I 

113TH CONGRESS 

1ST SESSION H. R. 1639 

To amend the Rural Electrification Act of 1936, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 18, 2013 

Mr. GIBSON (for himself and Mr. SCHRADER) introduced the following bill; 

which was referred to the Committee on Agriculture, and in addition to 

the Committee on Energy and Commerce, for a period to be subsequently 

determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To amend the Rural Electrification Act of 1936, and for 

other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. AMENDMENTS TO THE RURAL ELECTRIFICA4 TION ACT OF 1936. 

5 Section 601 of the Rural Electrification Act of 1936 

6 (7 U.S.C. 950bb) is amended— 

7 (1) in subsection (a), by striking ‘‘loans and 

8 loan guarantees’’ and inserting ‘‘loans, loan guaran9 tees, and grants’’; 


jbell on DSK7SPTVN1PROD with BILLS
2 

•HR 1639 IH

1 (2) in subsection (c)— 

2 (A) in paragraph (1), by inserting ‘‘, and 

3 may make grants,’’ after ‘‘loans’’; and 

4 (B) in paragraph (2), by inserting ‘‘, and 

5 in making grants,’’ before ‘‘under paragraph 

6 (1)’’; 

7 (3) in subsection (d), by adding at the end the 

8 following: 

9 ‘‘(8) ADDITIONAL PROCESS.—The Secretary 

10 shall establish a process under which an incumbent 

11 service provider which, as of the date of the publica12 tion of notice under paragraph (5) with respect to 

13 an application submitted by the provider, is pro14 viding broadband service to a remote rural area, 

15 may (but shall not be required to) submit to the 

16 Secretary, not less than 15 and not more than 30 

17 days after that date, information regarding the 

18 broadband services that the provider offers in the 

19 proposed service territory, so that the Secretary may 

20 assess whether the application meets the require21 ments of this section with respect to eligible 

22 projects.’’; 

23 (4) in subsection (e), by adding at the end the 

24 following: 


jbell on DSK7SPTVN1PROD with BILLS
3 

•HR 1639 IH

1 ‘‘(3) REQUIREMENT.—In considering the tech2 nology needs of customers in a proposed service ter3 ritory, the Secretary shall take into consideration the 

4 upgrade or replacement cost for the construction or 

5 acquisition of facilities and equipment in the terri6 tory.’’; 

7 (5) by redesignating subsections (k) and (l) as 

8 subsections (l) and (m), respectively, and inserting 

9 after subsection (j) the following: 

10 ‘‘(k) MATCHING GRANTS.— 

11 ‘‘(1) IN GENERAL.—The Secretary may make a 

12 grant to an entity for a project with respect to which 

13 a loan or loan guarantee is made under this section. 

14 ‘‘(2) AMOUNT.— 

15 ‘‘(A) IN GENERAL.—The amount of the 

16 grant shall not exceed 10 percent of the cost of 

17 the project. 

18 ‘‘(B) MATCH REQUIREMENT.—The Sec19 retary may not make a grant to an entity for 

20 a project unless the entity has made a binding 

21 commitment to the Secretary that the entity 

22 will provide for the project, from non-Federal 

23 sources, an amount equal to the amount of the 

24 grant.’’; 

25 (6) in subsection (l) (as so redesignated)— 


jbell on DSK7SPTVN1PROD with BILLS
4 

•HR 1639 IH

1 (A) by striking paragraph (1) and insert2 ing the following: 

3 ‘‘(1) LIMITATIONS ON AUTHORIZATION OF AP4 PROPRIATIONS.—There is authorized to be appro5 priated to the Secretary to carry out this section 

6 such sums as may be necessary for each of fiscal 

7 years 2013 through 2017, to remain available until 

8 expended. Of the sums made available to carry out 

9 this section for a fiscal year— 

10 ‘‘(A) 70 percent shall be available for the 

11 cost of loans and loan guarantees under this 

12 section; and 

13 ‘‘(B) 30 percent shall be available for 

14 grants under this section.’’; and 

15 (B) in paragraph (2)— 

16 (i) in the paragraph heading, insert 

17 ‘‘LOAN AND LOAN GUARANTEE’’ before 

18 ‘‘FUNDS’’; and 

19 (ii) in subparagraph (A), by inserting 

20 ‘‘for loans and loan guarantees’’ before 

21 ‘‘under this subsection’’; and 

22 (7) in subsection (m) (as so redesignated), by 

23 striking ‘‘2013’’ and inserting ‘‘2017’’. 

Æ 


jbell on DSK7SPTVN1PROD with BILLS