Unlike 2013, FCC Will Leave Key Systems Online; Auction Work Continues

The FCC will continue to make key systems available to the public, even as staff are sent home starting mid-day Thursday, said a detailed announcement (see 1901020043). Many, including staff, feared systems would be taken offline as they were in 2013 (see 1812280021). Staff held an all-hands meeting Wednesday afternoon to be briefed on the details before release of the public notice, agency and industry officials said.

Ongoing work on spectrum auctions will continue. The FCC's high-band 28 GHz auction will resume Thursday after taking a holiday hiatus, the FCC said in a second notice Wednesday.

The systems still available include the electronic comment filing system, the universal licensing system, the electronic document management system and the auctions public reporting system. The Daily Digest will be published each day, but only for auction-related items. All submissions that would be due during the suspension, starting Thursday, will now be due on the second day of normal operations. Deal shot clocks also will go on hiatus.

The FCC said Monday it will “suspend most operations in the middle of the day” Thursday absent an end to the shutdown. Employees have up to four hours to complete an orderly shutdown. “Work required for the protection of life and property will continue, as will any work related to spectrum auctions, which is funded by auction proceeds,” the agency said then.

Commission staff “will continue to perform ongoing work related to spectrum auction activities,” said the Wednesday PN. “All spectrum auction filing deadlines will continue to apply. Commission staff will be available to answer spectrum auction questions and may communicate with relevant parties regarding spectrum auction activities and requirements.”

The shutdown was on track to drag into Thursday after Capitol Hill leaders who attended a meeting with President Donald Trump's administration told reporters there hadn't been progress to end the border wall funding impasse. Likely incoming Speaker Nancy Pelosi, D-Calif., vowed to file a funding bill sans the border wall money when the 116th Congress convenes Thursday. Senate Majority Leader Mitch McConnell, R-Ky., said he wouldn't seek a vote on any bill to end the shutdown unless it had support from Trump and Hill Democrats. Trump warned before the meeting it "could be a long time" before the government hiatus ends.

Disruptive

Leaving systems online “certainly mitigates some of the damage but doesn't change the fact that this will seriously disrupt operations to the detriment of the hard-working staff, industry stakeholders and the public,” said Georgetown Law Institute for Public Representation Senior Counselor Andrew Schwartzman.

Unless a government-funding deal is reached by the end of Friday, no federal officials can travel to CES next week to participate in the policy discussions held there every year. Other events, including the planned Jan. 30 commissioners’ meeting, likely face postponement, industry officials said.

The federal government has been partially closed since Dec. 22, in what is already the third longest closure in the history of the federal government. The longest was 27 days in 1995-96.

“This is an especially bad time to be taking our foot off the gas in the effort to repurpose C-band spectrum for 5G wireless,” said Preston Padden, C-Band Alliance head-advocacy and government relations.

The closure raises questions for the Schools, Health & Libraries Broadband Coalition, said Executive Director John Windhausen. Comments were due Jan. 7, replies Jan. 21, on the USF Rural Health Care Program, he said. Pai committed to complete the rulemaking in the first half of the year, Windhausen said. “If the comments are delayed … will that delay the FCC's ability to complete the rulemaking?” he asked. A staff report on the E-rate Category 2 program is due in a couple of weeks, he said: “Will that be delayed as well?”

Association Concerns

American Cable Association President Matt Polka emailed that small and mid-sized cable ISPs likely won't be seriously affected if the FCC shutdown lasts only a few days. If it goes longer, ACA, its members and others and all others who interact with the agency "will have their requests delayed, which is not a good thing," he said. He said the shutdown would halt FCC work to encourage broader broadband deployment "and that could be a blow to communities and consumers who are looking to the FCC for help."

Satellite Industry Association President Tom Stroup said an agency shutdown has operational implications almost immediately for companies seeking special temporary authority for relocating an earth station or satellite. Depending on how long the shutdown lasts, it could start having broader implications as it affects timing of satellite-related proceedings such as the agency's look at orbital debris rules, he said.

Others said a shutdown in general isn’t all bad. “It depends on who you talk to,” said Lawrence Spiwak, president of the Phoenix Center: “Sometimes, no action is preferable to action.” Spiwak said anyone with a deal before the FCC on the clock, especially one with a breakup fee, will have the most anxiety. Work on other items will be slowed, he said. Over the holidays, no one does much work anyhow, he said.

The Office of the U.S. Trade Representative continues “to conduct all operations” despite the shutdown (see 1901020017).