What This Bill Does
This bill creates a nonprofit organization called the Foundation for Digital Equity. The foundation will raise money from private sources and governments to help more Americans—especially those who currently lack access—use broadband internet, learn digital skills, and participate in the online world.
##
Who It Affects
- Americans without reliable internet access or digital skills
- Community organizations serving low-income and rural areas
- State and local governments
- Schools and libraries
- Technology companies and internet service providers
- Federal agencies (Department of Commerce and Federal Communications Commission)
- Native American tribes and communities
##
Key Provisions
- The Secretary of Commerce must create a five-member committee within 90 days to establish the foundation as a nonprofit corporation (Sec. 2(b)(1))
- The foundation will be governed by a Board of Directors with both government officials (nonvoting) and private citizens (voting) who have experience in digital equity work (Sec. 2(d))
- The foundation may award grants for projects that promote broadband adoption and digital skills training, selecting recipients based on how well their projects help communities and align with the foundation's goals (Sec. 2(e)(2))
- The foundation can create for-profit subsidiaries to attract private investment and support startups working on digital equity (Sec. 2(e)(6))
- The foundation must submit a strategic plan to Congress within one year and a progress report to Congress every two years (Sec. 2(f)(3) and (4))
##
What Changes
If this bill becomes law, a new independent nonprofit organization will exist to fund and coordinate digital equity work across the United States. Instead of only relying on government programs, communities will have access to foundation grants and partnerships with private companies. The foundation will coordinate with federal agencies to avoid duplicating efforts and will publicly report on its activities and spending.
##
Important Definitions
- **Digital Inclusion**: The activities needed to ensure all Americans have access to affordable broadband, internet-connected devices, and digital literacy training, plus basic knowledge about online privacy and cybersecurity (Sec. 2(a)(8))
- **Digital Literacy**: Not defined in this bill text
- **Covered Populations**: Not defined in this bill text (defined in a different law referenced by this bill)
- **Community Anchor Institution**: Not defined in this bill text (defined in a different law referenced by this bill)
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Effective Date
Not specified in bill text
II
118TH CONGRESS
1ST SESSION
S. 599
To establish the Foundation for Digital Equity, and for other purposes.
IN THE SENATE OF THE UNITED STATES
MARCH 1, 2023
Mr.
LUJA´N
(for
himself,
Mrs.
FEINSTEIN,
Ms.
KLOBUCHAR,
Mr.
BLUMENTHAL, Mr. HEINRICH, Mr. MARKEY, Mr. MERKLEY, and Mr.
DURBIN) introduced the following bill; which was read twice and referred
to the Committee on Commerce, Science, and Transportation
A BILL
To establish the Foundation for Digital Equity, and for
other purposes.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. SHORT TITLE.
3
This Act may be cited as the ‘‘Digital Equity Foun-
4
dation Act of 2023’’.
5
SEC. 2. FOUNDATION FOR DIGITAL EQUITY.
6
(a) DEFINITIONS.—In this section:
7
(1) ASSISTANT SECRETARY.—The term ‘‘Assist-
8
ant Secretary’’ means the Assistant Secretary of
9
Commerce for Communications and Information.
10
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(2) BOARD.—The term ‘‘Board’’ means the
1
Board of Directors described in subsection (d)(1).
2
(3) BUSINESS
INCUBATOR.—The term ‘‘busi-
3
ness incubator’’ has the meaning given the term in
4
section 3 of the Native American Business Incuba-
5
tors Program Act (25 U.S.C. 5802).
6
(4) COMMISSION.—The term ‘‘Commission’’
7
means the Federal Communications Commission.
8
(5)
COMMITTEE.—The
term
‘‘Committee’’
9
means the Committee for the Establishment of the
10
Foundation for Digital Equity established under
11
subsection (b).
