clear and enforceable.</text>
</subparagraph><subparagraph id="id30460B2E8C554C5982A0796A357D78BE"><enum>(B)</enum><header>Goals</header><text>The
goals of universal service support shall be clearly defined and
identified.</text>
</subparagraph></paragraph></section><section id="id27C315864CFE42FABFACBB163AF6D0F2"><enum>303.</enum><header>Definition of
basic electronic communications services</header>
<subsection id="idEE31AE23D6AC4695B343225AB749CF39"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">For purposes of this
title, the term <quote>basic electronic communications services</quote> shall
have the same meaning as the term <quote>supported services</quote> in section
54.101(a) of title 47, Code of Federal Regulations.</text>
</subsection><subsection id="id4B8A131BD6A34DC88D6CD0C201B0E9A1"><enum>(b)</enum><header>Modification of
definition</header>
<paragraph id="id8FE3F23B17434EC29B32469DCDD1EA3D"><enum>(1)</enum><header>Joint Board
action</header><text>The Joint Board may, from time to time, recommend to the
Commission modifications as to which basic electronic communications services
are to be supported by Federal universal service support mechanisms.</text>
</paragraph><paragraph id="idECD30C0EA05E4149B87DE600363C9EBF"><enum>(2)</enum><header>Commission
action</header><text>Not later than 1 year after receiving recommendations from
the Joint Board under paragraph (1), the Commission shall complete any
proceeding to consider whether to implement, in whole or in part, such
recommendations.</text>
</paragraph><paragraph id="idDA660D956C084F389D9C441B5D09F107"><enum>(3)</enum><header>Considerations</header><text>The
Joint Board in recommending, and the Commission in implementing, any
modifications of the basic electronic communications services that are
supported by Federal universal service support mechanisms shall—</text>
<subparagraph id="id7372083F32AD4291B63E7051985EA6D5"><enum>(A)</enum><text>consider the
extent to which—</text>
<clause id="idE871EEB59C2B49438DA244911ED07559"><enum>(i)</enum><text>basic electronic
communications services have, through the operation of market choices by
customers, been already subscribed to by a substantial majority of residential
consumers that do not receive any universal service support;</text>
</clause><clause id="id1CC51F9556464624936720FC342D61F9"><enum>(ii)</enum><text>unaffordable,
prevailing basic electronic communications services relies on underlying
infrastructure located in high cost areas; and</text>
</clause><clause id="idC1A55AAE0AE64BDFB5FE0436D7454BFD"><enum>(iii)</enum><text>universal
service support under section 305 is necessary to ensure that the underlying
infrastructure remains available to provide such basic electronic
communications services; and</text>
</clause></subparagraph><subparagraph id="idA245F0E1995047E188E2CB9D6541A941"><enum>(B)</enum><text>publish a report
in the Federal Register that details the considerations made under subparagraph
(A).</text>
</subparagraph></paragraph><paragraph id="id4933013AC3544DC299D37ADE1FD50338"><enum>(4)</enum><header>Limitation</header><text>The
Commission shall not increase the amount of total universal service support
following any modification under this subsection without express Congressional
authorization.</text>
</paragraph></subsection></section><section id="id7FFFD7C9727D41688783484268A8D81F"><enum>304.</enum><header>Contribution
mechanism</header>
<subsection id="id06262F9682644EBDBEDC306EA5A7BAD9"><enum>(a)</enum><header>In
general</header><text>Not later than 6 months after the date of enactment of
this Act, the Commission shall—</text>
<paragraph id="id13EA116DCF5E4AC9B65C24DDB7151867"><enum>(1)</enum><text>complete a
proceeding to promulgate rules to reform the universal services contribution
mechanism; and</text>
</paragraph><paragraph id="id6AABDF894885443F8DED81B084A47BBB"><enum>(2)</enum><text>adopt a new
mechanism based upon the assignment of numbers in the North American Numbering
Plan or any successor methodology.</text>
</paragraph></subsection><subsection id="id9F326E8F3945460CA34EE129C883491D"><enum>(b)</enum><header>Content of
rules</header><text>The rules required under subsection (a) shall—</text>
<paragraph id="id634318A01A6B4725A075EA1DC36F0BA3"><enum>(1)</enum><text>include an
exemption from universal service contributions for low-income households;
and</text>
</paragraph><paragraph id="idFA78B0B6F01D49338EE64DCF11391A1C"><enum>(2)</enum><text>require that all
assigned telephone numbers be assessed an equivalent amount for such
contributions on a technologically neutral basis, except that there shall be a
discounted contribution rate for paging services.</text>
</paragraph></subsection><subsection id="id128D763B373C4618B7579E74346F1F7C"><enum>(c)</enum><header>Authority to
modify</header><text>The Commission shall, by rule, adopt an alternative
contribution mechanism to supplement the universal service fund if there is
evidence of material, inefficient bypass of the numbers-based contribution
mechanism.</text>
</subsection></section><section id="id9027E3E89A63411CADD96E579A94614D"><enum>305.</enum><header>Universal
service block grant program</header>
<subsection id="id73103F37A6CD480C9841751E5BFE5F08"><enum>(a)</enum><header>Single
universal service fund</header>
<paragraph id="id648F436F20FF4233ABC00A3438CCA62A"><enum>(1)</enum><header>In
general</header><text>Not later than 3 years after the date of enactment of
this Act, the Commission shall revise its current universal service fund system
to establish a single universal service fund (in this title referred to as the
<quote>Fund</quote>).</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID76fd26580e5d4a0080748d99206be60e"><enum>(2)</enum><header>Federal
system</header><text>The Fund established under paragraph (1) shall be the
exclusive Federal universal service support mechanism.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idF9D691D3246047AA95D7BD8CAE76553D"><enum>(3)</enum><header>Cap on
distributions</header><text>The Commission may not award grants out of the Fund
in any 1 fiscal year in excess of $3,650,000,000.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idE5D4AD77AFCF4EA0B1F4CDD06021B59E"><enum>(4)</enum><header>Inflation
adjustments</header><text>The limitation under paragraph (3) shall be adjusted
