Schools and Libraries Universal Support Mechanism

Published date14 October 2021
Record Number2021-22102
SectionProposed rules
CourtFederal Communications Commission
Federal Register, Volume 86 Issue 196 (Thursday, October 14, 2021)
[Federal Register Volume 86, Number 196 (Thursday, October 14, 2021)]
                [Proposed Rules]
                [Pages 57097-57102]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2021-22102]
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                FEDERAL COMMUNICATIONS COMMISSION
                47 CFR Part 54
                [CC Docket No. 02-6; FCC 21-107; FRS 51933]
                Schools and Libraries Universal Support Mechanism
                AGENCY: Federal Communications Commission.
                ACTION: Proposed rule.
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                SUMMARY: In this document, the Federal Communications Commission
                propose to update the definition of library in the Commission's rules
                to provide clarity regarding the eligibility of Tribal libraries and
                promote increased participation of underrepresented Tribal libraries in
                the E-Rate Program. The Federal Communications Commission seeks to
                address a longstanding issue that has impeded Tribal libraries in
                seeking E-Rate support.
                DATES: Comments are due on or before November 15, 2021, and reply
                comments are due on or before November 29, 2021.
                ADDRESSES: All filings should refer to CC Docket No. 02-6. Comments may
                be filed by paper or by using the Commission's Electronic Comment
                Filing System (ECFS). See Electronic Filing of Documents in Rulemaking
                Proceedings, 63 FR 24121 (1998).
                 [ssquf] Electronic Filers: Comments and replies may be filed
                electronically by using the internet by accessing ECFS: http://www.fcc.gov/ecfs.
                 [ssquf] Paper Filers: Parties who choose to file by paper must file
                an original and one copy of each filing. If more than one docket or
                rulemaking number appears in the caption of this proceeding, filers
                must submit two additional copies for each additional docket or
                rulemaking number.
                 [ssquf] Filings can be sent by commercial overnight courier or by
                first-class or overnight U.S. Postal Service mail. All filings must be
                addressed to the Commission's Secretary, Office of the Secretary,
                Federal Communications Commission.
                 [ssquf] Commercial overnight mail (other than U.S. Postal Service
                Express Mail and Priority Mail) must be sent to 9050 Junction Drive,
                Annapolis Junction, MD 20701.
                 [ssquf] U.S. Postal Service first-class, Express, and Priority mail
                must be
                [[Page 57098]]
                addressed to 45 L St. NE, Washington, DC 20554.
                 [ssquf] Effective March 19, 2020, and until further notice, the
                Federal Communications Commission no longer accepts any hand or
                messenger delivered filings. This is a temporary measure taken to help
                protect the health and safety of individuals, and to mitigate the
                transmission of COVID-19.
                 [ssquf] People with Disabilities. To request materials in
                accessible formats for people with disabilities (Braille, large print,
                electronic files, audio format), send an email to [email protected] or
                call the Consumer & Governmental Affairs Bureau at (202) 418-0530.
                FOR FURTHER INFORMATION CONTACT: Kate Dumouchel, Wireline Competition
                Bureau, (202) 418-7400 or by email at [email protected]. The
                Federal Communications Commission asks that requests for accommodations
                be made as soon as possible in order to allow the agency to satisfy
                such requests whenever possible. Send an email to [email protected] or
                call the Consumer and Governmental Affairs Bureau at (202) 418-0530.
                SUPPLEMENTARY INFORMATION: This is a summary of the Federal
                Communications Commission's (Commission) Notice of Proposed Rulemaking
                in CC Docket No. 02-6; FCC 21-107, adopted September 30, 2021 and
                released on October 1, 2021. Due to the COVID-19 pandemic, the Federal
                Communications Commission's headquarters will be closed to the general
                public until further notice. See FCC Announces Closure of FCC
                Headquarters Open Window and Change in Hand-Delivery Policy, Public
                Notice, DA 20-304 (March 19, 2020). https://www.fcc.gov/document/fcc-closes-headquarters-open-window-and-changes-hand-delivery-policy. The
                full text of this document is available at the following internet
                address: https://www.fcc.gov/document/fcc-supports-broadband-tribal-libraries-through-e-rate-0.
