GRID Broadband Act of 2022
Bill: S.4763 | Sponsor: Sen. Cantwell, Maria (D-WA)
Policy area: Science, Technology, Communications

Summary:
Grants to Rapidly Invest and Deploy Broadband Act of 2022 or the GRID Broadband Act of 2022
This bill establishes a program through which the National Telecommunications and Information Administration (NTIA) must award competitive, matching grants for constructing or otherwise expanding fiber optics communications infrastructure to support broadband expansion. Eligible grantees include electric grid operators, transmission owners or operators, and other electric utilities. In awarding the grants, the NTIA must prioritize recipients that, among other activities, monitor threats to and otherwise support the security of the electric grid.

To support the construction of middle mile broadband infrastructure and 
                       enhance the electric grid.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Grants to Rapidly 
Invest and Deploy Broadband Act of 2022'' or the ``GRID Broadband Act 
of 2022''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Purposes.
Sec. 3. Definitions.
Sec. 4. GRID broadband grants.
Sec. 5. Grant requirements.
Sec. 6. Project eligibility requirements.
Sec. 7. Prohibition on use for covered communications equipment or 
                            services.
Sec. 8. Grantee reporting requirements.
Sec. 9. NTIA reporting requirements.
Sec. 10. Technical support and assistance.
Sec. 11. Staffing.

SEC. 2. PURPOSES.

