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GAO Lists DTV Transition as White House Priority

The DTV transition is among 13 priorities the new White House must confront immediately, the Government Accountability Office said Thursday. Nearly a third of U.S. households are at “some risk” of losing TV service Feb. 17, GAO said, and many Americans are confused about what to do. NTIA likely will see coupon demand rise as the transition nears but “has no plan to address the increased demand,” the agency said.

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Broadcasters have made significant progress preparing for the transition, but some need to resolve “difficult technical, coordination, and construction issues,” GAO said, and NTIA needs a plan addressing an increase in coupon requests likely to occur as the transition nears. House Commerce Committee Chairman John Dingell, D-Mich., asked NTIA in September to provide a plan within 30 days (CD Sept 17 p5). NTIA sent the plan to the committee Thursday, an NTIA spokesman said.

The FCC can enhance the transition by working with broadcasters on technical and coordination issues as well as on alerting people to the change, GAO said.

GAO flagged issues needing attention at key agencies, warning that the FCC needs to address its “stovepiped” regulatory structure separating industries. Congress should amend FCC procedures so they reflect changes in the industry, GAO said. “An outdated legislative and regulatory framework that does not reflect the current technology and market structure can hinder the continued advancement of the communications industry,” the agency said.

The FCC should consider collecting more data and devising more measures of competition on an ongoing basis, GAO said. It also needs to write a meaningful, functional definition of effective competition, GAO said, saying taking such steps could encourage competition, lower prices and offer more consumer choices.

GAO cited problems with the universal service program, recommending that the agency develop performance goals for the high-cost fund and schools and libraries E-rate program. The FCC needs to identify areas of risk in the high-cost fund’s internal control environment, which could help the programs perform as intended, it said. “In several reports, we have identified weaknesses with the management and oversight of the USF,” GAO said. “Because of these weaknesses, it is not clear whether the USF is achieving the desired outcomes in an effective and cost-efficient manner.”

Criticizing FCC operations, GAO said the agency should set performance goals, do a better job of collecting data and “ensure equal access to information pertaining to its rule-making process, which will help ensure a fair and transparent process.” GAO plans to report again soon on the DTV transition, it said.