Before the

**Federal Communications Commission**

**Washington, D.C. 20554**

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**FURTHER NOTICE OF PROPOSED RULE MAKING**

**Adopted:** January 22, 2001 **Released:** January 23, 2001

**Comment Date:** 15 days after publication in Federal Register

**Reply Date:** 22 days after publication in Federal Register

By the Commission:

# Introduction

1.  On December 21, 2000, the President signed into law the Children's
    Internet Protection Act (the CHIP Act), included as part of the
    Consolidated Appropriations Act, 2001.[^1] Section 1721 and related
    sections of the CHIP Act provide that in order to be eligible under
    section 254 of the Communications Act of 1934, as amended (the
    Act),[^2] to receive discounted Internet access, Internet services,
    and internal connection services, schools and libraries that have
    computers with Internet access must have in place certain Internet
    safety policies.[^3] In this Further Notice of Proposed Rulemaking
    (Notice), we seek comment on implementation of the legislation.

# Background

2.  The CHIP Act, the full text of which is attached as Appendix A,
    amends, *inter alia*, section 254 of the Communications Act of 1934,
    as amended, to impose new requirements on schools and libraries
    receiving discounted services supported by the schools and libraries
    universal service support mechanism. Under the schools and libraries
    universal service support mechanism, eligible schools, libraries,
    and consortia that include eligible schools and libraries, may apply
    for discounted eligible telecommunications, Internet access, and
    internal connections services.[^4]

3.  The CHIP Act addresses the issue of Internet safety, mandating
    certifications by schools and libraries receiving Internet access
    and internal connection services supported by the schools and
    libraries support mechanism that they are enforcing a policy of
    Internet safety and enforcing the operation of a technology
    prevention measure. Recipients must have in place an Internet safety
    policy that includes the operation of a technology prevention
    measure that protects against Internet access for both adults and
    minors to visual depictions that are obscene, child pornography,
    and, with respect to use of the computers by minors, harmful to
    minors.[^5] Schools (but not libraries) must also certify that their
    policy includes monitoring the online activities of minors.[^6] The
    legislation also requires schools and libraries to certify that they
    have adopted and implemented a separate Internet safety policy to
    address other issues, such as unauthorized access by minors online,
    and the safety and security of minors when using electronic mail,
    chat rooms, and other forms of communication.[^7]

4.  Sections 254(h)(5)(E)(i)(I) and 254(h)(6)(E)(i)(I) of the Act, as
    amended, provide that schools and libraries shall make the
    certifications under subparagraphs (B) and (C) "with respect to the
    first program funding year under this subsection following such
    effective date, not later than 120 days after the beginning of such
    program year . . ."[^8] Funding year 4 of the schools and libraries
    universal service funding mechanism, which begins on July 1, 2001
    and ends on June 30, 2002, is the first program year after the
    effective date. Therefore, the first CHIP Act certifications
    pursuant to sections 254(h)(5) and (h)(6) are due on or before
    October 28, 2001. The CHIP Act requires the Commission to ensure
    that regulations pursuant to section 254(h) are effective within 120
    days of the December 21, 2000 date of enactment of the Act.[^9]

## ISSUES FOR COMMENT

5.  In this Notice, we seek comment generally on implementation of the
    CHIP Act as it affects section 254 of the Communications Act of
    1934, as amended. We seek comment in particular on the following
    issues.

6.  We tentatively conclude that the most efficient and effective way of
    obtaining the certifications required under the legislation, while
    imposing the least burden on recipients, is to modify an existing
    FCC Form to include a certification that the recipient is in
    compliance with the requirements of the legislation, or that the
    statute does not apply. We propose that recipients use one of the
    following certifications: "I certify that the recipient complies
    with all relevant provisions of the Children's Internet Protection
    Act, 42 U.S.C. § 254(h)." Or, "I certify that the requirements of
    the Children's Internet Protection Act, 42 U.S.C. § 254(h), do not
    apply." We seek comment on this proposal.

7.  We contemplate for funding year 4 that FCC Form 486, the Receipt of
    Service Confirmation Form, could serve as the appropriate means of
    certification pursuant to the CHIP Act when modified to include the
    required certification.[^10] In future years, we contemplate adding
    the certification to the Form 471. We invite comment on use of these
    forms for this purpose.

8.  Under the schools and libraries universal service funding mechanism,
    applicants often include entire school districts, comprising
    numerous schools, or consortia that include eligible schools and
    libraries. We therefore seek comment on which entities in these and
    other situations may make the certifications required under the CHIP
    Act.

9.  Although the CHIP Act specifies when eligible entities must make the
    certifications under 254(h) for enforcing, for both minors and
    adults, a policy of Internet safety that includes operation of a
    technology protection measure,[^11] the statute does not similarly
    specify when eligible entities must certify that they are in
    compliance with the separate Internet safety policy described in
    section 254(l).[^12] We seek comment on whether the timing
    requirements under section 254(h)(5)(E) and 254(h)(6)(E) also apply
    to certifications by schools and libraries regarding the adoption
    and implementation of an Internet safety policy as required by
    section 254(l).

10. Sections 254(h)(5)(F) and 254(h)(6)(F) set forth consequences for
    schools or libraries that fail to submit certifications or fail to
    comply with the CHIP Act certifications.[^13] These sections also
    set forth procedures for remedying noncompliance.[^14] We seek
    comment on whether any rules are necessary to implement these
    remedial provisions of the statute, and how these provisions can be
    implemented in a way that is administratively efficient and fair to
    applicants. We invite comment on how these provisions should be
    implemented in light of the annual funding cycle, our rule imposing
    a cap on the amount of federal universal service support for schools
    and libraries, and our rule that provides priority for applicants
    that file within a specified filing period.[^15] Finally, we invite
    commenters to address any additional issues regarding effective
    implementation of the CHIP Act by the Commission.

## PROCEDURAL MATTERS 

**A. Paperwork Reduction Act**

11. As part of our continuing effort to reduce paperwork burdens, we
    invite the general public to take this opportunity to comment on
    information collections contained in this Further Notice, as
    required by the Paperwork Reduction Act of 1995, Pub. L. No. 104-13.
    Public and agency comments are due at the same time as other
    comments on this Further Notice. Comments should address: (a)
    whether the proposed collection of information is necessary for the
    proper performance of the functions of the Commission, including
    whether the information shall have practical utility; (b) the
    accuracy of the Commission\'s burden estimates; (c) ways to enhance
    the quality, utility, and clarity of the information collected;
    and (d) ways to minimize the burden of the collection of information
    on the respondents, including the use of automated collection
    techniques or other forms of information technology.

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B.  **Initial Regulatory Flexibility Analysis**

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12. As required by the Regulatory Flexibility Act (RFA),[^16] the
    Commission has prepared this Initial Regulatory Flexibility Analysis
    (IRFA) of the possible significant economic impact on small entities
    by the policies and rules proposed in this Notice. Written public
    comments are requested on this IRFA. Comments must be identified as
    responses to the IRFA and must be filed by the deadlines for
    comments on the Notice provided below in section IV.C. The
    Commission will send a copy of the Further Notice, including this
    IRFA, to the Chief Counsel for Advocacy of the Small Business
    Administration (SBA).[^17] In addition, the Notice and IRFA (or
    summaries thereof) will be published in the Federal Register.[^18]

### 1. Need for, and Objectives of, the Proposed Rules {#need-for-and-objectives-of-the-proposed-rules .unnumbered}

13. The Children's Internet Protection Act, included as part of the
    Consolidated Appropriations Act, 2001, Pub. L. 106-554, requires the
    Commission to prescribe regulations in order to implement the
    legislation.[^19] This Notice seeks to obtain comments about
    procedures that may be implemented in accordance with those
    requirements.