                I. Introduction
                 1. The E-Rate Program provides support to ensure that schools and
                libraries can obtain affordable, high-speed broadband services and
                internal connections to connect today's students and library patrons
                with next-generation learning opportunities and services. The
                Commission proposes to update the definition of library in the
                Commission's rules to provide clarity regarding the eligibility of
                Tribal libraries and promote increased participation of
                underrepresented Tribal libraries in the E-Rate Program. In doing so,
                the Commission seeks to address a longstanding issue that has impeded
                Tribal libraries in seeking E-Rate support.
                II. Discussion
                 2. Consistent with the 2018 amendments to the LSTA, the Commission
                proposes to update Sec. Sec. 54.500 and 54.501(b)(1) of the
                Commission's rules to adopt the amended definition of library included
                in the LSTA and to clarify that Tribal libraries are eligible for
                support through the E-Rate Program. This amendment will remove the
                outdated reference to the 1996 version of the LSTA in the E-Rate rules,
                make the eligibility rules for the E-Rate Program consistent with those
                of the Emergency Connectivity Fund Program, and promote the increased
                participation of Tribal libraries in the E-Rate Program by making clear
                that Tribal libraries are eligible.
                 3. While some Tribal libraries have received E-Rate support to the
                extent the relevant State library administrative agencies determined
                they were eligible for assistance, they are still greatly
                underrepresented among the total number of E-Rate applicants. According
                to a report by the Institute of Museum and Library Services (IMLS) and
                the Association of Tribal Archives, Libraries, and Museums (ATALM),
                only 15 percent of Tribal libraries reported receiving E-Rate support,
                in part, due to eligibility requirements. When establishing the rules
                for the Emergency Connectivity Fund Program, the Commission clarified
                that Tribal libraries were eligible for support under the Emergency
                Connectivity Fund Program. The Commission now proposes to update the E-
                Rate rules in a consistent manner to add a Tribal library to the
                definition of library and remove references to the outdated Public Law
                104-208. The Commission proposes these changes in order to clarify that
                because Tribal libraries are statutorily eligible for support from
                State library administrative agencies consistent with 2018 amendments
                to the LSTA, they are therefore eligible for support through the E-Rate
                Program--even if LSTA funds have not been received by a Tribal library.
                The Commission anticipates that this change will resolve existing
                confusion about Tribal libraries' eligibility and facilitate access to
                E-Rate funds. By making Tribal eligibility for E-Rate support clear,
                the Commission seeks to further the goal of increasing Tribal
                libraries' access to advanced telecommunications and information
                services, internal connections, and basic maintenance of internal
                connections through the E-Rate Program. The Commission seeks comment on
                this proposed rule change, as well as what impact, if any, such rule
                change may have on the administration of the E-Rate Program.
                 4. The Commission also seeks comment on whether the Commission
                should consider any other measures to ensure Tribal schools and
                libraries have access to the E-Rate Program. Are there opportunities to
                increase participation of these Tribal entities in the E-Rate Program,
                such as through additional trainings or outreach? In 2016, GAO issued
                recommendations to the Commission for expanding Tribal access to E-Rate
                funding. The Commission seeks comment on those recommendations here.
                Specifically, would consultation with other relevant federal agencies,
                such as IMLS or the Department of Interior Bureau of Indian Affairs,
                when developing and promoting such training programs and outreach
                improve their effectiveness? Are there ways to improve reporting on
                Tribal entities to gain a more complete understanding of Tribal
                participation in the E-Rate Program? Should the Commission consider
                developing performance goals and measures to track progress of
                achieving the Commission's goal of increasing access to affordable
                broadband for Tribal schools and libraries? If so, the Commission seeks
                comment on what these might include.
                 5. Digital Equity and Inclusion. Finally, the Commission, as part
                of its continuing effort to advance digital equity for all, including
                Indigenous and Native American persons, people of color, persons with
                disabilities, persons who live in rural or Tribal areas, and others who
                are or have been historically underserved, marginalized, or adversely
                affected by persistent poverty or inequality, invites comment on any
                equity-related considerations and benefits (if any) that may be
                associated with the proposals and issues discussed herein.
