[Senate Report 110-245]
[From the U.S. Government Publishing Office]
110th Congress Report
SENATE
1st Session 110-245
_______________________________________________________________________
Calendar No. 538
PROTECTING CHILDREN IN THE 21ST CENTURY ACT
__________
R E P O R T
OF THE
COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
on
S. 1965
December 12, 2007.--Ordered to be printed
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
one hundred tenth congress
first session
DANIEL K. INOUYE, Hawaii, Chairman
TED STEVENS, Alaska, Vice-Chairman
JOHN D. ROCKEFELLER IV, West JOHN McCAIN, Arizona
Virginia TRENT LOTT, Mississippi
JOHN F. KERRY, Massachusetts KAY BAILEY HUTCHISON, Texas
BYRON L. DORGAN, North Dakota OLYMPIA J. SNOWE, Maine
BARBARA BOXER, California GORDON H. SMITH, Oregon
BILL NELSON, Florida JOHN ENSIGN, Nevada
MARIA CANTWELL, Washington JOHN E. SUNUNU, New Hampshire
FRANK R. LAUTENBERG, New Jersey JIM DeMINT, South Carolina
MARK PRYOR, Arkansas DAVID VITTER, Louisiana
THOMAS CARPER, Delaware JOHN THUNE, South Dakota
CLAIRE McCASKILL, Missouri
AMY KLOBUCHAR, Minnesota
Margaret Cummisky, Staff Director and Chief Counsel
Lila Helms, Deputy Staff Director and Policy Director
Jean Toal Eisen, Senior Advisor and Deputy Policy Director
Christine Kurth, Republican Staff Director and General Counsel
Paul J. Nagle, Republican Chief Counsel
Mimi Braniff, Republican Deputy Chief Counsel
Calendar No. 538
110th Congress Report
SENATE
1st Session 110-245
======================================================================
PROTECTING CHILDREN IN THE 21ST CENTURY ACT
_______
December 12, 2007.--Ordered to be printed
_______
Mr. Inouye, from the Committee on Commerce, Science, and
Transportation, submitted the following
REPORT
[To accompany S. 1965]
The Committee on Commerce, Science, and Transportation, to
which was referred the bill (S. 1965) to protect children from
cybercrimes, including crimes by online predators, to enhance
efforts to identify and eliminate child pornography, and to
help parents shield their children from material that is
inappropriate for minors, having considered the same, reports
favorably thereon with amendments and recommends that the bill
(as amended) do pass.
Purpose of the Bill
The purpose of S. 1965 is to assist parents in protecting
their children from harmful content on the Internet and in
educating children about potential dangers associated with
inappropriate online communications. Toward these ends, the
bill focuses on several strategies to improve online safety and
to prevent the exploitation of children online. The bill would
require the Federal Trade Commission to coordinate and
implement a national public awareness and education campaign
focused on strategies promoting the safe use of the Internet by
children. The bill would also direct the Assistant Secretary of
Commerce for Communications and Information to create a private
sector working group to review and evaluate the status of
industry efforts to promote online safety. The bill would
require schools receiving universal service funds from the
Federal ``e-rate'' program to ensure that their Internet safety
policies include education about appropriate online behavior.
Finally, the bill would increase maximum fines that may be
assessed against certain Internet service providers for failing
to report child pornography and would strengthen the ability of
law enforcement personnel and the National Center for Missing
and Exploited Children (NCMEC) to share information with
certain relevant parties.
Background and Needs
The Internet is a valuable educational and social resource
for children. Used safely, it can offer children access to a
wealth of information and material and can provide a means to
exchange ideas with other social peers. However, this positive
tool also includes hidden dangers. The wealth of information
available on the Internet includes significant amounts of
material that may not be suitable for children. Additionally,
the anonymity of the Internet and the susceptibility of
children raise particular dangers with respect to invasions of
privacy and threats from online predators. These dangers have
only become more pronounced as individuals use the Internet not
only to find information, but increasingly to convey personal
information about themselves on personal Web pages or though
social networking sites like MySpace or Facebook.
According to a 2007 Pew Internet survey, 93 percent of all
Americans between 12 and 17 years old use the Internet,
demonstrating a steady rise from 87 percent in 2004 and 73
percent in 2000. Moreover, not only are more teens online, but
they are also using the Internet more intensely now than in the
past, with 89 percent percent of online teens using the
Internet at least once a week and 61 percent using it daily.
Accordingly, efforts to promote a safe, online environment
are critical components of ensuring that the promise of
communications technologies can be fully embraced by parents
and children alike. There is no single solution to protecting
children on the Internet. Instead, protection requires a multi-
layered approach that relies on social and educational
strategies to teach responsible and safe use coupled with
technology, public policy, and law enforcement to shape the
online environment that children experience.
Child Pornography and the Internet. Unfortunately, the growth
of broadband and the anonymity of the Internet have resulted in
a significant increase in the distribution of illegal, child
pornography. Commercial child pornography is a multi-billion
dollar, worldwide industry. While the exact scope of the
problem of child pornography is difficult to determine, it is
clear that the problem has exploded with the advent of the
Internet. NCMEC reported that it had received an increase of
reports to its CyberTipline from more than 24,400 in 2001 to
more than 340,000 by the beginning of 2006. Moreover, NCMEC
found that 19 percent of identified sex offenders had images of
children younger than 3 years old; 39 percent had images of
children younger than 6 years old; and 83 percent had images of
children younger than 12 years old.
Protecting Children from Inappropriate Content. Beyond
concerns about the victimization of children in pornography
parents are also concerned with shielding their children from
adult pornography that may be easily accessible over the
Internet. Easy access to pornography through the Internet
threatens to dramatically reshape a child's perception about
sex and body image.
According to a 2001 study by the Kaiser Family Foundation, 70
percent of the nation's 15 to 17 year olds have looked at
Internet pornography, much of it graphically hardcore, with
just under half (45 percent) saying that they were upset by the
experience. While filtering technologies and other methods to
control children's access to pornography are available,
parents' lack of familiarity with these tools and the rapid
development of technologies to defeat such tools leave parents
feeling as if they are fighting a losing battle to limit their
children's exposure to sexually explicit content.
In May 2002, at the direction of Congress, the National
Academy of Sciences issued a report reviewing computer-based
technologies and other approaches to the problem of the
availability of pornographic material to children on the
Internet. This report, titled Youth, Pornography, and the
Internet, was prepared by a committee chaired by former U.S.
Attorney General Richard Thornburgh. According to the
Thornburgh Report, the nature of the Internet posed particular
challenges to parents seeking to protect their children from
inappropriate material in that:
``Compared to other media, the Internet has
characteristics that make it harder for adults to
exercise responsible supervision over children's use of
it. A particularly worrisome aspect of the Internet is
that inappropriate sexually explicit material can find
its way onto children's computer screens without being
actively sought. Further, it is easy to find on today's
Internet not only images of naked people, but also
graphically depicted acts of heterosexual and
homosexual intercourse (including penetration),
fellatio, cunnilingus, masturbation, bestiality, child
pornography, sadomasochism, bondage, rape, incest, and
so on. While some such material can be found in
sexually explicit videos and print media that are
readily available in hotels, video rental stores, and
newsstands, other sexually explicit material on the
Internet is arguably more extreme than material that is
easily available through non-Internet media.''
