[House Report 119-78]
[From the U.S. Government Publishing Office]
119th Congress } { REPORT
HOUSE OF REPRESENTATIVES
1st Session } { 119-78
======================================================================
RURAL BROADBAND PROTECTION ACT OF 2025
_______
April 24, 2025.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Guthrie, from the Committee on Energy and Commerce, submitted the
following
R E P O R T
[To accompany H.R. 2399]
The Committee on Energy and Commerce, to whom was referred
the bill (H.R. 2399) to require the Federal Communications
Commission to establish a vetting process for prospective
applicants for high-cost universal service program funding,
having considered the same, reports favorably thereon without
amendment and recommends that the bill do pass.
CONTENTS
Page
Purpose and Summary.............................................. 1
Background and Need for Legislation.............................. 2
Committee Action................................................. 2
Committee Votes.................................................. 2
Oversight Findings and Recommendations........................... 4
New Budget Authority, Entitlement Authority, and Tax Expenditures 4
Congressional Budget Office Estimate............................. 4
Federal Mandates Statement....................................... 4
Statement of General Performance Goals and Objectives............ 4
Duplication of Federal Programs.................................. 4
Related Committee and Subcommittee Hearings...................... 4
Committee Cost Estimate.......................................... 5
Earmark, Limited Tax Benefits, and Limited Tariff Benefits....... 5
Advisory Committee Statement..................................... 5
Applicability to Legislative Branch.............................. 5
Section-by-Section Analysis of the Legislation................... 5
Changes in Existing Law Made by the Bill, as Reported............ 6
Purpose and Summary
H.R. 2399, the Rural Broadband Protection Act of 2025, was
introduced by Representatives Erin Houchin (R-IN) and Robin L.
Kelly (D-IL) on March 27, 2025. It would require the Federal
Communications Commission (FCC) to develop a vetting process
for applicants seeking funding for the deploymentof broadband
networks under the Universal Service Fund's (USF) high-cost
programs.
Background and Need for Legislation
In 2020, the FCC completed the Rural Digital Opportunity
Fund (RDOF) Phase I auction. This program, part of the USF's
High-Cost Fund, awarded $9.8 billion over ten years to support
180 winning bidders deploy broadband to over 5.2 million
unserved homes and businesses.\1\
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\1\Federal Communications Commission, Successful Rural Digital
Opportunity Fund Auction to Expand Broadband to Over 10 Million Rural
Americans, FCC News (Dec. 7, 2020), https://docs.fcc.gov/public/
attachments/doc-368588a1.pdf.
---------------------------------------------------------------------------
RDOF required bidders to submit two applications: a short-
form application before the auction to collect the provider's
certifications and basic information on its qualifications, and
a long-form application after the auction to assess whether the
winner is legally, technically and financially qualified to
receive support.\2\
---------------------------------------------------------------------------
\2\https://docs.fcc.gov/public/attachments/FCC-20-5A1.pdf.
---------------------------------------------------------------------------
At that time, the FCC did not approve long-form
applications from 73 winning bidders. These providers, which
included two of the auction's biggest winners, collectively won
approximately $3.1 billion in ten-year support. The defaults\3\
left 1.7 million homes and businesses unserved,\4\ as RDOF did
not include a process for another applicant to win support for
these locations. A stronger pre-award vetting process could
have ensured that auction bidders had the ability to provide
the services they claimed, preventing these defaults.
---------------------------------------------------------------------------
\3\Locations where the provider could not meet its commitment are
considered ``defaulted.''
\4\Federal Communications Commission, RDOF Pre-Authorization
Default Summary as of December 20, 2023, (Dec. 20, 2023), https://
www.fcc.gov/files/rdof-pre-authorization-default-
summary-december-202023.
---------------------------------------------------------------------------
Committee Action
On March 5, 2025, the Subcommittee on Communications and
Technology held a hearing entitled, ``Fixing Biden's Broadband
Blunder.'' The Subcommittee received testimony from:
Grant Spellmeyer, President and CEO, ACA
Connects;
Tim Donovan, President and CEO, Competitive
Carriers Association;
Greg Hale, CEO, LTC Connect; and
Sarah Morris, Former Acting Deputy
Administrator, National Telecommunications and
Information Administration.
On April 8, 2025, the full Committee on Energy and Commerce
met in open markup session and ordered H.R. 2399, as amended,
favorably reported to the House by a record vote of 51 yeas and
1 nay.
