S275-118

Passed Senate

To require the Federal Communications Commission to establish a vetting process for prospective applicants for high-cost universal service program funding.

118th Congress Introduced Feb 7, 2023

Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.

Summary

What This Bill Does

This bill requires the FCC to create a vetting process within 180 days for companies seeking federal rural broadband funding. Applicants must demonstrate technical, financial, and operational capabilities plus a reasonable business plan before receiving awards. The FCC must evaluate applicants against their compliance history with prior broadband programs.

Who Benefits and How

Rural communities benefit from better screening of broadband providers, reducing risk of failed deployments. Legitimate broadband providers benefit from clearer qualification standards. Taxpayers benefit from better accountability for federal broadband subsidies.

Who Bears the Burden and How

Broadband companies seeking USF funding must meet new qualification requirements and submit detailed capability documentation. Companies that default face minimum penalties of $9,000 per violation and at least 30% of total support. The FCC bears administrative burden of the new vetting process.

Key Provisions

  • Requires FCC rulemaking within 180 days to establish applicant vetting
  • Applicants must demonstrate technical, financial, and operational capabilities
  • FCC must evaluate applicant compliance history with prior broadband programs
  • Minimum penalty for defaults: $9,000 per violation
  • Base forfeiture must be at least 30% of total support unless FCC demonstrates need for lower penalty

Evidence Chain:

This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.

At a Glance

What This Bill Does

Requires the FCC to establish a vetting process for applicants seeking high-cost universal service fund (USF) awards for rural broadband deployment, including minimum penalties for defaults.

Who Benefits

  • Rural communities
  • Legitimate broadband providers
  • Taxpayers

Who Bears Costs

  • Broadband companies seeking USF funding
  • FCC
  • Companies that default on commitments

Key Policy Areas

Telecommunications, Broadband, Rural Development, Federal Grants

Primary Purpose

Requires the FCC to establish a vetting process for applicants seeking high-cost universal service fund (USF) awards for rural broadband deployment, including minimum penalties for defaults.

Policy Domains

Telecommunications Broadband Rural Development Federal Grants

Legislative Strategy

"Strengthen accountability for federal broadband subsidies following failures of prior award recipients"

Legislative Progress

Passed Senate
Introduced Committee Passed
Aug 1, 2024

Reported by Ms. Cantwell, with an amendment

Feb 7, 2023

Mrs. Capito (for herself and Ms. Klobuchar) introduced the following …

Feb 7, 2023 (inferred)

Passed Senate (inferred from es version)

Stakeholder Effects

cui bono?

How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.

Telecommunications
4 mentions across 4 clauses
-4 negative

Broadband providers applying for USF funding, Broadband providers seeking USF funding, Communications providers and spectrum users

Government
3 mentions across 3 clauses
-3 negative

Federal Communications Commission

General Public
3 mentions across 3 clauses
+3 positive

Rural broadband consumers, Rural communities awaiting broadband

2/4
sections analyzed
Full impact breakdown

Bill Structure & Actor Mappings

Who is "The Secretary" in each section?

Domains
Telecommunications Broadband Federal Grants
Actor Mappings
"commission"
→ Federal Communications Commission

Key Definitions

Terms defined in this bill

2 terms
"covered funding" §2m1a

Any new offer of high-cost universal service program funding for broadband-capable network deployment

"new covered funding award" §2m1b

Award of covered funding based on application submitted after rules are promulgated

We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.

Learn more about our methodology