,,ii  #aac? ,,congress  #a/ ,session    
,s4 #aheh  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,decemb] #be1 #bjac,mr4
 ,begi* introduc$ ! foll[+ bill2 :i* 0  
read twice & ref]r$ to ! ,committee on  
,comm]ce1 ,sci5ce1 & ,transportation  ,a
 ,,bill  ,to require ! ,f$]al           
,communications ,commission to susp5d & 
revise portions ( ! ,report & ,ord] &   
,fur!r ,notice ( ,propos$ ,rulemak+ t   
revis$ ,univ]sal ,s]vice ,fund          
di/ribution to rural c>ri]s1 to enc\rage
 r5ew$ inve/m5t by rural rate-(-return  
c>ri]s 9 deploym5t ( broadb&            
infra/ructure 9 rural areas1 & = o!r    
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,rural ,broadb& ,inve/m5t  
,act ( #bjac or ! ,,rbi ,act ( #bjac4   
#b4 ,def9itions ,9 ?is ,act-- 7#a7 ! t]m
 applicable ,f$]al-,/ate ,jo9t ,bo>d    
means-- 7,a7 ! ,f$]al-,/ate ,jo9t ,bo>d 
on ,univ]sal ,s]vice2 &  7,b7 if !      
limitations 9 ! proposal submitt$ by !  
,commission to ! ,f$]al-,/ate ,jo9t     
,bo>d on ,univ]sal ,s]vice "u section   

#d7;b77#a77;,a7 result 9 a revision ( ! 
jurisdictional allocation ( exp5ses1 !  
,f$]al-,/ate ,jo9t ,bo>d on ,sep>ations2
  7#b7 ! t]m ,commission means ! ,f$]al 
,communications ,commission2  7#c7 ! t]m
 revis$ proposal = rural support means a
 revis$ proposal to e/abli% limitations 
on /udy area total unsep>at$ loop co/s (
 rural rate-(-return c>ri]s2  7#d7 ! t]m
 rural c>ri] means-- 7,a7 a rural       
rate-(-return c>ri]2  7,b7 a rural      
wireless c>ri] own$ by a rural          
rate-(-return c>ri]2 &  7,c7 a rural    
competitive local ex*ange c>ri] own$ by 
a rural rate-(-return c>ri]2  7#e7 ! t]m
 rural rate-(-return c>ri] means a rural
 telephone company 7z def9$ 9 section   
#aec ( ! ,communications ,act ( #aicd   
7#dg ,u4,s4,c4 #aec77 t is a            
rate-(-return c>ri] 7z def9$ 9 section  
#ed4e ( title #dg1 ,code ( ,f$]al       
,regulations72  7#f7 ! t]m /udy area    
total unsep>at$ loop co/ means ! co/    
calculat$ "u section #cf4fba ( title    
#dg1 ,code ( ,f$]al ,regulations2  7#g7 

! t]m ,trans=mation ,ord] means !       
,report & ,ord] & ,fur!r ,notice (      
,propos$ ,rulemak+ ( ! ,f$]al           
,communications ,commission adopt$ on   
,octob] #bg1 #bjaa 7,,fcc #aa-afa72 &   
7#h7 ! t]m tribal l&s has ! mean+ giv5 !
 t]m 9 section #ed4djj7;e7 ( title #dg1 
,code ( ,f$]al ,regulations4  #c4 ,f9d+s
 ,congress f9ds ! foll[+3 7#a7 ,!       
implem5tation ( new rules & regulations 
set =? 9 ! ,trans=mation ,ord] has      
creat$ f9ancial unc]ta9ty & in/ability =
 rural c>ri]s by d5y+ rural c>ri]s a    
mean+ful opportunity to recov] inve/m5ts
 & exp5ses incurr$ to provide univ]sal  
s]vice prior to #bjab4  7#b7 ,!         
implem5tation ( ! ,trans=mation ,ord]1  
includ+ ! utilization ( a widely        
criticiz$ regression analysis us$ to    
det]m9e levels ( univ]sal s]vice        
support1 is creat+ significant unc]ta9ty
 ) respect to ! suffici5cy &            
pr$ictability ( ! univ]sal s]vice       
support me*anisms1 :i* has disc\rag$    
rural c>ri]s f mak+ broadb&             

infra/ructure inve/m5ts to build out new
 broadb& capabilities 9 high co/-to-s]ve
 rural communities ?r\gh\t ! ,unit$     
,/ates4  7#c7 ,! int5t ( ,congress "u   
section #bed ( ! ,communications ,act ( 
#aicd 7#dg ,u4,s4,c4 #bed7 is t !       
,commission-- 7,a7 consult ) !          
,f$]al-,/ate ,jo9t ,bo>d on ,univ]sal   
,s]vice be=e adopt+ *anges to           
regulations t affect univ]sal s]vice    
high-co/ fund me*anisms2 &  7,b7 adopt  
policies & regulations t e/abli% &      
ma9ta9 specific1 pr$ictable1 & suffici5t
 support me*anisms to pres]ve & advance 
univ]sal s]vice4  7#d7 ,! ,secret>y (   
,agriculture has w>n$ t ! implem5tation 
( ! ,trans=mation ,ord] is hav+ un9t5d$ 
consequ5ces = rural broadb& inve/m5t &  
deploym5t & = o!r ,f$]al programs       
design$ to promote rural broadb&        
deploym5t4  7#e7 ,! ,dep>tm5t (         
,agriculture has report$ t dem& = ,rural
 ,utilities ,s]vice loans = broadb&     
build\t has plummet$ 9 #bjac1 due 9 "p  
to ! unc]ta9ty creat$ by ! new rules &  

