Homeland security was dominant theme in President Bush’s FY 2003 budget proposal released Mon., with new money for securing telecom facilities among leading priorities. Some $3.5 billion would be allocated to assist first responders to emergencies in wake of Sept. 11, including support for landline and wireless telecom networks, twelvefold increase over FY 2002. Administration also outlined proposals for auctioning broadcast spectrum for 3G wireless and again proposed fines for broadcasters continuing to use analog spectrum after 2006.
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FCC asked for comments on how to fine-tune its rules for administering e-rate program, part of universal service program that provides funding to connect schools and libraries to Internet. In Notice of Proposed Rulemaking (NPRM) issued Jan. 25, FCC said parties, including schools, libraries, service providers and representatives of local and state govts., had made proposals to improve program. NPRM will explore those ideas, as well as any others offered by parties: “We continue to seek ways to ensure that the program funds are utilized in an efficient, effective and fair manner, while preventing waste, fraud and abuse.” Agency said it sought comment on variety of eligibility issues such as whether: (1) Wide area networks, wireless services and voice mail were eligible for e-rate funding. (2) Schools and libraries could get discounts for Internet access service that might have limited amount of content if it was most cost-effective way to get access. (3) Schools and libraries should be required to provide certification that they were in compliance with Americans With Disabilities Act. (4) Changes were needed to rule governing when members of consortium could receive service from tariffed provider at below-tariffed rates. FCC also seeks comment on issues that arise once discounts have been granted, such as: (1) How schools and libraries make payments. (2) Limits on transferring equipment obtained with universal service discounts. (3) Allowing members of rural communities to use, for other purposes, excess capacity of services obtained through e-rate discounts. NPRM also will look at proposals for improving appeals process, strengthening enforcement, handling unused funds. Comments will be due 45 days after publication in Federal Register. Comr. Copps said that although he “wholeheartedly” supported seeking comment on ways to improve program, he dissented on one part involving whether unspent funds in one year could be provided to schools and libraries in later years. He said Commission made clear in its original rules in 1997 that funding could be carried forward to subsequent years, “yet the notice the Commission adopts today states that our rules are ambiguous” on that issue. “I find no ambiguity.”
Study by Parents TV Council said prime-time basic cable was “considerably raunchier” than broadcast networks. PTC researchers examined 33 original prime-time series on basic cable, constituting more than 100 hours of programming in spring and summer 2001. Researchers looked for sexual and violent material, as well as foul language. Study, called Wired for Raunch, found 21.7 instances per hour of what it termed sexual references, coarse language and violence, compared with 9.8 per hour on broadcast networks in fall 1999. PTC called Comedy Central’s South Park “the worst series,” with 126 offenses per hour. Two MTV Shows, Undergrads, with 73.2 instances, and Celebrity Deathmatch, with 66, were 2nd and 3rd, respectively. Overall rate of sexual content was 3.6 instances per hour -- same as fall 1999 broadcast rate. Study said cable was far worse on foul language and violence. “The study clearly reveals that the cable industry is eclipsing the broadcast networks’ ability to crank out offensive programming in prime time,” PTC Pres. Brent Bozell said. Comedy Central spokesman said Comedy Central and Southpark weren’t intended to be children’s programming. He called show “social satire,” and noted it isn’t shown until 10 p.m. “Comedy Central isn’t America’s babysitter. Parents need to monitor what their children are watching,” spokesman said. MTV spokeswoman didn’t immediately return phone call seeking comment.
Iowa Utilities Board refused to reconsider Oct. access charge decision requiring AT&T and other interexchange carriers to pay access charges to CLECs where CLEC rate was higher than incumbent telco rate. Board also lifted payment stay it had imposed pending decision on rehearing. AT&T had argued that CLEC access charges that were higher than incumbent telcos’ rates weren’t justified by CLEC costs. In original ruling, AT&T won partial victory when board ruled CLECs had no reason to include carrier common line element in their access charges because they had no embedded plant. But for other access rate elements, board said CLECs could charge rate higher than telcos to recover their costs, but IXCs could challenge those rates if they believed them unjustified by cost. Board said AT&T raised no new issues or facts to warrant rehearing and directed it to pay past-due access charges at then-effective rates, less common line charges.
European Telecom Network Operators’ (ETNO) Assn. Dir. Michael Bartholomew said pending European Union telecom regulatory package was unlikely to foster single telecom market. “This mix may well yield an unpredictable regulatory cocktail,” he told IP Interconnection 2002 Forum in Berlin. “In an increasingly competitive and pan-European telecom market, safeguards against arbitrary or eccentric NRA [National Regulatory Authority] decisions are needed,” he said. Package awaits formal adoption and would take effect 15 months later, ETNO said. Pending telecom regulatory framework covers access, interconnection and authorization and universal service obligations. Bartholomew said in its current form, package appeared to go against its original aims of “minimizing sector-specific regulation and creating a level playing field for EU telecom operators.”