While acknowledging the additional risks arising from the
ease of access and anonymity on the Internet, the Thornburgh
Report was careful to conclude that:
``[t]here is no single or simple answer to
controlling the access of minors to inappropriate
material on the Web. To date, most of the efforts to
protect children from inappropriate sexually explicit
material on the Internet have focused on technology-
based tools such as filters and legal prohibitions or
regulation. But the committee believes that neither
technology nor policy can provide a complete--or even a
nearly complete--solution. While both technology and
public policy have important roles to play, social and
educational strategies to develop in minors an ethic of
responsible choice and the skills to effectuate these
choices and to cope with exposure are foundational to
protecting children from negative effects that may
result from exposure to inappropriate material or
experiences on the Internet. . .''.
According to a recent 2007 Pew Internet survey, 54 percent of
parents say that they have a filter installed on the computer
that their child uses at home, and 45 percent of parents say
that they have monitoring software installed on the computer
that the teen uses at home. Similar data was revealed in a 2007
Kaiser Family Foundation report which found that among parents
with children age 9 or older who use the Internet at home, 41
percent say they use parental controls to block access to
certain websites.
Protecting Children from Inappropriate Communication. In
addition to concerns arising from the availability of unsavory
content, the anonymity of the Internet and the willingness of
children to communicate and share information raise additional
concerns related to privacy, harassment or ``cyberbullying,''
and potential safety risks from online predators.
Much of the recent media coverage surrounding dangers faced
by children online has focused on the increasing popularity of
social networking sites like MySpace or Facebook. More basic
social networking sites provide an online location where a user
can create a profile and build a personal network that connects
him or her to other users. In the past five years, such sites
have rocketed from a niche activity into a phenomenon that
engages tens of millions of Internet users. The explosive
growth in the popularity of these sites has generated concerns
among some parents, school officials, and government leaders
about the potential risks posed when personal information is
made available in such a public setting.
These fears are heightened by data reflecting attitudes among
teens related to their willingness to post personal
information. According to one recent survey sponsored by Cox
Communications in partnership with NCMEC, a majority of teens
(58 percent) do not think posting photos or other personal
information on social networking sites is unsafe. According to
this same study, 64 percent post photos or videos of
themselves, while 58 percent post info about where they live,
and 8 percent have posted their cell phone number online.
In April 2007, the Pew Internet & American Life Project
released the results of a recent survey titled Teens, Privacy
and Online Social Networks that examined teenage use of social
networks and their understanding of the implications of sharing
their personal information online. According to that survey, 32
percent of online teenagers (and 43 percent of social-
networking teens) have been contacted online by complete
strangers, and 17 percent of online teens (31 percent of social
networking teens) have ``friends'' on their social network
profile who they have never personally met.
Summary of Provisions
S. 1965 focuses on a variety of measures designed to improve
the safety of children online. The bill would direct the
Federal Trade Commission to carry out a nationwide program to
increase public awareness and provide education promoting the
safe use of the Internet by children. It also would direct the
Assistant Secretary of Commerce for Communications and
Information to establish an Online Safety and Technology
working group to review industry efforts to promote online
safety for children. Further, S. 1965 would amend the
Communications Act of 1934 to require schools to educate minors
about appropriate online behavior and to impose a forfeiture
penalty on certain Internet service providers who violate
requirements to report online child pornography. Finally, the
bill would strengthen existing enforcement strategies by
tripling the maximum fines that may be levied on providers of
electronic communication services or remote computing services
who knowingly and willfully fail to report child pornography,
by requiring reporting of online child pornography to foreign
law enforcement agencies, and by authorizing the NCMEC to
provide elements of images relating to child pornography to
electronic communication service providers for the purpose of
stopping further transmission of such images and developing
anti-child pornography technologies.
Legislative History
The Protecting Children in the 21st Century Act (S. 1965) was
introduced by Senator Ted Stevens on August 2, 2007, and
referred to the Senate Committee on Commerce, Science, and
Transportation. The bill is cosponsored by 16 Senators
including Senators Inouye, Hutchinson, Nelson (FL), Pryor,
Rockefeller, Kerry, Klobuchar, Smith, Snowe, and Thune. On July
24, 2007, the Committee held a hearing on ``Protecting Children
on the Internet.'' On September 27, 2007, the Committee
considered the bill in an open Executive Session. Chairman
Inouye and Vice-Chairman Stevens offered an amendment making
minor technical changes. The amendment and bill were both
adopted by voice vote. The Committee, by voice vote, ordered
that S. 1965 be reported.
Estimated Costs
In accordance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate and section 403 of the
Congressional Budget Act of 1974, the Committee provides the
following cost estimate, prepared by the Congressional Budget
Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, October 18, 2007.
Hon. Daniel K. Inouye
Chairman, Committee on Commerce, Science, and Transportation,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 1965, the Protecting
Children in the 21st Century Act.
If you wish further details on this estimate, we will be
pleased to provide them.
The CBO staff contact is Susan Willie.
Sincerely,
Robert A. Sunshine
(For Peter R. Orszag, Director).
Enclosure.
S. 1965--Protecting Children in the 21st Century Act
Summary: S. 1965 would authorize the Federal Trade
Commission (FTC) to develop a program to promote safe use of
the Internet by children. The bill also would require the
National Telecommunications and Information Administration
(NTIA) to establish a working group to study and report to the
Congress on actions taken by the telecommunications industry to
promote a safe environment on the Internet for children.
Finally, the bill would increase certain penalties on Internet
service providers (ISPs) that fail to report child pornography
to the appropriate federal authorities.
CBO estimates that implementing S. 1965 would increase
spending subject to appropriation by $4 million in 2008 and $10
million over the 2008-2012 period, assuming that the authorized
funds are appropriated. CBO expects that enacting the bill
would not have a significant effect on collections from
penalties, which are recorded in the budget as revenues, and
would not affect direct spending.
S. 1965 contains no intergovernmental mandates as defined
in the Unfunded Mandates Reform Act (UMRA) and would impose no
costs on state, local, or tribal governments.
S. 1965 would impose a private-sector mandate as defined in
UMRA on certain ISPs by requiring them to provide additional
information when reporting suspected violations of child
pornography laws to the National Center for Missing and
Exploited Children (NCMEC). CBO expects that the cost to those
providers of complying with this mandate would not be
significant and would not exceed the annual threshold
established by UMRA for private-sector mandates ($131 million
in 2007, adjusted annually for inflation).
Estimated cost to the federal government: The estimated
budgetary impact of S. 1965 is shown in the following table.
The costs of this legislation fall within budget functions 370
(commerce and housing credit) and 750 (administration of
justice).
------------------------------------------------------------------------
By fiscal year, in millions of dollars--
-------------------------------------------
2008 2009 2010 2011 2012
------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION
Authorization Level......... 5 5 0 0 0
Estimated Outlays........... 4 5 1 0 0
------------------------------------------------------------------------
Basis of estimate: Section 103 would authorize the
appropriation of $5 million in each of fiscal years 2008 and
2009 for the FTC to develop and carry out a campaign to promote
ways of protecting children who use the Internet. The bill also
would require the FTC to submit a report to the Congress
detailing the activities undertaken in the campaign. Based on
information from the FTC, CBO estimates that implementing this
provision of S. 1965 would cost $4 million in 2008 and $10
million over the 2008-2012 period.
Section 105 would require the NTIA to establish a working
group to evaluate efforts of the telecommunications industry to
create a safe environment for children using the Internet.
