I 
116TH CONGRESS 
1ST SESSION H. R. 3278 
To amend the Communications Act of 1934 to provide for the establishment 
of a program to expand access to broadband. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 13, 2019 
Mr. LOEBSACK (for himself, Mr. LUJA´N, Ms. SCHAKOWSKY, Mr. MCNERNEY, 
Mr. O’HALLERAN, Mr. WELCH, Ms. ESHOO, Ms. CLARKE of New York, 
Mr. MICHAEL F. DOYLE of Pennsylvania, Mr. TONKO, Mr. VEASEY, Ms. 
DEGETTE, Ms. KUSTER
of New Hampshire, Mr. PALLONE, Mr. 
BUTTERFIELD, Mrs. DINGELL, Mr. CA´RDENAS, and Ms. MATSUI) intro-
duced the following bill; which was referred to the Committee on Energy 
and Commerce 
A BILL 
To amend the Communications Act of 1934 to provide for 
the establishment of a program to expand access to 
broadband. 
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 ‘‘Connect America Act 
of 2019’’. 
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SEC. 2. EXPANSION OF BROADBAND ACCESS. 
Title I of the Communications Act of 1934 (47 
U.S.C. 151 et seq.) is amended by adding at the end the 
following new section: 
‘‘SEC. 14. EXPANSION OF BROADBAND ACCESS. 
‘‘(a) PROGRAM ESTABLISHED.—Not later than 180 
days after the date of the enactment of this section, the 
Commission, in consultation with the Assistant Secretary, 
shall establish a program to expand access to broadband 
for unserved areas, underserved areas, and unserved an-
chor institutions in accordance with the requirements of 
this section that— 
‘‘(1) is separate from any universal service pro-
gram established pursuant to section 254; and 
‘‘(2) does not require funding recipients to be 
designated as eligible telecommunications carriers 
under section 214(e). 
‘‘(b) USE OF PROGRAM FUNDS.— 
‘‘(1) EXPANDING
ACCESS
TO
BROADBAND 
THROUGH NATIONAL REVERSE AUCTION.—Not later 
than 18 months after the date of the enactment of 
this section, the Commission shall award 75 percent 
of the amounts appropriated under subsection (h) 
through a national reverse auction to funding recipi-
ents only to expand access to broadband in unserved 
areas. 
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‘‘(2) EXPANDING
ACCESS
TO
BROADBAND 
THROUGH STATES.— 
‘‘(A) 
DISTRIBUTION
OF
FUNDS
TO 
STATES.—Not later than 255 days after the 
date of the enactment of this section, the Com-
mission shall distribute 25 percent of the 
amounts appropriated under subsection (h) 
among the States, in direct proportion to the 
population of each State. 
‘‘(B) PUBLIC NOTICE.—Not later than 195 
days after the date of the enactment of this sec-
tion, the Commission shall issue a public notice 
informing each State and the public of the 
amounts to be distributed under this para-
graph. The notice shall include— 
‘‘(i) the manner in which a State shall 
inform the Commission of that State’s ac-
ceptance or acceptance in part of the 
amounts to be distributed under this para-
graph; 
‘‘(ii) the date (which is 30 days after 
the date on which the public notice is 
issued) by which such acceptance or ac-
ceptance in part is due; and 
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‘‘(iii) the requirements as set forth 
under this section and as may be further 
prescribed by the Commission. 
‘‘(C) ACCEPTANCE BY STATES.—Not later 
than 30 days after the date on which the public 
notice is issued under subparagraph (B), each 
State accepting amounts to be distributed 
under this paragraph shall inform the Commis-
sion of the acceptance or acceptance in part by 
the State of the amounts to be distributed 
under this paragraph in the manner described 
by the Commission in the public notice. 