Decision facing Assn. of Local TV Stations’ (ALTV) board in noon Thurs. conference call will be “how to shut it down,” not “whether,” we were told Mon. following last week’s recommendation by Exec. Committee that Assn. close its doors. Move comes after loss of several large TV station groups as members that accounted for more than half of Assn.’s annual revenue. ALTV’s 5 staffers, headed by Pres. James Hedlund, would receive severance pay, according to board member, who said there was no prospect Assn. would join forces with another group. ALTV was formed in Aug. 1972 as Assn. of Independent TV Stations (INTV), in part to counter joint strength in Washington at time of then 3 TV networks and their affiliates. Assn. has been active in proceedings on cable, allocations, DTV, other issues. For 10 years, ALTV held its convention in conjunction with NATPE, but canceled this year’s (originally scheduled for last week in Las Vegas) following Sept. 11 terrorist attacks and withdrawal of most of its large group members. In its latest IRS filing for calendar year 2000, ALTV reported revenue of $1.61 million (including $203,739 from its convention), with expenses of $1.7 million, for net lost $95,980. However, at end of year Assn. had reserve of $3.06 million to be used for orderly shutdown, we were told. Hedlund was paid $369,021 in salary and other benefits in 2000.
Given up for dead at end of first session of 107th Congress, economic stimulus legislation was introduced in Senate Jan. 23 but already faces less than promising future, even its sponsors acknowledged. There are several provisions of interest to telecom community, including broadband tax credits for rollout to rural areas originally sponsored by Sen. Rockefeller (D-W.Va.). However, tight legislative calendar, partisan divisions and growing sense that such legislation isn’t necessary are making passage seem unlikely. Meanwhile, high-tech groups were disappointed Fri. when tech- friendly amendment by Sen. Smith (R-Ore.) failed on party- line vote of 39-45.
Ky. House passed bill to toughen state’s no-call telemarketing list. Measure (HB-47) would delete most exemptions in current list administered by Consumer Protection Div. of state attorney gen. office. Original bill would have deleted all exemptions except for local exchange carriers and cable TV companies, but House added amendment to keep exemptions for businesses calling local numbers, debt collectors, charities, real estate agents. Bill also would require telemarketers to use only live agents in telemarketing calls. Bill now goes to state Senate, where supporters expect strong opposition. Ky. no-call list has 41,000 numbers.
Emergency must-carry petition filed by NAB and ALTV is beyond scope of Congress and would boomerang on their members by cutting off EchoStar subscribers’ access to local broadcasts in major markets and should be denied, Satellite Bcstg. & Communications Assn. told FCC in filing Wed. NAB and ALTV would “rather shoot themselves and their members in the foot for political gain than allow satellite carriers to bring local TV signals to as many subscribers as possible,” SBCA argued. Meanwhile, NAB and ALTV continued to push Commission to “block scheme” by EchoStar to require subscribers to install 2nd dish to receive local signals. Groups said they believed FCC rules prohibited satellite carriers from using 2 separate dishes to receive full package of local channels and subscribers shouldn’t be required to buy 2 dishes to receive signals for local channels.
Wireless carriers are backing request to FCC that seeks clarification about when public safety answering points (PSAPs) are ready to receive data under Enhanced 911 rules. Sprint PCS in Nov. filed petition for reconsideration seeking changes to documentation requirements for PSAPs that FCC had created. Cingular Wireless also has filed petition for reconsideration, challenging overall decision by Commission on PSAP readiness and citing procedural and substantive grounds. Richardson, Tex., originally asked FCC to better define what constituted valid PSAP request for E911 service. Oct. decision by FCC now under challenge had said that PSAP submitted valid E911 request: (1) If any upgrades needed on PSAP network would be completed within 6 months of request. (2) If PSAP had made “timely request” to LEC for trunking and other facilities needed for E911 data to be transmitted. Assn. of Public-Safety Communications Officials-International (APCO), National Emergency Number Assn. and National Assn. of State Nine One One Administrators told FCC in comments that they disagreed with changes Sprint sought on LEC readiness part of order. Sprint said PSAPs should be required to document that necessary LEC upgrades will be completed within 6 months of E911 data request or LECs should publish their Phase 2 database upgrade schedule. “Such a LEC publication requirement should not, however, alter the basic obligation of carriers to respond to a PSAP request, so long as the PSAP can document that a database upgrade request has been submitted to the relevant LEC.” But CTIA said it agreed with Sprint petition to ensure PSAP request for Phase 2 E911 service was granted after PSAP verifies it was ready to use information. “Requiring wireless carriers to deliver Phase 2 services when the PSAP will not be capable of utilizing the data within the 6-month implementation period is a waste of resources,” CTIA wrote. Group said “despite the best intentions of the PSAPs,” they have record of not being able to receive and use Phase 1 data even if mechanism is in place for recovering costs of system upgrades. Even in states where PSAPs have access to state funding for preparing for E911 compliance, “it is anticipated that a majority of states have or will raid funds dedicated to wireless 911 to cover budget deficits,” CTIA said. To make sure carriers have protection from spending “unnecessary resources” and that PSAPs will be ready to use E911 data, CTIA said FCC should give wireless operators more time for installation when PSAP “fails to substantiate Phase 2 readiness.” CTIA agreed with Sprint proposal that Phase 2 service only can become operational when automatic identification location database capabilities needed from LECs have been upgraded for Phase 2. Nextel also filed comments siding with Sprint, saying valid PSAP request for E911 has to demonstrate technical upgrades by wireless carrier, PSAP and LEC. “If any prong is not in place, Phase 2 E911 cannot be deployed,” Nextel wrote. VoiceStream also stressed in comments that FCC can’t assume that because PSAP has requested database upgrade from LEC, that system will be in place in 6 months.