As FCC staff and commissioners continued negotiating over terms of the proposed wireline broadband order Thurs., lobbyists continued blitzing commissioners’ offices to make sure their views were reflected in the talks. At our deadline it still wasn’t known if the agency would get enough agreement on contested issues to place the broadband item on today’s (Fri.’s) agenda. The FCC had delayed its Thurs. meeting until today, reportedly to give it more time to reach consensus. The item would generally lessen regulation of wireline-provided broadband service by reclassifying it as an information service. However, judging from the continual discussions at the agency, there appeared to be many nuances within that general description of the proposed order.
When the USF was new, Franklin Roosevelt wasn’t halfway through his first term. Even so, the venerable program still has a startling capacity to make news.
Several telecom groups wrote the Senate Commerce Committee leadership Wed. to express support for S-241, legislation that would permanently exempt the Universal Service Fund (USF) from Anti-Deficiency Act (ADA) requirements. The Committee has held a hearing on the bill (CD April 12 p1), introduced by Sen. Snowe (R-Me.) and co-sponsored by Senate Commerce Committee Chmn. Stevens (R-Alaska), Committee ranking Democrat Inouye (Hawaii), and Sen. Rockefeller (D-W. Va.). No markup’s scheduled for the bill, and the groups urged quick action in the letter. “Given the potential disruption to all universal service programs, it is vital for the Commerce Committee to address this issue as soon as possible, so that the uncertainty that currently hangs over these programs can be permanently eliminated,” the letter said. Since the Office of Management & Budget (OMB) required the FCC to apply ADA rules to USF last year, the program has needed funds in hand to make disbursement commitment. Congress last year passed a temporary one-year exemption from ADA, since it would have resulted in missed payments from USF and the E-rate program. The letter said: “Without such an exemption, millions of people will undoubtedly experience service disruptions and significant increases in the universal service contribution factor.” Signers of the letter include Alcatel, Apple, Independent Telephone & Telecom Alliance, NARUC, NASUCA, National Education Assn., NTCA, OPASTCO, TIA, U.S. Conference of Mayors and Western Wireless.
More than 100 rural telecom executives hit Capitol Hill Tues. to start 2 days of lobbying for universal service and broadband issues as part of an annual event sponsored by OPASTCO. In a morning briefing, OPASTCO staff told rural ILECs Antideficiency Act (ADA) legislation should top their agendas as they visited representatives and senators from their home states.
WILLIAMSBURG, Va -- Comr. Abernathy called for a change in the Sunshine rules to let FCC commissioners meet in private as needed to get consensus on complex issues out of the public eye. Abernathy told the FCBA annual retreat held here Fri. and Sat. that 1970s-vintage rules work against development of policy on critical but complicated issues.
At least 3,000 consumer letters were filed in the FCC’s universal service docket (96-45) Wed. urging the FCC to reject a proposal to move to a flat fee for universal service fund (USF) contributions by carriers. The letters, all the same, appear to be written by a lobbyist group. At our deadline, its identity couldn’t be confirmed. However, one of the letters indicated a link to a website -- http//keepusffair.org -- sponsored by a consumer coalition that includes the Telecom Research & Action Center (TRAC). Signed by individuals from throughout the country, the letters told the FCC: “I do not want to pay more for my telephone service! I urge you to reject a flat fee proposal that would change how contributions are made to the Universal Service Fund… Under the flat fee you are considering, people who make few long distance calls would pay the same as people or businesses that make many calls… This is unfair.” The letter also makes reference to wireless service: “I use my wireless phone for safety, security and convenience. I don’t want to lose those benefits so big businesses can pay less than their fair share.”
Senate Commerce Committee Chmn. Stevens (R-Alaska) had strong words for AT&T, which he said was skirting its universal service fund (USF) obligations by not applying the fee to its prepaid calling cards. AT&T has argued that since the cards also feature an ad, it’s an information service rather than a long-distance service. Stevens’ anger was also directed at AT&T’s efforts to use these calling cards to direct complaints to members of Congress, who he said were inundated with calls from constituents concerned about the issue.
Chmn. Powell announced Fri. he will leave the FCC in March. With key issues pending for all communications sectors, sources agreed the next chmn. is likely to maintain Powell’s policies in the broadest sense, including an emphasis on competition and on promoting new technologies.
Telecom Act revision should be legislation of few words and fewer regulations, BellSouth Chmn. Duane Ackerman told an American Enterprise Institute/Brookings Institution forum Tues. If Congress concludes competition between multiple facilities-based networks works better than traditional regulation -- which Ackerman believes it will -- telecom reform “could be dealt with in a very short bill in a matter of months, not years. This is not complicated.” Ackerman emphasized that telecom reform must be simple, to avoid lengthy litigation like that over the Telecom Act of 1996.
The Senate sent telecom legislation to President Bush on Wed. evening in a literal 11th-hour vote. By approving HR-5419, the Senate approved 3 legislative measures and ended weeks of political infighting about everything from Congressional Budget Office scoring to appropriators’ authority and boxing regulation. Sources said the White House would sign the act, which includes the spectrum relocation trust fund, E-911 funding and a temporary fix to accounting problems in the E-rate program. The junk fax bill, HR-4600, was the only legislation that had a reasonable chance to pass and didn’t. “The legislation brings needed changes that will promote homeland security and increase wireless broadband opportunities,” FCC Chmn. Powell said.