SJRES-7-119
Held at the desk.
Sponsored by Ted Cruz (R-TX)
What it does
This joint resolution would use the Congressional Review Act (CRA) to nullify a Federal Communications Commission rule published August 20, 2024, that expanded the E-Rate program to allow schools and libraries to lend Wi-Fi hotspots and other connected devices to students and patrons for off-campus use. If enacted, the FCC rule would have no legal force or effect, and under the CRA the FCC would generally be barred from issuing a substantially similar rule without new congressional authorization.
Who benefits
Opponents of the FCC rule who believe the agency exceeded its statutory authority. Broadband and telecommunications providers who may prefer that home internet access be addressed through separate, competitively structured programs rather than E-Rate. Members of Congress who argue that major expansions of federal programs should require explicit legislative action rather than agency rulemaking. Taxpayers who prefer limiting the scope of the E-Rate universal service fund.
Who is hurt
K-12 students in low-income households who lack home internet access and would have used school-lent hotspots to complete homework — the population the FCC rule called the "homework gap." Public library patrons without home broadband who would have borrowed connected devices. Rural and tribal communities with limited broadband infrastructure where hotspot lending may be the most practical near-term solution. Schools and libraries that had begun planning or implementing hotspot lending programs in reliance on the rule.
Supporters argue
Supporters argue that the FCC's E-Rate program was established by Congress to connect schools and libraries themselves — not to fund a general home broadband subsidy delivered through device lending. They contend the FCC exceeded its statutory authority by extending E-Rate funds to off-premises use without explicit congressional authorization, and that post-Loper Bright, courts would independently scrutinize that interpretation rather than defer to the agency. They argue that if Congress wants to close the homework gap, it should do so through targeted legislation with proper oversight and funding controls, not through an agency rule that bypasses the legislative process.
Opponents argue
Opponents argue that the FCC rule addressed a documented and measurable problem: an estimated 15–16 million K-12 students lack reliable home internet access, directly impairing their ability to complete schoolwork. They contend the FCC acted within its existing authority to ensure that E-Rate's educational mission is fulfilled, since students cannot benefit from connected schools if they go offline the moment they leave the building. They argue that blocking the rule without providing an alternative solution leaves the most economically disadvantaged students worse off, and that the CRA's prohibition on substantially similar future rules further ties the agency's hands even if circumstances change.
Constitutional context
The Commerce Clause (Art. I, §8, cl. 3) grants Congress broad authority over telecommunications, which it delegated to the FCC through the Communications Act. The central legal question is whether the FCC's expansion of E-Rate to off-premises hotspot lending falls within that delegation. Under Loper Bright v. Raimondo (2024), courts would independently assess whether the FCC's statutory interpretation is correct, rather than deferring to the agency — making the scope of the original E-Rate authorization a live legal question.
Checks and balances
Congress reclaims authority over E-Rate program scope by nullifying the FCC rule; the CRA also restricts the FCC from issuing a substantially similar rule without new congressional action, shifting ongoing policy control from the executive branch to the legislative branch.
Historical precedent
Congress has used the Congressional Review Act to nullify FCC rules before, most notably in 2017 when it overturned the FCC's broadband privacy rules, which similarly involved the scope of FCC authority over internet-related services.