,,ii #aafth ,,congress #b;d ,session ,s4 #dehg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,september #af1 #bjbj,mr4 ,graham 7for himself and ,mr4 ,scott of ,south ,carolina7 introduced the following bill2 which was read twice and referred to the ,committee on ,commerce1 ,science1 and ,transportation ,a ,,bill ,to amend the ,communications ,act of #aicd to establish a program to expand access to broadband in unserved and underserved areas1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,state ,funding for ,internet ,expansion ,act of #bjbj or the ,state ,fix ,act of #bjbj4 #b4 ,expansion of broadband access ,title ,i of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #aea et seq47 is amended by adding at the end the following3 #ad4 ,expansion of broadband access 7a7 ,definitions ,in this section3 7#a7 ,anchor institution ,the term anchor institution means-- 7,a7 a public or private elementary school or secondary school1 as those terms are defined in section #haja of the ,elementary and ,secondary ,education ,act of #aife 7#bj ,u4,s4,c4 #ghja72 7,b7 a library2 7,c7 a medical or healthcare provider2 7,d7 a museum2 7,e7 a public safety entity2 7,f7 public housing2 7,g7 an institution of higher education1 as that term is defined in section #aja of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajja71 including a community college2 or 7,h7 any other community support organization or agency4 7#b7 ,area ,the term area means the geographic unit of measurement with the greatest level of granularity that is reasonably feasible for the ,commission to use in making eligibility determinations under this section and in meeting the requirements and deadlines under this section4 7#c7 ,assistant ,secretary ,the term ,assistant ,secretary means the ,assistant ,secretary of ,commerce for ,communications and ,information4 7#d7 ,broadband ,the term broadband-- 7,a7 has the meaning given the term broadband internet access service in section #h4a7;b7 of title #dg1 ,code of ,federal ,regulations1 or any successor regulation2 7,b7 includes any service that is the functional equivalent of the service described in subparagraph 7,a72 and 7,c7 does not include dial-up internet access service4 7#e7 ,covered entity ,the term covered entity-- 7,a7 means an entity that-- 7i7 is owned by1 controlled by1 affiliated with1 or acting at the direction of an entity that is organized under the laws of1 or otherwise subject to the jurisdiction of1 a country1 the government of which is on the priority watch list established by the ,united ,states ,trade ,representative pursuant to section #ahb7;a7 of the ,trade ,act of #aigd 7#ai ,u4,s4,c4 #bbdb7;a772 and 7ii7 has engaged in an action that is prohibited under-- 7,i7 section #a7;a7 of ,executive ,order #achgc 7#hd ,fed4 ,reg4 #bbfhi2 relating to securing the information and communications technology and services supply chain72 or 7,,ii7 any regulations issued in response to the ,executive ,order described in subclause 7,i72 and 7,b7 includes any subsidiary1 affiliate1 employee1 or representative of1 and any related party with respect to1 an entity described in subparagraph 7,a71 without regard to the location or jurisdiction of incorporation of that subsidiary1 affiliate1 employee1 representative1 or party1 as applicable4 7#f7 ,funding recipient ,the term funding recipient means an entity that receives funding for a project under this section4 7#g7 ,program ,unless otherwise expressly indicated1 the term program means the program established under subsection 7b74 7#h7 ,project ,the term project means a project that uses funding made available under this section to construct and deploy infrastructure for the provision of broadband4 7#i7 ,public housing ,the term public housing-- 7,a7 has the meaning given the term in section #c7;b7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;a7b772 and 7,b7 includes housing receiving tenant-based rental assistance provided under section #h7o7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;f7o774 7#aj7 ,reverse auction ,the term reverse auction means an auction in which-- 7,a7 bids are submitted for a project by the entities that would construct or deploy infrastructure for the provision of broadband under the project2 and 7,b7 the winning bid is the bid that proposes serving an area for the lowest cost1 taking into consideration the preferences under subsection 7d77#b74 7#aa7 ,underserved area ,the term underserved area means an area in which more than #aj percent1 but not more than #ej percent1 of