Rural Connectivity Advancement Program Act of 2021

II 117TH CONGRESS 1ST SESSION S. 1885 To provide funds to assess the availability, accelerate the deployment, and improve the sustainability of advanced communications services and com- munications infrastructure in rural America, and for other purposes. IN THE SENATE OF THE UNITED STATES MAY 27, 2021 Mr. THUNE (for himself, Ms. HASSAN, Mr. MORAN, and Ms. CORTEZ MASTO) introduced the following bill; which was read twice and referred to the Committee on Commerce, Science, and Transportation A BILL To provide funds to assess the availability, accelerate the deployment, and improve the sustainability of advanced communications services and communications infrastruc- ture in rural America, 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 ‘‘Rural Connectivity Ad- 4 vancement Program Act of 2021’’. 5 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 2 •S 1885 IS SEC. 2. DEPOSIT OF SPECTRUM AUCTION PROCEEDS IN 1 RURAL BROADBAND ASSESSMENT AND DE- 2 PLOYMENT FUND. 3 Section 309(j)(8) of the Communications Act of 1934 4 (47 U.S.C. 309(j)(8)) is amended— 5 (1) in subparagraph (A), by striking ‘‘and (G)’’ 6 and inserting ‘‘(G), and (H)’’; and 7 (2) by adding at the end the following: 8 ‘‘(H) CERTAIN PROCEEDS DESIGNATED 9 FOR RURAL BROADBAND ASSESSMENT AND DE- 10 PLOYMENT FUND.— 11 ‘‘(i) ASSESSMENT AND DEPLOYMENT 12 SET-ASIDE.—Notwithstanding subpara- 13 graph (A), and except as provided in sub- 14 paragraphs (B), (D), (E), (F), and (G), 10 15 percent of the net proceeds from each use 16 of a system of competitive bidding under 17 this subsection that is mandated by an Act 18 of Congress and that begins on or after the 19 date of enactment of the Rural 20 Connectivity Advancement Program Act of 21 2021 shall be deposited in the Rural 22 Broadband Assessment and Deployment 23 Fund established under section 3 of that 24 Act. 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 3 •S 1885 IS ‘‘(ii) DEFINITION.—For purposes of 1 this subparagraph, the term ‘net proceeds’, 2 with respect to the use of a system of com- 3 petitive bidding, means the proceeds re- 4 maining after subtracting all auction-re- 5 lated expenditures, including— 6 ‘‘(I) relocation payments, includ- 7 ing accelerated relocation payments; 8 ‘‘(II) payments to incumbent li- 9 censees for the relinquishment of all 10 or a portion of the spectrum usage 11 rights of those licensees; 12 ‘‘(III) costs associated with the 13 reallocation of spectrum, whether on 14 an exclusive or shared use basis; 15 ‘‘(IV) relocation or sharing costs, 16 including for planning for relocation 17 or sharing; and 18 ‘‘(V) bidding credits.’’. 19 SEC. 3. DIRECTION AND USE OF RURAL BROADBAND AS- 20 SESSMENT AND DEPLOYMENT FUND PRO- 21 CEEDS. 22 (a) DEFINITIONS.—In this section— 23 (1) the term ‘‘Commission’’ means the Federal 24 Communications Commission; 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 4 •S 1885 IS (2) the term ‘‘high-cost programs’’ means— 1 (A) the program for Universal Service 2 Support for High-Cost Areas set forth under 3 subpart D of part 54 of title 47, Code of Fed- 4 eral Regulations, or any successor regulations; 5 (B) the Rural Digital Opportunity Fund 6 set forth under subpart J of part 54 of title 47, 7 Code of Federal Regulations, or any successor 8 regulations; 9 (C) the Interstate Common Line Support 10 Mechanism for Rate-of-Return Carriers set 11 forth under subpart K of part 54 of title 47, 12 Code of Federal Regulations, or any successor 13 regulations; 14 (D) the Mobility Fund set forth under sub- 15 part L of part 54 of title 47, Code of Federal 16 Regulations, or any successor regulations; 17 (E) the High Cost Loop Support for Rate- 18 of-Return Carriers program set forth under 19 subpart M of part 54 of title 47, Code of Fed- 20 eral Regulations, or any successor regulations; 21 (F) the Uniendo a Puerto Rico Fund and 22 the Connect USVI Fund set forth under sub- 23 part O of part 54 of title 47, Code of Federal 24 Regulations, or any successor regulations; and 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 5 •S 1885 IS (G) the Rural Broadband Experiments, as 1 established by the Commission under part 54 of 2 title 47, Code of Federal Regulations; 3 (3) the term ‘‘net proceeds’’ has the meaning 4 given the term in subparagraph (H) of section 5 309(j)(8) of the Communications Act of 1934 (47 6 U.S.C. 309(j)(8)), as added by section 2 of this Act; 7 and 8 (4) the term ‘‘Rural Broadband Assessment 9 and Deployment Fund’’ means the fund established 10 under subsection (b). 