Committee Votes
Clause 3(b) of rule XIII requires the Committee to list the
record votes on the motion to report legislation and amendments
thereto. The following reflects the record votes taken during
the Committee consideration:
Oversight Findings and Recommendations
Pursuant to clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII, the Committee held a hearing and made findings that
are reflected in this report.
New Budget Authority, Entitlement Authority,
and Tax Expenditures
Pursuant to clause 3(c)(2) of rule XIII, the Committee
finds that H.R. 2399 would result in no new or increased budget
authority, entitlement authority, or tax expenditures or
revenues.
Congressional Budget Office Estimate
Pursuant to clause 3(c)(3) of rule XIII, at the time this
report was filed, the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974 was not available.
Federal Mandates Statement
The Committee adopts as its own the estimate of Federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act.
Statement of General Performance Goals and Objectives
Pursuant to clause 3(c)(4) of rule XIII, the general
performance goal or objective of this legislation is to direct
the FCC to develop a vetting process for applicants seeking
funding for the deploymentof broadband networks under the USF's
high-cost programs.
Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII, no provision of
H.R. 2399 is known to be duplicative of another Federal
program, including any program that was included in a report to
Congress pursuant to section 21 of Public Law 111-139 or the
most recent Catalog of Federal Domestic Assistance.
Related Committee and Subcommittee Hearings
Pursuant to clause 3(c)(6) of rule XIII, the following
hearing was used to develop or consider H.R. 2399:
On March 5, 2025, the Subcommittee on
Communications and Technology held a hearing entitled,
``Fixing Biden's Broadband Blunder.'' The Subcommittee
received testimony from:
Grant Spellmeyer, President and
CEO, ACA Connects;
Tim Donovan, President and CEO,
Competitive Carriers Association;
Greg Hale, CEO, LTC Connect; and
Sarah Morris, Former Acting Deputy
Administrator, National Telecommunications and
Information Administration.
Committee Cost Estimate
Pursuant to clause 3(d)(1) of rule XIII, the Committee
adopts as its own the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974. At the time this report was
filed, the estimate was not available.
Earmark, Limited Tax Benefits, and Limited Tariff Benefits
Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the
Committee finds that H.R. 2399 contains no earmarks, limited
tax benefits, or limited tariff benefits.
Advisory Committee Statement
No advisory committees within the meaning of Section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
Applicability to 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.
Section-by-Section Analysis of the Legislation
Section 1. Short title
This section would designate that the Act may be cited as
the ``Rural Broadband Protection Act of 2025.''
Section 2. Vetting process for prospective high-cost Universal Service
Fund applicants
This section would amend Section 254 of the Communications
Act of 1934 to insert a new subsection (m).
Subsection (m)(1) would define terms used in the
subsection.
Subsection (m)(2) would require the FCC to initiate a
rulemaking proceeding to establish a vetting process for
applicants for, and other recipients of, a new funding award
under the USF's high-cost programs.
Subsection (m)(3) would establish the contents of the
rulemaking required under subsection (m)(2). The rules would
direct the FCC to only award funding to applicants that can
demonstrate that they are qualified. To determine whether an
applicant is qualified, the FCC would require applicants to
document their technical, financial, and operational
capabilities related to the proposed deployment, as well as a
reasonable business plan. The FCC would evaluate applications
against reasonable and well-established technical, financial,
and operational standards and must consider each applicant's
history of compliance with the requirements of other government
broadband funding programs. The FCC would also be directed to
set a penalty for pre-authorization defaults of awards of at
least $9,000 per violation and may not limit the base
forfeiture to an amount less than 30 percent of the applicant's
total support, unless the Commission demonstrates the need for
lower penalties in a particular instance.
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 (new matter is
printed in italics and existing law in which no change is
proposed is shown in roman):
COMMUNICATIONS ACT OF 1934
* * * * * * *
TITLE II--COMMON CARRIERS
* * * * * * *
PART II--DEVELOPMENT OF COMPETITIVE MARKETS
* * * * * * *
SEC. 254. UNIVERSAL SERVICE.
