,,ii #aagth ,,congress #b;d ,session ,s4 #eacg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,november #bi1 #bjbb,mr4 ,thune 7for himself1 ,mr4 ,lujn1 ,ms4 ,klobuchar1 and ,mrs4 ,fischer7 introduced the following bill2 which was read twice and referred to the ,committee on ,agriculture1 ,nutrition1 and ,forestry ,a ,,bill ,to amend the ,rural ,electrification ,act of #aicf to reauthorize and improve the ,re,connect loan and grant program1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,rural ,internet ,improvement ,act of #bjbb4 #b4 ,streamlining broadband authorities 7a7 ,in general ,section #fja of the ,rural ,electrification ,act of #aicf 7#g ,u4,s4,c4 #iej;bb7 is amended-- 7#a7 by striking the section heading and inserting ,re,connect ,program2 7#b7 in subsection 7b7-- 7,a7 by redesignating paragraph 7#c7 as paragraph 7#d72 and 7,b7 by inserting after paragraph 7#b7 the following3 7#c7 ,re,connect ,program ,the term ,re,connect ,program means the program established under this section4 2 7#c7 in subsection 7c7-- 7,a7 in paragraph 7#b77;,a7-- 7i7 in clause 7i7-- 7,i7 in subclause 7,i71 by striking #aj-,mbps and inserting #be-,mbps2 and 7,,ii7 in subclause 7,,ii71 by striking #a-,mbps and inserting #c-,mbps2 and 7ii7 by striking clause 7iv7 and inserting the following3 7iv7 give priority to applications from applicants that have demonstrated the technical and financial experience required to construct and operate broadband networks4 2 and 7,b7 by adding at the end the following3 7#e7 ,applications ,the ,secretary shall establish an application process for grants1 loans1 and loan guarantees under this section that-- 7,a7 reduces the amount of data required to apply by limiting the required data to only-- 7i7 the entity applying1 excluding any parent or affiliate entity that is not a party to the application1 to the greatest extent practicable2 and 7ii7 the geographic area affected by the application1 if a parent or affiliate is not a party to the application2 7,b7 simplifies the data interfaces for submission to the greatest extent practicable2 and 7,c7 allows all applicants1 regardless of whether an applicant is publicly traded1 to rely on a bond rating of at least investment grade 7when bond ratings are available7 in place of financial documentation4 2 7#d7 in subsection 7d7-- 7,a7 in paragraph 7#a7-- 7i7 in subparagraph 7,b71 by striking subsection 7j7 and inserting subsection 7l72 and 7ii7 by adding at the end the following3 7,c7 ,grant requirements ,the ,secretary-- 7i7 shall not restrict the eligibility of an entity for a grant under this section based on the legal structure of the entity2 7ii7 shall allow entities to apply for a grant under this section without regard to1 or preference for1 the legal structure of an entity2 7iii7 in determining the financial ability of an entity to carry out a project using a grant under this section1 shall allow the entity to demonstrate that financial ability by methods that-- 7,i7 the ,secretary determines to be the least burdensome2 and 7,,ii7 subject to clause 7v71 are not limited to providing the ,federal ,government an exclusive first lien on all grant-funded assets during the service obligation of the grant2 7iv7 subject to clause 7v71 in determining the required collateral to secure grant funds or to secure performance during the service obligation of a grant1 shall allow an awardee to offer alternative security1 such as a letter of credit1 in lieu of providing the ,federal ,government an exclusive first lien on all grant-funded assets2 and 7v7 if the ,secretary reasonably determines that alternative methods or alternative security established under clause 7iii77,,ii7 or 7iv7 are insufficient to secure performance with respect to a project under this section-- 7,i7 may require an entity to provide the ,federal ,government an exclusive first lien all grant-funded assets during the service obligation of the grant2 and 7,,ii7 shall release that lien after the ,secretary determines that the entity is performing to the satisfaction of the ,secretary4 2 and 7,b7 in paragraph 7#b7-- 7i7 in subparagraph 7,a77i71 by striking #ej and inserting #ij2 and 7ii7 by adding at the end the following3 7,d7 ,obligations to provide broadband service in the same service territory 7i7 ,definition of broadband infrastructure ,in this subparagraph1 the term broadband infrastructure means any cables1 fiber optics1 wiring1 or other permanent infrastructure that is integral to the structure1 including fixed wireless infrastructure1 that-- 7,i7 is capable of providing access to internet connections in individual locations2 and 7,,ii7 offers an advanced telecommunications capability 7as defined in section #gjf7;d7 of the ,telecommunications ,act of #aiif 7#dg ,u4,s4,c4 #acjb7;d7774 7ii7 ,other providers ,the ,secretary shall consider a proposed service territory with respect to which an eligible entity submits an application to carry out a project under this section to be served by broadband service if a broadband service provider other than that eligible entity is subject to an obligation by a ,federal1 ,state1 or local government entity to build broadband