I 

110TH CONGRESS 

2D SESSION H. R. 5682 

To improve access to broadband service in rural and underserved areas 

of the United States, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 2, 2008 

Mr. ALLEN introduced the following bill; which was referred to the Committee 

on Energy and Commerce, and in addition to the Committees on Ways 

and Means and Agriculture, 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 improve access to broadband service in rural and underserved areas of the United States, 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 America Com5 munication Expansion for the Future Act of 2008’’. 


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1 TITLE I—TAX INCENTIVES FOR 

2 BROADBAND SERVICES IN 

3 RURAL AND UNDERSERVED 

4 AREAS 

5 SEC. 101. EXPENSING OF BROADBAND INTERNET ACCESS 

6 EXPENDITURES. 

7 (a) IN GENERAL.—Part VI of subchapter B of chap8 ter 1 of the Internal Revenue Code of 1986 (relating to 

9 itemized deductions for individuals and corporations) is 

10 amended by inserting after section 190 the following new 

11 section: 

12 ‘‘SEC. 191. BROADBAND EXPENDITURES. 

13 ‘‘(a) TREATMENT OF EXPENDITURES.— 

14 ‘‘(1) IN GENERAL.—A taxpayer may elect to 

15 treat any qualified broadband expenditure which is 

16 paid or incurred by the taxpayer as an expense 

17 which is not chargeable to capital account. Any ex18 penditure which is so treated shall be allowed as a 

19 deduction. 

20 ‘‘(2) ELECTION.—An election under paragraph 

21 (1) shall be made at such time and in such manner 

22 as the Secretary may prescribe by regulation. 

23 ‘‘(b) QUALIFIED BROADBAND EXPENDITURES.—For 

24 purposes of this section— 


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1 ‘‘(1) IN GENERAL.—The term ‘qualified 

2 broadband expenditure’ means, with respect to any 

3 taxable year, any direct or indirect costs incurred 

4 after the date of the enactment of this section and 

5 before the date which is 4 years after such date and 

6 properly taken into account with respect to— 

7 ‘‘(A) the purchase or installation of quali8 fied equipment (including any upgrades there9 to), and 

10 ‘‘(B) the connection of such qualified 

11 equipment to any qualified subscriber. 

12 ‘‘(2) CERTAIN SATELLITE EXPENDITURES EX13 CLUDED.—Such term shall not include any costs in14 curred with respect to the launching of any satellite 

15 equipment. 

16 ‘‘(3) LEASED EQUIPMENT.—Such term shall in17 clude so much of the purchase price paid by the les18 sor of qualified equipment subject to a lease de19 scribed in subsection (c)(2)(B) as is attributable to 

20 expenditures incurred by the lessee which would oth21 erwise be described in paragraph (1). 

22 ‘‘(4) LIMITATION WITH REGARD TO CURRENT

23 GENERATION BROADBAND SERVICES.—Only 50 per24 cent of the amounts taken into account under para25 graph (1) with respect to qualified equipment 


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1 through which current generation broadband serv2 ices are provided shall be treated as qualified 

3 broadband expenditures. 

4 ‘‘(c) WHEN EXPENDITURES TAKEN INTO AC5 COUNT.—For purposes of this section— 

6 ‘‘(1) IN GENERAL.—Qualified broadband ex7 penditures with respect to qualified equipment shall 

8 be taken into account with respect to the first tax9 able year in which— 

10 ‘‘(A) current generation broadband services 

11 are provided through such equipment to quali12 fied subscribers, or 

13 ‘‘(B) next generation broadband services 

14 are provided through such equipment to quali15 fied subscribers. 

16 ‘‘(2) LIMITATION.— 

17 ‘‘(A) IN GENERAL.—Qualified expenditures 

18 shall be taken into account under paragraph (1) 

19 only with respect to qualified equipment— 

20 ‘‘(i) the original use of which com21 mences with the taxpayer, and 

22 ‘‘(ii) which is placed in service, after 

23 the date of the enactment of this section. 

24 ‘‘(B) SALE-LEASEBACKS.—For purposes of 

25 subparagraph (A), if property— 


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1 ‘‘(i) is originally placed in service 

2 after the date of the enactment of this sec3 tion by any person, and 

4 ‘‘(ii) sold and leased back by such per5 son within 3 months after the date such 

6 property was originally placed in service, 

7 such property shall be treated as originally 

8 placed in service not earlier than the date on 

9 which such property is used under the leaseback 

10 referred to in clause (ii). 

11 ‘‘(d) SPECIAL ALLOCATION RULES.— 

12 ‘‘(1) CURRENT GENERATION BROADBAND SERV13 ICES.—For purposes of determining the amount of 

14 qualified broadband expenditures under subsection 

15 (a)(1) with respect to qualified equipment through 

16 which current generation broadband services are 

17 provided, if the qualified equipment is capable of 

18 serving both qualified subscribers and other sub19 scribers, the qualified broadband expenditures shall 

20 be multiplied by a fraction— 

21 ‘‘(A) the numerator of which is the sum of 

22 the number of potential qualified subscribers 

23 within the rural areas and the underserved 

24 areas which the equipment is capable of serving 

25 with current generation broadband services, and 


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1 ‘‘(B) the denominator of which is the total 

2 potential subscriber population of the area 

3 which the equipment is capable of serving with 

4 current generation broadband services. 

5 ‘‘(2) NEXT GENERATION BROADBAND SERV6 ICES.—For purposes of determining the amount of 

7 qualified broadband expenditures under subsection 

8 (a)(1) with respect to qualified equipment through 

9 which next generation broadband services are pro10 vided, if the qualified equipment is capable of serv11 ing both qualified subscribers and other subscribers, 

12 the qualified expenditures shall be multiplied by a 

13 fraction— 

14 ‘‘(A) the numerator of which is the sum 

15 of— 

16 ‘‘(i) the number of potential qualified 

17 subscribers within the rural areas and un18 derserved areas, plus 

19 ‘‘(ii) the number of potential qualified 

20 subscribers within the area consisting only 

21 of residential subscribers not described in 

22 clause (i), 

23 which the equipment is capable of serving with 

24 next generation broadband services, and 


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1 ‘‘(B) the denominator of which is the total 

2 potential subscriber population of the area 

3 which the equipment is capable of serving with 

4 next generation broadband services. 

5 ‘‘(e) DEFINITIONS.—For purposes of this section— 

6 ‘‘(1) ANTENNA.—The term ‘antenna’ means 

7 any device used to transmit or receive signals 

8 through the electromagnetic spectrum, including sat9 ellite equipment. 