Based on information from the NTIA, CBO estimates that
implementing this provision would not have a significant effect
on spending subject to appropriation.
Other provisions of the bill would increase forfeiture and
civil penalties for ISPs that fail to report certain
information about child pornographers or the existence of child
pornography on their sites. Thus, the federal government might
collect additional forfeiture and civil fines if the
legislation is enacted (collections of such fines are recorded
in the budget as revenues). CBO estimates that any additional
revenues would not be significant because of the relatively
small number of cases likely to be affected.
Estimated impact on state, local, and tribal governments:
S. 1965 contains no intergovernmental mandates as defined in
UMRA and would impose no costs on state, local, or tribal
governments.
Estimated impact on the private sector: S. 1965 would
expand an existing reporting requirement on certain ISPs by
requiring them to provide additional information when reporting
suspected violations of child pornography to the NCMEC. ISPs
are currently required to report any incident of child
pornography to the NCMEC. Current law, however, does not
specify what information should be included in such reports.
The bill would require ISPs to include:
User ID or other online identifier of the
individual who appears to be violating the law;
Time and date on which the incident occurred or
was discovered;
Geographic location of the individuals involved;
Images of the apparent child pornography relating
to the incident; and
Contact information for the ISP reporting the
incident.
Although such information is already requested in NCMEC's
online report forms, compliance is voluntary.
CBO expects the additional cost of complying with the
mandate would be minimal. The information required by the bill
is usually captured and stored by ISP systems, and some ISPs
already comply with the mandate when filing reports with the
NCMEC. Further, the bill would require ISPs to provide the
requested information only to the extent that such information
is available. Consequently, CBO estimates that the incremental
cost to ISPs of complying with this mandate would not exceed
the annual threshold established by UMRA for private-sector
mandates ($131 million in 2007, adjusted annually for
inflation).
Estimate prepared by: Federal Costs: Susan Willie; Impact
on State, Local, and Tribal Governments: Elizabeth Cove; Impact
on the Private Sector: MarDestinee Perez.
Estimate approved by: Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
Regulatory Impact Statement
In accordance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee provides the
following evaluation of the regulatory impact of the
legislation, as reported:
NUMBER OF PERSONS COVERED
S. 1965 is intended to enhance current efforts to combat
child pornography, to educate children about inappropriate
online communications, and to assist parents in protecting
their children from inappropriate material that is available
via the Internet. The bill affects a number of parties involved
in educating children about safe online behavior and in
providing online services over the Internet.
ECONOMIC IMPACT
S. 1965 would not have an adverse economic impact on the
Nation's economy.
PRIVACY
The reported bill would have no significant impact on the
personal privacy of United States citizens.
PAPERWORK
The reported bill should not significantly increase paperwork
requirements for individuals and businesses.
Section-by-Section Analysis
Section 1. Short title
Section 1 would establish the Act as the Protecting Children
in the 21st Century Act.
Section 101. Internet safety
Section 101 would define the scope of Internet safety issues
as addressed in the bill.
Section 102. Public Awareness Campaign
Section 102 would direct the Federal Trade Commission to
carry out a national program to increase public awareness and
provide education promoting the safe use of the Internet by
children.
Section 103. Annual reports
Section 103 would require the Federal Trade Commission to
submit an annual report to Congress on the activities of the
public awareness campaign.
Section 104. Authorization of Appropriations
Section 104 would authorize $5,000,000 for each of fiscal
years 2008 and 2009 for the public awareness campaign.
Section 105. Online Safety and Technology Working Group
Section 105 would direct the Assistant Secretary of Commerce
for Communications and Information to establish an Online
Safety and Technology working group comprised of
representatives from the business community, public interest
groups, and other appropriate groups and Federal agencies to
review industry efforts to promote online safety for children.
The working group would report its findings to the Senate
Committee on Commerce, Science, and Transportation within one
year of being convened.
Section 106. Promoting online safety in schools
Section 106 would amend the Communications Act of 1934 to
require schools to educate minors about appropriate online
behavior, including interacting with other individuals on
social networking websites and in chat rooms and cyberbullying
awareness and response.
Section 107. Definitions
Section 107 would define the term ``Commission'' as the
Federal Trade Commission and the term ``Internet'' as
collectively the myriad of computer and telecommunications
facilities, including equipment and operating software, which
comprise the inter-connected world-wide network of networks
that employ the Transmission Control Protocol/Internet
Protocol, or any predecessor successor protocols to such
protocol, to communicate information of all kinds by wire or
radio.
Section 201. Child pornography prevention; forfeitures related to child
pornography
Section 201 would amend the Communications Act of 1934 to
provide a forfeiture penalty for carriers who violate
requirements to report online child pornography.
Section 202. Additional child pornography amendmentsr
Section 202 (a) would amend the Crime Control Act of 1990 to
triple the fines on providers of electronic communication
services or remote computing services who knowingly and
willfully fail to report child pornography and (b) would amend
the Victims of Child Abuse Act of 1990 to require more specific
reporting of online child pornography to foreign law
enforcement agencies and authorize the NCMEC to provide
elements of images relating to child pornography to electronic
communication service providers for the purpose of stopping
further transmission of such images and developing anti-child
pornography technologies.
Changes in Existing Law
In compliance with paragraph 12 of rule XXVI of the Standing
Rules of the Senate, changes in existing law made by the bill,
as reported, are shown as follows (existing law proposed to be
omitted is enclosed in black brackets, new material is printed
in italic, existing law in which no change is proposed is shown
in roman):
COMMUNICATIONS ACT OF 1934
SEC. 254. UNIVERSAL SERVICE.
[47 U.S.C. 254]
(a) Procedures to review universal service requirements.--
(1) Federal-State Joint Board on Universal Service.--
Within one month after the date of enactment of the
Telecommunications Act of 1996, the Commission shall
institute and refer to a Federal-State Joint Board
under section 410(c) a proceeding to recommend changes
to any of its regulations in order to implement
sections 214(e) and this section, including the
definition of the services that are supported by
Federal universal service support mechanisms and a
specific timetable for completion of such
recommendations. In addition to the members of the
Joint Board required under section 410(c), one member
of such Joint Board shall be a State-appointed utility
consumer advocate nominated by a national organization
of State utility consumer advocates. The Joint Board
shall, after notice and opportunity for public comment,
make its recommendations to the Commission 9 months
after the date of enactment of the Telecommunications
Act of 1996.
(2) Commission action.--The Commission shall initiate
a single proceeding to implement the recommendations
from the Joint Board required by paragraph (1) and
shall complete such proceeding within 15 months after
the date of enactment of the Telecommunications Act of
1996. The rules established by such proceeding shall
include a definition of the services that are supported
by Federal universal service support mechanisms and a
specific timetable for implementation. Thereafter, the
Commission shall complete any proceeding to implement
subsequent recommendations from any Joint Board on
universal service within one year after receiving such
recommendations.
(b) Universal service principles.--The Joint Board and the
Commission shall base policies for the preservation and
advancement of universal service on the following principles:
(1) Quality and rates.--Quality services should be
available at just, reasonable, and affordable rates.
(2) Access to advanced services.--Access to advanced
telecommunications and information services should be
provided in all regions of the Nation.