(a) Procedures to Review Universal Service Requirements.--
(1) Federal-state joint board on universal service.--
Within one month after the date of enactment of the
Telecommunications Act of 1996, the Commission shall
institute and refer to a Federal-State Joint Board
under section 410(c) a proceeding to recommend changes
to any of its regulations in order to implement
sections 214(e) and this section, including the
definition of the services that are supported by
Federal universal service support mechanisms and a
specific timetable for completion of such
recommendations. In addition to the members of the
Joint Board required under section 410(c), one member
of such Joint Board shall be a State-appointed utility
consumer advocate nominated by a national organization
of State utility consumer advocates. The Joint Board
shall, after notice and opportunity for public comment,
make its recommendations to the Commission 9 months
after the date of enactment of the Telecommunications
Act of 1996.
(2) Commission action.--The Commission shall initiate
a single proceeding to implement the recommendations
from the Joint Board required by paragraph (1) and
shall complete such proceeding within 15 months after
the date of enactment of the Telecommunications Act of
1996. The rules established by such proceeding shall
include a definition of the services that are supported
by Federal universal service support mechanisms and a
specific timetable for implementation. Thereafter, the
Commission shall complete any proceeding to implement
subsequent recommendations from any Joint Board on
universal service within one year after receiving such
recommendations.
(b) Universal Service Principles.--The Joint Board and the
Commission shall base policies for the preservation and
advancement of universal service on the following principles:
(1) Quality and rates.--Quality services should be
available at just, reasonable, and affordable rates.
(2) Access to advanced services.--Access to advanced
telecommunications and information services should be
provided in all regions of the Nation.
(3) Access in rural and high cost areas.--Consumers
in all regions of the Nation, including low-income
consumers and those in rural, insular, and high cost
areas, should have access to telecommunications and
information services, including interexchange services
and advanced telecommunications and information
services, that are reasonably comparable to those
services provided in urban areas and that are available
at rates that are reasonably comparable to rates
charged for similar services in urban areas.
(4) Equitable and nondiscriminatory contributions.--
All providers of telecommunications services should
make an equitable and nondiscriminatory contribution to
the preservation and advancement of universal service.
(5) Specific and predictable support mechanisms.--
There should be specific, predictable and sufficient
Federal and State mechanisms to preserve and advance
universal service.
(6) Access to advanced telecommunications services
for schools, health care, and libraries.--Elementary
and secondary schools and classrooms, health care
providers, and libraries should have access to advanced
telecommunications services as described in subsection
(h).
(7) Additional principles.--Such other principles as
the Joint Board and the Commission determine are
necessary and appropriate for the protection of the
public interest, convenience, and necessity and are
consistent with this Act.
(c) Definition.--
(1) In general.--Universal service is an evolving
level of telecommunications services that the
Commission shall establish periodically under this
section, taking into account advances in
telecommunications and information technologies and
services. The Joint Board in recommending, and the
Commission in establishing, the definition of the
services that are supported by Federal universal
service support mechanisms shall consider the extent to
which such telecommunications services--
(A) are essential to education, public
health, or public safety;
(B) have, through the operation of market
choices by customers, been subscribed to by a
substantial majority of residential customers;
(C) are being deployed in public
telecommunications networks by
telecommunications carriers; and
(D) are consistent with the public interest,
convenience, and necessity.
(2) Alterations and modifications.--The Joint Board
may, from time to time, recommend to the Commission
modifications in the definition of the services that
are supported by Federal universal service support
mechanisms.
(3) Special services.--In addition to the services
included in the definition of universal service under
paragraph (1), the Commission may designate additional
services for such support mechanisms for schools,
libraries, and health care providers for the purposes
of subsection (h).
(d) Telecommunications Carrier Contribution.--Every
telecommunications carrier that provides interstate
telecommunications services shall contribute, on an equitable
and nondiscriminatory basis, to the specific, predictable, and
sufficient mechanisms established by the Commission to preserve
and advance universal service. The Commission may exempt a
carrier or class of carriers from this requirement if the
carrier's telecommunications activities are limited to such an
extent that the level of such carrier's contribution to the
preservation and advancement of universal service would be de
minimis. Any other provider of interstate telecommunications
may be required to contribute to the preservation and
advancement of universal service if the public interest so
requires.
(e) Universal Service Support.--After the date on which
Commission regulations implementing this section take effect,
only an eligible telecommunications carrier designated under
section 214(e) shall be eligible to receive specific Federal
universal service support. A carrier that receives such support
shall use that support only for the provision, maintenance, and
upgrading of facilities and services for which the support is
intended. Any such support should be explicit and sufficient to
achieve the purposes of this section.
