EchoStar in Talks on Hill to Prevent Distant Signal Loss, Say Lobbyists
EchoStar is talking with lawmakers about a possible bill to avert a distant-signal cutoff that would leave some rural subscribers with no way to get TV other than from DirecTV, said lobbyists and a House aide. Odds of success aren’t high because there’s little time for a vote in the lame-duck congressional session slated to start Nov. 13, and lawmakers would have to circumvent usual procedure to get a timely vote, said broadcast lobbyists. EchoStar got a boost from Rep. Boucher (D-Va.), who promised to stay on top of the issue.
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Legislation under discussion would circumvent a court ruling Fri. (CD Oct 24 p1) that rejected a $100 million settlement between the company and ABC, CBS, Fox and NBC affiliate groups to allow EchoStar to import out-of-market TV broadcasts, said lobbyists. A legislative remedy would codify the settlement, they said. The company probably also will file an appeal of the order mandating a nationwide Dec. 1 cutoff, said broadcast lawyers. Prospects for successful litigation are low because it’s unclear EchoStar has legal standing to appeal, they said.
Boucher disagreed with the naysayers. “EchoStar clearly has standing to appeal the case,” he told us, saying he was speaking generally as a lawyer: “If EchoStar is joined by those affiliates, then I would think the chances for successful litigation… would be enhanced.” Boucher, mum on whether he plans to sponsor a bill, was steadfast in supporting EchoStar. “I intend to do at the end of the day what is necessary to prevent the termination of distant signals,” he said: “It looks as though legislation may be necessary if we are going to address the problem.”
Lobbyists said there are many hurdles to getting a vote before the cutoff on any bill introduced. “We have a short session, and obviously the challenge of passing a bill in this period of time will be great indeed,” Boucher said: “Fox will obviously oppose this effort, just as they blocked a settlement by not participating in this settlement.” Fox had sought the court injunction. Sister company DirecTV would likely benefit if EchoStar couldn’t transmit distant signals because some subscribers who get them live in rural areas that aren’t served by cable and can’t get broadcast TV reception.
A Senate vote would have to be by unanimous consent because there’s no time for floor debate, said a broadcast industry lobbyist. Any senator could kill the process by objecting. The most likely route for a House vote would be by a rule suspension, said the lobbyist. That step would require approval by at least 2/3 of members, which the lobbyist said was possible. EchoStar officials didn’t comment.
The distant signal cutoff is sure to draw attention when lawmakers return to D.C. “There is clearly going to be action on this when Congress comes back,” a broadcast lawyer said: “The question is, are they going to be able to push something through? It’s too early to tell.” No legislation had been proposed late Thurs., but officials of EchoStar and Fox have been in touch with legislators about distant signals, said a Senate aide.