(3) Access in rural and high cost areas.--Consumers
in all regions of the Nation, including low-income
consumers and those in rural, insular, and high cost
areas, should have access to telecommunications and
information services, including interexchange services
and advanced telecommunications and information
services, that are reasonably comparable to those
services provided in urban areas and that are available
at rates that are reasonably comparable to rates
charged for similar services in urban areas.
(4) Equitable and nondiscriminatory contributions.--
All providers of telecommunications services should
make an equitable and nondiscriminatory contribution to
the preservation and advancement of universal service.
(5) Specific and predictable support mechanisms.--
There should be specific, predictable and sufficient
Federal and State mechanisms to preserve and advance
universal service.
(6) Access to advanced telecommunications services
for schools, health care, and libraries.--Elementary
and secondary schools and classrooms, health care
providers, and libraries should have access to advanced
telecommunications services as described in subsection
(h).
(7) Additional principles.--Such other principles as
the Joint Board and the Commission determine are
necessary and appropriate for the protection of the
public interest, convenience, and necessity and are
consistent with this Act.
(c) Definition.--
(1) In general.--Universal service is an evolving
level of telecommunications services that the
Commission shall establish periodically under this
section, taking into account advances in
telecommunications and information technologies and
services. The Joint Board in recommending, and the
Commission in establishing, the definition of the
services that are supported by Federal universal
service support mechanisms shall consider the extent to
which such telecommunications services--
(A) are essential to education, public
health, or public safety;
(B) have, through the operation of market
choices by customers, been subscribed to by a
substantial majority of residential customers;
(C) are being deployed in public
telecommunications networks by
telecommunications carriers; and
(D) are consistent with the public interest,
convenience, and necessity.
(2) Alterations and modifications.--The Joint Board
may, from time to time, recommend to the Commission
modifications in the definition of the services that
are supported by Federal universal service support
mechanisms.
(3) Special services.--In addition to the services
included in the definition of universal service under
paragraph (1), the Commission may designate additional
services for such support mechanisms for schools,
libraries, and health care providers for the purposes
of subsection (h).
(d) Telecommunications carrier contribution.--Every
telecommunications carrier that provides interstate
telecommunications services shall contribute, on an equitable
and nondiscriminatory basis, to the specific, predictable, and
sufficient mechanisms established by the Commission to preserve
and advance universal service. The Commission may exempt a
carrier or class of carriers from this requirement if the
carrier's telecommunications activities are limited to such an
extent that the level of such carrier's contribution to the
preservation and advancement of universal service would be de
minimis. Any other provider of interstate telecommunications
may be required to contribute to the preservation and
advancement of universal service if the public interest so
requires.
(e) Universal service support.--After the date on which
Commission regulations implementing this section take effect,
only an eligible telecommunications carrier designated under
section 214(e) shall be eligible to receive specific Federal
universal service support. A carrier that receives such support
shall use that support only for the provision, maintenance, and
upgrading of facilities and services for which the support is
intended. Any such support should be explicit and sufficient to
achieve the purposes of this section.
(f) State authority.--A State may adopt regulations not
inconsistent with the Commission's rules to preserve and
advance universal service. Every telecommunications carrier
that provides intrastate telecommunications services shall
contribute, on an equitable and nondiscriminatory basis, in a
manner determined by the State to the preservation and
advancement of universal service in that State. A State may
adopt regulations to provide for additional definitions and
standards to preserve and advance universal service within that
State only to the extent that such regulations adopt additional
specific, predictable, and sufficient mechanisms to support
such definitions or standards that do not rely on or burden
Federal universal service support mechanisms.
(g) Interexchange and interstate services.--Within 6 months
after the date of enactment of the Telecommunications Act of
1996, the Commission shall adopt rules to require that the
rates charged by providers of interexchange telecommunications
services to subscribers in rural and high cost areas shall be
no higher than the rates charged by each such provider to its
subscribers in urban areas. Such rules shall also require that
a provider of interstate interexchange telecommunications
services shall provide such services to its subscribers in each
State at rates no higher than the rates charged to its
subscribers in any other State.
(h) Telecommunications services for certain providers.--
(1) In general.--
(A) Health care providers for rural areas.--A
telecommunications carrier shall, upon
receiving a bona fide request, provide
telecommunications services which are necessary
for the provision of health care services in a
State, including instruction relating to such
services, to any public or nonprofit health
care provider that serves persons who reside in
rural areas in that State at rates that are
reasonably comparable to rates charged for
similar services in urban areas in that State.
A telecommunications carrier providing service
under this paragraph shall be entitled to have
an amount equal to the difference, if any,
between the rates for services provided to
health care providers for rural areas in a
State and the rates for similar services
provided to other customers in comparable rural
areas in that State treated as a service
obligation as a part of its obligation to
participate in the mechanisms to preserve and
advance universal service.
(B) Educational providers and libraries.--All
telecommunications carriers serving a
geographic area shall, upon a bona fide request
for any of its services that are within the
definition of universal service under
subsection (c)(3), provide such services to
elementary schools, secondary schools, and
libraries for educational purposes at rates
less than the amounts charged for similar
services to other parties. The discount shall
be an amount that the Commission, with respect
to interstate services, and the States, with
respect to intrastate services, determine is
appropriate and necessary to ensure affordable
access to and use of such services by such
entities. A telecommunications carrier
providing service under this paragraph shall--
(i) have an amount equal to the
amount of the discount treated as an
offset to its obligation to contribute
to the mechanisms to preserve and
advance universal service, or
(ii) notwithstanding the provisions
of subsection (e) of this section,
receive reimbursement utilizing the
support mechanisms to preserve and
advance universal service.
(2) Advanced services.--The Commission shall
establish competitively neutral rules--
(A) to enhance, to the extent technically
feasible and economically reasonable, access to
advanced telecommunications and information
services for all public and nonprofit
elementary and secondary school classrooms,
health care providers, and libraries; and
(B) to define the circumstances under which a
telecommunications carrier may be required to
connect its network to such public
institutional telecommunications users.
(3) Terms and conditions.--Telecommunications
services and network capacity provided to a public
institutional telecommunications user under this
subsection may not be sold, resold, or otherwise
transferred by such user in consideration for money or
any other thing of value.
(4) Eligibility of users.--No entity listed in this
subsection shall be entitled to preferential rates or
treatment as required by this subsection, if such
entity operates as a for-profit business, is a school
described in paragraph (7)(A) with an endowment of more
than $50,000,000, or is a library or library consortium
not eligible for assistance from a State library
administrative agency under the Library Services and
Technology Act.
(5) Requirements for certain schools with computers
having Internet access.--
(A) Internet safety.--
(i) In general.-- Except as provided
in clause (ii), an elementary or
secondary school having computers with
Internet access may not receive
services at discount rates under
paragraph (1)(B) unless the school,
school board, local educational agency,
or other authority with responsibility
for administration of the school--
(I) submits to the Commission
the certifications described in
subparagraphs (B) and (C);
(II) submits to the
Commission a certification that
an Internet safety policy has
been adopted and implemented
for the school under subsection
(l); and
(III) ensures the use of such
computers in accordance with
the certifications.
(ii) Applicability.-- The prohibition
in clause (i) shall not apply with
respect to a school that receives
services at discount rates under
paragraph (1)(B) only for purposes
other than the provision of Internet
access, Internet service, or internal
connections.
