I 

116TH CONGRESS 

2D SESSION H. R. 7972 

To provide funds to assess the availability, accelerate the deployment, and 

improve the sustainability of advanced communications services and communications infrastructure in rural America, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

AUGUST 7, 2020 

Mr. LATTA (for himself and Mr. O’HALLERAN) introduced the following bill; 

which was referred to the Committee on Energy and Commerce 

A BILL 

To provide funds to assess the availability, accelerate the 

deployment, and improve the sustainability of advanced 

communications services and communications infrastructure in rural America, 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. SHORT TITLE. 

4 This Act may be cited as the ‘‘Rural Connectivity Ad5 vancement Program Act of 2020’’. 


pamtmann on DSKBC07HB2PROD with BILLS
2 

•HR 7972 IH

1 SEC. 2. DEPOSIT OF SPECTRUM AUCTION PROCEEDS IN 

2 RURAL BROADBAND ASSESSMENT AND DE3 PLOYMENT FUND. 

4 Section 309(j)(8) of the Communications Act of 1934 

5 (47 U.S.C. 309(j)(8)) is amended— 

6 (1) in subparagraph (A), by striking ‘‘and (G)’’ 

7 and inserting ‘‘(G), and (H)’’; and 

8 (2) by adding at the end the following: 

9 ‘‘(H) ASSESSMENT AND DEPLOYMENT SET10 ASIDE.— 

11 ‘‘(i) IN GENERAL.—Notwithstanding 

12 subparagraph (A), and except as provided 

13 in subparagraphs (B), (D), (E), (F), and 

14 (G), 10 percent of the net proceeds from 

15 each use of a system of competitive bidding 

16 under this subsection completed before 

17 September 30, 2022, shall be deposited in 

18 the Rural Broadband Assessment and De19 ployment Fund established under section 3 

20 of the Rural Connectivity Advancement 

21 Program Act of 2020. 

22 ‘‘(ii) NET PROCEEDS DEFINED.—For 

23 purposes of this subparagraph, the term 

24 ‘net proceeds’, with respect to the use of a 

25 system of competitive bidding, means the 


pamtmann on DSKBC07HB2PROD with BILLS
3 

•HR 7972 IH

1 proceeds remaining after subtracting all 

2 auction-related expenditures, including— 

3 ‘‘(I) relocation payments, includ4 ing accelerated relocation payments; 

5 ‘‘(II) payments to incumbent li6 censees for the relinquishment of all 

7 or a portion of the spectrum usage 

8 rights of those licensees; 

9 ‘‘(III) costs associated with the 

10 reallocation of spectrum, whether on 

11 an exclusive or shared use basis; 

12 ‘‘(IV) relocation or sharing costs, 

13 including for planning for relocation 

14 or sharing; and 

15 ‘‘(V) bidding credits.’’. 

16 SEC. 3. DIRECTION AND USE OF RURAL BROADBAND AS17 SESSMENT AND DEPLOYMENT FUND PRO18 CEEDS. 

19 (a) DEFINITIONS.—In this subsection— 

20 (1) the term ‘‘Commission’’ means the Federal 

21 Communications Commission; and 

22 (2) the term ‘‘high-cost programs’’ means— 

23 (A) the program for Universal Service 

24 Support for High-Cost Areas set forth under 


pamtmann on DSKBC07HB2PROD with BILLS
4 

•HR 7972 IH

1 subpart D of part 54 of title 47, Code of Fed2 eral Regulations, or any successor regulations; 

3 (B) the Rural Digital Opportunity Fund 

4 set forth under subpart J of part 54 of title 47, 

5 Code of Federal Regulations, or any successor 

6 regulations; 

7 (C) the Interstate Common Line Support 

8 Mechanism for Rate-of-Return Carriers set 

9 forth under subpart K of part 54 of title 47, 

10 Code of Federal Regulations, or any successor 

11 regulations; 

12 (D) the Mobility Fund set forth under sub13 part L of part 54 of title 47, Code of Federal 

14 Regulations, or any successor regulations; 

15 (E) the High Cost Loop Support for Rate16 of-Return Carriers program set forth under 

17 subpart M of part 54 of title 47, Code of Fed18 eral Regulations, or any successor regulations; 

19 (F) the Uniendo a Puerto Rico Fund and 

20 the Connect USVI Fund set forth under sub21 part O of part 54 of title 47, Code of Federal 

22 Regulations, or any successor regulations; and 

23 (G) the Rural Broadband Experiments, as 

24 established by the Commission under part 54 of 

25 title 47, Code of Federal Regulations. 


pamtmann on DSKBC07HB2PROD with BILLS
5 

•HR 7972 IH

1 (b) ESTABLISHMENT OF FUND.—There is estab2 lished in the Treasury of the United States a fund to be 

3 known as the ‘‘Rural Broadband Assessment and Deploy4 ment Fund’’. 

