Republicans Tell Cable Show They'll Resist Regulation

Hutchison said the basis for regulatory action should be evidence that consumers have been harmed, “not hypothetical.” Proposals like a la carte seem consumer-friendly at first blush, she said, but after a closer look she concluded it would lead to higher prices and fewer choices. “I think we should stay away from mandated a la carte,” Hutchison said. But she asked the cable industry to give consumers options, such as smaller programming packages, to help avert regulation. “Basic cable is not inexpensive,” she added.

Net neutrality legislation, which could be introduced soon, is a “solution in search of a problem,” Hutchison said. She encouraged industry to resolve the issue before Congress gets involved. “I guarantee you that if there is a bill it will have a lot in it that you will not like.” She also advised industry to settle retransmission-consent matters voluntarily. “You do not want Congress to get involved in this area.” Those involved should work out agreements “well in advance” of a contract’s expiration, Hutchison said. Doing voluntarily a few things that are difficult can go a long way toward preempting regulatory or legislative intervention, she said.

Hutchison told reporters after her speech that several R candidates for the open FCC Republican commissioner’s position are under consideration and a decision is likely soon. “We are in the final stages,” Hutchison said, adding that she has another interview to do and is talking with Minority Leader Mitch McConnell of Kentucky. Hutchison confirmed that the party would like to pair a GOP nominee with Julius Genachowski, the Democrat nominated to become the FCC’s chairman. “I think it’s wise.” Budget discussions are dominating Senate business, making it difficult to consider commission nominees, Hutchison said.

Two telecom priorities for the Senate Commerce Committee are oversight hearings on digital transition and broadband, Senate Communications Subcommittee Chairman John Kerry of Massachusetts told reporters Tuesday after an NCTA dinner. “We've been in touch with the FCC and the administration” on DTV matters, Kerry said.

Kerry said he and Committee Chairman Jay Rockefeller, D-W.Va., have agreed on a division of duties on communications issues. The subcommittee will deal with oversight of DTV and broadband, net neutrality, privacy, satellite reauthorization and FCC processes, Kerry said, and Rockefeller plans to keep universal service matters at the full committee. USF, particularly the schools and libraries E-rate fund, is a longstanding matter of concern to Rockefeller, Kerry said.

The broadband and DTV hearings probably will be scheduled soon after Congress’ spring break, which starts Saturday, Kerry said. “We'll also have net neutrality” discussions, although he said it isn’t clear whether legislation would move. Kerry said he has supported past legislation but he’s made no decision on a strategy this Congress. Sens. Byron Dorgan, D-N.D., and Olympia Snowe, R-Maine, are expected to reintroduce net neutrality legislation that they sponsored last Congress, Kerry and Hutchison said.

The committee hopes to move quickly on a confirmation hearing on Genachowski, Kerry said. Asked if that nomination would be paired with a Republican’s, Kerry said, “I don’t think necessarily. We'll take things as fast as we can.” He said that, as with many other federal nominations, the paperwork on Genachowski’s appointment isn’t complete.

An FCC revamp, a goal the subcommittee, may not require legislation, Kerry said. The committee needs to discuss options, to “see what the best way to proceed is.” Privacy issues also are a priority for the subcommittee. “I'm going to have a hearing, maybe a couple … because this issue has grown. I think we need to understand it.” There is “serious question of whether opt-in is sufficient” protection for consumers, who may not understand what data is collected and how it’s used, he said. Anne Veigle