    The purposes of this Act are to--
            (1) provide resilient and redundant middle mile fiber optic 
        infrastructure to provide more opportunity for last mile 
        providers to connect to unserved locations and underserved 
        locations in rural and remote areas and urban areas with high-
        quality, high-speed broadband;
            (2) enhance the resilience, reliability, and security of 
        the electric grid in order to guarantee delivery of power to 
        critical facilities and electricity-dependent essential 
        services and reduce restoration time following power 
        disturbances;
            (3) permanently reduce the cost of high-speed broadband 
        across the United States, including for low-income households 
        and small businesses;
            (4) expand interconnections and the communications capacity 
        of the electric grid of the United States to facilitate 
        deployment of more diverse and distributed generation resources 
        and smart-grid technologies;
            (5) provide rural and remote areas and urban areas with new 
        economic growth opportunities and ensure equal access to 
        education, healthcare, telework, and e-commerce opportunities; 
        and
            (6) leverage assets such as tower facilities, buildings, 
        land, and rights-of-way to lower broadband buildout costs to 
        encourage private-sector companies to expand affordable 
        telecommunication offerings.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Assistant secretary.--The term ``Assistant Secretary'' 
        means the Assistant Secretary of Commerce for Communications 
        and Information.
            (2) Broadband; broadband service.--The term ``broadband'' 
        or ``broadband service'' has the meaning given the term 
        ``broadband internet access service'' in section 8.1, title 47, 
        Code of Federal Regulations, or any successor regulation.
            (3) Eligible entity.--The term ``eligible entity'' means--
                    (A) an electric grid operator;
                    (B) a transmission owner or operator;
                    (C) a Transmission Organization (as defined in 
                section 3 of the Federal Power Act (16 U.S.C. 796));
                    (D) a Federal power marketing administration;
                    (E) an electric utility owned or operated by a 
                Native entity; and
                    (F) a rural or municipal utility.
            (4) GRID broadband grant.--The term ``GRID broadband 
        grant'' means a grant awarded under section 4.
            (5) Interconnection.--The term ``interconnection'' means--
                    (A) the physical linking of 2 or more broadband 
                networks for the mutual exchange of traffic on terms 
                and conditions that, where technically feasible without 
                exceeding current (as of the time of receipt of a GRID 
                broadband grant) or reasonably anticipated capacity 
                limitations, are technology-neutral and non-
                discriminatory; and
                    (B) the offering of wholesale broadband service at 
                reasonable rates on a carrier-neutral basis.
            (6) Last mile broadband infrastructure.--The term ``last 
        mile broadband infrastructure'' means broadband infrastructure 
        that--
                    (A) connects directly to an end-user location; and
                    (B) is capable of delivering--
                            (i) a speed of not less than 100 megabits 
                        per second for downloads;
                            (ii) a speed of not less than 20 megabits 
                        per second for uploads; and
                            (iii) latency less than or equal to 100 
                        milliseconds.
            (7) Last mile provider.--The term ``last mile provider'' 
        means an entity connecting middle mile infrastructure to last 
        mile networks in order to provide retail broadband service, 
        including--
                    (A) an internet service provider;
                    (B) a telecommunications cooperative or other 
                cooperative;
                    (C) a regional planning council;
                    (D) a not-for-profit foundation, corporation, 
                institution, or association;
                    (E) a public power utility or a rural electric 
                cooperative;
                    (F) a Native entity; and
                    (G) a municipality, Tribal government, or other 
                local government.
            (8) Low-income household.--The term ``low-income 
        household'' means a household whose income is not greater than 
        200 percent of the Federal Poverty Guidelines for a household 
        of that size.
            (9) Middle mile infrastructure.--The term ``middle mile 
        infrastructure''--
                    (A) means any fiber optic broadband infrastructure 
                that does not connect directly to an end-user location 
                or a retail customer; and
                    (B) includes leased dark fiber, interoffice 
                transport, backhaul, carrier-neutral internet exchange 
                facilities, carrier-neutral submarine cable landing 
                stations, undersea cables, transport connectivity to 
                data centers, special access transport, and other 
                similar services.
            (10) Native entity.--The term ``Native entity'' has the 
        meaning given the term in section 60401 of the Infrastructure 
        Investment and Jobs Act (47 U.S.C. 1741).
            (11) Program.--The term ``Program'' means the GRID 
        Broadband Facilitation Program established under section 4.
            (12) Rural and remote area.--The term ``rural and remote 
        area'' means a political subdivision of a State or an 
        unincorporated area that has a population of not more than 
        10,000 inhabitants.
            (13) Rural or municipal utility.--The term ``rural or 
        municipal utility'' means--
                    (A) a rural electric cooperative;
                    (B) a utility owned by a political subdivision of a 
                State, such as a municipally owned electricity utility;
                    (C) a utility owned by any agency, authority, 
                corporation, or instrumentality of 1 or more political 
                subdivisions of a State;
                    (D) a not-for-profit entity that is in a 
                partnership with not fewer than 6 entities described in 
                subparagraph (A), (B), or (C);
                    (E) a utility owned by a Native entity; and
                    (F) an investor-owned electric utility that sells 
                less than 4,000,000 megawatt hours of electricity per 
                year.
            (14) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (15) Underserved location.--The term ``underserved 
        location'' means a broadband-serviceable location that--
                    (A) is not an unserved location; and
                    (B) lacks access to broadband service offered 
                with--
                            (i) a speed of not less than--
                                    (I) 100 megabits per second for 
                                downloads; and
                                    (II) 20 megabits per second for 
                                uploads; and
                            (ii) a latency and jitter sufficient to 
                        support real-time, interactive applications.
            (16) Unserved location.--The term ``unserved location'' 
        means a broadband-serviceable location that--
                    (A) has no access to broadband service; or
                    (B) lacks access to broadband service offered 
                with--
                            (i) a speed of not less than--
                                    (I) 25 megabits per second for 
                                downloads; and
                                    (II) 3 megabits per second for 
                                uploads; and
                            (ii) a latency and jitter sufficient to 
                        support real-time, interactive applications.
            (17) Urban area.--The term ``urban area'' has the meaning 
        given the term by the Bureau of the Census in the notice of 
        final program criteria entitled ``Urban Area Criteria for the 
        2020 Census-Final Criteria'', published in the Federal Register 
        on March 24, 2022 (87 Fed. Reg. 16706), or any successor to 
        that notice.

SEC. 4. GRID BROADBAND GRANTS.