                Specifically, the Commission seeks comment on how our proposals may
                promote or inhibit advances in diversity, equity, inclusion, and
                accessibility, as well the scope of the Commission's relevant legal
                authority.
                III. Procedural Matters
                 6. Initial Regulatory Flexibility Analysis.--As required by the
                Regulatory Flexibility Act of 1980, as amended (RFA), the Commission
                has prepared an Initial Regulatory Flexibility Analysis (IRFA) of the
                possible significant economic impact on a substantial number of small
                entities of the proposals addressed in this Notice of Proposed
                Rulemaking. Written public
                [[Page 57099]]
                comments are requested on the IRFA. These comments must be filed in
                accordance with the same filing deadlines for comments on the Notice of
                Proposed Rulemaking, and they should have a separate and distinct
                heading designating them as responses to the IRFA. The Commission's
                Consumer and Governmental Affairs Bureau, Reference Information Center,
                will send a copy of this Notice of Proposed Rulemaking, including the
                IRFA, to the Chief Counsel for Advocacy of the Small Business
                Administration, in accordance with the RFA. In addition, the Notice of
                Proposed Rulemaking and IRFA (or summaries thereof) will be published
                in the Federal Register.
                A. Need for, and Objectives of, the Proposed Rules
                 7. The Commission is required by Section 254 of the Communications
                Act of 1934, as amended, to promulgate rules to implement the universal
                service provisions of Section 254. On May 8, 1997, the Commission
                adopted rules to reform its system of universal service support
                mechanisms so that universal service is preserved and advanced as
                markets move toward competition. Specifically, under the schools and
                libraries universal service support mechanism, also known as the E-Rate
                Program, eligible schools, libraries, and consortia that include
                eligible schools and libraries may receive discounts for eligible
                telecommunications services, internet access, and internal connections.
                 8. Taking steps to close the digital divide is a top priority for
                the Commission. The E-Rate Program provides a vital source of support
                to schools and libraries, ensuring that students and library patrons
                across the nation have access to high-speed broadband and essential
                communications services. The rules the Commission proposes in the
                Notice of Proposed Rulemaking seek to update the E-Rate Program rules
                to be consistent with the amended LSTA and to clarify that Tribal
                libraries are eligible to apply for and receive E-Rate funding. The
                Commission seeks comment on these proposals as well as comments as to
                whether there are other measures the Commission can take to ensure
                Tribal schools and libraries have access to E-Rate funds, consistent
                with Section 254(h)(4).
                B. Legal Basis
                 9. The proposed action is authorized pursuant to sections 1 through
                4, 201-205, 254, 303(r), and 403 of the Communications Act of 1934, as
                amended by the Telecommunications Act of 1996, 47 U.S.C. 151 through
                154, 201 through 205, 254, 303(r), and 403.
                C. Description and Estimate of the Number of Small Entities to Which
                the Proposed Rules Will Apply
                 10. The RFA directs agencies to provide a description of and, where
                feasible, and estimate of the number of small entities that may be
                affected by the proposed rules, if adopted. The RFA generally defines
                the term ``small entity'' as having the same meaning as the terms
                ``small business,'' ``small organization,'' and ``small governmental
                jurisdiction.'' In addition, the term ``small business'' has the same
                meaning as the term ``small business concern'' under the Small Business
                Act. A small business concern is one that: (1) Is independently owned
                and operated; (2) is not dominant in its field of operation; and (3)
                satisfies any additional criteria established by the Small Business
                Administration (SBA).
                 11. Small Businesses, Small Organizations, Small Governmental
                Jurisdictions. Our actions, over time, may affect small entities that
                are not easily categorized at present. The Commission therefore
                describes here, at the outset, three broad groups of small entities
                that could be directly affected herein. First, while there are industry
                specific size standards for small businesses that are used in the
                regulatory flexibility analysis, according to data from the SBA's
                Office of Advocacy, in general a small business is an independent
                business having fewer than 500 employees. These types of small
                businesses represent 99.9% of all businesses in the United States,
                which translates to 30.7 million businesses.
                 12. Next, the type of small entity described as a ``small
                organization'' is generally ``any not-for-profit enterprise which is
                independently owned and operated and is not dominant in its field.''
