Daily Digest 12/13/2023 (Andre Keith Braugher)

Benton Institute for Broadband & Society
Table of Contents

Broadband Funding

FCC Reaffirms Decision to Reject Starlink Application for Nearly $900 Million in Subsidies  |  Read below  |  Marlene Dortch  |  Public Notice  |  Federal Communications Commission
Diving into the Biden Administration’s ‘tech hubs’ and what it means for broadband  |  Read below  |  Brad Randall  |  Broadband Communities
Economists’ Comments on State BEAD Proposals  |  Read below  |  Michelle Connolly, Janice Hauge, Mark Jamison, James Prieger, Gregory Rosston, Scott Wallsten  |  Analysis  |  Stanford University

Infrastructure

Industry groups, internet service providers weigh in on Federal Communications Commission pole attachment proposal  |  Read below  |  Masha Abarinova  |  Fierce

Net Neutrality

Investment in the Virtuous Circle: Theory and Empirics  |  Read below  |  George Ford  |  Research  |  Phoenix Center for Advanced Legal and Economic Public Policy Studies

State/Local

Benton Foundation
Emerging Best Practices for Developing Effective, Measurable State Digital Equity Metrics  |  Read below  |  Ziggy Rivkin-Fish  |  Op-Ed  |  Benton Institute for Broadband & Society
States consider capping the cost of broadband for low-income families  |  Read below  |  Kery Murakami  |  Route Fifty
Benton Foundation
Broadband Planning Tools for Rural Farming Communities  |  Read below  |  Adrianne Furniss  |  Editorial  |  Benton Institute for Broadband & Society
Benton Foundation
Wireless Technologies for Rural Farming Communities  |  Read below  |  Michael Barts, Gerard Hayes, Ko Takamizawa  |  Research  |  Benton Institute for Broadband & Society
Governor Kathy Hochul (D-NY) Announces $100 Million in Federal Funding Now Available for High-speed Broadband Infrastructure Through Affordable Housing Connectivity Program  |  Read below  |  Press Release  |  New York State
Maine Connectivity Authority Awards More Than $36 Million To Expand Internet Access  |  Read below  |  Press Release  |  Maine Connectivity Authority
Idaho Broadband Office Gets a Lot Done with a Small Staff  |  Read below  |  Doug Adams  |  telecompetitor
New TV ads go after UTOPIA and other government-run internet providers  |  Read below  |  Ben Winslow  |  KSTU
Chattanooga’s EPB Offers New 2.5 Gig High-Speed Home Internet Service  |  EPB
Government-Only Fiber Networks  |  Read below  |  Doug Dawson  |  Analysis  |  CCG Consulting

Spectrum/Wireless

House passes Kennedy bill to require FCC to expand 5G access to rural Americans by releasing previously auctioned spectrum  |  Read below  |  Press Release  |  US Senate

Security

Republican senators want to stop the FCC from updating data-breach notification rules  |  Read below  |  Sen Ted Cruz (R-TX), Sen John Thune (R-SD), Senate Minority Leader Mitch McConnell (R-KY), Sen Marsha Blackburn (R-TN)  |  Letter  |  US Senate

Artificial Intelligence

Biden team wades into open source AI controversy  |  Read below  |  Ida Fried  |  Axios
Artificial Intelligence: Agencies Have Begun Implementation but Need to Complete Key Requirements  |  Read below  |  Kevin Walsh  |  Research  |  Government Accountability Office

Platforms

Google and Apple’s iron grip on app stores is slipping  |  Washington Post
Apple, Google Get Billions From Their App Stores. That’s Now Under Threat.  |  Wall Street Journal
Google’s Antitrust Loss to Epic Could Preview Its Legal Fate in 2024  |  New York Times
Political Debate Is Rife on TikTok. Politicians? Not So Much.  |  New York Times
Support for TikTok ban crumbles, even among Republicans  |  Washington Post
Apple Makes Security Changes to Protect Users From iPhone Thefts  |  Wall Street Journal

Government Performance

Information Technology: Federal Agencies Are Making Progress in Implementing GAO Recommendations  |  Government Accountability Office

Policymakers

United States Digital Service head Mina Hsiang wants Big Tech’s best minds to help fix the government  |  Vox
Harry Coker confirmed to be the next National Cyber Director  |  CyberScoop