regulations set =? 9 ! ,trans=mation    
,ord]4  7#f7 ,surveys ( rural c>ri]s    
indicate t ne>ly two-?irds ( rural      
rate-(-return c>ri]s are cancel+ or     
po/pon+ new broadb& inve/m5ts1 :ile o!r 
reports indicate t rural rate-(-return  
c>ri]s are be+ =c$ to increase consum]  
prices & r$uce /aff1 creat+ ripple      
effects = economies 9 rural areas ( !   
,unit$ ,/ates4  7#g7 ,congressional     
he>+s h demon/rat$ t ! approa* ( !      
,commission to ! consid]ation1 review1 &
 resolution ( petitions = waiv]s f rules
 adopt$ "u ! ,trans=mation ,ord]-- 7,a7 
is unduly burd5some & co/ly = small1    
rural c>ri]s & inconsi/5t ) ! e/abli%$  
policy & waiv] /&>ds ( ! ,commission2 & 
7,b7 is consequ5tly disc\rag+ small1    
rural c>ri]s f reque/+ waiv]s & is      
creat+ additional bus9ess unc]ta9ties4  
7#h7 ,congressional he>+s h demon/rat$ t
 ! ,commission c make adju/m5ts to !    
,trans=mation ,ord] to address ! adv]se 
impact & bus9ess unc]ta9ties confront+  
small1 rural c>ri]s )\t affect+ o!r     

categories ( c>ri]s or increas+ !       
,univ]sal ,s]vice ,fund budget e/abli%$ 
9 ! ,trans=mation ,ord]4  #d4 ,susp5sion
 & revision ( provision ( ,trans=mation 
,ord]  7a7 ,susp5sion ,section          
#cf4fba7;a77#e7 ( title #dg1 ,code (    
,f$]al ,regulations 7relat+ to ! annual 
limitation ( /udy area total unsep>at$  
loop co/ pursuant to a s*$ule ann\nc$ by
 ! ,wirel9e ,competition ,bureau71 %all 
h no =ce or effect4  7b7 ,review &      
revision  7#a7 ,publication ( revis$    
proposal = univ]sal s]vice di/ribution  
to rural rate-(-return c>ri]s  7,a7     
,requirem5t to submit proposal ,n lat]  
?an #fj days aft] ! effective date ( ?is
 ,act1 ! ,commission %all issue a notice
 ( propos$ rulemak+ to adopt a revis$   
proposal = rural support4  7,b7 ,recov]y
 ( reasonable inve/m5ts & op]at+ exp5ses
 ,! ,commission %all ensure t ! revis$  
proposal = rural support does n deprive 
a rural rate-(-return c>ri] ( !         
opportunity to recov] reasonable        
inve/m5ts & op]at+ exp5ses incurr$ prior

 to ! adoption "u subp>agraph 7,d7 ( !  
revis$ proposal = rural support4  7,c7  
,consultation ) ,jo9t ,bo>ds ,be=e !    
,commission issues a f9al rule "u       
subp>agraph 7,d7 to adopt a revis$      
proposal = rural support1 ! ,commission 
%all consult ) ! applicable ,f$]al-,/ate
 ,jo9t ,bo>d to ! ext5t t su*           
consultation is requir$ "u !            
,communications ,act ( #aicd 7#dg       
,u4,s4,c4 #aea et seq474  7,d7 ,f9al    
rule adopt+ proposal ,n e>li] ?an #de   
days & n lat] ?an #abj days aft] ! date 
on :i* ! ,commission issues ! notice (  
propos$ rulemak+ "u subp>agraph 7,a71 ! 
,commission %all issue a f9al rule      
adopt+ a revis$ proposal = rural        
support4  7#b7 ,report to ,congress ,n  
lat] ?an #fj days aft] ! effective date 
( ?is ,act1 ! ,commission %all submit to
 ! ,committee on ,comm]ce1 ,sci5ce1 &   
,transportation ( ! ,s5ate & !          
,committee on ,en]gy & ,comm]ce ( !     
,h\se ( ,repres5tatives-- 7,a7 a report 
t conta9s ! revis$ proposal = rural     