annually by an inflation index and by a fixed factor for productivity
improvements, as determined by the Commission.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idA546FC25950246D4ABDCFC8E3EA62A1B"><enum>(5)</enum><header>Other
adjustments</header><text>The limitation under paragraph (3) may also be
adjusted by the Commission to account for—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="id9553B6FF8B6241AA8949104B468A9A93"><enum>(A)</enum><text>changes in
population size in each eligible State; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idF91B30EF100C41ECACC1B65CCF7F63E2"><enum>(B)</enum><text>exogenous cost
changes in the provision of basic electronic communications services directly
related to intercarrier compensation reform.</text>
</subparagraph></paragraph></subsection><subsection id="idF6E360DC2FEA43A2AFA960FF684C903B"><enum>(b)</enum><header>Grants
authorized</header>
<paragraph id="idF16F9BBD4BC64D2E881C5669831ADB52"><enum>(1)</enum><header>In
general</header><text>Not later than 3 years after the date of enactment of
this Act, and annually thereafter, the Commission shall grant from the Fund to
each eligible State performance-based block grants to support the provision of
those basic electronic communications services which have been defined under
section 303 to be eligible for universal service support.</text>
</paragraph><paragraph id="id472AC1A2150C46B4802A0DB4C490F065"><enum>(2)</enum><header>Award
basis</header>
<subparagraph id="id938DA59EA0F14157AB1D7BB90226E5A7"><enum>(A)</enum><header>In
general</header><text>Not later than 18 months after the date of enactment of
this Act, the Commission shall initiate a rulemaking proceeding to establish
initial guidelines regarding the distribution of performance-based block grants
from the Fund.</text>
</subparagraph><subparagraph id="id086C70A61D724B1DBC050A24C6E28E72"><enum>(B)</enum><header>Content of
guidelines</header><text>The guidelines required under subparagraph (A) shall
include—</text>
<clause id="ID3ac2fafd9690472b9617577388697e76"><enum>(i)</enum><text>model
distribution mechanisms and regulations for the support of low-income
households and households in high cost areas;</text>
</clause><clause id="IDec62dd2559c846b49312414ec619b305"><enum>(ii)</enum><text>the national
performance level, measured by household subscription to basic electronic
communications services, that is necessary for each eligible State to retain
unused block grant funds under subsection (g);</text>
</clause><clause id="IDa60644c618164c83b2b39e5be5e5037b"><enum>(iii)</enum><text>the initial
amount of block grant funds that are available for each eligible State, such
amounts to be based upon a formula—</text>
<subclause id="id9F9BC23D8150461984447E6453E2B446"><enum>(I)</enum><text>developed by the
Commission using any appropriate data from the Census Bureau; and</text>
</subclause><subclause id="idC49448A68CC74A7D8BCE9031263FA94F"><enum>(II)</enum><text>that reflects a
comparative analysis of affordability of basic electronic communications
services across States;</text>
</subclause></clause><clause id="ID0bc380d4020a4aa3a28c2db974050ee9"><enum>(iv)</enum><text>rules and
regulations, including quality of service requirements, regarding the—</text>
<subclause id="idF6DFE57F7E40436CB44C696539129B9D"><enum>(I)</enum><text>designation of a
carrier of last resort; and</text>
</subclause><subclause id="id7A05A0538CA3488CBFA599D0444DD84A"><enum>(II)</enum><text>relinquishment
of basic electronic communications services by a carrier eligible to receive
such funds under subsection (e)(4) in high cost areas; and</text>
</subclause></clause><clause id="ID629603be93b745ab9cc7d66a43765448"><enum>(v)</enum><text>any
other rules or regulations necessary for the administration, monitoring, record
keeping, reporting, and enforcement of the performance-based block grant
program established under paragraph (1), including provisions—</text>
<subclause id="id72588949C9234B9085B105FE831F414F"><enum>(I)</enum><text>designed to
protect against fraud; and</text>
</subclause><subclause id="idB2E6377F33F54F138D104C5D2F5735AF"><enum>(II)</enum><text>any additional
guidelines to assist eligible States in implementing and adopting the
guidelines required by subparagraph (A).</text>
</subclause></clause></subparagraph><subparagraph id="idE01D9522F26C48FABB4494D8C1512F7A"><enum>(C)</enum><header>Effective date,
limitation, and modification</header><text>The guidelines required under
subparagraph (A)—</text>
<clause id="id4A0126FA4D1A48378290EFC0EC2B2035"><enum>(i)</enum><text>shall take effect
on the date that is 3 years after the date of enactment of this Act;</text>
</clause><clause id="idB04BD454FBA440C59AAED9D879F63B22"><enum>(ii)</enum><text>shall be
sufficiently flexible so as to allow eligible States to experiment with
alternative market-based distribution mechanisms, including voucher programs
and auctions; and</text>
</clause><clause id="idA3557F1CFF1C49BEB2308E65AC5F7E5A"><enum>(iii)</enum><text>may be modified
by the Commission any time thereafter subject to the provisions of this
title.</text>
</clause></subparagraph></paragraph><paragraph id="id91EC61AF579E48449653CFE0353F8A69"><enum>(3)</enum><header>Definition of
eligible State</header>
<subparagraph id="id370CC4AC72C049E39FE27D8F896F7966"><enum>(A)</enum><header>In
general</header><text>For purposes of this section, the term <quote>eligible
State</quote> means any State that has certified in writing to the Commission
that it has met or will meet the requirements of this section.</text>
</subparagraph><subparagraph id="idEDC38270E9FA468FB867391155C7F1FA"><enum>(B)</enum><header>Failure to
submit certification</header><text>If a State fails to submit to the Commission
a written certification under subparagraph (A), such State shall not be
eligible to receive grants under paragraph (1).</text>
</subparagraph></paragraph></subsection><subsection id="id6AC2DBC849A34471A4863DB502B78465"><enum>(c)</enum><header>Transition
period</header>
<paragraph id="id3BB8ED8301E347F092DA0BEEFAA41C71"><enum>(1)</enum><header>In
general</header><text>For the period beginning on the date of enactment of this
Act and ending on the date that is 3 years after the date of enactment of this
