[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 1023 Introduced in Senate (IS)]

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117th CONGRESS
  1st Session
                                S. 1023

   To provide tax credits to low- to moderate-income individuals for 
      certain computer and education costs, to direct the Federal 
 Communications Commission to modify the requirements for the Lifeline 
     program to provide increased support, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 25, 2021

Mr. Durbin (for himself and Mr. Booker) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
   To provide tax credits to low- to moderate-income individuals for 
      certain computer and education costs, to direct the Federal 
 Communications Commission to modify the requirements for the Lifeline 
     program to provide increased support, 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 ``Computer and Internet Access Equity 
Act''.

SEC. 2. INCREASED LIFELINE SUPPORT.

    (a) Definitions.--In this section:
            (1) Commission.--The term ``Commission'' means the Federal 
        Communications Commission.
            (2) Terms defined in regulations.--The terms defined in 
        section 54.400 of title 47, Code of Federal Regulations (or any 
        successor regulation), have the meanings given those terms in 
        that section.
    (b) Regulations.--Not later than 14 days after the date of 
enactment of this Act, the Commission shall promulgate regulations to 
modify the requirements for the Lifeline program set forth in subpart E 
of part 54 of title 47, Code of Federal Regulations (as in effect on 
the date of enactment of this Act) to provide for the following:
            (1) The amount of Lifeline support that a provider of 
        Lifeline service may receive for providing such service to each 
        qualifying low-income consumer shall be increased by the lesser 
        of--
                    (A) $83.33 per month; or
                    (B) the amount needed to make the amount of 
                Lifeline support received by the provider equal to the 
                cost of providing such service, except that such cost 
                may not exceed the cost to the provider of providing an 
                equivalent level of voice telephony service or 
                broadband internet access service (as applicable) to a 
                consumer who does not receive Lifeline service.
            (2) The percentage of the Federal Poverty Guidelines (as 
        specified in section 54.409(a)(1) of title 47, Code of Federal 
        Regulations) at or below which a consumer's household income 
        must be in order for the consumer to constitute a qualifying 
        low-income consumer on the basis of income shall be increased 
        to 435 percent.
            (3) A provider of broadband internet access service shall 
        not be required to be designated as an eligible 
        telecommunications carrier under section 214(e) of the 
        Communications Act of 1934 (47 U.S.C. 214(e)) in order to 
        receive Lifeline support for providing such service to a 
        qualifying low-income consumer.
    (c) Duration.--The modifications made by the regulations 
promulgated under subsection (b) shall cease to have any force or 
effect on the date that is 12 years after the date on which the 
regulations are promulgated.
    (d) Consumer Protections.--
            (1) In general.--A provider of broadband internet access 
        service that receives Lifeline support for providing such 
        service to a qualified low-income consumer--
                    (A) shall provide such service to the consumer at a 
                minimum speed of 25 megabits per second for downloads 
                and 3 megabits per second for uploads, which minimum 
                speed shall be reevaluated and, if appropriate, 
                increased by the Commission not less frequently than 
                once every 3 years;
                    (B) shall provide a level of customer service to 
                the consumer that is comparable to the customer service 
                that the provider provides to consumers of broadband 
                internet access service who do not receive Lifeline 
                service;
                    (C) shall offer such service to each qualified low-
                income consumer in the designated service area of the 
                provider; and
                    (D)(i) shall advertise the availability of such 
                service and the charges therefore using media of 
                general distribution throughout the designated service 
                area of the provider to increase awareness among 
                consumers (including non-English speaking consumers) 
                that they may be eligible for such service; and
                    (ii) may partner with State agencies responsible 
                for the provision of social assistance and service 
                programs in conducting advertising under clause (i).
            (2) Designated service area.--A State commission or the 
        Commission, as applicable, shall establish a designated service 
        area for a provider of broadband internet access service 
        described in paragraph (1) for purposes of that paragraph in 
        the same manner as the State commission or Commission 
        establishes a designated service area for a common carrier 
        under paragraph (5) or (6), as applicable, of section 214(e) of 
        the Communications Act of 1934 (47 U.S.C. 214(e)).

SEC. 3. INTERNET EDUCATION AND TRAINING GRANT PROGRAM.