(f) State Authority.--A State may adopt regulations not
inconsistent with the Commission's rules to preserve and
advance universal service. Every telecommunications carrier
that provides intrastate telecommunications services shall
contribute, on an equitable and nondiscriminatory basis, in a
manner determined by the State to the preservation and
advancement of universal service in that State. A State may
adopt regulations to provide for additional definitions and
standards to preserve and advance universal service within that
State only to the extent that such regulations adopt additional
specific, predictable, and sufficient mechanisms to support
such definitions or standards that do not rely on or burden
Federal universal service support mechanisms.
(g) Interexchange and Interstate Services.--Within 6 months
after the date of enactment of the Telecommunications Act of
1996, the Commission shall adopt rules to require that the
rates charged by providers of interexchange telecommunications
services to subscribers in rural and high cost areas shall be
no higher than the rates charged by each such provider to its
subscribers in urban areas. Such rules shall also require that
a provider of interstate interexchange telecommunications
services shall provide such services to its subscribers in each
State at rates no higher than the rates charged to its
subscribers in any other State.
(h) Telecommunications Services for Certain Providers.--
(1) In general.--
(A) Health care providers for rural areas.--A
telecommunications carrier shall, upon
receiving a bona fide request, provide
telecommunications services which are necessary
for the provision of health care services in a
State, including instruction relating to such
services, to any public or nonprofit health
care provider that serves persons who reside in
rural areas in that State at rates that are
reasonably comparable to rates charged for
similar services in urban areas in that State.
A telecommunications carrier providing service
under this paragraph shall be entitled to have
an amount equal to the difference, if any,
between the rates for services provided to
health care providers for rural areas in a
State and the rates for similar services
provided to other customers in comparable rural
areas in that State treated as a service
obligation as a part of its obligation to
participate in the mechanisms to preserve and
advance universal service.
(B) Educational providers and libraries.--All
telecommunications carriers serving a
geographic area shall, upon a bona fide request
for any of its services that are within the
definition of universal service under
subsection (c)(3), provide such services to
elementary schools, secondary schools, and
libraries for educational purposes at rates
less than the amounts charged for similar
services to other parties. The discount shall
be an amount that the Commission, with respect
to interstate services, and the States, with
respect to intrastate services, determine is
appropriate and necessary to ensure affordable
access to and use of such services by such
entities. A telecommunications carrier
providing service under this paragraph shall--
(i) have an amount equal to the
amount of the discount treated as an
offset to its obligation to contribute
to the mechanisms to preserve and
advance universal service, or
(ii) notwithstanding the provisions
of subsection (e) of this section,
receive reimbursement utilizing the
support mechanisms to preserve and
advance universal service.
(2) Advanced services.--The Commission shall
establish competitively neutral rules--
(A) to enhance, to the extent technically
feasible and economically reasonable, access to
advanced telecommunications and information
services for all public and nonprofit
elementary and secondary school classrooms,
health care providers, and libraries; and
(B) to define the circumstances under which a
telecommunications carrier may be required to
connect its network to such public
institutional telecommunications users.
(3) Terms and conditions.--Telecommunications
services and network capacity provided to a public
institutional telecommunications user under this
subsection may not be sold, resold, or otherwise
transferred by such user in consideration for money or
any other thing of value.
(4) Eligibility of users.--No entity listed in this
subsection shall be entitled to preferential rates or
treatment as required by this subsection, if such
entity operates as a for-profit business, is a school
described in paragraph (7)(A) with an endowment of more
than $50,000,000, or is a library or library consortium
not eligible for assistance from a State library
administrative agency under the Library Services and
Technology Act.
(5) Requirements for certain schools with computers
having internet access.--
(A) Internet safety.--
(i) In general.--Except as provided
in clause (ii), an elementary or
secondary school having computers with
Internet access may not receive
services at discount rates under
paragraph (1)(B) unless the school,
school board, local educational agency,
or other authority with responsibility
for administration of the school--
(I) submits to the Commission
the certifications described in
subparagraphs (B) and (C);
(II) submits to the
Commission a certification that
an Internet safety policy has
been adopted and implemented
for the school under subsection
(l); and
(III) ensures the use of such
computers in accordance with
the certifications.