‘‘(D) REQUIREMENTS FOR STATE RECEIPT 
OF
AMOUNTS
DISTRIBUTED.—Each State ac-
cepting amounts distributed under this para-
graph— 
‘‘(i) shall only award such amounts 
through a statewide reverse auction or auc-
tions, in the manner prescribed by the 
State but subject to the requirements as 
set forth under this section and as may be 
further prescribed by the Commission; 
‘‘(ii) shall make such awards only— 
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‘‘(I) to funding recipients to ex-
pand access to broadband in unserved 
areas; 
‘‘(II) to funding recipients to ex-
pand access to broadband to unserved 
anchor institutions; or 
‘‘(III) to funding recipients to ex-
pand access to broadband in under-
served areas, but only if a State does 
not have, or no longer has, any 
unserved areas; 
‘‘(iii) shall conduct separate reverse 
auctions for awards made to unserved an-
chor institutions under clause (ii)(II), if a 
State awards any funding provided by this 
section to unserved anchor institutions; 
‘‘(iv) shall return any unused portion 
of such amounts to the Commission within 
10 years after the date of the enactment of 
this section and shall submit a certification 
to the Commission before receiving such 
amounts that the State will return such 
amounts; and 
‘‘(v) may not use more than 5 percent 
of the amounts distributed under this 
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paragraph to administer a reverse auction 
or auctions authorized by this paragraph. 
‘‘(3) COORDINATION OF FEDERAL AND STATE 
FUNDING.—The Commission shall establish proc-
esses through the rulemaking under subsection (e) 
to— 
‘‘(A) enable States to conduct statewide re-
verse auctions as part of, or in coordination 
with, the national reverse auction; 
‘‘(B) assist States in conducting statewide 
reverse auctions; 
‘‘(C) coordinate with States to ensure that 
program funds awarded by the Commission and 
program funds awarded by the States are not 
used to expand access to broadband in the same 
unserved areas; and 
‘‘(D) coordinate with other Federal pro-
grams that expand access to broadband, such 
as 
the 
Connect 
America 
Fund 
or 
the 
Broadband e-Connectivity Pilot Program, to en-
sure the efficient use of program funds. 
‘‘(c) PROGRAM REQUIREMENTS.— 
‘‘(1) TECHNOLOGY NEUTRALITY REQUIRED.— 
Any entity administering a reverse auction (either 
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the State or the Commission) in making awards may 
not favor a project using any particular technology. 
‘‘(2) FUNDS PREFERENCE.—There shall be a 
preference, as determined by the entity admin-
istering the reverse auction (either the State or the 
Commission), for bidders in a reverse auction pro-
posing projects— 
‘‘(A) with at least 20 percent matching 
funds from private sources; 
‘‘(B) 
that 
would 
expand 
access 
to 
broadband on tribal lands, as defined by the 
Commission; 
‘‘(C) that would provide higher speeds than 
those specified in subsection (d)(2); 
‘‘(D) 
that 
would 
expand 
access 
to 
broadband in advance of the time specified in 
subsection (e)(5); or 
‘‘(E) 
that 
would 
expand 
access 
to 
broadband to areas where the median household 
income is below 150 percent of the poverty 
threshold as defined by the Bureau of the Cen-
sus. 
‘‘(3) UNSERVED AND UNDERSERVED AREAS.— 
In determining whether an area is an unserved area 
or an underserved area or whether an anchor insti-
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tution is an unserved anchor institution for any re-
verse auction authorized under this section, the 
Commission shall implement the following require-
ments through the rulemaking described in sub-
section (e): 
‘‘(A) DATA
FOR
INITIAL
DETERMINA-
TION.—To make an initial determination as to 
whether an area is an unserved area or an un-
derserved area or whether an anchor institution 
is an unserved anchor institution, the Commis-
sion shall— 
‘‘(i) to the extent practicable, use the 
National Broadband Availability Map, up-
dated pursuant to the Consolidated Appro-
priations Act, 2018 (Public Law 115–141); 
‘‘(ii) consider other data on access to 
broadband obtained or purchased by the 
Commission; 
‘‘(iii) consider other publicly available 
data 
or 
information 
on 
access 
to 
broadband; 
‘‘(iv) consider other publicly available 
data or information on State broadband 
deployment programs; and 
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‘‘(v) not determine an area is not an 
unserved area or an underserved area on 
the basis that one location within such 
area does not meet the definition of an 
unserved area or an underserved area. 
‘‘(B) 
INITIAL
DETERMINATION.—The 
Commission shall make an initial determination 
of the areas that are unserved areas or under-
served areas and which anchor institutions are 
unserved anchor institutions not later than 270 
days after the date of the enactment of this sec-
tion. 