Company News

Netflix Releases Full Viewership Data for First Time  |  Wall Street Journal

News From Abroad

Huge Cyberattack Knocks Ukraine’s Largest Mobile Operator Offline  |  New York Times
EU Deal to Force Uber, Deliveroo Treat Some Drivers as Employees  |  Bloomberg
Deepfakes for $24 a month — how AI is disrupting Bangladesh’s election  |  Financial Times
The old, pre-Elon Twitter was a workplace full of idealists who believed they were making the world a better place  |  Vox
Today's Top Stories

Broadband Funding

FCC Reaffirms Decision to Reject Starlink Application for Nearly $900 Million in Subsidies

Marlene Dortch  |  Public Notice  |  Federal Communications Commission

The Federal Communications Commission reaffirmed its Wireline Bureau’s prior decision to reject the long-form application of Starlink to receive public support through the Rural Digital Opportunity Fund (RDOF) program, based on the applicant’s failure to meet the program requirements. Starlink had sought a review of a decision and asked the FCC to find that Starlink is reasonably capable of meeting its performance obligations in its winning bid areas. Starlink argued that (1) the Bureau disregarded FCC policy and the long-form application review process by applying heightened scrutiny to Starlink’s long-form application; (2) the Bureau’s denial of the long-form application was contrary to the evidence, erroneous, and unreasonable; (3) the Bureau ignored the role of RDOF’s Letter of Credit requirement; and (4) the Bureau ignored and implicitly denied Starlink’s request for a waiver of the eligible telecommunications carrier (ETC) designation deadline. But the FCC found that the Bureau followed Commission guidance and correctly concluded that Starlink is not reasonably capable of offering the required high-speed, low-latency service throughout the areas where it won auction support. 

Diving into the Biden Administration’s ‘tech hubs’ and what it means for broadband

Brad Randall  |  Broadband Communities

The Biden Administration recently announced the designation of 31 ‘tech hubs,’ areas intended to become hotbeds of innovation, across the United States. The more than two-dozen new tech hubs will ‘have the tools they need to compete on a global scale,’ including Economic Development Administration funding opportunities and access to a range of technical assistance from agencies such as the Department of Transportation, the Department of Agriculture, and the Small Business Administration. According to Eric Smith, the Tech Hubs Program Director at the Department of Commerce’s Economic Development Administration, 22 of the designated tech hubs significantly benefit small and rural communities and six include a tribal government. As part of the program, the Department of Agriculture “will work with Tech Hubs to identify any relevant rural electric cooperatives that could help provide reliable, affordable energy and broadband access in their regions as needed."

Economists’ Comments on State BEAD Proposals

Michelle Connolly, Janice Hauge, Mark Jamison, James Prieger, Gregory Rosston, Scott Wallsten  |  Analysis  |  Stanford University

We write to provide economic insight to help states maximize the benefits of its Broadband Equity Access and Deployment (BEAD) and other funds for its residents. Several economic concepts are critical to maximizing the benefit of the BEAD money for state residents.  

  • BEAD money is limited. A dollar spent for one use cannot be used for another.  
  • Prices set by competition usually result in more efficient outcomes than prices set by regulators.
  • Consumers care whether they can get sufficient service when and where they want, not which technology underlies the service.
  • Service today is worth more than tomorrow. The longer the delay in providing service, the more detrimental to people forced to wait.  
  • Risks of non-performance should fall on the party best able to bear and control that risk. A party is less likely to perform if it faces few or no consequences for failing to fulfill its promises.  
  • Every decision involves tradeoffs. For example, attempting to provide the highest quality of broadband everywhere makes it more difficult to provide affordable access to the greatest number of people.  

We recommend that the state adopt the following five rules to maximize the BEAD benefit:  

  1. Set a specific and measurable (i.e., quantitative) scoring mechanism for selecting among subsidy applicants to maximize competition and keep BEAD buildout costs down.
  2. Allow suppliers of all technologies to compete, without preference over technologies, to provide sufficient service for state residents.
  3. Determine geographic service areas for bidding before the competition.
  4. Ensure that applicants have the capability to perform on their promises of delivering service, and ensure subgrantees do perform.
  5. Any price commitments as part of the selection process should be tied to prices for similar service in unsubsidized areas.
  6. Determine and communicate in advance specifically how the projects will be evaluated.  