(iii) Public notice; hearing.-- An
elementary or secondary school
described in clause (i), or the school
board, local educational agency, or
other authority with responsibility for
administration of the school, shall
provide reasonable public notice and
hold at least 1 public hearing or
meeting to address the proposed
Internet safety policy. In the case of
an elementary or secondary school other
than an elementary or secondary school
as defined in section 14101 of the
Elementary and Secondary Education Act
of 1965 (20 U.S.C. 8801), the notice
and hearing required by this clause may
be limited to those members of the
public with a relationship to the
school.
(B) Certification with respect to minors.-- A
certification under this subparagraph is a
certification that the school, school board,
local educational agency, or other authority
with responsibility for administration of the
school--
(i) is enforcing a policy of Internet
safety for minors that includes
monitoring the online activities of
minors and the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene;
(II) child pornography; or
(III) harmful to minors;
[and]
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers by
[minors.] minors; and
(iii) as part of its Internet safety
policy is educating minors about
appropriate online behavior, including
interacting with other individuals on
social networking websites and in chat
rooms and cyberbullying awareness and
response.
(C) Certification with respect to adults.--A
certification under this paragraph is a
certification that the school, school board,
local educational agency, or other authority
with responsibility for administration of the
school--
(i) is enforcing a policy of Internet
safety that includes the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene; or
(II) child pornography; and
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers.
(D) Disabling during adult use.--An
administrator, supervisor, or other person
authorized by the certifying authority under
subparagraph (A)(i) may disable the technology
protection measure concerned, during use by an
adult, to enable access for bona fide research
or other lawful purpose.
(E) Timing of implementation.--
(i) In general.--Subject to clause
(ii) in the case of any school covered
by this paragraph as of the effective
date of this paragraph under section
1721(h) of the Children's Internet
Protection Act, the certification under
subparagraphs (B) and (C) shall be
made--
(I) with respect to the first
program funding year under this
subsection following such
effective date, not later than
120 days after the beginning of
such program funding year; and
(II) with respect to any
subsequent program funding
year, as part of the
application process for such
program funding year.
(ii) Process.--
(I) Schools with internet
safety policy and technology
protection measures in place.--
A school covered by clause (i)
that has in place an Internet
safety policy and technology
protection measures meeting the
requirements necessary for
certification under
subparagraphs (B) and (C) shall
certify its compliance with
subparagraphs (B) and (C)
during each annual program
application cycle under this
subsection, except that with
respect to the first program
funding year after the
effective date of this
paragraph under section 1721(h)
of the Children's Internet
Protection Act, the
certifications shall be made
not later than 120 days after
the beginning of such first
program funding year.
(II) Schools without internet
safety policy and technology
protection measures in place.--
A school covered by clause (i)
that does not have in place an
Internet safety policy and
technology protection measures
meeting the requirements
necessary for certification
under subparagraphs (B) and
(C)--
(aa) for the first
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is undertaking such
actions, including any
necessary procurement
procedures, to put in
place an Internet
safety policy and
technology protection
measures meeting the
requirements necessary
for certification under
subparagraphs (B) and
(C); and
(bb) for the second
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is in compliance with
subparagraphs (B) and
(C).
Any school that is unable to
certify compliance with such
requirements in such second
program year shall be
ineligible for services at
discount rates or funding in
lieu of services at such rates
under this subsection for such
second year and all subsequent
program years under this
subsection, until such time as
such school comes into
compliance with this paragraph.
(III) Waivers.--Any school
subject to subclause (II) that
cannot come into compliance
with subparagraphs (B) and (C)
in such second year program may
seek a waiver of subclause
(II)(bb) if State or local
procurement rules or
regulations or competitive
bidding requirements prevent
the making of the certification
otherwise required by such
subclause. A school, school
board, local educational
agency, or other authority with
responsibility for
administration of the school
shall notify the Commission of
the applicability of such
subclause to the school. Such
notice shall certify that the
school in question will be
brought into compliance before
the start of the third program
year after the effective date
of this subsection in which the
school is applying for funds
under this subsection.
(F) Noncompliance.--
(i) Failure to submit
certification.--Any school that
knowingly fails to comply with the
application guidelines regarding the
annual submission of certification
required by this paragraph shall not be
eligible for services at discount rates
or funding in lieu of services at such
rates under this subsection.
(ii) Failure to comply with
certification.--Any school that
knowingly fails to ensure the use of
its computers in accordance with a
certification under subparagraphs (B)
and (C) shall reimburse any funds and
discounts received under this
subsection for the period covered by
such certification.
(iii) Remedy of noncompliance.--
(I) Failure to submit.--A
school that has failed to
submit a certification under
clause (i) may remedy the
failure by submitting the
certification to which the
failure relates. Upon submittal
of such certification, the
school shall be eligible for
services at discount rates
under this subsection.
(II) Failure to comply.--A
school that has failed to
comply with a certification as
described in clause (ii) may
remedy the failure by ensuring
the use of its computers in
accordance with such
certification. Upon submittal
to the Commission of a
certification or other
appropriate evidence of such
remedy, the school shall be
eligible for services at
discount rates under this
subsection.
(6) Requirements for certain libraries with computers
having Internet access.--
(A) Internet safety.--
(i) In general.--Except as provided
in clause (ii), a library having one or
more computers with Internet access may
not receive services at discount rates
under paragraph (1)(B) unless the
library--
(I) submits to the Commission
the certifications described in
subparagraphs (B) and (C); and
(II) submits to the
Commission a certification that
an Internet safety policy has
been adopted and implemented
for the library under
subsection (l); and
(III) ensures the use of such
computers in accordance with
the certifications.
(ii) Applicability.--The prohibition
in clause (i) shall not apply with
respect to a library that receives
services at discount rates under
paragraph (1)(B) only for purposes
other than the provision of Internet
access, Internet service, or internal
connections.
(iii) Public notice; hearing.--A
library described in clause (i) shall
provide reasonable public notice and
hold at least 1 public hearing or
meeting to address the proposed
Internet safety policy.
(B) Certification with respect to minors.--A
certification under this subparagraph is a
certification that the library--
(i) is enforcing a policy of Internet
safety that includes the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene;
(II) child pornography; or
(III) harmful to minors; and
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers by
minors.
(C) Certification with respect to adults.--A
certification under this paragraph is a
certification that the library--
(i) is enforcing a policy of Internet
safety that includes the operation of a
technology protection measure with
respect to any of its computers with
Internet access that protects against
access through such computers to visual
depictions that are--
(I) obscene; or
(II) child pornography; and
(ii) is enforcing the operation of
such technology protection measure
during any use of such computers.
(D) Disabling during adult use.--An
administrator, supervisor, or other person
authorized by the certifying authority under
subparagraph (A)(i) may disable the technology
protection measure concerned, during use by an
adult, to enable access for bona fide research
or other lawful purpose.
(E) Timing of implementation.--
(i) In general.--Subject to clause
(ii) in the case of any library covered
by this paragraph as of the effective
date of this paragraph under section
1721(h) of the Children's Internet
Protection Act [note to this section],
the certification under subparagraphs
(B) and (C) shall be made--
(I) with respect to the first
program funding year under this
subsection following such
effective date, not later than
120 days after the beginning of
such program funding year; and
(II) with respect to any
subsequent program funding
year, as part of the
application process for such
program funding year.
