IB
Union Calendar No. 54
107TH CONGRESS
1ST SESSION
H. R. 1542
[Report No. 107–83, Parts I and II]
To deregulate the Internet and high speed data services, and for other
purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL 24, 2001
Mr. TAUZIN (for himself, Mr. DINGELL, Mr. GOODLATTE, Mr. BOUCHER, Mr.
ENGLISH, Mr. FROST, Mr. SMITH of Washington, Mr. LUCAS of Ken-
tucky, Mr. WHITFIELD, Mr. MURTHA, Mr. COLLINS, Mr. BLAGOJEVICH,
Mr. FOSSELLA, Mr. DICKS, Mr. GILLMOR, Mr. BARTON of Texas, Mr.
KIND, Mr. GREENWOOD, Mr. MEEKS of New York, Mr. CAMP, Mr.
BALDACCI, Mr. RAHALL, Mr. HOLDEN, Mrs. MCCARTHY of New York,
Mr. BRADY of Pennsylvania, Mr. SIMPSON, Mr. BOYD, Mrs. NORTHUP,
Mr. ENGEL, Mr. SANDLIN, Mr. EVERETT, Mr. BOEHNER, Mr. REY-
NOLDS, Mr. WELDON of Pennsylvania, Mr. SESSIONS, Mr. BONIOR, Mr.
MALONEY of Connecticut, Mr. BUYER, Mr. CUNNINGHAM, Mr. MCCRERY,
Mr. BISHOP, Mr. LAMPSON, Mr. VITTER, Mr. BASS, Mr. ACKERMAN, Mr.
BLUNT, Mr. MCHUGH, Mr. RYAN of Wisconsin, Mr. QUINN, Mr. BACA,
Mr. GONZALEZ, Mr. BAKER, Mr. WALSH, Mr. GREEN of Texas, Mr.
WEXLER, Mr. OXLEY, Mr. RADANOVICH, Mr. DIAZ-BALART, Mr.
COOKSEY, Mr. CLEMENT, Mr. LARSEN of Washington, Mr. SCHROCK,
Mr. PETRI, Mr. WATKINS, Ms. ROS-LEHTINEN, Mr. HILLIARD, Mr.
OTTER, Mr. SHADEGG, Mr. BRYANT, Mr. PLATTS, Mr. PUTNAM, Mr.
CUMMINGS, Mr. RODRIGUEZ, Mr. CONDIT, Mr. BURR of North Carolina,
and Mr. WYNN) introduced the following bill; which was referred to the
Committee on Energy and Commerce
MAY 24, 2001
Reported by the Committee on Energy and Commerce with an amendment
[Strike out all after the enacting clause and insert the part printed in italic]
MAY 24, 2001
Referred to the Committee on the Judiciary for a period ending not later than
June 18, 2001 for consideration of such provisions of the bill and amend-
ment recommended by the Committee on Energy and Commerce as pro-
posed to narrow the purview of the Attorney General under section 271
of the Communications Act of 1934
JUNE 18, 2001
Additional sponsors: Mr. SWEENEY, Mr. GRUCCI, Mr. TURNER, Mr.
GALLEGLY, Mr. BACHUS, Mr. FOLEY, Ms. GRANGER, Mr. CROWLEY, Mr.
LEVIN, Mr. RANGEL, Mr. VISCLOSKY, Mr. HILLEARY, Mr. BONILLA, Mr.
FLETCHER, Mr. BENTSEN, Mr. RILEY, Mr. REYES, Mr. BERRY, Mr.
SHOWS, Ms. BROWN of Florida, Mr. WELDON of Florida, Ms. BALDWIN,
Mr. TANCREDO, Mrs. MEEK of Florida, Mr. HAYES, Mr. ROSS, Mr.
LAHOOD, Mr. ACEVEDO-VILA´, Mr. MOLLOHAN, Mr. HASTINGS of Flor-
ida, Mr. ORTIZ, Mr. KILDEE, Mr. ALLEN, Mr. SERRANO, Mr. BROWN of
South Carolina, Mr. SMITH of Texas, and Mr. LATOURETTE
JUNE 18, 2001
Reported with amendments, adversely, from the Committee on the Judiciary,
committed to the Committee of the Whole House on the State of the
Union, and ordered to be printed
[Omit the part struck through in italic and insert the part printed in boldface roman]
[For text of introduced bill, see copy of bill as introduced on April 24, 2001]
A BILL
To deregulate the Internet and high speed data services,
and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Internet Freedom and
Broadband Deployment Act of 2001’’.
