[House Report 117-113]
[From the U.S. Government Publishing Office]
117th Congress } { Rept. 117-113
HOUSE OF REPRESENTATIVES
1st Session } { Part 1
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BROADBAND INTERNET CONNECTIONS FOR RURAL AMERICA ACT
_______
August 6, 2021.--Ordered to be printed
_______
Mr. David Scott of Georgia, from the Committee on Agriculture,
submitted the following
R E P O R T
together with
ADDITIONAL VIEWS
[To accompany H.R. 4374]
The Committee on Agriculture, to whom was referred the bill
(H.R. 4374) to bolster certain rural broadband programs of the
Department of Agriculture, having considered the same, reports
favorably thereon with an amendment and recommends that the
bill as amended do pass.
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Broadband Internet Connections for
Rural America Act''.
SEC. 2. INNOVATIVE BROADBAND ADVANCEMENT PROGRAM.
Section 603(e) of the Rural Electrification Act of 1936 (7 U.S.C.
950bb-2(e)) is amended to read as follows:
``(e) Authorization of Appropriations.--
``(1) In general.--There is authorized to be appropriated to
the Secretary $300,000,000 for each of fiscal years 2022
through 2029, to remain available until expended, to carry out
projects in States and territories selected by the Secretary to
be diverse on the basis of geography, topography, and
demographics.
``(2) Limitation.--Not more than $25,000,000 of the amounts
made available under paragraph (1) for each fiscal year may be
provided for a single project.''.
SEC. 3. RURAL BROADBAND PROGRAM LOANS AND GRANTS.
(a) In General.--Section 601 of the Rural Electrification Act of 1936
(7 U.S.C. 950bb) is amended--
(1) in the section heading, by striking ``access to broadband
telecommunications services in rural areas'' and inserting
``reconnect rural broadband program'';
(2) by striking subsection (a) and inserting the following:
``(a) Establishment; Purpose.--The Secretary shall establish a
program, which shall be known as the `ReConnect Rural Broadband
Program', to provide grants, loans, and loan guarantees to finance the
costs of the construction, improvement, and acquisition of facilities
and equipment for broadband service in rural areas.'';
(3) in subsection (c)(2), by striking subparagraphs (A) and
(B) and inserting the following:
``(A) In general.--In making grants, making loans,
and guaranteeing loans under paragraph (1), the
Secretary shall give the highest priority to
applications for projects to provide broadband service
to unserved rural communities that do not have any
residential broadband service of at least--
``(i) a 10-Mbps downstream transmission
capacity; and
``(ii) a 1-Mbps upstream transmission
capacity.
``(B) Other.--After giving priority to the
applications described in clauses (i) and (ii) of
subparagraph (A), the Secretary shall then give
priority to applications for projects to provide
broadband service to rural communities--
``(i) with a population of less than 10,000
inhabitants; or
``(ii) with a high percentage of low income
families or persons (as defined in section
501(b) of the Housing Act of 1949).
``(C) Ports in rural areas priority.--
``(i) Definition of port.--In this
subparagraph, the term `port' means--
``(I) any port on the navigable
waters of the United States, including
territories;
``(II) any harbor, marine terminal,
or other shore side facility used
principally for the movement of goods
on inland waters; and
``(III) any port formed in accordance
with applicable State or territory law.
``(ii) Priority.--In addition to the priority
given under subparagraph (B), the Secretary
shall give equal priority to an application for
a project that would increase the availability
of broadband service in a port in a rural area.
``(D) Additional considerations.--In making grants,
making loans, and guaranteeing loans under this
subsection, the Secretary shall consider whether an
application was developed with the participation of
community stakeholders, and will receive a substantial
portion of the funding for the project from community
stakeholders or other non-Federal sources.'';
(4) in subsection (c)(3)--
(A) in subparagraph (B)--
(i) by striking ``and'' at the end of clause
(i);
(ii) by striking the period at the end of
clause (ii) and inserting ``; and''; and
(iii) by adding at the end the following:
``(iii) shall be subject to a grant agreement
of not less than ten years.'';
(B) in subparagraph (D)(i)--
(i) in subclause (I), by striking
``(2)(A)(i)'' and inserting ``(2)(A)''; and
(ii) in subclause (II), by striking ``any of
subclauses (I) through (IV) of paragraph
(2)(B)(i)'' and inserting ``clause (i) or (ii)
of paragraph (2)(B)''; and
(C) by striking subparagraph (E) and inserting the
following:
``(E) Applications.--
``(i) Grant-only applications.--The Secretary
shall establish an application process that
permits an application for a grant-only award.
``(ii) Combined applications.--The Secretary
shall establish an application process that
permits--
``(I) a single application for a
grant and a loan under title I or II,
or this title, that is associated with
the grant; and
``(II) provides a single decision to
award the grant and the loan.'';
(5) in subsection (d)(2)--
(A) in subparagraph (A)--
(i) by striking ``subparagraphs (B) and (C)''
and inserting ``subparagraph (B)'';
(ii) by striking ``is submitted--'' and all
that follows through ``(i) not less'' and
inserting ``is submitted not less'' ; and
(iii) by striking ``(e); and'' and all that
follows and inserting ``(e).'';
(B) in subparagraph (B), by striking ``Subparagraph
(A)(i)'' and inserting ``Subparagraph (A)''; and
(C) by striking subparagraph (C);
(6) in subsection (d), by striking paragraph (5);
(7) by striking subsection (j) and inserting the following:
``(j) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section $4,500,000,000
for each of fiscal years 2022 through 2029, to remain available for 5
fiscal years after the fiscal year for which appropriated.''; and
(8) in subsection (k), by striking ``2023'' and inserting
``2029''.
(b) Regulations.--Not later than 180 days after the date of the
enactment of this Act, the Secretary of Agriculture shall promulgate
rules to carry out the amendments made by subsection (a) of this
section, and complete the biennial review process required by section
601(e)(2) of the Rural Electrification Act of 1936.
(c) Sunset.--The authorities provided by section 779 of the
Consolidated Appropriations Act, 2018 (Public Law 115-141) shall have
no force or effect after June 30, 2022.
(d) Transition Rules.--
(1) Availability of funds for administrative costs.--Not more
than 1 percent of the unobligated balances of amounts made
available as of June 1, 2021, to carry out the pilot program
described in section 779 of the Consolidated Appropriations
Act, 2018 (Public Law 115-141) may be used for the costs of
transitioning from the pilot program to the program under
section 601 of the Rural Electrification Act of 1936, as
amended by this Act.
(2) Consolidation of funds.--
(A) In general.--The unobligated balances of all
amounts made available on or before June 30, 2022, to
carry out the pilot program described in section 779 of
the Consolidated Appropriations Act, 2018 (Public Law
115-141) that are in excess of the amount described in
subparagraph (B) of this paragraph are hereby
transferred to and merged with amounts made available
to carry out the program authorized under section 601
of the Rural Electrification Act of 1936.
(B) Unfunded approvals.--The amount described in this
subparagraph is the amount required to fully fund each
project approved as of June 30, 2022, under the pilot
program described in such section 779 for which amounts
were not obligated or partially obligated as of such
date.
SEC. 4. COMMUNITY CONNECT GRANTS.
Section 604(g) of the Rural Electrification Act of 1936 (7 U.S.C.
950bb-3(g)) is amended by striking ``$50,000,000 for each of fiscal
years 2019 through 2023'' and inserting ``$150,000,000 for each of
fiscal years 2022 through 2029, to remain available for 2 fiscal years
after the fiscal year for which appropriated''.
SEC. 5. DISTANCE LEARNING AND TELEMEDICINE LOANS AND GRANTS.
Section 2335A of the Food, Agriculture, Conservation, and Trade Act
of 1990 (7 U.S.C. 950aaa-5) is amended by striking ``$82,000,000 for
each of fiscal years 2019 through 2023'' and inserting ``$150,000,000
for each of fiscal years 2022 through 2029, to remain available for 2
fiscal years after the fiscal year for which appropriated''.
SEC. 6. EXPANSION OF MIDDLE MILE INFRASTRUCTURE INTO RURAL AREAS.
Section 602(g) of the Rural Electrification Act of 1936 (7 U.S.C.
950bb-1(g)) is amended by striking ``$10,000,000 for each of fiscal
years 2018 through 2023'' and inserting ``$300,000,000 for each of
fiscal years 2022 through 2029, to remain available for 2 fiscal years
after the fiscal year for which appropriated''.
SEC. 7. BROADBAND CONNECTORS PROGRAM.
(a) In General.--The Secretary of Agriculture shall establish a
system for the dissemination of information and technical assistance on
the broadband programs of the Department of Agriculture, which shall be
for the use of entities eligible, such as Indian tribes and tribal
organizations, to receive funds under title II or VI of the Rural
Electrification Act of 1936 (7 U.S.C. 901 et seq.) or chapter 1 of
subtitle D of title XXIII of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 950aaa et seq.).