                The Internal Revenue Service (IRS) uses a revenue benchmark of $50,000
                or less to delineate its annual electronic filing requirements for
                small exempt organizations. Nationwide, for tax year 2018, there were
                approximately 571,709 small exempt organizations in the U.S. reporting
                revenues of $50,000 or less according to the registration and tax data
                for exempt organizations available from the IRS.
                 13. Finally, the small entity described as a ``small governmental
                jurisdiction'' is defined generally as ``governments of cities,
                counties, towns, townships, villages, school districts, or special
                districts, with a population of less than fifty thousand.'' U.S. Census
                Bureau data from the 2017 Census of Governments indicate that there
                were 90,075 local governmental jurisdictions consisting of general
                purpose governments and special purpose governments in the United
                States. Of this number there were 36,931 general purpose governments
                (county, municipal and town or township) with populations of less than
                50,000 and 12,040 special purpose governments--independent school
                districts with enrollment populations of less than 50,000. Accordingly,
                based on the 2017 U.S. Census of Governments data, the Commission
                estimates that at least 48,971 entities fall into the category of
                ``small governmental jurisdictions.''
                1. Schools and Libraries
                 14. As noted, a ``small entity'' includes non-profit and small
                government entities. Under the schools and libraries universal service
                support mechanism, which provides support for elementary and secondary
                schools and libraries, an elementary school is generally ``a non-profit
                institutional day or residential school that provides elementary
                education, as determined under state law.'' A secondary school is
                generally defined as ``a non-profit institutional day or residential
                school that provides secondary education, as determined under state
                law,'' and not offering education beyond grade 12. A library includes
                ``(1) a public library, (2) a public elementary school or secondary
                school library, (3) an academic library, (4) a research library [ ] and
                (5) a private library, but only if the state in which such private
                library is located determines that the library should be considered a
                library for the purposes of this definition.'' The proposals under
                consideration in the Notice of Proposed Rulemaking, if adopted, would
                update the definition of library to add Tribal libraries to the
                definition. For-profit schools and libraries, and schools and libraries
                with endowments in excess of $50,000,000, are not eligible to receive
                discounts under the program, nor are libraries whose budgets are not
                completely separate from any schools. Certain other statutory
                definitions apply as well. The SBA has defined for-profit, elementary
                and secondary schools and libraries having $6 million or less in annual
                receipts as small entities. In funding year 2017, approximately 103,699
                schools and 11,810 libraries received funding under the schools and
                libraries universal service mechanism. Although the Commission is
                unable to estimate with precision the number of these entities that
                would qualify as small entities under SBA's size standard, the
                Commission estimates that fewer than 103,699 schools and 11,810
                libraries might be affected annually by
                [[Page 57100]]
                this action, notwithstanding the fact that more Tribal libraries may be
                encouraged to apply for funding should the proposals in the Notice of
                Proposed Rulemaking be adopted.
                2. Telecommunications Service Providers
                 15. Incumbent Local Exchange Carriers (LECs). Neither the
                Commission nor the SBA has developed a size standard for small
                incumbent local exchange carriers. The closest applicable NAICS Code
                category is Wired Telecommunications Carriers. Under the applicable SBA
                size standard, such a business is small if it has 1,500 or fewer
                employees. U.S. Census Bureau data for 2017 indicate that 3,054 firms
                operated the entire year. Of this total, 2,964 operated with fewer than
                250 employees. Consequently, the Commission estimates that most
                providers of incumbent local exchange service are small businesses that
                may be affected by our actions. According to Commission data, one
                thousand three hundred and seven (1,307) Incumbent Local Exchange
                Carriers reported that they were incumbent local exchange service
                providers. Of this total 1,307 an estimated 1,006 have 1,500 or fewer
                employees and 301 have more than 1,500 employees. Thus, using the SBA's
                size standard the majority of incumbent LECs can be considered small
                entities.
                 16. The Commission has included small incumbent LECs in this RFA
                analysis. A ``small business'' under the RFA is one that, inter alia,
                meets the pertinent small business size standard (e.g., a telephone
                communications business having 1,500 or fewer employees), and ``is not
                dominant in it field of operation.'' The SBA's Office of Advocacy
                contends that, for RFA purposes, small incumbent LECs are not dominant
                in their field of operation because any such dominance is not
                ``national'' in scope. The Commission has, therefore, included small
                incumbent carriers in this RFA analysis, although the Commission
                emphasizes that this RFA action has no effect on the Commission's
                analyses and determinations in other, non-RFA contexts.