Infrastructure

Industry groups, internet service providers weigh in on Federal Communications Commission pole attachment proposal

Masha Abarinova  |  Fierce

As the Federal Communications Commission gets ready to vote on pole attachment reforms, industry groups and internet service providers submitted a fresh round of comments weighing in on what changes need to be made. The FCC has had an open proceeding on pole attachments since 2017, but it has yet to adopt new rules. In November 2023, the FCC published a 91-page proposal that aims to address cost-sharing between pole owners and attachers, pole attachment disputes, among other issues. NCTA – The Internet & Television Association requested the FCC include “stronger language” and additional examples in its Declaratory Ruling “to help ensure that pole owners are not able to shift the entire cost of pole replacements to attachers when the pole replacement is not ‘necessitated solely’ by the new attachment.” Charter expressed support for the NCTA’s suggestions, which can help “remove some of the most egregious infrastructure impediments to broadband deployment.” USTelecom asked the FCC to remove a reference in the Draft Order about depreciated poles, arguing that just because a pole is “fully depreciated,” it doesn’t mean the pole “already requires replacement at the time an attachment request is made.” 

Net Neutrality

Investment in the Virtuous Circle: Theory and Empirics

In the Telecommunications Act of 1996, Congress directed the Federal Communications Commission to reduce regulation. While the FCC initially made several bipartisan steps in that direction, over the last three presidential administrations the agency has switched between aggressive and relaxed regulation of broadband services on an explicitly partisan basis, including the imposition of legacy common carrier regulation on broadband services in the name of Net Neutrality. In this policy paper, a theoretical analysis of the FCC’s virtuous circle hypothesis—which drives its Net Neutrality policies—reveals that broadband providers have no apparent incentive to depart from the neutral treatment of traffic.

State/Local

Emerging Best Practices for Developing Effective, Measurable State Digital Equity Metrics

Ziggy Rivkin-Fish  |  Op-Ed  |  Benton Institute for Broadband & Society

An extraordinary, first-ever, nationwide effort in digital equity and opportunity is currently underway. Thanks to funding provided under the Infrastructure Investment and Jobs Act (IIJA), all 50 states and six territories are in the final stages of developing first-of-their-kind statewide digital equity and digital opportunity plans (Plans). Only a year ago, not a single state or territory had developed a comprehensive statewide Plan of this scale focused on the full spectrum of internet adoption issues. As we approach the end of the year, and with many plans now made available for public review and comment, I step back here to consider some of what has been developed and achieved—even before the Plans are provided to the overseeing federal entity, the National Telecommunications and Information Administration (NTIA) of the U.S. Department of Commerce. I consider the critical issue of metrics—what are the goals that are developed by the states, and how do they propose to measure current status and then track changes toward those goals?

States consider capping the cost of broadband for low-income families

Kery Murakami  |  Route Fifty

Dozens of states appear to be set to cap how much broadband providers can charge low-income households. But the idea isn’t popular with industry groups and House Republicans, who argue that regulating rates is not the purpose of the Broadband Equity, Access, and Deployment (BEAD) Program. While the proposed caps being considered vary by state, several would limit rates for low-income people to $30 a month. Should Congress opt to continue the Affordable Connectivity Program, which provides a $30-a-month subsidy to low-income households for broadband, the cost of internet service could drop to zero in some states. The idea of limiting how much broadband companies can charge is coming under fire from some House conservatives. Rep. Bob Latta (R-OH) said the National Telecommunications and Information Administration should reject what he called “attempts to regulate rates.” Some proposals have also been criticized by the broadband industry group, NCTA – The Internet & Television Association. A spokesperson for NCTA argued that the infrastructure act was aimed at “building broadband infrastructure, rather than setting prices.”