Act, universal service support for any eligible telecommunications carrier, as
such term is defined in section 214(e) of the Communications Act of 1934 (47
U.S.C. 214(e)), shall be capped at the per-line support levels in effect on the
date of enactment of this Act.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="id22FAB9B082A043FDA2F396421F159F1D"><enum>(2)</enum><header>No new eligible
carriers</header><text>During the 3-year period described in paragraph (1), an
eligible State may not exercise its authority under section 214(e) of the
Communications Act of 1934 (47 U.S.C. 214(e)) to designate additional eligible
telecommunications carrier, except if such State makes such a designation in
accordance with section 54.203(a) of title 47, Code of Federal
Regulations.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="id130367CA3B0145AEA284871849D07C9F"><enum>(3)</enum><header>Other
rules</header><text>During the 3-year period described in paragraph (1), all
rules, regulations, and orders of the Commission with respect to the provision
of universal service under section 254 of the Communications Act of 1934 (47
U.S.C. 254), including the provision of Lifeline and Link-up assistance, shall
remain in effect.</text>
</paragraph></subsection><subsection id="id19D895536DB04B3AA824924E830BFFB8"><enum>(d)</enum><header>Application</header><text>An
eligible State seeking a grant under this section shall submit an application
to the Commission at such time, in such manner, and containing such information
as the Commission may require.</text>
</subsection><subsection id="idE7EE2D738F9945119B838CF2BDA1468E"><enum>(e)</enum><header>Conditions</header><text>Not
later than 18 months after the publication of the guidelines required under
subsection (a)(2), each eligible State seeking a grant under this section
shall—</text>
<paragraph id="ID1dcbc0ad751146c19992f313a449258b"><enum>(1)</enum><text>conduct
proceedings to identify high cost areas within that State;</text>
</paragraph><paragraph id="id2C83F2B00CCA4F98AB0E2E9AC46C0031"><enum>(2)</enum><text>promulgate rules
and regulations regarding the distribution of performance-based block grant
amounts to low-income households;</text>
</paragraph><paragraph id="id4C08131888D849308DA0BD079771256F"><enum>(3)</enum><text>establish
distribution mechanisms for performance-based block grant amounts received
under this section; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idB332838DA4814203A840515C0C9051D6"><enum>(4)</enum><text>by rule,
determine which carriers are eligible to receive universal support from that
eligible State.</text>
</paragraph></subsection><subsection id="idE2D12474DF0E4864B83C63D1706438F6"><enum>(f)</enum><header>Use of
funds</header>
<paragraph id="id9C446823469542A1AA2AEA3591F9DF88"><enum>(1)</enum><header>In
general</header><text>A performance-based block grant awarded to an eligible
State shall be used to—</text>
<subparagraph id="id7981647F09954BDDB5B2BE33FA709E11"><enum>(A)</enum><text>provide a single
connection to basic electronic communications services to all low-income
households and households in high cost areas;</text>
</subparagraph><subparagraph id="id8E3F94CF1B8345AFB513D6DE97FF80FB"><enum>(B)</enum><text>provide support
for households or for the underlying infrastructure used to provide basic
electronic communications services in high cost areas; and</text>
</subparagraph><subparagraph id="id2E2138B5830E4A5B946E1D642418AF5A"><enum>(C)</enum><text>fund or reimburse
carriers eligible to receive such funds under subsection (e)(4) for the
provision, maintenance, and upgrading of services of basic electronic
communications services to low-income households and households in high cost
areas.</text>
</subparagraph></paragraph><paragraph id="idF9BCE19D37DB4B46B6D6C49FE5E1747F"><enum>(2)</enum><header>Commission
needs</header><text>Consistent with the principles established under section
302 and with the results of audits performed under subsection (i), the
Commission may redirect a portion of the amounts in the Fund to meet additional
staffing and administrative needs of the Commission.</text>
</paragraph></subsection><subsection id="idF234CB7EA39B486590F0C0DB32600543"><enum>(g)</enum><header>Unused
funds</header>
<paragraph id="id4273319DADFF4A53AE9A4AE4FB3E0D64"><enum>(1)</enum><header>In
general</header><text>If an eligible State does not use all of its allotted
performance-based block grant funds in a given year, such State shall, in
writing, inform the Commission of that unused amount.</text>
</paragraph><paragraph id="id02C8B4AD1E60492FBBD042EF48B22C08"><enum>(2)</enum><header>Performance
level achievement</header><text>If an eligible State meets the performance
level standards established under subsection (b)(2)(B)(ii), such State—</text>
<subparagraph id="idFA3AB6C95268451C9F5D233ECA7B5C8A"><enum>(A)</enum><text>may retain any
unused block grant funds; and</text>
</subparagraph><subparagraph id="idB9A8DB7E64094F148CE99A93E91FB9AA"><enum>(B)</enum><text>shall direct such
unused funds towards—</text>
<clause id="idB7835D4838064F0D9E79F16B24883C53"><enum>(i)</enum><text>service not
designated as basic electronic communications services; or</text>
</clause><clause id="id89F98C25B3AA487C8C93098C20A7C7C1"><enum>(ii)</enum><text>public safety
infrastructure improvements, including the upgrading, maintenance, and support
of E911 systems.</text>
</clause></subparagraph></paragraph><paragraph id="idBD402235EB8D4FA99C863A80FD48F364"><enum>(3)</enum><header>Offset</header><text>If
an eligible State does not meet the performance level standards established
under subsection (b)(2)(B)(ii), the Commission shall offset any unused funds by
that State in a given year against that State’s block grant allotment in the
following calendar year.</text>
</paragraph></subsection><subsection id="id5A99E0C71AF14ABBB6DA0C8790729738"><enum>(h)</enum><header>Commission
authority</header><text>The Commission may withhold performance-based block
grant funds from any eligible State that fails to comply with any rule or
guideline established by the Commission under this section.</text>
</subsection><subsection id="idBB01E71F3F8043A9BD12638C263A9B20"><enum>(i)</enum><header>Audits</header>
<paragraph id="id2D43D99AF712419593B26AEF3A05D209"><enum>(1)</enum><header>In