    (a) Definitions.--In this section:
            (1) Commission.--The term ``Commission'' means the Federal 
        Communications Commission.
            (2) Community-based organization.--The term ``community-
        based organization'' has the meaning given the term in section 
        3 of the Workforce Innovation and Opportunity Act (29 U.S.C. 
        3102).
            (3) Digital literacy.--The term ``digital literacy'' means 
        the skills associated with using technology.
            (4) Eligible entity.--The term ``eligible entity'' means--
                    (A) a nonprofit organization;
                    (B) a not-for-profit social welfare organization; 
                or
                    (C) a community-based organization.
            (5) Federal poverty guidelines.--The term ``Federal Poverty 
        Guidelines'' means the Federal Poverty Guidelines used for 
        purposes of section 54.409(a)(1) of title 47, Code of Federal 
        Regulations (or any successor regulation).
            (6) Household.--The term ``household'' has the meaning 
        given the term in section 54.400 of title 47, Code of Federal 
        Regulations (or any successor regulation).
            (7) Income.--The term ``income'' has the meaning given the 
        term in section 54.400 of title 47, Code of Federal Regulations 
        (or any successor regulation).
            (8) Nonprofit organization.--The term ``nonprofit 
        organization'' means an organization described in section 
        501(c)(3) of the Internal Revenue Code of 1986 and exempt from 
        tax under section 501(a) of such Code.
            (9) Not-for-profit social welfare organization.--The term 
        ``not-for-profit social welfare organization'' means an 
        organization described in section 501(c)(4) of the Internal 
        Revenue Code of 1986 and exempt from tax under section 501(a) 
        of such Code.
    (b) Grants Authorized.--Not later than 100 days after the date of 
enactment of this Act, the Commission shall establish a program to make 
grants on a competitive basis to eligible entities to develop and carry 
out an internet safety education or training program.
    (c) Applications.--An eligible entity that wishes to receive a 
grant under this section shall submit to the Commission an application 
at such time, in such manner, and containing such information as the 
Commission may require.
    (d) Use of Funds.--An eligible entity that receives a grant under 
this section shall use grant funds to--
            (1) develop a program to provide internet education and 
        training, which may address cyberbullying, online privacy, 
        cybersecurity, and digital literacy, to individuals living in 
        households with an income at or below 435 percent of the 
        Federal Poverty Guidelines for households of the applicable 
        size; and
            (2) provide such education or training to such individuals 
        through such program.
    (e) Reports.--
            (1) Reports to commission.--Not later than 3 years after 
        the date on which an eligible entity receives a grant under 
        this section, the eligible entity shall publish and submit to 
        the Commission a report that--
                    (A) describes the use of the grant by the eligible 
                entity, including the number of individuals served by 
                the eligible entity using grant funds;
                    (B) describes the progress of the eligible entity 
                toward fulfilling the objectives for which the grant 
                was awarded; and
                    (C) includes any additional information required by 
                the Commission.
            (2) Report to congress.--Not later than 5 years after the 
        date of enactment of this Act, the Commission shall publish and 
        submit to Congress a report that--
                    (A) summarizes the data from the reports that the 
                Commission has received under paragraph (1); and
                    (B) assesses the effectiveness and cost-
                effectiveness of the grant program established under 
                this section.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as may be necessary to carry out this section.

SEC. 4. CREDIT FOR COMPUTER COSTS.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by inserting after 
section 36B the following new section:

``SEC. 36C. CREDIT FOR COMPUTER COSTS.

    ``(a) In General.--In the case of an eligible individual, there 
shall be allowed as a credit against the tax imposed by this subtitle 
for the taxable year an amount equal the lesser of--
            ``(1) the amount of qualified computer costs paid or 
        incurred by the taxpayer during such taxable year,
            ``(2) $2,000 ($4,000 in the case of a joint return), or
            ``(3) an amount equal to $10,000 ($20,000 in the case of a 
        joint return) minus the sum of any credits allowed to the 
        taxpayer under this section for any preceding taxable year.
    ``(b) Qualified Computer Costs.--For purposes of this section, the 
term `qualified computer costs' means amounts paid or incurred for 
computers, printers, and other education-related technology.
    ``(c) Limitation Based on Adjusted Gross Income.--With respect to 
any taxable year, the $2,000 amount (or, in the case of a joint return, 
$4,000 amount) in subsection (a)(2) shall be reduced by an amount equal 
to 5 percent of so much of the taxpayer's adjusted gross income for 
such taxable year as exceeds--
            ``(1) $72,000 in the case of a joint return,
            ``(2) $54,000 in the case of a head of household, and
            ``(3) $36,000 in the case of a taxpayer not described in 
        paragraph (1) or (2).
    ``(d) Eligible Individual.--The term `eligible individual' means 
any individual other than--
            ``(1) any nonresident alien individual,
            ``(2) any individual with respect to whom a deduction under 
        section 151 is allowable to another taxpayer for a taxable year 
        beginning in the calendar year in which the individual's 
        taxable year begins, and
            ``(3) an estate or trust.
    ``(e) Application of Section.--This section shall only apply to 
qualified computer costs incurred by the taxpayer after December 31, 
2020, and before January 1, 2033.''.
    (b) Advance Payment of Credit.--
            (1) In general.--Chapter 77 of the Internal Revenue Code of 
        1986, as amended by section 9611(b) of the American Rescue Plan 
        Act of 2021 (Public Law 117-2), is amended by inserting after 
        section 7527A the following new section:

``SEC. 7527B. ADVANCE PAYMENT OF CREDIT FOR COMPUTER COSTS.

    ``(a) In General.--As soon as practicable after the date of the 
enactment of this section, the Secretary shall establish a program for 
making advance payments of the credit allowed under section 36C 
(determined without regard to subsection (e) of such section), on such 
basis as the Secretary determines to be administratively feasible, to 
taxpayers determined to be eligible for advance payment of such credit.
    ``(b) Limitation.--
            ``(1) In general.--The Secretary may make payments under 
        subsection (a) only to the extent that the total amount of such 
        payments made to any taxpayer during the taxable year does not 
        exceed the amount of the credit determined under subsection (a) 
        of section 36C, as determined based on application of 
        subsection (c) of such section using the adjusted gross income 
        of the taxpayer for the most recent taxable year for which a 
        return has been filed during any of the preceding 3 taxable 
        years.
            ``(2) Non-filers.--In the case of any taxpayer who has not 
        filed a return during the period described in paragraph (1), 
        such paragraph shall be applied without regard to subsection 
        (c) of section 36C.''.
            (2) Reconciliation of credit and advance credit.--Section 
        36C of such Code, as added by subsection (a), is amended--
                    (A) by redesignating subsection (e) as subsection 
                (f); and
                    (B) by inserting after subsection (d) the following 
                new subsection:
    ``(e) Reconciliation of Credit and Advance Credit.--
            ``(1) In general.--The amount of the credit allowed under 
        this section for any taxable year shall be reduced (but not 
        below zero) by the aggregate amount of any advance payments of 
        such credit under section 7527B for such taxable year.
            ``(2) Excess advance payments.--
                    ``(A) In general.--If the aggregate amount of 
                advance payments under section 7527B for the taxable 
                year exceeds the amount of the credit allowed under 
                this section for such taxable year (determined without 
                regard to paragraph (1)), the tax imposed by this 
                chapter for such taxable year shall be increased by the 
                amount of such excess.
                    ``(B) Return requirement.--If the tax imposed by 
                this chapter for the taxable year is increased under 
                this paragraph, the taxpayer shall, notwithstanding 
                section 6012, be required to file a return with respect 
                to the taxes imposed under this subtitle.''.
    (c) Conforming Amendments.--
            (1) Section 6211(b)(4)(A) of the Internal Revenue Code of 
        1986 is amended--
                    (A) by inserting ``36C,'' after ``36B,'', and
                    (B) by striking ``and 7527A'' and inserting 
                ``7527A, and 7527B''.
            (2) Paragraph (2) of section 1324(b) of title 31, United 
        States Code, is amended--
                    (A) by inserting ``36C,'' after ``36B,'', and
                    (B) by striking ``or 7527A'' and inserting ``7527A, 
                or 7527B''.
            (3) The table of sections for subpart C of part IV of 
        subchapter A of chapter 1 of the Internal Revenue Code of 1986 
        is amended by inserting after the item relating to section 36B 
        the following new item:

``Sec. 36C. Credit for computer costs.''.
            (4) The table of sections for chapter 77 of such Code is 
        amended by inserting after the item relating to section 7527A 
        the following new item:

``Sec. 7527B. Advance payment of credit for computer costs.''.
    (d) Public Awareness Campaign.--The Secretary of the Treasury (or 
the Secretary's delegate) shall conduct a public awareness campaign, in 
coordination with the Commissioner of Social Security, the Secretary of 
Veterans Affairs, and the heads of other relevant Federal and State 
agencies, to provide information to the public (including non-English 
speaking populations) regarding the availability of the credit allowed 
under section 36C of the Internal Revenue Code of 1986 and advance 
payment of such credit pursuant to section 7527B of such Code (as added 
by this section).
    (e) Effective Date.--The amendments made by this section shall 
apply to costs incurred in taxable years beginning after December 31, 
2020.
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