SEC. 2. FINDINGS AND PURPOSE.
(a) FINDINGS.—Congress finds the following:
(1) Internet access services are inherently inter-
state and international in nature, and should there-
fore not be subject to regulation by the States.
(2) The imposition of regulations by the Federal
Communications Commission and the States has im-
peded the rapid delivery of high speed Internet access
services and Internet backbone services to the public,
thereby reducing consumer choice and welfare.
(3) The Telecommunications Act of 1996 rep-
resented a careful balance between the need to open
up local telecommunications markets to competition
and the need to increase competition in the provision
of interLATA voice telecommunications services.
(4) In enacting the prohibition on Bell operating
company provision of interLATA services, Congress
recognized that certain telecommunications services
have characteristics that render them incompatible
with the prohibition on Bell operating company pro-
vision of interLATA services, and exempted such serv-
ices from the interLATA prohibition.
(5) High speed data services and Internet back-
bone services constitute unique markets that are like-
wise incompatible with the prohibition on Bell oper-
ating company provision of interLATA services.
(6) Since the enactment of the Telecommuni-
cations Act of 1996, the Federal Communications
Commission has construed the prohibition on Bell op-
erating company provision of interLATA services in
a manner that has impeded the development of ad-
vanced telecommunications services, thereby limiting
consumer choice and welfare.
(7) Internet users should have choice among com-
peting Internet service providers.
(8) Internet service providers should have the
right to interconnect with high speed data networks
in order to provide service to Internet users.
(b) PURPOSES.—It is therefore the purpose of this Act
to provide market incentives for the rapid delivery of ad-
vanced telecommunications services—
(1) by deregulating high speed data services,
Internet backbone services, and Internet access serv-
ices;
(2) by clarifying that the prohibition on Bell op-
erating company provision of interLATA services does
not extend to the provision of high speed data services
and Internet backbone services;
(3) by ensuring that consumers can choose
among competing Internet service providers; and
(4) by ensuring that Internet service providers
can interconnect with competitive high speed data
networks in order to provide Internet access service to
the public.
SEC. 3. DEFINITIONS
(a) AMENDMENTS.—Section 3 of the Communications
Act of 1934 (47 U.S.C. 153) is amended—
(1) by redesignating paragraph (20) as para-
graph (21);
(2) by redesignating paragraphs (21) through
(52) as paragraphs (26) through (57), respectively;
(3) by inserting after paragraph (19) the fol-
lowing new paragraph:
‘‘(20) HIGH SPEED DATA SERVICE.—The term
‘high speed data service’ means any service that con-
sists of or includes the offering of a capability to
transmit, using a packet-switched or successor tech-
nology, information at a rate that is generally not
less than 384 kilobits per second in at least one direc-
tion. Such term does not include special access service
offered through dedicated transport links between a
customer’s premises and an interexchange carrier’s
switch or point of presence.’’;
(4) by inserting after paragraph (21) the fol-
lowing new paragraphs:
‘‘(22) INTERNET.—The term ‘Internet’ means
collectively the myriad of computer and telecommuni-
cations facilities, including equipment and operating
software, which comprise the interconnected world-
wide network of networks that employ the Trans-
mission Control Protocol/Internet Protocol, or any
predecessor or successor protocols to such protocol, to
communicate information of all kinds by wire or
radio.
‘‘(23) INTERNET
ACCESS
SERVICE.—The term
‘Internet access service’ means a service that combines
computer processing, information storage, protocol
conversion, and routing with transmission to enable
users to access Internet content and services.
‘‘(24) INTERNET BACKBONE.—The term ‘Internet
backbone’ means a network that carries Internet traf-
fic over high-capacity long-haul transmission facili-
ties and that is interconnected with other such net-
works via private peering relationships.