general</header><text>The Commission shall, from time to time, conduct audits
of the use and distribution performance-based block grant amounts by each
eligible State and eligible communications carriers.</text>
</paragraph><paragraph id="id916A5565C4E4416CB297AC32DD103CF7"><enum>(2)</enum><header>Number of
audits to be conducted</header><text>The number of audits conducted by the
Commission under paragraph (1) shall be of such number, as determined by the
Commission, to allow the Commission, for purposes of the report required under
section 308, to provide a detailed analysis on the efficiency of universal
service distribution mechanisms employed by eligible States.</text>
</paragraph></subsection><subsection id="idD67BBF45DA664C60BBBA386B762A7215"><enum>(j)</enum><header>Consultation
with joint board</header>
<paragraph id="id6C85D989A39347B0A56607C3033531E3"><enum>(1)</enum><header>In
general</header><text>The Joint Board based upon the experience of eligible
States and consistent with the principles established under section 302 may,
from time to time, recommend to the Commission modifications to guidelines
required under subsection (b)(2).</text>
</paragraph><paragraph id="id0E5E81FCA63540EE88E58B13AA2CBF46"><enum>(2)</enum><header>Commission
action</header><text>Not later than 1 year after receiving recommendations from
the Joint Board under paragraph (1), the Commission shall complete any
proceeding to consider whether to implement, in whole or in part, such
recommendations.</text>
</paragraph></subsection></section><section id="id543927A062DE45BDA2159B3A4D6462FA"><enum>306.</enum><header>Waiver
authority</header>
<subsection id="id7C406D88E391416B824B86930D2F65FB"><enum>(a)</enum><header>In
general</header><text>An eligible State may submit a petition to the
Commission, in such manner and containing such information as the Commission
may require, to adopt a distribution mechanism that is not based on the model
distribution mechanisms outlined in the guidelines required by section
305(b)(2)(B)(i).</text>
</subsection><subsection id="id01BE2137C1244526A5B761BD10CE9AA2"><enum>(b)</enum><header>Timing</header><text>Not
later than 90 days after the date that a petition is submitted under subsection
(a), the Commission shall issue a decision on whether to grant or deny such
petition.</text>
</subsection><subsection id="id2B6DFAAD0C414210A4F92A19DCB8135D"><enum>(c)</enum><header>Grant of
petition</header><text>The Commission may grant any petition submitted under
subsection (a), if such petition is consistent with the universal service
principles established under section 302.</text>
</subsection></section><section id="id2F803B8313E04DD089DDE5A43E11A707"><enum>307.</enum><header>State
universal service programs not preempted</header>
<subsection id="id3130DDF238EE4563B7F572F36DC4EBC7"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Nothing in this title
shall preempt or be construed to preempt an eligible State from adopting laws,
rules, or regulations to ensure that quality basic electronic communications
services are universally available to all low-income households and households
in high cost areas at affordable rates, so long as such laws, rules, or
regulations are consistent with, and not in violation of, the principles
established under section 302 and any other applicable provision of this
title.</text>
</subsection><subsection id="id0610F7186247459BBF502B4BD4DF2A38"><enum>(b)</enum><header>Federal
review</header><text display-inline="yes-display-inline">The Commission
may—</text>
<paragraph id="id520D37CDE8B843BBB474DB4813735CDF"><enum>(1)</enum><text display-inline="yes-display-inline">review any law, rule, or regulation adopted
by an eligible State to determine if such law, rule, or regulation is in
compliance with the requirements of subsection (a); and</text>
</paragraph><paragraph id="id9D0B032F5B2F46B8B8AA55489B3D1F51"><enum>(2)</enum><text>withhold from any
eligible State performance-based block grant funds awarded under section 305,
if the Commission determines that such laws, rules, or regulations fail to
comply with the requirements of subsection (a).</text>
</paragraph></subsection></section><section id="idAC6ACA8C40BE4B3B8CA1EE80977A9D13"><enum>308.</enum><header>Report to
Congress</header><text display-inline="no-display-inline">Not later than 3
years after the date of enactment of this Act, and every 3 years thereafter,
the Commission shall report to Congress—</text>
<paragraph id="ID44c8bb99c9164106af24c9ca248021d6"><enum>(1)</enum><text>an analysis of
the costs and benefits of the universal service program established under
section 305, including an evaluation of whether, and to what extent, such
universal service program has caused improvements in affordability;</text>
</paragraph><paragraph id="ID6b17e2bfe6224a48a30401b77ef8d872"><enum>(2)</enum><text>a summary of
findings from the audits the Commission undertook as required under section
305(i);</text>
</paragraph><paragraph id="IDbefda846792f44cc9616f2c6e5cc85b0"><enum>(3)</enum><text>a summary of best
practices employed by eligible States which have adopted laws, rules, or
regulations regarding universal service in compliance with section 307;</text>
</paragraph><paragraph id="IDb4043693f17b4df183a523b6bcd4bb4e"><enum>(4)</enum><text>an evaluation of,
and recommendations regarding, the contribution mechanism established under
section 304; and</text>
</paragraph><paragraph id="IDe9116e23d8fd44c5a993340d67564438"><enum>(5)</enum><text>an analysis of
the continuing need for universal service support based upon—</text>
<subparagraph id="id2EC439076AD6402981579D9595AAEF41"><enum>(A)</enum><text>the experience of
the eligible States; and</text>
</subparagraph><subparagraph id="id972E199938404E7F9A8A7FDD35C52215"><enum>(B)</enum><text>technological and
marketplace developments, including recommendations regarding the limitation on
the size of the funding cap under section 305(a).</text>
</subparagraph></paragraph></section><enum>IV</enum><header>General
Provisions</header>
<section id="idD28AF42ABF6E498192D1392822F1337E"><enum>401.</enum><header>Findings and
policy regarding allocation of Federal, State, and local
responsibility</header>
<subsection id="idBD5D7735D4574B6F857276DD062484B1"><enum>(a)</enum><header>Findings</header><text display-inline="yes-display-inline">Congress finds that—</text>
