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 (WID Oct 3 p7).

FCC members encouraged schools and libraries across the country to comment on the agency’s proposed E-rate rules -- and they got their wish. More than 250 comments from school districts, associations and individuals were filed in docket 13-184 on Friday and Monday. Several school districts asked for the program cap to be expanded to $5 billion per year -- more than twice the current cap.

FCC members encouraged schools and libraries across the country to comment on the agency’s proposed E-rate rules -- and they got their wish. More than 250 comments from school districts, associations and individuals were filed in docket 13-184 on Friday and Monday. Several school districts asked for the program cap to be expanded to $5 billion per year -- more than twice the current cap.

Cisco representatives urged the FCC Wireline Bureau Thursday to review the Universal Service Administrative Co.’s (USAC) finding that audio communication components of Cisco’s WebEx conferencing service are a telecommunications service under the 1996 Telecom Act (http://bit.ly/1cGPtju). Designating those components as a telecommunications service would make a portion of WebEx revenue eligible for assessment for USF contributions (CD May 20 p6). Jeff Campbell, Cisco vice president-government affairs, and Cisco counsel Walter Anderson told the bureau staff that USAC improperly applied FCC precedents and failed to “accept WebEx’s reasonable unbundling of its revenues -- positions that commenters broadly support,” Cisco said in an ex parte filing. The U.S. Court of Appeals for the D.C. Circuit’s decision that The Conference Group lacked standing to challenge the FCC’s ruling that audio bridging software by InterCall must pay into the USF (CD July 3 p4) “has no bearing on the application of the InterCall Orders to WebEx’s service because the D.C. Circuit concluded only that The Conference Group and WebEx lacked standing to challenge the InterCall Orders, and the court did not reach the merits of the parties’ challenge to the InterCall Orders,” Cisco said.

An FCC rulemaking on potential changes to the federal E-rate program has touched a political nerve in a Washington, where the debate takes place against the backdrop of a bigger fight between Republicans and Democrats over entitlement reform. The NPRM, teed up for a vote Friday, builds on a June speech by President Barack Obama urging the commission to make high-speed Internet available to enough schools and libraries to connect 99 percent of American students (CD June 7 p7).

Companies from across the telecom industry urged the FCC last week to reform its rules for assessing regulatory fees. Commenters said change is necessary to ensure no provider is at a competitive disadvantage. An NPRM last month sought comment on several reforms, including changes to the Interstate Telecommunications Service Providers fee category, reallocation of full-time equivalent (FTE) employee fees, and limitations on regulatory fee increases (http://bit.ly/13YxqAR).

FCC Chairman Julius Genachowski said work on the incentive auction of broadcast TV spectrum is moving forward as well as could be expected. Genachowski is pleased the agency has launched a critical debate headed into an auction that could start as early as next year, he said in an interview Friday as he prepared to leave the commission. Genachowski, a friend of President Barack Obama, chaired the Technology, Media and Telecommunications Policy Working Group during the 2008 Obama presidential campaign, and has been on the job since June 2009.

FCC Commissioner Robert McDowell leaves office expressing some concerns about work left undone, especially on rules for an incentive auction of broadcast TV spectrum and media ownership reform. McDowell, a commissioner since 2006, was a surprise choice when nominated, but was viewed as a top candidate for chairman if Mitt Romney was elected president last year. Like Chairman Julius Genachowski he plans to leave Friday, leaving behind a 2-1 commission. McDowell said Tuesday his first stop will be the Hudson Institute’s Center for Economics of the Internet, where he will be a visiting fellow.

House Communications Subcommittee Chairman Greg Walden, R-Ore., said there is “plenty of blame to go around” but the current data on the program “doesn’t paint a picture of success,” in his opening remarks. He said the Lifeline fund grew 226 percent since 2008 and, in 2012, the FCC spent $2.2 billion on the program. “Specifically, it spent $2.2 billion of your money, my money -- virtually every American’s money -- since the Lifeline program and the entire Universal Service Fund is paid for through a charge on phone bills,” he said. “We are spending large sums of money and probably squandering much of it.”

Universal support for telecom around the world needs to be reviewed and cut down, said the mobile operators of the GSM Association Wednesday (http://bit.ly/ZhtgiK). It released a new report (http://bit.ly/10SIKvk) concluding “most funds are not succeeding in delivering their stated goal of widening access to telecommunication services and that alternative market-based solutions are more effective,” noting the amounts of unused funds in these USFs. There’s $11 billion “languishing” in these various funds unused, with India having a particularly high amount, it said. The report surveyed 64 funds, with over a third estimated to not yet give out contributions in any effective way. GSMA Chief Regulatory and Government Affairs Officer Tom Phillips called the USFs “a convenient form of taxation on the telecommunications industry,” which often “should be closed down and the balance of monies held used to extend access to mobile services to those unable to afford them, or those groups that live in particularly remote areas,” according to an association statement. The report discusses the November 2011 reform of the U.S. USF, particularly emphasizing the change to the FCC’s high-cost support and Lifeline program. It called the U.S telecommunications market “highly competitive.” Nearly half of the surveyed USFs were shown to be of limited activity or inactive, but the U.S. USF was judged active.