Raising the 39 percent national ownership cap to 60 or 70 percent but adding a sunset clause that would require further consideration after a few years could be a way for the FCC to relax the cap in a fashion more politically palatable than getting rid of it, said Nexstar CEO Perry Sook on a panel at NAB Show New York Wednesday. Sook told us he believes FCC Chairman Ajit Pai intends to act, but it's also possible the Pai FCC won't get around to it.

BOSTON -- The effects of the 10 percent Trade Act Section 301 tariffs on $200 billion worth of Chinese imports, which the Trump administration imposed last month (see 1809240011), aren’t likely to be felt at retail this holiday season, said CTA President Gary Shapiro Monday at the association's Innovate Celebrate conference. Shapiro’s bigger concern is what happens after Jan. 1 when the tariffs are scheduled to rise to 25 percent.

The “wet blanket” that could dampen euphoria about coming 5G remains “what health impacts micro millimeter waves have because it’s so new,” said Sioux Falls, South Dakota, Mayor Paul TenHaken (R) during a Friday Senate Commerce Committee field hearing there on ways to remove barriers to deploying 5G. Written testimony included praise for the Streamlining the Rapid Evolution and Modernization of Leading-Edge Infrastructure Necessary to Enhance (Streamline) Small Cell Deployment Act (S-3157), which faced opposition from some state and local governments (see 1810120051). TenHaken has heard “more and more” about potential “health ramifications of 5G,” though he believes those concerns are “inflated.” Regardless, localities need “clear direction, talking points” and scientific studies to be able to back 5G with a “clear conscience,” TenHaken said. The FCC and federal agencies decided 5G frequencies “are safe,” said FCC Commissioner Brendan Carr. “That is a determination that is constantly undergoing review.” RF emissions have figured in debates over state-level 5G (see 1810040048).

An FCC business data service deregulatory draft isn't looking very contentious as commissioners head toward a planned vote at their Oct. 23 meeting. Stakeholders aren't expecting major changes to the order and two Further NPRMs, though tweaks are possible. Rural telco representatives are largely supportive and no opposition has surfaced so far in the draft's docket.

The Trump administration is exploring ways to restart its infrastructure legislative push after the next Congress begins in January, and the proposal's contours will depend substantially on November's election outcome, lawmakers and lobbyists told us. A shift to a Democratic majority in either chamber would increase pressure on administration officials to include at least some elements of that caucus' infrastructure proposals, most notably dedicated broadband funding, industry officials said. The White House faces potential hurdles, including Democratic resistance to giving Donald Trump a bipartisan legislative win ahead of the 2020 presidential election and GOP appropriations woes.

The Trump administration is exploring ways to restart its infrastructure legislative push after the next Congress begins in January, and the proposal's contours will depend substantially on November's election outcome, lawmakers and lobbyists told us. A shift to a Democratic majority in either chamber would increase pressure on administration officials to include at least some elements of that caucus' infrastructure proposals, most notably dedicated broadband funding, industry officials said. The White House faces potential hurdles, including Democratic resistance to giving Donald Trump a bipartisan legislative win ahead of the 2020 presidential election and GOP appropriations woes.

Costco sees “many moving parts” in an “extremely fluid” environment now that Trade Act Section 301 tariffs are in effect on $250 billion worth of Chinese imports, said Chief Financial Officer Richard Galanti on an earnings call Thursday. Working with suppliers “to see what can be done to reduce and/or absorb some of the costs” is one of the strategies Costco is “exploring,” said Galanti. “Reducing our commitments on certain impacted items” is another possible remedy, he said. There’s “limited ability” to find “alternative country sourcing,” even where that’s “possible and feasible,” and that “takes time,” he said. “We’ll have to see how customers and competitors react to tariffs, and what impacts it will have.” It’s in Costco’s “DNA” to be the last to raise prices on consumers, and “we want to work with any supplier to figure out how to not do that,” said Galanti. That Costco has more than $138 billion of purchasing power “affords us, I think, some opportunities that perhaps make it a little easier for us,” he said. People “smarter than me” don’t like tariffs, he said. “Whatever negative” they bring, “we can weather it better than others,” he said. Costco, through membership in the Retail Industry Leaders Coalition representing big-box retailers, lobbied unsuccessfully against the three rounds of tariffs.

LED lighting and home-control supplier Acuity Brands estimates the first two rounds of Trade Act Section 301 tariffs on Chinese imports enacted through Aug. 23 helped reduce the company’s adjusted gross profit by more than $20 million in Q4 ended Aug. 31, said CEO Vern Nagel on a Wednesday earnings call. Though Nagel said “wage inflation” and higher freight costs also contributed to the profit decline, Acuity's plight was among the first documented examples of a company taking an actual big financial hit from the 25 percent tariffs that took effect over the summer.

Reclassifying Chinese imports into Harmonized Tariff Schedule codes for goods not exposed to Trade Act Section 301 tariffs is perhaps the least understood and most underused strategy tech companies can try for minimizing the duties’ impact, said a UPS executive in a webinar Wednesday. “If you’re not participating in what that classification process looks like, you’re taking a risk, I would say, at a minimum,” said Ron Shepherd, vice president, UPS Trade Management Services.

Reclassifying Chinese imports into Harmonized Tariff Schedule codes for goods not exposed to Trade Act Section 301 tariffs is perhaps the least understood and most underused strategy tech companies can try for minimizing the duties’ impact, said a UPS executive in a webinar Wednesday. “If you’re not participating in what that classification process looks like, you’re taking a risk, I would say, at a minimum,” said Ron Shepherd, vice president, UPS Trade Management Services.