On November 29, Senators John Thune and Ben Ray Lujan introduced S.5137 – the Rural Internet Improvement Act of 2022. The bill's purpose is to reform existing U.S. Department of Agriculture (USDA) Rural Development broadband programs and ensure that program dollars are directed to connect rural areas that are unserved or underserved.
According to a press release for the Rural Internet Improvement Act, the legislation would do the following:
- Streamline USDA's broadband authorities by merging and codifying the popular Rural e-Connectivity Pilot Program (ReConnect) with USDA's traditional broadband loan and grant program;
- Ensure ReConnect funding is going to areas most in need of reliable broadband service by limiting funding to areas where at least 90 percent of households lack access to broadband service;
- Enhance the participation of all types of broadband providers in the ReConnect Program by removing unnecessary barriers;
- Increase transparency by improving the challenge process in the ReConnect Program;
- Improve the coordination between USDA and the Federal Communications Commission (FCC) on broadband programs; and
- Require USDA to enter into a memorandum of understanding with the FCC and National Telecommunications and Information Administration to facilitate outreach to rural residents and businesses of available federal programs that promote broadband access, broadband affordability, and broadband inclusion.
No House companion legislation to S.5137 has yet been announced.
The Rural Internet Improvement Act appears to be a responsible and constructive measure for helping to ensure that broadband subsidy programs are efficiently and effectively implemented by USDA. Along with interagency coordination among USDA, NTIA, and the FCC, intra-agency coordination of broadband deployment subsidy programs through streamlined processes or merging of disparate programs is no doubt essential to ensure that precious tax dollars are spent wisely and that duplicative efforts and other forms of fraud, waste, or abuse are avoided.
Congressional oversight is also necessary to help ensure that the billions in subsidies Congress has allocated to promote broadband deployment are well spent. Free State Foundation Senior Fellow Andrew Long addressed this important topic his November 10, 2022 Perspectives from FSF Scholars, "Absent Oversight, the Broadband Funding Faucet Likely Will Overflow."