<paragraph id="ID2ef8411dec4e453facb8de5d13bf5ab9"><enum>(1)</enum><text>technological and
market forces are changing the nature and delivery of electronic communications
services;</text>
</paragraph><paragraph id="IDe9899da4315d466db3d958cb0b0e177a"><enum>(2)</enum><text>these
technological and market changes have altered the necessary roles for Federal,
State, and local authorities in regulating electronic communications
services;</text>
</paragraph><paragraph id="IDc8dc7cdb83b5468bbc8505a9d32a89cb"><enum>(3)</enum><text>in many cases,
responsibility to regulate activities relating to communications has been
allocated to a State or local jurisdiction based on whether such activities
were deemed to occur within that State or jurisdiction;</text>
</paragraph><paragraph id="ID16d63c56aa90480d8c4bd20218693206"><enum>(4)</enum><text>as electronic
communications services and technologies become increasingly digital and
packet-based, it has become difficult, and often impossible, to rely on
jurisdictional boundaries as the basis for allocating regulatory responsibility
among jurisdictions;</text>
</paragraph><paragraph id="ID2c22c8f508ad4cb3a974687fa458cd2f"><enum>(5)</enum><text>a regulatory
regime enforced by multiple jurisdictions, based on disparate laws, may result
in inconsistent, unpredictable, and onerous rules that inhibit investment,
innovation, and competition;</text>
</paragraph><paragraph id="ID0b219181449043f09a9e66ecac1f9298"><enum>(6)</enum><text>the
Telecommunications Act of 1996, which made substantial changes in the
allocation of responsibilities among regulators in different jurisdictions,
nonetheless did not adopt a framework that addresses fully the challenges posed
by the rapid technological and marketplace evolution of electronic
communications networks and services; and</text>
</paragraph><paragraph id="ID22eb15cdde73495980c8acc43e4c2e6e"><enum>(7)</enum><text>given these
shortcomings, new statutory guidance for allocating Federal, State, and local
responsibility is necessary to achieve the purposes of regulating electronic
communications networks and services.</text>
</paragraph></subsection><subsection id="id2E44D1FDB88B4CA998A561FB995D27E6"><enum>(b)</enum><header>Policy</header><text>It
shall be the policy of the United States Government—</text>
<paragraph id="IDb437398c11ae42b4be1b42246e732f10"><enum>(1)</enum><text>to integrate
Federal, State, and local regulation of electronic communications
networks;</text>
</paragraph><paragraph id="ID6762ae91136b4cc986a68c8a5401bafa"><enum>(2)</enum><text>that electronic
communications networks and services be governed by a single, unified,
minimally pervasive regulatory regime determined and generally implemented at
the Federal level;</text>
</paragraph><paragraph id="IDc2717ee61d264fb39cb6f8d1ea78f583"><enum>(3)</enum><text>to eliminate rate
regulation and rate-setting where market conditions adequately protect the
interests of consumers in obtaining reasonable rates;</text>
</paragraph><paragraph id="ID4fdc3f2910444b219b3c583df992b6b6"><enum>(4)</enum><text>to eliminate
regulation based on technological or functional distinctions among
communications services and networks;</text>
</paragraph><paragraph id="IDa71cb4952d464564a5b7163279824422"><enum>(5)</enum><text>to avoid
extending legacy regulation to additional services, networks, or providers;
and</text>
</paragraph><paragraph id="ID89c3629da0de4e268dd28a48d736916f"><enum>(6)</enum><text>to create
incentives to invest in new technologies and to encourage the deployment of
advanced electronic communications services.</text>
</paragraph></subsection></section><section id="id312CC7AF8068422091D56B0EC72D1CB4"><enum>402.</enum><header>Rulemaking and
delegation of authority</header>
<subsection commented="no" display-inline="no-display-inline" id="idE0B03C464E0D4687848396BFCB3E7EB2"><enum>(a)</enum><header>Rulemaking</header><text>Except
as otherwise specifically provided in this Act, the Commission shall have
exclusive jurisdiction and authority to adopt or enforce rules, regulations, or
obligations, or conduct rulemakings or adjudications to implement the
provisions of this Act.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="id867F85149959480BA20507365C8137CD"><enum>(b)</enum><header>Delegation</header>
<paragraph commented="no" display-inline="no-display-inline" id="id727C7CED48A44CB2B66AEF5A7286AF59"><enum>(1)</enum><header>In
general</header><text>The Commission may delegate to a State, or any general
purpose political subdivision of a State, for matters occurring wholly within
the jurisdiction of that State or political subdivision, the authority—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="id65C57C624CBC4D44A5223EBA96A6B440"><enum>(A)</enum><text>to enforce any
rules, regulations, or obligations adopted under subsection (a); or</text>
</subparagraph><subparagraph id="ID84b59234459e46a5a6e15a274cb127a8"><enum>(B)</enum><text>to adjudicate
disputes between providers of electronic communications services that relate to
such rules, regulations, or obligations.</text>
</subparagraph></paragraph><paragraph id="idA443CFA0F9714B0CB6AC8BE2E357BE80"><enum>(2)</enum><header>Invalid
delegation</header>
<subparagraph id="id8546B4A1B3984BBFB6F6BF9029D7D28D"><enum>(A)</enum><header>In
general</header><text>A delegation of authority under paragraph (1) shall be
invalid if a State, or any general purpose political subdivision of a State,
does not certify, and the Commission does not concur, that such State or
political subdivision is legally and practically competent to execute such
authority.</text>
</subparagraph><subparagraph id="id5016FB8F6D7B49908AA031B526D930F7"><enum>(B)</enum><header>No
review</header><text>Any determination made by the Commission under
subparagraph (A) as to the competence of a State, or any general purpose
political subdivision of a State, shall not be subject—</text>
<clause id="id8E2D3578DC9C4390B508E416B9EC0757"><enum>(i)</enum><text>to
review by any court of competent jurisdiction;</text>
</clause><clause id="id44FF6184E4A447D08030BE2350E14FC6"><enum>(ii)</enum><text>to
collateral attack; or</text>
</clause><clause id="idB18AF76F3F554F7D921FE7371001625E"><enum>(iii)</enum><text>to
interlocutory appeal.</text>
