The FCC must address the overall spending of the USF, not use “savings” from universal service reform to expand other USF programs, FCC Commissioner Mike O'Rielly said Friday in remarks to the commission’s Consumer Advisory Committee (CAC). O'Rielly said he wanted to lay down this marker as the agency takes up Lifeline reform. He also suggested that at least one of the CAC members should come from a group representing taxpayers.

FCC Chairman Tom Wheeler has sidestepped likely partisan Capitol Hill battles surrounding E-rate for now due to the nature of his overhaul, apparently focusing on Wi-Fi and not immediately touching the fund’s contribution rate and size, lobbyists and observers told us. They predict political rancor will come in later phases of the E-rate revamp when those parts will be inevitably addressed. The prime Hill critics now are Democratic architects of the original 1996 Telecom Act E-rate provisions, who question the proposal in more granular ways and urge the agency to listen as E-rate beneficiaries express fears, sending a critical letter Tuesday. The FCC will vote on Wheeler’s item Friday, and it’s been controversial among FCC Republicans. (See separate report in this issue.)

FCC Chairman Tom Wheeler has sidestepped likely partisan Capitol Hill battles surrounding E-rate for now due to the nature of his overhaul, apparently focusing on Wi-Fi and not immediately touching the fund’s contribution rate and size, lobbyists and observers told us. They predict political rancor will come in later phases of the E-rate revamp when those parts will be inevitably addressed. The prime Hill critics now are Democratic architects of the original 1996 Telecom Act E-rate provisions, who question the proposal in more granular ways and urge the agency to listen as E-rate beneficiaries express fears, sending a critical letter Tuesday. The FCC will vote on Wheeler’s item Friday, and it’s been controversial among FCC Republicans. (See separate report in this issue.)

A draft E-rate order attempts to tackle the “Wi-Fi gap” in schools and libraries, Chairman Tom Wheeler said in a blog post Friday (http://fcc.us/1w7OuSm). He said he circulated the order Friday, for a vote at the July 11 FCC meeting, as expected (CD June 12 p1). The plan commits $1 billion toward Wi-Fi in 2015, with which the agency expects to connect more than 10 million students across the country, officials said. Another $1 billion will go toward Wi-Fi in 2016, with “predictable” support in future years, a senior official told reporters on a conference call on condition of anonymity Friday. That money, in addition to the current $2.4 billion E-rate budget, comes from $2 billion recently found unspent (CD Feb 4 p7).

A draft E-rate order attempts to tackle the “Wi-Fi gap” in schools and libraries, Chairman Tom Wheeler said in a blog post Friday (http://fcc.us/1w7OuSm). He said he circulated the order Friday, for a vote at the July 11 FCC meeting, as expected (WID June 12 p5). The plan commits $1 billion toward Wi-Fi in 2015, with which the agency expects to connect more than 10 million students across the country, officials said. Another $1 billion will go toward Wi-Fi in 2016, with “predictable” support in future years, a senior official told reporters on a conference call on condition of anonymity Friday. That money, in addition to the current $2.4 billion E-rate budget, comes from $2 billion recently found unspent (WID Feb 4 p4).

It’s not for lack of trying that Congress hasn’t overhauled the Communications Act since 1996. In December, House Commerce Committee Chairman Fred Upton, R-Mich., and Communications Subcommittee Chairman Greg Walden, R-Ore., outlined plans to update the landmark telecom law -- initial stakeholder comments posted online Wednesday (CD Feb 6 p8) (http://1.usa.gov/1dsVahV), hearings and white papers in 2014, a bill in 2015. They are hardly the first lawmakers to say they want to transform the act, which marked its 18th anniversary Saturday. Former staffers and congressional leaders involved in past attempts told us why recent high-profile efforts, such as in 2006 led by Republicans and in 2010 by Democrats, failed to succeed and what those experiences might portend for House Republicans now.

It’s not for lack of trying that Congress hasn’t overhauled the Communications Act since 1996. In December, House Commerce Committee Chairman Fred Upton, R-Mich., and Communications Subcommittee Chairman Greg Walden, R-Ore., outlined plans to update the landmark telecom law -- initial stakeholder comments posted online Wednesday (http://1.usa.gov/1dsVahV), hearings and white papers in 2014, a bill in 2015. They are hardly the first lawmakers to say they want to transform the act, which marked its 18th anniversary Saturday. Former staffers and congressional leaders involved in past attempts told us why recent high-profile efforts, such as in 2006 led by Republicans and in 2010 by Democrats, failed to succeed and what those experiences might portend for House Republicans now.

Companies, associations and think tanks began weighing in last week on how best to overhaul the Communications Act. House Commerce Committee Republicans announced a desire to update the act in December, and they solicited feedback on their first white paper last month. The deadline for commenting was Friday, and several stakeholders released proposals for tweaking the landmark telecom law, with initial comments emphasizing the role of the marketplace and a need to end regulatory silos.

The FCC got lots of advice on process reform (CD Dec 6 p3), as part of an initiative being overseen by Diane Cornell, special counsel to Chairman Tom Wheeler. How much progress Wheeler will be able to make and what might come out of reform efforts is a big question mark, said industry sources including numerous former FCC officials. The full FCC is slated to get an update from Cornell at Thursday’s meeting.

The partial federal government shutdown, in its fourth day Friday, is raising varying levels of anxiety among members of the communications bar. The shutdown’s effects rippled through the Washington area last week, giving most federal workers an unexpected, possibly unpaid, vacation, and raising some fundamental questions for those whose business is dealing with the government. Further adding to problems lawyers face, the FCC unexpectedly took almost all filings and other documents offline for the duration of the shutdown, a much more draconian response than many federal agencies (CD Oct 3 p2).