                 17. Interexchange Carriers (IXCs). Neither the Commission nor the
                SBA has developed a definition of small entities specifically
                applicable to IXCs. The closest NAICS Code category is Wired
                Telecommunications Carriers. The applicable size standard under SBA
                rules is that such a business is small if it has 1,500 or fewer
                employees. U.S. Census Bureau data for 2017 indicate that 3,054 firms
                operated the entire year. Of this total, 2,964 operated with fewer than
                250 employees. According to internally developed Commission data, 359
                companies reported that that their primary telecommunications service
                activity was the provision of interexchange services. Of this total, an
                estimated 317 have 1,500 or fewer employees. Consequently, the
                Commission estimates that the majority of interexchange service
                providers are small entities.
                 18. Competitive Access Providers (CAPs). Neither the Commission nor
                the SBA has developed a definition of small entities specifically
                applicable to CAPs. The closest applicable definition under the SBA
                rules is for Wired Telecommunications Carriers. Under the SBA size
                standard a Wired Telecommunications Carrier is a small entity if it
                employs no more than 1,500 employees. U.S. Census Bureau data for 2017
                indicate that 3,054 firms operated the entire year. Of this total,
                2,964 operated with fewer than 250 employees. According to Commission
                data, 1,442 CAPs and competitive local exchange carriers (competitive
                LECs) reported that they were engaged in the provision of competitive
                local exchange services. Of these 1,442 CAPs and competitive LECs, an
                estimated 1,256 have 1,500 or fewer employees and 186 have more than
                1,500 employees. Consequently, the Commission estimates that most
                providers of competitive exchange services are small businesses.
                 19. Wireless Telecommunications Carriers (except Satellite). This
                industry comprises establishments primarily engaged in operating and
                maintaining switching and transmission facilities to provide
                communications via the airwaves. Establishments in this industry have
                spectrum licenses and provide services using that spectrum, such as
                cellular phone services, paging services, wireless internet access, and
                wireless video services. The appropriate size standard under SBA rules
                is that such a business is small if it has 1,500 or fewer employees.
                For this industry, U.S. Census Bureau data for 2017 show that there
                were 2,893 firms that operated for the entire year. Of this total,
                2,837 firms had fewer than 250 employees and 56 had 250 employees or
                more. Thus under this category and the associated size standard, the
                Commission estimates that the majority of wireless telecommunications
                carriers (except satellite) are small entities.
                 20. Wireless Telephony. Wireless telephony includes cellular,
                personal communications services, and specialized mobile radio
                telephony carriers. The closest applicable SBA category is Wireless
                Telecommunications Carriers (except Satellite). Under the SBA small
                business size standard, a business is small if it has 1,500 or fewer
                employees. For this industry, U.S. Census Bureau data for 2017 show
                that there were 2,893 firms that operated for the entire year. Of this
                total, 2,837 firms had fewer than 250 employees and 56 had 250
                employees or more. Thus under this category and the associated size
                standard, the Commission estimates that a majority of these entities
                can be considered small. According to Commission data, 413 carriers
                reported that they were engaged in wireless telephony. Of these, an
                estimated 261 have 1,500 or fewer employees and 152 have more than
                1,500 employees. Therefore, more than half of these entities can be
                considered small.
                3. Internet Service Providers (ISPs)
                 21. Internet Service Providers (Broadband). Broadband internet
                service providers include wired (e.g., cable, DSL) and VoIP service
                providers using their own operated wired telecommunications
                infrastructure fall in the category of Wired Telecommunication
                Carriers. Wired Telecommunications Carriers are comprised of
                establishments primarily engaged in operating and/or providing access
                to transmission facilities and infrastructure that they own and/or
                lease for the transmission of voice, data, text, sound, and video using
                wired telecommunications networks. Transmission facilities may be based
                on a single technology or a combination of technologies. The SBA size
                standard for this category classifies a business as small if it has
                1,500 or fewer employees. U.S. Census Bureau data for 2017 indicate
                that 3,054 firms operated the entire year. Of this total, 2,964
                operated with fewer than 250 employees. Consequently, under this size
                standard the majority of firms in this industry can be considered
                small.
