A bill entitled the "Digital Opportunity Investment Trust Act".

Summary: Digital Opportunity Investment Trust Act - Establishes the Digital Opportunity Investment Trust (the Trust), which shall receive 30 percent of the cash payment received by the Federal Government each fiscal year quarter through FY 2020 from auctions of the publicly owned electromagnetic spectrum and fees derived from the use of such spectrum. Establishes a Board to oversee administration of Trust funds. Establishes a Director of the Trust. Provides authorized Trust uses. Allows the Director of the Trust to award contracts and grants to nonprofit public institutions (with or without private partners) for innovative and experimental ideas and techniques to enhance learning and achieve specified related goals.Directs the Director to invest funds of the Trust in U.S. interest bearing or U.S.-guaranteed obligations.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Digital Opportunity Investment Trust 
Act''.

SEC. 2. ESTABLISHMENT OF TRUST.

    (a) In General.--There is established a trust to be known as the 
``Digital Opportunity Investment Trust'' (referred to in this Act as 
the ``Trust'').
    (b) Funds.--
            (1) In general.--The Trust shall consist of such amounts as 
        are transferred to the Trust under paragraph (2) and any 
        interest earned on the investment of amounts in the Trust under 
        section 4.
            (2) Transfer of funds.--The Secretary of the Treasury shall 
        transfer each fiscal year quarter, through fiscal year 2020, 
        from the general fund of the Treasury to the Trust, an amount 
        equal to 30 percent of the cash payment received by the Federal 
        Government during the preceding fiscal year quarter from--
                    (A) auctions of the publicly owned electromagnetic 
                spectrum; and
                    (B) fees derived from the usage of the publicly 
                owned electromagnetic spectrum, excluding the fees 
                imposed by the Federal Communications Commission to 
                defray the costs of the Commission's operations 
                associated with the electromagnetic spectrum.
    (c) Administration of the Trust.--
            (1) Board.--
                    (A) Establishment.--A board (referred to in this 
                Act as the ``Board'') shall be established to oversee 
                the administration of Trust funds, consisting of 9 
                members appointed by the President, by and with the 
                advice and consent of the Senate, who--
                            (i) reflect representation from the public 
                        and private sectors;
                            (ii) are not regular full-time employees of 
                        the Federal Government;
                            (iii) are eminent in such fields as 
                        education, telecommunications, information 
                        technology, labor and workforce development, 
                        cultural and civic affairs, or the arts and 
                        humanities; and
                            (iv) will provide, as nearly as 
                        practicable, a broad representation of various 
                        regions of the United States, various 
                        professions and occupations, and various kinds 
                        of talent and experience appropriate to the 
                        functions and responsibilities of the Trust.
                    (B) Recommendations.--The Majority Leader of the 
                Senate, the Minority Leader of the Senate, the Speaker 
                of the House of Representatives, and the Minority 
                Leader of the House of Representatives shall submit to 
                the President recommendations of individuals to serve 
                as members of the Board.
                    (C) Terms of appointment.--
                            (i) Date.--Members of the Board shall be 
                        appointed not later than 90 days after the date 
                        of enactment of this Act.
                            (ii) Terms.--
                                    (I) In general.--Each member of the 
                                Board shall be appointed for 6 years 
                                (except as provided in subclause (II)), 
                                with terms set to expire in non-Federal 
                                election years.
                                    (II) Staggered terms.--From the 
                                first Board--
                                            (aa) 3 members shall serve 
                                        for a term of 6 years;
                                            (bb) 3 members shall serve 
                                        for a term of 4 years; and
                                            (cc) 3 members shall serve 
                                        for a term of 2 years.
                            (iii) Vacancies.--A vacancy on the Board 
                        shall not affect the Board's powers, and shall 
                        be filled in the same manner as the original 
                        member was appointed.
                    (D) Chair and vice-chair.--
                            (i) Selection.--The Board shall select, 
                        from among the members of the Board, an 
                        individual to serve for a 2-year term as Chair 
                        of the Board and an individual to serve for a 
                        2-year term as vice-Chair of the Board.
                            (ii) Consecutive terms.--An individual may 
                        not serve for more than 2 consecutive terms as 
                        Chair of the Board.
                    (E) Meetings.--
                            (i) First meeting.--Not later than 30 days 
                        after the date on which all of the members of 
                        the Board have been confirmed, the Chair of the 
                        Board shall call the first meeting of the 
                        Board.
                            (ii) Quorum.--A majority of the members of 
                        the Board shall constitute a quorum, but a 
                        lesser number of members may hold hearings.
                    (F) Board personnel matters.--
                            (i) Compensation.--Members of the Board 
                        shall receive no additional pay, allowances, or 
                        benefits by reason of the members' service on 
                        the Board.
                            (ii) Travel expenses.--The members of the 
                        Board shall be allowed travel expenses, 
                        including per diem in lieu of subsistence, at 
                        rates authorized for employees of agencies 
                        under subchapter I of chapter 57 of title 5, 
                        United States Code, while away from their homes 
                        or regular places of business in the 
                        performance of services for the Board.
            (2) Director.--A majority of the members of the Board shall 
        select a Director of the Trust who shall serve at the 
        discretion of the Board and shall be responsible for hiring all 
        personnel of the Trust and instituting procedures to carry out 
        the policies and priorities established by the Board.
    (d) Trust Fund Uses.--
            (1) Uses of funds.--In order to achieve the objectives of 
        this Act, the Director of the Trust, after consultation with 
        the Board, may use Trust funds--
                    (A) to help underwrite the digitization of the 
                collections in the Nation's universities, museums, 
                libraries, and cultural institutions;
                    (B) to enable schools, community colleges, 
                universities, libraries, museums, civic organizations, 
                cultural, arts, and humanities centers, and nonprofit 
                agencies or organizations described in section 
                501(c)(3) of the Internal Revenue Code of 1986 that are 
                exempt from tax under section 501(a) of such Code to 
take advantage of innovative telecommunications and information 
technologies;
                    (C) to support basic and applied research, 
                development, and demonstrations of innovative-based 
                learning systems, including assessment tools and other 
                system components;
                    (D) to develop applications of research, including 
                the creation of prototypes, models, and pilot projects, 
                as well as the initial production of content and 
                software for digital and information technologies for 
                use in educational curricula and other educational 
                purposes, including job training, skills training, 
                public safety, civic information, and lifelong 
                learning;
                    (E) to develop innovative technologies for training 
                and dissemination of public information for safety and 
                homeland security;
                    (F) to develop new tools and means of dissemination 
                for innovative advances in job training and retraining; 
                and
                    (G) to conduct assessments of legal, regulatory, 
                and other issues that must be resolved to ensure rapid 
                development and use of advanced learning technologies 
                and legislative or other remedies that may remove 
                barriers or create incentives that can help make use of 
                the innovations developed pursuant to this Act.
            (2) Contracts and grants.--
                    (A) In general.--In order to carry out the 
                activities described in paragraph (1), the Director of 
                the Trust, with the agreement of a majority of the 
                members of the Board, may award contracts and grants to 
                nonprofit public institutions (with or without private 
                partners) and competent for-profit organizations and 
                individuals.
                    (B) Public domain.--
                            (i) In general.--The research and 
                        development properties and materials associated 
                        with a project in which a majority of the 
                        funding used to carry out the project is from a 
                        grant or contract under this Act shall be 
                        freely and nonexclusively available to the 
                        general public.
                            (ii) Exemption.--The Director of the Trust 
                        may exempt specific projects from the 
                        requirement of clause (i) if the Director of 
                        the Trust and a majority of the members of the 
                        Board determine that the general public will 
                        benefit significantly in the long run due to 
                        the project not being freely and nonexclusively 
                        available to the general public.
                    (C) Evaluation of proposals.--To the extent 
                practicable, proposals for such contracts or grants 
                shall be evaluated on the basis of comparative merit by 
                panels of experts who represent diverse interests and 
                perspectives, and who are appointed by the Director of 
                the Trust.
            (3) Cooperation.--The Director of the Trust, after 
        consultation with the Board, may cooperate with business, 
        industry, philanthropy, and local and national public service 
        institutions, including enhancing the work of such public 
        service institutions by seeking new ways to put 
        telecommunications and information technologies to work in 
        their areas of interest.