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2.  **Legal Basis**

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14. The legal basis for this Notice is contained in the Children's
    Internet Protection Act, included as part of the Consolidated
    Appropriations Act, 2001, Pub. L. 106-554, and in sections 1 through
    4, 201 through 205, 254, 303(r), and 403 of the Communications Act
    of 1934, as amended by the Telecommunications Act of 1996, 47 U.S.C.
    §§ 1-4, 201-205, 254, 303(r), and 403, and section 1.411 of the
    Commission's rules, 47 C.F.R. § 1.411.

### Description and Estimate of the Number of Small Entities To Which Rules Will Apply

15. The RFA directs agencies to provide a description of and, where
    feasible, an estimate of the number of small entities that may be
    affected by the proposed rules, if adopted.[^20] The RFA generally
    defines the term "small entity" as having the same meaning as the
    terms "small business," "small organization," and "small
    governmental jurisdiction."[^21] In addition, the term "small
    business" has the same meaning as the term "small business concern"
    under the Small Business Act.[^22] A small business concern is one
    that: (1) is independently owned and operated; (2) is not dominant
    in its field of operation; and (3) satisfies any additional criteria
    established by the Small Business Administration (SBA).[^23] A small
    organization is generally "any not-for-profit enterprise which is
    independently owned and operated and is not dominant in its
    field."[^24] Nationwide, as of 1992, there were approximately
    275,801 small organizations.[^25] "Small governmental
    jurisdiction"[^26] generally means "governments of cities, counties,
    towns, townships, villages, school districts, or special districts,
    with a population of less than 50,000."[^27] As of 1992, there were
    approximately 85,006 such jurisdictions in the United States.[^28]
    This number includes 38,978 counties, cities, and towns; of these,
    37,566, or 96 percent, have populations of fewer than 50,000.[^29]
    The Census Bureau estimates that this ratio is approximately
    accurate for all governmental entities. Thus, of the 85,006
    governmental entities, we estimate that 81,600 (96 percent) are
    small entities.

16. Under the schools and libraries universal service support mechanism,
    which provides support for elementary and secondary schools and
    libraries, an elementary school is generally "a non-profit
    institutional day or residential school that provides elementary
    education, as determined under state law."[^30] A secondary school
    is generally as "a non-profit institutional day or residential
    school that provides secondary education, as determined under state
    law," and not offering education beyond grade 12.[^31] For-profit
    schools and libraries, and schools and libraries with endowments in
    excess of \$50,000,000, are not eligible to receive discounts under
    the program, nor are libraries whose budgets are not completely
    separate from any schools.[^32] Certain other statutory definitions
    apply as well.[^33] The SBA has defined as small entities elementary
    and secondary schools and libraries having \$5 million or less in
    annual receipts.[^34] In funding year 2 (July 1, 1999 to June
    20, 2000) approximately 83,700 schools and 9,000 libraries received
    funding under the schools and libraries universal service mechanism.
    Although we are unable to estimate with precision the number of
    these entities that would qualify as small entities under SBA's
    definition, we estimate that fewer than 83,700 schools and 9,000
    libraries would be affected annually by the rules proposed in this
    Notice, under current operation of the program.[^35]

### Description of Projected Reporting, Recordkeeping, and Other Compliance Requirements

17. The measures under consideration in this Notice would, if adopted,
    result in minimal additional reporting. Specifically, the Notice
    proposes to require eligible schools and libraries receiving federal
    universal service support for Internet access or internal
    connections to make one of the following certifications: "I certify
    that the recipient complies with all relevant provisions of the
    Children's Internet Protection Act, 42 U.S.C. § 254(h);" or, "I
    certify that the requirements of the Children's Internet Protection
    Act, 42 U.S.C. § 254(h), do not apply." The Commission proposes
    modifying FCC Form 486 to include a certification for funding year
    4, and modifying FCC Form 471 to include the certification for
    future years. These forms are already completed on a regular basis,
    and the modification would merely require the checking of one
    additional box prior to signing the form. We estimate that it would
    take no more than one minute to review and check the appropriate
    certification box. The Commission tentatively concludes that this
    approach would be the most effective procedure for implementation of
    the CHIP Act's requirements, and the least burdensome to applicants.

### Steps Taken to Minimize Significant Economic Impact on Small Entities, and Significant Alternatives Considered

18. The RFA requires an agency to describe any significant alternatives
    that it has considered in reaching its proposed approach, which may
    include the following four alternatives (among others): (1) the
    establishment of differing compliance and reporting requirements or
    timetables that take into account the resources available to small
    entities; (2) the clarification, consolidation, or simplification of
    compliance or reporting requirements under the rule for small
    entities; (3) the use of performance, rather than design, standards;
    and (4) an exemption from coverage of the rule, or part thereof, for
    small entities.[^36]

19. This requirement is legislatively mandated, and the Commission is
    merely attempting to implement it in most effective and least
    burdensome manner possible. Given that a certification is required
    by the legislation, we considered the alternative of having each
    school and library submit separate documentation, including the
    appropriate certification, but such an approach would likely be
    unnecessarily burdensome on these entities. As discussed above, the
    Commission tentatively concludes that adding a certification
    requirement to an existing FCC form is the least burdensome
    alternative for implementing the requirements of the CHIP Act. The
    Commission will consider other options as well, based in part on
    input from commenters.

### Federal Rules that may Duplicate, Overlap, or Conflict with the Proposed Rules

20. None.

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B.  

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C.  **Comment Due Dates and Filing Procedures**

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21. We invite comment on the issues and questions set forth in the
    Further Notice of Proposed Rulemaking and Initial Regulatory
    Flexibility Analysis contained herein. Pursuant to applicable
    procedures set forth in sections 1.415 and 1.419 of the Commission's
    rules,[^37] interested parties may comment on or before 15 days
    after this Notice is published in the Federal Register, and reply
    comment on or before 22 days after this Notice is published in the
    Federal Register. Comments may be filed using the Commission's
    Electronic Comment Filing System (ECFS) or by filing paper copies.
    *See* Electronic Filing of Documents in Rulemaking Proceedings, 63
    Fed. Reg. 24,121 (1998).

22. Comments filed through the ECFS can be sent as an electronic file
    via the Internet to \<http://www.fcc.gov/e-file/ecfs.html\>.
    Generally, only one copy of an electronic submission must be filed.
    If multiple docket or rulemaking numbers appear in the caption of
    this proceeding, however, commenters must transmit one electronic
    copy of the comments to each docket or rulemaking number referenced
    in the caption. In completing the transmittal screen, commenters
    should include their full name, Postal Service mailing address, and
    the applicable docket or rulemaking number. Parties may also submit
    electronic comments by Internet e-mail. To receive filing
    instructions for e-mail comments, commenters should send an e-mail
    to ecfs@fcc.gov, and should include the following words in the body
    of the message, "get form \<your e-mail address\>." A sample form
    and directions will be sent in reply.

23. Parties who choose to file by paper must file an original and four
    copies of each filing. If more than one docket or rulemaking number
    appears in the caption of this proceeding, commenters must submit
    two additional copies for each additional docket or rulemaking
    number. All filings must be sent to the Commission's Secretary,
    Magalie Roman Salas, Office of the Secretary, Federal Communications
    Commission, 445 12th Street, S.W., Washington, D.C. 20554. Parties
    also should send three paper copies of their filing to Sheryl Todd,
    Accounting Policy Division, Common Carrier Bureau, Federal
    Communications Commission, 445 Twelfth Street, S.W., Room 5-B540,
    Washington, D.C. 20554.

