House Appropriations Likely to Probe FCC Actions Wednesday

“Policy is money and money is policy, so you'll see a lot of questions from us” about FCC actions, said House Appropriations Financial Services Chairman Mike Quigley, D-Ill., in an interview. President Donald Trump's administration proposed more than $335.6 million for the FCC and its Office of Inspector General, with $11 million allocated to OIG (see 1903180063). FCC Chairman Ajit Pai and Commissioner Jessica Rosenworcel are to testify (see 1903270045). The hearing begins at 1:30 p.m. in 2362-A Rayburn.

Those questions likely will include some on net neutrality, including lingering concerns about the FCC's conduct of its rulemaking process before its 2017 vote to rescind its 2015 rules, Quigley told us. “That will certainly be part of it, but many policy issues” will likely come up. The hearing is to happen the same day the House Commerce Committee is expected to advance the Save the Internet Act. HR-1644 would add a new title to the Communications Act overturning the FCC order rescinding its 2015 rules (see 1904020053).

House Appropriations Financial Services probably won't delve as deeply into telecom policy matters as the House Communications Subcommittee would during a normal FCC oversight hearing, but Democratic lawmakers are likely to use the panel to air grievances on net neutrality and other issues, lobbyists said. Those issues may include concerns about the FCC's 3-1 decision in December clarifying text messages are a lightly regulated Communications Act Title I service (see 1904020056), lobbyists said. Reply comments were due after our deadline Tuesday on a petition for reconsideration of the order. Lawmakers may also press the FCC on its plans to combat illegal robocalls and on communications sector combinations like T-Mobile's proposed buy of Sprint (see 1904020027), lobbyists said.

Commissioners' Testimony

FCC 2019 priorities include continuing to “work to secure our nation’s leadership in 5G,” including by holding auctions for spectrum in the 3.5 GHz, 37 GHz, 39 GHz and 47 GHz bands, Pai says in written testimony. He touts the FCC's ongoing auction of 24 GHz spectrum and the recent conclusion of its auction on the 28 GHz band (see 1903140074). The 24 GHz auction hit $1.77 billion in gross bids Tuesday after 40 bidding rounds (see 1904020078).

Pai notes a broad goal of continuing to “close the digital divide,” including via its proposal to eliminate an E-rate amortization rule it already waived for the duration of a rulemaking (see 1901310061). He cites FCC ongoing work on USF program revamps. A draft NPRM on a potential USF budget is taking heat (see 1903280050). FCC Commissioner Mike O'Rielly responded Tuesday (see 1904020022).

Pai says the FCC plans to “take further steps to improve 911 calling,” including implementing the Kari's Law Act and “final action” on a data privacy and security framework for adding z-axis data to its 911 location accuracy rules (see 1903180065). Pai plans to also continue to “modernize and reform” the FCC's media rules. He highlights aspects of that revamp aimed at promoting “diversity in the media sector,” including its broadcast incubator program and the Advisory Committee on Diversity and Digital Empowerment.

Rosenworcel derides the FCC's FY 2020 budget request, which is up from the $322 million proposed in the FY 2019 budget but down from the $339 million enacted in the final spending bill passed in February (see 1902150055). “If adopted, it would result in the smallest payroll in decades -- at a time when communications technologies loom larger than ever before,” Rosenworcel says.

“This agency is already mocked in the media, criticized by the public, and derided by consumers for failing to take their interests to heart," Rosenworcel says. "Too often the FCC has acted at the behest of the corporate forces that surround it, shortchanging the American people and undermining our digital future.” Budgets “are not just about accounting,” she says. “They are a statement of values. And I believe this budget falls short of what is needed to uphold essential values in our communications laws.”

NTIA Mapping

NTIA's broadened role in improving national broadband coverage mapping got attention from both of West Virginia's senators during the Senate Appropriations Commerce hearing. That was among the few moments of tech policy discussion during a panel largely dominated by questions about the upcoming 2020 census and other unrelated issues.

The Trump administration proposed more than $42.4 million in funding for NTIA. That’s up from the more than $33 million proposed in FY 2019 and the $39.5 million ultimately allocated. NIST Director Walter Copan and PTO Director Andrei Iancu faced far less attention. The Trump administration proposed allocating $955.58 million to NIST and $3.45 billion to PTO.

Sens. Shelley Moore Capito (R) and Joe Manchin (D), both West Virginia, separately noted their ongoing concerns with recent broadband maps, including the FCC's widely criticized Mobility Fund Phase II data. Recent maps were “screwed up royally,” Manchin said, noting his own challenge of the MF-II data (see 1811280059). Manchin temporarily placed a hold in December on Senate reconfirmation of Commissioner Brendan Carr over the issue (see 1812200060). Capito raised concerns about NTIA's practice of gathering broadband data directly from ISPs, saying it was comparable to “me grading myself.”

NTIA Administrator David Redl noted the agency's current work with the FCC, USDA and eight states to collect more granular broadband coverage data (see 1902120026). He acknowledged Capito's concerns about ISP-provided data, saying collecting information from as many sources as possible would let NTIA better identify discrepancies.