II 112th CONGRESS 1st Session S. 1659 IN THE SENATE OF THE UNITED STATES October 5, 2011 Ms. Ayotte (for herself and Mr. DeMint) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Transportation A BILL To return unused or reclaimed funds made available for broadband awards in the American Recovery and Reinvestment Act of 2009 to the Treasury of the United States.

1.

Accountability for broadband stimulus funds

(a)

In general

Notwithstanding any other provision of law, the Administrator of the Rural Utilities Service or the Assistant Secretary of Commerce for Communications and Information shall take prompt and appropriate action to terminate for cause any award made under the Broadband Initiatives Program or the Broadband Technology Opportunities Program, respectively, established pursuant to the American Recovery and Reinvestment Act of 2009, if the Administrator or Assistant Secretary determines that cause exists to terminate the award. Such cause may include an insufficient level of performance, wasteful spending, or fraudulent spending. (b)

Deobligation and return of funds to Treasury

(1)

Deobligation

Upon terminating an award under subsection (a), the Administrator or the Assistant Secretary shall immediately deobligate an amount equivalent to such award, as recoverable, less allowable costs. (2)

Return to Treasury

Not later than 30 days after deobligating an amount under paragraph (1), the Administrator or the Assistant Secretary shall, without exception, return such amount to the general fund of the Treasury of the United States. (3)

No expenditures during termination process

The Administrator or the Assistant Secretary shall promptly pursue available corrective measures to ensure that funds received through an award terminated under subsection (a) are not expended during the termination process. (4)

Accounting by award recipient

The Administrator or the Assistant Secretary shall direct the recipient of an award terminated under subsection (a) to provide to the Administrator or the Assistant Secretary a complete and accurate accounting, which may include an independent accounting, for any award funds that, as of the date of termination, the recipient has received but has not expended on allowable costs.

2.

Disposition of unused funds

The Administrator of the Rural Utilities Service or the Assistant Secretary of Commerce for Communications and Information shall return to the general fund of the Treasury of the United States an amount equivalent to any award, as recoverable, less allowable costs, made under the Broadband Initiatives Program or the Broadband Technology Opportunities Program, respectively, established pursuant to the American Recovery and Reinvestment Act of 2009, if such award has been returned to the Administrator or Assistant Secretary or disclaimed by the award recipient at any time after the date of enactment of such Act.

3.

Oversight and reporting requirements

(a)

Action on information from OIG or GAO

If the Administrator of the Rural Utilities Service or the Assistant Secretary of Commerce for Communications and Information receives information from an official described in subsection (b) with respect to an award made under the Broadband Initiatives Program or the Broadband Technology Opportunities Program, respectively, established pursuant to the American Recovery and Reinvestment Act of 2009, and such information pertains to material noncompliance with the award terms or provisions or improper usage of award funds, the Administrator or the Assistant Secretary shall— (1)immediately review such information; and (2)not later than 30 days after receiving such information, determine whether cause exists to terminate such award under section 1(a). (b)

Officials described

The officials described in this subsection are the following: (1)With respect to the Broadband Initiatives Program, the Inspector General of the Department of Agriculture. (2)With respect to the Broadband Technology Opportunities Program, the Inspector General of the Department of Commerce. (3)The Comptroller General of the United States. (c)

Congressional notification

(1)

In general

Not later than 3 days after making a determination described in subsection (a)(2), the Administrator or the Assistant Secretary shall provide a notification of such determination to— (A)the Committee on Agriculture of the House of Representatives and the Committee on Agriculture of the Senate or the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate, respectively; and (B)the official who provided the information described in subsection (a). (2)

Contents of notification

The notification required by paragraph (1) shall include an explanation of— (A)the determination described in subsection (a)(2); and (B)any action taken as a result of the determination or why no action was necessary.

4.

Conforming amendments

Section 6001(i)(4) of the American Recovery and Reinvestment Act of 2009 (47 U.S.C. 1305(i)(4)) is amended— (1)by striking may and inserting shall; and (2)by striking , and award these funds competitively to new or existing applicants consistent with this section.

5.

Award defined

In this Act, the term award includes grants and loans.