                 22. Internet Service Providers (Non-Broadband). Internet access
                service providers such as Dial-up internet service providers, VoIP
                service providers using client-supplied telecommunications connections
                and internet service providers using client-supplied telecommunications
                connections (e.g., dial-up ISPs) fall in the category of All Other
                Telecommunications. The SBA has developed a small business size
                standard for All Other Telecommunications which consists of all such
                firms with gross annual receipts of $32.5 million or less. For this
                category, U.S. Census Bureau data for 2017 shows that there were 1,079
                firms
                [[Page 57101]]
                that operated for the entire year. Of these firms, a total of 1,039 had
                gross annual receipts of less than $25 million. Consequently, under
                this size standard a majority of firms in this industry can be
                considered small.
                4. Vendors of Internal Connections
                 23. Vendors of Infrastructure Development or ``Network Buildout.''
                The Commission has not developed a small business size standard
                specifically directed toward manufacturers of network facilities. There
                are two applicable SBA categories in which manufacturers of network
                facilities could fall and each have different size standards under the
                SBA rules. The SBA categories are ``Radio and Television Broadcasting
                and Wireless Communications Equipment'' with a size standard of 1,250
                employees or less and ``Other Communications Equipment Manufacturing''
                with a size standard of 750 employees or less. U.S. Census Bureau data
                for 2017 show that for Radio and Television Broadcasting and Wireless
                Communications Equipment, 656 firms operated for the entire year. Of
                that number, 624 firms operated with fewer than 250 employees. For
                Other Communications Equipment Manufacturing, U.S. Census Bureau data
                for 2017 shows that 321 firms operated for the year. Of that number,
                310 operated with fewer than 250 employees. Based on this data, the
                Commission concludes that the majority of Vendors of Infrastructure
                Development or ``Network Buildout'' are small.
                 24. Telephone Apparatus Manufacturing. This industry comprises
                establishments primarily engaged in manufacturing wire telephone and
                data communications equipment. These products may be standalone or
                board-level components of a larger system. Examples of products made by
                these establishments are central office switching equipment, cordless
                telephones (except cellular), PBX equipment, telephones, telephone
                answering machines, LAN modems, multi-user modems, and other data
                communications equipment, such as bridges, routers, and gateways. The
                SBA size standard for Telephone Apparatus Manufacturing is all such
                firms having 1,250 or fewer employees. U.S. Census Bureau data for 2017
                show that there were 189 firms that operated for the entire year. Of
                this total, 177 operated with fewer than 250 employees. Thus, under
                this size standard, the majority of firms can be considered small.
                 25. Radio and Television Broadcasting and Wireless Communications
                Equipment Manufacturing. This industry comprises establishments
                primarily engaged in manufacturing radio and television broadcast and
                wireless communications equipment. Examples of products made by these
                establishments are: Transmitting and receiving antennas, cable
                television equipment, GPS equipment, pagers, cellular phones, mobile
                communications equipment, and radio and television studio and
                broadcasting equipment. The SBA has established a small business size
                standard for this industry of 1,250 employees or less. U.S. Census
                Bureau data for 2017 show that 656 firms operated in this industry for
                the entire year. Of that number, 624 firms operated with fewer than 250
                employees. Based on this data, the Commission concludes that a majority
                of manufacturers in this industry are small.
                D. Description of Projected Reporting, Recordkeeping, and Other
                Compliance Requirements for Small Entities
                 26. The proposals under consideration in the Notice of Proposed
                Rulemaking, if adopted, should not result in new and/or modified
                reporting, recordkeeping and other compliance requirements for small or
                large entities. At this time, the Commission cannot quantify the cost
                of compliance with the potential rule changes in the Notice of Proposed
                Rulemaking, but the Commission anticipates that the result of any rule
                changes will produce requirements that are equal to existing
                requirements, and the Commission does not believe small entities will
                have to hire attorneys, engineers, consultants, or other professionals
                in order to comply. Updating the E-Rate rules to adopt the amended
                definition of library under the LSTA, for example, will clarify that
                Tribal libraries are eligible for support by statute--as they have been
                since Congress enacted the Museum and Library Services Act of 2018.