‘‘(25) INTERNET BACKBONE SERVICE.—The term
‘Internet backbone service’ means any interLATA
service that consists of or includes the transmission by
means of an Internet backbone of any packets, and
shall include related local connectivity.’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 230(f) of the Communications Act of
1934 (47 U.S.C. 230(f)) is amended—
(A) by striking paragraph (1); and
(B) 
by 
redesignating 
paragraphs 
(2)
through (4) as paragraphs (1) through (3), re-
spectively.
(2) Section 223(h)(2) of such Act (47 U.S.C.
223(h)(2)) is amended by striking ‘‘230(f)(2)’’ and in-
serting ‘‘230(f)(1)’’.
SEC. 4. LIMITATION ON AUTHORITY TO REGULATE HIGH
SPEED DATA SERVICES.
(a) IN GENERAL.—Part I of title II of the Communica-
tions Act of 1934 (47 U.S.C. 201 et seq.) is amended by
adding at the end the following new section:
‘‘SEC. 232. PROVISION OF HIGH SPEED DATA SERVICES.
‘‘(a) FREEDOM FROM REGULATION.—Except to the ex-
tent that high speed data service, Internet backbone service,
and Internet access service are expressly referred to in this
Act, neither the Commission, nor any State, shall have au-
thority to regulate the rates, charges, terms, or conditions
for, or entry into the provision of, any high speed data serv-
ice, Internet backbone service, or Internet access service, or
to regulate any network element to the extent it is used in
the provision of any such service; nor shall the Commission
impose or require the collection of any fees, taxes, charges,
or tariffs upon such service.
‘‘(b) SAVINGS PROVISION.—Nothing in this section
shall be construed to limit or affect the authority of any
State to regulate circuit-switched telephone exchange serv-
ices, nor affect the rights of cable franchise authorities to
establish requirements that are otherwise consistent with
this Act.
‘‘(c) CONTINUED ENFORCEMENT OF ESP EXEMPTION,
UNIVERSAL SERVICE RULES PERMITTED.—Nothing in this
section shall affect the ability of the Commission to retain
or modify—
‘‘(1) the exemption from interstate access charges
for enhanced service providers under Part 69 of the
Commission’s regulations, and the requirements of the
MTS/WATS Market Structure Order (97 FCC 2d
682, 715 (1983)); or
‘‘(2) rules issued pursuant to section 254.’’.
(b) CONFORMING AMENDMENT.—Section 251 of the
Communications Act of 1934 (47 U.S.C. 251) is amended
by adding at the end thereof the following new subsection:
‘‘(j) EXEMPTION.—
‘‘(1) ACCESS TO NETWORK ELEMENTS FOR HIGH
SPEED DATA SERVICE.—
‘‘(A) LIMITATION.—Subject to subpara-
graphs (B), (C), and (D) of this paragraph, nei-
ther the Commission nor any State shall require
an incumbent local exchange carrier to provide
unbundled access to any network element for the
provision of any high speed data service.
‘‘(B) PRESERVATION OF REGULATIONS AND
LINE
SHARING
ORDER.—Notwithstanding sub-
paragraph (A), the Commission shall, to the ex-
tent consistent with subsections (c)(3) and (d)(2),
require the provision of unbundled access to those
network elements described in section 51.319 of
the Commission’s regulations (47 C.F.R. 51.319),
as—
‘‘(i) in effect on January 1, 1999; and
‘‘(ii) subject to subparagraphs (C) and
(D), as modified by the Commission’s Line
Sharing Order.
‘‘(C) EXCEPTIONS
TO
PRESERVATION
OF
LINE SHARING ORDER.—
‘‘(i) UNBUNDLED ACCESS TO REMOTE
TERMINAL NOT REQUIRED.—An incumbent
local exchange carrier shall not be required
to provide unbundled access to the high fre-
quency portion of the loop at a remote ter-
minal.
‘‘(ii) CHARGES FOR ACCESS TO HIGH
FREQUENCY
PORTION.—The 
Commission
and the States shall permit an incumbent
local exchange carrier to charge requesting
carriers for the high frequency portion of a
loop an amount equal to which such incum-
bent local exchange carrier imputes to its
own high speed data service.