Broadband Planning Tools for Rural Farming Communities

Adrianne Furniss  |  Editorial  |  Benton Institute for Broadband & Society

The Benton Institute for Broadband & Society's Broadband Breakthrough is a community engagement and broadband planning program focused on rural farming communities—because today, broadband is a necessary tool to innovate farming practices and allow for sustainable, targeted, and efficient resource use. The goal of Broadband Breakthrough is to help other rural farming communities understand the value of improved broadband access—and provide the resources, tools, and work required to get better broadband and chart a path for smart farming. The first Broadband Breakthrough cohort engaged five Illinois counties—Edgar, Hancock, McLean, Ogle, and Schuyler—to plan their broadband futures. Through our work with those counties, we learned a number of important lessons:

  • First, no one will understand the connectivity needs of a community needs better than members of the community themselves. The first step for Broadband Breakthrough communities is to find and engage a team of local leaders committed to focusing on the broadband plan.
  • Second, Broadband Breakthrough communities signed up to improve broadband access because they understand that without reliable connectivity, their community goals cannot be met. But that intuitive understanding is not enough; they need to quantify and detail local needs.
  • Third, most of the Broadband Breakthrough communities came into the process with a vague notion of wanting better broadband. But a community broadband vision is essential.
  • Fourth, it is through understanding broadband technologies, ownership models, and financing options that communities are empowered to find the right provider partners.
  • Finally, there's a range of federal, state, and local broadband funding opportunities available these days. Communities must learn how to best position themselves to maximize access to those funds.

These lessons and much more about Broadband Breakthrough can be found in Broadband Breakthrough: Infrastructure Planning Tools for Rural Farming Communities. I am also happy to announce that the Illinois Soybean Association is providing funding for a continuation of the Broadband Breakthrough program in Illinois in January 2024. And a national foundation is supporting the Benton Institute to bring Broadband Breakthrough to select counties in the state of Missouri, also early in 2024.  

Wireless Technologies for Rural Farming Communities

Michael Barts, Gerard Hayes, Ko Takamizawa  |  Research  |  Benton Institute for Broadband & Society

Conversations about rural broadband access tend to focus on connections to homes and businesses, but precision agriculture increasingly requires reliable connectivity to the farm office and the field. In the field, farmers rely on wireless connectivity—such as fixed wireless and mobile cellular—to make real-time strategic and logistical decisions about their land, crops, animals, equipment, and farm facilities. Connected sensors in the field collect the accurate, timely data that farmers can use to optimize their practices and conserve resources. Sensors in the ground can measure the moisture of soil to improve irrigation systems and reduce water consumption. Weather sensors can predict frost and storm patterns to reduce the risk of crop loss. Many sensors connect to mobile applications, allowing farmers to access the data when they need it, wherever they are, as long as they have mobile connectivity. This white paper examines wireless technologies capable of providing broadband connectivity with an emphasis on rural farming communities. Other wireless technologies that are useful for extending broadband connectivity and for special applications, especially in agriculture, are also examined.

Governor Kathy Hochul (D-NY) Announces $100 Million in Federal Funding Now Available for High-speed Broadband Infrastructure Through Affordable Housing Connectivity Program

Press Release  |  New York State

Governor Kathy Hochul (D-NY) announced that applications are now open for the $100 million Affordable Housing Connectivity Program, a partnership led by Empire State Development’s ConnectALL Office in consultation with New York State Homes and Community Renewal to design and install broadband infrastructure at 100,000 affordable housing units across New York State. The program, which is federally funded through the Treasury Department's Capital Projects Fund under the American Rescue Plan Act, is the largest targeted investment in affordable housing connectivity in the nation. New York’s Affordable Housing Connectivity Program is a competitive grant program designed to fund high-speed, reliable broadband infrastructure to and within low-income housing buildings. Internet service providers are invited to apply for $100 million in federal funding for retrofits to provide internet infrastructure in affordable housing rental units to support high-speed internet.

Maine Connectivity Authority Awards More Than $36 Million To Expand Internet Access

Press Release  |  Maine Connectivity Authority

The Maine Connectivity Authority (MCA) has awarded more than $36.6 million in grants to expand affordable, reliable, high-speed internet service to more than 24,000 homes and businesses in 45 communities across the state. The grants are part of the agency’s All-In programming, funded through the American Rescue Plan and designed to provide a mixture of solutions to address the expansion of last mile infrastructure for high-speed internet. MCA is announcing five Connect the Ready: Cohort 2 grant awards totaling $20.7 million. These awards will leverage almost $11 million in private and community investment, and connect nearly 6,500 homes and businesses across 27 communities in Maine. The Connect the Ready Program invests in community-informed public-private partnerships to build broadband infrastructure projects where internet service doesn’t exist or is inadequate. Additionally, MCA is announcing three Partnerships for Enabling Middle Mile (PEMM) grant awards totaling $15.9 million. These awards to three different internet service providers will leverage more than $14.2 million in private and community investment, and connect over 18,000 homes and businesses across 18 communities in Maine. The PEMM Program addresses large-scale, regional broadband needs by leveraging middle mile infrastructure and maximizing private and community financial contributions to enable last-mile connections. As of December 2023, the Maine Connectivity Authority has facilitated over $145 million in digital equity and infrastructure investments, enabling over 77,000 connections across the state and reducing the number of locations with no internet connection to less than 6% of the state.