10 ‘‘(2) CABLE OPERATOR.—The term ‘cable oper11 ator’ has the meaning given such term by section 

12 602(5) of the Communications Act of 1934 (47 

13 U.S.C. 522(5)). 

14 ‘‘(3) COMMERCIAL MOBILE SERVICE CAR15 RIER.—The term ‘commercial mobile service carrier’ 

16 means any person authorized to provide commercial 

17 mobile radio service as defined in section 20.3 of 

18 title 47, Code of Federal Regulations. 

19 ‘‘(4) CURRENT GENERATION BROADBAND SERV20 ICE.—The term ‘current generation broadband serv21 ice’ means the transmission of signals at a rate of 

22 at least 5,000,000 bits per second to the subscriber 

23 and at least 1,000,000 bits per second from the sub24 scriber. 


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1 ‘‘(5) MULTIPLEXING OR DEMULTIPLEXING.— 

2 The term ‘multiplexing’ means the transmission of 2 

3 or more signals over a single channel, and the term 

4 ‘demultiplexing’ means the separation of 2 or more 

5 signals previously combined by compatible multi6 plexing equipment. 

7 ‘‘(6) NEXT GENERATION BROADBAND SERV8 ICE.—The term ‘next generation broadband service’ 

9 means the transmission of signals at a rate of at 

10 least 50,000,000 bits per second to the subscriber 

11 and at least 10,000,000 bits per second from the 

12 subscriber. 

13 ‘‘(7) NONRESIDENTIAL SUBSCRIBER.—The 

14 term ‘nonresidential subscriber’ means any person 

15 who purchases broadband services which are deliv16 ered to the permanent place of business of such per17 son. 

18 ‘‘(8) OPEN VIDEO SYSTEM OPERATOR.—The 

19 term ‘open video system operator’ means any person 

20 authorized to provide service under section 653 of 

21 the Communications Act of 1934 (47 U.S.C. 573). 

22 ‘‘(9) OTHER WIRELESS CARRIER.—The term 

23 ‘other wireless carrier’ means any person (other than 

24 a telecommunications carrier, commercial mobile 

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1 erator, or satellite carrier) providing current genera2 tion broadband service or next generation broadband 

3 service to subscribers through the radio transmission 

4 of energy. 

5 ‘‘(10) PACKET SWITCHING.—The term ‘packet 

6 switching’ means controlling or routing the path of 

7 any digitized transmission signal which is assembled 

8 into packets or cells. 

9 ‘‘(11) PROVIDER.—The term ‘provider’ means, 

10 with respect to any qualified equipment— 

11 ‘‘(A) a cable operator, 

12 ‘‘(B) a commercial mobile service carrier, 

13 ‘‘(C) an open video system operator, 

14 ‘‘(D) a satellite carrier, 

15 ‘‘(E) a telecommunications carrier, or 

16 ‘‘(F) any other wireless carrier, 

17 providing current generation broadband services or 

18 next generation broadband services to subscribers 

19 through such qualified equipment. 

20 ‘‘(12) PROVISION OF SERVICES.—A provider 

21 shall be treated as providing services to 1 or more 

22 subscribers if— 

23 ‘‘(A) such a subscriber has been passed by 

24 the provider’s equipment and can be connected 


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1 to such equipment for a standard connection 

2 fee, 

3 ‘‘(B) the provider is physically able to de4 liver current generation broadband services or 

5 next generation broadband services, as applica6 ble, to such a subscriber without making more 

7 than an insignificant investment with respect to 

8 such subscriber, 

9 ‘‘(C) the provider has made reasonable ef10 forts to make such subscribers aware of the 

11 availability of such services, 

12 ‘‘(D) such services have been purchased by 

13 1 or more such subscribers, and 

14 ‘‘(E) such services are made available to 

15 such subscribers at average prices comparable 

16 to those at which the provider makes available 

17 similar services in any areas in which the pro18 vider makes available such services. 

19 ‘‘(13) QUALIFIED EQUIPMENT.— 

20 ‘‘(A) IN GENERAL.—The term ‘qualified 

21 equipment’ means equipment which provides 

22 current generation broadband services or next 

23 generation broadband services— 

24 ‘‘(i) at least a majority of the time 

25 during periods of maximum demand to 


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1 each subscriber who is utilizing such serv2 ices, and 

3 ‘‘(ii) in a manner substantially the 

4 same as such services are provided by the 

5 provider to subscribers through equipment 

6 with respect to which no deduction is al7 lowed under subsection (a)(1). 

8 ‘‘(B) ONLY CERTAIN INVESTMENT TAKEN

9 INTO ACCOUNT.—Except as provided in sub10 paragraph (C) or (D), equipment shall be taken 

11 into account under subparagraph (A) only to 

12 the extent it— 

13 ‘‘(i) extends from the last point of 

14 switching to the outside of the unit, build15 ing, dwelling, or office owned or leased by 

16 a subscriber in the case of a telecommuni17 cations carrier, 

18 ‘‘(ii) extends from the customer side 

19 of the mobile telephone switching office to 

20 a transmission/receive antenna (including 

21 such antenna) owned or leased by a sub22 scriber in the case of a commercial mobile 

23 service carrier, 

24 ‘‘(iii) extends from the customer side 

25 of the headend to the outside of the unit, 


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1 building, dwelling, or office owned or 

2 leased by a subscriber in the case of a 

3 cable operator or open video system oper4 ator, or 

5 ‘‘(iv) extends from a transmission/re6 ceive antenna (including such antenna) 

7 which transmits and receives signals to or 

8 from multiple subscribers, to a trans9 mission/receive antenna (including such 

10 antenna) on the outside of the unit, build11 ing, dwelling, or office owned or leased by 

12 a subscriber in the case of a satellite car13 rier or other wireless carrier, unless such 

14 other wireless carrier is also a tele15 communications carrier. 

16 ‘‘(C) PACKET SWITCHING EQUIPMENT.— 

17 Packet switching equipment, regardless of loca18 tion, shall be taken into account under subpara19 graph (A) only if it is deployed in connection 

20 with equipment described in subparagraph (B) 

21 and is uniquely designed to perform the func22 tion of packet switching for current generation 

23 broadband services or next generation 

24 broadband services, but only if such packet 

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1 tions performed in the transmission of a signal 

2 to a subscriber or the first in a series of such 

3 functions performed in the transmission of a 

4 signal from a subscriber. 

5 ‘‘(D) MULTIPLEXING AND

6 DEMULTIPLEXING EQUIPMENT.—Multiplexing 

7 and demultiplexing equipment shall be taken 

8 into account under subparagraph (A) only to 

9 the extent it is deployed in connection with 

10 equipment described in subparagraph (B) and 

11 is uniquely designed to perform the function of 

12 multiplexing and demultiplexing packets or cells 

13 of data and making associated application 

14 adaptions, but only if such multiplexing or 

15 demultiplexing equipment is located between 

16 packet switching equipment described in sub17 paragraph (C) and the subscriber’s premises. 

