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Kneuer Seen Most Likely to Get NTIA Nomination

John Kneuer, who became acting NTIA dir. with the departure of Michael Gallagher last week (CD Feb 16 p11), is expected to be appointed to the post for the nearly 3 years remaining in the Bush Administration, sources said Thurs. Kneuer could be unseated if another candidate with better political connections emerges, but he’s the clear front runner for the post as the President’s top spectrum and Internet adviser and the head of an agency of almost 300 people.

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“I do think they will promote someone into Gallagher’s job and I expect it to be Kneuer,” said a top communications lawyer: “I've heard that the Secretary of Commerce thinks very highly of him. Gallagher thinks very highly of him.”

“At this stage of the 2nd term the only way [another candidate would emerge] would be as a political favor for someone who wants the title,” said a 2nd industry source. A few other names have been floated, such as White House aide Richard Russell, previously rumored for a slot on the FCC. But sources said they're not consistently hearing other names.

Kneuer became deputy dir. in July 2004, after joining NTIA in Oct. 2003. He had been a lawyer at Piper Rudnick, exec. dir.-govt. relations at the Industrial Telecom Assn. and an attorney-adviser in the FCC’s Wireless Bureau. He’s a political appointee but doesn’t have the strong political pedigree of most previous directors.

Gallagher was more typical: He came off the Hill, where he was an aide to 2-term Rep. Rick White (R-Wash.). Gallagher’s success owed much to his being held in high regard by Don Evans, a former Commerce secy., who promoted his candidacy. But former directors have had various backgrounds. Nancy Victory was promoted by Richard Wiley, who played a key role in picking the Bush team on telecom during the first administration. Greg Rohde came from the Hill where he worked for Sen. Dorgan (D-N.D.) and had the support of Senate Democratic leaders. Larry Irving worked for Rep. Markey (D-Mass.) and was close to Commerce Secy. Ron Brown.

An industry source said Hill experience isn’t a necessity. “I don’t think there’s a rule of thumb,” he said. “It depends on circumstances. It all depends on timing.” The source said the danger for Kneuer is if a candidate emerges with better political ties: “If you get someone who is close to some senator then it’s kind of hard to overcome that pressure if you don’t have any political weight.”

Meanwhile, Seattle-based Perkins Coie announced Thurs. that Gallagher will return to the firm, where he started as an associate in 1989. He returned once before, after a stint as a Hill aide. Gallagher will be a partner in the firm’s D.C. office and chair the communications and govt. relations group. Perkins Coie represents communications companies including Qwest, Cingular, Sprint Nextel and T-Mobile and such Internet giants as Google and Microsoft.