(ii) Process.--
(I) Libraries with internet
safety policy and technology
protection measures in place.--
A library covered by clause (i)
that has in place an Internet
safety policy and technology
protection measures meeting the
requirements necessary for
certification under
subparagraphs (B) and (C) shall
certify its compliance with
subparagraphs (B) and (C)
during each annual program
application cycle under this
subsection, except that with
respect to the first program
funding year after the
effective date of this
paragraph under section 1721(h)
of the Children's Internet
Protection Act, the
certifications shall be made
not later than 120 days after
the beginning of such first
program funding year.
(II) Libraries without
internet safety policy and
technology protection measures
in place.--A library covered by
clause (i) that does not have
in place an Internet safety
policy and technology
protection measures meeting the
requirements necessary for
certification under
subparagraphs (B) and (C)--
(aa) for the first
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is undertaking such
actions, including any
necessary procurement
procedures, to put in
place an Internet
safety policy and
technology protection
measures meeting the
requirements necessary
for certification under
subparagraphs (B) and
(C); and
(bb) for the second
program year after the
effective date of this
subsection in which it
is applying for funds
under this subsection,
shall certify that it
is in compliance with
subparagraphs (B) and
(C).
Any library that is unable to
certify compliance with such
requirements in such second
program year shall be
ineligible for services at
discount rates or funding in
lieu of services at such rates
under this subsection for such
second year and all subsequent
program years under this
subsection, until such time as
such library comes into
compliance with this paragraph.
(III) Waivers.--Any library
subject to subclause (II) that
cannot come into compliance
with subparagraphs (B) and (C)
in such second year may seek a
waiver of subclause (II)(bb) if
State or local procurement
rules or regulations or
competitive bidding
requirements prevent the making
of the certification otherwise
required by such subclause. A
library, library board, or
other authority with
responsibility for
administration of the library
shall notify the Commission of
the applicability of such
subclause to the library. Such
notice shall certify that the
library in question will be
brought into compliance before
the start of the third program
year after the effective date
of this subsection in which the
library is applying for funds
under this subsection.
(F) Noncompliance.--
(i) Failure to submit
certification.--Any library that
knowingly fails to comply with the
application guidelines regarding the
annual submission of certification
required by this paragraph shall not be
eligible for services at discount rates
or funding in lieu of services at such
rates under this subsection.
(ii) Failure to comply with
certification.--Any library that
knowingly fails to ensure the use of
its computers in accordance with a
certification under subparagraphs (B)
and (C) shall reimburse all funds and
discounts received under this
subsection for the period covered by
such certification.
(iii) Remedy of noncompliance.--
(I) Failure to submit.--A
library that has failed to
submit a certification under
clause (i) may remedy the
failure by submitting the
certification to which the
failure relates. Upon submittal
of such certification, the
library shall be eligible for
services at discount rates
under this subsection.
(II) Failure to comply.--A
library that has failed to
comply with a certification as
described in clause (ii) may
remedy the failure by ensuring
the use of its computers in
accordance with such
certification. Upon submittal
to the Commission of a
certification or other
appropriate evidence of such
remedy, the library shall be
eligible for services at
discount rates under this
subsection.
(7) Definitions.--For purposes of this subsection:
(A) Elementary and secondary schools.--The
term ``elementary and secondary schools'' means
elementary schools and secondary schools, as
defined in section 9101 of the Elementary and
Secondary Education Act of 1965.
(B) Health care provider.--The term ``health
care provider'' means--
(i) post-secondary educational
institutions offering health care
instruction, teaching hospitals, and
medical schools;
(ii) community health centers or
health centers providing health care to
migrants;
(iii) local health departments or
agencies;
(iv) community mental health centers;
(v) not-for-profit hospitals;
(vi) rural health clinics; and
(vii) consortia of health care
providers consisting of one or more
entities described in clauses (i)
through (vi).
(C) Public institutional telecommunications
user.--The term ``public institutional
telecommunications user'' means an elementary
or secondary school, a library, or a health
care provider as those terms are defined in
this paragraph.
(D) Minor.--The term ``minor'' means any
individual who has not attained the age of 17
years.
(E) Obscene.--The term ``obscene'' has the
meaning given such term in section 1460 of
title 18, United States Code.
(F) Child pornography.--The term ``child
pornography'' has the meaning given such term
in section 2256 of title 18, United States
Code.
(G) Harmful to minors.--The term ``harmful to
minors'' means any picture, image, graphic
image file, or other visual depiction that--
(i) taken as a whole and with respect
to minors, appeals to a prurient
interest in nudity, sex, or excretion;
(ii) depicts, describes, or
represents, in a patently offensive way
with respect to what is suitable for
minors, an actual or simulated sexual
act or sexual contact, actual or
simulated normal or perverted sexual
acts, or a lewd exhibition of the
genitals; and
(iii) taken as a whole, lacks serious
literary, artistic, political, or
scientific value as to minors.
(H) Sexual act; sexual contact.--The terms
``sexual act'' and ``sexual contact'' have the
meanings given such terms in section 2246 of
title 18, United States Code.
(I) Technology protection measure.--The term
``technology protection measure'' means a
specific technology that blocks or filters
Internet access to the material covered by a
certification under paragraph (5) or (6) to
which such certification relates.
(i) Consumer protection.--The Commission and the States
should ensure that universal service is available at rates that
are just, reasonable, and affordable.
(j) Lifeline assistance.--Nothing in this section shall
affect the collection, distribution, or administration of the
Lifeline Assistance Program provided for by the Commission
under regulations set forth in section 69.117 of title 47, Code
of Federal Regulations, and other related sections of such
title.
(k) Subsidy of competitive services prohibited.--A
telecommunications carrier may not use services that are not
competitive to subsidize services that are subject to
competition. The Commission, with respect to interstate
services, and the States, with respect to intrastate services,
shall establish any necessary cost allocation rules, accounting
safeguards, and guidelines to ensure that services included in
the definition of universal service bear no more than a
reasonable share of the joint and common costs of facilities
used to provide those services.
(l) Internet safety policy requirement for schools and
libraries.--
(1) In general.--In carrying out its responsibilities
under subsection (h), each school or library to which
subsection (h) applies shall--
(A) adopt and implement an Internet safety
policy that addresses--
(i) access by minors to inappropriate
matter on the Internet and World Wide
Web;
(ii) the safety and security of
minors when using electronic mail, chat
rooms, and other forms of direct
electronic communications;
(iii) unauthorized access, including
so-called ``hacking'', and other
unlawful activities by minors online;
(iv) unauthorized disclosure, use,
and dissemination of personal
identification information regarding
minors; and
(v) measures designed to restrict
minors' access to materials harmful to
minors; and
(B) provide reasonable public notice and hold
at least one public hearing or meeting to
address the proposed Internet safety policy.
(2) Local determination of content.--A determination
regarding what matter is inappropriate for minors shall
be made by the school board, local educational agency,
library, or other authority responsible for making the
determination. No agency or instrumentality of the
United States Government may--
(A) establish criteria for making such
determination;
(B) review the determination made by the
certifying school, school board, local
educational agency, library, or other
authority; or
(C) consider the criteria employed by the
certifying school, school board, local
educational agency, library, or other authority
in the administration of subsection (h)(1)(B).
(3) Availability for review.--Each Internet safety
policy adopted under this subsection shall be made
available to the Commission, upon request of the
Commission, by the school, school board, local
educational agency, library, or other authority
responsible for adopting such Internet safety policy
for purposes of the review of such Internet safety
policy by the Commission.
(4) Effective date.--This subsection shall apply with
respect to schools and libraries on or after the date
that is 120 days after the date of the enactment of the
Children's Internet Protection Act.