18 ‘‘(14) QUALIFIED SUBSCRIBER.—The term 

19 ‘qualified subscriber’ means— 

20 ‘‘(A) with respect to the provision of cur21 rent generation broadband services— 

22 ‘‘(i) any nonresidential subscriber 

23 maintaining a permanent place of business 

24 in a rural area or underserved area, or 


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1 ‘‘(ii) any residential subscriber resid2 ing in a dwelling located in a rural area or 

3 underserved area which is not a saturated 

4 market, and 

5 ‘‘(B) with respect to the provision of next 

6 generation broadband services— 

7 ‘‘(i) any nonresidential subscriber 

8 maintaining a permanent place of business 

9 in a rural area or underserved area, or 

10 ‘‘(ii) any residential subscriber. 

11 ‘‘(15) RESIDENTIAL SUBSCRIBER.—The term 

12 ‘residential subscriber’ means any individual who 

13 purchases broadband services which are delivered to 

14 such individual’s dwelling. 

15 ‘‘(16) RURAL AREA.—The term ‘rural area’ 

16 means any census tract which— 

17 ‘‘(A) is not within 10 miles of any incor18 porated or census designated place containing 

19 more than 25,000 people, and 

20 ‘‘(B) is not within a county or county 

21 equivalent which has an overall population den22 sity of more than 500 people per square mile of 

23 land. 

24 ‘‘(17) RURAL SUBSCRIBER.—The term ‘rural 

25 subscriber’ means any residential subscriber residing 


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1 in a dwelling located in a rural area or nonresiden2 tial subscriber maintaining a permanent place of 

3 business located in a rural area. 

4 ‘‘(18) SATELLITE CARRIER.—The term ‘sat5 ellite carrier’ means any person using the facilities 

6 of a satellite or satellite service licensed by the Fed7 eral Communications Commission and operating in 

8 the Fixed-Satellite Service under part 25 of title 47 

9 of the Code of Federal Regulations or the Direct 

10 Broadcast Satellite Service under part 100 of title 

11 47 of such Code to establish and operate a channel 

12 of communications for distribution of signals, and 

13 owning or leasing a capacity or service on a satellite 

14 in order to provide such point-to-multipoint distribu15 tion. 

16 ‘‘(19) SATURATED MARKET.—The term ‘satu17 rated market’ means any census tract in which, as 

18 of the date of the enactment of this section— 

19 ‘‘(A) current generation broadband services 

20 have been provided by a single provider to 85 

21 percent or more of the total number of potential 

22 residential subscribers residing in dwellings lo23 cated within such census tract, and 

24 ‘‘(B) such services can be utilized— 


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1 ‘‘(i) at least a majority of the time 

2 during periods of maximum demand by 

3 each such subscriber who is utilizing such 

4 services, and 

5 ‘‘(ii) in a manner substantially the 

6 same as such services are provided by the 

7 provider to subscribers through equipment 

8 with respect to which no deduction is al9 lowed under subsection (a)(1). 

10 ‘‘(20) SUBSCRIBER.—The term ‘subscriber’ 

11 means any person who purchases current generation 

12 broadband services or next generation broadband 

13 services. 

14 ‘‘(21) TELECOMMUNICATIONS CARRIER.—The 

15 term ‘telecommunications carrier’ has the meaning 

16 given such term by section 3(44) of the Communica17 tions Act of 1934 (47 U.S.C. 153(44)), but— 

18 ‘‘(A) includes all members of an affiliated 

19 group of which a telecommunications carrier is 

20 a member, and 

21 ‘‘(B) does not include a commercial mobile 

22 service carrier. 

23 ‘‘(22) TOTAL POTENTIAL SUBSCRIBER POPU24 LATION.—The term ‘total potential subscriber popu25 lation’ means, with respect to any area and based on 


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1 the most recent census data, the total number of po2 tential residential subscribers residing in dwellings 

3 located in such area and potential nonresidential 

4 subscribers maintaining permanent places of busi5 ness located in such area. 

6 ‘‘(23) UNDERSERVED AREA.—The term ‘under7 served area’ means— 

8 ‘‘(A) any census tract which is located in— 

9 ‘‘(i) an empowerment zone or enter10 prise community designated under section 

11 1391, or 

12 ‘‘(ii) the District of Columbia Enter13 prise Zone established under section 1400, 

14 or 

15 ‘‘(B) any census tract— 

16 ‘‘(i) the poverty level of which is at 

17 least 30 percent (based on the most recent 

18 census data), and 

19 ‘‘(ii) the median family income of 

20 which does not exceed— 

21 ‘‘(I) in the case of a census tract 

22 located in a metropolitan statistical 

23 area, 70 percent of the greater of the 

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1 come or the statewide median family 

2 income, and 

3 ‘‘(II) in the case of a census tract 

4 located in a nonmetropolitan statis5 tical area, 70 percent of the non6 metropolitan statewide median family 

7 income. 

8 ‘‘(24) UNDERSERVED SUBSCRIBER.—The term 

9 ‘underserved subscriber’ means any residential sub10 scriber residing in a dwelling located in an under11 served area or nonresidential subscriber maintaining 

12 a permanent place of business located in an under13 served area. 

14 ‘‘(f) SPECIAL RULES.— 

15 ‘‘(1) PROPERTY USED OUTSIDE THE UNITED

16 STATES, ETC., NOT QUALIFIED.—No expenditures 

17 shall be taken into account under subsection (a)(1) 

18 with respect to the portion of the cost of any prop19 erty referred to in section 50(b) or with respect to 

20 the portion of the cost of any property specified in 

21 an election under section 179. 

22 ‘‘(2) BASIS REDUCTION.— 

23 ‘‘(A) IN GENERAL.—For purposes of this 

24 title, the basis of any property shall be reduced 


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1 by the portion of the cost of such property 

2 taken into account under subsection (a)(1). 

3 ‘‘(B) ORDINARY INCOME RECAPTURE.— 

4 For purposes of section 1245, the amount of 

5 the deduction allowable under subsection (a)(1) 

6 with respect to any property which is of a char7 acter subject to the allowance for depreciation 

8 shall be treated as a deduction allowed for de9 preciation under section 167. 

10 ‘‘(3) COORDINATION WITH SECTION 38.—No 

11 credit shall be allowed under section 38 with respect 

12 to any amount for which a deduction is allowed 

13 under subsection (a)(1).’’. 