Idaho Broadband Office Gets a Lot Done with a Small Staff

Doug Adams  |  telecompetitor

Spend a little time with Idaho State Broadband Program Manager Ramón Hobdey-Sánchez and it’s easy to see his enthusiasm for his home state. “I have a passion for public service and there are few things that I love more than the State of Idaho,” Hobdey-Sánchez said. “Broadband and internet connectivity is something that we can all agree is good for individuals, communities, and the state. Whether it is improving the economy or delivering access to things previously unavailable.” It’s a good thing that Hobdey-Sánchez has a positive, half-full attitude because until recently, he’s been the sole member of Idaho’s Office of Broadband. Despite this, Hobdey-Sánchez and the Idaho “office” accomplished quite a bit in 2023, including tentatively awarding $119 million in Capital Projects Fund (CPF) dollars to 14 different applicants for 17 separate projects. Hobdey-Sánchez anticipates that CPF funds will connect approximately 35,000 homes and businesses. Earlier in 2023, Idaho awarded more than $26 million to projects that included a north-south middle mile backbone to connect commercial, non-profits, local communities, and rural internet providers. 

New TV ads go after UTOPIA and other government-run internet providers

Ben Winslow  |  KSTU

A new TV ad is running in Utah, criticizing government-run internet providers. The ads are part of a $1 million blitz to warn about problems associated with municipal internet systems, including high costs and a lack of regulatory oversight. The Domestic Policy Caucus is running them under the name NoGovInternet.com. The campaign makes the argument that government should not be involved in providing internet access. It is aimed squarely at UTOPIA Fiber, a coalition of municipalities that provide network access to 60,000 customers in 20 cities across Utah and partners with cities in Montana and Idaho. The Utah Telecommunication Open Infrastructure Agency (UTOPIA) was founded in 2011 by 11 cities to provide fiber service to consumers and businesses. The American Association for Public Broadband, which advocates for public broadband, criticized the ads as "dark money attacks" and blamed "big cable." For UTOPIA Fiber, the attack ads are coming out of nowhere. "We're probably as surprised as anyone to see them because there really isn’t any sort of decision or legislation or anything that’s targeting UTOPIA," said Roger Timmerman, UTOPIA Fiber's executive director.

Government-Only Fiber Networks

Doug Dawson  |  Analysis  |  CCG Consulting

There are a lot of fiber networks owned by government entities. I find it perplexing that a lot of these networks are used only for government purposes and nothing else. In some cases, commercial use of the networks is prohibited by the original source of funding that paid for the network. However, a lot of these government-owned networks could be used for commercial purposes. There are some governments that have decided to share the excess capacity. Some networks were built in collaboration with a commercial partner that uses part of the network. In some cities, dark fiber is being leased to internet service providers. But overall, I would guess that a majority of the excess capacity on government fiber networks is sitting idle, with no plans for use. It’s a shame not to utilize excess fiber capacity at a time when there are so many possible uses for the extra fiber. It’s particularly hard to understand why cities that don’t have vigorous broadband competition aren’t taking advantage of fiber networks. While many cities are being successful in luring internet service providers to build last-mile fiber networks, the vast majority of cities are still served primarily by a cable company that is the only source of fast broadband. Every government that owns fiber ought to be taking a hard look at whether they are getting the best deal for citizens by sitting on idle fiber assets. These networks are sunk investments, and it’s wasteful to not make the fiber available for purposes that will benefit the community.