24. Parties who choose to file by paper should also submit their
    comments on diskette to Sheryl Todd, Accounting Policy Division,
    Common Carrier Bureau, Federal Communications Commission, 445
    Twelfth Street, S.W., Room 5-B540, Washington, D.C. 20554. Such a
    submission should be on a 3.5 inch diskette formatted in an
    IBM-compatible format using Microsoft Word 97 for Windows or a
    compatible software. The diskette should be accompanied by a cover
    letter and should be submitted in "read-only" mode. The diskette
    should be clearly labeled with the commenter's name, proceeding,
    including the lead docket number in the proceeding (CC Docket No.
    96-45), type of pleading (comment or reply comment), date of
    submission, and the name of the electronic file on the diskette. The
    label should also include the following phrase ("Disk Copy Not an
    Original.") Each diskette should contain only one party's pleadings,
    preferably in a single electronic file. In addition, commenters must
    send diskette copies to the Commission's copy contractor,
    International Transcription Service, Inc., 1231 20th Street, N.W.,
    Washington, D.C. 20037.

25. Written comments by the public on the proposed and/or modified
    information collections pursuant to the Paperwork Reduction Act of
    1995, Pub. L. No. 104-13, are due on or before 15 days after date of
    publication in the Federal Register. Written comments must be
    submitted by the Office of Management and Budget (OMB) on the
    proposed and/or modified information collections on or before 60
    days after date of publication in the Federal Register. In addition
    to filing comments with the Secretary, a copy of any comments on the
    information collections contained herein should be submitted to Judy
    Boley, Federal Communications Commission, Room 1-C804, 445 12th
    Street, S.W., Washington, DC 20554, or via the Internet to
    [jboley@fcc.gov]{.underline} and to Edward Springer, OMB Desk
    Officer, 10236 NEOB, 725 - 17th Street, N.W., Washington, D.C.
    20503.

# V. ORDERING CLAUSES {#v.-ordering-clauses .unnumbered}

26. Accordingly, IT IS ORDERED that, pursuant to the authority contained
    in the Children's Internet Protection Act, included as part of the
    Consolidated Appropriations Act, 2001, Pub. L. 106-554, and in
    sections 1-4, 201-205, 254, 303(r), and 403 of the Communications
    Act of 1934, as amended, 47 U.S.C. §§ 151-154, 201-205, 254, 303(r),
    403, and section 1.411 of the Commission's rules, 47 C.F.R. § 1.411,
    this FURTHER NOTICE OF PROPOSED RULEMAKING IS ADOPTED, as described
    herein.

27. IT IS FURTHER ORDERED that the Commission's Consumer Information
    Bureau, Reference Information Center, SHALL SEND a copy of this
    Further Notice of Proposed Rulemaking, including the Initial
    Regulatory Flexibility Analysis, to the Chief Counsel for Advocacy
    of the Small Business Administration.

> FEDERAL COMMUNICATIONS COMMISSION
>
> Magalie Roman Salas

Secretary

**APPENDIX A**

**CHILDREN'S INTERNET PROTECTION ACT (Pub. L. 106-554)**

**TITLE XVII\--CHILDREN\'S INTERNET PROTECTION**

**SEC. 1701. SHORT TITLE.**

This title may be cited as the \`\`Children\'s Internet Protection
Act\'\'.

**SEC. 1702. DISCLAIMERS.**

**DISCLAIMER REGARDING CONTENT.\--**Nothing in this title or the
amendments made by this title shall be construed to prohibit a local
educational agency, elementary or secondary school, or library from
blocking access on the Internet on computers owned or operated by that
agency, school, or library to any content other than content covered by
this title or the amendments made by this title.

\(b\) **DISCLAIMER REGARDING PRIVACY.\--**Nothing in this title or the
amendments made by this title shall be construed to require the tracking
of Internet use by any identifiable minor or adult user.

**SEC. 1703. STUDY OF TECHNOLOGY PROTECTION MEASURES.**

**IN GENERAL.\--**Not later than 18 months after the date of the
enactment of this Act, the National Telecommunications and Information
Administration shall initiate a notice and comment proceeding for
purposes of---

\(1\) evaluating whether or not currently available technology
protection measures, including commercial Internet blocking and
filtering software, adequately addresses the needs of educational
institutions;

\(2\) making recommendations on how to foster the development of
measures that meet such needs; and

\(3\) evaluating the development and effectiveness of local Internet
safety policies that are currently in operation after community input.

**DEFINITIONS.\--**In this section:

**TECHNOLOGY PROTECTION MEASURE.\--**The term \`\`technology protection
measure\'\' means a specific technology that blocks or filters Internet
access to visual depictions that are---

\(A\) obscene, as that term is defined in section 1460 of title 18,
United States Code;

\(B\) child pornography, as that term is defined in section 2256 of
title 18, United States Code; or

\(C\) harmful to minors.

\(2\) **HARMFUL TO MINORS.\--**The term \`\`harmful to minors\'\' means
any picture, image, graphic image file, or other visual depiction
that\--

\(A\) taken as a whole and with respect to minors, appeals to a prurient
interest in nudity, sex, or excretion;

\(B\) depicts, describes, or represents, in a patently offensive way
with respect to what is suitable for minors, an actual or simulated
sexual act or sexual contact, actual or simulated normal or perverted
sexual acts, or a lewd exhibition of the genitals; and

\(C\) taken as a whole, lacks serious literary, artistic, political, or
scientific value as to minors.

\(3\) **SEXUAL ACT; SEXUAL CONTACT.\--**The terms \`\`sexual act\'\' and
\`\`sexual contact\'\' have the meanings given such terms in section
2246 of title 18, United States Code.

Subtitle A\--Federal Funding for Educational Institution Computers

**SEC. 1711. LIMITATION ON AVAILABILITY OF CERTAIN FUNDS FOR SCHOOLS.**

Title III of the Elementary and Secondary Education Act of 1965 (20
U.S.C. 6801 et seq.) is amended by adding at the end the following:

**\`\`PART F\--LIMITATION ON AVAILABILITY OF CERTAIN FUNDS FOR SCHOOLS**

**\`\`SEC. 3601. LIMITATION ON AVAILABILITY OF CERTAIN FUNDS FOR
SCHOOLS.**

\`\`(a) **INTERNET SAFETY**.---

\`\`(1) **IN GENERAL**.\--No funds made available under this title to a
local educational agency for an elementary or secondary school that does
not receive services at discount rates under section 254(h)(5) of the
Communications Act of 1934, as added by section 1721 of Children\'s
Internet Protection Act, may be used to purchase computers used to
access the Internet, or to pay for direct costs associated with
accessing the Internet, for such school unless the school, school board,
local educational agency, or other authority with responsibility for
administration of such school both---

\`\`(A)(i) has in place a policy of Internet safety for minors that
includes the operation of a technology protection measure with respect
to any of its computers with Internet access that protects against
access through such computers to visual depictions that are---

\`\`(I) obscene;

\`\`(II) child pornography; or

\`\`(III) harmful to minors; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers by minors; and

\`\`(B)(i) has in place a policy of Internet safety that includes the
operation of a technology protection measure with respect to any of its
computers with Internet access that protects against access through such
computers to visual depictions that are---

\`\`(I) obscene; or

\`\`(II) child pornography; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers.

\`\`(2) **TIMING AND APPLICABILITY OF IMPLEMENTATION**.\--

\`\`(A) **IN GENERAL**.\--The local educational agency with
responsibility for a school covered by paragraph (1) shall certify the
compliance of such school with the requirements of paragraph (1) as part
of the application process for the next program funding year under this
Act following the effective date of this section, and for each
subsequent program funding year thereafter.