14 (b) SPECIAL RULE FOR MUTUAL OR COOPERATIVE

15 TELEPHONE COMPANIES.—Section 512(b) of the Internal 

16 Revenue Code of 1986 (relating to modifications) is 

17 amended by adding at the end the following new para18 graph: 

19 ‘‘(20) SPECIAL RULE FOR MUTUAL OR COOPER20 ATIVE TELEPHONE COMPANIES.—A mutual or coop21 erative telephone company which for the taxable year 

22 satisfies the requirements of section 501(c)(12)(A) 

23 may elect to reduce its unrelated business taxable in24 come for such year, if any, by an amount that does 

25 not exceed the qualified broadband expenditures 


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1 which would be taken into account under section 

2 191 for such year by such company if such company 

3 was not exempt from taxation. Any amount which is 

4 allowed as a deduction under this paragraph shall 

5 not be allowed as a deduction under section 191 and 

6 the basis of any property to which this paragraph 

7 applies shall be reduced under section 

8 1016(a)(38).’’. 

9 (c) CONFORMING AMENDMENTS.— 

10 (1) Section 263(a)(1) of the Internal Revenue 

11 Code of 1986 (relating to capital expenditures) is 

12 amended by striking ‘‘or’’ at the end of subpara13 graph (J), by striking the period at the end of sub14 paragraph (K) and inserting ‘‘, or’’, and by adding 

15 at the end the following new subparagraph: 

16 ‘‘(L) expenditures for which a deduction is 

17 allowed under section 191.’’. 

18 (2) Section 1016(a) of such Code is amended 

19 by striking ‘‘and’’ at the end of paragraph (36), by 

20 striking the period at the end of paragraph (37) and 

21 inserting ‘‘, and’’, and by adding at the end the fol22 lowing new paragraph: 

23 ‘‘(38) to the extent provided in section 

24 191(f)(2).’’. 


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1 (3) The table of sections for part VI of sub2 chapter A of chapter 1 of such Code is amended by 

3 inserting after the item relating to section 190 the 

4 following new item: 

‘‘Sec. 191. Broadband expenditures.’’. 

5 (d) DESIGNATION OF CENSUS TRACTS.— 

6 (1) IN GENERAL.—The Secretary of the Treas7 ury shall, not later than 90 days after the date of 

8 the enactment of this Act, designate and publish 

9 those census tracts meeting the criteria described in 

10 paragraphs (16), (22), and (23) of section 191(e) of 

11 the Internal Revenue Code of 1986 (as added by 

12 this section). In making such designations, the Sec13 retary of the Treasury shall consult with such other 

14 departments and agencies as the Secretary deter15 mines appropriate. 

16 (2) SATURATED MARKET.— 

17 (A) IN GENERAL.—For purposes of desig18 nating and publishing those census tracts meet19 ing the criteria described in subsection (e)(19) 

20 of such section 191— 

21 (i) the Secretary of the Treasury shall 

22 prescribe not later than 30 days after the 

23 date of the enactment of this Act the form 

24 upon which any provider which takes the 

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1 spect to any census tract shall submit a 

2 list of such census tracts (and any other 

3 information required by the Secretary) not 

4 later than 60 days after the date of the 

5 publication of such form, and 

6 (ii) the Secretary of the Treasury 

7 shall publish an aggregate list of such cen8 sus tracts and the applicable providers not 

9 later than 30 days after the last date such 

10 submissions are allowed under clause (i). 

11 (B) NO SUBSEQUENT LISTS REQUIRED.— 

12 The Secretary of the Treasury shall not be re13 quired to publish any list of census tracts meet14 ing such criteria subsequent to the list de15 scribed in subparagraph (A)(ii). 

16 (e) OTHER REGULATORY MATTERS.— 

17 (1) PROHIBITION.—No Federal or State agency 

18 or instrumentality shall adopt regulations or rate19 making procedures that would have the effect of 

20 eliminating or reducing any deduction or portion 

21 thereof allowed under section 191 of the Internal 

22 Revenue Code of 1986 (as added by this section) or 

23 otherwise subverting the purpose of this section. 

24 (2) TREASURY REGULATORY AUTHORITY.—It is 

25 the intent of Congress in providing the election to 


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1 deduct qualified broadband expenditures under sec2 tion 191 of the Internal Revenue Code of 1986 (as 

3 added by this section) to provide incentives for the 

4 purchase, installation, and connection of equipment 

5 and facilities offering expanded broadband access to 

6 the Internet for users in certain low income and 

7 rural areas of the United States, as well as to resi8 dential users nationwide, in a manner that main9 tains competitive neutrality among the various class10 es of providers of broadband services. Accordingly, 

11 the Secretary of the Treasury shall prescribe such 

12 regulations as may be necessary or appropriate to 

13 carry out the purposes of section 191 of such Code, 

14 including— 

15 (A) regulations to determine how and when 

16 a taxpayer that incurs qualified broadband ex17 penditures satisfies the requirements of section 

18 191 of such Code to provide broadband serv19 ices, and 

20 (B) regulations describing the information, 

21 records, and data taxpayers are required to pro22 vide the Secretary to substantiate compliance 

23 with the requirements of section 191 of such 

24 Code. 


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1 (f) EFFECTIVE DATE.—The amendments made by 

2 this section shall apply to expenditures incurred after the 

3 date of the enactment of this Act. 

4 SEC. 102. CREDIT FOR OPERATIONAL EXPENSES FOR WIRE5 LESS BROADBAND NETWORKS SERVING 

6 RURAL OR UNDERSERVED AREAS. 

7 (a) IN GENERAL.—Subpart D of part IV of sub8 chapter A of chapter 1 of the Internal Revenue Code of 

9 1986 (relating to business related credits) is amended by 

10 adding at the end the following: 

11 ‘‘SEC. 45O. CREDIT FOR OPERATIONAL EXPENSES FOR 

12 WIRELESS BROADBAND NETWORKS SERVING 

13 RURAL OR UNDERSERVED AREAS. 

14 ‘‘(a) GENERAL RULE.—For purposes of section 38, 

15 the wireless broadband operations credit determined under 

16 this section for the taxable year is the amount equal to 

17 the qualified operational expenses of the taxpayer for the 

18 taxable year. 

19 ‘‘(b) LIMITATION.—The amount allowed as a credit 

20 under this section for a taxable year shall not exceed 

21 $10,000. 

22 ‘‘(c) QUALIFIED OPERATIONAL EXPENSES.—For 

23 purposes of this section— 

24 ‘‘(1) IN GENERAL.—The term ‘qualified oper25 ational expenses’ means amounts paid or incurred to 


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1 provide broadband services in the United States to 

2 rural subscribers or underserved subscribers through 

3 the radio transmission of energy. Such amounts does 

4 not includes amounts properly allocable to capital 

5 account. 