(b) Limitations on Authorization of Appropriations.--To carry out
subsection (a), there are authorized to be appropriated to the
Secretary of Agriculture not more than $25,000,000 for each of fiscal
years 2022 through 2029, which are authorized to remain available
through fiscal year 2029.
SEC. 8. COMMUNITY BROADBAND MAPPING.
Section 701 of the Rural Electrification Act of 1936 (7 U.S.C. 950cc)
is amended by redesignating subsection (e) as subsection (f) and
inserting after subsection (d) the following:
``(e) Community Broadband Mapping Program.--
``(1) In general.--The Secretary may make grants to eligible
entities for the purpose of collecting broadband service data
to assist the Secretary in--
``(A) establishing the availability of broadband
service or middle mile infrastructure in a rural area;
``(B) determining the eligibility of a community for
assistance under any broadband program administered by
the Secretary; or
``(C) undertaking a service area assessment under
this section.
``(2) Application.--To apply for a grant under this section,
an entity shall submit an application therefor which
identifies--
``(A) the data collection area;
``(B) the purpose of the data collection;
``(C) the types of broadband service data to be
collected;
``(D) the survey and data collection methods to be
utilized; and
``(E) any other information the Secretary determines
necessary to promote the integrity of broadband service
data collected under this section.
``(3) Limitation on grant amount.--The amount of a grant made
under this subsection shall not exceed $50,000.
``(4) Broadband service data usage.--The Secretary shall
ensure that any broadband service data collected under this
section is--
``(A) measured or assessed in accordance with such
standards as the Secretary may establish;
``(B) accurate and verifiable in accordance with such
standards as the Secretary may establish;
``(C) included in any broadband maps or data sets
maintained by the Secretary; and
``(D) made available to the Chair of the Federal
Communications Commission and the Administrator of the
National Telecommunications and Information
Administration for inclusion in any broadband maps or
data sets either may maintain.
``(5) Definitions.--In this subsection:
``(A) Broadband service.--The term `broadband
service' has the meaning given the term in section 601.
``(B) Broadband service data.--
``(i) In general.--The term `broadband
service data' means information related to--
``(I) the location and type of
broadband service;
``(II) the location and type of
broadband infrastructure;
``(III) the advertised, maximum, and
average speed of broadband service;
``(IV) the average price of the most
subscribed tier of broadband service;
``(V) the speed tiers of broadband
service available in the area; or
``(VI) any additional metric the
Secretary deems appropriate.
``(ii) Further definition.--The Secretary
shall further define the term `broadband
service data' to ensure that data is measured
and collected in a manner consistent with the
reporting requirements under this section, and
any broadband coordination or data- sharing
obligations.
``(C) Eligible entity.--The term `eligible entity'
means--
``(i) a unit of local government in a rural
area;
``(ii) a tribal government or unit of tribal
government;
``(iii) an economic development or other
community organization;
``(iv) an eligible entity under title I or II
that serves persons in rural areas;
``(v) an internet service provider that has
not more than 100,000 subscribers; or
``(vi) any other entity eligible under a
title VI program that is not an internet
service provider.
``(D) Middle mile infrastructure.--The term `middle
mile infrastructure' has the meaning given the term in
section 602.
``(E) Rural area.--The term `rural area' has the
meaning given the term in section 601.
``(6) Limitation on amount made available for grants.--The
Secretary may not expend more than 1 percent of the amounts
made available under subsection (f) for each of fiscal years
2022 through 2029 to carry out this subsection.''.
SEC. 9. LIMITATIONS ON RESERVATION OF FUNDS.
Section 701(f) of the Rural Electrification Act of 1936 (7 U.S.C.
950cc(f)), as so redesignated by section 8 of this Act, is amended to
read as follows:
``(f) Limitations on Reservation of Funds.--Not less than 3 but not
more than 7 percent of the amounts appropriated to carry out title VI
shall be set aside to be used--
``(1) for administrative costs to carry out programs under
title VI;
``(2) for technical assistance and pre-development planning
activities to support the most rural communities;
``(3) to conduct oversight under title VI;
``(4) to implement accountability measures and related
activities authorized under title VI; and
``(5) to carry out this section.''.
Brief Explanation
This legislation amends the Rural Electrification Act by
making changes to the Title VI programs and Title VII for the
purpose of expanding broadband coverage and program access, and
providing resources for administrative, technical, and mapping
assistance.
Purpose and Need for Legislation
Originally enacted in 1935 to bring electricity to Rural
America, today the Rural Electrification Act Title VI programs
play a similar role bringing broadband to Rural America. The
Agriculture Improvement Act of 2018 (``2018 Farm Bill'') made a
number of amendments to Title VI programs, increasing minimum
build out speed requirements, establishing grant funding in the
Section 601 program, and overall increasing the level of
investment in United States Department of Agriculture (USDA)
broadband programs. However, since passage of the 2018 Farm
Bill, USDA broadband programs have been underfunded and not
utilized to their full potential.
The cost estimates of connecting all of America are wide
ranging, with estimates from $60 billion to upwards of $100
billion. Reaching 100% connectivity nationwide will require
substantial investment in rural communities, which face
substantial barriers to broadband access. Delivering those
investments expeditiously and targeting those investments to
the right communities requires the experience, expertise, and
reach of USDA, whose deep roots in rural America are unique
among Federal regulators.
H.R. 4374, the Broadband Internet Connections for Rural
America Act (BICRAA), builds on the existing Federal broadband
program expertise and infrastructure at USDA. It consolidates
authorities and increases authorizations across a suite of
Federal broadband programs to provide USDA with the tools
necessary to bring broadband connectivity to every rural
community. BICRAA closely resembles H.R. 3369, the Broadband
for Rural America Act, introduced by Ranking Member Thompson on
behalf of a bipartisan coalition of 43 Members of Congress,
from on and off the Committee, committed to improving rural
broadband.
In addition to the urgent and well documented broadband
needs of rural communities, the Committee is cognizant of the
less visible needs of other rural stakeholders, in particular
the operators of low-flying aircraft utilized across rural
landscapes. As USDA develops financing, policy and other
aspects related to rural broadband development, the Committee
directs the USDA to take into account existing FAA requirements
for marking towers, specifically the law requiring towers below
200 feet in rural areas be logged into a database. The
Committee recognizes that it is important to protect the safety
of aerial applicators, aerial firefighters, public health
applicators, medevac units, law enforcement and other low-
flying aircraft. This is particularly important not just for
rural broadband programs specified in previous farm bill
legislation, but also for the infrastructure packages under
consideration in Congress.
Section 2
The Innovative Broadband Advancement Program was authorized
in the 2018 Farm Bill for the purpose of demonstrating
innovative broadband technologies and methods of deployment
that decrease the cost of deployment and provide faster
broadband speeds than are typically available in rural areas.
The varied geography, topography, and demographics of Rural
America pose different challenges to connectivity. The program
has not yet received funding or been implemented.
H.R. 4374 increases and extends the authorization of the
Innovative Broadband Advancement Program, as well as directs
the Secretary to fund projects for these purposes in areas
reflecting the diversity of Rural America, to ensure the
program will provide insight into the most effective and
efficient path forward to connectivity in every rural area.
Section 3
The ReConnect Pilot Program was enacted in the Consolidated
Appropriations Act, 2018 and has since received the bulk of the
funding that has been provided for USDA broadband programs.
H.R. 4374 consolidates the ReConnect Pilot Program and the
Section 601 Rural Broadband program. From the ReConnect Pilot
Program, H.R. 4374 incorporates additional program flexibility
into the Rural Broadband Program and provides sufficient
funding for program administration and technical assistance.
Finally, H.R. 4374 increases and extends the authorizations of
the consolidated program.
Section 4
H.R. 4374 increases and extends the authorization for the
existing farm bill-authorized Community Connect grant program.
The Community Connect program is an important source of grant
funding for unserved communities that lack traditional
investment opportunities. Grant funding will be a critical
resource necessary for those areas that will be hardest to
connect.
Section 5
H.R. 4374 increases and extends the authorization for the
Distance Learning and Telemedicine Loan and Grant program. This
program addresses the lack of adequate health care resources in
Rural America and expands educational opportunities by enabling
health and educational institutions to buy the equipment and
software necessary for distance learning and telemedicine.
Section 6
H.R. 4374 increases and extends the authorization for the
Middle Mile Infrastructure program. Urgent and significant
investment in middle mile infrastructure is needed to deliver
broadband to hard-to-reach communities in Rural America.
Reliable and efficient middle mile infrastructure is critical
for the overall health of our nationwide broadband network.
Section 7
Many rural communities lack the resources and staff able to
identify the broadband needs of their communities, find
financing, navigate the permitting process, or have the
knowledge necessary to respond to network operational and
management issues. H.R. 4374 establishes a new program which
provides grants to technical service providers to operate an
assistance program for rural broadband services and systems.