‘‘(C) CHALLENGE OF DETERMINATION.— 
‘‘(i) IN GENERAL.—The Commission 
shall provide for a process for challenging 
any initial determination regarding wheth-
er an area is an unserved area or an un-
derserved area or whether an anchor insti-
tution is an unserved anchor institution 
that, at a minimum, provides not less than 
45 days for a person to voluntarily submit 
information concerning— 
‘‘(I) the broadband offered in the 
area; or 
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‘‘(II) the broadband offered to 
the anchor institution. 
‘‘(ii) STREAMLINED
PROCESS.—The 
Commission shall ensure that such process 
is sufficiently streamlined such that a rea-
sonably prudent person may easily partici-
pate to challenge such initial determination 
with little burden on such person. 
‘‘(D) FINAL DETERMINATION.—The Com-
mission shall make a final determination of the 
areas that are unserved areas or underserved 
areas and which anchor institutions are 
unserved anchor institutions within 1 year after 
the date of the enactment of this section. 
‘‘(4) 
NOTICE, 
TRANSPARENCY, 
ACCOUNT-
ABILITY, AND OVERSIGHT REQUIRED.—The program 
shall contain sufficient notice, transparency, ac-
countability, and oversight measures to provide the 
public with notice of the assistance provided under 
this section, and to deter waste, fraud, and abuse of 
program funds. 
‘‘(5) COMPETENCE.—The program shall contain 
sufficient processes and requirements, as established 
by the entity administering the reverse auction (ei-
ther the State or the Commission), to ensure fund-
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ing recipients participating in such a reverse auc-
tion— 
‘‘(A) are capable of carrying out the 
project in a competent manner in compliance 
with all applicable Federal, State, and local 
laws; and 
‘‘(B) have the financial capacity to meet 
the buildout obligations of the project and re-
quirements as set forth under this section and 
as may be further prescribed by the Commis-
sion. 
‘‘(6) CONTRACTING
REQUIREMENTS.—Any la-
borer or mechanic employed by any contractor or 
subcontractor in the performance of work on any 
project under this section shall be paid wages at 
rates not less than those prevailing on similar con-
struction in the locality as determined by the Sec-
retary of Labor under subchapter IV of chapter 31 
of title 40, United States Code (commonly referred 
to as the Davis-Bacon Act). 
‘‘(d) PROJECT REQUIREMENTS.—Any project funded 
through the program shall meet the following require-
ments: 
‘‘(1) The project shall adhere to quality-of-serv-
ice standards as established by the Commission. 
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liability and resiliency of the network during disas-
ters. 
‘‘(7) Any funding recipient must agree to have 
the project meet the requirements established under 
section 224, as if the project were classified as a 
‘utility’ under such section. 
‘‘(e) RULEMAKING AND DISTRIBUTION AND AWARD 
OF FUNDS.—Not later than 180 days after the date of 
the enactment of this section, the Commission, in con-
sultation with the Assistant Secretary, shall promulgate 
rules— 
‘‘(1) that implement the requirements of this 
section, as appropriate, including the program re-
quirements of subsections (a), (b), and (c) and the 
project requirements of subsection (d); 
‘‘(2) that establish the design of and rules for 
the nationwide reverse auction; 
‘‘(3) that establish notice requirements for all 
reverse auctions authorized under this section that, 
at a minimum, provide the public with notice of— 
‘‘(A) the initial determination of which 
areas are unserved areas or underserved areas; 
‘‘(B) the final determination of which 
areas are unserved areas or underserved areas 
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after the process for challenging the initial de-
termination has concluded; 
‘‘(C) which entities have applied to bid for 
funding; and 
‘‘(D) the results of any reverse auctions, 
including identifying the funding recipients, 
which areas each project will serve, the nature 
of the service that will be provided by the 
project in each of those areas, and how much 
funding the funding recipients will receive in 
each of those areas; 
‘‘(4) that establish broadband buildout mile-
stones and periodic certification by funding recipi-
ents to ensure compliance with the broadband build-
out milestones for all reverse auctions authorized 
under this section; 
‘‘(5) that establish a maximum buildout time-
frame of four years beginning on the date on which 
funding is provided under this section for any 
project by a funding recipient for a project under 
this section; 
‘‘(6) that establish periodic reporting require-
ments for funding recipients of projects and that 
identify, at a minimum, the nature of the service 
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provided in each area for any reverse auction au-
thorized under this section; 
‘‘(7) that establish standard penalties for the 
noncompliance of funding recipients or projects with 
the requirements as set forth under this section and 
as may be further prescribed by the Commission for 
any reverse auction authorized under this section; 
‘‘(8) that establish procedures for recovery of 
funds, in whole or in part, from funding recipients 
in the event of the default or noncompliance of the 
funding recipient or project with the requirements 
established under this section for any reverse auc-
tion authorized under this section; and 
‘‘(9) that establish mechanisms to reduce waste, 
fraud, and abuse within the program for any reverse 
auction authorized under this section. 