6 ‘‘(2) BROADBAND SERVICES.—The term 

7 ‘broadband services’ means the transmission of sig8 nals at a rate of at least 5,000,000 bits per second 

9 to the subscriber and at least 1,000,000 bits per sec10 ond from the subscriber. 

11 ‘‘(3) OTHER DEFINITIONS.—The terms ‘rural 

12 area’, ‘subscriber’, ‘underserved area’, have the 

13 meanings given the respective term by 191(e). 

14 ‘‘(d) RELATED PERSONS.—For purposes of this sec15 tion, all persons treated as a single employer under sub16 section (a) or (b) of section 52 shall be treated as a single 

17 taxpayer. 

18 ‘‘(e) DENIAL OF DOUBLE BENEFIT.—For purposes 

19 of this section, no amount taken into account as a deduc20 tion or credit under any other provision of this chapter 

21 shall be taken into account under this section.’’. 

22 (b) CREDIT TREATED AS BUSINESS CREDIT.—Sec23 tion 38(b) of such Code (relating to current year business 

24 credit) is amended by striking ‘‘plus’’ at the end of para25 graph (30), by striking the period at the end of paragraph 


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1 (31), and inserting ‘‘, plus’’, and by adding at the end 

2 the following: 

3 ‘‘(32) the wireless broadband operations credit 

4 determined under section 45O(a).’’. 

5 (c) CLERICAL AMENDMENT.—The table of sections 

6 for subpart D of part IV of subchapter A of chapter 1 

7 of such Code is amended by at the end the following: 

‘‘Sec. 45O. Credit for operational expenses for wireless broadband networks 

serving rural or underserved areas.’’. 

8 (d) EFFECTIVE DATE.—The amendments made by 

9 this section shall apply to taxable years beginning after 

10 the date of the enactment of this Act. 

11 TITLE II—NTIA GRANT 

12 PROGRAM 

13 SEC. 201. ESTABLISHMENT OF NTIA GRANT PROGRAM FOR 

14 BROADBAND DEPLOYMENT IN RURAL AND 

15 UNDERSERVED AREAS. 

16 The National Telecommunications and Information 

17 Administration Organization Act (47 U.S.C. 901 et seq.) 

18 is amended by adding at the end the following new section: 

19 ‘‘SEC. 159. RURAL BROADBAND DEPLOYMENT GRANT PRO20 GRAM. 

21 ‘‘(a) ESTABLISHMENT.—The Secretary of Commerce, 

22 acting through the NTIA, shall establish a competitive 

23 program to provide an eligible unit of local government 


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1 with a grant of not more than $75,000 to establish pub2 licly-available networks of broadband service. 

3 ‘‘(b) ELIGIBILITY.—In order to be eligible to receive 

4 a grant under this section, an eligible unit of local govern5 ment shall prepare and submit an application at such 

6 time, in such form, and with such information and assur7 ances as the Secretary may require, including an assur8 ance that the eligible unit of local government will take 

9 such steps as are necessary to maintain the equipment and 

10 devices, including hiring and training personnel, to main11 tain the project for a 5-year period beginning on either 

12 the date when such network is established or 1 year after 

13 the grant is received, whichever is earlier. 

14 ‘‘(c) DEFINITIONS.—In this section: 

15 ‘‘(1) BROADBAND SERVICE.—The term 

16 ‘broadband service’ means the transmission of sig17 nals at a rate of at least 5,000,000 bits per second 

18 to the subscriber and at least 1,000,000 bits per sec19 ond from the subscriber. 

20 ‘‘(2) ELIGIBLE UNIT OF LOCAL GOVERN21 MENT.—The term ‘eligible unit of local government’ 

22 means a unit of local government that contains with23 in its jurisdiction at least one rural area or under24 served area. 


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1 ‘‘(3) RURAL AREA.—The term ‘rural area’ 

2 means any census tract which— 

3 ‘‘(A) is not within 10 miles of any incor4 porated or census designated place containing 

5 more than 25,000 people, and 

6 ‘‘(B) is not within a county or county 

7 equivalent which has an overall population den8 sity of more than 500 people per square mile of 

9 land. 

10 ‘‘(4) UNDERSERVED AREA.—The term ‘under11 served area’ means— 

12 ‘‘(A) any census tract which is located in— 

13 ‘‘(i) an empowerment zone or enter14 prise community designated under section 

15 1391, or 

16 ‘‘(ii) the District of Columbia Enter17 prise Zone established under section 1400, 

18 or 

19 ‘‘(B) any census tract— 

20 ‘‘(i) the poverty level of which is at 

21 least 30 percent (based on the most recent 

22 census data), and 

23 ‘‘(ii) the median family income of 

24 which does not exceed— 


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1 ‘‘(I) in the case of a census tract 

2 located in a metropolitan statistical 

3 area, 70 percent of the greater of the 

4 metropolitan area median family in5 come or the statewide median family 

6 income, and 

7 ‘‘(II) in the case of a census tract 

8 located in a nonmetropolitan statis9 tical area, 70 percent of the non10 metropolitan statewide median family 

11 income. 

12 ‘‘(d) REPORT REQUIREMENT.—The Secretary of 

13 Commerce shall submit to Congress a report during each 

14 of fiscal years 2010 through 2014 on how funds were ex15 pended during the previous fiscal year. 

16 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—For 

17 grants under this section, there are authorized to be ap18 propriated to the Secretary of Commerce $15,000,000 for 

19 each of fiscal years 2009 through 2013.’’. 


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1 TITLE III—EXTENSION OF PUB2 LIC SAFETY INTEROPERABLE 

3 COMMUNICATIONS GRANT 

4 PROGRAM 

5 SEC. 301. EXTENSION OF PUBLIC SAFETY INTEROPERABLE 

6 COMMUNICATIONS GRANT PROGRAM. 

7 Section 3006(a)(2) of the Digital Television Transi8 tion and Public Safety Act of 2005 (Public Law 109–171; 

9 120 Stat. 24) is amended by striking ‘‘fiscal year 2010’’ 

10 and inserting ‘‘fiscal year 2013’’. 

11 TITLE IV—FARM BILL 

12 PROVISIONS 

13 SEC. 401. EXPANSION OF 911 ACCESS. 

14 Section 315(b) of the Rural Electrification Act of 

15 1936 (7 U.S.C. 904e(b)) is amended by striking ‘‘2002 

16 through 2007’’ and inserting ‘‘2009 through 2013’’. 