Spectrum

House passes Kennedy bill to require FCC to expand 5G access to rural Americans by releasing previously auctioned spectrum

Press Release  |  US Senate

On December 11, 2023, the House of Representatives passed Sen. John Kennedy’s (R-LA) 5G Spectrum Authority Licensing Enforcement (SALE) Act. The bill would require the Federal Communications Commission to release previously auctioned spectrum in order to expand broadband access to rural communities. The US Senate passed Kennedy’s legislation in September 2023. The 5G SALE Act would temporarily grant the FCC auction authority it needs to complete spectrum transfers, which would allow broadband services to provide greater 5G network coverage to Americans in rural areas.

Security

Republican senators want to stop the FCC from updating data-breach notification rules

Sen Ted Cruz (R-TX), Sen John Thune (R-SD), Senate Minority Leader Mitch McConnell (R-KY), Sen Marsha Blackburn (R-TN)  |  Letter  |  US Senate

It has come to our attention that the Federal Communications Commission intends to vote on a Report and Order that would violate Congress’ Resolution of Disapproval vitiating the FCC’s 2016 Broadband Privacy Order. Since the FCC has no authority to ignore Congress’ exercise of the Congressional Review Act (CRA), we urge you to withdraw the draft Report and Order to avoid resurrecting substantially similar parts of the 2016 Broadband Privacy Order that Congress nullified. The FCC’s proposed rules in the Report and Order are clearly “substantially similar” to the nullified 2016 rules. Specifically, the requirements in the Report and Order governing notification to the FCC, law enforcement, and consumers, as well as the recordkeeping requirements with respect to breaches and notifications, are substantially similar to the notification and recordkeeping requirements disapproved by Congress. As lawmakers with oversight responsibility over the FCC, we have repeatedly identified actions taken under your leadership that exceed legal authority. In this case, the FCC is defying clear and specific direction not to issue requirements that are substantially similar to parts of a rule disapproved by Congress. We therefore urge the FCC to rescind the draft Report and Order and remove it from the FCC’s December Open Meeting agenda

Artificial Intelligence

Biden team wades into open source AI controversy

Ida Fried  |  Axios

The Biden Administration has big plans to tackle one of the AI boom's sharpest controversies—whether open source AI models make society safer or put the world at greater risk. The White House's wide-ranging AI executive order this year tasked the National Telecommunications and Information Administration (NTIA) with studying the open source question and recommending actions. NTIA Administrator Alan Davidson wants to hear a wide range of viewpoints before making recommendations in a report due to the White House by next July. Director Davidson said he was glad that President Biden's executive order sought further exploration into what role open source AI should play rather than endorsing or rejecting the approach. In terms of risk, Administrator Davidson said he is largely focused on present harms, such as bias, security and trust, rather than the existential risk that AI could destroy humanity — though he also said addressing the former could help prevent the latter.

Artificial Intelligence: Agencies Have Begun Implementation but Need to Complete Key Requirements

Kevin Walsh  |  Research  |  Government Accountability Office

While there are varying definitions of AI, they generally refer to computing systems that “learn” how to improve their performance. AI has the potential to rapidly change the world and holds substantial promise for improving government operations. However, AI poses risks that can negatively impact individuals, groups, organizations, communities, and society. Based on a review of reports from 20 out of 23 agencies, the Government Accountability Office (GAO) is making 35 recommendations to 19 agencies, including the Office of Management and Budget (OMB), to fully implement federal AI requirements. Specifically, GAO is recommending that:

  • Fifteen agencies update their AI use case inventories to include required information and take steps to ensure the data aligns with guidance.
  • OMB, Office of Science and Technology Policy, and Office of Personnel Management implement AI requirements with government-wide implications, such as issuing guidance and establishing or updating an occupational series with AI-related positions.
  • Twelve agencies fully implement AI requirements in federal law, policy, and guidance, such as developing a plan for how the agency intends to conduct annual inventory updates; and describing and planning for regulatory authorities on AI.

Submit a Story

Benton (www.benton.org) provides the only free, reliable, and non-partisan daily digest that curates and distributes news related to universal broadband, while connecting communications, democracy, and public interest issues. Posted Monday through Friday, this service provides updates on important industry developments, policy issues, and other related news events. While the summaries are factually accurate, their sometimes informal tone may not always represent the tone of the original articles. Headlines are compiled by Kevin Taglang (headlines AT benton DOT org), Grace Tepper (grace AT benton DOT org), and Zoe Walker (zwalker AT benton DOT org) — we welcome your comments.


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Kevin Taglang

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Benton Institute
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