Recent news reports suggesting that the FCC may levy a new “tax” on Internet service are sparking a wave of negative reaction from both free market-oriented and public interest groups. Free Press has had longstanding concerns. On Tuesday, the free-market Heartland Institute joined in. But it remains unclear at this point how much support there is at the FCC for contribution reform or a move to broaden the program to place a fee on retail Internet access service.
The 2012 version of the FCC’s annual Section 706 report released Tuesday said once again that broadband “is not yet being deployed ’to all Americans’ in a reasonable and timely fashion.” Commissioners Robert McDowell and Ajit Pai issued blistering dissents. McDowell said the FCC majority has “co-opted” the 706 process, using it to justify a “'cynical cycle’ of regulation,” including the approval of net neutrality rules in December 2010.
New York state established a new high-cost universal service fund Thursday, the New York State Public Service Commission ruled. It said the fund will ensure state residents retain access to phone service in high-cost rural areas. The commission approved the phase 2 USF joint proposal in a 4-0 vote, with one commissioner recusing himself. The fund will provide $17 million to as many as 31 eligible telco recipients over a four-year period.
PORTLAND, Ore. -- The question of wither state regulation was a subtext on all the telecom panels in the initial days of the NARUC midyear meeting. State commissioners observed a declining regulatory role for years and enshrined quite clearly in legislation from the past year, as they said a recent report from the National Regulatory Research Institute (NRRI) made clear. The U.S. is in the midst of “deregulation fever,” concluded a June NRRI report on the various legislatures’ deregulation bills, which “will not subside” (CD June 19 p11). New services that draw on Internet Protocol create new challenges of definition, and regulation no longer covers them in the same way, said commissioners and staff who said they're trying to figure out their roles.
Civil rights and “digital divide” erasure advocates gave mixed reviews to FCC Chairman Julius Genachowski’s Lifeline reform proposals Monday. As expected (CD Jan 9 p7), Genachowski promised what he called “cost controls” and “a budget” for Lifeline and Link-Up, with most of his efforts focused on rooting out some 200,000 duplicate claims and building a database to prevent future “waste.” The draft order will circulate Tuesday, Genachowski said.
It will be “more of the same” for the FCC in 2012, Chief of Staff Eddie Lazarus told the Practising Law Institute conference Friday. The FCC still has significant work left expanding broadband adoption and addressing the country’s spectrum deficiencies, he said. Privacy experts on a separate panel said they expect the FTC and FCC to increase their focus on online privacy and cybersecurity issues in the coming year.
It will be “more of the same” for the FCC in 2012, Chief of Staff Eddie Lazarus told the Practising Law Institute conference Friday. The FCC still has significant work left expanding broadband adoption and addressing the country’s spectrum deficiencies, he said. Privacy experts on a separate panel said they expect the FTC and FCC to increase their focus on online privacy and cybersecurity issues in the coming year.
Telecom and consumer and states’ rights advocates were making final efforts to blunt the impact of the pending Universal Service Fund and intercarrier compensation system reforms on their interests. The FCC extended the open lobbying period to the close of business Friday. More than one critic accused FCC Chairman Julius Genachowski of being unnecessarily opaque with his intentions. “I think a lot of things are still in flux,” Free Press Political Adviser Joel Kelsey said Thursday. “The details are moving targets.” The proposed USF order is on the agenda for Thursday’s meeting.
Consumer advocates have yet to coalesce around an universal service reform plan (CD Sept 8 p4). The issue is so “complex” compared to matters like net neutrality and AT&T’s plan to buy T-Mobile that nonprofits have divvied it up, Public Knowledge Legal Director Harold Feld said. “The real problem here for a lot of us is that this is a huge complex area, the resources to play in a significant way on the telco side requires economic expertise that’s not always in-house."
The FCC must not remove state jurisdiction over intrastate communications and preserve the joint governmental structure in its Universal Service Fund and Intercarrier Compensation proceeding, state officials said during a seminar held by the National Regulatory Research Institute Wednesday. Other top concerns for state regulators include cost and contribution methods, they said.