infrastructure and offer broadband service in that service territory1 subject to conditions-- 7,i7 under a ,federal1 ,state1 or local funding award program2 or 7,,ii7 otherwise required by the ,federal1 ,state1 or local government entity4 7iii7 ,other funding ,subject to clause 7iv71 the ,secretary shall not be required to consider a proposed service territory with respect to which an eligible entity submits an application to carry out a project under this section to be served by broadband service if that eligible entity has accepted an obligation under a ,federal1 ,state1 or local funding award program to build broadband infrastructure and offer broadband service in that service territory1 if the proposed project under this section-- 7,i7 would not be duplicative of the obligation under the other award program2 and 7,,ii7 would build broadband infrastructure that results in faster speeds or expedited milestones of deployment of broadband infrastructure in that service territory1 as compared to the obligation under the other award program4 7iv7 ,other obligations for lower transmission capacity ,the ,secretary shall consider a proposed service territory with respect to which an eligible entity submits an application to carry out a project under this section to be unserved by broadband service if an obligation under another award program described in clause 7iii7 would not provide broadband service of at least-- 7,i7 a #be-,mbps downstream transmission capacity2 and 7,,ii7 a #c-,mbps upstream transmission capacity4 7,e7 ,requirements for funding 7i7 ,affiliate owned and operated networks ,a grant1 loan1 or loan guarantee under this section may be used to construct networks that will be owned and operated by an affiliate of the eligible entity receiving the grant1 loan1 or loan guarantee1 subject to the condition that the eligible entity1 the affiliate1 or both1 as the ,secretary determines to be necessary1 shall provide adequate security for the grant1 loan1 or loan guarantee4 7ii7 ,negative covenants and conditions ,to the greatest extent practicable1 a project carried out using a grant1 loan1 or loan guarantee under this section shall not add any new negative covenants or conditions to the grant1 loan1 or loan guarantee agreement that were not previously disclosed to the eligible entity at the time of application for the grant1 loan1 or loan guarantee4 7iii7 ,ownership of systems 7,i7 ,in general ,a network constructed with a grant1 loan1 or loan guarantee under this section may be transferred to an unaffiliated provider that agrees-- 7aa7 to assume the service obligation2 and 7bb7 to provide appropriate and sufficient security for that network4 7,,ii7 ,determination ,the ,secretary shall not unreasonably withhold consent to enter into an appropriate agreement described in subclause 7,i7 with the transferee based on an evaluation by the ,secretary of the ability of the transferee to assume the agreement and provide security described in item 7bb7 of that subclause4 7iv7 ,reporting and auditing ,the ,secretary shall-- 7,i7 simplify1 to the maximum extent practicable1 ongoing reporting and auditing requirements for recipients of a grant1 loan1 or loan guarantee under this section2 and 7,,ii7 allow a recipient described in subclause 7,i7 whose financial information is consolidated with the financial information of a parent entity to rely on that consolidated financial information in complying with the requirements described in that subclause if the parent entity is providing a guarantee on behalf of a subsidiary of the parent entity with respect to the grant1 loan1 or loan guarantee4 7v7 ,procurement and contracting ,the ,secretary-- 7,i7 shall simplify1 to the maximum extent practicable1 requirements for recipients of a grant1 loan1 or loan guarantee under this section relating to the procurement of materials and retention of contractors2 and 7,,ii7 shall not unreasonably restrict the ability of a recipient described in subclause 7,i7 to obtain goods and services from affiliated entities4 2 7#e7 in subsection 7e77#a7-- 7,a7 in subparagraph 7,a71 by striking #be-,mbps and inserting #ajj-,mbps2 and 7,b7 in subparagraph 7,b71 by striking #c-,mbps and inserting #bj-,mbps2 7#f7 by redesignating subsections 7j7 and 7k7 as subsections 7l7 and 7m71 respectively2 7#g7 by inserting after subsection 7i7 the following3 7j7 ,regulations ,the ,secretary shall issue regulations to carry out this section in accordance with section #eec of title #e1 ,united ,states ,code4 7k7 ,annual reports ,not later than #abj days after the date of enactment of the ,rural ,internet ,improvement ,act of #bjbb1 and not less frequently than annually thereafter1 the ,secretary shall-- 7#a7 publish a report describing-- 7,a7 the distribution of amounts made available under the ,re,connect ,program for the preceding year2 7,b7 the number of locations at which broadband service was made available using amounts under the ,re,connect ,program for the preceding year2 7,c7 the number of locations described in subparagraph 7,b7 at which broadband service was used2 and 7,d7 the highest level of broadband service made available at