</clause></subparagraph></paragraph><paragraph id="id054713FCF0184116BBE0A2AD8E2BC4DE"><enum>(3)</enum><header>Reversion of
authority</header><text>If a State, or any general purpose political
subdivision of a State, declines to accept, lacks authority, or otherwise fails
to execute a delegation of authority under paragraph (1), the Commission, upon
public notice, shall assume back such authority.</text>
</paragraph><paragraph id="id66A1A6BB41FC4C30AD1EF10216ED1F40"><enum>(4)</enum><header>Clarification
of authority</header>
<subparagraph id="idAE5C7C6BFDF04D8BAFC24971C1218582"><enum>(A)</enum><header>In
general</header><text>A State, or any general purpose political subdivision of
a State, may petition the Commission—</text>
<clause id="idE882BE15CD604B3F86BD5A44D284EEF1"><enum>(i)</enum><text>to
clarify the scope of a delegation of authority under paragraph (1); or</text>
</clause><clause id="idF48B65B8E8CA421C846560A303B6181C"><enum>(ii)</enum><text>to
obtain a waiver from any express or implied limitations on such
delegation.</text>
</clause></subparagraph><subparagraph id="idBA40643042184204804CCA2F7D135209"><enum>(B)</enum><header>Timing</header>
<clause id="id92731104339945039F330701A321B587"><enum>(i)</enum><header>In
general</header><text>Not later than 120 days after the date that a petition is
submitted under subparagraph (A), and after affording any interested party the
opportunity for comment, the Commission shall issue a decision on whether to
grant or deny such petition.</text>
</clause><clause commented="no" display-inline="no-display-inline" id="id7518D8F579CF4ACC88293CF5340B1E82"><enum>(ii)</enum><header>Expiration of
120-day period</header><text>If the Commission does not issue a decision within
the time-period described in subparagraph (A), the petition shall be deemed
granted.</text>
</clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id4CE60206ABAD448AB821FBBCA455DAD4"><enum>(5)</enum><header>Request for
delegation</header>
<subparagraph commented="no" display-inline="no-display-inline" id="id1FF6B24C41B14C3D969EF9389FCFEC83"><enum>(A)</enum><header>In
general</header><text>In the absence of a delegation of authority under
paragraph (1), a State, or any general purpose political subdivision of a
State, may, for matters occurring wholly within the jurisdiction of that State
or political subdivision, petition the Commission to enforce any rules,
regulations, or obligations enacted under subsection (a).</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idA0C8D75B332940379808CCA43EE45EA5"><enum>(B)</enum><header>Timing</header>
<clause id="id84E3BCFAB6544BB1872E1063CCD03930"><enum>(i)</enum><header>In
general</header><text>Not later than 90 days after the date that a petition is
submitted under subparagraph (A), and after affording any interested party the
opportunity for comment, the Commission shall issue a decision on whether to
grant or deny such petition.</text>
</clause><clause commented="no" display-inline="no-display-inline" id="id7E8CE17A60A745DBAC5E18EE9E0E9BB2"><enum>(ii)</enum><header>Expiration of
90-day period</header><text>If the Commission does not issue a decision within
the time-period described in subparagraph (A), the petition shall be deemed
denied.</text>
</clause></subparagraph></paragraph></subsection></section><section id="idCBF2843B87F146609FAB2BE6ECB40A88"><enum>403.</enum><header>Judicial
review of decisions</header><text display-inline="no-display-inline">Except as
otherwise specifically provided in this Act, any interested party may appeal
any decision of the Commission or any State, or any general purpose political
subdivision of a State, made under section 402 to the United States Court of
Appeals for the District of Columbia.</text>
</section><section id="idE602AD0244C84EA8842AB443DA037241"><enum>404.</enum><header>Right-of-way
authority</header><text display-inline="no-display-inline">A provider of
electronic communications services shall be authorized to construct or operate
an electronic communications network—</text>
<paragraph id="id7F57A9C4130749439F4A40127D9B9792"><enum>(1)</enum><text display-inline="yes-display-inline">over public rights-of-way; and</text>
</paragraph><paragraph id="idC64753A2BDA045A187B1DCDA19222776"><enum>(2)</enum><text display-inline="yes-display-inline">through easements within a State, except
that in using such easements, such provider shall ensure that—</text>
<subparagraph id="ID02b9a228670849c3b0ddabd83a48459e"><enum>(A)</enum><text>the installation
or construction of facilities necessary for the electronic communications
network shall not adversely affect—</text>
<clause id="idF9788DD4DD124809BD01E853FA510923"><enum>(i)</enum><text>the
safety, function, and appearance of the property described in the easement;
and</text>
</clause><clause id="idF5F3CB7FA42040769ED361EABBDEB135"><enum>(ii)</enum><text>the convenience
and safety of any person who has a right to use such easement;</text>
</clause></subparagraph><subparagraph id="ID51a6c21cf43146c8aedf22445deb5e18"><enum>(B)</enum><text>the cost of
installation, construction, operation, or removal of such facilities be borne
by—</text>
<clause id="id35DFA33FFAAE4D569D78D6897CB0CFFE"><enum>(i)</enum><text>such
provider;</text>
</clause><clause id="idFD426778115B478893AFFE438FD97BC6"><enum>(ii)</enum><text>the subscriber;
or</text>
</clause><clause id="id42D5DB38E3E5407D9F79345B5DBFDFAA"><enum>(iii)</enum><text>a
combination of both; and</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDc45274a156884e8ab87094d2068cd2d7"><enum>(C)</enum><text>the owner of the
property described in the easement be justly compensated by such provider for
any damages caused by the installation, construction, operation, or removal of
such facilities.</text>
</subparagraph></paragraph></section><section id="id484112B65AFA49DF8D6D89A0C74EABFC"><enum>405.</enum><header>State
regulation of basic local rates</header>
<subsection id="idC82038CF1EEB45729E46FC0637F9FD8D"><enum>(a)</enum><header>Grandfather
clause</header><text display-inline="yes-display-inline">Except as provided in
subsections (b) through (d), a State may continue to regulate the rates for
basic stand-alone local service, if prior to the date of enactment of this Act,
such service was—</text>
<paragraph id="IDa598a5ddc3b245198f50e119a0d83b9f"><enum>(1)</enum><text>offered