‘‘(D) LIMITATIONS ON REINTERPRETATION
OF LINE SHARING ORDER.—Neither the Commis-
sion nor any State Commission shall construe,
interpret, or reinterpret the Commission’s Line
Sharing Order in such manner as would expand
an incumbent local exchange carrier’s obligation
to provide access to any network element for the
purpose of line sharing.
‘‘(E) AUTHORITY
TO
REDUCE
ELEMENTS
SUBJECT
TO
REQUIREMENT.—This paragraph
shall not prohibit the Commission from modi-
fying the regulation referred to in subparagraph
(B) to reduce the number of network elements
subject to the unbundling requirement, or to for-
bear from enforcing any portion of that regula-
tion in accordance with the Commission’s au-
thority under section 706 of the Telecommuni-
cations Act of 1996, notwithstanding any limita-
tion on that authority in section 10 of this Act.
‘‘(F) PROHIBITION
ON
DISCRIMINATORY
SUBSIDIES.—Any network element used in the
provision of high speed data service that is not
subject to the requirements of subsection (c) shall
not be entitled to any subsidy, including any
subsidy pursuant to section 254, that is not pro-
vided on a nondiscriminatory basis to all pro-
viders of high speed data service and Internet ac-
cess service. This prohibition on discriminatory
subsidies shall not be interpreted to authorize or
require the extension of any subsidy to any pro-
vider of high speed data service or Internet ac-
cess service.
‘‘(2) RESALE.—For a period of three years after
the enactment of this subsection, an incumbent local
exchange carrier that provides high speed data service
shall have a duty to offer for resale any such service
at wholesale rates in accordance with subsection
(c)(4). After such three-year period, such carrier shall
offer such services for resale pursuant to subsection
(b)(1).
‘‘(3) 
DEFINITIONS.—For 
purposes 
of 
this
subsection—
‘‘(A) 
the 
‘Commission’s 
Line 
Sharing
Order’ means the Third Report and Order in CC
Docket No. 98–147 and the Fourth Report and
Order in CC Docket 96–98 (FCC 99–355), as
adopted November 18, 1999, and without regard
to any clarification or interpretation in the fur-
ther notice of proposed rulemaking in such Dock-
ets adopted January 19, 2001 (FCC 01–26); and
‘‘(B) the term ‘remote terminal’ means an
accessible terminal located outside of the central
office to which analog signals are carried from
customer premises, in which such signals are
converted to digital, and from which such signals
are carried, generally over fiber, to the central
office.’’.
(c) PRESERVATION OF EXISTING INTERCONNECTION
AGREEMENTS.—Nothing in the amendments made by this
section—
(1) shall be construed to permit or require the
abrogation or modification of any interconnection
agreement in effect on the date of enactment of this
section during the term of such agreement, except that
this paragraph shall not apply to any interconnection
agreement beyond the expiration date of the existing
current term contained in such agreement on the date
of enactment of this section, without regard to any ex-
tension or renewal of such agreement; or
(2) affects the implementation of any change of
law provision in any such agreement.
SEC. 5. INTERNET CONSUMERS FREEDOM OF CHOICE.
Part I of title II of the Communications Act of 1934,
as amended by section 4, is amended by adding at the end
the following new section:
‘‘SEC. 233. INTERNET CONSUMERS FREEDOM OF CHOICE.
‘‘(a) PURPOSE.—It is the purpose of this section to en-
sure that Internet users have freedom of choice of Internet
service provider.
‘‘(b) OBLIGATIONS OF INCUMBENT LOCAL EXCHANGE
CARRIERS.—Each incumbent local exchange carrier has the
duty to provide—
‘‘(1) Internet users with the ability to subscribe
to and have access to any Internet service provider
that interconnects with such carrier’s high speed data
service;
‘‘(2) any Internet service provider with the right
to acquire the facilities and services necessary to
interconnect with such carrier’s high speed data serv-
ice for the provision of Internet access service;
‘‘(3) any Internet service provider with the abil-
ity to collocate equipment in accordance with the pro-
visions of section 251, to the extent necessary to
achieve the objectives of paragraphs (1) and (2) of
this subsection; and
‘‘(4) any provider of high speed data services,
Internet backbone service, or Internet access service
with special access for the provision of Internet access
service within a period no longer than the period in
which such incumbent local exchange carrier provides
special access to itself or any affiliate for the provi-
sion of such service.