‘‘(f) REPORTS REQUIRED.— 
‘‘(1) INSPECTOR GENERAL AND COMPTROLLER 
GENERAL
REPORT.—Not later than June 30 and 
December 31 of each year following the awarding of 
the first funds under the program, the Inspector 
General of the Commission and the Comptroller 
General of the United States shall submit to the 
Committees on Energy and Commerce of the House 
of Representatives and Commerce, Science, and 
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Transportation of the Senate a report for the pre-
vious 6 months that reviews the program. Such re-
port shall include any recommendations to address 
waste, fraud, and abuse. 
‘‘(2) STATE REPORTS.—Any State that receives 
funds under the program shall submit an annual re-
port to the Commission on how such funds were 
spent, along with a certification of compliance with 
the requirements as set forth under this section and 
as may be further prescribed by the Commission, in-
cluding a description of each service provided and 
the number of individuals to whom the service was 
provided. 
‘‘(g) DEFINITIONS.—In this section: 
‘‘(1) ANCHOR INSTITUTION.—The term ‘anchor 
institution’ means a public or private school, a li-
brary, a medical or healthcare provider, a museum, 
a public safety entity, public housing, a community 
college, an institution of higher education, or any 
other community support organization or agency. 
‘‘(2) AREA.—The term ‘area’ means the geo-
graphic unit of measurement with the greatest level 
of granularity reasonably feasible for the Commis-
sion to use in making eligibility determinations 
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under this section and in meeting the requirements 
and deadlines of this section. 
‘‘(3) ASSISTANT
SECRETARY.—The term ‘As-
sistant Secretary’ means the Assistant Secretary of 
Commerce for Communications and Information. 
‘‘(4) BROADBAND.—The term ‘broadband’— 
‘‘(A) means broadband internet access 
service that is a mass-market retail service, or 
a service provided to an anchor institution, by 
wire or radio that provides the capability to 
transmit data to and receive data from all or 
substantially all internet endpoints, including 
any capabilities that are incidental to and en-
able the operation of the communications serv-
ice; 
‘‘(B) includes any service that is a func-
tional equivalent of the service described in sub-
paragraph (A); and 
‘‘(C) does not include dial-up internet ac-
cess service. 
‘‘(5) FUNDING RECIPIENT.—The term ‘funding 
recipient’ means an entity that receives funding for 
a project under this section. 
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‘‘(6) PROGRAM.—Unless otherwise indicated, 
the term ‘program’ means the program established 
under subsection (a). 
‘‘(7) PROJECT.—The term ‘project’ means an 
undertaking by a funding recipient under this sec-
tion to construct and deploy infrastructure for the 
provision of broadband. 
‘‘(8) REVERSE
AUCTION.—The term ‘reverse 
auction’ means an auction in which bids are sub-
mitted for a particular project and the bids serving 
the most locations for the lowest cost to the entity 
administering the reverse auction (either the State 
or the Commission), taking into consideration the 
funding preferences in subsection (c)(2) are selected 
for funding. 
‘‘(9) UNDERSERVED AREA.—The term ‘under-
served area’ means an area that has access to 
broadband offered— 
‘‘(A) with a download speed of at least 25 
megabits per second and not more than 99 
megabits per second; 
‘‘(B) with an upload speed of at least 10 
megabits per second; and 
‘‘(C) with latency that is sufficiently low to 
allow real-time, interactive applications. 
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