17 SEC. 402. ACCESS TO BROADBAND TELECOMMUNICATIONS 

18 SERVICES IN RURAL AREAS. 

19 (a) DEFINITIONS.—Section 601(b) of the Rural Elec20 trification Act of 1936 (7 U.S.C. 950bb(b)) is amended 

21 by striking paragraph (2) and inserting the following: 

22 ‘‘(2) ELIGIBLE RURAL COMMUNITY.—The term 

23 ‘eligible rural community’ means any area of the 

24 United States that is not— 


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1 ‘‘(A) included within the boundaries of any 

2 city, town, borough, or village, whether incor3 porated or unincorporated, with a population of 

4 more than 40,000 inhabitants; or 

5 ‘‘(B) the urbanized area contiguous and 

6 adjacent to such a city or town.’’. 

7 (b) PRIORITIZATION OF APPLICATIONS.— 

8 (1) DEFINITION.—Section 601(b) of such Act 

9 (7 U.S.C. 950bb(b)), as amended by subsection (a) 

10 of this section, is amended by adding at the end the 

11 following: 

12 ‘‘(3) INCUMBENT SERVICE PROVIDER.—The 

13 term ‘incumbent service provider’ means, with re14 spect to an application submitted pursuant to this 

15 section, an entity that is providing broadband service 

16 to at least 5 percent of the households in the service 

17 area proposed in the application.’’. 

18 (2) PRIORITY BASED ON NUMBER OF INCUM19 BENT SERVICE PROVIDERS.—Section 601(c) of such 

20 Act (7 U.S.C. 950bb(c)) is amended by adding at 

21 the end the following: 

22 ‘‘(3) APPLICATIONS PRIORITIZED BASED ON

23 NUMBER OF INCUMBENT SERVICE PROVIDERS.— 

24 ‘‘(A) IN GENERAL.—In making or guaran25 teeing loans under paragraph (1), the Secretary 


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1 shall give priority, in the following order, to ap2 plications from eligible rural communities that 

3 have— 

4 ‘‘(i) no incumbent service provider; 

5 ‘‘(ii) 1 incumbent service provider; or 

6 ‘‘(iii) 2 incumbent service providers 

7 who, together, serve not more than 25 per8 cent of the households in the service area 

9 proposed in the application. 

10 ‘‘(B) PROHIBITIONS.—In carrying out this 

11 section, the Secretary may not— 

12 ‘‘(i) make a loan to an eligible com13 munity in which there are 3 or more in14 cumbent service providers, unless— 

15 ‘‘(I) the loan is to an incumbent 

16 service provider of the community; 

17 ‘‘(II) the other providers in that 

18 community are notified of the applica19 tion before approval by the Secretary, 

20 and have sufficient time to comment 

21 on the application; and 

22 ‘‘(III) the application includes 

23 substantially increasing— 


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1 ‘‘(aa) the quality of 

2 broadband service in the commu3 nity; and 

4 ‘‘(bb) the provision of 

5 broadband service to unserved 

6 households inside and outside the 

7 community; or 

8 ‘‘(ii) make a loan for new construction 

9 to any community in which more than 75 

10 percent of the households may obtain af11 fordable broadband service, on request, 

12 from at least 1 incumbent service pro13 vider.’’. 

14 (c) PAPERWORK REDUCTION.—Section 601(c) of 

15 such Act (7 U.S.C. 950bb(c)), as amended by subsection 

16 (b)(2) of this section, is amended by adding at the end 

17 the following: 

18 ‘‘(4) PAPERWORK REDUCTION.—The Secretary 

19 shall take steps to reduce the cost and paperwork 

20 associated with applying for a loan or loan guar21 antee under this section by first-time applicants, 

22 particularly those who are smaller and start-up 

23 Internet providers, including by providing for a new 

24 application which shall maintain the ability of the 


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1 Secretary to make an analysis of the risk associated 

2 with the loan involved.’’. 

3 (d) INCREASE IN MAXIMUM NUMBER OF SUB4 SCRIBER LINES THAT MAY BE SERVED BY AN ELIGIBLE

5 ENTITY.—Section 601(d)(3) of such Act (7 U.S.C. 

6 950bb(d)(3)) is amended by striking ‘‘2’’ and inserting 

7 ‘‘10’’. 

8 (e) LIMITATION ON FUNDS TO ENTITIES WITH

9 MORE THAN 2 PERCENT OF SUBSCRIBER LINES.—Sec10 tion 601(d) of such Act (7 U.S.C. 950bb(d)) is amended 

11 by adding at the end the following: 

12 ‘‘(4) LIMITATION ON FUNDS TO ENTITIES WITH

13 MORE THAN 2 PERCENT OF SUBSCRIBER LINES.— 

14 Not more than 25 percent of the loans made under 

15 this section in a single fiscal year may be approved 

16 for entities that serve more than 2 percent of the 

17 telephone subscriber lines in the United States.’’. 

18 (f) LOAN TERM NOT TO EXCEED 35 YEARS.—Sec19 tion 601(g)(2) of such Act (7 U.S.C. 950bb(g)(2)) is 

20 amended by striking ‘‘not to exceed the useful life of the 

21 assets constructed, improved, or acquired with the pro22 ceeds of the loan or extension of credit.’’ and inserting 

23 ‘‘of such length, not exceeding 35 years, as the borrower 

24 may request, so long as the Secretary determines that the 

25 loan is adequately secured. In determining the term of a 


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1 loan or loan guarantee, the Secretary shall consider wheth2 er the recipient is or would be serving an area that is not 

3 receiving broadband services.’’ 

4 (g) ADEQUACY OF SECURITY.—Section 601 of such 

5 Act (7 U.S.C. 950bb) is amended by redesignating sub6 sections (h) through (k) as subsections (i) through (l), re7 spectively, and inserting after subsection (g) the following: 

8 ‘‘(h) ADEQUACY OF SECURITY.—The Secretary shall 

9 ensure that the type, amount, and method of security used 

10 to secure any loan or loan guarantee provided under this 

11 section is commensurate to the risk involved with the loan 

12 or loan guarantee, particularly when the loan or loan guar13 antee is issued to a financially healthy, strong, and stable 

14 entity. In determining the amount and method of security, 

15 the Secretary shall consider reducing the security in areas 

16 that do not have broadband service.’’. 

17 (h) GENERAL REPORT ON PROGRAM.—Section 601 

18 of such Act (7 U.S.C. 950bb), as amended by subsection 

19 (g) of this section, is amended by redesignating sub20 sections (k) and (l) as subsections (l) and (m), respec21 tively, and inserting after subsection (j) the following: 

22 ‘‘(k) GENERAL PROGRAM REPORT.—Not later than 

23 December 1 of each year, the Secretary shall prepare and 

24 submit to the Committee on Agriculture of the House of 

25 Representatives and the Committee on Agriculture, NutriVerDate Aug 31 2005 23:28 Apr 04, 2008 Jkt 069200 PO 00000 Frm 00035 Fmt 6652 Sfmt 6201 E:\BILLS\H5682.IH H5682

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1 tion, and Forestry of the Senate a report that details for 

2 the preceding fiscal year— 

3 ‘‘(1) the loans made under this section; 

4 ‘‘(2) the communities served under this section; 

5 ‘‘(3) the speed of the broadband service offered 

6 by applicants for, and recipients of, loans or loan 

7 guarantees under this section; 

8 ‘‘(4) the type of services offered by the appli9 cants and recipients; 

10 ‘‘(5) the length of time to approve applications 

11 submitted pursuant to this section; and 

12 ‘‘(6) the outreach efforts undertaken by the De13 partment of Agriculture to encourage persons in 

14 areas without broadband service to submit applica15 tions pursuant to this section.’’. 