\`\`(B) **PROCESS**.---

\`\`(i) **SCHOOLS WITH INTERNET SAFETY POLICIES AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A local educational agency with
responsibility for a school covered by paragraph (1) that has in place
an Internet safety policy meeting the requirements of paragraph (1)
shall certify its compliance with paragraph (1) during each annual
program application cycle under this Act.

\`\`(ii) **SCHOOLS WITHOUT INTERNET SAFETY POLICIES AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A local educational agency with
responsibility for a school covered by paragraph (1) that does not have
in place an Internet safety policy meeting the requirements of paragraph
(1)---

\`\`(I) for the first program year after the effective date of this
section in which the local educational agency is applying for funds for
such school under this Act, shall certify that it is undertaking such
actions, including any necessary procurement procedures, to put in place
an Internet safety policy that meets such requirements; and

\`\`(II) for the second program year after the effective date of this
section in which the local educational agency is applying for funds for
such school under this Act, shall certify that such school is in
compliance with such requirements.

Any school covered by paragraph (1) for which the local educational
agency concerned is unable to certify compliance with such requirements
in such second program year shall be ineligible for all funding under
this title for such second program year and all subsequent program years
until such time as such school comes into compliance with such
requirements.

\`\`(iii) **WAIVERS**.\--Any school subject to a certification under
clause (ii)(II) for which the local educational agency concerned cannot
make the certification otherwise required by that clause may seek a
waiver of that clause if State or local procurement rules or regulations
or competitive bidding requirements prevent the making of the
certification otherwise required by that clause. The local educational
agency concerned shall notify the Secretary of the applicability of that
clause to the school. Such notice shall certify that the school will be
brought into compliance with the requirements in paragraph (1) before
the start of the third program year after the effective date of this
section in which the school is applying for funds under this title.

\`\`(3) **DISABLING DURING CERTAIN USE**.\--An administrator,
supervisor, or person authorized by the responsible authority under
paragraph (1) may disable the technology protection measure concerned to
enable access for bona fide research or other lawful purposes.

\`\`(4) **NONCOMPLIANCE**.---

\`\`(A) **USE OF GENERAL EDUCATION PROVISIONS ACT REMEDIES**.\--Whenever
the Secretary has reason to believe that any recipient of funds under
this title is failing to comply substantially with the requirements of
this subsection, the Secretary may---

\`\`(i) withhold further payments to the recipient under this title,

\`\`(ii) issue a complaint to compel compliance of the recipient through
a cease and desist order, or

\`\`(iii) enter into a compliance agreement with a recipient to bring it
into compliance with such requirements, in same manner as the Secretary
is authorized to take such actions under sections 455, 456, and 457,
respectively, of the General Education Provisions Act (20 U.S.C. 1234d).

\`\`(B) **RECOVERY OF FUNDS PROHIBITED**.\--The actions authorized by
subparagraph (A) are the exclusive remedies available with respect to
the failure of a school to comply substantially with a provision of this
subsection, and the Secretary shall not seek a recovery of funds from
the recipient for such failure.

\`\`(C) **RECOMMENCEMENT OF PAYMENTS**.\--Whenever the Secretary
determines (whether by certification or other appropriate evidence) that
a recipient of funds who is subject to the withholding of payments under
subparagraph (A)(i) has cured the failure providing the basis for the
withholding of payments, the Secretary shall cease the withholding of
payments to the recipient under that subparagraph.

\`\`(5) **DEFINITIONS**.\--In this section:

\`\`(A) **COMPUTER**.\--The term \`computer\' includes any hardware,
software, or other technology attached or connected to, installed in, or
otherwise used in connection with a computer.

\`\`(B) **ACCESS TO INTERNET**.\--A computer shall be considered to have
access to the Internet if such computer is equipped with a modem or is
connected to a computer network which has access to the Internet.

\`\`(C) **ACQUISITION OR OPERATION**.\--A elementary or secondary school
shall be considered to have received funds under this title for the
acquisition or operation of any computer if such funds are used in any
manner, directly or indirectly---

\`\`(i) to purchase, lease, or otherwise acquire or obtain the use of
such computer; or

\`\`(ii) to obtain services, supplies, software, or other actions or
materials to support, or in connection with, the operation of such
computer.

\`\`(D) **MINOR**.\--The term \`minor\' means an individual who has not
attained the age of 17.

\`\`(E) **CHILD PORNOGRAPHY**.\--The term \`child pornography\' has the
meaning given such term in section 2256 of title 18, United States Code.

\`\`(F) **HARMFUL TO MINORS**.\--The term \`harmful to minors\' means
any picture, image, graphic image file, or other visual depiction
that---

\`\`(i) taken as a whole and with respect to minors, appeals to a
prurient interest in nudity, sex, or excretion;

\`\`(ii) depicts, describes, or represents, in a patently offensive way
with respect to what is suitable for minors, an actual or simulated
sexual act or sexual contact, actual or simulated normal or perverted
sexual acts, or a lewd exhibition of the genitals; and

\`\`(iii) taken as a whole, lacks serious literary, artistic, political,
or scientific value as to minors.

\`\`(G) **OBSCENE**.\--The term \`obscene\' has the meaning given such
term in section 1460 of title 18, United States Code.

\`\`(H) **SEXUAL ACT; SEXUAL CONTACT**.\--The terms \`sexual act\' and
\`sexual contact\' have the meanings given such terms in section 2246 of
title 18, United States Code.

\`\`(b) **EFFECTIVE DATE**.\--This section shall take effect 120 days
after the date of the enactment of the Children\'s Internet Protection
Act.

\`\`(c) **SEPARABILITY**.\--If any provision of this section is held
invalid, the remainder of this section shall not be affected
thereby.\'\'

**SEC. 1712. LIMITATION ON AVAILABILITY OF CERTAIN FUNDS FOR
LIBRARIES.**

**AMENDMENT**.\--Section 224 of the Museum and Library Services Act (20
U.S.C. 9134(b)) is amended---

\(1\) in subsection (b)\--

\(A\) by redesignating paragraph (6) as paragraph (7); and

\(B\) by inserting after paragraph (5) the following new paragraph:

\`\`(6) provide assurances that the State will comply with subsection
(f); and\'\'; and

by adding at the end the following new subsection:

\`\`(f) **INTERNET SAFETY**.---

\`\`(1) **IN GENERAL**.\--No funds made available under this Act for a
library described in section 213(2)(A) or (B) that does not receive
services at discount rates under section 254(h)(6) of the Communications
Act of 1934, as added by section 1721 of this Children\'s Internet
Protection Act, may be used to purchase computers used to access the
Internet, or to pay for direct costs associated with accessing the
Internet, for such library unless---

\`\`(A) such library---

\`\`(i) has in place a policy of Internet safety for minors that
includes the operation of a technology protection measure with respect
to any of its computers with Internet access that protects against
access through such computers to visual depictions that are---

\`\`(I) obscene;

\`\`(II) child pornography; or

\`\`(III) harmful to minors; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers by minors; and

\`\`(B) such library---

\`\`(i) has in place a policy of Internet safety that includes the
operation of a technology protection measure with respect to any of its
computers with Internet access that protects against access through such
computers to visual depictions that are\--

\`\`(I) obscene; or

\`\`(II) child pornography; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers.

\`\`(2) **ACCESS TO OTHER MATERIALS**.\--Nothing in this subsection
shall be construed to prohibit a library from limiting Internet access
to or otherwise protecting against materials other than those referred
to in subclauses (I), (II), and (III) of paragraph (1)(A)(i).

\`\`(3) **DISABLING DURING CERTAIN USE**.\--An administrator,
supervisor, or other authority may disable a technology protection
measure under paragraph (1) to enable access for bona fide research or
other lawful purposes.