5 (c) BORROWING AUTHORITY.— 

6 (1) IN GENERAL.—Beginning on the date on 

7 which the Commission announces the results of an 

8 auction under section 309(j) of the Communications 

9 Act of 1934 (47 U.S.C. 309(j)), the Commission 

10 may borrow from the Treasury of the United States 

11 an amount not to exceed the amount that will be de12 posited in the Rural Broadband Assessment and De13 ployment Fund under paragraph (8)(H) of that sec14 tion (as added by section 2 of this Act) as a result 

15 of that auction. 

16 (2) REIMBURSEMENT.—The Commission shall 

17 reimburse the general fund of the Treasury, without 

18 interest, for any amounts borrowed under paragraph 

19 (1) as funds are deposited into the Rural Broadband 

20 Assessment and Deployment Fund. 

21 (d) AVAILABILITY OF AMOUNTS.—Any amounts bor22 rowed under subsection (c)(1) and any amounts in the 

23 Rural Broadband Assessment and Deployment Fund that 

24 are not necessary for reimbursement of the general fund 

25 of the Treasury for such borrowed amounts shall be availVerDate Sep 11 2014 19:51 Aug 28, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H7972.IH H7972

pamtmann on DSKBC07HB2PROD with BILLS
6 

•HR 7972 IH

1 able to the Commission for use in accordance with sub2 section (e). 

3 (e) USE OF AMOUNTS.— 

4 (1) ESTABLISHMENT OF PROGRAM OR PRO5 GRAMS.—The Commission shall use the amounts 

6 made available under subsection (d) to establish 1 or 

7 more programs that are separate from, but are co8 ordinated with and complement, the high-cost pro9 grams to address— 

10 (A) gaps that remain in broadband inter11 net access service coverage in high-cost rural 

12 areas despite the operations of the high-cost 

13 programs; and 

14 (B) shortfalls in sufficient funding of the 

15 high-cost programs that could adversely affect 

16 the sustainability of services or reasonable com17 parability of rates that are supported by those 

18 programs. 

19 (2) PURPOSES.—In carrying out paragraph (1), 

20 the Commission shall use amounts made available 

21 under subsection (d) in an efficient and cost-effec22 tive manner only— 

23 (A) for the assessment of, and to provide 

24 subsidies in a technology-neutral manner 

25 through a competitive process (subject to 


pamtmann on DSKBC07HB2PROD with BILLS
7 

•HR 7972 IH

1 weighting preferences for performance quality 

2 and other service metrics as the Commission 

3 may find appropriate) to providers for support 

4 of, deployment of broadband-capable infrastruc5 ture in high-cost rural areas that the Commis6 sion determines are unserved by fixed terres7 trial broadband internet access service at a 

8 download speed of not less than 25 megabits 

9 per second and an upload speed of not less than 

10 3 megabits per second (or such higher speed as 

11 the Commission may determine appropriate 

12 based upon an evolving definition of universal 

13 service); and 

14 (B) to assess, and provide subsidies to pro15 viders to enable providers to sustain, broadband 

16 internet access service in any rural area in 

17 which— 

18 (i) only one provider of fixed terres19 trial broadband internet access service op20 erates; and 

21 (ii) the high-cost nature of the area 

22 precludes the offering of voice service and 

23 broadband internet access service at rates 

24 and performance levels available in urban 


pamtmann on DSKBC07HB2PROD with BILLS
8 

•HR 7972 IH

1 areas as determined by the Urban Rate 

2 Survey conducted by the Commission. 

3 (3) TRIBAL CONSIDERATIONS.—In distributing 

4 amounts under this subsection, the Commission shall 

5 consider the broadband internet access service needs 

6 of residents of Tribal lands (as defined in section 

7 54.400 of title 47, Code of Federal Regulations, or 

8 any successor regulation). 

9 (4) LIMITATIONS.— 

10 (A) PROHIBITION ON FUNDING OTHER

11 PROGRAMS.— 

12 (i) IN GENERAL.—The Commission 

13 may not use amounts made available under 

14 subsection (d) to fund any program that 

15 was not established by the Commission 

16 under paragraph (1) of this subsection, in17 cluding any program established under sec18 tion 254 of the Communications Act of 

19 1934 (47 U.S.C. 254) in effect on the date 

20 of enactment of this Act, except for using 

21 the Universal Service Administrative Com22 pany to administer funding. 

23 (ii) RULE OF CONSTRUCTION.—Noth24 ing in clause (i) shall be construed to pro25 hibit the Commission from using amounts 


pamtmann on DSKBC07HB2PROD with BILLS
9 

•HR 7972 IH

1 made available under subsection (d) to 

2 supplement the provision of support under 

3 the high-cost programs, as authorized 

4 under paragraph (1)(B) of this subsection. 