The program follows the model of the successful Circuit Rider
Program for USDA rural water programs, providing technical
assistance at no cost to rural communities to determine their
broadband needs, find appropriate financing, and help navigate
the building, operation, and management of their network.
Section 8
Inaccurate broadband coverage maps have been a persistent
barrier to achieving nationwide connectivity. Accurate maps not
only determine an area's eligibility for Federal programs, but
they also help pinpoint areas without coverage and inform the
resources needed to achieve reliable and affordable
connectivity. H.R. 4374 establishes a new program which
provides grants to eligible entities for the purpose of
determining program eligibility, undertaking a service area
assessment, or establishment of service availability to collect
data on the location of broadband infrastructure, coverage, and
speeds available, and service cost.
Section 9
Section 9 consolidates technical assistance and
administrative resources in Section VII of the Rural
Electrification Act to ensure USDA has sufficient resources to
administer Title VI programs.
H.R. 4374, The Rural Broadband Internet Connections for Rural America
Act
Section-by-Section
Section 1. Short title
Section 1 provides that this Act may be cited as the
``Broadband Internet Connections for Rural America Act.''
Section 2. Innovative Broadband Advancement Program
Section 2 amends Section 603(e) of the Rural
Electrification Act of 1936 to authorize $300,000,000 in
appropriations for each of Fiscal Years 2022 and the subsequent
seven fiscal years to remain available until expended, to carry
out projects in states and territories selected by the
Secretary to be diverse on the basis of geography, topography,
and demographics. Section 2 limits the amount that may be made
available for a single project for each Fiscal Year to
$25,000,000.
Section 3. Rural Broadband Program loans and grants
Section 3 amends the section heading of Section 601 of the
Rural Electrification Act to the ``ReConnect Rural Broadband
Program.'' It removes several prioritizations listed in
subsection (c)(2) excluding those requiring the Secretary to
prioritize applications in areas with (1) less than 10/1 Mbps
broadband service, (2) populations under 10,000, and (3) a high
percentage of low-income families. It also requires the
Secretary to give equal priority to an application for a
project that would increase the availability of broadband in a
port in a rural area. It also requires the Secretary to
consider community and other non-Federal support in awarding
funds. It removes requirements that, for a project to be
eligible, broadband service is not provided by 3 or more
incumbent service providers in any part of a proposed service
territory. It also removes requirements that the Secretary
provide technical assistance and training to certain eligible
entities eligible to obtain grants, loans, or loan guarantees.
Technical Assistance and program administration funds are moved
to Section 701 of the Rural Electrification Act, detailed in
Section 9 of this Act.
This section clarifies that Section 601 includes the
authority for the Secretary to make grant-only awards and
establishes a timeline to implement the program. It provides
that the Reconnect Program, established pursuant to the
Consolidated Appropriations Act, 2018, shall sunset on June 30,
2022, and 1% of unobligated funding will be reserved to
implement the new ReConnect Rural Broadband Program. It
provides that the Secretary shall promulgate rules within 180
days for the ReConnect Rural Broadband Program. It also
provides that the ReConnect Rural Broadband Program shall be
authorized to receive $4,500,000,000 for Fiscal Year 2022 and
each of the subsequent seven fiscal years.
Section 4. Community connect grants
Section 4 amends section 604(g) of the Rural
Electrification Act of 1936 to authorize $150 million in
appropriations for Fiscal Years 2022 and each of the subsequent
seven fiscal years.
Section 5. Distance learning and telemedicine loans and grants
Section 5 amends section 2335A of the Food, Agriculture,
Conservation, and Trade Act of 1990 to authorize $150 million
in appropriations for Fiscal Years 2022 and each of the
subsequent seven fiscal years.
Section 6. Expansion of middle mile infrastructure into rural areas
Section 6 amends section 602(g) of the Rural
Electrification Act of 1936 to authorize $300 million in
appropriations for Fiscal Years 2022 and each of the subsequent
seven fiscal years.
Section 7. Broadband connectors program
Section 7 requires the Secretary to create a system for
distributing information and providing technical assistance for
broadband programs administered by USDA. This section also
authorizes not more than $25 million in appropriations for
Fiscal Years 2022 and each of the subsequent seven fiscal years
to carry out the section.
Section 8. Community broadband mapping
Section 8 amends section 701 of the Rural Electrification
Act of 1936 to provide the Secretary authority to make grants
to certain entities for the purpose of collecting broadband
service data to assist the Secretary in establishing the
availability of broadband service in rural areas, determining
community eligibility for broadband programs, and undertaking
service area assessments. Individual grants are limited to
$50,000 each and total funding for the grants may not exceed 1
percent of the funds made available each fiscal year under new
subsection (f).
Section 9. Limitations on reservation of funds
Section 9 makes available not less than 3 percent and not
more than 7 percent of total funds appropriated to carry out
Title VI of the Rural Electrification Act of 1936 for
administrative costs of carrying out programs under Title VI,
technical assistance and pre-development planning activities to
support rural communities, to conduct oversight and implement
accountability measures and related activities authorized under
Title VI, and to otherwise carry out section 701 including the
community broadband mapping program established in Section 8.
Committee Consideration
I. HEARING
The Committee on Agriculture held one hearing in the 117th
Congress in anticipation of legislation to bolster certain
broadband programs of the Department of Agriculture.
On April 20, 2021, the full Committee on Agriculture held a
hearing entitled ``Rural Broadband--Examining Internet
Connectivity Needs and Opportunities in Rural America'' where
the following witnesses testified on matters included in H.R.
4374:
Ms. Jennifer Prather, Vice-President and
General Manager, Totelcom Communications, LLC, on
behalf of NTCA, The Rural Broadband Association, De
Leon, TX
Mr. Tim Johnson, Chief Executive Officer,
OEConnect LLC and Ostego Electric Cooperative, Inc.,
Hartwick, NY
Ms. Vickie Robinson, General Manager,
Microsoft Global Airband Initiative, Washington, D.C.
Dr. Johnny Park, Chief Executive Officer,
Wabash Heartland Innovation Network, West Lafayette, IN
This hearing examined internet connectivity needs and
opportunities in Rural America. Members of the Committee heard
testimony about building, expanding, and maintaining broadband
networks in rural areas and discussed expansion efforts,
challenges, and Federal programs.
II. FULL COMMITTEE
On July 14, 2021, the Committee on Agriculture met pursuant
to notice, with a quorum present, to consider H.R. 4374, the
Broadband Internet Connections for Rural America Act. Chairman
Scott made an opening statement as did Ranking Member Thompson.
Chairman Scott requested other Members submit their opening
statements for the record. Without objection, the Broadband
Internet Connections for Rural America Act was placed before
the Committee for consideration, a first reading of the bill
was waived and it was opened for amendment at any point.
Chairman Scott offered an amendment in the nature of a
substitute, and without objection, the reading of the amendment
was waived and the substitute was considered as original text
for the purposes of further amendment. Discussion occurred and
counsel for the Committee and USDA answered Member questions.
Chairman Scott recognized Ms. Plaskett to offer an amendment
adding small ports in rural areas to the priority list for
applications to the Agriculture Department's Rural Utility
Service ReConnect Rural Broadband program. After discussion,
the amendment passed by a voice vote.
There being no further amendments, a voice vote was
conducted and the amendment in the nature of a substitute was
approved. Mr. Thompson moved that H.R. 4374, as amended, be
reported favorably to the House with an amendment in the nature
of a substitute consisting of the amendments agreed to in the
markup and with the recommendation that the amendment be agreed
to and the bill pass. The motion was subsequently approved by
voice vote.
At the conclusion of the meeting, Chairman Scott advised
Members that pursuant to the rules of the House of
Representatives, Members had until July 16, 2021 to file any
supplemental, additional, dissenting, or minority views with
the Committee. Without objection, staff was given permission to
make any necessary technical, clarifying, or conforming changes
to reflect the intent of the Committee. Chairman Scott thanked
all the Members and adjourned the meeting.
Committee Votes
In compliance with clause 3(b) of rule XIII of the House of
Representatives, H.R. 4374 was reported by voice vote with a
majority quorum present. There was no request for a recorded
vote.
Committee Oversight Findings
Pursuant to clause 3(d)(2) of rule XIII of the Rules of the
House of Representatives, the Committee report incorporates the
cost estimate prepared by the Direction of the Congressional
Office pursuant to sections 402 and 423 of the Congressional
Budget Act of 1974.
