Senate Communications Subcommittee Chmn. Burns (R-Mont.) said legislation affecting wireless privacy probably would be introduced this year and could pass. In a forum Mon. on telecom issues sponsored by The Hill newspaper, Burns said wireless privacy was an issue -- like the Do-Not-Call list -- that could get a quick response from Congress. He said he was working with Sen. Wyden (D-Ore.) and expected to introduce a bill this year, although he didn’t provide details on what aspects of wireless privacy it would address. Burns said there probably would be a hearing on the Universal Service Fund (USF) within the next 60 days. He said he had concerns about USF spending, including allegations of abuse in the E-rate program, but said legislators should focus first on how USF was funded, “then we'll worry about how the dollars are used.” Burns has floated draft legislation that would require intrastate telecom revenue be subject to USF. He said progress could be made soon on the impasse over the Internet tax moratorium. Burns said the issue was discussed at the recent Republican retreat in Philadelphia and “we may have made some headway.” The bill (S-151) by Sen. Allen (R- Va.) would establish a permanent moratorium on Internet access taxes. But Sens. Alexander (R-Tenn.), Voinovich (R- O.) and Carper (D-Del.) have expressed concerns that the bill also would strip states of their existing authority to levy telecom taxes. Burns said progress made at the retreat was stalled by the discovery of Ricin in the Dirksen Bldg., which “disrupted” negotiations. He said that the U.S. needed to do a better job of broadband deployment and that it was “time to set policy that will foster a broadband build-out.” VoIP will be an important issue, he said, specifically on the USF, but “all of the questions haven’t been answered” and lawmakers and regulators still needed to study the issue. Burns said communications could help improve the political climate in the Middle East. He said if the U.S. were successful in Iraq, it would lead to a “transportation and communication corridor” that could stretch from Tel Aviv to Kuwait City.
Vonage CEO Jeffrey Citron warned Fri. that “premature regulations could kill the nascent VoIP industry.” Speaking at a policy lunch sponsored by the Progress & Freedom Foundation in Washington, Citron said regulations could slow broadband deployment, undermine the U.S. position as a technological leader and force service providers offshore. He urged legislators to “bring clarity to the VoIP regulatory framework to protect competition. New laws are needed to ensure Internet applications remain free from regulation.”
Sprint Chmn. Gary Forsee called on the FCC to bring “much-needed clarity by promptly ruling that phone-to-phone VoIP should pay access charges.” Speaking at a Sprint investors meeting Wed. in N.Y., he said his company would take a high profile in addressing VoIP issues this year, pushing regulators to eliminate regulatory uncertainty: “Our perspective is to take prudent positions on initiatives such as UNE-P and VoIP to minimize the effect of regulatory mixed messages.” He expressed concern that “regulatory uncertainty” could interfere with the industry’s moving forward: “What this industry needs from regulation is clear, rational rules, especially surrounding VoIP and intercarrier compensation. Right now it’s a mess.”
Although Rep. Barton (R-Tex.) is mainly an energy expert, he could help lead the next overhaul of telecom regulations if he takes over the House Commerce Committee Feb. 16. Committee Chmn. Tauzin (R-La.) resigned Tues., effective that day, and said he wouldn’t seek reelection. Barton is widely regarded as front-runner for chairman, and he acknowledged Wed. he was seeking the job. He has a limited track record on communications, but sources -- and his own comments -- indicate he would be likely to push for comprehensive telecom reform in 2005.
The FCC would benefit from a Presidential budget that cuts spending in many other domestic areas. The budget, released Mon. by the White House, proposed a nearly $20 million increase for the FCC and a slate of new programs for NTIA. The $2.3 trillion budget forecasts a $521 billion deficit, and several domestic agencies saw spending cuts.
With the FCC preparing to conduct a comprehensive study of how the federal govt. should regulate VoIP, NCTA for the first time laid out what the cable industry saw as the regulatory regime it would like. In a white paper sent to FCC commissioners and Capitol Hill Mon., NCTA said federal and state policy-makers should be careful not to overregulate this new technology and service and, in fact, should impose minimal regulation. Such an approach to VoIP could have potential implications for the Universal Service Fund (USF) and the Communications Assistance for Law Enforcement Act (CALEA) which are funded under traditional common carrier regulations.
Verizon’s proposed plan for determining access charges on VoIP has at least one fan on Capitol Hill: Rep. Boucher (D-Va.), a member of the House Commerce and Judiciary committees. In a National Consumer League forum on broadband Thurs., Boucher said he was “impressed” by the ideas Verizon Senior Vp Thomas Tauke presented last week on VoIP regulation (CD Jan 22 p1). Boucher stressed that reform of access charges and the Universal Service Fund (USF) was critical. Highlighting comments by Senate Appropriations Chmn. Stevens (R-Alaska), who is likely to take the reins of the Commerce Committee in 2005, Boucher said Congress was likely to begin efforts next year on comprehensive reform of USF and other telecom regulations.
Congress will look to rewrite at least portions of current telecom law as early as 2005, Senate Appropriations Chmn. Stevens (R-Alaska) told a USTA Leadership Conference Mon. in Washington. Stevens, who said he “hoped” to take the reins of the Senate Commerce Committee beginning in 2005, laid out a road map for telecom policy that would feature a significant effort to revise parts of the Telecom Act of 1996.
The Federal-State Joint Board on Universal Service appears to be “very much divided” in its effort to seek improvements in the Universal Service Fund (USF)and, as a result, probably will present the FCC with some “conflicting views,” Western Wireless CEO John Stanton said Tues. in an interview with Communications Daily. Even in areas where there’s a majority view in the Joint Board’s recommendations, there probably will be an “active minority” view, perhaps leading to divisions at the FCC as well, Stanton predicted.
Congress isn’t expected to pass comprehensive legislation on communications issues this session, many sources said, but that doesn’t mean lawmakers won’t be busy in the communications realm. Most sources provided a laundry list of issues that would get at least some attention from lawmakers who return today (Tues.) for the 2nd session of the 108th Congress. While no large-scale bills are expected, Congress could pass legislation this year to restrict broadcast ownership, fund enhanced 911 (E911) and spectrum relocation, and renew the Satellite Home Viewer Improvement Act (SHVIA). But there’s likely to be a lot of talk on the Hill about communications issues, as VoIP, universal service fund (USF), broadcast decency and cable rates.