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Broadband Stimulus Final Text
Saturday, 21 February 2009 05:49

The full text of broadband parts of the final legislation, as well as reports from the conference committee and some related areas of the legislation. Of particular interest are the training and youth grants that are natural components of most proposals.

 

DISTANCE LEARNING, TELEMEDICINE, AND BROADBAND PROGRAM
For an additional amount for the cost of broadband loans and
loan guarantees, as authorized by the Rural Electrification Act
of 1936 (7 U.S.C. 901 et seq.) and for grants (including for technical
assistance), $2,500,000,000: Provided, That the cost of direct and
guaranteed loans shall be as defined in section 502 of the Congressional
Budget Act of 1974: Provided further, That, notwithstanding
title VI of the Rural Electrification Act of 1936, this amount is
available for grants, loans and loan guarantees for broadband infrastructure
in any area of the United States: Provided further, That
at least 75 percent of the area to be served by a project receiving
funds from such grants, loans or loan guarantees shall be in a
rural area without sufficient access to high speed broadband service
to facilitate rural economic development, as determined by the
Secretary of Agriculture: Provided further, That priority for
awarding such funds shall be given to project applications for
broadband systems that will deliver end users a choice of more
than one service provider: Provided further, That priority for
awarding funds made available under this paragraph shall be given
to projects that provide service to the highest proportion of rural
residents that do not have access to broadband service: Provided
further, That priority shall be given for project applications from
borrowers or former borrowers under title II of the Rural Electrification
Act of 1936 and for project applications that include such
borrowers or former borrowers: Provided further, That priority for
awarding such funds shall be given to project applications that
demonstrate that, if the application is approved, all project elements
will be fully funded: Provided further, That priority for awarding
H. R. 1—5
such funds shall be given to project applications for activities that
can be completed if the requested funds are provided: Provided
further, That priority for awarding such funds shall be given to
activities that can commence promptly following approval: Provided
further, That no area of a project funded with amounts made
available under this paragraph may receive funding to provide
broadband service under the Broadband Technology Opportunities
Program: Provided further, That the Secretary shall submit a report
on planned spending and actual obligations describing the use
of these funds not later than 90 days after the date of enactment
of this Act, and quarterly thereafter until all funds are obligated,
to the Committees on Appropriations of the House of Representatives
and the Senate.

NATIONAL TELECOMMUNICATIONS AND INFORMATION
ADMINISTRATION
BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM
For an amount for ‘‘Broadband Technology Opportunities Program’’,
$4,700,000,000: Provided, That of the funds provided under
this heading, not less than $4,350,000,000 shall be expended pursuant
to division B of this Act, of which: not less than $200,000,000
shall be available for competitive grants for expanding public computer
center capacity, including at community colleges and public
libraries; not less than $250,000,000 shall be available for competitive
grants for innovative programs to encourage sustainable adoption
of broadband service; and $10,000,000 shall be transferred
to ‘‘Department of Commerce, Office of Inspector General’’ for the
purposes of audits and oversight of funds provided under this
heading and such funds shall remain available until expended:
Provided further, That of the funds provided under this heading,
up to $350,000,000 may be expended pursuant to Public Law 110–
385 (47 U.S.C. 1301 note) and for the purposes of developing and
maintaining a broadband inventory map pursuant to division B
of this Act: Provided further, That of the funds provided under
this heading, amounts deemed necessary and appropriate by the
Secretary of Commerce, in consultation with the Federal Communications
Commission (FCC), may be transferred to the FCC for
the purposes of developing a national broadband plan or for carrying
out any other FCC responsibilities pursuant to division B of this
Act, and only if the Committees on Appropriations of the House
and the Senate are notified not less than 15 days in advance
of the transfer of such funds: Provided further, That not more
than 3 percent of funds provided under this heading may be used
for administrative costs, and this limitation shall apply to funds
which may be transferred to the FCC.

