FCC Chairman Tom Wheeler defended the idea of killing broadcast exclusivity rules in several letters to Republicans and Democrats on Capitol Hill. He conveyed no immediate intentions of doing so but outlined plans to address exclusivity rules as part of an agency proceeding on retransmission consent rules. He emphasized his objections to keeping the rules in August and circulated draft orders on the topic then (see 1508120051), an issue he never raised when addressing Hill leaders. NAB called Wheeler's responses a "dismissive rejection" and part of a "lone crusade against exclusivity."

Handling of a controversial and since-tabled resolution at NARUC's meeting earlier this month in Austin has been raising process questions ever since. It aimed to preserve competition on government-subsidized networks (see 1510290050). Industry officials opposed to the resolution said in recent interviews that the way the resolution was handled was unusual because there was no discussion at a Telecom Subcommittee meeting that preceded the full Telecom Committee hearing where it was ultimately set aside. Still others were concerned the resolution wasn't voted on during that committee meeting.

Parties voiced mixed opinions on a Twilio petition asking the FCC to clarify that messaging services should be regulated under Title II of the Communications Act (see 1510130040). In comments in FCC docket 08-7, AT&T, CTIA, Verizon and a few others opposed the petition and said a Title II declaration would be bad policy, legally wrong and harmful to wireless consumers. AT&T said granting the petition would open the "floodgates" to unwanted text messages, the “very harms” that the FCC has tried to combat through other actions such as a Telephone Consumer Protection Act ruling in June (see 1506180046).

Zero-rating concerns haven't gone away, despite EU agreement on net neutrality rules, said industry and public interest commentators in interviews. That split also was clear during a Nov. 11 European Parliament plenary debate. While many lawmakers said zero rating is good for consumers, subject to monitoring by national telecom regulators to ensure net neutrality, others criticized colleagues, governments and the European Commission for failing to take explicit action against it. That prompted an angry retort from Digital Economy & Society Commissioner Günther Oettinger.

Handling of a controversial and since-tabled resolution at NARUC's meeting earlier this month in Austin has been raising process questions ever since. It aimed to preserve competition on government-subsidized networks (see 1510290050). Industry officials opposed to the resolution said in recent interviews that the way the resolution was handled was unusual because there was no discussion at a Telecom Subcommittee meeting that preceded the full Telecom Committee hearing where it was ultimately set aside. Still others were concerned the resolution wasn't voted on during that committee meeting.

Parties voiced mixed opinions on a Twilio petition asking the FCC to clarify that messaging services should be regulated under Title II of the Communications Act (see 1510130040). In comments in FCC docket 08-7, AT&T, CTIA, Verizon and a few others opposed the petition and said a Title II declaration would be bad policy, legally wrong and harmful to wireless consumers. AT&T said granting the petition would open the "floodgates" to unwanted text messages, the “very harms” that the FCC has tried to combat through other actions such as a Telephone Consumer Protection Act ruling in June (see 1506180046).

Zero-rating concerns haven't gone away, despite EU agreement on net neutrality rules, said industry and public interest commentators in interviews. That split also was clear during a Nov. 11 European Parliament plenary debate. While many lawmakers said zero rating is good for consumers, subject to monitoring by national telecom regulators to ensure net neutrality, others criticized colleagues, governments and the European Commission for failing to take explicit action against it. That prompted an angry retort from Digital Economy & Society Commissioner Günther Oettinger.

The Senate Commerce Committee will likely vote on FCC Commissioner Jessica Rosenworcel’s renomination next month during a markup session, a GOP committee staffer confirmed Monday. Rosenworcel's renomination hearing was Oct. 28. Commerce Committee Chairman John Thune, R-S.D., told us last week he was unsure if Rosenworcel would make it onto the December markup agenda but said she's empowered as commissioner for another year absent congressional action (see 1511190038).

The Senate Commerce Committee will likely vote on FCC Commissioner Jessica Rosenworcel’s renomination next month during a markup session, a GOP committee staffer confirmed Monday. Rosenworcel's renomination hearing was Oct. 28. Commerce Committee Chairman John Thune, R-S.D., told us last week he was unsure if Rosenworcel would make it onto the December markup agenda but said she's empowered as commissioner for another year absent congressional action (see 1511190038).

FCC financial statements received generally good marks from an independent auditor’s report in the commission’s FY 2015 Agency Financial Report (AFR) released Thursday. Kearney & Co. found the statements “present fairly, in all material respects” the FCC’s financial position as of Sept. 30 in accordance with generally accepted accounting principles. The accounting firm did find “one repeat material weakness, originally reported in FY 2014, in internal control” regarding Universal Service Administrative Co. budgetary accounting, “one repeat significant deficiency” going back 10 years related to IT controls, and “one repeat instance of noncompliance with laws and regulations related to the requirements of the Debt Collection Improvement Act,” said FCC Inspector General David Hunt in an introductory memorandum. “The independent auditor’s opinion addresses more than $10.1 billion in revenues, more than $460 million in FCC operating expenses and more than $9.2 billion in outlays for the Universal Service Fund and Telecommunications Relay Service Fund,” said FCC Chairman Tom Wheeler in an AFR message. “Despite the positive audit opinion, the independent auditor’s report shows that work remains at the FCC to continue to improve the agency’s operations.” The $10.1 billion revenue includes: some $8.77 billion from USF, $847 million from the TRS Fund, $340 million from appropriations (regulatory fees), $106 million from auction-related appropriations, $6 million from North American Numbering Plan revenue, and $7 million from “other” sources, according to an “FCC management” overview. Wheeler highlighted FCC work on spectrum, net neutrality, transactions, Lifeline and E-rate USF support, robocalls, empowering people with disabilities, process reform, and field and IT modernization. He voiced confidence the FCC is on “sound legal footing” in net neutrality litigation and he noted the agency raised more than $40 billion in AWS-3 auction revenue. He said field activities “presented real challenges and opportunities for improvement,” given technological change since the last Enforcement Bureau field structure review and given a reduction in FCC resources. “The Commission adopted a field modernization plan that will allow our field operations to do more with less,” he said. “The resulting plan reflects the review team’s thorough, data-driven analysis and concentrates field resources where they are needed most -- areas with the greatest spectrum density. … Once implemented, this plan will save millions of dollars annually.” Wheeler also said the FCC's IT team "is on track to modernize our infrastructure, information and communications technologies," replacing costly-to-maintain legacy systems and "leveraging cloud service offerings to the fullest extent possible."