5 (B) TRANSPARENCY AND ACCOUNTABILITY

6 FOR ADDRESSING GAPS IN COVERAGE.—The 

7 Commission shall establish transparency and 

8 accountability requirements for amounts made 

9 available for the purpose set forth in paragraph 

10 (1)(A) that, at a minimum— 

11 (i) provide— 

12 (I) a process for challenging any 

13 initial determination by the Commis14 sion regarding whether an area is 

15 served or unserved; and 

16 (II) written public notice on the 

17 website of the Commission of— 

18 (aa) how each challenge 

19 under subparagraph (I) was de20 cided; and 

21 (bb) the reasons of the Com22 mission for each decision; 

23 (ii) establish broadband service build24 out milestones and require periodic certifi25 cation by funding recipients to ensure comVerDate Sep 11 2014 19:51 Aug 28, 2020 Jkt 099200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H7972.IH H7972

pamtmann on DSKBC07HB2PROD with BILLS
10 

•HR 7972 IH

1 pliance with the broadband service buildout 

2 milestones; 

3 (iii) establish a maximum buildout 

4 timeframe of 4 years beginning on the date 

5 on which funding is provided; 

6 (iv) establish periodic reporting re7 quirements for funding recipients that 

8 identify, at a minimum, the nature of the 

9 service provided in each area where fund10 ing is provided; 

11 (v) establish standard penalties for 

12 noncompliance with the requirements es13 tablished under this subparagraph and as 

14 may be further prescribed by the Commis15 sion; 

16 (vi) establish procedures for recovery 

17 of funds, in whole or in part, from funding 

18 recipients in the event of default or non19 compliance with the requirements estab20 lished under this subparagraph and as may 

21 be further prescribed by the Commission; 

22 and 

23 (vii) require a funding recipient to— 

24 (I) offer voice service and 

25 broadband internet access service; and 


pamtmann on DSKBC07HB2PROD with BILLS
11 

•HR 7972 IH

1 (II) permit a consumer to sub2 scribe to one type of service described 

3 in subclause (I) or both types. 

4 (C) TRANSPARENCY AND ACCOUNTABILITY

5 FOR ADDRESSING SHORTFALLS IN FUNDING.— 

6 The Commission shall establish transparency 

7 and accountability requirements for amounts 

8 made available for the purpose set forth in sub9 paragraph (1)(B) that, at a minimum— 

10 (i) establish periodic reporting and 

11 certification requirements for funding re12 cipients to ensure that the funding results 

13 in the offering of voice service and 

14 broadband internet access service at rea15 sonably comparable rates and performance 

16 levels; 

17 (ii) establish standard penalties for 

18 noncompliance with the requirements es19 tablished under this subparagraph and as 

20 may be further prescribed by the Commis21 sion; 

22 (iii) establish procedures for recovery 

23 of funds, in whole or in part, from funding 

24 recipients in the event of default or non25 compliance with the requirements estabVerDate Sep 11 2014 19:51 Aug 28, 2020 Jkt 099200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H7972.IH H7972

pamtmann on DSKBC07HB2PROD with BILLS
12 

•HR 7972 IH

1 lished under this subparagraph and as may 

2 be further prescribed by the Commission; 

3 and 

4 (iv) require a funding recipient to— 

5 (I) offer voice service and 

6 broadband internet access service; and 

7 (II) permit a consumer to sub8 scribe to one type of service described 

9 in subclause (I) or both types. 

10 (f) REPORTS.— 

11 (1) AUCTION-SPECIFIC REPORTS.—Not later 

12 than 30 days after the date on which the Commis13 sion announces the results of an auction under sec14 tion 309(j) of the Communications Act of 1934 (47 

15 U.S.C. 309(j)), the Commission shall publish and 

16 submit to the Committee on Commerce, Science, and 

17 Transportation of the Senate and the Committee on 

18 Energy and Commerce of the House of Representa19 tives a report on the amount of net proceeds that 

20 will be deposited in the Rural Broadband Assess21 ment and Deployment Fund under paragraph 

22 (8)(H) of that section (as added by section 2 of this 

23 Act) as a result of that auction. 

24 (2) AUCTION PROCEEDS DEPLOYMENT RE25 PORT.—Section 309(j) of the Communications Act 


pamtmann on DSKBC07HB2PROD with BILLS
13 

•HR 7972 IH

1 of 1934 (47 U.S.C. 309(j)) is amended by adding at 

2 the end the following: 

3 ‘‘(19) REPORT ON RURAL BROADBAND ASSESS4 MENT AND DEPLOYMENT FUND PROCEEDS.—Not 

5 later than March 1, 2021, and not less frequently 

6 than annually thereafter, the Commission shall pub7 lish and submit to the Committee on Commerce, 

8 Science, and Transportation of the Senate and the 

9 Committee on Energy and Commerce of the House 

10 of Representatives a report on— 

11 ‘‘(A) the distribution of amounts made 

12 available under section 3(d) of the Rural 

13 Connectivity Advancement Program Act of 

14 2020 for the preceding year; and 

15 ‘‘(B) the projected distribution of amounts 

16 that will be made available under section 3(d) 

17 of the Rural Connectivity Advancement Pro18 gram Act of 2020 for the year after the year 

19 in which the report is published and sub20 mitted.’’. 

Æ 


pamtmann on DSKBC07HB2PROD with BILLS