TITLE VI—BROADBAND TECHNOLOGY
OPPORTUNITIES PROGRAM
SEC. 6000. TABLE OF CONTENTS.
The table of contents of this title is as follows:
TITLE VI—BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM
Sec. 6000. Table of contents.
Sec. 6001. Broadband Technology Opportunities Program.
SEC. 6001. BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM.
(a) The Assistant Secretary of Commerce for Communications
and Information (Assistant Secretary), in consultation with the
Federal Communications Commission (Commission), shall establish
a national broadband service development and expansion program
in conjunction with the technology opportunities program, which
shall be referred to as the Broadband Technology Opportunities
Program. The Assistant Secretary shall ensure that the program
complements and enhances and does not conflict with other Federal
broadband initiatives and programs.
(b) The purposes of the program are to—
(1) provide access to broadband service to consumers
residing in unserved areas of the United States;
(2) provide improved access to broadband service to consumers
residing in underserved areas of the United States;
(3) provide broadband education, awareness, training,
access, equipment, and support to—
(A) schools, libraries, medical and healthcare providers,
community colleges and other institutions of higher education,
and other community support organizations and
H. R. 1—399
entities to facilitate greater use of broadband service by
or through these organizations;
(B) organizations and agencies that provide outreach,
access, equipment, and support services to facilitate greater
use of broadband service by low-income, unemployed, aged,
and otherwise vulnerable populations; and
(C) job-creating strategic facilities located within a
State-designated economic zone, Economic Development
District designated by the Department of Commerce,
Renewal Community or Empowerment Zone designated by
the Department of Housing and Urban Development, or
Enterprise Community designated by the Department of
Agriculture;
(4) improve access to, and use of, broadband service by
public safety agencies; and
(5) stimulate the demand for broadband, economic growth,
and job creation.
(c) The Assistant Secretary may consult a State, the District
of Columbia, or territory or possession of the United States with
respect to—
(1) the identification of areas described in subsection (b)(1)
or (2) located in that State; and
(2) the allocation of grant funds within that State for
projects in or affecting the State.
(d) The Assistant Secretary shall—
(1) establish and implement the grant program as expeditiously
as practicable;
(2) ensure that all awards are made before the end of
fiscal year 2010;
(3) seek such assurances as may be necessary or appropriate
from grantees under the program that they will substantially
complete projects supported by the program in accordance
with project timelines, not to exceed 2 years following an award;
and
(4) report on the status of the program to the Committees
on Appropriations of the House of Representatives and the
Senate, the Committee on Energy and Commerce of the House
of Representatives, and the Committee on Commerce, Science,
and Transportation of the Senate, every 90 days.
(e) To be eligible for a grant under the program, an applicant
shall—
(1)(A) be a State or political subdivision thereof, the District
of Columbia, a territory or possession of the United States,
an Indian tribe (as defined in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450(b))
or native Hawaiian organization;
(B) a nonprofit—
(i) foundation,
(ii) corporation,
(iii) institution, or
(iv) association; or
(C) any other entity, including a broadband service
or infrastructure provider, that the Assistant Secretary
finds by rule to be in the public interest. In establishing
such rule, the Assistant Secretary shall to the extent practicable
promote the purposes of this section in a technologically
neutral manner;
H. R. 1—400
(2) submit an application, at such time, in such form,
and containing such information as the Assistant Secretary
may require;
(3) provide a detailed explanation of how any amount
received under the program will be used to carry out the
purposes of this section in an efficient and expeditious manner,
including a showing that the project would not have been
implemented during the grant period without Federal grant
assistance;
(4) demonstrate, to the satisfaction of the Assistant Secretary,
that it is capable of carrying out the project or function
to which the application relates in a competent manner in
compliance with all applicable Federal, State, and local laws;
(5) demonstrate, to the satisfaction of the Assistant Secretary,
that it will appropriate (if the applicant is a State
or local government agency) or otherwise unconditionally obligate,
from non-Federal sources, funds required to meet the
requirements of subsection (f);
(6) disclose to the Assistant Secretary the source and
amount of other Federal or State funding sources from which
the applicant receives, or has applied for, funding for activities
or projects to which the application relates; and
(7) provide such assurances and procedures as the Assistant
Secretary may require to ensure that grant funds are used
and accounted for in an appropriate manner.
(f) The Federal share of any project may not exceed 80 percent,
except that the Assistant Secretary may increase the Federal share
of a project above 80 percent if—
(1) the applicant petitions the Assistant Secretary for a
waiver; and
(2) the Assistant Secretary determines that the petition
demonstrates financial need.
(g) The Assistant Secretary may make competitive grants under
the program to—
(1) acquire equipment, instrumentation, networking capability,
hardware and software, digital network technology, and
infrastructure for broadband services;
(2) construct and deploy broadband service related infrastructure;