\`\`(4) **TIMING AND APPLICABILITY OF IMPLEMENTATION**.---

\`\`(A) **IN GENERAL**.\--A library covered by paragraph (1) shall
certify the compliance of such library with the requirements of
paragraph (1) as part of the application process for the next program
funding year under this Act following the effective date of this
subsection, and for each subsequent program funding year thereafter.

\`\`(B) **PROCESS**.---

\`\`(i) **LIBRARIES WITH INTERNET SAFETY POLICIES AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A library covered by paragraph (1)
that has in place an Internet safety policy meeting the requirements of
paragraph (1) shall certify its compliance with paragraph (1) during
each annual program application cycle under this Act.

\`\`(ii) **LIBRARIES WITHOUT INTERNET SAFETY POLICIES AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A library covered by paragraph (1)
that does not have in place an Internet safety policy meeting the
requirements of paragraph (1)---

\`\`(I) for the first program year after the effective date of this
subsection in which the library applies for funds under this Act, shall
certify that it is undertaking such actions, including any necessary
procurement procedures, to put in place an Internet safety policy that
meets such requirements; and

\`\`(II) for the second program year after the effective date of this
subsection in which the library applies for funds under this Act, shall
certify that such library is in compliance with such requirements.

Any library covered by paragraph (1) that is unable to certify
compliance with such requirements in such second program year shall be
ineligible for all funding under this Act for such second program year
and all subsequent program years until such time as such library comes
into compliance with such requirements.

\`\`(iii) **WAIVERS**.\--Any library subject to a certification under
clause (ii)(II) that cannot make the certification otherwise required by
that clause may seek a waiver of that clause if State or local
procurement rules or regulations or competitive bidding requirements
prevent the making of the certification otherwise required by that
clause. The library shall notify the Director of the Institute of Museum
and Library Services of the applicability of that clause to the library.
Such notice shall certify that the library will comply with the
requirements in paragraph (1) before the start of the third program year
after the effective date of this subsection for which the library is
applying for funds under this Act.

\`\`(5) **NONCOMPLIANCE**.---

\`\`(A) **USE OF GENERAL EDUCATION PROVISIONS ACT REMEDIES**.\--Whenever
the Director of the Institute of Museum and Library Services has reason
to believe that any recipient of funds this Act is failing to comply
substantially with the requirements of this subsection, the Director
may---

\`\`(i) withhold further payments to the recipient under this Act,

\`\`(ii) issue a complaint to compel compliance of the recipient through
a cease and desist order, or

\`\`(iii) enter into a compliance agreement with a recipient to bring it
into compliance with such requirements.

\`\`(B) **RECOVERY OF FUNDS PROHIBITED**.\--The actions authorized by
subparagraph (A) are the exclusive remedies available with respect to
the failure of a library to comply substantially with a provision of
this subsection, and the Director shall not seek a recovery of funds
from the recipient for such failure.

\`\`(C) **RECOMMENCEMENT OF PAYMENTS**.\--Whenever the Director
determines (whether by certification or other appropriate evidence) that
a recipient of funds who is subject to the withholding of payments under
subparagraph (A)(i) has cured the failure providing the basis for the
withholding of payments, the Director shall cease the withholding of
payments to the recipient under that subparagraph.

\`\`(6) **SEPARABILITY**.\--If any provision of this subsection is held
invalid, the remainder of this subsection shall not be affected thereby.

\`\`(7) **DEFINITIONS**.\--In this section:

\`\`(A) **CHILD PORNOGRAPHY**.\--The term \`child pornography\' has the
meaning given such term in section 2256 of title 18, United States Code.

\`\`(B) **HARMFUL TO MINORS**.\--The term \`harmful to minors\' means
any picture, image, graphic image file, or other visual depiction
that---

\`\`(i) taken as a whole and with respect to minors, appeals to a
prurient interest in nudity, sex, or excretion;

\`\`(ii) depicts, describes, or represents, in a patently offensive way
with respect to what is suitable for minors, an actual or simulated
sexual act or sexual contact, actual or simulated normal or perverted
sexual acts, or a lewd exhibition of the genitals; and

\`\`(iii) taken as a whole, lacks serious literary, artistic, political,
or scientific value as to minors.

\`\`(C) **MINOR**.\--The term \`minor\' means an individual who has not
attained the age of 17.

\`\`(D) **OBSCENE**.\--The term \`obscene\' has the meaning given such
term in section 1460 of title 18, United States Code.

\`\`(E) **SEXUAL ACT; SEXUAL CONTACT**.\--The terms \`sexual act\' and
\`sexual contact\' have the meanings given such terms in section 2246 of
title 18, United States Code.\'\'

**EFFECTIVE DATE**.\--The amendment made by this section shall take
effect 120 days after the date of the enactment of this Act.

Subtitle B\--Universal Service Discounts

**SEC. 1721. REQUIREMENT FOR SCHOOLS AND LIBRARIES TO ENFORCE INTERNET
SAFETY POLICIES WITH TECHNOLOGY PROTECTION MEASURES FOR COMPUTERS WITH
INTERNET ACCESS AS CONDITION OF UNIVERSAL SERVICE DISCOUNTS.**

**SCHOOLS**.\--Section 254(h) of the Communications Act of 1934 (47
U.S.C. 254(h)) is amended---

\(1\) by redesignating paragraph (5) as paragraph (7); and

by inserting after paragraph (4) the following new paragraph (5):

\`\`(5) **REQUIREMENTS FOR CERTAIN SCHOOLS WITH COMPUTERS HAVING
INTERNET ACCESS**.---

\`\`(A) **INTERNET SAFETY**.---

\`\`(i) **IN GENERAL**.\--Except as provided in clause (ii), an
elementary or secondary school having computers with Internet access may
not receive services at discount rates under paragraph (1)(B) unless the
school, school board, local educational agency, or other authority with
responsibility for administration of the school---

\`\`(I) submits to the Commission the certifications described in
subparagraphs (B) and (C);

\`\`(II) submits to the Commission a certification that an Internet
safety policy has been adopted and implemented for the school under
subsection (l); and

\`\`(III) ensures the use of such computers in accordance with the
certifications.

\`\`(ii) **APPLICABILITY**.\--The prohibition in clause (i) shall not
apply with respect to a school that rec eives services at discount rates
under paragraph (1)(B) only for purposes other than the provision of
Internet access, Internet service, or internal connections.

\`\`(iii) **PUBLIC NOTICE; HEARING**.\--An elementary or secondary
school described in clause (i), or the school board, local educational
agency, or other authority with responsibility for administration of the
school, shall provide reasonable public notice and hold at least 1
public hearing or meeting to address the proposed Internet safety
policy. In the case of an elementary or secondary school other than an
elementary or secondary school as defined in section 14101 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C. 8801), the
notice and hearing required by this clause may be limited to those
members of the public with a relationship to the school.

\`\`(B) **CERTIFICATION WITH RESPECT TO MINORS**.\--A certification
under this subparagraph is a certification that the school, school
board, local educational agency, or other authority with responsibility
for administration of the school---

\`\`(i) is enforcing a policy of Internet safety for minors that
includes monitoring the online activities of minors and the operation of
a technology protection measure with respect to any of its computers
with Internet access that protects against access through such computers
to visual depictions that are---

\`\`(I) obscene;

\`\`(II) child pornography; or

\`\`(III) harmful to minors; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers by minors.

\`\`(C) **CERTIFICATION WITH RESPECT TO ADULTS**.\--A certification
under this paragraph is a certification that the school, school board,
local educational agency, or other authority with responsibility for
administration of the school---

\`\`(i) is enforcing a policy of Internet safety that includes the
operation of a technology protection measure with respect to any of its
computers with Internet access that protects against access through such
computers to visual depictions that are---

\`\`(I) obscene; or

\`\`(II) child pornography; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers.