support publi%$ 9 ! notice ( propos$    
rulemak+ "u p>agraph 7#a77;,a72 &  7,b7 
a report t-- 7i7 describes ! am\nt (    
univ]sal s]vice fund+ necess>y to a*ieve
 univ]sal s]vice objectives dur+ !      
#aj-ye> p]iod foll[+ ! date on :i* !    
report is submitt$2 &  7ii7 includes--  
7,i7 quantitative & qualitative analysis
 9 support ( ! f9d+s ( ! ,commission "u 
clause 7i72 &  7,,ii7 a specific        
analysis id5tify+ ! unique circum/ances 
& result+ high-co/ loop support requir$ 
to provide & ma9ta9 univ]sal s]vice 9   
,alaska & on tribal l&s4  7c7 ,int]im   
limitations  7#a7 ,9 g5]al ,n lat] ?an  
#cj days aft] ! effective date ( ?is    
,act1 ! ,commission %all e/abli% int]im 
limitations on /udy area total unsep>at$
 loop co/s by-- 7,a7 det]m9+ ! annual   
,univ]sal ,s]vice ,fund di/ribution =   
ea* rural rate-(-return c>ri] on ! basis
 ( ! applicable rules t 7 9 effect on ! 
day be=e ! effective date ( !           
,trans=mation ,ord]2 &  7,b7 adju/+ !   
univ]sal s]vice di/ribution ( high-co/  

loop support t results f ! annual       
di/ribution det]m9$ "u p>agraph 7#a7 to 
reflect-- 7i7 ! revision to section     
#cf4fje ( title #dg1 ,code ( ,f$]al     
,regulations1 requir$ "u section #e (   
?is ,act2 &  7ii7 any revisions to      
responses to waiv] petitions requir$ "u 
section #f ( ?is ,act4  7#b7 ,duration  
,! int]im limitations e/abli%$ "u       
p>agraph 7#a7 %all be 9 effect until !  
date on :i* ! f9al rule requir$ "u      
subsection 7b77#a77;,d7 takes effect4   
#e4 ,safety net additive ,! ,commission 
%all am5d section #cf4fje7;a7 ( title   
#dg1 ,code ( ,f$]al ,regulations 7relat+
 to adju/m5ts to high-co/ loop support =
 rural rate-(-return c>ri]s7 to provide 
t1 beg9n+ on ,janu>y #a1 #bjab1 !       
calculation ( safety net additive       
support = a rural rate-(-return c>ri]   
%all include all j & reasonable         
inve/m5ts made by ! c>ri] prior to      
#bjab4  #f4 ,waiv]s  7a7 ,9 g5]al ,!    
,commission %all apply ! crit]ia & /&>ds
 "u ?is section :5 consid]+ a petition =

 a waiv] submitt$ by a rural c>ri]      
negatively affect$ by a revision adopt$ 
9 ! ,trans=mation ,ord]4  7b7           
,reasonable opportunity ,to recov] co/s 
,! ,commission %all grant a petition = a
 waiv] describ$ 9 subsection 7a7 if !   
,commission det]m9es a waiv] is necess>y
 to ensure t ! reque/+ rural c>ri] is   
af=d$ a reasonable opportunity to recov]
 ! co/s ( provid+ univ]sal s]vice1      
includ+ an equitable return on !        
inve/m5ts ! rural c>ri] made to provide 
univ]sal s]vice4  7c7 ,"t limit =       
consid]ation ( waiv] petition  7#a7 ,9  
g5]al ,n lat] ?an #ij days aft] ! date  
on :i* ! ,commission receives a petition
 = a waiv]1 ! ,commission %all grant or 
d5y ! petition4  7#b7 ,failure to act )9
 "t limit ,if ! ,commission fails to    
make a det]m9ation on a petition = a    
waiv] prior to ! expiration ( ! "t p]iod
 set =? "u p>agraph 7#a71 ! ,commission 
%all be deem$ to h grant$ ! petition4   
7#c7 ,waiv] petitions fil$ be=e         
effective date ,! ,commission %all      

reconsid]1 9 accordance ) ?is section1  
any petition = a waiv] relat+ to a      
revision to a regulation adopt$ 9 !     
,trans=mation ,ord] t-- 7,a7 0 submitt$ 
to ! ,commission dur+ ! p]iod beg9n+ on 
,novemb] #ah1 #bjaa1 & end+ on ! day    
be=e ! effective date ( ?is ,act2 &     
7,b7 is d5i$ by ! ,commission4  7d7     
,d5ial ( waiv] petition ,if !           
,commission d5ies a petition = a waiv]1 
9 :ole or 9 "p1 ! ,commission %all      
id5tify ) specificity-- 7#a7 any op]at+ 
exp5ses ( ! reque/+ c>ri] t !           
,commission det]m9es unreasonable2  7#b7
 any inve/m5ts made by ! reque/+ c>ri] t
 ! ,commission det]m9es are n us$ &     
useful 9 ! provision ( univ]sal s]vice2 
&  7#c7 ! und]ly+ basis = any           
det]m9ation "u p>agraph 7#a7 or 7#b74   
#g4 ,effective date ,?is ,act %all take 
effect #cj days aft] ! date ( enactm5t (
 ?is ,act4