    (a) In General.--The Assistant Secretary shall establish a program, 
in consultation with the Secretary, and subject to subsection (c), to 
be known as the ``GRID Broadband Facilitation Program'', under which 
the Assistant Secretary makes grants to eligible entities to 
facilitate--
            (1) the construction of fiber optic communications 
        infrastructure with sufficient capacity to serve as middle mile 
        infrastructure;
            (2) the enhancement or expansion of existing (as of the 
        date of the grant award) fiber optics communications 
        infrastructure for the purpose of serving as middle mile 
        infrastructure;
            (3) the use of lit or dark fiber to increase broadband 
        capability or capacity; or
            (4) the acquisition or installation of the equipment and 
        other resources necessary for interconnection of middle mile 
        infrastructure with last mile broadband infrastructure to allow 
        for the exchange of internet traffic between networks.
    (b) Applications for Grants.--
            (1) In general.--The Assistant Secretary shall establish an 
        application process for GRID broadband grants.
            (2) Selection priority.--In selecting projects for which to 
        provide GRID broadband grants, the Assistant Secretary shall 
        give priority to projects that meet criteria described in 
        paragraph (3).
            (3) Priority criteria.--The criteria described in this 
        paragraph are that a project--
                    (A) leverages existing (as of the date of the grant 
                award) rights-of-way, easements, assets, and 
                infrastructure to minimize financial, regulatory, and 
                permitting barriers;
                    (B) is located in a State or political subdivision 
                of a State, or within a Tribal jurisdiction, that 
                allows rights-of-way, easements, and cost recovery for 
                constructing and operating middle mile infrastructure 
                by eligible entities;
                    (C) is used to connect or construct middle mile 
                infrastructure on trust land (as defined in section 
                3765 of title 38, United States Code) that is owned by, 
                or held in trust for the benefit of, as applicable, a 
                Native entity;
                    (D) aligns with broadband access goals established 
                by States, Tribal governments, and localities;
                    (E) is most likely to expeditiously provide 
                affordable broadband service to areas with unserved 
                locations and underserved locations;
                    (F) is most likely to expeditiously provide 
                affordable broadband service to urban areas that have a 
                demonstrated lack of internet usage and access;
                    (G) has partnerships with last mile providers who 
                commit to provide broadband through their last mile 
                infrastructure that--
                            (i) meets the threshold speeds and 
                        capabilities for broadband to no longer declare 
                        a location an unserved location or underserved 
                        location; and
                            (ii) ensures that the networks built by the 
                        project are easily scalable to--
                                    (I) meet the evolving connectivity 
                                needs of households and businesses; and
                                    (II) support the deployment of 5G, 
                                successor wireless technologies, and 
                                other advanced services;
                    (H) helps provide affordable gigabit upload and 
                download speeds to community institutions such as a 
                school, library, medical or healthcare provider, 
                community college or other institution of higher 
                education, or other community support organization or 
                entity;
                    (I) contributes to broadband resilience and 
                minimizes the occurrence and duration of outages 
                through the creation of alternative network connection 
                paths designed to prevent single points of failure on a 
                broadband network;
                    (J) would accelerate the rate and scope of 
                deployment of 5G infrastructure, successor wireless 
                technologies, and other advanced services;
                    (K) reduces the natural and man-made threats to the 
                telecommunication and electricity networks of the 
                United States that are identified in the North American 
