Title: Driving Innovation and Growth in Internet Technology and Launching Universal Access to the Global Economy (DIGITAL AGE) Act of 2017
Policy area: International Affairs

Summary:
Driving Innovation and Growth in Internet Technology and Launching Universal Access to the Global Economy (DIGITAL AGE) Act of 2017
This bill requires the Department of State to designate to the U.S. Coordinator for International Communications and Information Policy the additional role of Special Representative for the Global Connect Initiative to direct, and represent the United States internationally on, U.S. foreign policy efforts to promote global universal Internet access.
The Special Representative shall: (1) oversee the State Department's Global Connect initiative to enable first-time access to mobile and broadband Internet for at least 1.5 billion people in urban and rural areas by 2020, (2) promote investment by international finance institutions and U.S. corporations in Internet infrastructure expansion and connectivity projects, (3) encourage partner countries to adopt policies to lower prices and improve the quality of Internet service, and (4) collaborate with other federal agencies.
The U.S. Agency for International Development (USAID) may support expanded Internet connectivity worldwide by: (1) taking part in State Department efforts to provide guidance to partner governments on establishing regulatory policies facilitating expanded Internet connectivity and information communications technology sectors in developing countries; (2) funding and implementing programs to expand Internet infrastructure, digital literacy, and Internet connectivity and usage in close coordination with the State Department; (3) building the capacity of developing countries to monitor and regulate the Internet sector and encourage private investment; and (4) integrating efforts to expand the availability of relevant local content across development sectors such as health programs.
The Overseas Private Investment Corporation (OPIC) should expedite institutional efforts and partner with other investors, private sector actors, and stakeholders to increase Internet access services. Investments must focus on expanding: (1) the number of people with new access to Internet services; (2) construction of fiber, mobile, and other emerging access technologies; (3) access in underserved and rural areas; and (4) investment priorities in sub-Saharan Africa and other regions with acute shortages of critical infrastructure.
The Foreign Assistance Act of 1961 is amended to: (1) allow OPIC to make loans for projects sponsored by, or significantly involving, U.S. investors or foreign associations with U.S. owners; (2) require systems infrastructure costs to be treated as transaction costs; and (3) extend until 2021 OPIC's authority to issue investment insurance, investment guarantees, and direct loans.
The President: (1) must incorporate into the strategic planning processes of the State Department and USAID a multiyear strategy encouraging developing countries to expand Internet access and information communications technology sectors of developing countries to catalyze innovation and economic growth, promote democracy, create educational opportunities, improve health outcomes, and strengthen global research networks; and (2) may establish an Interagency Working Group to coordinate U.S. government activities in carrying out the strategy.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 449 Introduced in Senate (IS)]

<DOC>






115th CONGRESS
  1st Session
                                 S. 449

  To promote worldwide access to the Internet, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 27, 2017

  Mr. Markey introduced the following bill; which was read twice and 
             referred to the Committee on Foreign Relations

_______________________________________________________________________

                                 A BILL


 
  To promote worldwide access to the Internet, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Driving Innovation and Growth in 
Internet Technology and Launching Universal Access to the Global 
Economy (DIGITAL AGE) Act of 2017''.

SEC. 2. APPROPRIATE CONGRESSIONAL COMMITTEES DEFINED.

    In this Act, the term ``appropriate congressional committees'' 
means--
            (1) the Committee on Foreign Relations and the Committee on 
        Appropriations of the Senate; and
            (2) the Committee on Foreign Affairs and the Committee on 
        Appropriations of the House of Representatives.

SEC. 3. PURPOSE.

    The purpose of this Act is to support and enhance existing United 
States Government efforts to expand access to the Internet for people 
living in developing countries as a means to catalyze innovation and 
economic growth, promote democracy and good governance, create new 
educational opportunities, improve health outcomes, and strengthen 
global research networks.

SEC. 4. FINDINGS.