12
(6) COMMUNITY
ANCHOR
INSTITUTION; COV-
13
ERED POPULATIONS; DIGITAL EQUITY; DIGITAL LIT-
14
ERACY.—The terms ‘‘community anchor institu-
15
tion’’, ‘‘covered populations’’, ‘‘digital equity’’, and
16
‘‘digital literacy’’ have the meanings given those
17
terms in section 60302 of the Digital Equity Act of
18
2021 (47 U.S.C. 1721).
19
(7) DEPARTMENT.—The term ‘‘Department’’
20
means the Department of Commerce.
21
(8) DIGITAL INCLUSION.—The term ‘‘digital in-
22
clusion’’—
23
(A) means the activities that are necessary
24
to ensure that all individuals in the United
25
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•S 599 IS
States have access to, and the use of, affordable
1
information and communication technologies,
2
such as—
3
(i)
reliable
fixed
and
wireless
4
broadband;
5
(ii) internet-enabled devices that meet
6
the needs of the user for telehealth, remote
7
work, remote schooling, or other purposes;
8
and
9
(iii) applications and online content
10
designed to enable and encourage self-suf-
11
ficiency, participation, and collaboration;
12
and
13
(B) includes—
14
(i) obtaining access to digital literacy
15
training;
16
(ii) the provision of quality technical
17
support; and
18
(iii) obtaining basic awareness of
19
measures to ensure online privacy and cy-
20
bersecurity.
21
(9) EXECUTIVE DIRECTOR.—The term ‘‘Execu-
22
tive Director’’ means the Executive Director of the
23
Foundation described in subsection (f)(1).
24
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(10) FOUNDATION.—The term ‘‘Foundation’’
1
means the Foundation for Digital Equity established
2
under this section.
3
(11) INSTITUTION OF HIGHER EDUCATION.—
4
The term ‘‘institution of higher education’’ means—
5
(A) an institution of higher education, as
6
that term is defined in section 101 of the High-
7
er Education Act of 1965 (20 U.S.C. 1001); or
8
(B) a postsecondary vocational institution,
9
as that term is defined in section 102(c) of the
10
Higher Education Act of 1965 (20 U.S.C.
11
1002(c)).
12
(12) MINORITY-SERVING
INSTITUTION.—The
13
term ‘‘Minority-serving institution’’ means an insti-
14
tution described in any of paragraphs (1) through
15
(7) of section 371(a) of the Higher Education Act
16
of 1965 (20 U.S.C. 1067q(a)).
17
(13) NTIA.—The term ‘‘NTIA’’ means the Na-
18
tional Telecommunications and Information Admin-
19
istration.
20
(14) OLDER INDIVIDUAL.—The term ‘‘older in-
21
dividual’’ has the meaning given the term in section
22
102 of the Older Americans Act of 1965 (42 U.S.C.
23
3002).
24
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(15)
SECRETARY.—The
term
‘‘Secretary’’
1
means the Secretary of Commerce.
2
(16) SMALL
BUSINESS
INVESTMENT
COM-
3
PANY.—The term ‘‘small business investment com-
4
pany’’ has the meaning given the term in section
5
103 of the Small Business Investment Act of 1958
6
(15 U.S.C. 662).
7
(17) STARTUP.—The term ‘‘startup’’ has the
8
meaning given the term ‘‘start-up business’’ in sec-
9
tion 362(f)(5)(C) of the Energy Policy and Con-
10
servation Act (42 U.S.C. 6322(f)(5)(C)).
11
(18) TRIBAL BROADBAND CONNECTIVITY PRO-
12
GRAM.—The term ‘‘Tribal Broadband Connectivity
13
Program’’ means the program implemented pursu-
14
ant to section 905(c) of division N of the Consoli-
15
dated Appropriations Act, 2021 (47 U.S.C. 1305
16
note).
17
(b) COMMITTEE FOR THE ESTABLISHMENT OF THE
18
FOUNDATION FOR DIGITAL EQUITY.—
19
(1) IN GENERAL.—Not later than 90 days after
20
the date of enactment of this Act, the Secretary
21
shall establish the Committee for the Establishment
22
of the Foundation for Digital Equity.