‘‘(c) DEFINITIONS.—As used in this section—
‘‘(1) INTERNET SERVICE PROVIDER.—The term
‘Internet service provider’ means any provider of
Internet access service.
‘‘(2) INCUMBENT LOCAL EXCHANGE CARRIER.—
The term ‘incumbent local exchange carrier’ has the
same meaning as provided in section 251(h).
‘‘(3) SPECIAL ACCESS SERVICE.—The term ‘spe-
cial access service’ means the provision of dedicated
transport links between a customer’s premises and the
switch or point of presence of a high speed data serv-
ice provider, Internet backbone service provider, or
Internet service provider.’’.
SEC. 6. INCIDENTAL INTERLATA PROVISION OF HIGH
SPEED 
DATA 
AND 
INTERNET 
BACKBONE
SERVICES.
(a) INCIDENTAL INTERLATA SERVICE PERMITTED.—
Section 271(g) of the Communications Act of 1934 (47
U.S.C. 271(g)) is amended—
(1) by striking ‘‘or’’ at the end of paragraph (5);
(2) by striking the period at the end of para-
graph (6) and inserting ‘‘; or’’; and
(3) by adding at the end thereof the following
new paragraph:
‘‘(7) of high speed data service or Internet back-
bone service, subject to subsection (l).’’.
(b) PROHIBITION
ON PROVISION
OF VOICE TELE-
PHONE SERVICES.—Section 271 of such Act is amended by
adding at the end thereof the following new subsection:
‘‘(k) PROHIBITION ON PROVISION OF VOICE TELE-
PHONE SERVICES.—Until the date on which a Bell oper-
ating company is authorized to offer interLATA services
originating in an in-region State in accordance with the
provisions of this section, such Bell operating company of-
fering any high speed data service or Internet backbone
service pursuant to the provisions of paragraph (7) of sub-
section (g) may not, in such in-region State provide
interLATA voice telecommunications service, regardless of
whether there is a charge for such service, by means of the
high speed data service or Internet backbone service pro-
vided by such company.’’.
(c) APPLICATION
PREREQUISITE
TO
PRO-
VIDING HIGH SPEED DATA SERVICE OR INTERNET
BACKBONE SERVICE.—Section 271 of the Com-
munications Act of 1934 (47 U.S.C. 271), as
amended by subsection (b), is amended by
adding at the end the following:
‘‘(l) APPLICATION
PREREQUISITE
TO
PRO-
VIDING HIGH SPEED DATA SERVICE OR INTERNET
BACKBONE SERVICE.—
‘‘(1) REQUIREMENT TO FILE APPLICATION
WITH
ATTORNEY
GENERAL
OF
THE
UNITED
STATES.—Neither a Bell operating com-
pany, nor any affiliate of a Bell operating
company, 
may 
begin 
providing 
high
speed data service or Internet backbone
service in any in-region State under the
authority of subsection (g)(7)—
‘‘(A) unless it files with the Attor-
ney General of the United States an
application to provide such service;
and
‘‘(B) until the Attorney General —
‘‘(i) approves such application
before the expiration of the 90–
day period beginning on the date
such application is filed; or
‘‘(ii) fails to approve or to dis-
approve such application during
such 90–day period.
‘‘(2) AUTHORITY
OF
ATTORNEY
GEN-
ERAL.—The 
Attorney 
General 
of 
the
United States—
‘‘(A) may issue rules to establish
requirements applicable to the form
and contents of applications filed
under paragraph (1);
‘‘(B) may make recommendations
to an applicant regarding—
‘‘(i) withdrawal of an applica-
tion filed under paragraph (1); or
‘‘(ii) filing of an application
under paragraph (1), with or
without 
modifications, 
subse-
quent to the withdrawal of an ap-
plication filed under such para-
graph; and
‘‘(C) may not approve an applica-
tion filed in compliance with this sub-
section unless the Attorney General
determines that the applicant has
demonstrated that it meets the sub-
stantive requirements of subsections
(c) and (d) with respect to high speed
data service or Internet backbone
service in the State for which such
application is filed.