(ii) Applicability.--The prohibition
in clause (i) shall not apply with
respect to a school that receives
services at discount rates under
paragraph (1)(B) only for purposes
other than the provision of Internet
access, Internet service, or internal
connections.
(iii) Public notice; hearing.--An
elementary or secondary school
described in clause (i), or the school
board, local educational agency, or
other authority with responsibility for
administration of the school, shall
provide reasonable public notice and
hold at least one public hearing or
meeting to address the proposed
Internet safety policy. In the case of
an elementary or secondary school other
than an elementary school or a
secondary school as defined in section
8101 of the Elementary and Secondary
Education Act of 1965, the notice and
hearing required by this clause may be
limited to those members of the public
with a relationship to the school.
(B) Certification with respect to minors.--A
certification under this subparagraph is a
certification that the school, school board,
local educational agency, or other authority
with responsibility for administration of the
school--
(i) is enforcing a policy of Internet
safety for minors that includes
monitoring the online activities of
minors and the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene;
(II) child pornography; or
(III) harmful to minors;
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers by
minors; and
(iii) as part of its Internet safety
policy is educating minors about
appropriate online behavior, including
interacting with other individuals on
social networking websites and in chat
rooms and cyberbullying awareness and
response.
(C) Certification with respect to adults.--A
certification under this paragraph is a
certification that the school, school board,
local educational agency, or other authority
with responsibility for administration of the
school--
(i) is enforcing a policy of Internet
safety that includes the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene; or
(II) child pornography; and
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers.
(D) Disabling during adult use.--An
administrator, supervisor, or other person
authorized by the certifying authority under
subparagraph (A)(i) may disable the technology
protection measure concerned, during use by an
adult, to enable access for bona fide research
or other lawful purpose.
(E) Timing of implementation.--
(i) In general.--Subject to clause
(ii) in the case of any school covered
by this paragraph as of the effective
date of this paragraph under section
1721(h) of the Children's Internet
Protection Act, the certification under
subparagraphs (B) and (C) shall be
made--
(I) with respect to the first
program funding year under this
subsection following such
effective date, not later than
120 days after the beginning of
such program funding year; and
(II) with respect to any
subsequent program funding
year, as part of the
application process for such
program funding year.
(ii) Process.--
(I) Schools with internet
safety policy and technology
protection measures in place.--
A school covered by clause (i)
that has in place an Internet
safety policy and technology
protection measures meeting the
requirements necessary for
certification under
subparagraphs (B) and (C) shall
certify its compliance with
subparagraphs (B) and (C)
during each annual program
application cycle under this
subsection, except that with
respect to the first program
funding year after the
effective date of this
paragraph under section 1721(h)
of the Children's Internet
Protection Act, the
certifications shall be made
not later than 120 days after
the beginning of such first
program funding year.
(II) Schools without internet
safety policy and technology
protection measures in place.--
A school covered by clause (i)
that does not have in place an
Internet safety policy and
technology protection measures
meeting the requirements
necessary for certification
under subparagraphs (B) and
(C)--
(aa) for the first
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is undertaking such
actions, including any
necessary procurement
procedures, to put in
place an Internet
safety policy and
technology protection
measures meeting the
requirements necessary
for certification under
subparagraphs (B) and
(C); and
(bb) for the second
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is in compliance with
subparagraphs (B) and
(C).
Any school that is unable to
certify compliance with such
requirements in such second
program year shall be
ineligible for services at
discount rates or funding in
lieu of services at such rates
under this subsection for such
second year and all subsequent
program years under this
subsection, until such time as
such school comes into
compliance with this paragraph.
(III) Waivers.--Any school
subject to subclause (II) that
cannot come into compliance
with subparagraphs (B) and (C)
in such second year program may
seek a waiver of subclause
(II)(bb) if State or local
procurement rules or
regulations or competitive
bidding requirements prevent
the making of the certification
otherwise required by such
subclause. A school, school
board, local educational
agency, or other authority with
responsibility for
administration of the school
shall notify the Commission of
the applicability of such
subclause to the school. Such
notice shall certify that the
school in question will be
brought into compliance before
the start of the third program
year after the effective date
of this subsection in which the
school is applying for funds
under this subsection.
(F) Noncompliance.--
(i) Failure to submit
certification.--Any school that
knowingly fails to comply with the
application guidelines regarding the
annual submission of certification
required by this paragraph shall not be
eligible for services at discount rates
or funding in lieu of services at such
rates under this subsection.
