[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 2275 Introduced in Senate (IS)]

112th CONGRESS
  2d Session
                                S. 2275

  To amend the Rural Electrification Act of 1936 to establish a grant 
    program within the rural broadband program of the Department of 
                  Agriculture, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 29, 2012

Mrs. Gillibrand introduced the following bill; which was read twice and 
   referred to the Committee on Agriculture, Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL


 
  To amend the Rural Electrification Act of 1936 to establish a grant 
    program within the rural broadband program of the Department of 
                  Agriculture, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Broadband Connections for Rural 
Opportunities Program Act of 2012'' or the ``B-CROP Act of 2012''.

SEC. 2. BROADBAND CONNECTIONS FOR RURAL OPPORTUNITIES PROGRAM.

    Title VI of the Rural Electrification Act of 1936 (7 U.S.C. 950bb 
et seq.) is amended by adding at the end the following:

``SEC. 603. BROADBAND CONNECTIONS FOR RURAL OPPORTUNITIES PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Broadband service.--The term `broadband service' has 
        the meaning given the term in section 601(b).
            ``(2) Eligible entity.--The term `eligible entity' means an 
        entity that is--
                    ``(A) a private sector provider of broadband 
                telecommunications services; or
                    ``(B) a State, local, or tribal government, 
                municipal provider, cooperative, institution of higher 
                education, nonprofit organization, or public economic 
                development organization.
            ``(3) Eligible rural community.--Unless the Secretary makes 
        a finding in writing that an area is otherwise `rural in 
        character', the term `eligible rural community' means any area 
        of the United States that is not--
                    ``(A) included within the boundaries of any 
                incorporated city, village, borough, or town with a 
                population in excess of 50,000 inhabitants; or
                    ``(B) the urbanized area contiguous and adjacent to 
                a city, village, borough, or town described in 
                subparagraph (A), as defined by the Bureau of the 
                Census using the latest available decennial census of 
                the United States.
    ``(b) Purposes.--The purposes of the grant program under this 
section are--
            ``(1) to enhance the feasibility of providing broadband 
        service to eligible rural communities; and
            ``(2) to deploy broadband telecommunications networks and 
        capabilities to areas in which there is not otherwise a 
        business case for private investment in a broadband network, 
        with a focus on unserved eligible rural communities.
    ``(c) Grants Authorized.--
            ``(1) In general.--The Secretary shall award grants to 
        eligible entities for deployment, identification, or adoption 
        of broadband services within eligible rural communities.
            ``(2) Amount.--A grant awarded to an eligible entity under 
        this section may not be made in excess of 50 percent of the 
        eligible project development costs.
    ``(d) Application.--To be eligible to receive a grant under this 
section, an eligible entity shall submit an application to the 
Secretary at such time, in such manner, and containing such information 
as the Secretary may require.
    ``(e) Use of Funds.--A grant awarded to an eligible entity under 
this section shall be--
            ``(1) used to facilitate the deployment of broadband 
        telecommunications networks and capabilities to areas in which 
        there is not otherwise a business case for private investment 
        in a broadband network, with a focus on unserved eligible rural 
        communities; or
            ``(2) combined with loans to enhance economic feasibility 
        of projects serving high cost areas in which there is not 
        otherwise a business case for private investment in a broadband 
        network, with a focus on unserved eligible rural communities.
    ``(f) Priority.--In awarding grants under this section, the 
Secretary shall give priority to project applications that--
            ``(1) as a percentage of the total applications, provide 
        service to the highest proportion of rural residents that do 
        not have access to broadband service;
            ``(2) will use broadband services to stimulate rural 
        economic development, such as providing--
                    ``(A) connections between and among businesses and 
                business incubators located in eligible rural 
                communities; and
                    ``(B) connections that are integrated with county 
                and regional organization plans.
    ``(g) Processing Period.--
            ``(1) In general.--Not later than 180 days after the date 
        on which funds are appropriated to carry out this section, the 
        Secretary shall publish a notice of funds availability.
            ``(2) Awards.--Not later than the end of the fiscal year 
        following the date on which a notice is published under 
        paragraph (1), the Secretary shall announce grant awards under 
        this section.
    ``(h) Report.--
            ``(1) In general.--Each recipient of a grant under this 
        section shall submit to the Secretary a report describing the 
        use of the funds provided by the grant.
            ``(2) Secretarial report.--Not later than 180 days after 
        the date of enactment of this Act, and biannually thereafter 
        until all funds are obligated, the Secretary shall submit a 
        report to the Committees on Appropriations of the House of 
        Representatives and the Senate that describes planned spending 
        and actual obligations of the funds made available to carry out 
        this section.
    ``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as are necessary for 
each of fiscal years 2012 through 2014.''.

SEC. 3. IMPROVING THE APPLICATION PROCESS FOR THE RURAL BROADBAND 
              PROGRAM.