‘‘(3) WITHDRAWAL OF APPLICATION.—An
application filed under paragraph (1)
may be withdrawn by the applicant at
any time before the Attorney General ap-
proves or disapproves such application,
but may not be modified after being
filed.’’.
(c) (d) CONFORMING AMENDMENTS.—
(1) Section 272(a)(2)(B)(i) of such Act is
amended to read as follows:
‘‘(i) incidental interLATA services de-
scribed in paragraphs (1), (2), (3), (5), (6),
and (7) of section 271(g);’’.
(2) Section 272(a)(2)(C) of such Act is repealed.
(e) CONTINUED FULL APPLICATION OF THE
ANTITRUST LAWS TO MATTERS INVOLVED IN THE
TELECOMMUNICATIONS
INDUSTRY.—Section
601(b) of the Telecommunications Act of 1996
(47 U.S.C. 152 note) is amended by adding at
the end the following:
‘‘(4) CONTINUING
OPERATION
OF
THE
ANTITRUST LAWS.—The rights, obligations,
powers, and remedies provided under the
antitrust laws are in addition to, and
are—
‘‘(A) not preempted by;
‘‘(B) not inconsistent with; and
‘‘(C) not incompatible with;
any of the rights, obligations, powers,
and remedies provided under the Com-
munications Act of 1934 (47 U.S.C. 151 et
seq.), under this Act, or under any law
amended by either such Act, regardless of
the progress of competition in any mar-
ket.’’.
SEC. 7. DEPLOYMENT OF BROADBAND SERVICES.
Part III of title II of the Communications Act of 1934
is amended by inserting after section 276 (47 U.S.C. 276)
the following new section:
‘‘SEC. 277. DEPLOYMENT OF BROADBAND SERVICES.
‘‘(a) DEPLOYMENT REQUIRED.—Each Bell operating
company and its affiliates shall deploy high speed data
services in each State in which such company or affiliate
is an incumbent local exchange carrier (as such term is de-
fined in section 251(h)) in accordance with the require-
ments of this section.
‘‘(b) DEPLOYMENT REQUIREMENTS.—
‘‘(1) MILEPOSTS FOR DEPLOYMENT.—A Bell op-
erating company or its affiliate shall deploy high
speed data services by attaining high speed data ca-
pability in its central offices in each State to which
subsection (a) applies. Such company or affiliate
shall attain such capability in accordance with the
following schedule:
‘‘(A) Within one year after the date of en-
actment of this section, such company or affiliate
shall attain high speed data capability in not
less than 20 percent of such central offices in
such State.
‘‘(B) Within 2 years after the date of enact-
ment of this section, such company or affiliate
shall attain high speed data capability in not
less than 40 percent of such central offices in
such State.
‘‘(C) Within 3 years after the date of enact-
ment of this section, such company or affiliate
shall attain high speed data capability in not
less than 70 percent of such central offices in
such State.
‘‘(D) Within 5 years after the date of enact-
ment of this section, such company or affiliate
shall attain high speed data capability in not
less than 100 percent of such central offices in
such State.
‘‘(2) HIGH SPEED DATA CAPABILITY.—For pur-
poses of paragraph (1), a central office shall be con-
sidered to have attained high speed capability if—
‘‘(A)(i) such central office is equipped with
high speed data multiplexing capability; and
‘‘(ii) each upgradeable customer loop that
originates or terminates in such central office is
upgraded promptly upon receipt of a customer
request for such upgrading, as necessary to per-
mit transmission of high speed data service (in-
cluding any conditioning of the loop);
‘‘(B) each customer served by such central
office (without regard to the upgradeability or
length of the customer’s loop) is able to obtain
the provision of high speed data service from
such Bell operating company or its affiliate by
means of an alternative technology that does not
involve the use of the customer’s loop; or
‘‘(C) each such customer is able to obtain
the provision of high speed data service by one
or the other of the means described in subpara-
graphs (A) and (B).