(ii) Failure to comply with
certification.--Any school that
knowingly fails to ensure the use of
its computers in accordance with a
certification under subparagraphs (B)
and (C) shall reimburse any funds and
discounts received under this
subsection for the period covered by
such certification.
(iii) Remedy of noncompliance.--
(I) Failure to submit.--A
school that has failed to
submit a certification under
clause (i) may remedy the
failure by submitting the
certification to which the
failure relates. Upon submittal
of such certification, the
school shall be eligible for
services at discount rates
under this subsection.
(II) Failure to comply.--A
school that has failed to
comply with a certification as
described in clause (ii) may
remedy the failure by ensuring
the use of its computers in
accordance with such
certification. Upon submittal
to the Commission of a
certification or other
appropriate evidence of such
remedy, the school shall be
eligible for services at
discount rates under this
subsection.
(6) Requirements for certain libraries with computers
having internet access.--
(A) Internet safety.--
(i) In general.--Except as provided
in clause (ii), a library having one or
more computers with Internet access may
not receive services at discount rates
under paragraph (1)(B) unless the
library--
(I) submits to the Commission
the certifications described in
subparagraphs (B) and (C); and
(II) submits to the
Commission a certification that
an Internet safety policy has
been adopted and implemented
for the library under
subsection (l); and
(III) ensures the use of such
computers in accordance with
the certifications.
(ii) Applicability.--The prohibition
in clause (i) shall not apply with
respect to a library that receives
services at discount rates under
paragraph (1)(B) only for purposes
other than the provision of Internet
access, Internet service, or internal
connections.
(iii) Public notice; hearing.--A
library described in clause (i) shall
provide reasonable public notice and
hold at least one public hearing or
meeting to address the proposed
Internet safety policy.
(B) Certification with respect to minors.--A
certification under this subparagraph is a
certification that the library--
(i) is enforcing a policy of Internet
safety that includes the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene;
(II) child pornography; or
(III) harmful to minors; and
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers by
minors.
(C) Certification with respect to adults.--A
certification under this paragraph is a
certification that the library--
(i) is enforcing a policy of Internet
safety that includes the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene; or
(II) child pornography; and
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers.
(D) Disabling during adult use.--An
administrator, supervisor, or other person
authorized by the certifying authority under
subparagraph (A)(i) may disable the technology
protection measure concerned, during use by an
adult, to enable access for bona fide research
or other lawful purpose.
(E) Timing of implementation.--
(i) In general.--Subject to clause
(ii) in the case of any library covered
by this paragraph as of the effective
date of this paragraph under section
1721(h) of the Children's Internet
Protection Act, the certification under
subparagraphs (B) and (C) shall be
made--
(I) with respect to the first
program funding year under this
subsection following such
effective date, not later than
120 days after the beginning of
such program funding year; and
(II) with respect to any
subsequent program funding
year, as part of the
application process for such
program funding year.
(ii) Process.--
(I) Libraries with internet
safety policy and technology
protection measures in place.--
A library covered by clause (i)
that has in place an Internet
safety policy and technology
protection measures meeting the
requirements necessary for
certification under
subparagraphs (B) and (C) shall
certify its compliance with
subparagraphs (B) and (C)
during each annual program
application cycle under this
subsection, except that with
respect to the first program
funding year after the
effective date of this
paragraph under section 1721(h)
of the Children's Internet
Protection Act, the
certifications shall be made
not later than 120 days after
the beginning of such first
program funding year.
(II) Libraries without
internet safety policy and
technology protection measures
in place.--A library covered by
clause (i) that does not have
in place an Internet safety
policy and technology
protection measures meeting the
requirements necessary for
certification under
subparagraphs (B) and (C)--
(aa) for the first
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is undertaking such
actions, including any
necessary procurement
procedures, to put in
place an Internet
safety policy and
technology protection
measures meeting the
requirements necessary
for certification under
subparagraphs (B) and
(C); and
(bb) for the second
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is in compliance with
subparagraphs (B) and
(C).
Any library that is unable to
certify compliance with such
requirements in such second
program year shall be
ineligible for services at
discount rates or funding in
lieu of services at such rates
under this subsection for such
second year and all subsequent
program years under this
subsection, until such time as
such library comes into
compliance with this paragraph.