(3) ensure access to broadband service by community
anchor institutions;
(4) facilitate access to broadband service by low-income,
unemployed, aged, and otherwise vulnerable populations in
order to provide educational and employment opportunities to
members of such populations;
(5) construct and deploy broadband facilities that improve
public safety broadband communications services; and
(6) undertake such other projects and activities as the
Assistant Secretary finds to be consistent with the purposes
for which the program is established.
(h) The Assistant Secretary, in awarding grants under this
section, shall, to the extent practical—
(1) award not less than 1 grant in each State;
(2) consider whether an application to deploy infrastructure
in an area—
H. R. 1—401
(A) will, if approved, increase the affordability of, and
subscribership to, service to the greatest population of users
in the area;
(B) will, if approved, provide the greatest broadband
speed possible to the greatest population of users in the
area;
(C) will, if approved, enhance service for health care
delivery, education, or children to the greatest population
of users in the area; and
(D) will, if approved, not result in unjust enrichment
as a result of support for non-recurring costs through
another Federal program for service in the area; and
(3) consider whether the applicant is a socially and
economically disadvantaged small business concern as defined
under section 8(a) of the Small Business Act (15 U.S.C. 637).
(i) The Assistant Secretary—
(1) shall require any entity receiving a grant pursuant
to this section to report quarterly, in a format specified by
the Assistant Secretary, on such entity’s use of the assistance
and progress fulfilling the objectives for which such funds were
granted, and the Assistant Secretary shall make these reports
available to the public;
(2) may establish additional reporting and information
requirements for any recipient of any assistance made available
pursuant to this section;
(3) shall establish appropriate mechanisms to ensure appropriate
use and compliance with all terms of any use of funds
made available pursuant to this section;
(4) may, in addition to other authority under applicable
law, deobligate awards to grantees that demonstrate an insufficient
level of performance, or wasteful or fraudulent spending,
as defined in advance by the Assistant Secretary, and award
these funds competitively to new or existing applicants consistent
with this section; and
(5) shall create and maintain a fully searchable database,
accessible on the Internet at no cost to the public, that contains
at least a list of each entity that has applied for a grant
under this section, a description of each application, the status
of each such application, the name of each entity receiving
funds made available pursuant to this section, the purpose
for which such entity is receiving such funds, each quarterly
report submitted by the entity pursuant to this section, and
such other information sufficient to allow the public to understand
and monitor grants awarded under the program.
(j) Concurrent with the issuance of the Request for Proposal
for grant applications pursuant to this section, the Assistant Secretary
shall, in coordination with the Commission, publish the
non-discrimination and network interconnection obligations that
shall be contractual conditions of grants awarded under this section,
including, at a minimum, adherence to the principles contained
in the Commission’s broadband policy statement (FCC 05-15,
adopted August 5, 2005).
(k)(1) Not later than 1 year after the date of enactment of
this section, the Commission shall submit to the Committee on
Energy and Commerce of the House of Representatives and the
Committee on Commerce, Science, and Transportation of the
Senate, a report containing a national broadband plan.
H. R. 1—402
(2) The national broadband plan required by this section
shall seek to ensure that all people of the United States have
access to broadband capability and shall establish benchmarks
for meeting that goal. The plan shall also include—
(A) an analysis of the most effective and efficient
mechanisms for ensuring broadband access by all people
of the United States;
(B) a detailed strategy for achieving affordability of
such service and maximum utilization of broadband infrastructure
and service by the public;
(C) an evaluation of the status of deployment of
broadband service, including progress of projects supported
by the grants made pursuant to this section; and
(D) a plan for use of broadband infrastructure and
services in advancing consumer welfare, civic participation,
public safety and homeland security, community development,
health care delivery, energy independence and efficiency,
education, worker training, private sector investment,
entrepreneurial activity, job creation and economic
growth, and other national purposes.
(3) In developing the plan, the Commission shall have
access to data provided to other Government agencies under
the Broadband Data Improvement Act (47 U.S.C. 1301 note).
(l) The Assistant Secretary shall develop and maintain a comprehensive
nationwide inventory map of existing broadband service
capability and availability in the United States that depicts the
geographic extent to which broadband service capability is deployed
and available from a commercial provider or public provider
throughout each State. Not later than 2 years after the date of
the enactment of this Act, the Assistant Secretary shall make
the broadband inventory map developed and maintained pursuant
to this section accessible by the public on a World Wide Web
site of the National Telecommunications and Information Administration
in a form that is interactive and searchable.
(m) The Assistant Secretary shall have the authority to prescribe
such rules as are necessary to carry out the purposes of
this section.