16 (i) NATIONAL CENTER FOR RURAL TELECOMMUNI17 CATIONS ASSESSMENT.—Section 601 of such Act (7 

18 U.S.C. 950bb), as amended by subsections (g) and (h) of 

19 this section, is amended by redesignating subsections (l) 

20 and (m) as subsections (m) and (n), respectively, and in21 serting after subsection (k) the following: 

22 ‘‘(l) NATIONAL CENTER FOR RURAL TELECOMMUNI23 CATIONS ASSESSMENT.— 

24 ‘‘(1) ESTABLISHMENT OF CENTER.—The Sec25 retary shall designate a National Center for Rural 


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1 Telecommunications Assessment (in this subsection 

2 referred to as the ‘Center’). 

3 ‘‘(2) CRITERIA.—The Secretary shall use the 

4 following criteria in making the designation: 

5 ‘‘(A) The Center must be an entity with a 

6 focus on rural policy research and a minimum 

7 of 5 years experience in rural telecommuni8 cations research and assessment. 

9 ‘‘(B) The Center must be capable of as10 sessing broadband services in rural areas. 

11 ‘‘(C) The Center must have significant ex12 perience with other rural economic development 

13 centers and organizations in the assessment of 

14 rural policies and formulation of policy solu15 tions at the local, State, and Federal level. 

16 ‘‘(3) BOARD.—The management of the Center 

17 shall be vested in a board of directors that is capable 

18 of oversight of the duties set forth in paragraph (4). 

19 ‘‘(4) DUTIES.—The Center shall— 

20 ‘‘(A) assess the effectiveness of programs 

21 provided under subsection (d) in increasing 

22 broadband penetration and purchase in rural 

23 areas, especially in those rural communities 

24 identified by the Secretary as having no service 


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1 before award of a broadband loan or loan guar2 antee under subsection (d); 

3 ‘‘(B) develop assessments of broadband 

4 availability in rural areas, working with existing 

5 rural development centers selected by the Cen6 ter; 

7 ‘‘(C) identify policies and initiatives at the 

8 local, State and Federal level that have in9 creased broadband penetration and purchase in 

10 rural areas; 

11 ‘‘(D) conduct a national study of rural 

12 households and businesses focusing on the 

13 adoption of, barriers to, and utilization of 

14 broadband services; and 

15 ‘‘(E) provide reports to the public on the 

16 activities undertaken under this section. 

17 ‘‘(5) REPORTING REQUIREMENTS.—The Center 

18 shall report by December 1 of each year to the Sec19 retary its activities, the results of its research, and 

20 any such information the Secretary may request re21 garding the prior fiscal year. In reporting to the 

22 Secretary the Center shall include the following: 

23 ‘‘(A) Assessments of the programs pro24 vided under subsection (b). 


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1 ‘‘(B) Annual assessments on broadband 

2 availability in rural areas under consideration 

3 by the Center. 

4 ‘‘(C) Annual assessments on the effects of 

5 the policy initiatives identified in paragraph 

6 (2)(C). 

7 ‘‘(D) Results from the national study of 

8 rural households and businesses conducted 

9 under paragraph (4)(D). 

10 ‘‘(6) AUTHORIZATION OF APPROPRIATIONS.— 

11 There are authorized to be appropriated to the Sec12 retary to carry out this subsection not more than 

13 $1,000,000 for each of the fiscal years 2009 through 

14 2013.’’. 

15 (j) FUNDING.—Section 601(m) of such Act (7 U.S.C. 

16 950bb(l)) as so redesignated by subsections (g) through 

17 (i) of this section, is amended— 

18 (1) by striking paragraph (1); 

19 (2) by redesignating paragraphs (2), (3), and 

20 (4) as paragraphs (1), (2), and (3), respectively; 

21 (3) in paragraph (1)(B) (as so redesignated), 

22 by striking ‘‘2007’’ and inserting ‘‘2013’’; 

23 (4) in paragraph (2) (as so redesignated), by 

24 striking ‘‘2003 through 2007’’ and inserting ‘‘2009 

25 through 2013’’; and 


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1 (5) in paragraph (3) (as so redesignated), by 

2 adding at the end the following: 

3 ‘‘(D) ELIGIBLE TRIBAL COMMUNITIES.— 

4 Of the amounts made available under subpara5 graph (A) for a fiscal year, 10 percent shall be 

6 reserved for entities serving eligible tribal com7 munities. 

8 ‘‘(E) UNOBLIGATED AMOUNTS.—Any 

9 amounts in the reserve established for eligible 

10 tribal communities for a fiscal year under sub11 paragraph (D) that are not obligated by June 

12 30 of the fiscal year shall be available to the 

13 Secretary to make loans and loan guarantees 

14 under this section to eligible entities in any 

15 State, as determined by the Secretary.’’. 

16 (k) EXTENSION OF AUTHORITY TO ISSUE LOANS.— 

17 Section 601(n) of such Act (7 U.S.C. 950bb(m)), as so 

18 redesignated by subsections (f) through (h) of this section, 

19 is amended by striking ‘‘2007’’ and inserting ‘‘2013’’. 

20 SEC. 403. COMMUNITY CONNECT GRANT PROGRAM. 

21 Title VI of the Rural Electrification Act of 1936 (7 

22 U.S.C. 950bb) is amended by adding at the end the fol23 lowing: 


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1 ‘‘SEC. 602. COMMUNITY CONNECT GRANT PROGRAM. 

2 ‘‘(a) ESTABLISHMENT.—The Secretary shall estab3 lish a grant program to be known as the ‘Community Con4 nect Grant Program’ to provide financial assistance to eli5 gible applicants to provide broadband transmission service 

6 that fosters economic growth and delivers enhanced edu7 cational, health care, and public safety services. 