the population of the area has access to broadband-- 7,a7 with a download speed of at least #be megabits per second and not more than #ej megabits per second2 and 7,b7 with an upload speed of at least #c megabits per second4 7#ab7 ,unserved anchor institution ,the term unserved anchor institution means an anchor institution that does not have access to broadband offered-- 7,a7 with a download speed of at least #ajj megabits per second2 and 7,b7 with an upload speed of at least #aj megabits per second4 7#ac7 ,unserved area ,the term unserved area means an area in which not more than #aj percent of the population of the area has access to broadband-- 7,a7 with a download speed of at least #be megabits per second2 and 7,b7 with an upload speed of at least #c megabits per second4 7b7 ,program established ,not later than #bgj days after the date of enactment of this section1 the ,commission1 in consultation with the ,assistant ,secretary1 shall establish a program-- 7#a7 to expand access to broadband in unserved areas and underserved areas1 and for unserved anchor institutions1 in accordance with the requirements of this section2 and 7#b7 that-- 7,a7 is separate from any universal service program established under section #bed2 and 7,b7 does not require a funding recipient to be designated as an eligible telecommunications carrier under section #bad7;e74 7c7 ,use of program funds 7#a7 ,public notice 7,a7 ,in general ,not later than #bgj days after the date of enactment of this section1 the ,commission shall publish in the ,federal ,register a notice informing each ,state and the public that amounts made available to carry out this section shall be distributed under this subsection4 7,b7 ,contents ,the notice published under subparagraph 7,a7 shall include-- 7i7 the manner in which a ,state shall inform the ,commission of the acceptance by that ,state1 in whole or in part1 of the amounts to be distributed to the ,state under this subsection2 7ii7 a notification that the acceptance described in clause 7i7 shall be due on the date that is #de days after the date on which the ,commission issues the public notice2 and 7iii7 the requirements with respect to the use of the distributed amounts under this section and under any further requirements that the ,commission may prescribe4 7#b7 ,acceptance by ,states ,not later than #de days after the date on which the ,commission publishes the notice required under paragraph 7#a71 each ,state accepting amounts to be distributed under this subsection shall inform the ,commission of the acceptance1 in whole or in part1 by the ,state of those amounts in the manner described by the ,commission in the notice4 7#c7 ,expanding access to broadband through ,states 7,a7 ,in general ,not later than #a year after the date of enactment of this section1 the ,commission shall distribute amounts made available to carry out this section among the ,states that have agreed to accept the funds4 7,b7 ,formulas ,the amount that a ,state receives under subparagraph 7,a7 shall be the sum of-- 7i7 the amount obtained by-- 7,i7 dividing the number of individuals living in unserved areas in the ,state by the total number of individuals living in unserved areas in the ,united ,states2 and 7,,ii7 multiplying #hj percent of the amount made available to carry out this section by the quotient obtained under subclause 7,i72 and 7ii7 the amount obtained by-- 7,i7 dividing the number of individuals living in underserved areas in the ,state by the total number of individuals living in underserved areas in the ,united ,states2 and 7,,ii7 multiplying #bj percent of the amount made available to carry out this section by the quotient obtained under subclause 7,i74 7#d7 ,requirements for ,state receipt of amounts distributed ,each ,state accepting amounts distributed under this subsection-- 7,a7 may allocate those amounts only through a statewide reverse auction or auctions1 in the manner prescribed by the ,state1 subject to the requirements of this section 7including the rules promulgated under subsection 7g77 and any further requirements that the ,commission may prescribe2 7,b7 may make an allocation under subparagraph 7,a7 only-- 7i7 to a funding recipient to expand access to broadband in unserved areas within the ,state2 7ii7 to a funding recipient to expand access to broadband for unserved anchor institutions located in the ,state2 or 7iii7 if a ,state does not have1 or no longer has1 an unserved area within the ,state1 to a funding recipient to expand access to broadband in