* * * * * * *
SEC. 503. FORFEITURES
[47 U.S.C. 503]
(a) Rebates and Offsets.--Any person who shall deliver
messages for interstate or foreign transmission to any carrier,
or for whom as sender or receiver, any such carrier shall
transmit any interstate or foreign wire or radio communication,
who shall knowingly by employee, agent, officer, or otherwise,
directly or indirectly, by or through any means or device
whatsoever, receive or accept from such common carrier any sum
of money or any other valuable consideration as a rebate or
offset against the regular charges for transmission of such
messages as fixed by the schedules of charges provided for in
this Act, shall in addition to any other penalty provided by
this Act forfeit to the United States a sum of money three
times the value of any other consideration so received or
accepted, to be ascertained by the trial court; and in the
trial of said action all such rebates or other considerations
so received or accepted for a period of six years prior to the
commencement of the action, may be included therein, and the
amount recovered shall be three times the total amount of
money, or three times the total value of such consideration, so
received or accepted, or both, as the case may be.
(b) Activities Constituting Violations Authorizing Imposition
of Forfeiture Penalty; Amount of Penalty; Procedures
Applicable; Persons Subject to Penalty; Liability Exemption
Period.--
(1) Any person who is determined by the Commission,
in accordance with paragraph (3) or (4) of this
subsection, to have--
(A) willfully or repeatedly failed to comply
substantially with the terms and conditions of
any license, permit, certificate, or other
instrument or authorization issued by the
Commission;
(B) willfully or repeatedly failed to comply
with any of the provisions of this Act or of
any rule, regulation, or order issued by the
Commission under this Act or under any treaty,
convention, or other agreement to which the
United States is a party and which is binding
upon the United States;
(C) violated any provision of section 317(c)
or 508(a) of this Act; [or]
(D) violated any provision of section 1304,
1343, [or 1464] 1464, or 2252 of title 18,
United States Code; or
(E) violated any provision of section 227 of
the Victims of Child Abuse Act of 1990 (42
U.S.C. 13032);
shall be liable to the United States for a forfeiture
penalty. A forfeiture penalty under this subsection
shall be in addition to any other penalty provided for
by this Act; except that this subsection shall not
apply to any conduct which is subject to forfeiture
under title II, part II or III of title III, or section
506 of this Act.
(2)(A) If the violator is (i) a broadcast station
licensee or permittee, (ii) a cable television
operator, or (iii) an applicant for any broadcast or
cable television operator license, permit, certificate,
or other instrument or authorization issued by the
Commission, the amount of any forfeiture penalty
determined under this section shall not exceed $25,000
for each violation or each day of a continuing
violation, except that the amount assessed for any
continuing violation shall not exceed a total of
$250,000 for any single act or failure to act described
in paragraph (1) of this subsection.
(B) If the violator is a common carrier subject to
the provisions of this Act or an applicant for any
common carrier license, permit, certificate, or other
instrument of authorization issued by the Commission,
the amount of any forfeiture penalty determined under
this subsection shall not exceed $100,000 for each
violation or each day of a continuing violation, except
that the amount assessed for any continuing violation
shall not exceed a total of $1,000,000 for any single
act or failure to act described in paragraph (1) of
this subsection.
(C) Notwithstanding subparagraph (A), if the
violator is--
(i) (I) a broadcast station licensee
or permittee; or
(II) an applicant for any broadcast
license, permit, certificate, or other
instrument or authorization issued by
the Commission; and
(ii) determined by the Commission
under paragraph (1) to have broadcast
obscene, indecent, or profane language,
the amount of any forfeiture penalty
determined under this subsection shall
not exceed $325,000 for each violation
or each day of a continuing violation,
except that the amount assessed for any
continuing violation shall not exceed a
total of $3,000,000 for any single act
or failure to act.
(D) In any case not covered in subparagraph
(A), (B), or (C), the amount of any forfeiture
penalty determined under this subsection shall
not exceed $10,000 for each violation or each
day of a continuing violation, except that the
amount assessed for any continuing violation
shall not exceed a total of $75,000 for any
single act or failure to act described in
paragraph (1) of this subsection.
(E) The amount of such forfeiture penalty
shall be assessed by the Commission, or its
designee, by written notice. In determining the
amount of such a forfeiture penalty, the
Commission or its designee shall take into
account the nature, circumstances, extent, and
gravity of the violation and, with respect to
the violator, the degree of culpability, any
history of prior offenses, ability to pay, and
such other matters as justice may require.
(3)(A) At the discretion of the Commission, a
forfeiture penalty may be determined against a person
under this subsection after notice and an opportunity
for a hearing before the Commission or an
administrative law judge thereof in accordance with
section 554 of title 5, United States Code. Any person
against whom a forfeiture penalty is determined under
this paragraph may obtain review thereof pursuant to
section 402(a).
(B) If any person fails to pay an assessment of a
forfeiture penalty determined under subparagraph (A) of
this paragraph, after it has become a final and
unappealable order or after the appropriate court has
entered final judgment in favor of the Commission, the
Commission shall refer the matter to the Attorney
General of the United States, who shall recover the
amount assessed in any appropriate district court of
the United States. In such action, the validity and
appropriateness of the final order imposing the
forfeiture penalty shall not be subject to review.
(4) Except as provided in paragraph (3) of this
subsection, no forfeiture penalty shall be imposed
under this subsection against any person unless and
until--
(A) the Commission issues a notice of
apparent liability, in writing, with respect to
such person;
(B) such notice has been received by such
person, or until the Commission has sent such
notice to the last known address of such
person, by registered or certified mail; and
(C) such person is granted an opportunity to
show, in writing, within such reasonable period
of time as the Commission prescribes by rule or
regulation, why no such forfeiture penalty
should be imposed.
Such a notice shall (i) identify each specific
provision, term, and condition of any Act, rule,
regulation, order, treaty, convention, or other
agreement, license, permit, certificate, instrument, or
authorization which such person apparently violated or
with which such person apparently failed to comply;
(ii) set forth the nature of the act or omission
charged against such person and the facts upon which
such charge is based; and (iii) state the date on which
such conduct occurred. Any forfeiture penalty
determined under this paragraph shall be recoverable
pursuant to section 504(a) of this Act.
(5) No forfeiture liability shall be determined under
this subsection against any person, if such person does
not hold a license, permit, certificate, or other
authorization issued by the Commission, and if such
person is not an applicant for a license, permit,
certificate, or other authorization issued by the
Commission, unless, prior to the notice required by
paragraph (3) of this subsection or the notice of
apparent liability required by paragraph (4) of this
subsection, such person (A) is sent a citation of the
violation charged; (B) is given a reasonable
opportunity for a personal interview with an official
of the Commission, at the field office of the
Commission which is nearest to such person's place of
residence; and (C) subsequently engages in conduct of
the type described in such citation. The provisions of
this paragraph shall not apply, however, if the person
involved is engaging in activities for which a license,
permit, certificate, or other authorization is
required, or is a cable television system operator, if
the person involved is transmitting on frequencies
assigned for use in a service in which individual
station operation is authorized by rule pursuant to
section 307(e), or in the case of violations of section
303(q), if the person involved is a nonlicensee tower
owner who has previously received notice of the
obligations imposed by section 303(q) from the
Commission or the permittee or licensee who uses that
tower. Whenever the requirements of this paragraph are
satisfied with respect to a particular person, such
person shall not be entitled to receive any additional
citation of the violation charged, with respect to any
conduct of the type described in the citation sent
under this paragraph.