                Moreover, this clarity may also alleviate some of the issues that
                Tribal libraries face when seeking E-Rate support. Additionally, the
                Commission has sought comment on whether there are other measures the
                Commission can take to ensure Tribal schools and libraries have equal
                access to E-Rate funds. Regarding the Commission's proposal on what
                documentation should be used to validate a Tribal library, the
                Commission has sought comment on whether that approach is feasible or
                practicable for demonstrating eligibility.
                E. Steps Taken To Minimize the Significant Economic Impact on Small
                Entities, and Significant Alternatives Considered
                 27. The RFA requires an agency to describe any significant,
                specifically small business, alternatives that it has considered in
                reaching its proposed approach, which may include the following four
                alternatives (among others): ``(1) the establishment of differing
                compliance or reporting requirements or timetables that take into
                account the resources available to small entities; (2) the
                clarification, consolidation, or simplification of compliance and
                reporting requirements under the rule for such small entities; (3) the
                use of performance rather than design standards; and (4) an exemption
                from coverage of the rule, or any part thereof, for such small
                entities.''
                 28. In the Notice of Proposed Rulemaking, the Commission has taken
                steps to minimize the economic impact on small entities with the rule
                changes that the Commission has proposed. Under the current E-Rate
                rules, only libraries eligible for assistance from a State library
                administrative agency under the 1996 version of the LSTA are eligible
                for E-Rate funding. Absent a rule change, Tribal libraries continue to
                face uncertainty about eligibility which leads to them being
                underrepresented among E-Rate applicants. The Commission has therefore
                proposed updating the rules to add Tribal libraries to the definition
                of library, which, if adopted, may encourage Tribal libraries to apply
                for and receive E-Rate support. The Commission expects to more fully
                consider ways to minimize the economic impact and explore alternatives
                for small entities following the review of comments filed in response
                to the Notice of Proposed rulemaking.
                F. Federal Rules That May Duplicate, Overlap, or Conflict With the
                Proposed Rules
                 29. None.
                 30. Paperwork Reduction Act. This document does not contain
                proposed information collection(s) subject to the Paperwork Reduction
                Act of 1995 (PRA), Public Law 104-13. In addition, therefore, it does
                not contain any new or modified information collection burden for small
                business concerns with fewer than 25 employees, pursuant to the Small
                Business Paperwork Relief Act of 2002, Public Law 107-198, see 44
                U.S.C. 33506(c)(4).
                31. Ex Parte Rules--Permit but Disclose. Pursuant to section
                1.1200(a) of the Commission's rules, this Notice of
                [[Page 57102]]
                Proposed Rulemaking shall be treated as a ``permit-but-disclose''
                proceeding in accordance with the Commission's ex parte rules. Persons
                making ex parte presentations must file a copy of any written
                presentation or a memorandum summarizing any oral presentation within
                two business days after the presentation (unless a different deadline
                applicable to the Sunshine period applies). Persons making oral ex
                parte presentations are reminded that memoranda summarizing the
                presentation must (1) list all persons attending or otherwise
                participating in the meeting at which the ex parte presentation was
                made, and (2) summarize all data presented and arguments made during
                the presentation. If the presentation consisted in whole or in part of
                the presentation of data or arguments already reflected in the
                presenter's written comments, memoranda or other filings in the
                proceeding, the presenter may provide citations to such data or
                arguments in his or her prior comments, memoranda, or other filings
                (specifying the relevant page and/or paragraph numbers where such data
                or arguments can be found) in lieu of summarizing them in the
                memorandum. Documents shown or given to Commission staff during ex
                parte meetings are deemed to be written ex parte presentations and must
                be filed consistent with rule 1.1206(b). In proceedings governed by
                rule 1.49(f) or for which the Commission has made available a method of
                electronic filing, written ex parte presentations and memoranda
                summarizing oral ex parte presentations, and all attachments thereto,
                must be filed through the electronic comment filing system available
                for that proceeding, and must be filed in their native format (e.g.,
                .doc, .xml, .ppt, searchable.pdf). Participants in this proceeding
                should familiarize themselves with the Commission's ex parte rules.