separately from any other services to customers who are not providers of
electronic communications services;</text>
</paragraph><paragraph id="IDc689f64e240945ef87f53dfe46c9cdb8"><enum>(2)</enum><text>of the type
defined in section 254(c)(1) of the Communications Act of 1934 (47 U.S.C. 254
(c)(1)), as interpreted under section 54.101(a) of title 47, Code of Federal
Regulations, as those provisions existed on the date of enactment of this
Act;</text>
</paragraph><paragraph id="ID737d37d13562448f98985666d91046bf"><enum>(3)</enum><text>provided via a
circuit-switched telephone network; and</text>
</paragraph><paragraph id="IDf675a81ef495458fbf81a81836cc9033"><enum>(4)</enum><text>lawfully
regulated by that State.</text>
</paragraph></subsection><subsection id="id9F6F18DD4F8440D08342A2C367D7C2D2"><enum>(b)</enum><header>Limitation on
State regulation of ancillary or vertical services</header><text>The authority
of a State to regulate rates under subsection (a) shall not—</text>
<paragraph id="id027C3EF9A95B489DB9FBB467D3278D65"><enum>(1)</enum><text>extend to any
ancillary or vertical services offered in connection with the provision of
basic stand-alone local service; or</text>
</paragraph><paragraph id="id9AE9BC07E60C42308FC4EC654248B274"><enum>(2)</enum><text>apply to any
service bundles that contain basic stand-alone local service as a component of
such bundle.</text>
</paragraph></subsection><subsection id="id1B01C2A469B34389AF4BA326A412C791"><enum>(c)</enum><header>Retail or
end-user services are to be unregulated</header><text>Except as provided
otherwise in this Act, neither the Commission nor any State shall have
authority to regulate the rates of any other retail or end-user electronic
communications service.</text>
</subsection><subsection id="idE4D49FE8A0D947059945B2091496E5C4"><enum>(d)</enum><header>Petition to
eliminate existing State regulations</header>
<paragraph id="id0188732CA0E64F8181A594F0C55A02B4"><enum>(1)</enum><header>In
general</header><text>Any interested party may submit a petition to the
appropriate State agency, as determined by that State, to modify or eliminate
any rate regulations on services grandfathered under subsection (a).</text>
</paragraph><paragraph id="id48C58C3C193F47EEBA74EAE5DF95F127"><enum>(2)</enum><header>Timing</header>
<subparagraph id="idF278E0D0356343938F36D7BEE87CE246"><enum>(A)</enum><header>In
general</header><text>Not later than 270 days after the date that a petition is
submitted under paragraph (1), the appropriate State agency shall issue a
decision on whether to grant or deny such petition.</text>
</subparagraph><subparagraph id="idFAE76C67DA3D4D5CB275606420478ADF"><enum>(B)</enum><header>Expiration of
270-day period</header><text>If the appropriate State agency does not issue a
decision within the time-period described in subparagraph (A), the petition
shall be deemed granted.</text>
</subparagraph></paragraph><paragraph id="id7805787449D0496EA12460D0999CF881"><enum>(3)</enum><header>Content of
decision</header><text>Any decision that denies a petition under paragraph (2)
shall include a written explanation of—</text>
<subparagraph id="id3BD41A2AA0994681911CD56B955D8CB8"><enum>(A)</enum><text>how the
regulation described in the petition satisfies the requirements of subsection
(a); and</text>
</subparagraph><subparagraph id="id2F489EDE7D6241108A291F64AB04E029"><enum>(B)</enum><text>why the economic
benefits of such regulation outweigh the economic harms of such
regulation.</text>
</subparagraph></paragraph></subsection><subsection id="idB8C90EB21D6A45669A5671588DC621EB"><enum>(e)</enum><header>Federal agency
review of State decisions</header>
<paragraph id="id0A1F8E4BD2954FB89CE347E114A91314"><enum>(1)</enum><header>In
general</header><text>An interested party may submit a petition to the
Commission to overturn the denial of a petition by an appropriate State agency
under subsection (d).</text>
</paragraph><paragraph id="id9D21A6CC87004328BD06EC1E076AC83E"><enum>(2)</enum><header>Special
emphasis for review</header><text>In deciding whether or not to overturn the
denial of a petition under paragraph (1), the Commission shall place special
emphasis on whether the regulation described in the petition remedies or serves
to alleviate methods, acts, or practices deemed unlawful under section
102.</text>
</paragraph><paragraph id="idE303DAE110174610AF93AB59C22B5DCD"><enum>(3)</enum><header>Timing</header>
<subparagraph id="idC00581E2F69C4CF7AF9663BB7DA29C49"><enum>(A)</enum><header>In
general</header><text>Not later than 180 days after the date that a petition is
submitted under paragraph (1), the Commission shall issue a decision on whether
to grant or deny such petition.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id8EBE291140074648BBEF32DAE9CE1D1A"><enum>(B)</enum><header>Expiration of
180-day period</header><text>If the Commission does not issue a decision within
the time-period described in subparagraph (A), the petition shall be deemed
denied.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idCA4C4ED42AAD40978EBE2397FC502061"><enum>(f)</enum><header>Federal court
review</header><text>An interested party may appeal the grant or denial of a
petition under subsection (e) directly to the United States Court of Appeals
for the District of Columbia.</text>
</subsection></section><section id="idC8F7D307311D4E6488150C288E100381"><enum>406.</enum><header>Retention of
additional State authority</header>
<subsection id="idCB7BC114E2DB4040B903F35979A8751D"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Notwithstanding
section 402, a State, or any general purpose political subdivision of a State,
shall retain jurisdiction to enact and implement rules or regulations that such
State or political subdivision determines, after notice and an opportunity for
public comment, are minimally and directly necessary—</text>
<paragraph id="ID34c3aa33bc144bf8a20b253ef32a5771"><enum>(1)</enum><text>to prohibit
unfair or deceptive acts or practices that would negatively affect consumers
from using electronic communications services, including the concealment of the
terms and conditions affecting the price and quality of such services;</text>
</paragraph><paragraph id="ID11aa9f8f374d4d57b9d168974bd0c633"><enum>(2)</enum><text>to protect the