Cost of Legislation and the Congressional Budget Act
With respect to the requirements of clause 3(c)(2) of rule
XIII of the Rules of the House of Representatives and section
308(a) of the Congressional Budget Act of 1974 and with respect
to requirements of clause (3)(c)(3) of rule XIII of the Rules
of the House of Representatives and section 402 of the
Congressional Budget Act of 1974, the Committee has requested
but not received a cost estimate for this bill from the
Director of Congressional Budget Office. The Committee adopts
as its own cost estimate the forthcoming cost estimate of the
Director of the Congressional Budget Office, should such cost
estimate be made available before House passage of the bill.
The Committee has requested but not received from the
Director of the Congressional Budget Office a statement as to
whether this bill contains any new budget authority, spending
authority, credit authority, or an increase or decrease in
revenues or tax expenditures.
Congressional Budget Office staff has informed the
Committee on a preliminary, informal, nonbinding basis that the
bill will not affect revenues and direct spending but will
affect discretionary spending in fiscal year 2021 or in each of
the five fiscal years following that fiscal year.
Constitutional Authority Statement
The Committee finds the Constitutional authority for this
legislation in Article I, section 8, clause 18, that grants
Congress the power to make all laws necessary and proper for
carrying out the powers vested by Congress in the consideration
of the United States or in any department or officer thereof.
The Committee further finds the Constitutional authority for
this legislation in Article I, section 8, clause 3, that grants
Congress the authority to regulate foreign and interstate
commerce.
Performance Goals And Objectives
Pursuant to clause 3(c)(4) of rule XIII of the House of
Representatives, the performance goals and objectives of this
measure are to bolster certain rural broadband programs of the
Department of Agriculture.
Advisory Committee Statement
No advisory committee within the meaning of section 5(b) of
the Federal Advisory Committee Act was created by this
legislation.
Applicability to the Legislative Branch
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act (Public Law
104-1).
Federal Mandates Statement
An estimate of Federal mandates prepared by the Director of
the Congressional Budget Office pursuant to section 423 of the
Unfunded Mandates Reform Act was not made available to the
Committee in time for the filing of this report. The Chair of
the Committee shall cause such estimate to be printed in the
Congressional Record upon its receipt by the Committee.
Earmark Statement
This measure does not contain any congressional earmarks,
limited tax benefits, or limited tariff benefits as defined in
clause 9(e), 9(f), or 9(g) of rule XXI of the House of
Representatives.
Duplication of Federal Programs
This measure does not establish or reauthorize a program of
the Federal Government known to be duplicative of another
Federal program, a program that was included in any report from
Government Accountability Office to Congress pursuant to
section 21 of Public Law 111-139, or a program related to a
program in the most recent Catalog of Federal Domestic
Assistance.
Disclosure of Directed Rule Makings
The Committee estimates that H.R. 4374 includes the
following rule makings within the meaning of 5 U.S.C. 551:
Sec. 3 requires the Secretary to promulgate
rules to carry out the amendments made by subsection
(a) of Section 3 of this Act.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italics, and existing law in which no
change is proposed is shown in roman):
RURAL ELECTRIFICATION ACT OF 1936
* * * * * * *
TITLE VI--RURAL BROADBAND ACCESS
SEC. 601. [ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN RURAL
AREAS] RECONNECT RURAL BROADBAND PROGRAM.
[(a) Purpose.--The purpose of this section is to provide
grants, provide loans, and provide loan guarantees to provide
funds for the costs of the construction, improvement, and
acquisition of facilities and equipment for broadband service
in rural areas.]
(a) Establishment; Purpose.--The Secretary shall establish a
program, which shall be known as the ``ReConnect Rural
Broadband Program'', to provide grants, loans, and loan
guarantees to finance the costs of the construction,
improvement, and acquisition of facilities and equipment for
broadband service in rural areas.
(b) Definitions.--In this section:
(1) Broadband service.--The term ``broadband
service'' means any technology identified by the
Secretary as having the capacity to transmit data to
enable a subscriber to the service to originate and
receive high-quality voice, data, graphics, and video.
(2) Incumbent service provider.--The term ``incumbent
service provider'', with respect to an application
submitted under this section, means an entity that, as
of the date of submission of the application, is
providing broadband service to not less than 5 percent
of the households in the service territory proposed in
the application.
(3) Rural area.--
(A) In general.--The term ``rural area''
means any area other than--
(i) an area described in clause (i)
or (ii) of section 343(a)(13)(A) of the
Consolidated Farm and Rural Development
Act (7 U.S.C. 1991(a)(13)(A)); and
(ii) in the case of a grant or direct
loan, a city, town, or incorporated
area that has a population of greater
than 20,000 inhabitants.
(B) Urban area growth.--The Secretary may, by
regulation only, consider an area described in
section 343(a)(13)(F)(i)(I) of that Act to not
be a rural area for purposes of this section.
(C) Exclusion of certain populations.--Such
term does not include any population described
in subparagraph (H) or (I) of section
343(a)(13) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1991(a)(13)).
(c) Grants, Loans, and Loan Guarantees.--
(1) In general.--The Secretary shall make grants,
shall make loans, and shall guarantee loans to eligible
entities described in subsection (d) to provide funds
for the construction, improvement, or acquisition of
facilities and equipment for the provision of broadband
service in rural areas.
(2) Priority.--
[(A) In general.--In making grants, making
loans, and guaranteeing loans under paragraph
(1), the Secretary shall--
[(i) give the highest priority to
applications for projects to provide
broadband service to unserved rural
communities that do not have any
residential broadband service of at
least--
[(I) a 10-Mbps downstream
transmission capacity; and
[(II) a 1-Mbps upstream
transmission capacity;
[(ii) give priority to applications
for projects to provide the maximum
level of broadband service to the
greatest proportion of rural households
in the proposed service area identified
in the application;
[(iii) provide equal consideration to
all eligible entities, including those
that have not previously received
grants, loans, or loan guarantees under
paragraph (1); and
[(iv) with respect to 2 or more
applications that are given the same
priority under clause (i), give
priority to an application that
requests less grant funding than loan
funding.
[(B) Other.--After giving priority to the
applications described in clauses (i) and (ii)
of subparagraph (A), the Secretary shall then
give priority to applications--
[(i) for projects to provide
broadband service to rural
communities--
[(I) with a population of
less than 10,000 permanent
residents;
[(II) that are experiencing
outmigration and have adopted a
strategic community investment
plan under section 379H(d) that
includes considerations for
improving and expanding
broadband service;
[(III) with a high percentage
of low income families or
persons (as defined in section
501(b) of the Housing Act of
1949 (42 U.S.C. 1471(b));
[(IV) that are isolated from
other significant population
centers; or
[(V) that provide rapid and
expanded deployment of fixed
and mobile broadband on
cropland and ranchland within a
service territory for use in
various applications of
precision agriculture; and
[(ii) that were developed with the
participation of, and will receive a
substantial portion of the funding for
the project from, 2 or more
stakeholders, including--
[(I) State, local, and tribal
governments;
[(II) nonprofit institutions;
[(III) community anchor
institutions, such as--
[(aa) public
libraries;
[(bb) elementary
schools and secondary
schools (as defined in
section 8101 of the
Elementary and
Secondary Education Act
of 1965 (20 U.S.C.
7801));
[(cc) institutions of
higher education; and
[(dd) health care
facilities;
[(IV) private entities;
[(V) philanthropic
organizations; and
[(VI) cooperatives.]
(A) In general.--In making grants, making
loans, and guaranteeing loans under paragraph
(1), the Secretary shall give the highest
priority to applications for projects to
provide broadband service to unserved rural
communities that do not have any residential
broadband service of at least--
(i) a 10-Mbps downstream transmission
capacity; and
(ii) a 1-Mbps upstream transmission
capacity.
(B) Other.--After giving priority to the
applications described in clauses (i) and (ii)
of subparagraph (A), the Secretary shall then
give priority to applications for projects to
provide broadband service to rural
communities--
(i) with a population of less than
10,000 inhabitants; or
(ii) with a high percentage of low
income families or persons (as defined
in section 501(b) of the Housing Act of
1949).
(C) Ports in rural areas priority.--
(i) Definition of port.--In this
subparagraph, the term ``port'' means--
(I) any port on the navigable
waters of the United States,
including territories;
(II) any harbor, marine
terminal, or other shore side
facility used principally for
the movement of goods on inland
waters; and
(III) any port formed in
accordance with applicable
State or territory law.
(ii) Priority.--In addition to the
priority given under subparagraph (B),
the Secretary shall give equal priority
to an application for a project that
would increase the availability of
broadband service in a port in a rural
area.
(D) Additional considerations.--In making
grants, making loans, and guaranteeing loans
under this subsection, the Secretary shall
consider whether an application was developed
with the participation of community
stakeholders, and will receive a substantial
portion of the funding for the project from
community stakeholders or other non-Federal
sources.
(3) Grant amounts.--
(A) Definition of development costs.--In this
paragraph, the term ``development costs'' means
costs of--
(i) construction, including labor and
materials;
(ii) project applications; and
(iii) other development activities,
as determined by the Secretary.