(6) No forfeiture penalty shall be determined or
imposed against any person under this subsection if--
(A) such person holds a broadcast station
license issued under title III of this Act and
if the violation charged occurred--
(i) more than 1 year prior to the
date of issuance of the required notice
or notice of apparent liability; or
(ii) prior to the date of
commencement of the current term of
such license, whichever is earlier; or
(B) such person does not hold a broadcast
station license issued under title III of this
Act and if the violation charged occurred more
than 1 year prior to the date of issuance of
the required notice or notice of apparent
liability.
For purposes of this paragraph, ``date of commencement
of the current term of such license'' means the date of
commencement of the last term of license for which the
licensee has been granted a license by the Commission.
A separate license term shall not be deemed to have
commenced as a result of continuing a license in effect
under section 307(c) pending decision on an application
for renewal of the license.
CRIME CONTROL ACT OF 1990
[42 U.S.C. 13032]
SEC. 227. REPORTING OF CHILD PORNOGRAPHY BY ELECTRONIC COMMUNICATION
SERVICE PROVIDERS.
(a) Definitions.--In this section--
(1) the term ``electronic communication service'' has
the meaning given the term in section 2510 of title 18,
United States Code; and
(2) the term ``remote computing service'' has the
meaning given the term in section 2711 of title 18,
United States Code.
(b) Requirements.--
(1) Duty to report.--Whoever, while engaged in
providing an electronic communication service or a
remote computing service to the public, through a
facility or means of interstate or foreign commerce,
obtains knowledge of facts or circumstances from which
a violation of section 2251, 2251A, 2252, 2252A, 2252B,
or 2260 of title 18, United States Code, involving
child pornography (as defined in section 2256 of that
title), or a violation of section 1466A of that title,
is apparent, shall, as soon as reasonably possible,
make a report of such facts or circumstances to the
Cyber Tip Line at the National Center for Missing and
Exploited Children, which shall forward that report to
[a law enforcement agency] appropriate Federal, State,
or foreign law enforcement agencies or agencies
designated by the Attorney General.
(2) Designation of agencies.--Not later than 180 days
after the date of enactment of this section, the
Attorney General shall designate the Federal, State, or
foreign law enforcement agency or agencies to which a
report shall be forwarded under paragraph (1).
(3) Contents of report.--To the extent this
information is reasonably available to an electronic
communication service provider or a remote computing
service provider, each report under paragraph (1) shall
include--
(A) information relating to the Internet
identity of any individual who appears to have
violated any section of title 18, United States
Code, referenced in paragraph (1), including
any relevant user ID or other online
identifier, electronic mail addresses, website
address, uniform resource locator, or other
identifying information;
(B) information relating to when any apparent
child pornography was uploaded, transmitted,
reported to, or discovered by the electronic
communication service provider or a remote
computing service provider, as the case may be,
including a date and time stamp and time zone.
(C) information relating to geographic
location of the involved individual or reported
content, including the hosting website, uniform
resource locator, street address, zip code,
area code, telephone number, or Internet
Protocol address;
(D) any image of any apparent child
pornography relating to the incident, and any
images commingled with images of apparent child
pornography, such report is regarding; and
(E) accurate contact information for the
electronic communication service provider or
remote computing service provider making the
report, including the address, telephone
number, facsimile number, electronic mail
address of, and individual point of contact for
such electronic communication service provider
or remote computing service provider.
[(3)] (4) In addition to forwarding such reports to
those agencies designated in subsection (b)(2), the
National Center for Missing and Exploited Children is
authorized to forward any such report to an appropriate
official of a state or subdivision of a state for the
purpose of enforcing state criminal [law.] law, or
appropriate officials of foreign law enforcement
agencies designated by the Attorney General for the
purpose of enforcing State or Federal laws of the
United States.
[(4)] (5) Failure to report.--A provider of
electronic communication services or remote computing
services described in paragraph (1) who knowingly and
willfully fails to make a report under that paragraph
shall be fined--
(A) in the case of an initial failure to make
a report, not more than [$50,000;] $150,000;
and
(B) in the case of any second or subsequent
failure to make a report, not more than
[$100,000.] $300,000.
(c) Civil liability.--No provider or user of an electronic
communication service or a remote computing service to the
public shall be held liable on account of any action taken in
good faith to comply with or pursuant to this section.
(d) Limitation of Information or Material Required in
Report.--A report under subsection (b)(1) may include
additional information or material developed by an electronic
communication service or remote computing service, except that
the Federal Government may not require the production of such
information or material in that report.
(e) Monitoring Not Required.--Nothing in this section may be
construed to require a provider of electronic communication
services or remote computing services to engage in the
monitoring of any user, subscriber, or customer of that
provider, or the content of any communication of any such
person.
(f) Conditions of disclosure of information contained within
report.--
(1) In general.--No law enforcement agency that
receives a report under subsection (b)(1) shall
disclose any information contained in that report,
except that disclosure of such information may be
made--
(A) to an attorney for the government for use
in the performance of the official duties of
the attorney;
(B) to such officers and employees of the law
enforcement agency, as may be necessary in the
performance of their investigative and
recordkeeping functions;
(C) to such other government personnel
(including personnel of a State or subdivision
of a State) as are determined to be necessary
by an attorney for the government to assist the
attorney in the performance of the official
duties of the attorney in enforcing Federal
criminal law; or
(D) where the report discloses a violation of
State criminal law, to an appropriate official
of a State or subdivision of a State for the
purpose of enforcing such State law.
(2) Definitions.--In this subsection, the terms
``attorney for the government'' and ``State'' have the
meanings given those terms in Rule 54 of the Federal
Rules of Criminal Procedure.
(g) Limitation on liability.--
(1) In general.--Except as provided in paragraphs (2)
and (3), the National Center for Missing and Exploited
Children, including any of its directors, officers,
employees, or agents, is not liable in any civil or
criminal action arising from the performance of its
CyberTipline responsibilities and functions, as defined
by this section, section 404 of the Missing Children's
Assistance Act (42 U.S.C. 5773), or from its efforts to
identify child victims.
(2) Intentional, reckless, or other misconduct.--
Paragraph (1) does not apply in an action in which a
party proves that the National Center for Missing and
Exploited Children, or its officer, employee, or agent
as the case may be, engaged in intentional misconduct
or acted, or failed to act, with actual malice, with
reckless disregard to a substantial risk of causing
injury without legal justification, or for a purpose
unrelated to the performance of responsibilities or
functions under this section.
(3) Ordinary business activities.--Paragraph (1) does
not apply to an act or omission related to an ordinary
business activity, such as an activity involving
general administration or operations, the use of motor
vehicles, or personnel management.
(h) Use of Information To Combat Child Pornography.--The
National Center for Missing and Exploited Children is
authorized to provide elements relating to any image or other
relevant information reported to its Cyber Tip Line to an
electronic communication service provider or a remote computing
service provider for the sole and exclusive purpose of
permitting that electronic communication service provider or
remote computing service provider to stop the further
transmission of images and develop anti-child pornography
technologies and related industry best practices. Any
electronic communication service provider or remote computing
service provider that receives information from the National
Center for Missing and Exploited Children under this subsection
may use such information only for the purposes described in
this subsection.