Jon Brodkin

FCC abides by GOP request, deletes everything from meeting agenda

The Federal Communications Commission has deleted every major item from the agenda of its Nov 2016 meeting, apparently submitting to a request from GOP leaders to halt major rulemakings until President-elect Donald Trump is inaugurated as President. Republicans from the House and Senate sent letters to FCC Chairman Tom Wheeler Nov 15 urging him to stand down in his final months as FCC Chairman. The GOP pointed out that the FCC halted major rulemakings eight years ago after the election of Barack Obama when prompted by a similar request by Democratic lawmaekrs. Chairman Wheeler's office hadn't said whether it will comply with the request, but Nov 16 it announced the deletion of all items that were originally scheduled to be presented and voted on at Nov 17's meeting.

The FCC said the items "remain on circulation," which means they can still be voted on, but a vote doesn't appear likely. Before the change, the agenda included votes on price caps for “special access” business data services; Universal Service funding to expand mobile broadband networks; wireless roaming obligations; and requirements for audio description of TV programming for blind and visually impaired people. The only item not deleted from Nov 17's meeting is part of the "consent agenda," which means it is routine and wasn't going to be presented individually.

Comcast suspends data caps—but only in Maine

Comcast has decided to stop enforcing data caps and overage fees in Maine and signaled that states in the company's northeast region will remain cap-free, at least for now. But for Comcast customers in other states, don't get your hopes up that data caps will disappear. Comcast dramatically expanded the caps on November 1 and will continue to apply the data limits and overage fees in 27 states out of the 39 states Comcast operates in. Comcast says that eliminating data caps in Maine is only about bringing the state in line with company policy elsewhere in the Northeast. A Comcast FAQ says that the data cap in Maine is being suspended effective December 1. If Comcast really wanted a consistent policy it could eliminate data caps nationwide (or enforce the caps nationwide), but Comcast's data cap policies have been anything but consistent.

Trump’s FCC: Tom Wheeler to be replaced, set-top box reform could be dead

Tom Wheeler’s time as chairman of the Federal Communications Commission is nearing an end now that Republican Donald Trump has won the presidency. You can expect Chairman Wheeler to step down from his chairmanship on or before January 20, when President-elect Trump is inaugurated. It’s customary for the chair to step down when the White House shifts to the opposing party. All five FCC commissioners are appointed by the president and confirmed by the US Senate, with the president’s party having a one-vote majority. (The president usually appoints minority party commissioners based on recommendations made by minority party lawmakers.) President-elect Trump can’t force Chairman Wheeler, a Democrat, to leave the commission entirely before his term expires, but the president can designate a new chairperson. “The president decides who is the chair, so Wheeler will certainly no longer be chair on the first day of the administration,” said Harold Feld, senior VP of advocacy group Public Knowledge.

Chairman Wheeler's FCC passed a number of controversial changes, none bigger than the reclassification of broadband providers as common carriers and imposition of net neutrality rules. If Democrat Hillary Clinton had won the election, Chairman Wheeler would still likely step down sometime in 2017, but he could push through some more rule changes without fearing that they would be quickly undone. With Republicans about to take over, any last-minute votes are in danger of being overturned. Chairman Wheeler’s attempt to save customers money by reforming the cable TV set-top box market may therefore be dead.

Court blocks FCC attempt to cap prison phone rates

Once again, a Federal Communications Commission attempt to lower the price inmates pay for phone calls has been blocked in court. A ruling from the US Court of Appeals for the District of Columbia Circuit granted a petition for a stay filed by Securus Technologies. This puts a halt to rate caps on inmate calling services that were implemented in August.

“Petitioners have satisfied the stringent requirements for a stay pending court review,” judges wrote.

The FCC has repeatedly been stymied in attempts to lower the rates inmates pay for phone calls to family, friends, and lawyers. After a March 2016 federal appeals court ruling stayed new rate caps of 11¢ to 22¢ per minute on both interstate and intrastate calls from prisons, the FCC proposed new caps of 13¢ to 31¢ per minute in an attempt to satisfy the court. Those new caps were halted in the latest ruling.

When you want cable Internet—but Charter wants $9,000 first

Before Charter purchased Time Warner Cable (TWC) in May of 2016, the company promised New York state regulators that it would bring broadband to 145,000 unserved and underserved homes and businesses by 2020. The condition helped Charter win government approval of the merger. Christian Babcock of Schuylerville (NY) is one of the state’s unserved residents, but he has no idea if his home will be included in the required buildout to 145,000 locations.

Before the merger, TWC told Babcock he’d have to pay thousands of dollars up front to subsidize construction needed to serve his home. Even now, the Charter-owned TWC is demanding more than $9,000 in exchange for service. That's the price to cover Charter's construction; Babcock would have to pay that plus the usual monthly service fees. Making the situation even more frustrating, Charter wouldn’t have to extend the TWC network very far to reach the house owned by Babcock and his wife. One nearby house has Charter service already, Babcock says. But even just getting an accurate explanation of the costs has been a hassle.

AT&T falsely claimed pro-Google Fiber rule is invalid, FCC says

The Federal Communications Commission has given a helping hand to Louisville (KY) in the city's attempt to enforce local rules that would make it easier for Google Fiber to compete against AT&T. AT&T sued the local government in Louisville and Jefferson County in February to stop a One Touch Make Ready (OTMR) ordinance designed to give Google Fiber or other new competitors faster access to utility poles.

