Witnesses expected to testify at Tues.’s hearing on broadcast fla...

Witnesses expected to testify at Tues.’s hearing on broadcast flag issues before the Senate Commerce Committee include Andy Setos, pres.-engineering, Fox Entertainment Group; Jonathan Band, counsel-American Library Assn.; Thomas Patton, vp-govt. relations, Philips; Leslie Harris, exec. dir., Center for Democracy & Technology; RIAA Chmn. Mitch Bainwol; CEA Pres. Gary Shapiro; Dan Halyburton, senior vp, Susquehanna Radio and chmn. of NAB’s audio flag task force. The hearing may take up a draft of legislation, proposed by Sen. Smith (R-Ore.), that Public Knowledge released Fri. It would let the FCC limit unauthorized copying of digital audio and video broadcast content over digital networks. Smith’s aides wouldn’t comment on the legislation. On video broadcast flag, the draft would give the FCC the authority a federal appeals court said the agency lacked when the court vacated flag rules 2 years ago. The new measure is supported by the MPAA and CE makers such as Philips and Thomson but opposed by consumer groups that got the flag regime thrown out. The bill also would give the FCC authority to impose broadcast flag protections on digital radio. It would direct the Commission within 60 days of enactment to form a “federal advisory committee” composed of representatives of “affected” private-sector groups “to draft and submit” a technical proposal that would become the basis of any future rulemaking to establish an audio broadcast flag. The draft says those private groups “must include, but are not limited to” the IT, software, CE, radio broadcast, satellite radio and cable industries. Also to be represented are music publishers, performing rights organizations and public interest groups, the draft says. The advisory committee would have 12 months from the bill’s enactment to agree on a technical proposal and submit it to the FCC. The Commission could extend the deadline up to 6 months if it finds the advisory committee is making “substantial progress” and its representatives are negotiating in good faith. If not, the Commission would start a rulemaking within 30 days after determining no technical proposal was forthcoming. Audio flag rules would have limitations: (1) No incremental royalties could be required for the content protections. (2) No rules could take effect until the Commission approves at least a minimal number of approved recording and protection technologies. (3) No significant expense could be added to the cost of digital radios.