                 32. In light of the Commission's trust relationship with Tribal
                Nations and our commitment to engage in government-to-government
                consultation with them, the Commission finds the public interest
                requires a limited modification of the ex parte rules in this
                proceeding. Tribal Nations, like other interested parties, should file
                comments, reply comments, and ex parte presentations in the record to
                put facts and arguments before the Commission in a manner such that
                they may be relied upon in the decision-making process consistent with
                the requirements of the Administrative Procedure Act. However, at the
                option of the Tribe, ex parte presentations made during consultations
                by elected and appointed leaders and duly appointed representatives of
                federally recognized Indian Tribes and Alaska Native Villages to
                Commission decision makers shall be exempt from the rules requiring
                disclosure in permit-but-disclose proceedings and exempt from the
                prohibitions during the Sunshine Agenda period. To be clear, while the
                Commission recognizes consultation is critically important, the
                Commission emphasizes that the Commission will rely in its decision-
                making only on those presentations that are placed in the public record
                for this proceeding.
                 33. People with Disabilities: To request materials in accessible
                formats for people with disabilities (braille, large print, electronic
                files, audio format), send an email to [email protected] or call the
                Consumer & Governmental Affairs Bureau at 202-418-0530.
                 34. Availability of Documents: Comments, reply comments, and ex
                parte submissions will be publicly available online via ECFS. When the
                FCC Headquarters reopens to the public, these documents will also be
                available for public inspection during regular business hours in the
                FCC Reference Center, Federal Communications Commission, 45 L Street
                NE, Washington, DC 20554.
                IV. Ordering Clauses
                 35. Accordingly, it is ordered that, pursuant to the authority
                found in sections 1 through 4, 201-202, 254, 303(r) and 403 of the
                Communications Act of 1934, as amended, 47 U.S.C. 151 through 154, 201
                through 202, 254, 303(r), and 403, this Notice of Proposed Rulemaking
                is adopted.
                 36. It is further ordered that the Commission's Consumer and
                Governmental Affairs Bureau, Reference Information Center, shall send a
                copy of this Notice of Proposed Rulemaking, including the Initial
                Regulatory Flexibility Analysis, to the Chief Counsel for Advocacy of
                the Small Business Administration.
                List of Subjects in 47 CFR Part 54
                 Communications common carriers, internet, Libraries, Reporting and
                recordkeeping requirements, Schools, Telecommunications.
                Federal Communications Commission.
                Marlene Dortch,
                Secretary.
                Proposed Rules
                 For the reasons set forth above, the Commission proposes part 54 of
                title 47 of the Code of Federal Regulations to be amended as follows:
                PART 54--UNIVERSAL SERVICE
                0
                1. The authority for part 54 continues to read as follows:
                 Authority: 47 U.S.C. 151, 154(i), 155, 201, 205, 214, 219, 220,
                229, 254, 303(r), 403, 1004, 1302, and 1601-1609, unless otherwise
                noted.
                0
                2. Amend Sec. 54.500 by revising the definition of ``library'' to read
                as follows:
                Sec. 54.500 Terms and definitions.
                * * * * *
                 Library. A ``library'' includes:
                 (1) A public library;
                 (2) A public elementary school or secondary school library;
                 (3) A Tribal library;
                 (4) An academic library;
                 (5) A research library, which for the purpose of this section means
                a library that:
                 (i) Makes publicly available library services and materials
                suitable for scholarly research and not otherwise available to the
                public; and
                 (ii) Is not an integral part of an institution of higher education;
                and
                 (6) A private library, but only if the state in which such private
                library is located determines that the library should be considered a
                library for the purposes of this definition.
                * * * * *
                0
                3. Amend Sec. 54.501 by revising paragraph (b)(1) to read as follows:
                Sec. 54.501 Eligible recipients.
                * * * * *
                 (b) Libraries.
                 (1) Only libraries eligible for assistance from a State library
                administrative agency under the Library Services and Technology Act (20
                U.S.C. 9122) and not excluded under paragraphs (b)(2) or (3) of this
                section shall be eligible for discounts under this subpart.
                * * * * *
                [FR Doc. 2021-22102 Filed 10-13-21; 8:45 am]
                BILLING CODE 6712-01-P
                

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