Oct 31, the US government submitted a statement of interest on behalf of the FCC, which says that one of AT&T’s primary legal arguments is incorrect. AT&T—also known as BellSouth Telecommunications in Kentucky—argued that the Louisville ordinance is preempted by the FCC’s pole-attachment rules. The local ordinance "conflicts with the procedures created by the FCC, and upsets the careful balances struck by the FCC in crafting its pole attachment regulations," AT&T's lawsuit said. But that is false, the FCC says. The FCC does have rules ensuring reasonable access to utility poles, but states are allowed to opt out of the federal pole-attachment rules if they certify to the commission that they regulate the rates, terms, and conditions of pole attachments. Kentucky is one of 20 states that has opted out of the federal regime and imposed its own rules, the FCC noted. “Accordingly, the federal pole-attachment regulations enacted under Section 224 [of the Communications Act] simply do not apply here,” the FCC wrote. More generally, One Touch Make Ready rules are consistent with federal communications policies and regulations that seek expanded broadband deployment, the FCC also wrote.

AT&T/Time Warner seems headed for FCC review, whether AT&T likes it or not

Some news organizations have reported that Time Warner has only one Federal Communications Commission license, for a TV station in Atlanta, and that the AT&T/Time Warner merger wouldn't be reviewed by the FCC if Time Warner sells that TV station to a third party. That is not correct, however.

Time Warner programmers such as HBO, CNN, and Turner Broadcasting System also have dozens of FCC licenses that let them upload video to satellites used by pay-TV companies. These licenses are crucial for distributing video to cable TV providers. It isn't only satellite TV companies like Dish or the AT&T-owned DirecTV that use satellites to send programmers' video to consumers' homes—even cable companies like Comcast use what's called a "headend in the sky" to receive and distribute video. The FCC's list of active satellite Earth station licenses shows that CNN America has 36 such licenses covering operations at specific locations. HBO and HBO Latin America have a combined seven licenses, and Turner Broadcasting System has 14 licenses. That's 57 licenses that could trigger an FCC review. Licenses for some of the same locations were part of the FCC's review of Time Warner's merger with AOL in 2001. AT&T would love to avoid an FCC review, which in the past has killed deals such as AT&T/T-Mobile and Comcast/Time Warner Cable.

Comcast sues Nashville to halt rules that help Google Fiber

Comcast sued the Nashville (TN) metro government and mayor to stop a new ordinance designed to give Google Fiber faster access to utility poles. Comcast's complaint in US District Court in Nashville is similar to one already filed by AT&T in Sept. Both Internet service providers are trying to invalidate a One Touch Make Ready ordinance that lets new ISPs make all of the necessary wire adjustments on utility poles themselves instead of having to wait for incumbent providers like AT&T and Comcast to send work crews to move their own wires.

The ordinance was passed largely to benefit Google Fiber, which is offering service in Nashville but says that it hasn't been able to deploy faster because it is waiting to get access to thousands of poles. Nearly all the Nashville utility poles are owned either by the municipal Nashville Electric Service or AT&T. Because Comcast has wires on many of the poles, it has some control over how quickly Google Fiber can expand its network. When Google Fiber wants to attach wires to a new pole, it needs to wait for ISPs like Comcast to move their wires to make room for Google Fiber's.

AT&T/Time Warner deal could be approved without any FCC merger review

Advocacy groups are urging US regulators to consider blocking AT&T's purchase of Time Warner, but AT&T may be able to avoid any review by the Federal Communications Commission. The merger will be analyzed by the Department of Justice, but AT&T has said the FCC will be involved only if any FCC licenses are transferred to AT&T. A TV station is an example of something that requires an FCC license, but AT&T said that it and Time Warner are still "determining which FCC licenses, if any, will be transferred to AT&T in connection with the transaction."

The reason for this uncertainty is that "despite its big media footprint, Time Warner has only one FCC-regulated broadcast station, WPCH-TV in Atlanta," Reuters reported. "Time Warner could sell the license to try to avoid a formal FCC review, several analysts said." (Time Warner Inc. is completely separate from Time Warner Cable, which was sold to Charter in 2016 after an FCC review.) Transfer of a license to a third party would still require FCC review, but it would be separate from the AT&T/Time Warner transaction. Multichannel News raised the possibility that there might be other FCC licenses involved, but acknowledged that it isn't clear. "Some analysts, and one veteran communications attorney, thought there might be some satellite uplink licenses, but an FCC source said they did not know of any," the news site reported.

After setback, FCC Chairman keeps pushing set-top box and privacy rules

After a rare setback, Federal Communications Commission Chairman Tom Wheeler is still pushing for votes on plans to reform the cable TV set-top box market and impose new privacy rules on broadband providers. The FCC was scheduled to vote on the cable TV plan at its last meeting on September 29 but removed it from the agenda when the commission's Democratic majority couldn't agree on all the details. Last-minute negotiations aren't uncommon before FCC meetings, but this was a rare case of Chairman Wheeler not having enough votes to move forward with a controversial agenda item. The cable TV proposal—which would require TV providers to make video applications for third-party set-top boxes—is not on the agenda for the October FCC meeting. But it could theoretically be passed at any time, as commissioners can vote on it between meetings. It's not clear whether a vote is imminent, but Chairman Wheeler touted the plan again in an op-ed on Oct 19.