\`\`(D) **DISABLING DURING ADULT USE**.\--An administrator, supervisor,
or other person authorized by the certifying authority under
subparagraph (A)(i) may disable the technology protection measure
concerned, during use by an adult, to enable access for bona fide
research or other lawful purpose.

\`\`(E) **TIMING OF IMPLEMENTATION**.---

\`\`(i) **IN GENERAL**.\--Subject to clause (ii) in the case of any
school covered by this paragraph as of the effective date of this
paragraph under section 1721(h) of the Children\'s Internet Protection
Act, the certification under subparagraphs (B) and (C) shall be made---

\`\`(I) with respect to the first program funding year under this
subsection following such effective date, not later than 120 days after
the beginning of such program funding year; and

\`\`(II) with respect to any subsequent program funding year, as part of
the application process for such program funding year.

\`\`(ii) **PROCESS**.---

\`\`(I) **SCHOOLS WITH INTERNET SAFETY POLICY AND TECHNOLOGY PROTECTION
MEASURES IN PLACE**.\--A school covered by clause (i) that has in place
an Internet safety policy and technology protection measures meeting the
requirements necessary for certification under subparagraphs (B) and (C)
shall certify its compliance with subparagraphs (B) and (C) during each
annual program application cycle under this subsection, except that with
respect to the first program funding year after the effective date of
this paragraph under section 1721(h) of the Children\'s Internet
Protection Act, the certifications shall be made not later than 120 days
after the beginning of such first program funding year.

\`\`(II) **SCHOOLS WITHOUT INTERNET SAFETY POLICY AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A school covered by clause (i) that
does not have in place an Internet safety policy and technology
protection measures meeting the requirements necessary for certification
under subparagraphs (B) and (C)\--

\`\`(aa) for the first program year after the effective date of this
subsection in which it is applying for funds under this subsection,
shall certify that it is undertaking such actions, including any
necessary procurement procedures, to put in place an Internet safety
policy and technology protection measures meeting the requirements
necessary for certification under subparagraphs (B) and (C); and

\`\`(bb) for the second program year after the effective date of this
subsection in which it is applying for funds under this subsection,
shall certify that it is in compliance with subparagraphs (B) and (C).

Any school that is unable to certify compliance with such requirements
in such second program year shall be ineligible for services at discount
rates or funding in lieu of services at such rates under this subsection
for such second year and all subsequent program years under this
subsection, until such time as such school comes into compliance with
this paragraph.

\`\`(III) **WAIVERS**.\--Any school subject to subclause (II) that
cannot come into compliance with subparagraphs (B) and (C) in such
second year program may seek a waiver of subclause (II)(bb) if State or
local procurement rules or regulations or competitive bidding
requirements prevent the making of the certification otherwise required
by such subclause. A school, school board, local educational agency, or
other authority with responsibility for administration of the school
shall notify the Commission of the applicability of such subclause to
the school. Such notice shall certify that the school in question will
be brought into compliance before the start of the third program year
after the effective date of this subsection in which the school is
applying for funds under this subsection.

\`\`(F) **NONCOMPLIANCE**.---

\`\`(i) **FAILURE TO SUBMIT CERTIFICATION**.\--Any school that knowingly
fails to comply with the application guidelines regarding the annual
submission of certification required by this paragraph shall not be
eligible for services at discount rates or funding in lieu of services
at such rates under this subsection.

\`\`(ii) **FAILURE TO COMPLY WITH CERTIFICATION**.\--Any school that
knowingly fails to ensure the use of its computers in accordance with a
certification under subparagraphs (B) and (C) shall reimburse any funds
and discounts received under this subsection for the period covered by
such certification.

\`\`(iii) **REMEDY OF NONCOMPLIANCE**.---

\`\`(I) **FAILURE TO SUBMIT**.\--A school that has failed to submit a
certification under clause (i) may remedy the failure by submitting the
certification to which the failure relates. Upon submittal of such
certification, the school shall be eligible for services at discount
rates under this subsection.

\`\`(II) **FAILURE TO COMPLY**.\--A school that has failed to comply
with a certification as described in clause (ii) may remedy the failure
by ensuring the use of its computers in accordance with such
certification. Upon submittal to the Commission of a certification or
other appropriate evidence of such remedy, the school shall be eligible
for services at discount rates under this subsection.\'\'.

**LIBRARIES**.\--Such section 254(h) is further amended by inserting
after paragraph (5), as amended by subsection (a) of this section, the
following new paragraph:

\`\`(6) **REQUIREMENTS FOR CERTAIN LIBRARIES WITH COMPUTERS HAVING
INTERNET ACCESS**.---

\`\`(A) **INTERNET SAFETY**.---

\`\`(i) **IN GENERAL**.\--Except as provided in clause (ii), a library
having one or more computers with Internet access may not receive
services at discount rates under paragraph (1)(B) unless the library---

\`\`(I) submits to the Commission the certifications described in
subparagraphs (B) and (C); and

\`\`(II) submits to the Commission a certification that an Internet
safety policy has been adopted and implemented for the library under
subsection (l); and

\`\`(III) ensures the use of such computers in accordance with the
certifications.

\`\`(ii) **APPLICABILITY**.\--The prohibition in clause (i) shall not
apply with respect to a library that receives services at discount rates
under paragraph (1)(B) only for purposes other than the provision of
Internet access, Internet service, or internal connections.

\`\`(iii) **PUBLIC NOTICE; HEARING**.\--A library described in clause
(i) shall provide reasonable public notice and hold at least 1 public
hearing or meeting to address the proposed Internet safety policy.

\`\`(B) **CERTIFICATION WITH RESPECT TO MINORS**.\--A certification
under this subparagraph is a certification that the library---

\`\`(i) is enforcing a policy of Internet safety that includes the
operation of a technology protection measure with respect to any of its
computers with Internet access that protects against access through such
computers to visual depictions that are---

\`\`(I) obscene;

\`\`(II) child pornography; or

\`\`(III) harmful to minors; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers by minors.

\`\`(C) **CERTIFICATION WITH RESPECT TO ADULTS**.\--A certification
under this paragraph is a certification that the library\--

\`\`(i) is enforcing a policy of Internet safety that includes the
operation of a technology protection measure with respect to any of its
computers with Internet access that protects against access through such
computers to visual depictions that are---

\`\`(I) obscene; or

\`\`(II) child pornography; and

\`\`(ii) is enforcing the operation of such technology protection
measure during any use of such computers.

\`\`(D) **DISABLING DURING ADULT USE**.\--An administrator, supervisor,
or other person authorized by the c ertifying authority under
subparagraph (A)(i) may disable the technology protection measure
concerned, during use by an adult, to enable access for bona fide
research or other lawful purpose.

\`\`(E) **TIMING OF IMPLEMENTATION**.---

\`\`(i) **IN GENERAL**.\--Subject to clause (ii) in the case of any
library covered by this paragraph as of the effective date of this
paragraph under section 1721(h) of the Children\'s Internet Protection
Act, the certification under subparagraphs (B) and (C) shall be made---

\`\`(I) with respect to the first program funding year under this
subsection following such effective date, not later than 120 days after
the beginning of such program funding year; and

\`\`(II) with respect to any subsequent program funding year, as part of
the application process for such program funding year.

\`\`(ii) **PROCESS**.---

\`\`(I) **LIBRARIES WITH INTERNET SAFETY POLICY AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A library covered by clause (i) that
has in place an Internet safety policy and technology protection
measures meeting the requirements necessary for certification under
subparagraphs (B) and (C) shall certify its compliance with
subparagraphs (B) and (C) during each annual program application cycle
under this subsection, except that with respect to the first program
funding year after the effective date of this paragraph under section
1721(h) of the Children\'s Internet Protection Act, the certifications
shall be made not later than 120 days after the beginning of such first
program funding year.