underserved areas in the ,state2 7,c7 shall-- 7i7 not later than #aj years after the date of enactment of this section1 return to the ,commission any unused portion of those amounts2 and 7ii7 before accepting those amounts1 submit to the ,commission a certification that the ,state will comply with clause 7i72 and 7,d7 may not use more than #e percent of those amounts to administer a reverse auction that complies with the requirements of this section4 7#e7 ,distribution of remaining funds ,in the case of any amounts remaining after the amounts made available to carry out this section are distributed under this subsection1 the ,commission shall transfer those amounts to the general fund of the ,treasury1 where those transferred amounts shall be dedicated for the sole purpose of deficit reduction4 7d7 ,program requirements 7#a7 ,technology neutrality required ,a ,state administering a reverse auction to make awards under subsection 7c7 may not favor a project using any particular technology4 7#b7 ,bidding preference ,consistent with the program1 there shall be a preference1 as determined by the entity administering a reverse auction1 for a bidder in the reverse auction that proposes a project that is described by any of the following3 7,a7 ,not less than #bj percent of the funds provided by the bidder with respect to the project are matched from private sources4 7,b7 ,the project would expand access to broadband on tribal lands1 as that term is defined by the ,commission4 7,c7 ,the project would provide broadband that has-- 7i7 latency of not more than #ej milliseconds2 and 7ii7 7,i7 a download speed that is greater than #ajj megabits per second or an upload speed of at least #bj megabits per second2 or 7,,ii7 a download speed of at least #a gigabit per second or an upload speed of at least #ajj megabits per second4 7,d7 ,the project would expand access to broadband in advance of the time specified in subsection 7g77#a77;,d74 7,e7 ,the project would expand access to broadband to areas in which the median household income is below #aej percent of the poverty threshold1 as defined by the ,bureau of the ,census4 7,f7 ,the project would provide affordable payment options to subscribers in locations served4 7#c7 ,notice1 transparency1 accountability1 and oversight required ,the program shall contain sufficient notice1 transparency1 accountability1 and oversight measures to-- 7,a7 provide the public with notice regarding the assistance provided under this section2 and 7,b7 deter waste1 fraud1 and abuse with respect to program funds4 7#d7 ,competence ,the program shall contain sufficient processes and requirements1 as established by each ,state participating in the program1 to ensure that each entity participating in a reverse auction conducted by the ,state-- 7,a7 is capable of carrying out the applicable project in a manner that is competent and that complies with all applicable ,federal1 ,state1 and local laws2 7,b7 has the financial capacity to-- 7i7 meet the buildout obligations of the applicable project2 and 7ii7 satisfy the requirements of this section and any other further requirements that the ,commission may prescribe in carrying out this section2 and 7,c7 has the technical and operational capacity to provide broadband in the manner contemplated by any bid placed by the entity during the reverse auction1 which shall include a detailed consideration of-- 7i7 the prior performance of the entity in constructing broadband infrastructure in rural areas2 and 7ii7 the capability of the proposed infrastructure to be constructed and deployed by the entity to provide the proposed broadband services in the area that the infrastructure would serve4 7e7 ,project requirements ,any project funded through the program shall satisfy the following requirements3 7#a7 ,the project shall adhere to quality-of-service standards established by the ,commission4 7#b7 ,the project-- 7,a7 shall offer broadband that1 at a minimum1 provides-- 7i7 a download speed of at least the greater of-- 7,i7 #ej megabits per second2 or 7,,ii7 the download speed required for an internet service to qualify as an advanced telecommunications capability1 as defined in section #gjf7;d7 of the ,telecommunications ,act of #aiif 7#dg ,u4,s4,c4 #acjb7;d772 7ii7 an upload speed of at least the greater of-- 7,i7 #aj megabits per second2 or 7,,ii7 the upload speed required for an internet service to qualify as an advanced telecommunications capability1 as defined in section #gjf7;d7 of the ,telecommunications ,act of #aiif 7#dg ,u4,s4,c4 #acjb7;d772 and 7iii7 a latency of not more than #ajj milliseconds2 and 7,b7 may offer broadband that1 at a minimum1 provides a download speed of at least #be megabits per second1 an upload speed of at least #c megabits per second1 and latency of not more than #ajj milliseconds1 if the project is also in compliance with subparagraph 7,a74 7#c7 ,the project shall incorporate prudent cybersecurity and supply chain risk management practices1 as specified by the ,commission in the rules promulgated under subsection 7g71 after consultation with the ,director of the ,national ,institute of ,standards and ,technology and the ,assistant ,secretary4 7#d7 7,a7 ,any laborer or mechanic employed by any contractor or subcontractor in the performance of work on the project shall be paid wages at rates not less than those prevailing on similar construction in the locality1 as determined by the ,secretary of ,labor under subchapter ,,iv of chapter #ca of title #dj1 ,united ,states ,code 7commonly referred to as the ,davis-,bacon ,act74 7,b7 ,with respect to the labor standards specified in subparagraph 7,a71 the ,secretary of ,labor shall have the authority and functions set forth in ,reorganization ,plan ,numbered #ad of #aiej 7#fd ,stat4 #abfg2 #e ,u4,s4,c4 ,app47 and section #cade of title #dj1 ,united ,states ,code4 7#e7 ,the funding recipient may not purchase any materials1 products1 or services from a covered entity4 7f7 ,determinations regarding unserved and underserved areas 7#a7 ,initial determination 7,a7 ,in general ,not later than #abj days after the date of enactment of this section1 the ,commission shall1 for the purposes of any reverse auction conducted under this section1 make an initial determination as to whether an area is an unserved area or an underserved area and whether an anchor institution is an unserved anchor institution4 7,b7 ,resources ,in making a determination under subparagraph 7,a71 the ,commission shall-- 7i7 to the extent practicable1 use the ,national ,broadband ,availability ,map2 7ii7 to the extent practicable1 use data from the ,broadband ,serviceable ,location ,fabric established under section #hjb7;b77#a77;,b72 7iii7 consider other data obtained or purchased by the ,commission that relates to access to broadband2 7iv7 consider other publicly available data or information regarding access to broadband2 and 7v7 consider other publicly available data or information on ,state broadband deployment programs and any additional information ,states have on their constituents' broadband access4 7#b7 ,challenge process ,the ,commission shall provide for a process-- 7,a7 for challenging any initial determination under paragraph 7#a72 7,b7 that1 at a minimum1 provides not less than #de days for a person to voluntarily submit information concerning-- 7i7 the broadband offered in the applicable area2 or 7ii7 the broadband offered to an anchor institution1 if applicable2 and 7,c7 that is sufficiently streamlined such that a reasonably prudent person that submits verified data1 or meets other requirements imposed by the ,commission1 may easily challenge an initial determination made under paragraph 7#a7 with little burden on that person4 7#c7 ,final determinations ,not later than #bbe days after the date of enactment of this section1 and after taking into consideration the challenges brought under paragraph 7#b71 the ,commission shall make a final determination of the areas that are unserved areas or underserved areas and which anchor institutions are unserved anchor institutions4 7g7 ,rulemaking1 distribution1 and award of funds 7#a7 ,in general ,not later than #bbe days after the date of enactment of this section1 the ,commission1 in consultation with the ,assistant ,secretary1 shall promulgate rules that accomplish the following3 7,a7 ,implement the requirements of this section4 7,b7 ,establish the design of1 and requirements for1 a reverse auction conducted by a ,state under this section4 7,c7 ,establish notice requirements for all reverse auctions conducted under this section that1 at a minimum1 and in accordance with the determinations made under subsection 7f71 provide the public with notice of-- 7i7 the initial determination of which areas are unserved areas or underserved areas under paragraph 7#a7 of that subsection2 7ii7 the final determination of which areas are unserved areas or underserved areas under paragraph 7#c7 of that subsection1 after the process for challenging the initial determination has concluded2 and 7iii7 with respect to a particular