(III) Waivers.--Any library
subject to subclause (II) that
cannot come into compliance
with subparagraphs (B) and (C)
in such second year may seek a
waiver of subclause (II)(bb) if
State or local procurement
rules or regulations or
competitive bidding
requirements prevent the making
of the certification otherwise
required by such subclause. A
library, library board, or
other authority with
responsibility for
administration of the library
shall notify the Commission of
the applicability of such
subclause to the library. Such
notice shall certify that the
library in question will be
brought into compliance before
the start of the third program
year after the effective date
of this subsection in which the
library is applying for funds
under this subsection.
(F) Noncompliance.--
(i) Failure to submit
certification.--Any library that
knowingly fails to comply with the
application guidelines regarding the
annual submission of certification
required by this paragraph shall not be
eligible for services at discount rates
or funding in lieu of services at such
rates under this subsection.
(ii) Failure to comply with
certification.--Any library that
knowingly fails to ensure the use of
its computers in accordance with a
certification under subparagraphs (B)
and (C) shall reimburse all funds and
discounts received under this
subsection for the period covered by
such certification.
(iii) Remedy of noncompliance.--
(I) Failure to submit.--A
library that has failed to
submit a certification under
clause (i) may remedy the
failure by submitting the
certification to which the
failure relates. Upon submittal
of such certification, the
library shall be eligible for
services at discount rates
under this subsection.
(II) Failure to comply.--A
library that has failed to
comply with a certification as
described in clause (ii) may
remedy the failure by ensuring
the use of its computers in
accordance with such
certification. Upon submittal
to the Commission of a
certification or other
appropriate evidence of such
remedy, the library shall be
eligible for services at
discount rates under this
subsection.
(7) Definitions.--For purposes of this subsection:
(A) Elementary and secondary schools.--The
term ``elementary and secondary schools'' means
elementary schools and secondary schools, as
defined in section 8101 of the Elementary and
Secondary Education Act of 1965.
(B) Health care provider.--The term ``health
care provider'' means--
(i) post-secondary educational
institutions offering health care
instruction, teaching hospitals, and
medical schools;
(ii) community health centers or
health centers providing health care to
migrants;
(iii) local health departments or
agencies;
(iv) community mental health centers;
(v) not-for-profit hospitals;
(vi) rural health clinics;
(vii) skilled nursing facilities (as
defined in section 1819(a) of the
Social Security Act (42 U.S.C. 1395i-
3(a))); and
(viii) consortia of health care
providers consisting of one or more
entities described in clauses (i)
through (vii).
(C) Public institutional telecommunications
user.--The term ``public institutional
telecommunications user'' means an elementary
or secondary school, a library, or a health
care provider as those terms are defined in
this paragraph.
(D) Minor.--The term ``minor'' means any
individual who has not attained the age of 17
years.
(E) Obscene.--The term ``obscene'' has the
meaning given such term in section 1460 of
title 18, United States Code.
(F) Child pornography.--The term ``child
pornography'' has the meaning given such term
in section 2256 of title 18, United States
Code.
(G) Harmful to minors.--The term ``harmful to
minors'' means any picture, image, graphic
image file, or other visual depiction that--
(i) taken as a whole and with respect
to minors, appeals to a prurient
interest in nudity, sex, or excretion;
(ii) depicts, describes, or
represents, in a patently offensive way
with respect to what is suitable for
minors, an actual or simulated sexual
act or sexual contact, actual or
simulated normal or perverted sexual
acts, or a lewd exhibition of the
genitals; and
(iii) taken as a whole, lacks serious
literary, artistic, political, or
scientific value as to minors.
(H) Sexual act; sexual contact.--The terms
``sexual act'' and ``sexual contact'' have the
meanings given such terms in section 2246 of
title 18, United States Code.
(I) Technology protection measure.--The term
``technology protection measure'' means a
specific technology that blocks or filters
Internet access to the material covered by a
certification under paragraph (5) or (6) to
which such certification relates.
(i) Consumer Protection.--The Commission and the States
should ensure that universal service is available at rates that
are just, reasonable, and affordable.
(j) Lifeline Assistance.--Nothing in this section shall
affect the collection, distribution, or administration of the
Lifeline Assistance Program provided for by the Commission
under regulations set forth in section 69.117 of title 47, Code
of Federal Regulations, and other related sections of such
title.