\`\`(II) **LIBRARIES WITHOUT INTERNET SAFETY POLICY AND TECHNOLOGY
PROTECTION MEASURES IN PLACE**.\--A library covered by clause (i) that
does not have in place an Internet safety policy and technology
protection measures meeting the requirements necessary for certification
under subparagraphs (B) and (C)---

\`\`(aa) for the first program year after the effective date of this
subsection in which it is applying for funds under this subsection,
shall certify that it is undertaking such actions, including any
necessary procurement procedures, to put in place an Internet safety
policy and technology protection measures meeting the requirements
necessary for certification under subparagraphs (B) and (C); and

\`\`(bb) for the second program year after the effective date of this
subsection in which it is applying for funds under this subsection,
shall certify that it is in compliance with subparagraphs (B) and (C).

Any library that is unable to certify compliance with such requirements
in such second program year shall be ineligible for services at discount
rates or funding in lieu of services at such rates under this subsection
for such second year and all subsequent program years under this
subsection, until such time as such library comes into compliance with
this paragraph.

\`\`(III) **WAIVERS**.\--Any library subject to subclause (II) that
cannot come into compliance with subparagraphs (B) and (C) in such
second year may seek a waiver of subclause (II)(bb) if State or local
procurement rules or regulations or competitive bidding requirements
prevent the making of the certification otherwise required by such
subclause. A library, library board, or other authority with
responsibility for administration of the library shall notify the
Commission of the applicability of such subclause to the library. Such
notice shall certify that the library in question will be brought into
compliance before the start of the third program year after the
effective date of this subsection in which the library is applying for
funds under this subsection.

\`\`(F) **NONCOMPLIANCE**.---

\`\`(i) **FAILURE TO SUBMIT CERTIFICATION**.\--Any library that
knowingly fails to comply with the application guidelines regarding the
annual submission of certification required by this paragraph shall not
be eligible for services at discount rates or funding in lieu of
services at such rates under this subsection.

\`\`(ii) **FAILURE TO COMPLY WITH CERTIFICATION**.\--Any library that
knowingly fails to ensure the use of its computers in accordance with a
certification under subparagraphs (B) and (C) shall reimburse all funds
and discounts received under this subsection for the period covered by
such certification.

\`\`(iii) **REMEDY OF NONCOMPLIANCE**.---

\`\`(I) **FAILURE TO SUBMIT**.\--A library that has failed to submit a
certification under clause (i) may remedy the failure by submitting the
certification to which the failure relates. Upon submittal of such
certification, the library shall be eligible for services at discount
rates under this subsection.

\`\`(II) **FAILURE TO COMPLY**.\--A library that has failed to comply
with a certification as described in clause (ii) may remedy the failure
by ensuring the use of its computers in accordance with such
certification. Upon submittal to the Commission of a certification or
other appropriate evidence of such remedy, the library shall be eligible
for services at discount rates under this subsection.\'\'.

**DEFINITIONS**.\--Paragraph (7) of such section, as redesignated by
subsection (a)(1) of this section, is amended by adding at the end the
following:

\`\`(D) **MINOR**.\--The term \`minor\' means any individual who has not
attained the age of 17 years.

\`\`(E) **OBSCENE**.\--The term \`obscene\' has the meaning given such
term in section 1460 of title 18, United States Code.

\`\`(F) **CHILD PORNOGRAPHY**.\--The term \`child pornography\' has the
meaning given such term in section 2256 of title 18, United States Code.

HREF=\"http://frwebgate.access.gpo.gov/cgi-bin/getpage.cgi?dbname=2000_record&page=H12306&position=all\"

\`\`(G) **HARMFUL TO MINORS**.\--The term \`harmful to minors\' means
any picture, image, graphic image file, or other visual depiction
that---

\`\`(i) taken as a whole and with respect to minors, appeals to a
prurient interest in nudity, sex, or excretion;

\`\`(ii) depicts, describes, or represents, in a patently offensive way
with respect to what is suitable for minors, an actual or simulated
sexual act or sexual contact, actual or simulated normal or perverted
sexual acts, or a lewd exhibition of the genitals; and

\`\`(iii) taken as a whole, lacks serious literary, artistic, political,
or scientific value as to minors.

\`\`(H) **SEXUAL ACT; SEXUAL CONTACT**.\--The terms \`sexual act\' and
\`sexual contact\' have the meanings given such terms in section 2246 of
title 18, United States Code.

\`\`(I) **TECHNOLOGY PROTECTION MEASURE**.\--The term \`technology
protection measure\' means a specific technology that blocks or filters
Internet access to the material covered by a certification under
paragraph (5) or (6) to which such certification relates.\'\'.

\(d\) **CONFORMING AMENDMENT**.\--Paragraph (4) of such section is
amended by striking \`\`paragraph (5)(A)\'\' and inserting \`\`paragraph
(7)(A)\'\'.

\(e\) **SEPARABILITY**.\--If any provision of paragraph (5) or (6) of
section 254(h) of the Communications Act of 1934, as amended by this
section, or the application thereof to any person or circumstance is
held invalid, the remainder of such paragraph and the application of
such paragraph to other persons or circumstances shall not be affected
thereby.

\(f\) **REGULATIONS**.---

\(1\) **REQUIREMENT**.\--The Federal Communications Commission shall
prescribe regulations for purposes of administering the provisions of
paragraphs (5) and (6) of section 254(h) of the Communications Act of
1934, as amended by this section.

\(2\) **DEADLINE**.\--Notwithstanding any other provision of law, the
Commission shall prescribe regulations under paragraph (1) so as to
ensure that such regulations take effect 120 days after the date of the
enactment of this Act.

\(g\) **AVAILABILITY OF CERTAIN FUNDS FOR ACQUISITION OF TECHNOLOGY
PROTECTION MEASURES.**

\(1\) **IN GENERAL**.\--Notwithstanding any other provision of law,
funds available under section 3134 or part A of title VI of the
Elementary and Secondary Education Act of 1965, or under section 231 of
the Library Services and Technology Act, may be used for the purchase or
acquisition of technology protection measures that are necessary to meet
the requirements of this title and the amendments made by this title. No
other sources of funds for the purchase or acquisition of such measures
are authorized by this title, or the amendments made by this title.

\(2\) **TECHNOLOGY PROTECTION MEASURE DEFINED**.\--In this section, the
term \`\`technology protection measure\'\' has the meaning given that
term in section 1703.

\(h\) **EFFECTIVE DATE**.\--The amendments made by this section shall
take effect 120 days after the date of the enactment of this Act.

Subtitle C\--Neighborhood Children\'s Internet Protection

**SEC. 1731. SHORT TITLE.**

This subtitle may be cited as the \`\`Neighborhood Children\'s Internet
Protection Act\'\'.

**SEC. 1732. INTERNET SAFETY POLICY REQUIRED.**

Section 254 of the Communications Act of 1934 (47 U.S.C. 254) is amended
by adding at the end the following:

\`\`(l) **INTERNET SAFETY POLICY REQUIREMENT FOR SCHOOLS AND
LIBRARIES**.---

\`\`(1) **IN GENERAL**.\--In carrying out its responsibilities under
subsection (h), each school or library to which subsection (h) applies
shall---

\`\`(A) adopt and implement an Internet safety policy that addresses---

\`\`(i) access by minors to inappropriate matter on the Internet and
World Wide Web;

\`\`(ii) the safety and security of minors when using electronic mail,
chat rooms, and other forms of direct electronic communications;

\`\`(iii) unauthorized access, including so-called \`hacking\', and
other unlawful activities by minors online;

\`\`(iv) unauthorized disclosure, use, and dissemination of personal
identification information regarding minors; and

\`\`(v) measures designed to restrict minors\' access to materials
harmful to minors; and

\`\`(B) provide reasonable public notice and hold at least one public
hearing or meeting to address the proposed Internet safety policy.