Report

DISTANCE LEARNING, TELEMEDICINE, AND BROADBAND PROGRAM
The conference agreement includes $2,500,000,000 for the distance learning,
telemedicine, and broadband program instead of $2,825,000,000 as proposed by the
House and $100,000,000 as proposed by the Senate.

NATIONAL TELECOMMUNICATIONS AND INFORMATION ADMINISTRATION
BROADBAND TECHNOLOGY OPPORTUNITIES PROGRAM
The conference agreement includes $4,700,000,000 for NTIA's Broadband
Technology Opportunities Program (TOP), to be available until September 30,
2010. Funding is provided to award competitive grants to 8tate flflclloeal C-.
gove~e~~no~rofit~~d~~~~~epa~~ps~~~~
broadband deployment in unserved and underserved areas and to strategic'
institutions that are likely to create jobs or providesig~ificant.publicbenefits. Of
the amounts provided, $350,000,000 shall establish the State Broadband Data and
Development Grant program, as authorized by Public Law 110-385 and for the
development and maintenance of a national broadband inventory map as
authorized by division B· ofthis Act. In addition, $200,000,000 shall be for
competitive grants for expanding public computer center capacity; $250,000,000
shall be for competitive grants for innovative programs to encourage sustainable
broadband adoption; and $10,000,000 is to be transferred to the Department of
Commerce Inspector General for audits and oversight of funds provided under this
heading, to be available until -September 30, 291k--

 

possibly related

The conference agreement includes $750,000,000 for a .program of
competitive grants for worker training and placement in high growth and emerging
industry sectors, as proposed by the House, rather than $250,000,000 for a similar
program proposed by the Senate. Within the amount provided, $500,000,000 is
designated for projects that prepare workers for careers in energy efficiency and
renewable energy as described in the Green Jobs Act of 2007. Priority
consideration for the balance of funds shall be given to projects that prepare
workers for careers in the health care sector, which continues to grow despite the
economic downturn. The conferees believe that training for wireless and
broadband deployment is an eligible activity for grants for high growth and
emerging industry sectors, along with advanced manufacturing and other high
demand industry sectors identified by local workforce areas. In carrying out the
program of competitive grants for worker training and placement in high growth
and emerging industry sectors, the conferees expect the Department to use a
limited portion of the program funds for technical assistance and related research.

For youth services, $1,200,000,000 is provided. The conferees are
particularly interested in these funds being used to create summer employment
opportunities for youth and language applying the work readiness performance
indicator to such summer jobs is included as an appropriate measure for those
activities. Year-roilnd youth activities are also envisioned and the age of eligibility
for youth services provided with the additional funds is extended through age 24 to
allow local programs to reach young adults who have become disconnected from
both education and the labor market.