(k) Subsidy of Competitive Services Prohibited.--A
telecommunications carrier may not use services that are not
competitive to subsidize services that are subject to
competition. The Commission, with respect to interstate
services, and the States, with respect to intrastate services,
shall establish any necessary cost allocation rules, accounting
safeguards, and guidelines to ensure that services included in
the definition of universal service bear no more than a
reasonable share of the joint and common costs of facilities
used to provide those services.
(l) Internet Safety Policy Requirement for Schools and
Libraries.--
(1) In general.--In carrying out its responsibilities
under subsection (h), each school or library to which
subsection (h) applies shall--
(A) adopt and implement an Internet safety
policy that addresses--
(i) access by minors to inappropriate
matter on the Internet and World Wide
Web;
(ii) the safety and security of
minors when using electronic mail, chat
rooms, and other forms of direct
electronic communications;
(iii) unauthorized access, including
so-called ``hacking'', and other
unlawful activities by minors online;
(iv) unauthorized disclosure, use,
and dissemination of personal
identification information regarding
minors; and
(v) measures designed to restrict
minors' access to materials harmful to
minors; and
(B) provide reasonable public notice and hold
at least one public hearing or meeting to
address the proposed Internet safety policy.
(2) Local determination of content.--A determination
regarding what matter is inappropriate for minors shall
be made by the school board, local educational agency,
library, or other authority responsible for making the
determination. No agency or instrumentality of the
United States Government may--
(A) establish criteria for making such
determination;
(B) review the determination made by the
certifying school, school board, local
educational agency, library, or other
authority; or
(C) consider the criteria employed by the
certifying school, school board, local
educational agency, library, or other authority
in the administration of subsection (h)(1)(B).
(3) Availability for review.--Each Internet safety
policy adopted under this subsection shall be made
available to the Commission, upon request of the
Commission, by the school, school board, local
educational agency, library, or other authority
responsible for adopting such Internet safety policy
for purposes of the review of such Internet safety
policy by the Commission.
(4) Effective date.--This subsection shall apply with
respect to schools and libraries on or after the date
that is 120 days after the date of the enactment of the
Children's Internet Protection Act.
(m) Vetting of High-Cost Fund Recipients.--
(1) Definitions.--In this subsection--
(A) the term ``covered funding'' means any
new offer of high-cost universal service
program funding, including funding provided
through a reverse competitive bidding mechanism
provided under this section, for the deployment
of a broadband-capable network and the
provision of supported services over the
network; and
(B) the term ``new covered funding award''
means an award of covered funding that is made
based on an application submitted to the
Commission on or after the date on which rules
are promulgated under paragraph (2).
(2) Commission rulemaking.--Not later than 180 days
after the date of enactment of this subsection, the
Commission shall initiate a rulemaking proceeding to
establish a vetting process for applicants for, and
other recipients of, a new covered funding award.
(3) Contents.--
(A) In general.--In promulgating rules under
paragraph (2), the Commission shall provide
that, consistent with principles of technology
neutrality, the Commission will only award
covered funding to applicants that can
demonstrate that they meet the qualifications
in subparagraph (B).
(B) Qualifications described.--An applicant
for a new covered funding award shall include
in the initial application a proposal
containing sufficient detail and documentation
for the Commission to ascertain that the
applicant possesses the technical, financial,
and operational capabilities, and has a
reasonable business plan, to deploy the
proposed network and deliver services with the
relevant performance characteristics and
requirements defined by the Commission and as
pledged by the applicant.
(C) Evaluation of proposal.--The Commission
shall evaluate a proposal described in
subparagraph (B) against--
(i) reasonable and well-established
technical, financial, and operational
standards, including the technical
standards adopted by the Commission in
orders of the Commission relating to
Establishing the Digital Opportunity
Data Collection (WC Docket No. 19-195)
(or orders of the Commission relating
to modernizing any successor
collection) for purposes of entities
that must report broadband availability
coverage; and
(ii) the applicant's history of
complying with requirements in the
Commission and other government
broadband deployment funding programs.
(D) Penalties for pre-authorization
defaults.--In adopting rules for any new
covered funding award, the Commission shall set
a penalty for pre-authorization defaults of at
least $9,000 per violation and may not limit
the base forfeiture to an amount less than 30
percent of the applicant's total support,
unless the Commission demonstrates the need for
lower penalties in a particular instance.
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