(B) Eligibility.--To be eligible for a grant
under this section, in addition to the
requirements of subsection (d), the project
that is the subject of the grant shall--
(i) be carried out in a proposed
service territory in which not less
than 90 percent of the households are
unserved; [and]
(ii) not concurrently receive any
other broadband grant administered by
the Rural Utilities Service[.]; and
(iii) shall be subject to a grant
agreement of not less than ten years.
(C) Maximum.--Except as provided in
subparagraph (D), the amount of any grant made
under this section shall not exceed--
(i) 75 percent of the total project
cost with respect to an area with a
density of fewer than 7 people per
square mile;
(ii) 50 percent of the total project
cost with respect to an area with a
density of 7 or more and fewer than 12
people per square mile; and
(iii) 25 percent of the total project
cost with respect to an area with a
density of 12 or more and 20 or fewer
people per square mile.
(D) Secretarial authority to adjust.--The
Secretary may--
(i) make grants of up to 75 percent
of the development costs of the project
for which the grant is provided to an
eligible entity if the Secretary
determines that the project serves--
(I) an area of rural
households described in
paragraph [(2)(A)(i)] (2)(A);
or
(II) a rural community
described in [any of subclauses
(I) through (IV) of paragraph
(2)(B)(i)] clause (i) or (ii)
of paragraph (2)(B); and
(ii) make modifications of the
density thresholds described in
subparagraph (C), in order to ensure
that funds provided under this section
are best utilized to provide broadband
service in communities that are the
most rural in character.
[(E) Applications.--The Secretary shall
establish an application process for grants
under this section that--
[(i) permits a single application for
a grant and a loan under title I, II,
or this title that is associated with
such grant; and
[(ii) provides a single decision to
award such grant and such loan.]
(E) Applications.--
(i) Grant-only applications.--The
Secretary shall establish an
application process that permits an
application for a grant-only award.
(ii) Combined applications.--The
Secretary shall establish an
application process that permits--
(I) a single application for
a grant and a loan under title
I or II, or this title, that is
associated with the grant; and
(II) provides a single
decision to award the grant and
the loan.
(F) Density determinations.--When determining
population density under this section, the
Secretary shall prescribe a calculation method
which--
(i) utilizes publicly available data;
and
(ii) includes only those areas in
which the applicant is able to meet the
service requirements under this
section, as determined by the
Secretary.
(4) Fees.--In the case of loan guarantees issued or
modified under this section, the Secretary shall charge
and collect from the lender fees in such amounts as to
bring down the costs of subsidies for guaranteed loans,
except that such fees shall not act as a bar to
participation in the programs nor be inconsistent with
current practices in the marketplace.
(d) Eligibility.--
(1) Eligible entities.--
(A) In general.--To be eligible to obtain a
grant, loan, or loan guarantee under this
section, an entity shall--
(i) demonstrate the ability to
furnish or improve service in order to
meet the broadband buildout
requirements established under
subsection (e)(4) in all or part of an
unserved or underserved rural area;
(ii) submit to the Secretary an
application at such time, in such
manner, and containing such information
as the Secretary may require; and
(iii) agree to complete buildout of
the broadband infrastructure described
in the application by not later than 5
years after the initial date on which
assistance under this section is made
available.
(B) Limitation.--An eligible entity that
provides telecommunications or broadband
service to at least 20 percent of the
households in the United States may not receive
an amount of funds under this section for a
fiscal year in excess of 15 percent of the
funds authorized and appropriated under
subsection (j) for the fiscal year.
(2) Eligible projects.--
(A) In general.--Except as provided in
[subparagraphs (B) and (C)] subparagraph (B),
assistance under this section may be used to
carry out a project in a proposed service
territory only if, as of the date on which the
application of the eligible entity [is
submitted--
[(i) not less] is submitted not less
than 50 percent (in the case of loans
or loan guarantees provided in
accordance with subsection (g)(1)(A))
of the households in the proposed
service territory are unserved or have
service levels below the minimum
acceptable level of fixed broadband
service, whether terrestrial or
wireless, established under subsection
[(e); and]
[(ii) broadband service is not
provided in any part of the proposed
service territory by 3 or more
incumbent service providers.] (e).
(B) Exception to percent requirement.--
[Subparagraph (A)(i)] Subparagraph (A) shall
not apply to the proposed service territory of
a project if a loan or loan guarantee has been
made under this section to the applicant to
provide broadband service in the proposed
service territory.
[(C) Exception to incumbent service provider
requirement.--
[(i) In general.--Except as provided
in clause (ii), subparagraph (A)(ii)
shall not apply to an incumbent service
provider in the portion of a proposed
service territory in which the provider
is upgrading broadband service to meet
the minimum acceptable level of
broadband service established under
subsection (e) for the existing
territory of the incumbent service
provider.
[(ii) Exception.--Clause (i) shall
not apply if the applicant is eligible
for funding under another title of this
Act.]
(3) Equity and market survey requirements.--
(A) In general.--The Secretary may require an
entity to provide a cost share in an amount not
to exceed 10 percent of the amount of the
grant, loan, or loan guarantee requested in the
application of the entity, unless the Secretary
determines that a higher percentage is required
for financial feasibility.
(B) Market survey.--
(i) In general.--The Secretary may
require an entity that proposes to have
a subscriber projection of more than 20
percent of the broadband service market
in a rural area to submit to the
Secretary a market survey.
(ii) Less than 20 percent.--The
Secretary may not require an entity
that proposes to have a subscriber
projection of less than 20 percent of
the broadband service market in a rural
area to submit to the Secretary a
market survey.
(iii) Information.--Information
submitted under this subparagraph shall
be--
(I) certified by the affected
community, city, county, or
designee; or
(II) demonstrated on--
(aa) the broadband
map of the affected
State if the map
contains address-level
data; or
(bb) the National
Broadband Map if
address-level data is
unavailable.
(4) State and local governments and indian tribes.--
Subject to paragraph (1), a State or local government
(including any agency, subdivision, or instrumentality
thereof (including consortia thereof)) and an Indian
tribe shall be eligible for assistance under this
section to provide broadband services to a rural area.
[(5) Technical assistance and training.--
[(A) In general.--The Secretary may provide
to eligible entities described in paragraph (1)
that are applying for assistance under this
section for a project described in subsection
(c)(2)(A)(i) technical assistance and
training--
[(i) to prepare reports and surveys
necessary to request grants, loans, and
loan guarantees under this section for
broadband deployment;
[(ii) to improve management,
including financial management,
relating to the proposed broadband
deployment;
[(iii) to prepare applications for
grants, loans, and loan guarantees
under this section; or
[(iv) to assist with other areas of
need identified by the Secretary.
[(B) Funding.--Not less than 3 percent and
not more than 5 percent of amounts appropriated
to carry out this section for a fiscal year
shall be used for technical assistance and
training under this paragraph.]
(e) Broadband Service.--
(1) In general.--Subject to paragraph (2), for
purposes of this section, the minimum acceptable level
of broadband service for a rural area shall be at
least--
(A) a 25-Mbps downstream transmission
capacity; and
(B) a 3-Mbps upstream transmission capacity.
(2) Adjustments.--At least once every 2 years, the
Secretary shall review, and may adjust through notice
published in the Federal Register, the minimum
acceptable level of broadband service established under
paragraph (1) and broadband buildout requirements under
paragraph (4)to ensure that high quality, cost-
effective broadband service is provided to rural areas
over time.
(3) Prohibition.--The Secretary shall not establish
requirements for bandwidth or speed that have the
effect of precluding the use of evolving technologies
appropriate for rural areas.
(4) Broadband buildout requirements.--
(A) In general.--The term ``broadband
buildout requirement'' means the level of
internet service an applicant receiving
assistance under this section must agree, at
the time the application is finalized, to
provide for the duration of any project-related
agreement between the applicant and the
Department.
(B) Broadband buildout requirements further
defined.--Subject to subparagraph (C), the
Secretary shall establish broadband buildout
requirements for projects with agreement
lengths of--
(i) 5 to 10 years;
(ii) 11 to 15 years;
(iii) 16 to 20 years; and
(iv) more than 20 years.
(C) Requirements.--In establishing the
broadband buildout requirements under
subparagraph (B), the Secretary shall--
(i) utilize the same metrics used to
define the minimum acceptable level of
broadband service under paragraph (1);
(ii) establish such requirements to
reasonably ensure--
(I) the repayment of all
loans and loan guarantees; and
(II) the financed network is
technically capable of
providing broadband service for
the lifetime of any project-
related agreement.
(D) Substitute service standards for unique
service territories.--If an applicant shows
that it would be cost prohibitive to meet the
broadband buildout requirements established
under this paragraph for the entirety of a
proposed service territory due to the unique
characteristics of the proposed service
territory, the Secretary and the applicant may
agree to utilize substitute standards for any
unserved portion of the project. Any substitute
service standards should continue to consider
the best technology available to meet the needs
of the residents in the unserved area.