    Congress makes the following findings:
            (1) Internet access has been a driver of economic activity 
        around the world. Unbounded by national borders, it contains 
        the potential to significantly reduce global economic 
        inequality.
            (2) Of more than 7,000,000,000 people in the world, 
        3,460,000,000 were using the Internet by the end of 2016. 47 
        percent of the world's population is now online, with 
        2,500,000,000 users living in the developing world.
            (3) Nevertheless, more than half of the world's population 
        remains offline, living without the economic and social 
        benefits of the Internet, and developing countries remain far 
        behind global averages in terms of connectivity, creating a 
        global ``digital divide''. By the end of 2016, 83.8 percent of 
        households in the developed world had Internet access, compared 
        with just 41.1 percent of households in developing countries 
        and just 11.1 percent in the world's least developed countries.
            (4) There is inequality within countries as well. Across 
        the developing world, there are on average 23 percent fewer 
        women online than men. Uneven connectivity and usage whether 
        between countries or between people risks leaving those who are 
        not online behind.
            (5) It is widely recognized that information and 
        communication technologies will help achieve progress across 
        the 17 goals of the United Nations 2030 Agenda for Sustainable 
        Development.
            (6) Achieving this goal requires overcoming many barriers. 
        Governments of developing countries often lack the resources to 
        make this investment, and there are sometimes significant 
        barriers to private sector investment in connectivity, 
        particularly in rural and other remote areas.
            (7) In addition to obstacles to expanding connectivity 
        infrastructure, there are often barriers to access even where 
        that infrastructure is in place. In the world's least developed 
        countries, one month of Internet access can cost well over the 
        average person's annual income. The cost of devices for 
        accessing the Internet, a lack of digital and traditional 
        literacy, gender and other inequality, and limited locally 
        relevant content also combine to serve as barriers to universal 
        Internet access and usage.
            (8) Even where infrastructure and devices are available, 
        some governments are active in censoring and restricting access 
        to certain content and services and enhancing surveillance over 
        and repression of online conduct in contravention of 
        internationally recognized human rights standards. According to 
        a 2016 Freedom House study, 67 percent the world's Internet 
        users live in countries where criticism of the government, 
        military, or ruling family has been subject to censorship.
            (9) While these are significant barriers, there are proven 
        policies that countries can implement to address them. Creating 
        a regulatory approach that promotes a competitive marketplace, 
        taxing Internet access devices such as smartphones 
        appropriately, promoting free expression and the free flow of 
        data, and creating universal service funds are just some of the 
        policies that can help bring the cost of infrastructure 
        investment and Internet access to a more affordable level.
            (10) The United States is already a leader in promoting 
        access to open, interoperable Internet around the world. For 
        example, in April 2016, the Department of State launched a new 
        diplomatic effort called ``Global Connect'', which seeks to 
        bring an additional 1,500,000,000 people online by 2020.
            (11) United States Government support for expanded Internet 
        access is not only in keeping with our global leadership in the 
        effort to end extreme global poverty and enabling resilient, 
        democratic societies, but is also vital for United States 
        national security and economic interests.

SEC. 5. STATEMENT OF POLICY.