                Energy Resilience Model, as determined in consultation 
                with the Secretary;
                    (L) supports the security of the electric grid by 
                installing a private, closed-loop communications 
                network for grid operators;
                    (M) helps provide monitoring of threats to the 
                electric grid, including with respect to purposeful 
                physical attacks, extreme weather impacts, and wildfire 
                detection;
                    (N) demonstrates the ability to improve critical 
                services to communities such as healthcare, 
                communications for first responders, fire, and safety 
                management, and seismic early warning systems;
                    (O) enhances the ability to sense and monitor power 
                characteristics in near-real time in order to--
                            (i) optimize electric grid operations; and
                            (ii) manage the integration of more 
                        distributed resources and intermittent 
                        renewable power sources; or
                    (P) will provide significant non-Federal matching 
                funds or other monetary or in-kind consideration.
    (c) Implementation Timeline.--Not later than 180 days after the 
date of enactment of this Act, the Assistant Secretary shall--
            (1) issue a notice inviting eligible entities to submit 
        applications for GRID broadband grants, which shall contain 
        details about how awarding decisions will be made; and
            (2) outline--
                    (A) the requirements for applications for GRID 
                broadband grants; and
                    (B) the allowed uses of GRID broadband grant funds.
    (d) Interconnection and Oversight.--
            (1) Interconnection.--
                    (A) In general.--An eligible entity that receives a 
                GRID broadband grant shall offer, for the life of the 
                project, interconnection directly, or indirectly 
                through another entity--
                            (i) to any last mile provider making a bona 
                        fide request for available capacity pursuant to 
                        a sustainable business plan that meets 1 or 
                        more of the priority criteria described in 
                        subsection (b)(3); and
                            (ii) on reasonable rates and terms to be 
                        negotiated with requesting parties.
                    (B) Nature of interconnection.--The interconnection 
                required to be offered under subparagraph (A) 
                includes--
                            (i) the ability to connect to the public 
                        internet; and
                            (ii) physical interconnection for the 
                        exchange of traffic with last mile 
                        interconnection.
            (2) Oversight.--The Assistant Secretary shall--
                    (A) in consultation with the Secretary, oversee 
                interconnection agreements between recipients of GRID 
                broadband grants and last mile providers seeking to 
                interconnect with--
                            (i) the middle mile infrastructure deployed 
                        using GRID broadband grants; and
                            (ii) other middle mile infrastructure owned 
                        or operated by eligible entities; and
                    (B) review the interconnection terms and conditions 
                proposed by an eligible entity to ensure that the terms 
                and conditions--
                            (i) provide for reasonable cost recovery by 
                        the eligible entity; and
                            (ii) in the case of a recipient of a GRID 
                        broadband grant that qualifies under subsection 
                        (j) or (k) of section 5--
                                    (I) help decrease the cost for 
                                resulting last mile broadband service 
                                to consumers; and
                                    (II) include affordable options for 
                                low-income households.
    (e) Impact on Other Federal Broadband Programs.--The use of GRID 
broadband grant funds by an eligible entity, or partner of an eligible 
entity, shall not impact the eligibility of, or otherwise disadvantage, 
the eligible entity or partner with respect to participation in any 
other Federal broadband program.
    (f) Prohibition on Overbuilding.--The Assistant Secretary shall 
ensure that GRID broadband grant funds are not used to duplicate 
existing or planned last mile broadband infrastructure.