(f) Technological Neutrality.--For purposes of determining
whether to provide assistance for a project under this section,
the Secretary shall use criteria that are technologically
neutral.
(g) Terms and Conditions for Loans and Loan Guarantees.--
(1) In general.--Notwithstanding any other provision
of law, a loan or loan guarantee under this section
shall--
(A) bear interest at an annual rate of, as
determined by the Secretary--
(i) in the case of a direct loan, a
rate equivalent to--
(I) the cost of borrowing to
the Department of the Treasury
for obligations of comparable
maturity; or
(II) 4 percent; and
(ii) in the case of a guaranteed
loan, the current applicable market
rate for a loan of comparable maturity;
and
(B) have a term of such length, not exceeding
35 years, as the borrower may request, if the
Secretary determines that the loan is
adequately secured.
(2) Recurring revenue.--The Secretary shall consider
the existing recurring revenues of the entity at the
time of application in determining an adequate level of
credit support.
(h) Adequacy of Security.--
(1) In general.--The Secretary shall ensure that the
type and amount of, and method of security used to
secure, any loan or loan guarantee under this section
is commensurate to the risk involved with the loan or
loan guarantee, particularly in any case in which the
loan or loan guarantee is issued to a financially
strong and stable entity, as determined by the
Secretary.
(2) Determination of amount and method of security.--
In determining the amount of, and method of security
used to secure, a loan or loan guarantee under this
section, the Secretary shall consider reducing the
security in a rural area that does not have broadband
service.
(i) Payment Assistance for Certain Loan and Grant
Recipients.--
(1) Use of grant funds.--The Secretary may use the
funds appropriated for a grant under this title for the
cost (as defined by section 502 of the Congressional
Budget Act of 1974) of providing assistance under
paragraph (2).
(2) Payment assistance.--When providing a grant under
this title, the Secretary, at the sole discretion of
the Secretary, may make--
(A) a subsidized loan, which shall bear a
reduced interest rate at such a rate as the
Secretary determines appropriate to meet the
objectives of the program; or
(B) a payment assistance loan, which shall--
(i) require no interest and principal
payments while the borrower is--
(I) in material compliance
with the loan agreement; and
(II) meeting the milestones
and objectives of the project
agreed to under paragraph (3);
and
(ii) require such nominal periodic
payments as the Secretary determines to
be appropriate.
(3) Agreement on milestones and objectives.--With
respect to payment assistance provided under paragraph
(2), before entering into the agreement under which the
payment assistance will be provided, the applicant and
the Secretary shall agree to milestones and objectives
of the project.
(4) Amendment of milestones and objectives.--The
Secretary and the applicant may jointly agree to amend
the milestones and objectives agreed to under paragraph
(3).
(5) Considerations.--When deciding to utilize the
payment assistance authority under paragraph (2) the
Secretary shall consider whether or not the payment
assistance will--
(A) improve the compliance of the grantee
with any commitments made through the grant
agreement;
(B) promote the completion of the broadband
project;
(C) protect taxpayer resources; and
(D) support the integrity of the broadband
programs administered by the Secretary.
(6) Limitations on payment assistance.--The Secretary
may not make a payment assistance loan under paragraph
(2)(B) to an entity receiving a grant under this
section that is also the recipient of a loan under
title I or II that is associated with such grant.
[ (j) Funding.--
[(1) Authorization of appropriations.--There is
authorized to be appropriated to the Secretary to carry
out this section$350,000,000 for each of fiscal years
2019 through 2023, to remain available until expended.
[(2) Allocation of funds.--
[(A) In general.--From amounts made available
for each fiscal year under this subsection, the
Secretary shall--
[(i) establish a national reserve for
loans and loan guarantees to eligible
entities in States under this section;
and
[(ii) allocate amounts in the reserve
to each State for each fiscal year for
loans and loan guarantees to eligible
entities in the State.
[(B) Amount.--The amount of an allocation
made to a State for a fiscal year under
subparagraph (A) shall bear the same ratio to
the amount of allocations made for all States
for the fiscal year as--
[(i) the number of communities with a
population of 2,500 inhabitants or less
in the State; bears to
[(ii) the number of communities with
a population of 2,500 inhabitants or
less in all States.
[(C) Unobligated amounts.--Any amounts in the
reserve established for a State for a fiscal
year under subparagraph (B) that are not
obligated by April 1 of the fiscal year shall
be available to the Secretary to make loans and
loan guarantees under this section to eligible
entities in any State, as determined by the
Secretary.]
(j) Authorization of Appropriations.--There is authorized to
be appropriated to the Secretary to carry out this section
$4,500,000,000 for each of fiscal years 2022 through 2029, to
remain available for 5 fiscal years after the fiscal year for
which appropriated.
(k) Termination of Authority.--No grant, or loan, or loan
guarantee may be made under this section after September 30,
[2023] 2029.
SEC. 602. EXPANSION OF MIDDLE MILE INFRASTRUCTURE INTO RURAL AREAS.
(a) Purpose.--The purpose of this section is to encourage the
expansion and extension of middle mile broadband infrastructure
to connect underserved rural areas to the backbone of the
Internet.
(b) Middle Mile Infrastructure.--For the purposes of this
section, the term ``middle mile infrastructure'' means any
broadband infrastructure that does not connect directly to end-
user locations (including anchor institutions) and may include
interoffice transport, backhaul, Internet connectivity, data
centers, or special access transport to rural areas.
(c) Grants, Loans, and Loan Guarantees.--The Secretary shall
make grants, loans, and loan guarantees to eligible applicants
described in subsection (d) to provide funds for the
construction, improvement, or acquisition of middle mile
infrastructure to serve rural areas.
(d) Eligibility.--
(1) Eligible applicants.--
(A) In general.--To be eligible to obtain
assistance under this section, an eligible
entity shall--
(i) submit to the Secretary an
application at such time, in such
manner, and containing such information
as the Secretary may require;
(ii) agree to complete build-out of
the middle mile infrastructure
described in the application by not
later than 5 years after the initial
date on which proceeds from the
assistance provided under this section
are made available; and
(iii) submit to the Secretary a plan
to ensure the viability of the project
by--
(I) connecting, assisting
with connecting, or enabling
the connection of retail
broadband systems that serve
rural areas within the proposed
service territory to the middle
mile infrastructure project in
an affordable and economically
competitive manner;
(II) leasing or selling
sufficient capacity prior to
project approval; and
(III) complying with any
other requirements imposed by
the Secretary.
(B) Additional end user broadband programs.--
Entities that receive assistance to construct,
improve, or acquire middle mile infrastructure
under this section shall be eligible to apply
for additional funds under this title to
provide for retail broadband service to end
users.
(2) Eligible service territories.--The proceeds of
assistance provided under this section may be used to
carry out a project in a proposed service territory
only if, as of the date the application for assistance
under this section is submitted, there is not adequate
middle mile infrastructure available to support
broadband service for eligible rural communities that
would be provided access to the middle mile
infrastructure.
(3) Eligible projects.--A project shall be eligible
for assistance under this section if at the time of the
application--
(A) at least 75 percent of the
interconnection points serve such eligible
rural areas; and
(B) the Secretary determines that the
proposed middle mile network will be capable of
supporting retail broadband service meeting the
maximum broadband buildout requirement
established under section 601(e)(4) for the
residents within the proposed service
territory.
(e) Limitation on Grants.--In making grants under this
section, the Secretary shall--
(1) not provide any grant in excess of 20 percent of
the total project cost; and
(2) provide grants only to those projects which serve
rural areas where population density or geographic
characteristics make it infeasible to construct middle
mile broadband systems without grant assistance.
(f) Terms, Conditions, and Adequacy of Security.--All loans
and loan guarantees provided under this section shall be made
subject to such terms, conditions, and adequacy of security
requirements as may be imposed by the Secretary. If the middle
mile infrastructure would not provide adequate security due to
long-term leasing arrangements, the Secretary shall require
substitute security in such form and substance as are
acceptable to the Secretary.
(g) Authorization of Appropriations.--There is authorized to
be appropriated to carry out this section [$10,000,000 for each
of fiscal years 2018 through 2023] $300,000,000 for each of
fiscal years 2022 through 2029, to remain available for 2
fiscal years after the fiscal year for which appropriated.
SEC. 603. INNOVATIVE BROADBAND ADVANCEMENT PROGRAM.
(a) In General.--The Secretary shall establish a program to
be known as the ``Innovative Broadband Advancement Program'',
under which the Secretary may provide a grant, a loan, or both
to an eligible entity for the purpose of demonstrating
innovative broadband technologies or methods of broadband
deployment that significantly decrease the cost of broadband
deployment, and provide substantially faster broadband speeds
than are available, in a rural area.