    It is the policy of the United States--
            (1) to promote increased public and private investment in 
        Internet infrastructure and the creation of the conditions for 
        universal Internet access and usage worldwide by working with--
                    (A) foreign governments to encourage policies to 
                increase coverage and reduce the cost of access, 
                including by--
                            (i) creating a regulatory approach that 
                        promotes a competitive market for investment 
                        and innovation in Internet infrastructure and 
                        services, including fiber optic, mobile, 
                        satellite, Wi-Fi and other connectivity 
                        technologies as well as digital financial 
                        services and other innovative services and 
                        content that can drive use;
                            (ii) developing policies for effective, 
                        transparent and efficient spectrum allocation, 
                        ensuring adequate bandwidth is released to 
                        drive the expansion of 3G, 4G, and successive 
                        generations of data-rich mobile network 
                        services while also encouraging innovative use 
                        of wireless technologies to meet public 
                        interest goals;
                            (iii) promoting policies that encourage 
                        infrastructure sharing and are aimed at 
                        creating incentives for network operators to 
                        share backbone, tower, and other forms of 
                        communications infrastructure, as a means to 
                        significantly lower network costs;
                            (iv) promoting policies that encourage the 
                        integration of Internet infrastructure into 
                        traditional infrastructure projects to reduce 
                        costs, such as by laying of fiber optic cable 
                        simultaneously with road construction;
                            (v) promoting mechanisms for public 
                        financing of rural broadband connectivity and 
                        digital inclusion, such as transparent and 
                        well-managed universal service funds, similar 
                        to the one managed by the Federal 
                        Communications Commission, which also includes 
                        the ``E-Rate'' program, which is specifically 
                        designed to connect schools and libraries to 
                        the Internet;
                            (vi) encouraging the creation, 
                        strengthening, and sustainment of independent 
                        agencies to regulate the telecommunications and 
                        Internet industry and ensure consultation with 
                        all stakeholders in the formulation and 
                        execution of policies and regulations;
                            (vii) encouraging the development of 
                        national broadband access plans with specific, 
                        time-bound, and measurable goals for achieving 
                        universal affordable access, including a 
                        specific plan for bringing women, minority, and 
                        other marginalized groups online, recognizing 
                        both the unique barriers and the unique social 
                        and economic benefits associated with extending 
                        access to such groups;
                            (viii) collecting and openly releasing 
                        timely, disaggregated data on all aspects of 
                        connectivity, coverage, and digital skills, 
                        including data on equality of access for women, 
                        minority, and other disadvantaged groups;
                            (ix) improving affordability of Internet 
                        access devices such as smartphones and personal 
                        computers;
                            (x) encouraging laws and regulations that 
                        enhance privacy, freedom of expression, and 
                        other rights to ensure their relevance and 
                        effectiveness in an online era, with an 
                        emphasis on promoting a human rights-respecting 
                        approach in all Internet expansion efforts;
                            (xi) emphasizing the importance of ensuring 
                        comparable access for persons with 
                        disabilities;
                            (xii) promoting an open and free Internet, 
                        which is essential for creating an environment 
                        of equal opportunity where innovation can 
                        occur, and ensuring wholesale broadband 
                        infrastructure is available to all on fair and 
                        reasonable terms and in a manner which is 
                        transparent and nondiscriminatory;
                            (xiii) creating public access facilities in 
                        places such as libraries, schools, government 
                        buildings, and community centers and community 
                        Wi-Fi networks or dedicated facilities for 
                        Internet access, which in addition to providing 
                        free or low-cost access, can be ideal locations 
                        for digital literacy training, online health, 
                        banking and education services, job seeking, 
                        and access to government data and e-government 
                        services;
                            (xiv) creating and supporting research and 
                        educational networks, which are vital for 
                        connecting researchers and educators worldwide 
                        and facilitating collaboration in science, 
                        medicine, and other fields, and ensuring a 
                        stable, high-speed Internet infrastructure at 
                        universities, which is essential for the 
                        development of local technology-driven 
                        entrepreneurs;
                            (xv) promoting access to government 
                        information and services online for purposes of 
                        disseminating information to and enabling 
                        participation by people who might not otherwise 
                        have access to information or participation, 
                        enhancing accountability, and extending the 
                        reach of the government to areas where it may 
                        have a limited presence (particularly rural 
                        areas) and for generating relevant content to 
                        draw people online; and
                            (xvi) providing technical assistance and 
                        prioritization of funding, supporting policies 
                        and programs through assistance in the form of 
                        technical expertise and experience sharing and, 
                        where appropriate, through material support and 
                        funding;
                    (B) international organizations and international 
                finance institutions to increase support for activities 
                that expand Internet access, including by--
                            (i) encouraging the increase of Internet 
                        access-related programs and other investments 
                        beyond the 1 to 2 percent they currently 
                        receive of all infrastructure-related 
                        investment financed by international finance 
                        institutions; and
                            (ii) encouraging the integration of 
                        Internet infrastructure into traditional 
                        infrastructure projects, such as the laying of 
                        fiber optic cable simultaneously with road 
                        construction to reduce costs; and
                    (C) private companies to facilitate investment in 
                Internet infrastructure and affordable services in the 
                developing world, including by--
                            (i) offering and enhancing United States 
                        Government programs to incentivize and 
                        facilitate investment in Internet 
                        infrastructure in developing countries;
                            (ii) encouraging companies to commit to 
                        principles of responsible business conduct, 
                        develop systems and policies that identify, 
                        prevent, mitigate, and account for adverse 
                        human rights impacts, and enhance privacy and 
                        freedom of expression; and
                            (iii) encouraging the adoption of 
                        cooperative infrastructure-sharing policies and 
                        flexible approaches to spectrum reuse; and
            (2) to promote digital literacy and other skills people 
        will need to take advantage of expanded and improved access to 
        Internet and close the global digital divide, including where 
        possible, the integration by USAID of digital literacy and 
        related skills into programming and support from USAID and the 
        Department of State for public access facilities, such as 
        Internet in schools, hospitals, government buildings, and other 
        facilities as relevant.

SEC. 6. SPECIAL REPRESENTATIVE FOR THE GLOBAL CONNECT INITIATIVE.

