E-RATE, RURAL TELECOM TO BE FOCUS OF FCC CONFIRMATION HEARING

Senate Commerce Committee members are meeting separately with FCC nominees Michael Powell, Kathleen Abernathy, Kevin Martin and Michael Copps in preparation for May 17 confirmation hearing, Senate staffers said. Members Tues. (May 15) and today scheduled informal gatherings “to get to know” candidates and in advance of hearing express views on communications issues that would be tackled under nominees’ tenure at Commission, according to several staffers. “It’s standard procedure to meet in advance” of confirmation hearing, committee spokeswoman said. She wouldn’t rule out possible advance meetings between Chmn. McCain (R-Ariz.) and nominees, but wasn’t aware of specific questions that he intended to address. E-rate and rural network deployment will be focus of questions by committee members, other Senate staffers said.

Sen. Hutchison (R-Tex.) intends to grill nominees on their views of e-rate program, aide said. She will seek assurances that program will continue to receive adequate resources to carry out its mission of providing discount Internet and telecom services and connections to schools and libraries. Staffer said Hutchison will raise issue in light of Bush Administration proposal to change how govt. disbursed funds to recipients. “She wants to be certain that the integrity of the program is protected,” staffer said.

White House earlier this year suggested possible transformation of e-rate program into block grants for states, but backed off when faced with need for legislation repealing part of Telecom Act. Most recent Administration plan (CD April 11 p1) was contained in general provision in proposed Commerce Dept. budget that would require FCC to conduct new rulemaking to expand services eligible for e-rate money. E-rate supporters have said such approach would raise questions about e-rate’s legality and thus destroy program. Hutchison doesn’t have concerns with nominees’ qualifications, staffer said.

Senate Republican High-Tech Task Force Chmn. Allen (Va.) might raise Internet taxation issue at hearing, spokesman said. Although FCC “has limited role” in determining future of Internet taxation policy, Allen might discuss matter to assess what impact Commission otherwise could have in that area, he said. Allen met Tues. with Martin and Abernathy to discuss that and other subjects of concern, including reciprocal compensation arrangements between incumbent and competitive local exchange carriers for dial-up Internet-bound traffic. Sen. Cleland (D-Ga.) also met with Martin and Abernathy and scheduled meeting with Copps today (Wed.), but aide wouldn’t reveal details of discussions.

Sen. Burns (R-Mon.) will question nominees on rural access to telecom and broadband services, spectrum allocation reform and E- 911 implementation, staffer said. Sens. Stevens (R-Alaska), Dorgan (D-N.D.) and Smith (R-Ore.) also intend to question nominees on rural broadband issues, staffers said.

Senate Majority Leader Lott (R-Miss.) doesn’t intend to release list of prepared questions for hearing, staffer said. Sens. Fitzgerald (R-Ill.) and Breaux (D-La.) haven’t developed line of questioning for nominees, aides said. Other committee members didn’t provide comment on hearing.