Subject: [NEXTEL-1] McCain on the FCC Reauthorization Act of 2003

From: [email-masked]
Date: Sun, 15 Jun 2003 15:22:27 -0400

FOR IMMEDIATE RELEASE
Date:	June 13, 2003
Contact:	Rebecca Hanks
Phone:	(202) 224-2670

Statement by Senator John McCain on the Federal Communications Commission
Reauthorization Act of 2003

Mr. President, today I am introducing the Federal Communications Commission
Reauthorization Act of 2003.  This legislation is designed to reauthorize the
Federal Communications Commission (FCC or Commission) so that it may continue to
carry forth its charge to ensure interference-free communication on interstate and
international radio, television, wire, satellite, and cable communications. This
independent agency has not been reauthorized since 1991. Senator Hollings will be
a co-sponsor of the bill.

The FCC is responsible for a wide range of duties, including establishing
regulatory policies that promote competition, innovation, and investment in
broadband services; ensuring that a comprehensive and sound national competitive
framework for communications services exists; encouraging the best use of spectrum
domestically and internationally; and providing leadership for the rapid
restoration of the nation's communications infrastructure in the event of
disruption.

This bill would reauthorize the Commission through fiscal year 2007. It would
require that all application and regulatory fees paid to the Commission be
deposited with the Commission subject to Appropriations.

The legislation also would authorize the Commission to allocate sufficient funds
to be used for an audit of the e-rate program to determine the specific fraud or
abuse that has occurred during the operation of the program.  Serious allegations
of fraud in the operation of the e-rate fund have been raised in recent months,
and we should provide the Commission adequate resources to ensure that e-rate
funds are being used for the purposes intended. The Commission would be required
to transmit a report of its findings and conclusions to the Senate Committee on
Commerce, Science, and Transportation and the House of Representatives Committee
on Energy and Commerce on the anniversary of the Act's enactment for each year
between 2004 and 2007.

Further, this bill would clarify the Commission's review of its media ownership
rules. Specifically, the bill sets forth the timing and the standard the FCC will
use for reviewing its broadcast ownership rules. Currently, the FCC is required to
review its broadcast ownership rules every two years. The bill lengthens the
duration between reviews from two years to five years. At a recent hearing, all
five FCC Commissioners recommended this change.

The legislation also would clarify the actions the FCC may take during its media
ownership reviews. Courts have found the current review standard to carry "with it
a presumption in favor of repealing or modifying ownership rules" as part of "a
process of deregulation." This bill modifies the review standard to specifically
allow the FCC to repeal, strengthen, limit, or retain media ownership rules if it
determines such changes are in the public interest. At a recent hearing, several
of the FCC Commissioners endorsed this change.

The bill would increase the Commission's ability to enforce the Communications Act
of 1934 (the 1934 Act) by raising the statutory cap on Commission fines and
forfeitures by a factor of ten. The Commission has sought this increased
enforcement ability to ensure communications providers do not accept Commission
fines as a "cost of doing business." The bill also increases the statute of
limitations for violations of FCC rules or regulations from one year to two years.
The legislation also allows the Commission to assess fines against direct
broadcast satellite (DBS) operators for violations of the Communications Act in
the same manner that the Commission may assess fines against broadcasters and
cable operators.

The bill would further clarify that a party injured by a common carrier's
violation of FCC rules or orders may recover damages for such injury in an action
before the FCC or before a United States District Court. The need for this
clarification is underscored by the recent decision by the United States Court of
Appeals for the Second Circuit in Conboy v. AT&T Corp. Moreover, the new section
would allow for the recovery of attorneys' fees in complaints filed either in
district court or at the FCC.

The bill also would allow the Commission to seize broadcasting equipment where one
engages in malicious interference to radio communications. This type of behavior
is particularly egregious when parties attempt to maliciously interfere with
public safety frequencies.

Furthermore, the bill would ensure that valuable spectrum does not lie fallow
unnecessarily. It precludes a successful bidder in a spectrum auction from using
bankruptcy to avoid its obligation to pay for its spectrum license. The bill also
establishes an office within the Commission for the recording and perfecting of
security interests related to licenses.

It also would ban any payment or reimbursement to the FCC of travel costs for FCC
officials or staff from a nongovernmental sponsor of a convention, conference, or
meeting. Recent reports indicate that during the last eight years, FCC officials
and staff have taken more than 2,500 trips paid for by the industries they
regulate.  Although this is perfectly legal and it is often appropriate for FCC
officials and staff to attend such conventions, conferences, or meetings, it
should be without the appearance of impropriety. Therefore, the bill authorizes
the Commission sufficient funds to pay for their own travel costs in the future.

The bill would impose a one-year lobbying ban on high-level FCC staffers who leave
the FCC's employment.

Finally, the bill contains language in response to a recent court case before the
D.C. Circuit Court of Appeals, which held that the Commission lacked jurisdiction
to promulgate regulations necessary to require video descriptions of television
programming to assist those who are visually impaired. This section would provide
the FCC such authority. Reauthorizing the FCC is important so the agency may
continue to successfully carry out its many responsibilities.

 I look forward to working on this important legislation and I hope that my
colleagues will agree to join me in expeditiously moving this reauthorization
through the legislative process.  Mr. President, I ask unanimous consent that the
bill be printed in the Record immediately following my remarks.

http://www.senate.gov/~commerce/newsroom/printable.cfm?id=205012

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