SEC. 5. GRANT REQUIREMENTS.

    (a) Open Competition.--The Assistant Secretary shall assess 
applications for GRID broadband grants on a competitive basis.
    (b) Competence.--The Assistant Secretary shall include in the 
application process established under section 4(b)(1) a requirement 
that an eligible entity can demonstrate that the entity--
            (1) is capable of carrying out a proposed project in a 
        competent manner, including by demonstrating that the entity 
        has the financial, technical, and operational capability to--
                    (A) carry out the proposed project consistent with 
                the proposed milestones and budget; and
                    (B) ensure the long-term operation and maintenance 
                of the resulting fiber optics facilities, including 
                middle mile broadband infrastructure; and
            (2) has the capability to enter into interconnection 
        agreements with last mile providers to provide broadband 
        service.
    (c) Network Impact Assessment.--Any applicant for a GRID broadband 
grant shall disclose the applicant's proposed interconnection, 
nondiscrimination, and network management practices.
    (d) Timeline.--Subject to subsection (e), to be eligible to obtain 
a GRID broadband grant, an eligible entity shall agree, in the 
application submitted through the process established under section 
4(b)(1), to complete buildout of the middle mile infrastructure 
described in the application by not later than 3 years after the date 
on which amounts from the grant are made available to the entity.
    (e) Interim Buildout Requirements.--The Assistant Secretary shall 
establish interim buildout requirements with milestones for reporting 
for each eligible entity that receives a GRID broadband grant.
    (f) Extensions.--At the request of an eligible entity, the 
Assistant Secretary may extend the buildout deadline under subsection 
(d) and modify any interim buildout requirements established under 
subsection (e) as necessary, if the eligible entity certifies that--
            (1) the project to build out middle mile infrastructure is 
        underway; and
            (2) extenuating circumstances require an extension of time 
        to allow completion of the project.
    (g) Performance.--The Assistant Secretary may, in addition to other 
authority under applicable law, and as defined in advance by the 
Assistant Secretary--
            (1) deobligate awards to recipients of GRID broadband 
        grants that demonstrate an insufficient level of performance, 
        or wasteful or fraudulent spending; and
            (2) competitively award funds deobligated under paragraph 
        (1) to new or existing (as of the time of the deobligation) 
        applicants for GRID broadband grants consistent with this Act.
    (h) Penalties.--The Assistant Secretary may, in addition to other 
authority under applicable law, and as defined in advance by the 
Assistant Secretary, establish a penalty regime, which may include 
rescission of funds, for recipients of GRID broadband grants that do 
not meet the requirements of this Act.
    (i) Cost Sharing.--
            (1) 50 percent match required.--Except as provided in 
        paragraphs (2) and (3), an application for a GRID broadband 
        grant shall demonstrate the ability to provide supplemental 
        investments or in-kind support valued at not less than 50 
        percent of the amount of the proposed grant.
            (2) 20 percent match required.--Paragraph (1) shall be 
        applied by substituting ``20 percent'' for ``50 percent'' if 
        the applicant--
                    (A) is a Federal power marketing administration;
                    (B) is a Native entity; or
                    (C) qualifies under subsection (j) or (k).
            (3) No match required.--Paragraph (1) shall not apply if an 
        applicant petitions the Assistant Secretary for a waiver and 
        the Assistant Secretary determines that the petition 
        demonstrates financial need or meets another public interest.
    (j) Rural Service for Unserved Locations and Underserved 
Locations.--If a recipient of a GRID broadband grant is a rural or 
municipal utility, or an electric utility owned or operated by a Native 
entity, seeking to provide broadband service that is affordable and 
accessible to unserved locations and underserved locations in a rural 
and remote area, the recipient may use a portion of the grant funds to 
support construction of last mile broadband infrastructure, by the 
recipient or in partnership with a last mile provider, to meet market 
demand in that area.
    (k) Urban Service for Populations Without Access.--Notwithstanding 
section 4(f), if a recipient of a GRID broadband grant is a rural or 
municipal utility, or an electric utility owned or operated by a Native 
entity, seeking to provide broadband service that is affordable and 
accessible to populations in urban areas where it has been shown that 
cost is a barrier to internet connectivity, the recipient may use a 
portion of the grant funds to support construction of last mile 
broadband infrastructure, by the recipient or in partnership with a 
last mile provider, to meet market demand in that area.
    (l) Deobligation of Awards.--The Assistant Secretary--
            (1) shall establish appropriate mechanisms to ensure 
        appropriate use of funds made available under this section; and
            (2) may, in addition to other authority under applicable 
        law--
                    (A) deobligate grant funds awarded to an eligible 
                entity that--
                            (i) is unable to fulfill the requirements 
                        of subsection (b); or
                            (ii) demonstrates an insufficient level of 
                        performance, or wasteful or fraudulent 
                        spending, as defined in advance by the 
                        Assistant Secretary; and
                    (B) award grant funds that are deobligated under 
                subparagraph (A) to new or existing applicants 
                consistent with this section.
    (m) Regulations.--The Assistant Secretary may issue such 
regulations or other guidance, forms, instructions, or publications as 
may be necessary or appropriate to carry out the programs, projects, or 
activities authorized under this Act, including to ensure that such 
programs, projects, or activities are completed in a timely and 
effective manner.
    (n) No Regulation of Rates Permitted.--Nothing in this Act may be 
construed to authorize the Assistant Secretary or the National 
Telecommunications and Information Administration to regulate the rates 
charged for broadband service.

SEC. 6. PROJECT ELIGIBILITY REQUIREMENTS.

    An eligible entity may not receive a GRID broadband grant unless, 
at the time of the application for the grant, the Assistant Secretary, 
in consultation with the Secretary, determines that--
            (1) the project would improve national security by--
                    (A) helping harden the electric grid of the United 
                States against cyberattacks and other threats; and
                    (B) reducing the likelihood of electricity outages 
                at Federal properties dedicated to national security; 
                and
            (2) the proposed middle mile infrastructure will be capable 
        of supporting the provision of broadband service by a last mile 
        provider, either directly or indirectly through terrestrial or 
        wireless service.