reverse auction1 which entities have applied to bid for funding4 7,d7 ,with respect to a funding recipient that receives funding under this section for a project1 provide that1 not later than #f years after the date on which the funding recipient receives the funding1 the funding recipient shall provide service to not less than #hj percent of the areas proposed to be served by the project4 7,e7 ,establish broadband buildout milestones and periodic certification by funding recipients to ensure compliance with the broadband buildout milestones4 7,f7 ,establish periodic reporting requirements for funding recipients that require those funding recipients to identify1 at a minimum1 with respect to the project to which the funding relates1 the technology used1 the level of service offered1 and the percentage of the applicable area served4 7,g7 ,establish mechanisms to reduce waste1 fraud1 and abuse within the program with respect to any reverse auction conducted under this section4 7,h7 ,establish processes to-- 7i7 assist ,states in conducting statewide reverse auctions2 7ii7 coordinate with ,states to ensure that funds disbursed by the ,commission and program funds awarded by the ,states are not used to expand access to broadband in the same unserved areas2 7iii7 coordinate with other ,federal programs that expand access to broadband1 such as the program set forth under subpart ,d of part #ed of title #dg1 ,code of ,federal ,regulations 7or any successor regulations71 the program set forth under subpart ,j of part #ed of title #dg1 ,code of ,federal ,regulations 7or any successor regulations71 and the broadband loan and grant pilot program authorized under section #ggi of division ,a of the ,consolidated ,appropriations ,act1 #bjah 7,public ,law #aae-ada2 #acb ,stat4 #cii71 to ensure the efficient use of program funds2 and 7iv7 ensure that each participating ,state conducts a reverse auction in a manner that-- 7,i7 achieves the goals of this section2 and 7,,ii7 does not conflict with the rules of1 or reverse auctions conducted by1 the ,commission4 7#b7 ,sense of ,congress ,it is the sense of ,congress that1 in conducting the rulemaking under paragraph 7#a71 the ,commission should consider using milestones for completion under the program that are similar to those with respect to the program set forth under subpart ,j of part #ed of title #dg1 ,code of ,federal ,regulations 7or any successor regulations74 7#c7 ,state rulemaking requirements ,a ,state that accepts funding under the program shall promulgate rules that establish-- 7,a7 standard penalties for any funding recipient or project that does not comply with this section or with any additional requirements imposed by the ,state with respect to a reverse auction conducted by the ,state2 and 7,b7 procedures for the recovery of funds1 in whole or in part1 from a funding recipient if the funding recipient1 or the project carried out by the funding recipient1 fails to comply with the requirements of this section or with any additional requirements imposed by the ,state with respect to a reverse auction conducted by the ,state4 7h7 ,reports required 7#a7 ,inspector ,general and ,comptroller ,general annual reports ,not later than #a year after the date on which funds are first awarded under the program1 and annually thereafter through fiscal year #bjbi1 the ,inspector ,general of the ,commission and the ,comptroller ,general of the ,united ,states shall submit to the ,committee on ,commerce1 ,science1 and ,transportation of the ,senate and the ,committee on ,energy and ,commerce of the ,house of ,representatives a report that-- 7,a7 reviews the program for the year covered by the report2 and 7,b7 includes any recommendations to address waste1 fraud1 and abuse with respect to the program4 7#b7 ,state reports ,a ,state that1 in a year1 receives funds under the program shall submit to the ,commission-- 7,a7 a report regarding how those funds were spent during the applicable year2 and 7,b7 a certification that the ,state1 for that year1 has complied with the requirements of this section and with any further requirements prescribed by the ,commission in carrying out this section1 including a description of services provided with those funds and the number of locations to which broadband service was provided with those funds4 7i7 ,authorization of appropriations ,there is authorized to be appropriated to the ,commission #bj1jjj1jjj1jjj for fiscal year #bjbj to carry out the program1 which shall remain available through fiscal year #bjbi4 4