\`\`(2) **LOCAL DETERMINATION OF CONTENT**.\--A determination regarding
what matter is inappropriate for minors shall be made by the school
board, local educational agency, library, or other authority responsible
for making the determination. No agency or instrumentality of the United
States Government may---

\`\`(A) establish criteria for making such determination;

\`\`(B) review the determination made by the certifying school, school
board, local educational agency, library, or other authority; or

\`\`(C) consider the criteria employed by the certifying school, school
board, local educational agency, library, or other authority in the
administration of subsection (h)(1)(B).

\`\`(3) **AVAILABILITY FOR REVIEW**.\--Each Internet safety policy
adopted under this subsection shall be made available to the Commission,
upon request of the Commission, by the school, school board, local
educational agency, library, or other authority responsible for adopting
such Internet safety policy for purposes of the review of such Internet
safety policy by the Commission.

\`\`(4) **EFFECTIVE DATE**.\--This subsection shall apply with respect
to schools and libraries on or after the date that is 120 days after the
date of the enactment of the Children\'s Internet Protection Act.\'\'.

**SEC. 1733. IMPLEMENTING REGULATIONS.**

Not later than 120 days after the date of enactment of this Act, the
Federal Communications Commission shall prescribe regulations for
purposes of section 254(l) of the Communications Act of 1934, as added
by section 1732 of this Act.

Subtitle D\--Expedited Review

**SEC. 1741. EXPEDITED REVIEW.**

\(a\) **THREE-JUDGE DISTRICT COURT HEARING**.\--Notwithstanding any
other provision of law, any civil action challenging the
constitutionality, on its face, of this title or any amendment made by
this title, or any provision thereof, shall be heard by a district court
of 3 judges convened pursuant to the provisions of section 2284 of title
28, United States Code.

\(b\) **APPELLATE REVIEW**.\--Notwithstanding any other provision of
law, an interlocutory or final judgment, decree, or order of the court
of 3 judges in an action under subsection (a) holding this title or an
amendment made by this title, or any provision thereof, unconstitutional
shall be reviewable as a matter of right by direct appeal to the Supreme
Court. Any such appeal shall be filed not more than 20 days after entry
of such judgment, decree, or order.

*This Act may be cited as the 'Miscellaneous Appropriations Act, 2001.'*

[^1]: Pub. L. No. 106-554. Section 1721 of the CHIP Act amends section
    254 (h) of the Communications Act of 1934, as amended, 47 U.S.C. §§
    151 *et seq.* Section 1721 references section 1732 of the Children's
    Internet Protection Act, which amends section 254 of the
    Communications Act by adding a new subsection (l) at the end of
    section 254. Sections 1711 and 1712 of the Children's Internet
    Protection Act amend, respectively, the Elementary and Secondary
    Education Act of 1965, 20 U.S.C. §§ 6801 *et seq*., and the Museum
    and Library Services Act, 20 U.S.C. § 9134(b), and therefore do not
    fall under the jurisdiction of the Commission.

[^2]: 47 U.S.C. § 254(h).

[^3]: Although the CHIP Act refers to the provision of discounts for
    Internet access and Internet services, *see* 47 U.S.C. §
    254(h)(5)(A)(ii), (h)(6)(A)(ii), the schools and libraries universal
    service support mechanism does not support Internet services.

[^4]: 47 C.F.R. §§ 54.502, 54.503.

[^5]: 47 U.S.C. § 254(h).

[^6]: 47 U.S.C. § 254(h)(B).

[^7]: 47 U.S.C. § 254(l); 254(h)(5)(A)(II), (h)6)(A)(II).

[^8]: 47 U.S.C. § 254(h)(5)(E)(i)(I), (h)(6)(E)(i)(I).

[^9]: 47 U.S.C. § 254(h)(7)(h). Those regulations must thus be in effect
    by April 20, 2001. The Commission must prescribe regulations
    pursuant to section 254(l) as of that date as well. *See* the
    Consolidated Appropriations Act, 2001 (Pub. L. 106-554) § 1733.

[^10]: FCC Form 486 must be filed before the Schools and Libraries
    Division of the Universal Service Administrative Company can process
    service provider invoices for discounts.

[^11]: 47 U.S.C. § 254(h)(5)(E), (h)(6)(E).

[^12]: In particular, the timing requirement set forth in section
    254(h)(5)(E) and 254(h)(6)(E) refers only to certifications under
    subparagraphs (B) and (C), and does not on its face refer to the
    certification required in section 254(h)(5)(A)(i)(II) and
    254(h)(6)(A)(i)(II).

[^13]: 47 U.S.C. § 254(h)(5)(F)(i-ii), (h)(6)(F)(i-ii).

[^14]: 47 U.S.C. § 254(h)(5)(F)(iii), (h)(6)(F)(iii).

[^15]: 47 C.F.R. § 54.507.

[^16]: *See* 5 U.S.C. § 603. The RFA, *see* 5 U.S.C. § 601 *et. seq.*,
    has been amended by the Contract with America Advancement Act of
    1996, Pub. L. No. 104-121, 110 Stat. 847 (1996) (CWAAA). Title II of
    the CWAAA is the Small Business Regulatory Enforcement Fairness Act
    of 1996 (SBREFA).

[^17]: *See* 5 U.S.C. § 603(a).

[^18]: *See id.*

[^19]: *See* Consolidated Appropriations Act, 2001 (Pub. L. 105-554), §§
    1721(f), 1733.

[^20]: 5 U.S.C. § 603(b)(3).

[^21]: 5 U.S.C. § 601(6).

[^22]: 5 U.S.C. § 601(3) (incorporating by reference the definition of
    "small business concern" in 15 U.S.C. § 632). Pursuant to the RFA,
    the statutory definition of a small business applies "unless an
    agency, after consultation with the Office of Advocacy of the Small
    Business Administration and after opportunity for public comment,
    establishes one or more definitions of such term which are
    appropriate to the activities of the agency and publishes such
    definition(s) in the Federal Register." 5 U.S.C. § 601(3).

[^23]: Small Business Act, 15 U.S.C. § 632.

[^24]: 5 U.S.C. § 601(4).

[^25]: 1992 Economic Census, U.S. Bureau of the Census, Table 6 (special
    tabulation of data under contract to Office of Advocacy of the U.S.
    Small Business Administration).

[^26]: 47 C.F.R. § 1.1162.

[^27]: 5 U.S.C. § 601(5).

[^28]: U.S. Dept. of Commerce, Bureau of the Census, "1992 Census of
    Governments."

[^29]: *Id*.

[^30]: 47 C.F.R. § 54.500(b).

[^31]: 47 C.F.R. § 54.500(j).

[^32]: 47 C.F.R. § 54.501.

[^33]: *See* *id.*

[^34]: 13 C.F.R. § 121.201, SIC Codes 8211, 8231.

[^35]: The number of small entities affected by these rules may also be
    affected by a determination of which entities may make the required
    certification, which is an issue on which this Notice seeks comment,
    see ¶ 8. For example, if a school district may certify on behalf of
    all of its schools, that district may well have annual receipts in
    excess of \$5 million and therefore would not be a small entity
    under SBA's definition, whereas an individual school in that
    district might be a small entity with annual receipts of less than
    \$5 million, and thus would be affected by these rules.

[^36]: *See* 5 U.S.C. § 603.

[^37]: 47 C.F.R. §§ 1.415, 1.419.