public safety and homeland security; and</text>
</paragraph><paragraph id="IDaa3ac99dda9d48a496812f4dbdf20d2f"><enum>(3)</enum><text>to manage public
rights-of-way and execute traditional police powers with respect to public
spaces, provided that any fees imposed by such State or political subdivision
for access to rights-of-way shall not exceed the actual direct costs incurred
by such State or political subdivision in managing the use of such
rights-of-way by electronic communications service providers.</text>
</paragraph></subsection><subsection id="id9997263D53B94D56A8888D7812A065F3"><enum>(b)</enum><header>Rule of
construction</header><text>Nothing in subsection (a) shall be construed to
grant a State, or any general purpose political subdivision of a State, the
authority—</text>
<paragraph id="id132B34CDD6D5407595EC78F8D0B7A1F7"><enum>(1)</enum><text>absent a
delegation under section 403, to enact or enforce rules, regulations, or
obligations, or conduct rulemakings or adjudications to implement the
provisions of this Act;</text>
</paragraph><paragraph id="id53D7EAD105DC42C68D1251702E4A9C55"><enum>(2)</enum><text>except as
otherwise specifically provided, to enact—</text>
<subparagraph id="idD8AFD28B5DF247719C8F575EAB6521C8"><enum>(A)</enum><text>regulations
relating to—</text>
<clause id="idA869DBF6E5124DCCBDC3E8404ACA44AD"><enum>(i)</enum><text>rates; or</text>
</clause><clause id="idFD4A379FC043426E820383B103392E38"><enum>(ii)</enum><text>quality-of-service;
or</text>
</clause></subparagraph><subparagraph id="idF77158182C294486813853E001228625"><enum>(B)</enum><text>any other
economic regulation; or</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDedc6d1a3b5f34e12b78690d09921f395"><enum>(3)</enum><text>to impose any
other requirements on a provider of electronic communications services to the
extent that such provider relies on networks that connect to customers
primarily through use of electromagnetic spectrum or other non-physical
means.</text>
</paragraph></subsection></section><section id="id2387F9B2FD374C489F776B903DCDC226"><enum>407.</enum><header>Preemption of
State authority</header><text display-inline="no-display-inline">Except as
provided in sections 405 and 406, or under a delegation of authority under
section 402, this Act supersedes any provision of a statute, regulation, or
rule, and any other requirement, prohibition or remedy under State law or the
law of any general purpose political subdivision of a State, if the Commission
concludes that—</text>
<paragraph id="IDa5f1c78bccea44a98a667924c8cc9a88"><enum>(1)</enum><text>such statute,
regulation, or rule, requirement, prohibition, or remedy is or would be
inconsistent with the provisions of this Act;</text>
</paragraph><paragraph id="IDd8d5396bd9914945aaddf4cda0960b7d"><enum>(2)</enum><text>there are
substantial and clear efficiencies to be gained by preempting the regulatory
approach of such State or political subdivision;</text>
</paragraph><paragraph id="IDc95c86b89b9c48b89daa7e951b15bbd9"><enum>(3)</enum><text>a single Federal
regulatory approach is clearly optimal over all other regulatory
approaches;</text>
</paragraph><paragraph id="IDcfe3549c973f4a2fbe09b88cb321f295"><enum>(4)</enum><text>there is a clear
showing that the costs of abiding by a diverse set of regulatory approaches
outweighs the benefits of allowing States or political subdivisions thereof to
experiment with innovative regulatory approaches;</text>
</paragraph><paragraph id="ID5641b0ddf98c4fdc8ae5723da4ec6c41"><enum>(5)</enum><text>abiding by a
diverse set of regulatory approaches materially inhibits any provider of
electronic communications services from effectively offering such service;
or</text>
</paragraph><paragraph id="ID4d93576736de41609b789aef424051ab"><enum>(6)</enum><text>such State or
political subdivision has imposed any tax solely on some or all providers of
electronic communications services.</text>
</paragraph></section><section id="id75BDC1B81745403E89AD9DE3C69A0D1C"><enum>408.</enum><header>Transition and
sunset of existing agreements</header>
<subsection id="id3E91682BA4BB492998011122CF427251"><enum>(a)</enum><header>Existing
franchise agreements</header><text>Any franchise agreement entered into by a
franchising authority and a provider of electronic communications services
under section 621 of the Communications Act of 1934 (47 U.S.C. 541), as of the
date of enactment of this Act, shall be exempt from the provisions of this Act
until the earlier of—</text>
<paragraph id="id75A3D9046469406EAAEE6E5AB6C226CF"><enum>(1)</enum><text>the date of
expiration of the terms of such agreement; or</text>
</paragraph><paragraph id="id6197F8C5AE434008917741A032A78C9A"><enum>(2)</enum><text>the date that is
4 years after the date of enactment of this Act.</text>
</paragraph></subsection><subsection id="IDba6b7cc5e18b47ce9f89408c7f9209da"><enum>(b)</enum><header>Limitation</header><text display-inline="yes-display-inline">A State, or any general purpose political
subdivision of a State, may not renew, extend, or otherwise enforce the terms
of an any franchise agreement described in subsection (a) beyond the
time-periods established in that subsection.</text>
</subsection><subsection id="ID13e2eaa9ff1749fa919ff04d869dd434"><enum>(c)</enum><header>Contributions
by competing video services</header><text display-inline="yes-display-inline">Until an existing franchise agreement is
terminated under subsection (a), a State, or any general purpose political
subdivision of a State, may require any provider of competing video services to
contribute an equitable portion of costs associated with—</text>
<paragraph id="id0F9DA41A72B64B6388B6618DDCFD1ABF"><enum>(1)</enum><text display-inline="yes-display-inline">any fees directly attributable to such
agreement; and</text>
</paragraph><paragraph id="idB2B4ED7144494E56AA9A9E5A2322DA37"><enum>(2)</enum><text display-inline="yes-display-inline">the provision of any public access channels
required by such agreement.</text>
</paragraph></subsection></section><section id="id39BACFFCF6DC4460BD21774DD01399B6"><enum>409.</enum><header>Effective
date</header><text display-inline="no-display-inline">Except as otherwise
specifically provided, this Act shall take effect 2 years after the date of
enactment of this Act.</text>
</section>