8 ‘‘(b) ELIGIBILITY.—To be eligible for a grant under 

9 this section, the applicant must— 

10 ‘‘(1) be legally organized as an incorporated 

11 tribal organization, an Indian tribe, or tribal organi12 zation, as defined in subsections (b) and (c) of sec13 tion 4 of the Indian Self-Determination and Edu14 cation Assistance Act (25 U.S.C. 450b(b) and (c)), 

15 a State or local unit of government, or other legal 

16 entity, including a cooperative, private corporation, 

17 or limited liability company organized on a for-profit 

18 or not-for-profit basis; 

19 ‘‘(2) have the legal capacity and authority to 

20 own and operate broadband facilities as proposed in 

21 its application, to enter into contracts, and to other22 wise comply with applicable Federal statutes and 

23 regulations; or 

24 ‘‘(3) be in an eligible rural community (as de25 fined in section 601(b)(2) of the Rural Electrifica26 tion Act of 1936). 


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1 ‘‘(c) INELIGIBLE GRANT PURPOSES.—A grant made 

2 under this section may not be used— 

3 ‘‘(1) to finance the duplication of any 

4 broadband transmission service provided by another 

5 entity; or 

6 ‘‘(2) with respect to facilities, to provide local 

7 exchange telecommunications service to any person 

8 or entity receiving the service. 

9 ‘‘(d) PRIORITY.—In making grants under this sec10 tion, the Secretary shall give priority to grants that will 

11 enhance community access to telemedicine and distance 

12 learning resources. 

13 ‘‘(e) MATCHING CONTRIBUTIONS.— 

14 ‘‘(1) IN GENERAL.—To be eligible to receive a 

15 grant under subsection (a), a grant applicant shall 

16 provide a matching contribution of at least 15 per17 cent of the grant amount requested, in funds and in18 kind contributions in a proportion to be determined 

19 by the Secretary. 

20 ‘‘(2) LIMITATIONS.— 

21 ‘‘(A) Costs incurred by or on behalf of an 

22 applicant, for facilities, installed equipment, or 

23 other services rendered before submission of a 

24 completed application shall not be considered to 


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1 be for an eligible grant purpose or a matching 

2 contribution. 

3 ‘‘(B) Any financial assistance from Federal 

4 sources shall not be considered to be a match5 ing contribution for purposes of this section, 

6 unless there is a Federal statutory exception 

7 specifically authorizing the Federal financial as8 sistance to be so considered. 

9 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There 

10 are authorized to be appropriated to the Secretary to carry 

11 out this section not more than $25,000,000 for each of 

12 the fiscal years 2009 through 2013.’’. 

13 SEC. 404. ASSISTANCE FOR RURAL PUBLIC TELEVISION 

14 STATIONS. 

15 Section 2333 of the Food, Agriculture, Conservation 

16 and Trade Act of 1990 (7 U.S.C. Sec. 950aaa–2) is 

17 amended by adding at the end the following: 

18 ‘‘(j) DIGITAL SERVICE TRANSITION ASSISTANCE FOR

19 PUBLIC TELEVISION STATIONS.—The Secretary may pro20 vide grants under this section to noncommercial education 

21 television broadcast stations that serve rural areas for the 

22 purposes of developing digital facilities, equipment, and in23 frastructure to enhance digital services to rural areas.’’. 


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1 SEC. 405. TELEMEDICINE AND DISTANCE LEARNING SERV2 ICES IN RURAL AREAS. 

3 (a) AUTHORIZATION OF APPROPRIATIONS.—Section 

4 2335A of the Food, Agriculture, Conservation and Trade 

5 Act of 1990 (7 U.S.C. 950aaa–5) is amended by striking 

6 ‘‘2007’’ and inserting ‘‘2013’’. 

7 (b) CONFORMING AMENDMENT.—Section 1(b) of 

8 Public Law 102–551 (7 U.S.C. 950aaa note) is amended 

9 by striking ‘‘2007’’ and inserting ‘‘2013’’. 

10 SEC. 406. GUARANTEES FOR BONDS AND NOTES ISSUED 

11 FOR ELECTRIFICATION OR TELEPHONE PUR12 POSES. 

13 Section 313A(f) of the Rural Electrification Act of 

14 1936 (7 U.S.C. 940c–1(f)) is amended by striking ‘‘2007’’ 

15 and inserting ‘‘2013’’. 

16 SEC. 407. COMPREHENSIVE RURAL BROADBAND STRATEGY. 

17 Not later than 180 days after the date of the enact18 ment of this Act, the Secretary of Agriculture shall submit 

19 to the President, the Committee on Agriculture of the 

20 House of Representatives, and the Committee on Agri21 culture, Nutrition, and Forestry of the Senate a report 

22 describing a comprehensive rural broadband strategy that 

23 includes— 

24 (1) recommendations— 

25 (A) to promote interagency coordination of 

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1 dures, and targeted resources, and to improve 

2 and streamline the polices, programs, and serv3 ices; 

4 (B) to coordinate among Federal agencies 

5 regarding existing rural broadband or rural ini6 tiatives that could be of value to rural 

7 broadband development; 

8 (C) to address both short- and long-term 

9 solutions and needs assessments for a rapid 

10 build-out of rural broadband solutions and ap11 plications for Federal, State, regional, and local 

12 government policy makers; 

13 (D) to identify how specific Federal agency 

14 programs and resources can best respond to 

15 rural broadband requirements and overcome ob16 stacles that currently impede rural broadband 

17 deployment; and 

18 (E) to promote successful model deploy19 ments and appropriate technologies being used 

20 in rural areas so that State, regional, and local 

21 governments can benefit from the cataloging 

22 and successes of other State, regional, and local 

23 governments; and 


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1 (2) a description of goals and timeframes to 

2 achieve the strategic plans and visions identified in 

3 the report. 

4 TITLE V—TELEHEALTH 

5 PROGRAMS 

6 SEC. 601. TELEHEALTH PROGRAMS. 

7 (a) TELEHEALTH NETWORK AND TELEHEALTH RE8 SOURCE CENTERS GRANT PROGRAMS.—Subsection (s) of 

9 section 330I of the Public Health Service Act (42 U.S.C. 

10 254c–14) is amended to read as follows: 

11 ‘‘(s) AUTHORIZATION OF APPROPRIATIONS.—There 

12 are authorized to be appropriated to carry out this sec13 tion— 

14 ‘‘(1) for grants under subsection (d)(1), 

15 $5,000,000 for each of fiscal years 2009 through 

16 2013; and 

17 ‘‘(2) for grants under subsection (d)(2), 

18 $5,000,000 for each of fiscal years 2009 through 

19 2013.’’. 

20 (b) TELEMEDICINE; INCENTIVE GRANTS REGARDING

21 COORDINATION AMONG STATES.—Subsection (b) of sec22 tion 330L of the Public Health Service Act (42 U.S.C. 

23 245c–18) is amended to read as follows: 

24 ‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—To 

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1 priated $5,000,000 for each of fiscal years 2009 through 

2 2013.’’. 

Æ 


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