Bill would require FCC vetting before rural broadband funding awards

What does this do?

HR 2399 requires the FCC to screen companies applying for high-cost universal service funding before giving out money for rural broadband and phone networks. Applicants must prove they have the technical skill, financial resources, and business plans to deliver promised services, and the FCC will also weigh their track record with past broadband programs.

Who does it affect?

The bill affects internet and telecom companies seeking rural broadband funding, as well as rural communities and residents who rely on these programs for internet access.

Why does it matter?

The screening process is meant to reduce cases where funded companies fail to deliver promised broadband service, which wastes taxpayer money.

What does it cost, and who pays?

• Minimum fine $9,000 per violation
• Generally at least 30% of award
• FCC can lower with justification