‘‘(3) UPGRADEABLE
LOOPS.—For purposes of
paragraph (2), a customer loop is upgradeable if—
‘‘(A) such loop is less than 15,000 feet in
length (from the central office to the customer’s
premises along the line); and
‘‘(B) such loop can, with or without condi-
tioning, transmit high speed data services with-
out such transmission on such loop causing sig-
nificant degradation of voice service.
‘‘(c) AVAILABILITY OF REMEDIES.—
‘‘(1) FORFEITURE PENALTIES.—A Bell operating
company or its affiliate that fails to comply with this
section shall be subject to the penalties provided in
section 503(b)(2). In determining whether to impose
a forfeiture penalty, and in determining the amount
of any forfeiture penalty under section 503(b)(2)(D),
the Commission shall take into consideration the ex-
tent to which the requirements of this section are tech-
nically infeasible.
‘‘(2) JURISDICTION.—The Commission shall have
exclusive jurisdiction to enforce the requirements of
this section, except that any State commission may
file a complaint with the Commission seeking the im-
position of penalties as provided in paragraph (1).
‘‘(d) ANNUAL REPORT ON DEPLOYMENT.—
‘‘(1) ANALYSIS
REQUIRED.—The Commission
shall include in each of its annual reports submitted
no more than 18 months after the date of enactment
of this section an analysis of the deployment of high
speed data service to underserved areas. Such report
shall include—
‘‘(A) a statistical analysis of the extent to
which high speed data service has been deployed
to central offices and customer loops, or is avail-
able using different technologies, as compared
with the extent of such deployment and avail-
ability prior to such date and in prior reports
under this subsection;
‘‘(B) a breakdown of the delivery of high
speed data service by type of technology and
class or category of provider;
‘‘(C) an identification of impediments to
such deployment and availability, and develop-
ments in overcoming such impediments during
the intervening period between such reports; and
‘‘(D) recommendations of the Commission,
after consultation with the National Tele-
communications and Information Administra-
tion, for further extending such deployment and
availability and overcoming such impediments.
‘‘(2) DEFINITION OF UNDERSERVED AREA.—For
purposes of paragraph (1), the term ‘underserved
areas’ means areas that—
‘‘(A) are high cost areas that are eligible for
services under subpart D of part 54 of the Com-
mission’s regulations (47 C.F.R. 54.301 et seq.);
or
‘‘(B) are within or comprised of any census
tract—
‘‘(i) the poverty level of which is at
least 30 percent (based on the most recent
census data); or
‘‘(ii) the median family income of
which does not exceed—
‘‘(I) in the case of a census tract
located in a metropolitan statistical
area, 70 percent of the greater of the
metropolitan area median family in-
come or the statewide median family
income; and
‘‘(II) in the case of a census tract
located in a nonmetropolitan statis-
tical area, 70 percent of the nonmetro-
politan statewide median family in-
come.
‘‘(3) DESIGNATION
OF
CENSUS
TRACTS.—The
Commission shall, not later than 90 days after the
date of the enactment of this section, designate and
publish those census tracts meeting the criteria de-
scribed in paragraph (2)(B).’’.
SEC. 8. COMMISSION AUTHORIZED TO PRESCRIBE JUST
AND REASONABLE CHARGES.
The Federal Communications Commission may im-
pose penalties under section 503 of the Communications Act
of 1934 not to exceed $1,000,000 for any violation of provi-
sions contained in, or amended by, section 5, 6, or 7 (or
any combination thereof) of this Act. Each distinct viola-
tion shall be a separate offense, and in the case of a con-
tinuing violation, each day shall be deemed a separate of-
fense, except that the amount assessed for any continuing
violation shall not exceed a total of $10,000,000 for any
single act or failure to act described in section 5, 6, or 7
(or any combination thereof) of this Act.
Union Calendar No. 54
107TH CONGRESS
1ST SESSION
H. R. 1542
[Report No. 107–83, Parts I and II]
A BILL
To deregulate the Internet and high speed data
services, and for other purposes.
JUNE 18, 2001
Reported with amendments, adversely, from the Com-
mittee on the Judiciary, committed to the Committee
of the Whole House on the State of the Union, and or-
dered to be printed