House Democrats and the FCC are targeting cellphone theft, using efforts revealed Friday. Leading Democrats on the Commerce Committee sent letters Friday to wireless carriers, device and operating system makers, asking how they protect their customers after their cellphones are stolen. Separately, committee member Eliot Engel, D-N.Y., proposed a law requiring carriers to track stolen devices. And FCC Chairman Julius Genachowski said the commission is working with industry and public safety officials to address the issue. CTIA promised to cooperate with the FCC and law enforcement. But the possibility that Congress could take on legislation raised red flags for groups that don’t often agree with each other.
The House plans a floor vote next week on the FCC reform bill (HR-3309) by Communications Subcommittee Chairman Greg Walden, R-Ore., said a spokeswoman for Majority Leader Eric Cantor, R-Va. The House Rules Committee announced Thursday it plans to mark up HR-3309 on Monday at 5 p.m. in Room H-313 of the Capitol. Communications Subcommittee Ranking Member Anna Eshoo, D-Calif., has said she plans to again offer an amendment to HR-3309 requiring more broadcaster disclosure about political ads (CD March 12 p5). Eshoo and nearly every other House Commerce Democrat voted against HR-3309 in committee markup. If the bill passes, it could have a tough time in the Senate, where Democrats in control have shown no interest in pursuing process reform specific to the FCC.
Senators asked Comcast and Verizon Wireless to respond to fears that their spectrum and marketing deals might harm competition. Testifying Wednesday at a Senate Antitrust Subcommittee hearing, officials for the top telco and top cable company said the spectrum acquisition is about putting unused frequencies to better use, and the marketing agreement is about consumer convenience. But other witnesses painted a darker competitive landscape with higher prices and fewer competitors.
The cybersecurity working group of the House Communications Subcommittee aims to finish its work by the end of the month or early April, multiple Capitol Hill officials said. The group has held several staff-level meetings this month with stakeholders from across the tech sector and, at minimum, plans to release recommendations for the subcommittee, Hill and telecom industry officials said. Communications Subcommittee Chairman Greg Walden, R-Ore., has said he formed the group to make recommendations on several cyberissues including Domain Name System Security Extensions (DNSSEC), securing the supply chain and a voluntary code of conduct and best practices for network operators.
Republicans in the House and FCC took aim at Chairman Julius Genachowski for his proposal to require broadcasters to post political files online. At a budget hearing Monday of the House Appropriations Subcommittee on Financial Services, the plan was criticized by Chairman Jo Ann Emerson, R-Mo., and FCC Commissioner Robert McDowell. Genachowski defended the FCC’s authority to make the change and highlighted the commission’s progress freeing up spectrum and deploying broadband.
A federal appeals court reversed a district court’s decision upholding an Oregon-approved interconnection agreement between Qwest and Western Radio Services. Western disputed the Oregon Public Utility Commission’s approval of the agreement and claimed that Qwest failed to negotiate the agreement in good faith. The U.S. District Court in Portland had supported the Oregon commission and dismissed the good-faith claim. But in a ruling (http://xrl.us/bmybpi) released Thursday, the 9th U.S. Circuit Court of Appeals reversed the lower court’s decision to uphold the PUC and ordered the PUC to hold further proceedings consistent with the opinion. However, the appeals court affirmed the district court’s decision to dismiss the good-faith claim. The interconnection agreement violates the 1996 Telecom Act “insofar as it applies access charges, rather than reciprocal compensation, to calls exchanged between a [commercial mobile radio service] provider and a [local exchange carrier], originating and terminating in the same [local access and transport area], when those calls are carried by an interexchange carrier ('IXC'),” wrote Judge David Ebel for the San Francisco-based court. The involvement of an IXC does not alter the parties obligation to pay reciprocal compensation, he said. The 8th and 10th circuit courts have issued similar rulings and the FCC cited that case law “approvingly” in its Connect America Fund report and order, Ebel said. “While the PUC and the district court obviously did not have this clear guidance available to them at the time they rendered their respective decisions below, the FCC’s newly promulgated interpretation of the statute must yet be given effect.”
The FCC missed the House Commerce Committee deadline to answer questions related to LightSquared, a GOP committee spokeswoman said. The committee asked the FCC Feb. 28 to respond to several questions by Tuesday. On Thursday the committee was still waiting for a response, the majority spokeswoman said. The committee also has “not received any documents from the FCC yet,” but the March 13 deadline was only for responses to questions, not for documents, the spokeswoman said. “The FCC is continuing to cooperate with the Committee to provide the information we requested and we expect to see their responses and documents very soon,” Rep. Cliff Stearns, R-Fla., said in a written statement. The FCC “will be responding consistent with our discussions with Committee staff,” a commission spokesman said. Sen. Chuck Grassley, R-Iowa, has blocked FCC nominees Ajit Pai and Jessica Rosenworcel until the agency delivers LightSquared documents related to communications among the commission, White House and LightSquared investor Harbinger. In a floor speech Thursday about “Sunshine Week,” Grassley said it’s “idiotic” for the FCC to say it only has to respond to requests from the House and Senate Commerce committee chairmen. The Iowa Republican also criticized FCC Chairman Julius Genachowski for not keeping a promise to let Grassley interview commission staff about the LightSquared matter. “Actions speak louder than words,” Grassley said. “People can get away with lying, and they are stonewalling, pure and simple.” House Commerce members have indicated they will share the documents with Grassley, but observers say Rosenworcel and Pai are likely to face further hurdles to confirmation (CD March 12 p1).
"Dig once” legislation won’t be attached to the surface transportation bill in the Senate, a spokesman for Sen. Mark Warner, D-Va., told us Monday. Warner and Sen. Amy Klobuchar, D-Minn., had an amendment that would have required states to include broadband conduit during the construction of federal highways (CD Feb 23 p4). The American Association of State Highway and Transportation Officials “had some concerns” and GOP members on the Senate Environment & Public Works Committee “had questions, so we'll have to look for other opportunities to advance this common sense idea,” the Warner spokesman said. House Communications Subcommittee Ranking Member Anna Eshoo, D-Calif., has a similar amendment in the House requiring states to evaluate whether to include the conduit. But House Speaker John Boehner, R-Ohio, said last week that the House would vote on the Senate’s version of the transportation bill.
Broadcasters haven’t seen the last of a Democratic amendment requiring more disclosure regarding political ads. House Communications Subcommittee Ranking Member Anna Eshoo, D-Calif., said in an interview Friday that she plans to offer it again when FCC reform legislation (HR-3309) reaches the House floor. Broadcasters oppose the amendment due to liability concerns, and separately have been opposing proposed FCC rules to require all TV stations’ political-ad files to go online. (See separate report in this issue.)
Privacy laws “need to change to keep pace” with technology, Microsoft General Counsel Brad Smith said at the International Association of Privacy Professionals (IAPP) summit. Companies opposing broad privacy laws said legislation is unlikely this year, but Smith said new privacy law is inevitable: The question is whether it will be “good law.”