11 (b) ESTABLISHMENT OF FUND.—There is estab- 12 lished in the Treasury of the United States a fund to be 13 known as the ‘‘Rural Broadband Assessment and Deploy- 14 ment Fund’’. 15 (c) BORROWING AUTHORITY.— 16 (1) IN GENERAL.—With respect to any auction 17 described in subparagraph (H)(i) of section 18 309(j)(8) of the Communications Act of 1934 (47 19 U.S.C. 309(j)(8)), as added by section 2 of this Act, 20 on or after the date on which the Commission makes 21 a final determination of the amount of net proceeds 22 that will be deposited in the Rural Broadband As- 23 sessment and Deployment Fund under such sub- 24 paragraph (H)(i) as a result of that auction, the 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 6 •S 1885 IS Commission may borrow not more than that amount 1 from the Treasury of the United States. 2 (2) REIMBURSEMENT.—The Commission shall 3 reimburse the general fund of the Treasury, without 4 interest, for any amounts borrowed under paragraph 5 (1) as funds are deposited into the Rural Broadband 6 Assessment and Deployment Fund. 7 (d) AVAILABILITY OF AMOUNTS.—Any amounts bor- 8 rowed under subsection (c)(1) and any amounts in the 9 Rural Broadband Assessment and Deployment Fund that 10 are not necessary for reimbursement of the general fund 11 of the Treasury for such borrowed amounts shall be avail- 12 able to the Commission for use in accordance with sub- 13 section (e). 14 (e) USE OF AMOUNTS.— 15 (1) ESTABLISHMENT OF PROGRAM OR PRO- 16 GRAMS.—The Commission shall use the amounts 17 made available under subsection (d) to establish 1 or 18 more programs that are separate from, but are co- 19 ordinated with and complement, the high-cost pro- 20 grams to address— 21 (A) gaps that remain in broadband inter- 22 net access service coverage in high-cost rural 23 areas despite the operations of the high-cost 24 programs; and 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 7 •S 1885 IS (B) shortfalls in sufficient funding of the 1 high-cost programs that could adversely affect 2 the sustainability of services or reasonable com- 3 parability of rates that are supported by those 4 programs. 5 (2) PURPOSES.—In carrying out paragraph (1), 6 the Commission shall use amounts made available 7 under subsection (d) in an efficient and cost-effec- 8 tive manner only— 9 (A) for the assessment of, and to provide 10 subsidies in a technology-neutral manner 11 through a competitive process (subject to 12 weighting preferences for performance quality 13 and other service metrics as the Commission 14 may find appropriate) to providers for support 15 of, deployment of broadband-capable infrastruc- 16 ture in high-cost rural areas that the Commis- 17 sion determines are unserved by fixed terres- 18 trial broadband internet access service at a 19 download speed of not less than 25 megabits 20 per second and an upload speed of not less than 21 3 megabits per second (or such higher speed as 22 the Commission may determine appropriate 23 based upon an evolving definition of universal 24 service); and 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 8 •S 1885 IS (B) to assess, and provide subsidies to pro- 1 viders to enable providers to sustain, broadband 2 internet access service in any rural area in 3 which— 4 (i) not more than 1 provider of fixed 5 terrestrial broadband internet access serv- 6 ice operates; and 7 (ii) the high-cost nature of the area 8 precludes the offering of voice service and 9 broadband internet access service at rates 10 and performance levels available in urban 11 areas as determined by the Urban Rate 12 Survey conducted by the Commission. 13 (3) TRIBAL CONSIDERATIONS.—In distributing 14 amounts under this subsection, the Commission shall 15 consider the broadband internet access service needs 16 of residents of Tribal lands (as defined in section 17 54.400 of title 47, Code of Federal Regulations, or 18 any successor regulation). 19 (4) LIMITATIONS.— 20 (A) PROHIBITION ON FUNDING OTHER 21 PROGRAMS.— 22 (i) IN GENERAL.—The Commission 23 may not use amounts made available under 24 subsection (d) to fund any program that 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 9 •S 1885 IS was not established by the Commission 1 under paragraph (1) of this subsection, in- 2 cluding any program established under sec- 3 tion 254 of the Communications Act of 4 1934 (47 U.S.C. 254) in effect on the date 5 of enactment of this Act, except for using 6 the Universal Service Administrative Com- 7 pany to administer funding. 