SEC. 3. ACCOUNTABILITY AND REPORTING.

    (a) Report.--
            (1) In general.--Not later than April 30 of each year, the 
        Director of the Trust shall prepare a report for the preceding 
        fiscal year, ending September 30, and shall submit such report 
        to the Assistant Secretary of the National Telecommunications 
        and Information Administration.
            (2) Contents.--The report shall include--
                    (A) a comprehensive and detailed report of the 
                Trust's operations, activities, financial condition, 
                and accomplishments, and such recommendations as the 
                Director of the Trust determines appropriate; and
                    (B) a comprehensive and detailed inventory of funds 
                distributed from the Trust during the preceding fiscal 
                year.
            (3) Submission to the president and congress.--The 
        Assistant Secretary of the National Telecommunications and 
        Information Administration shall submit the report received 
        pursuant to paragraph (1) to the President and the appropriate 
        committees of Congress.
    (b) Testimony.--The Chair of the Board, other members of the Board, 
and the Director and principal officers of the Trust shall testify 
before appropriate committees of Congress, upon request of such 
committees, with respect to--
            (1) the report prepared under subsection (a)(1); and
            (2) any other matter that such committees may determine 
        appropriate.

SEC. 4. INVESTMENT OF TRUST FUNDS.

    (a) In General.--The Director of the Trust, after consultation with 
the Board and the Director of the Office of Management and Budget, 
shall invest the funds of the Trust in interest-bearing obligations of 
the United States or in obligations guaranteed as to both principal and 
interest by the United States.
    (b) Expenditures.--
            (1) In general.--The Director of the Trust shall not 
        undertake grant or contract activities under this Act until the 
        Trust has received the interest or other proceeds from the 
        investment of the Trust funds for not less than 1 year's 
        duration. Thereafter, upon approval of the annual budget of the 
        Trust, the Director of the Trust may commence such grant or 
        contract activities at the start of each fiscal year.
            (2) Obligation of funds.--
                    (A) In general.--Except as provided in subparagraph 
                (B), in awarding grants or contracts or making other 
                expenditures, the Director of the Trust shall not 
                obligate funds from the Trust that exceed the proceeds 
                received from the investment of the funds in the Trust 
                during the preceding fiscal year.
                    (B) Carry over.--Funds from the Trust that are 
                available for obligation for a fiscal year that are not 
                obligated for such fiscal year shall remain available 
                for obligation for the succeeding fiscal year.