23
(2) MEMBERS.—The Committee shall be com-
24
posed of 5 members—
25
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•S 599 IS
(A) who shall be appointed by the officials
1
described in subsection (d)(2)(B)(i);
2
(B) each of whom shall be a voting mem-
3
ber of the Committee;
4
(C) not fewer than 3 of whom shall have
5
broad and general experience in matters relat-
6
ing to digital equity, digital inclusion, or digital
7
literacy; and
8
(D) not less than 1 of whom shall have
9
broad and general experience in working with
10
private nonprofit organizations.
11
(3) FUNCTIONS.—The functions of the Com-
12
mittee shall be as follows:
13
(A) To carry out such activities as may be
14
necessary to establish a nonprofit corporation to
15
be known as the ‘‘Foundation for Digital Eq-
16
uity’’, and to incorporate the Foundation under
17
the laws of a State, including by—
18
(i) serving as the incorporators for the
19
Foundation; and
20
(ii) ensuring that the articles of incor-
21
poration for the Foundation require that
22
the Foundation is operated in accordance
23
with the requirements of this section.
24
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(B) To ensure that the Foundation quali-
1
fies for and (during the period in which the
2
Committee is in existence) maintains the status
3
described in subsection (c)(3).
4
(C) To provide for the initial operation of
5
the Foundation, including by ensuring that the
6
Foundation has adequate facilities, equipment,
7
and staff.
8
(D) To appoint initial voting members of
9
the Board who satisfy the requirements under
10
subsection (d)(2)(C) and have such other quali-
11
fications as the Committee determines appro-
12
priate with respect to those members.
13
(4) CHAIR.—The Committee shall, from among
14
the members of the Committee, designate a member
15
of the Committee to serve as Chair of the Com-
16
mittee.
17
(5) TERM.—
18
(A) IN GENERAL.—Each member of the
19
Committee shall serve for the duration of the
20
Committee.
21
(B) VACANCIES.—
22
(i) NO
EFFECT
ON
AUTHORITY.—A
23
vacancy in the membership of the Com-
24
mittee shall not affect the authority of the
25
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Committee to carry out the functions of
1
the Committee.
2
(ii) REPLACEMENT.—If a member of
3
the Committee does not serve for the dura-
4
tion of the Committee, the individual ap-
5
pointed to fill that vacancy shall be ap-
6
pointed by the ex officio members of the
7
Board for the remainder of the applicable
8
term.
9
(6) COMPENSATION.—A member of the Com-
10
mittee—
11
(A) shall not receive compensation for
12
service on the Committee; and
13
(B) may be reimbursed for travel, subsist-
14
ence, and other necessary expenses incurred in
15
carrying out the functions of the Committee.
16
(7) TERMINATION.—The Committee shall—
17
(A) complete the functions of the com-
18
mittee described in paragraph (3) not later
19
than 180 days after the date on which the Sec-
20
retary establishes the Committee under para-
21
graph (1); and
22
(B) terminate on the date that is 30 days
23
after the date on which the Secretary deter-
24
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•S 599 IS
mines that the Committee has completed the
1
functions described in paragraph (3).
2
(c) GENERAL PRINCIPLES OF THE FOUNDATION.—
3
(1) MISSION.—The mission of the Foundation
4
shall be—
5
(A) to supplement, but not supplant, the
6
work of the NTIA and the Commission in pro-
7
moting the benefits of technological develop-
8
ment in the United States, and of high-capac-
9
ity, affordable broadband connectivity in par-
10
ticular, for all users of telecommunications and
11
information facilities;
12
(B) to raise, leverage, or match funding
13
from other entities, including philanthropic or-
14
ganizations, the private sector, and State and
15
local governments, to promote digital literacy,
16
digital inclusion, and digital equity for commu-
17
nities with low rates of adoption of broadband;
18
(C) to develop programs and partnerships
19
to—
20
(i) spur greater rates of adoption of
21
broadband among covered populations;
22
(ii) collaborate with State, local, and
23
Tribal governments, Minority-serving insti-
24
tutions, other anchor institutions, and
25
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•S 599 IS
stakeholders in the communications, edu-
1
cation, business, and technology fields;
2
(iii) publicize and incentivize the
3
adoption of evidence-based programs;
4
(iv) convene organizations and part-
5
nerships with related goals and interests to
6
establish problem-solving processes;
7
(v) strengthen and share best prac-
8
tices relating to—
9
(I) projects promoting digital in-
10
clusion, digital literacy, and digital eq-
11
uity; and
12
(II) regional economic develop-
13
ment;
14
(vi) support job creation and work-
15
force development; and
16
(vii) support the goals of the Tribal
17
Broadband Connectivity Program; and
18
(D) to promote equitable access to, and the
19
adoption of, broadband technologies and digital
20
applications that support accessibility, tele-
21
health, distance learning, and online access to
22
governmental benefits and services, including by
23
preventing, detecting, and remedying digital
24
discrimination.