8 (ii) RULE OF CONSTRUCTION.—Noth- 9 ing in clause (i) shall be construed to pro- 10 hibit the Commission from using amounts 11 made available under subsection (d) to 12 supplement the provision of support under 13 the high-cost programs, as authorized 14 under paragraph (1)(B) of this subsection. 15 (B) TRANSPARENCY AND ACCOUNTABILITY 16 FOR ADDRESSING GAPS IN COVERAGE.—The 17 Commission shall establish transparency and 18 accountability requirements for amounts made 19 available for the purpose set forth in paragraph 20 (1)(A) that, at a minimum— 21 (i) provide— 22 (I) a process for challenging any 23 initial determination by the Commis- 24 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 10 •S 1885 IS sion regarding whether an area is 1 served or unserved; and 2 (II) written public notice on the 3 website of the Commission of— 4 (aa) how each challenge 5 under subparagraph (I) was de- 6 cided; and 7 (bb) the reasons of the Com- 8 mission for each decision; 9 (ii) establish broadband service build- 10 out milestones and require periodic certifi- 11 cation by funding recipients to ensure com- 12 pliance with the broadband service buildout 13 milestones; 14 (iii) establish a maximum buildout 15 timeframe of 4 years beginning on the date 16 on which funding is provided to a funding 17 recipient; 18 (iv) establish periodic reporting re- 19 quirements for funding recipients that 20 identify, at a minimum, the speed of, and 21 technology used for, the service provided in 22 each area where funding is provided; 23 (v) establish standard penalties for 24 noncompliance with the requirements es- 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 11 •S 1885 IS tablished under this subparagraph and as 1 may be further prescribed by the Commis- 2 sion; 3 (vi) establish procedures for recovery 4 of funds, in whole or in part, from funding 5 recipients in the event of default or non- 6 compliance with the requirements estab- 7 lished under this subparagraph and as may 8 be further prescribed by the Commission; 9 and 10 (vii) require a funding recipient to— 11 (I) offer voice service and 12 broadband internet access service; and 13 (II) permit a consumer to sub- 14 scribe to one type of service described 15 in subclause (I) or both types. 16 (C) TRANSPARENCY AND ACCOUNTABILITY 17 FOR ADDRESSING SHORTFALLS IN FUNDING.— 18 The Commission shall establish transparency 19 and accountability requirements for amounts 20 made available for the purpose set forth in sub- 21 paragraph (1)(B) that, at a minimum— 22 (i) establish periodic reporting and 23 certification requirements for funding re- 24 cipients to ensure that the funding results 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 12 •S 1885 IS in the offering of voice service and 1 broadband internet access service at rea- 2 sonably comparable rates and performance 3 levels; 4 (ii) establish standard penalties for 5 noncompliance with the requirements es- 6 tablished under this subparagraph and as 7 may be further prescribed by the Commis- 8 sion; 9 (iii) establish procedures for recovery 10 of funds, in whole or in part, from funding 11 recipients in the event of default or non- 12 compliance with the requirements estab- 13 lished under this subparagraph and as may 14 be further prescribed by the Commission; 15 and 16 (iv) require a funding recipient to— 17 (I) offer voice service and 18 broadband internet access service; and 19 (II) permit a consumer to sub- 20 scribe to one type of service described 21 in subclause (I) or both types. 22 (f) REPORTS.— 23 (1) ANNUAL AUCTION PROCEEDS DEPLOYMENT 24 REPORT.—Not later than 270 days after the date of 25 VerDate Sep 11 2014 04:59 Jun 12, 2021 Jkt 019200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\S1885.IS S1885 kjohnson on DSK79L0C42PROD with BILLS 13 •S 1885 IS enactment of this Act, and not less frequently than 1 annually thereafter until all amounts have been dis- 2 tributed, the Commission shall publish and submit 3 to the Committee on Commerce, Science, and Trans- 4 portation of the Senate and the Committee on En- 5 ergy and Commerce of the House of Representatives 6 a report on the distribution of amounts made avail- 7 able under subsection (d). 8 (2) AUCTION-SPECIFIC DEPOSIT REPORTS.— 9 Not later than 30 days after the date on which the 10 Commission announces the results of an auction de- 11 scribed in subparagraph (H)(i) of section 309( [Text truncated for display. 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