Wireless carriers cautioned the FCC against imposing a mandate that they be able to broadcast emergency alerts to subscribers, warning that the delivery of millions of alerts would choke networks, possibly during times of national emergency when subscribers need to place other calls. Carriers also advised the Commission that the costs for wireless carriers would be significant and shouldn’t be imposed without federal support.
U.S. cities want to keep control over video franchising, representatives told the FCC ahead of a deadline for comments on a controversial rulemaking. About 30 municipalities have told the Commission they want to the right to review and issue approval for the entry of Verizon’s FiOS fiber TV service and other cable providers’s efforts in that area. Sales of FiOS began Sept. 22 in Tex. Responses to the FCC local franchise inquiry are due Feb. 13, replies March 14. The inquiry seeks comments on the efficiency with which municipalities issue competitive video licenses (CD Nov 21 p6). FCC Chmn. Martin said last week a key 2006 Commission priority is facilitating competitors’ entries into markets with incumbent cable firms (CD Jan 23 p3). As of late Mon. nearly half the franchise filings came from N.C. - probably because regional members of the National Assn. of Telecom Officers & Advisors have been lobbying hard there, Libby Beaty, the group’s exec. dir., told us. She said she hopes the filings so far are just the tip of the iceberg. Her group’s expanding effort includes a form letter officials can sign and send, she said. “I certainly asked and encouraged and pleaded with them to make their own showings as to what they're doing and how they're doing it,” Beaty said. “There’s nothing that can supplant their giving the information to the FCC directly… They have the facts.” Boilerplate that Beaty’s group provided dominates many filings: “Local governments can issue an appropriate local franchise for new entrants into the video services field on a timely basis,” said Redding, Cal., Pennsville, N.J., and Asheboro, N.C., among other cities. But Pennsville and other towns also said they lack ways to offer franchises to firms other than cable operators already serving them. Manatee County, Fla., and other more heavily populated jurisdictions told how they have tried to streamline franchise applications. Manatee County said it was spurred to update its cable rules when Verizon began seeking permission from numerous municipalities to expand its fiber TV service. Verizon and changes in state law “caused Manatee County to recognize that its then-existing cable ordinance was not in the best shape to effectively and efficiently deal with core issues,” it said.
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.
Cable family tiers may not meet consumer needs, FCC Chmn. Martin and Comr. Copps said a day after senators carped about the packages’ paucity of sports and other popular content (CD Jan 20 p1). Martin, though less critical than Copps, said he shares some worries voiced Thurs. by Sen. Lautenberg (D.-N.J.) and Va. Republican Sen. Allen and other legislators.
National wireless carriers were called to the FCC late Fri. for a meeting in the Enforcement Bureau with bureau and other staffers to discuss safeguards to prevent data brokers -- who often sell their services on the Internet -- from obtaining subscriber cellphone records, sources said. Meanwhile, Chmn. Martin told reporters following Fri.’s agenda meeting the Commission has issued several subpoenas as it investigates how companies obtained mobile-phone records.
The N.Y. PSC Thurs. urged an appeals court to overturn an FCC decision preempting state oversight of cable IP telephony -- which an FCC attorney at the hearing said hasn’t occurred yet. The issue arose Thurs. in an oral argument before the 8th U.S. Appeals Court, St. Louis, on challenges to a Nov. 2004 FCC order preempting state regulation of Vonage.
American Cable Assn. (ACA) members want to offer an adult programming tier that would be separate from expanded basic service, said Pres. Matthew Polka. Smaller and rural cable operators that belong to ACA want to make expanded basic service, bought by most cable subscribers, “family friendly,” said Polka. The aim is to take racy programming out of that popular package and put it into a separate offering targeted at adults. ACA is awaiting FCC action on its petition to change retransmission consent rules, which could allow unbundling of broadcast stations from affiliated cable networks that carry objectionable programming, said Polka.
Even with matters pending at the FCC, the regulatory focus for the BPL industry will turn increasingly to the states in 2006, said industry officials. “The states are going to have the most activity” this year, said Brett Kilbourne, regulatory dir. of the United Power Line Council (UPLC). FCC action is awaited on petitions for reconsideration of its BPL rules as well as a plea by the UPLC to classify BPL as an information service on the lines of DSL and cable modem. Industry officials said they are also following efforts in Congress to rewrite the Telecom Act.
Local govts. should file comments on the FCC rulemaking on local competitive franchising, NATOA said in a statement. NATOA has “identified a number of issues of concern and interest to local governments,” said NATOA Exec. Dir. Libby Beatty: “We also believe the Commission lacks the authority under the Cable Act to adopt or enforce rules in this area.” NATO Pres. Lori Panzino- Tillery, San Bernardino, said it’s important that the FCC not act “based on anecdote.”
FCC Chmn. Martin made it clear he still backs a numbers-based approach to reforming the way companies contribute to the Universal Service Fund (USF), despite concerns about that method’s effect on low-volume telephone users. User groups have said a phone number- based approach would hike USF fees carriers pass on to customers.