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FERREE’s DTV PLAN UNDER FIRE, AS MSTV DEVISES A DTV IDEA

LAS VEGAS -- Senate Communications Subcommittee Chmn. Burns (R-Mont.) called FCC Media Bureau Chief Kenneth Ferree’s DTV transition proposal backwards, while MSTV announced their own DTV plans at the NAB convention Mon.

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“It’s a step backwards and we will continue to put pressure on the FCC” to come up with a better plan, Burns said. Last week, the NAB and the major networks fired off a 9-page letter to FCC Chmn. Powell criticizing the plan (CD April 19 p4). Several broadcasters told us Sun. they were “irate” with the proposal to consider redefining which consumers are classified as counting toward the statutorily mandated 85% DTV consumer adoption threshold. Broadcasters took particular issue with Ferree’s comment that broadcasters would “eat their children” before giving up their analog spectrum. A package of cookies with images of children’s faces in icing are to be delivered to Ferree, who’s scheduled to speak today (Tues.) at the convention, an attendee said.

“What has happened here is that we set the dialog and got the dialog going,” said Rick Chessen, chief of the FCC Digital Task Force. Chessen criticized broadcasters for still having misconceptions about the Ferree plan, such as saying that consumers wouldn’t have access to HD content: “That is simply not true. Consumers will continue to have incentives to by HDTV as more HDTV programming is available.”

MSTV executives claimed the FCC was trying to redefine the meaning of the word digital. “That will only confuse manufacturers and consumers,” said MSTV Chmn. Gary Chapman. Despite the rhetoric from Washington, broadcasters are serious about accelerating the transition, Chapman said. He also shot down claims that broadcasters were lobbying for dual carriage in order to complete the DTV transition: “We have no interest in maintaining duel carriage facilities.”

MSTV approved a channel election and spectrum repacking plan to facilitate the DTV transition, Chapman announced during a MSTV meeting at the convention. While details of the plan adopted Sun. were sketchy, the proposal requires close industry and govt. cooperation throughout the process, and preparatory work before channel elections can be made. There are still problems of interference issues from Canadian and Mexican stations. “Before you can talk about the end game, however, you need a plan for stations to select their final DTV channel assignments. This plan provides the blueprint for starting and finishing this process in a timely fashion,” Chapman said.

Meanwhile, House Commerce Chmn. Barton (R-Tex.) told attendees that HR-4026 to prevent satellite radio from offering local programming on its repeaters likely wouldn’t pass, despite the overall optimism voiced by other congressmen during the NAB congressional breakfast here Mon. House Judiciary Committee Chmn. Sensenbrenner (R-Wis.), House Telecom Subcommittee Chmn. Upton (R-Mich.), Rep. Bilirakis (R-Fla.) and Rep. Walden (R-Ore.) agreed that satellite companies should be held accountable on an agreement that they wouldn’t use their terrestrial repeaters for local content. “[The legislation] puts them on notice that they must make good on their promise,” Upton said. The bill would also instruct the FCC to investigate satellite’s alleged scheme to put content, such as local weather and traffic, on nationally distributed channels.

But Barton warned his colleagues not to pat themselves on the back yet. “I hate to be the Grinch who stole Christmas. [But] I doubt if this bill would move on its own this year,” Barton said. On issues of indecency regulation, Barton predicted that over time a consensus will emerge on regulating cable content. “I already met with the cable industry and they are trying to come up with some self policing,” Barton said. But if self policing doesn’t work and consumers complain “the answer from Congress isn’t going to be ’sorry ma'am, we can’t help you there.'”