(b) Rural Area.--In this section, the term ``rural area'' has
the meaning provided in section 601(b)(3).
(c) Eligibility.--To be eligible to obtain assistance under
this section for a project, an entity shall--
(1) submit to the Secretary an application--
(A) that describes a project designed to
decrease the cost of broadband deployment, and
substantially increase broadband speed to not
less than the maximum broadband buildout
requirements established under section
601(e)(4), in a rural area to be served by the
project; and
(B) at such time, in such manner, and
containing such other information as the
Secretary may require;
(2) demonstrate that the entity is able to carry out
the project; and
(3) agree to complete the project build-out within 5
years after the date the assistance is first provided
for the project.
(d) Prioritization.--In awarding assistance under this
section, the Secretary shall give priority to proposals for
projects that--
(1) involve partnerships between or among multiple
entities;
(2) would provide broadband service to the greatest
number of rural entities at or above the broadband
requirements referred to in subsection (c)(1)(A); and
(3) the Secretary determines could be replicated in
rural areas described in paragraph (2).
[(e) Authorization of Appropriations.--There is authorized to
be appropriated to carry out this section $10,000,000 for each
of fiscal years 2019 through 2023.]
(e) Authorization of Appropriations.--
(1) In general.--There is authorized to be
appropriated to the Secretary $300,000,000 for each of
fiscal years 2022 through 2029, to remain available
until expended, to carry out projects in States and
territories selected by the Secretary to be diverse on
the basis of geography, topography, and demographics.
(2) Limitation.--Not more than $25,000,000 of the
amounts made available under paragraph (1) for each
fiscal year may be provided for a single project.
SEC. 604. COMMUNITY CONNECT GRANT PROGRAM.
(a) Definitions.--In this section:
(1) Eligible broadband service.--The term ``eligible
broadband service'' means broadband service that has
the capability to transmit data at a speed specified by
the Secretary, which may not be less than the
applicable minimum download and upload speeds
established by the Federal Communications Commission in
defining the term ``advanced telecommunications
capability'' for purposes of section 706 of the
Telecommunications Act of 1996 (47 U.S.C. 1302).
(2) Eligible service area.--The term ``eligible
service area'' means an area in which broadband service
capacity is less than--
(A) a 10-Mbps downstream transmission
capacity; and
(B) a 1-Mbps upstream transmission capacity.
(3) Eligible entity.--
(A) In general.--The term ``eligible entity''
means a legally organized entity that--
(i) is--
(I) an incorporated
organization;
(II) an Indian Tribe or
Tribal organization;
(III) a State;
(IV) a unit of local
government; or
(V) any other legal entity,
including a cooperative, a
private corporation, or a
limited liability company, that
is organized on a for-profit or
a not-for-profit basis; and
(ii) has the legal capacity and
authority to enter into a contract, to
comply with applicable Federal laws,
and to own and operate broadband
facilities, as proposed in the
application submitted by the entity for
a grant under the Program.
(B) Exclusions.--The term ``eligible entity''
does not include--
(i) an individual; or
(ii) a partnership.
(4) Rural area.--The term ``rural area'' has the
meaning given the term in section 601(b)(3)(A).
(b) Establishment.--The Secretary shall establish a program,
to be known as the ``Community Connect Grant Program'', to
provide grants to eligible entities to finance broadband
transmission in rural areas.
(c) Eligible Projects.--An eligible entity that receives a
grant under the Program shall use the grant to carry out a
project that--
(1) provides eligible broadband service to, within
the proposed eligible service area described in the
application submitted by the eligible entity--
(A) each essential community facility as
defined pursuant to section 306(a) of the
Consolidated Farm and Rural Development Act (7
U.S.C. 1926(a)); and
(B) any required facilities necessary to
offer that eligible broadband service to each
residential and business customer within such
proposed eligible service area; and
(2) for not less than 2 years--
(A) furnishes free eligible broadband service
to a community center described in subsection
(d)(1)(B);
(B) provides not fewer than 2 computer access
points for that free eligible broadband
service; and
(C) covers the cost of bandwidth to provide
free eligible broadband service to each
essential community facility that requests
broadband services within the proposed eligible
service area described in the application
submitted by the eligible entity.
(d) Uses of Grant Funds.--
(1) In general.--An eligible entity that receives a
grant under the Program may use the grant for--
(A) the construction, acquisition, or leasing
of facilities (including spectrum), land, or
buildings to deploy eligible broadband service;
and
(B) the improvement, expansion, construction,
or acquisition of a community center within the
proposed eligible service area described in the
application submitted by the eligible entity.
(2) Ineligible uses.--An eligible entity that
receives a grant under the Program shall not use the
grant for--
(A) the duplication of any existing eligible
broadband service provided by another entity in
the eligible service area; or
(B) operating expenses, except as provided
in--
(i) subsection (c)(2)(C) with respect
to free eligible broadband service; and
(ii) paragraph (1)(A) with respect to
spectrum.
(3) Free access for community centers.--Of the
amounts provided to an eligible entity under a grant
under the Program, the eligible entity shall use to
carry out paragraph (1)(B) not greater than the lesser
of--
(A) 10 percent; and
(B) $150,000.
(e) Matching Funds.--
(1) In general.--An eligible entity that receives a
grant under the Program shall provide a cash
contribution in an amount that is not less than 15
percent of the amount of the grant.
(2) Requirements.--A cash contribution described in
paragraph (1)--
(A) shall be used solely for the project for
which the eligible entity receives a grant
under the Program; and
(B) shall not include any Federal funds,
unless a Federal statute specifically provides
that those Federal funds may be considered to
be from a non-Federal source.
(f) Applications.--
(1) In general.--To be eligible to receive a grant
under the Program, an eligible entity shall submit to
the Secretary an application at such time, in such
manner, and containing such information as the
Secretary may require.
(2) Requirement.--An application submitted by an
eligible entity under paragraph (1) shall include
documentation sufficient to demonstrate the
availability of funds to satisfy the requirement of
subsection (e).
(g) Authorization of Appropriations.--There is authorized to
be appropriated to carry out this section [$50,000,000 for each
of fiscal years 2019 through 2023] $150,000,000 for each of
fiscal years 2022 through 2029, to remain available for 2
fiscal years after the fiscal year for which appropriated.
* * * * * * *
TITLE VII--GENERAL AND ADMINISTRATIVE PROVISIONS
SEC. 701. PUBLIC NOTICE, ASSESSMENTS, AND REPORTING REQUIREMENTS.
(a) Notice Requirements.--The Secretary shall promptly make
available to the public, a fully searchable database on the
website of the Rural Utilities Service that contains
information on all retail broadband projects provided
assistance or for which assistance is sought that are
administered by the Secretary, including, at a minimum--
(1) notice of each application for assistance
describing the application, including--
(A) the identity of the applicant;
(B) a description of each application,
including--
(i) a map of the proposed service
area of the applicant; and
(ii) the amount and type of support
requested by each applicant;
(C) the status of each application; and
(D) the estimated number and proportion of
service points in the proposed service
territory without fixed broadband service,
whether terrestrial or wireless;
(2) notice of each entity receiving assistance
administered by the Secretary, including--
(A) the name of the entity;
(B) the type of assistance being received;
(C) the purpose for which the entity is
receiving the assistance; and
(D) each annual report submitted under
subsection (c) (redacted to protect any
proprietary information in the report); and
(3) such other information as is sufficient to allow
the public to understand assistance provided.
(b) Service Area Assessment.--
(1) In general.--The Secretary shall, with respect to
a retail broadband application for assistance, which is
outside an area in which the applicant receives Federal
universal service support--
(A) after giving notice required by
subsection (a)(1), afford service providers not
less than 45 days to voluntarily submit
information required by the Secretary onto the
agency's online mapping tool with respect to
areas that are coterminous with the proposed
service area of the application (or any parts
thereof), such that the Secretary may assess
whether the application submitted meets the
eligibility requirements under this title; and
(B) if no broadband service provider submits
information under paragraph (1), consider the
number of providers in the proposed service
area to be established by using any other data
regarding the availability of broadband service
that the Secretary may collect or obtain
through reasonable efforts.
(2) Assessment of unserved communities.--In the case
of an application given the highest priority under
section 601(c)(2)(A)(i), the Secretary shall confirm
that each unserved rural community identified in the
application is eligible for funding by--
(A) conferring with, and obtaining data from,
the Chair of the Federal Communications
Commission and the Administrator of the
National Telecommunications and Information
Administration with respect to the service
level in the service area proposed in the
application;
(B) reviewing any other source that is
relevant to service data validation, as
determined by the Secretary; and
(C) performing site-specific testing to
verify the unavailability of any retail
broadband service.
(3) FOIA exemption.--For purposes of section 552 of
title 5, United States Code, information received by
the Secretary pursuant to paragraph (1)(A) of this
subsection shall be exempt from disclosure pursuant to
subsection (b)(2)(B) of such section 552.