SEC. 7. PROHIBITION ON USE FOR COVERED COMMUNICATIONS EQUIPMENT OR 
              SERVICES.

    An eligible entity or partner of an eligible entity may not use 
GRID broadband grant funds to purchase or support any covered 
communications equipment or service, as defined in section 9 of the 
Secure and Trusted Communications Networks Act of 2019 (47 U.S.C. 
1608).

SEC. 8. GRANTEE REPORTING REQUIREMENTS.

    (a) In General.--An eligible entity that receives a GRID broadband 
grant shall submit to the Assistant Secretary a biannual report for the 
life of the project, in a format specified by the Assistant Secretary, 
that--
            (1) describes the entity's--
                    (A) use of the grant and progress in fulfilling the 
                objectives for which the grant funds were awarded, 
                including meeting any requirements established by the 
                Assistant Secretary under section 5(l); and
                    (B) interconnection agreements with last mile 
                providers, including how those agreements are--
                            (i) increasing the availability of high-
                        speed, high-quality broadband in unserved 
                        locations and underserved locations;
                            (ii) ensuring compliance with section 
                        4(d)(1)(A) (relating to open access); and
                            (iii) making broadband service more 
                        affordable for consumers; and
            (2) includes any other information required by the 
        Assistant Secretary.
    (b) Publication.--The Assistant Secretary shall make each report 
submitted under subsection (a) available to the public.

SEC. 9. NTIA REPORTING REQUIREMENTS.

    (a) Public Disclosure.--The Assistant Secretary shall create and 
maintain a fully searchable online database that contains--
            (1) a list of each eligible entity that has applied for a 
        GRID broadband grant and any last mile provider with which the 
        entity has partnered or has proposed to partner;
            (2) a description of each application described in 
        paragraph (1);
            (3) the status of each application described in paragraph 
        (1);
            (4) the name of each eligible entity that has received a 
        GRID broadband grant;
            (5) the purpose for which an eligible entity described in 
        paragraph (4) received the grant;
            (6) each biannual report submitted by an eligible entity 
        under section 8(a); and
            (7) any other information necessary to allow the public to 
        understand and monitor GRID broadband grants awarded by the 
        Assistant Secretary.
    (b) Protection of Certain Information.--The Assistant Secretary may 
not include in the database created under subsection (a) any--
            (1) proprietary information;
            (2) information the disclosure of which the Assistant 
        Secretary, in consultation with the Secretary, determines would 
        pose a threat to national security; or
            (3) information relating Native American natural, cultural, 
        and historical resources identified as confidential by a Native 
        entity, which shall also be exempt from the disclosure 
        requirements under section 552 of title 5, United States Code 
        (commonly known as the ``Freedom of Information Act'').
    (c) Monitoring.--The Assistant Secretary shall set up sufficient 
mechanisms to monitor the progress of projects funded by GRID broadband 
grants, including audits and on-site investigations.
    (d) Internet Disclosure.--The Assistant Secretary shall, on the 
searchable database created under section 60102(g)(3)(C) of the 
Infrastructure Investment and Jobs Act (47 U.S.C. 1702(g)(3)(C)), 
provide information sufficient to allow the public to understand and 
monitor projects funded by GRID broadband grants.

SEC. 10. TECHNICAL SUPPORT AND ASSISTANCE.

    (a) Program Assistance.--As part of the Program, the Assistant 
Secretary, in consultation with the Secretary, shall provide technical 
support and assistance to eligible entities to facilitate their 
participation in the Program.
    (b) Technical Experts.--The Assistant Secretary, in consultation 
with the Secretary, shall convene a committee of technical experts to 
advise the Assistant Secretary on the development and implementation of 
the Program.

SEC. 11. STAFFING.

    The Assistant Secretary may appoint, without regard to the 
provisions of subchapter I of chapter 33 of title 5, United States Code 
(other than sections 3303 and 3328 of that subchapter), qualified 
candidates to any position necessary to administer the Program.
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