    (a) Establishment.--The Secretary of State shall designate to the 
U.S. Coordinator for International Communications and Information 
Policy the additional role of Special Representative for the Global 
Connect Initiative (in this section referred to as ``Special 
Representative''), who shall continue to be appointed by the President, 
by and with the consent of the Senate.
    (b) Purpose.--In addition to carrying out the duties described in 
subsection (c) and those duties determined by the Secretary of State, 
the Special Representative shall direct the foreign policy efforts of 
the United States Government to promote global universal Internet 
access, and shall represent the United States internationally in 
bilateral and multilateral engagement on these matters.
    (c) Duties.--The Special Representative shall--
            (1) oversee the Global Connect initiative to promote 
        policies and programs that support quality, affordable Internet 
        access, with the goal of enabling first-time access to mobile 
        and broadband Internet for at least 1,500,000,000 people in 
        both urban and rural areas by 2020;
            (2) promote greater investment by international finance 
        institutions and United States corporations in Internet 
        infrastructure expansion and other projects to enhance 
        connectivity, as described in subparagraphs (B) and (C) of 
        section 5(1);
            (3) encourage partner countries to adopt policies designed 
        to lower prices and improve the quality of Internet service, 
        such as those described in section 5(1)(A); and
            (4) collaborate with other Federal agencies to seek 
        opportunities to promote connectivity projects.
    (d) Collaboration and Coordination.--The Special Representative 
shall, as appropriate, collaborate and coordinate with the Department 
of Commerce, the Federal Communications Commission, the Overseas 
Private Investment Corporation, the Export-Import Bank, the United 
States Agency for International Development, the Millennium Challenge 
Corporation, and other relevant agencies in formulating United States 
policies, reports, and implementation strategies for expanding global 
Internet access.
    (e) Appropriations.--There are authorized to be appropriated--
            (1) such funds as may be necessary to support the work of 
        the Special Representative and three full time equivalent (FTE) 
        staff members; and
            (2) $200,000 to provide further funding to the Technology 
        Leadership Program as part of a Global Connect fund in order to 
        help bring an additional 1,500,000,000 people online by 2020.
    (f) Annual Report.--Not more than 180 days after the date of the 
enactment of this Act, and annually thereafter, the Secretary of State 
shall submit to the appropriate committees a report describing--
            (1) the plans and existing efforts of the United States 
        Government to promote universal Internet access;
            (2) specific steps taken toward the goals of connecting an 
        additional 1,500,000,000 people by 2020 and expanding the 
        information communications technology sectors of developing 
        countries;
            (3) methods for private companies to partner in furtherance 
        of these goals; and
            (4) recommendations for further executive and legislative 
        action.

SEC. 7. USAID SUPPORT FOR CONNECTIVITY, DIGITAL LITERACY, AND RELATED 
              NEEDS.

    (a) Purpose.--The Administrator of the United States Agency for 
International Development is authorized to support expanded Internet 
connectivity worldwide by--
            (1) taking part in Department of State efforts to provide 
        guidance to partner governments on establishing regulatory 
        policies that facilitate expanded Internet connectivity and 
        information communications technology sectors in developing 
        countries;
            (2) funding and implementing programs to expand Internet 
        infrastructure and improve digital literacy, as well as other 
        measures necessary to improve Internet connectivity and usage, 
        in close coordination with the Secretary of State;
            (3) building the capacity of developing countries to 
        monitor and appropriately and transparently regulate the 
        Internet sector and to encourage private investment in Internet 
        infrastructure and services;
            (4) integrating efforts to expand Internet access, develop 
        appropriate technologies, and enhance digital literacy and the 
        availability of relevant local content across development 
        sectors such as health programs of the Agency, where 
        appropriate; and
            (5) carrying out other activities as deemed necessary by 
        the Administrator.
    (b) Authorization of Appropriations.--In addition to funds 
otherwise available for such purposes, there is authorized to be 
appropriated $1,000,000 in fiscal year 2017 to support USAID activities 
to promote universal Internet connectivity.
    (c) Reporting.--The Administrator shall coordinate with the 
Secretary of State to ensure USAID's activities to promote universal 
Internet connectivity are included in the report required under section 
6(f).

SEC. 8. PRIORITIZATION OF EFFORTS FOR PROJECTS THAT PROMOTE EXPANDED 
              INTERNET ACCESS BY THE OVERSEAS PRIVATE INVESTMENT 
              CORPORATION.