(c) Reporting Broadband Improvements to USDA.--
(1) In general.--The Secretary shall require any
entity receiving assistance for a project which
provides retail broadband service to submit an annual
report for 3 years after completion of the project, in
a format specified by the Secretary, that describes--
(A) the use by the entity of the assistance,
including new equipment and capacity
enhancements that support high-speed broadband
access for educational institutions, health
care providers, and public safety service
providers (including the estimated number of
end users who are currently using or forecasted
to use the new or upgraded infrastructure); and
(B) the progress towards fulfilling the
objectives for which the assistance was
granted, including--
(i) the number of service points that
will receive new broadband service,
existing network service improvements,
and facility upgrades resulting from
the Federal assistance;
(ii) the speed of broadband service;
(iii) the average price of the most
subscribed tier of broadband service in
a proposed service area;
(iv) new subscribers generated from
the project; and
(v) any metrics the Secretary
determines to be appropriate.
(2) Additional reporting.--
(A) Broadband buildout data.--As a condition
of receiving assistance under section 601, a
recipient of assistance shall provide to the
Secretary complete, reliable, and precise
geolocation information that indicates the
location of new broadband service that is being
provided or upgraded within the service
territory supported by the grant, loan, or loan
guarantee not later than 30 days after the
earlier of--
(i) the date of completion of any
project milestone established by the
Secretary; or
(ii) the date of completion of the
project.
(B) Reporting for middle mile projects.--The
Secretary shall require any entity receiving
assistance under section 602 to submit a
semiannual report for 5 years after completion
of the project, in a format specified by the
Secretary, that describes--
(i) the use by the entity of the
assistance to construct, improve, or
acquire middle mile infrastructure;
(ii) the progress towards meeting the
end-user connection plan submitted
under section 602(d)(1)(A)(iii); and
(iii) any additional metrics the
Secretary determines to be appropriate.
(C) Additional reporting.--The Secretary may
require any additional reporting and
information by any recipient of any broadband
assistance under this act so as to ensure
compliance with this section.
(d) Annual Report on Broadband Projects and Service to
Congress.--Each year, the Secretary shall submit to the
Congress a report that describes the extent of participation in
the broadband assistance programs administered by the Secretary
for the preceding fiscal year, including a description of--
(1) the number of applications received and accepted,
including any special loan terms or conditions for
which the Secretary provided additional assistance to
unserved areas;
(2)(A) the communities proposed to be served in each
application submitted for the fiscal year; and
(B) the communities served by projects funded by
broadband assistance programs;
(3) the period of time required to approve each loan
application under broadband programs;
(4) any outreach activities carried out by the
Secretary to encourage entities in rural areas without
broadband service to submit applications under this
Act;
(5) the method by which the Secretary determines that
a service enables a subscriber to originate and receive
high-quality voice, data, graphics, and video for
purposes of providing broadband service under this Act;
(6) each broadband service, including the type and
speed of broadband service, for which assistance was
sought, and each broadband service for which assistance
was provided, under this Act; and
(7) the overall progress towards fulfilling the goal
of improving the quality of rural life by expanding
rural broadband access, as demonstrated by metrics,
including--
(A) the number of residences and businesses
receiving new broadband services;
(B) network improvements, including facility
upgrades and equipment purchases;
(C) average broadband speeds and prices on a
local and statewide basis;
(D) any changes in broadband adoption rates;
and
(E) any specific activities that increased
high speed broadband access for educational
institutions, health care providers, and public
safety service providers.
[(e) Limitations on Reservation of Funds.--Not less than 3
but not more than 5 percent of program level amounts available
pursuant to amounts appropriated to carry out title VI shall be
set aside to be used for--
[(1) conducting oversight under such title;
[(2) implementing accountability measures and related
activities authorized under such title; and
[(3) carrying out this section.]
(e) Community Broadband Mapping Program.--
(1) In general.--The Secretary may make grants to
eligible entities for the purpose of collecting
broadband service data to assist the Secretary in--
(A) establishing the availability of
broadband service or middle mile infrastructure
in a rural area;
(B) determining the eligibility of a
community for assistance under any broadband
program administered by the Secretary; or
(C) undertaking a service area assessment
under this section.
(2) Application.--To apply for a grant under this
section, an entity shall submit an application therefor
which identifies--
(A) the data collection area;
(B) the purpose of the data collection;
(C) the types of broadband service data to be
collected;
(D) the survey and data collection methods to
be utilized; and
(E) any other information the Secretary
determines necessary to promote the integrity
of broadband service data collected under this
section.
(3) Limitation on grant amount.--The amount of a
grant made under this subsection shall not exceed
$50,000.
(4) Broadband service data usage.--The Secretary
shall ensure that any broadband service data collected
under this section is--
(A) measured or assessed in accordance with
such standards as the Secretary may establish;
(B) accurate and verifiable in accordance
with such standards as the Secretary may
establish;
(C) included in any broadband maps or data
sets maintained by the Secretary; and
(D) made available to the Chair of the
Federal Communications Commission and the
Administrator of the National
Telecommunications and Information
Administration for inclusion in any broadband
maps or data sets either may maintain.
(5) Definitions.--In this subsection:
(A) Broadband service.--The term ``broadband
service'' has the meaning given the term in
section 601.
(B) Broadband service data.--
(i) In general.--The term ``broadband
service data'' means information
related to--
(I) the location and type of
broadband service;
(II) the location and type of
broadband infrastructure;
(III) the advertised,
maximum, and average speed of
broadband service;
(IV) the average price of the
most subscribed tier of
broadband service;
(V) the speed tiers of
broadband service available in
the area; or
(VI) any additional metric
the Secretary deems
appropriate.
(ii) Further definition.--The
Secretary shall further define the term
``broadband service data'' to ensure
that data is measured and collected in
a manner consistent with the reporting
requirements under this section, and
any broadband coordination or data-
sharing obligations.
(C) Eligible entity.--The term ``eligible
entity'' means--
(i) a unit of local government in a
rural area;
(ii) a tribal government or unit of
tribal government;
(iii) an economic development or
other community organization;
(iv) an eligible entity under title I
or II that serves persons in rural
areas;
(v) an internet service provider that
has not more than 100,000 subscribers;
or
(vi) any other entity eligible under
a title VI program that is not an
internet service provider.
(D) Middle mile infrastructure.--The term
``middle mile infrastructure'' has the meaning
given the term in section 602.
(E) Rural area.--The term ``rural area'' has
the meaning given the term in section 601.
(6) Limitation on amount made available for grants.--
The Secretary may not expend more than 1 percent of the
amounts made available under subsection (f) for each of
fiscal years 2022 through 2029 to carry out this
subsection.
(f) Limitations on Reservation of Funds.--Not less than 3 but
not more than 7 percent of the amounts appropriated to carry
out title VI shall be set aside to be used--
(1) for administrative costs to carry out programs
under title VI;
(2) for technical assistance and pre-development
planning activities to support the most rural
communities;
(3) to conduct oversight under title VI;
(4) to implement accountability measures and related
activities authorized under title VI; and
(5) to carry out this section.
* * * * * * *
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FOOD, AGRICULTURE, CONSERVATION, AND TRADE ACT OF 1990
* * * * * * *
TITLE XXIII--RURAL DEVELOPMENT
* * * * * * *
Subtitle D--Enhancing Human Resources
CHAPTER 1--TELEMEDICINE AND DISTANCE LEARNING SERVICES IN RURAL AREAS
* * * * * * *
SEC. 2335A. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to carry out this
chapter [$82,000,000 for each of fiscal years 2019 through
2023] $150,000,000 for each of fiscal years 2022 through 2029,
to remain available for 2 fiscal years after the fiscal year
for which appropriated.
* * * * * * *
ADDITIONAL VIEWS
I am proud to support H.R. 4374, which invests $4.5 billion
annually to the new ReConnect Rural Broadband Program that will
allow USDA Rural Development to serve as a leader in the effort
to close the digital divide that disadvantages much of rural
America. However, 1890 institutions must not be left out of the
conversation.
On June 16, 2021, during the Full Ag Committee Hearing on
1890 Land Grant Institutions: Investing for Agriculture
Resiliency, Equity, and Global Impact Presidents of 1890
institutions drew attention to the non-existent or absence of
reliable internet service in rural areas. Likewise, many of the
farms owned or partnered with these institutions continue to
have little to no access to high-speed internet.
These institutions provide essential research and training
in the agriculture field. 1890 institutions ensure the success
and prosperity of our small farmers and ranchers who continue
to keep our food supply chain safe and help address climate
change and the needs of underrepresented communities.
It is essential that Congress ensure that any investments
in broadband infrastructure prioritize 1890 institutions who
serve in a critical role--training the next generation of
American farmers and ranchers.
Alma S. Adams.
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