()f cnucuncnt ()f this sccti()n. dcvcl()p und sublnit t() (~()ngress a report c()l1taining a
nuti()nul br()udhund plan nnd specifies whut the plun sh()uld include.
Senate IJIII
Section 2{») ()f the Senutc bill uuth(>rizes the NTIA to create a grullt pr()gruln entitled the
Br(ludband Tcchnol()gy Opportunity Pr(lgram to award competitive grants to State and
local governlnents, n()nprofits, und public-private partnerships to: (1) accelerate
broadband depl(lyment in unserved and underserved areas and t(> strategic institutions
that are likely to create jobs or provide significant public benefits; (2) increase sustained
broadband adoption; and (3) upgrade technology and capacity for public safety entities
and at public computing centers, which are a key source of access to the Internet for
lower income users, such as libraries and community colleges.
Section 201 gives the NTIA the authority to impose grant conditions with regard to
interconnection and nondiscrimination requirements that apply to facilities funded in part
by this program, regardless of who operates those facilities.
Section 201 also (1) imposes a 20 percent match requirement for grants, which may be
satisfied by the grant applicant or any third-party partnering with the grant applicant, and
may be waived only under special circumstances; (2) requires specific commitments from
grantees on scheduled progress for meeting the goals of the grant; (3) requires that grant
applications show that the proposed broadband deployment would not occur during the
grant period without this Federal investment; (4) requires quarterly reporting by any
entity receiving funds regarding how funds are spent and progress meeting the schedule,
as well as quarterly reporting to Congress by Federal agencies making grants regarding
how funds are being spent; (5) requires strong public transparency regarding how funds
are spent under the program and grantees' progress fulfilling specific commitments to
deploy facilities, increase broadband adoption or deploy computer infrastructure; and (6)
empowers the NTIA to revoke funding in any case of misspending, and to recapture
funds in certain circumstances.
Conference Agreement
Summary
The Conference substitute retains the general structure and language of the Senate bill,
while incorporating a series of amendments related to the priorities of the House.
Section 6001. Section 6001 establishes the Broadband Technology Opportunities'
Program within the NTIA. The Conferees intend that the NTIA has discretion in
selecting the grant recipients that will best achieve the broad objectives of the program.
The Conferees also intend that the NTIA select grant recipients that it judges will best
meet the broadband access needs of the area to be served, whether by a wireless provider,
a wireline provider, or any provider offering to construct last-mile, middle-mile, or long
huul rueilitles. 'rhe ('()nfcrccs intend thut the N'rlA tlwurd grunts serving nil purts ()f the
l'()lultry. including I'urul. suhurhun. und urhun urease l~he C()nferccs intend thut the NTIA
seck t() ensure. to the extent prueticuble. thut grunt funds be used to ussist infrustructure
invcstlllcnts that w()uld n()t ()thcrwise he Illude by the entity upplying. or. seC()ndllrily. that
111ight not be Illude as <Iuickly.
Part ()f the pr()gruI11 is directed t()wurds C()lllpctitive grants f()r inn()vutive pr()grllms to
encourage sustainable nd()pti()n ()f br{)adband service in particular by vulnerable
p()pulations. The C{)nfcrccs n()te the success of such programs in several States. and
hope that thcse gruntees will be inv()lvcd in nggrcgnting demllnd. ensuring community
involvclnent. nnd f()stcl'ing lIseful tcchn(»)()gy upplicutions. thereby stimulating economic
growth and job creation.
Eligible Entities. The C()nference substitute creates a new. broad definition of entities
that are eligible to receive grants. It is the intent of the Conferees that. consistent with the
public interest and purposes of this section. as many entities as possible be eligible to
apply for a competitive grant. including wireless carriers. wireline carriers. backhaul
providers, satellite carriers. public-private partnerships. and tower companies.
Grant Distributi()n C()nsiderati()ns and Broadband Speeds. The Conference substitute
inserts a new Section 6001 (h) that incorporates several of the grant distribution
considerations from the House bill. In particular, new Section 6001(h)(3) requires the
NTIA to consider whether a grant applicant is a socially and economically disadvantaged
small business, as defined under the Small Business Act.
New Section 6001 (h)(2)(Be) also requires the NTIA to consider whether an application
will result in the greatest possible broadband speeds being delivered to consumers. While
the House bill had included specific speed thresholds that an applicant must have met to
be eligible for a grant, the substitute requires only that the NTIA consider the speeds that
would be delivered to consumers in awarding grants. The Conferees are mindful that a
specific speed threshold could have the unintended result of thwarting broadband
deployment in certain areas. The Conferees are also mindful that the construction of
broadband facilities capable of delivering next-generation broadband speeds is likely to
result in greater job creation and job preservation than projects centered on currentgeneration
broadband speeds. Therefore, the Conferees instruct the NTIA to seek to fund,
to the extent practicable, projects that provide the highest possible, next-generation
broadband speeds to consumers.
Broadband Policy Statement. The Conference substitute inserts the House language that
requires grant recipients to adhere to the principles contained in the Federal
Communications Commission's Broadband Policy Statement.
National Broadband Plan. The Conference substitute adopts the House language on the
creation of a national broadband plan, with some minor modifications.
/;'('dertlIIS/tlle C(}(J/Jerlll;(),.,. Secti()n 6(X)1(c) directs the NTIA to c()nsult with Stutes on:
( I) the identificlltion ()f unserved and underserved areas within their b()rders; and (2) the
llllocuti()n of grunts funds t(l pr(ljects llffeeting each State. The Conferees recognize lhat
States have rcs()urces and 8 fanliliarity with local economic. demographic. llnd market
conditions that c()uld c()ntribute t(> the success of the broadband grant program. States
urc encouruged to c()alesce stakeh(ll(lers and partners, assess community needs. aggregate
demand for services, and evaluate demand for technical assistance. The Conferees
therefore expect and intend that the NTIA, at its discretion, will seek advice and
assistance fro01 the States in reviewing grant applications, as long as the NTIA retains the
sole authority to approve the awards. The Conferees further intend that the NTIA will. in
its discretion, assist the States in post-grant monitoring to ensure that recipients comply
fully with the terms and conditions of their grants.
Definitions. The substitute does not define such terms as uunserved area" uunderserved
areas" and ubroadband." The Conferees instruct the NTIA to coordinate its understanding
of these terms with the FCC, so that the NTIA may benefit from the FCC's considerable
expertise in these matters. In defining ubroadband service," the Conferees intend that the
NTIA take into consideration the technical differences between wireless and wireline
networks, and consider the actual speeds that broadband networks are able to deliver to
consumers under a variety of circumstances.