    (a) In General.--Section 601 of the Rural Electrification Act of 
1936 (7 U.S.C. 950bb) is amended--
            (1) in subsection (c), by adding at the end the following:
            ``(3) Paperwork reduction.--The Secretary shall take such 
        steps as are necessary to reduce the paperwork required of 
        applicants under this section.
            ``(4) Processing period.--
                    ``(A) In general.--Not later than 180 days after 
                the date on which funds are appropriated to carry out 
                this section, the Secretary shall publish a notice of 
                funds availability.
                    ``(B) Awards.--Not later than the end of the end of 
                the fiscal year following the date on which a notice is 
                published under subparagraph (A), the Secretary shall 
                announce grant awards under this section.'';
            (2) by redesignating subsections (i) through (l) as 
        subsections (k) through (n), respectively; and
            (3) by inserting after subsection (h) the following:
    ``(i) Outreach.--The Secretary shall conduct outreach designed to 
inform the population of areas in which there is no or limited 
broadband service of the program carried out under this section.
    ``(j) Additional Staff.--The Secretary, in the discretion of the 
Secretary, may use up to 20 percent of the budget authority 
appropriated to carry out this section to hire such additional 
administrative personnel, including general field representatives and 
legal staff, as are necessary to carry out the administrative duties 
under this section.''.
    (b) Simplification of the Application Process and Post-Application 
Audit Requirements.--
            (1) Definition of subsidiary.--In this subsection, the term 
        ``subsidiary'' means a business entity controlled, directly or 
        indirectly, by another business entity or person.
            (2) Requirements.--In carrying out title VI of the Rural 
        Electrification Act of 1936 (7 U.S.C. 950bb et seq.), the 
        Secretary of Agriculture, in consultation with the 
        Administrator of the Rural Utilities Service, shall, to the 
        maximum extent practicable--
                    (A) remove any duplicative or unnecessary 
                application or audit requirements under that title;
                    (B) reduce the cost and paperwork associated with 
                the application and audit requirements, including 
                allowing parent companies, and the wholly owned 
                subsidiaries of parent companies, to file a single 
                consolidated application or audit report, if the 
                application or report includes all relevant financial 
                information concerning the project that is the subject 
                of the grant, loan, or loan guarantee;
                    (C) ensure that the Secretary examines--
                            (i) the total business plan of each 
                        applicant for a grant, loan, or loan guarantee 
                        under that title, including the revenue the 
                        applicant generated from sources unrelated to 
                        the broadband service of the applicant, but 
                        connected or otherwise related to the 
                        facilities financed by the grant, loan, or loan 
                        guarantee; and
                            (ii) the requested information and 
                        projections provided by each applicant to 
                        ensure that there is no conflict with the 
                        regulatory obligations of the applicant to 
                        other Federal agencies including, at a minimum, 
                        to the Securities and Exchange Commission, the 
                        Federal Communications Commission, and the 
                        Federal Trade Commission; and
                    (D) require that any recipient of a grant, loan, or 
                loan guarantee under that title uses the funds from the 
                grant, loan, or loan guarantee not later than 5 years 
                after date of receipt of the funds to complete the 
                project for which the funds were approved, unless the 
                Secretary determines that the recipient was unable to 
                expend the funds due to circumstances beyond the 
                control of the recipient.

SEC. 4. RURAL BROADBAND PROGRAM COORDINATION.

    Title VI of the Rural Electrification Act of 1936 (7 U.S.C. 950bb 
et seq.) (as amended by section 3) is amended by adding at the end the 
following:

``SEC. 604. CLEARINGHOUSE WEBSITE.

    ``The Secretary may use up to 5 percent of the budget authority 
made available to carry out this section for a national competition to 
create and maintain a comprehensive and interactive rural broadband 
clearinghouse accessible on the Internet at no cost to the public that 
describes options, opportunities, resources, successful public-private 
partnerships, comprehensive funding sources, and technology tutorials 
for rural broadband, including--
            ``(1) case studies;
            ``(2) descriptions of best practices;
            ``(3) assessments of various technology solutions;
            ``(4) feasibility studies;
            ``(5) applications, including telework, telemedicine, 
        distance learning, training, homeland security, senior citizen 
        connectivity and program development, and business and economic 
        development;
            ``(6) rural broadband options and policies analysis;
            ``(7) support for networks among rural communities and 
        economic development agencies; and
            ``(8) a comprehensive list of municipal, nonprofit, and 
        private sector providers.

``SEC. 605. REPORT TO CONGRESS.

    ``Not later than 540 days after the date of enactment of this 
section and subsequently not later than the date that is 3 years after 
the date of the submission of initial report, the Comptroller General 
of the United States shall submit to the Committee on Agriculture of 
the House of Representatives and the Committee on Agriculture, 
Nutrition, and Forestry of the Senate a report that includes--
            ``(1) an evaluation of the effectiveness of all Federal 
        broadband assistance programs and policies aimed at fostering 
        broadband access in rural and unserved areas, such as 
        identifying and tracking--
                    ``(A) rural areas in each State that do not have 
                broadband service;
                    ``(B) the rate at which residential and business 
                end users adopt broadband service when infrastructure 
                is made available;
                    ``(C) possible suppliers of broadband service;
                    ``(D) the speed of broadband service offered in 
                rural areas that do have access;
                    ``(E) barriers to the adoption of broadband 
                service, including whether--
                            ``(i) the demand for broadband service is 
                        absent; and
                            ``(ii) the supply for broadband service is 
                        capable of meeting the demand for the service;
                    ``(F) proposals for promoting interagency 
                coordination of Federal agencies in regards to 
                policies, procedures, and targeted resources, and means 
                to improve and streamline the policies, programs and 
                services; and
                    ``(G) the adequacy of Federal and State universal 
                service support programs and policies;
            ``(2) an assessment of best practices employed at the State 
        and local government level to foster broadband access in rural 
        and underserved areas; and
            ``(3) an evaluation of methods to coordinate and harmonize, 
        to the maximum extent practicable, the efforts of the 
        Department of Agriculture, the Department of Commerce, and the 
        Federal Communications Commission to advance broadband 
        deployment in rural areas throughout the United States.''.
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