    (a) In General.--The Overseas Private Investment Corporation 
should, as appropriate, prioritize and expedite institutional efforts 
and assistance to facilitate the involvement of such institutions in 
Internet access-related projects and markets in developing counties and 
partner with investors, private sector actors, and other stakeholders 
to specifically increase access to high-quality, open, and affordable 
Internet services. Such investments should be focused on promoting 
Internet access with the goal of--
            (1) maximizing the number of people with new access to 
        Internet services;
            (2) improving and expanding the construction of Internet 
        infrastructure, including fiber, mobile, and other emerging 
        access technologies;
            (3) expanding access to Internet for those in underserved 
        and rural areas; and
            (4) prioritizing investment in countries and regions with 
        particularly acute shortages of critical infrastructure and 
        services needed for Internet access, such as sub-Saharan 
        Africa.
    (b) Amendments.--Title IV of chapter 2 of part I of the Foreign 
Assistance Act of 1961 is amended--
            (1) in section 234(c) (22 U.S.C. 2194(c)), by inserting 
        ``eligible investors or'' after ``involve'';
            (2) in section 237(d) (22 U.S.C. 2197(d))--
                    (A) in paragraph (2), by inserting ``, systems 
                infrastructure costs,'' after ``outside the 
                Corporation''; and
                    (B) in paragraph (3), by inserting ``, systems 
                infrastructure costs,'' after ``project-specific 
                transaction costs'';
            (3) in section 235(a)(2) (22 U.S.C. 2195(a)(2)), by 
        striking ``2007'' and inserting ``2021''; and
            (4) in section 238(c) (22 U.S.C. 2198(c)), by inserting 
        ``or having significant United States connections'' after 
        ``owned by United States citizens''.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated $5,000,000 for the Overseas Private Investment Corporation 
for fiscal year 2017 to carry out the purposes of this Act.

SEC. 9. DEVELOPMENT OF A COMPREHENSIVE STRATEGY.

    (a) Strategy Required.--The President shall incorporate a 
comprehensive, integrated, multiyear strategy encouraging the efforts 
of developing countries to expand information communications technology 
sectors of developing countries and access to the Internet for their 
people as a means to catalyze innovation and economic growth, promote 
democracy and good governance, create new educational opportunities, 
improve health outcomes, and strengthen global research networks 
consistent with the policy stated in section 5 into regular Department 
of State and USAID strategic planning processes, including at the 
departmental, bureau, and mission level.
    (b) Annual Report.--Not later than 180 days after the date of the 
enactment of this Act, and annually thereafter, the President shall 
submit to the Committee on Foreign Relations of the Senate and the 
Committee on Foreign Affairs of the House of Representatives a report 
that contains the strategy required under subsection (a) and includes 
the following elements:
            (1) The objectives of the strategy and the criteria for 
        determining the success of the strategy.
            (2) A description of efforts to achieve the policy stated 
        in section 5.
            (3) A description of plans to support efforts of developing 
        countries to expand Internet access with the goal of creating 
        favorable conditions for economic growth and poverty reduction 
        in urban and rural areas.
            (4) A description of efforts by the United States 
        Government to create an impact on the enabling policy and 
        regulatory environments of developing nations to foster 
        Internet access as well as expanding access to digital goods 
        and services with the goal of creating favorable conditions for 
        information sharing, democratic governance, and poverty 
        reduction.
            (5) A description of how United States investments to 
        increase Internet access in developing countries may increase 
        economic growth and thereby reduce the need for development 
        assistance in the future.
            (6) A description of efforts to include integration of 
        gender-equitable affordable Internet access into existing 
        economic and business assessments, evaluations, and indexes, 
        such as Millennium Challenge Corporation economic constraints 
        analyses.
    (c) Interagency Working Group.--
            (1) In general.--The President may, as appropriate, 
        establish an Interagency Working Group to coordinate the 
        activities of relevant United States Government departments and 
        agencies involved in carrying out the strategy required under 
        this section. These agencies should include the Department of 
        State, the United States Agency for International Development, 
        the Federal Communications Commission, the Millennium Challenge 
        Corporation, the Overseas Private Investment Corporation, and 
        the Export-Import Bank.
            (2) Functions.--The Interagency Working Group may, among 
        other things--
                    (A) seek to coordinate the activities of the United 
                States Government departments and agencies involved in 
                implementing the strategy required under this section;
                    (B) ensure efficient and effective coordination 
                between participating departments and agencies; and
                    (C) facilitate information sharing and coordinate 
                partnerships between the United States Government, the 
                private sector, and other development partners to 
                achieve the goals of the strategy.
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