each location described in subparagraph 7,b72 and 7#b7 submit the report described in paragraph 7#a7 to-- 7,a7 the ,committee on ,agriculture1 ,nutrition1 and ,forestry of the ,senate2 7,b7 the ,committee on ,commerce1 ,science1 and ,transportation of the ,senate2 7,c7 the ,committee on ,agriculture of the ,house of ,representatives2 and 7,d7 the ,committee on ,energy and ,commerce of the ,house of ,representatives4 2 and 7#h7 in subsection 7l7 7as so redesignated71 in paragraph 7#a71 by striking #cej1jjj1jjj for each of fiscal years #bjai through #bjbc and inserting such sums as are necessary for each fiscal year4 7b7 ,sunset ,beginning on the date that is #abj days after the date of enactment of this ,act1 section #ggi of division ,a of the ,consolidated ,appropriations ,act1 #bjah 7,public ,law #aae-ada2 #acb ,stat4 #cii71 shall have no force or effect4 7c7 ,transfer of amounts ,the unobligated balance1 as of the date that is #abj days after the date of enactment of this ,act1 of any amounts made available to carry out the pilot program described in section #ggi of division ,a of the ,consolidated ,appropriations ,act1 #bjah 7,public ,law #aae-ada2 #acb ,stat4 #cii7-- 7#a7 is transferred to1 and merged with1 amounts made available to carry out section #fja of the ,rural ,electrification ,act of #aicf 7#g ,u4,s4,c4 #iej;bb72 and 7#b7 shall remain available1 until expended1 and without further appropriation1 to carry out the ,re,connect ,program established under that section4 7d7 ,effect ,title ,,vi of the ,rural ,electrification ,act of #aicf 7#g ,u4,s4,c4 #iej;bb et seq47 is amended by adding at the end the following3 #fjg4 ,effect ,nothing in this title authorizes the ,secretary to regulate rates charged for broadband service4 4 7e7 ,public notice1 assessments1 and reporting requirements ,section #gja of the ,rural ,electrification ,act of #aicf 7#g ,u4,s4,c4 #iej;cc7 is amended-- 7#a7 in subsection 7a7-- 7,a7 in paragraph 7#a77;,a71 by inserting 1 including a complete shapefile map after applicant2 and 7,b7 in paragraph 7#b77;,d71 by striking 7c7 and inserting 7d72 7#b7 by redesignating subsections 7b7 through 7e7 as subsections 7c7 through 7f71 respectively2 7#c7 by inserting after subsection 7a7 the following3 7b7 ,challenge process 7#a7 ,in general ,the ,secretary shall establish a transparent1 evidence based1 and expeditious process for challenging1 with respect to any area for which assistance is sought under an application described in subsection 7a77#a71 whether that area has access to broadband service4 7#b7 ,notice ,the ,secretary shall make publicly available on the website of the ,department of ,agriculture a written notice describing-- 7,a7 the decision of the ,secretary on each challenge submitted under paragraph 7#a72 and 7,b7 the reasons for each decision described in subparagraph 7,a74 2 and 7#d7 by adding at the end the following3 7g7 ,public notice of eligible funding areas ,prior to making available to the public the database under subsection 7a71 the ,secretary shall make available to the public a fully searchable database on the website of the ,rural ,utilities ,service that contains information on areas eligible for assistance under retail broadband projects that are administered by the ,secretary in accordance with the maps created by the ,federal ,communications ,commission under section #hjb7;c77#a7 of the ,communications ,act of #aicd 7#dg ,u4,s4,c4 #fdb7;c77#a774 4 7f7 ,federal broadband program coordination ,section #fbab of the ,agriculture ,improvement ,act of #bjah 7#g ,u4,s4,c4 #iej;bb-#f7 is amended-- 7#a7 by redesignating subsections 7a71 7b71 7c71 and 7d7 as subsections 7b71 7c71 7e71 and 7a71 respectively1 and moving the subsections so as to appear in alphabetical order2 7#b7 in subsection 7a7 7as so redesignated71 in paragraph 7#c71 by striking section #fja7;b77#c7 of the ,rural ,electrification ,act of #aicf and inserting section #fja7;b7 of the ,rural ,electrification ,act of #aicf 7#g ,u4,s4,c4 #iej;bb7b772 7#c7 in subsection 7c7 7as so redesignated71 in paragraph 7#a7-- 7,a7 by striking ,the ,secretary and inserting the following3 7,a7 ,in general ,the ,secretary 2 and 7,b7 by adding at the end the following3 7,b7 ,re,connect ,program ,on awarding a grant1 loan1 or loan guarantee under the ,re,connect ,program established under section #fja of the ,rural ,electrification ,act of #aicf 7#g ,u4,s4,c4 #iej;bb71 the ,secretary shall notify the ,commission of that award4 2 and 7#d7 by inserting after subsection 7c7 7as so redesignated7 the following3 7d7 ,memorandum of understanding relating to outreach ,the ,secretary shall enter into a memorandum of understanding with the ,assistant ,secretary and the ,commission to facilitate outreach to residents and businesses in rural areas1 including-- 7#a7 to evaluate the broadband service needs in rural areas2 7#b7 to inform residents and businesses in rural areas of available ,federal programs that promote broadband access1 broadband affordability1 and broadband inclusion2 and 7#c7 for such additional goals as the ,secretary1 the ,assistant ,secretary1 and the ,commission determine to be appropriate4 4