Senate Farm Bill Markup to Proceed, With Telecom Component, Harkin Says
Markup will proceed on a bill reauthorizing the five- year farm bill sometime before the Oct. 8 Columbus Day recess, Senate Agriculture Committee Chairman Thomas Harkin, D-Iowa, said Tuesday. The multi-title bill would set up a national center focusing on rural telecommunications to assess service and recommend strategies for extending services to rural areas, according to a discussion draft circulating in the Senate. Senate staffers are still working on the measure and changes are likely, a committee aide said.
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The bill would give the Agriculture Department $25 million a year for the broadband loan program, and $1 million annually to run the center. Also proposed in the House bill, the center would work with existing rural development centers on projects examining the extent of broadband buildout in rural areas. The center would be required to make annual reports examining the level of service and effectiveness of the overall broadband loan program.
The broadband provisions in the bill are similar to the measure (HR-2419) the House passed in July, but doesn’t include language redefining the meaning of “rural.” The House bill says an “eligible rural community” must exclude communities of more than 20,000, a provision designed to ensure loans go to communities needing service. The Senate draft bill uses broader language saying that loans may not be granted to areas “offered by 3 or more terrestrial service providers.”
To encourage use of “evolving technologies” in rural areas, the bill prohibits the government from imposing speed or bandwidth requirements on companies applying for loans. Applicants offering service to households with no terrestrial broadband service would be first in line to get loans. But the bill also would give priority to applicants offering to serve “the greatest number of households” that either had no service or only one terrestrial broadband provider.
Providers could qualify for rural broadband loans as long as they offer the same prices in rural areas that are offered in the nearest urban area, “as determined by the Secretary.” To qualify for a loan, providers must offer service to at least 25 percent of households in an area not served. Loan recipients would have to agree to build out their service areas within three years of getting a loan. An exception to this rule would be permitted if local governments or Indian tribes are trying to upgrade their broadband facilities.
The Senate discussion draft does not impose a requirement that 10 percent of loans go to eligible tribal communities, which was included in the House bill. The Senate draft also is silent on a requirement for the agency to produce a national broadband strategy, require wider access to 911 emergency telephone service and assistance for rural public TV stations that need to switch from analog to digital broadcast equipment.
The overall farm bill could be in peril due to disagreements over funding, Harkin said. While he supports a rewrite, if Congress can’t agree the current law may be extended. It’s also likely that Congress will approve a temporary extension of the current law, set to expire Sept. 30, to enable debate into the fall.