25
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•S 599 IS
(2) LIMITATION.—The Foundation shall not be
1
an agency or instrumentality of the Federal Govern-
2
ment or any State or local government.
3
(3) TAX-EXEMPT
STATUS.—The Board shall
4
take all necessary and appropriate steps to ensure
5
that the Foundation is an organization that is de-
6
scribed in section 501(c) of the Internal Revenue
7
Code of 1986 and exempt from taxation under sec-
8
tion 501(a) of that Code.
9
(d) BOARD OF DIRECTORS.—
10
(1) ESTABLISHMENT.—The Foundation shall
11
be governed by a Board of Directors.
12
(2) COMPOSITION.—
13
(A) IN
GENERAL.—The Board shall be
14
composed of the ex officio members described in
15
subparagraph (B) and the appointed voting
16
members described in subparagraph (C).
17
(B) EX OFFICIO MEMBERS.—
18
(i) MEMBERS.—The ex officio mem-
19
bers of the Board shall be the following in-
20
dividuals (or designees of those individ-
21
uals):
22
(I) The Secretary.
23
(II) The Assistant Secretary.
24
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•S 599 IS
(III) The Chairman of the Com-
1
mission.
2
(IV) The Secretary of the Treas-
3
ury.
4
(V) The Under Secretary of Agri-
5
culture for Rural Development.
6
(VI) The Director of the Insti-
7
tute of Museum and Library Services.
8
(ii) NONVOTING
MEMBERS.—The ex
9
officio members of the Board shall be non-
10
voting members of the Board.
11
(C) APPOINTED MEMBERS.—
12
(i)
REPRESENTATION.—The
ap-
13
pointed members of the Board shall reflect
14
a broad cross-section of stakeholders from
15
academia, industry, nonprofit and civil
16
rights
organizations,
community-based
17
practitioners of efforts to promote digital
18
inclusion, State or local governments, local
19
school districts and libraries, other commu-
20
nity anchor institutions, and the philan-
21
thropic community.
22
(ii) EXPERIENCE.—Each appointed
23
member of the Board shall—
24
(I) have—
25
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(aa) experience promoting
1
digital equity, digital inclusion,
2
and digital literacy;
3
(bb) experience in the tech-
4
nology sector;
5
(cc) experience in the tele-
6
communications and broadband
7
sector;
8
(dd) direct experience work-
9
ing with covered populations; or
10
(ee) research experience in
11
foundation operations; and
12
(II) to the extent practicable,
13
represent diverse regions, sectors, and
14
the communities corresponding to the
15
covered populations that are the focus
16
of the activities of the Foundation.
17
(3) CHAIR AND VICE CHAIR.—
18
(A) IN GENERAL.—The Board shall des-
19
ignate, from among the appointed members of
20
the Board—
21
(i) an individual to serve as Chair of
22
the Board; and
23
(ii) an individual to serve as Vice
24
Chair of the Board.
25
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(B) TERMS.—The term of service of the
1
Chair and Vice Chair of the Board shall end on
2
the earlier of—
3
(i) the date that is 3 years after the
4
date on which
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