The U.S. Supreme Court’s conservative majority surprised no one Friday, issuing a decision decided on ideological lines that overrules the Chevron doctrine. Chevron gave agencies like the FCC and FTC deference in interpreting laws that Congress approved. On the penultimate day of its term, the court released a decision that wraps together Loper Bright Enterprises v. Raimondo and Relentless v. Commerce. Both cases concern fishing regulations but were used as a vehicle for overturning Chevron.
The FCC, intervenors and amici who benefit from E-rate funding contend that authorizing Wi-Fi on school buses will advance students’ education, but there’s “powerful and growing evidence to doubt that claim,” petitioners Maurine and Matthew Molak said in their 5th U.S. Circuit Appeals Court reply brief Monday (docket 23-60641).
The FCC, intervenors and amici who benefit from E-rate funding contend that authorizing Wi-Fi on school buses will advance students’ education, but there’s “powerful and growing evidence to doubt that claim,” petitioners Maurine and Matthew Molak said in their 5th U.S. Circuit Appeals Court reply brief Monday (docket 23-60641).
To fulfill its “broad mandate” under the Infrastructure Investment and Jobs Act, the FCC in the digital discrimination order on review “adopted rules that prohibit practices with unjustified discriminatory effects on access to broadband service,” plus intentional discrimination, the commission’s brief said Tuesday (docket 24-1179) in the 8th U.S. Circuit Appeals Court.
House Democrats rang alarm bells Wednesday over the Appropriations Commerce, Justice, Science and Related Agencies (CJS) Subcommittee’s proposal reducing FY 2025 allocations for NTIA and other Commerce Department agencies. The subpanel advanced its FY25 bill on a voice vote Wednesday after Republicans defended the proposed cuts, including a significant slashing of annual funding for the DOJ Antitrust Division. Commerce Secretary Gina Raimondo fielded repeated questions during a House Innovation Subcommittee hearing Wednesday about Republicans’ claims that NTIA’s requirement that broadband equity, access and deployment (BEAD) program participants offer a low-cost connectivity option constitutes rate regulation.
To fulfill its “broad mandate” under the Infrastructure Investment and Jobs Act, the FCC in the digital discrimination order on review “adopted rules that prohibit practices with unjustified discriminatory effects on access to broadband service,” plus intentional discrimination, the commission’s brief said Tuesday (docket 24-1179) in the 8th U.S. Circuit Appeals Court.
FCC commissioners will vote July 18 on a notice seeking comment on uniform, industrywide handset unlocking requirements, as expected (see 2406250049), FCC Chairwoman Jessica Rosenworcel announced Wednesday in her Note from the FCC. Commissioners will also vote on a controversial proposal allowing schools and libraries to use E-rate support for off-premises Wi-Fi hot spots and wireless internet services, a plan to cut the cost of correctional institution phone rates and rules to improve video programming accessibility for the deaf and hard of hearing. Next-generation 911 rounds out the agenda.
MGM Resorts International’s complaint against the FTC for pre-enforcement declaratory relief fails “for lack of subject matter jurisdiction and for failure to state a claim for relief,” said the commission’s memorandum Monday (docket 1:24-cv-01066) in U.S. District Court for the District of Columbia in support of its motion to dismiss. The FTC’s April 1 order denying MGM's petition to quash a civil investigative demand (CID) “unlawfully deprives MGM of its rights under the Fifth Amendment,” alleges MGM’s April 15 complaint (see 2404160035).The CID requested information as part of a nonpublic investigation involving MGM's September data breach. The suit also seeks to disqualify FTC Chair Lina Khan's participation in the investigation. But the court lacks subject-matter jurisdiction over MGM’s claims because Congress set forth in the FTC Act “a comprehensive and exclusive scheme for judicial review of agency actions,” said the commission’s memorandum. Under that scheme, MGM may raise its claims in a court of appeals only following a final commission cease and desist order, or in the commission’s enforcement petition currently before the U.S. District Court for the District of Nevada, it said. MGM also fails “to invoke a cognizable cause of action or state a plausible claim for relief,” said the memorandum. The Declaratory Judgment Act doesn’t supply an independent cause of action, and the Administrative Procedure Act provides a cause to challenge only final agency actions, it said. “MGM challenges no such actions,” it said. “Nor does the Constitution provide a cause of action here,” it said. “Where Congress has provided adequate statutory means for a person’s claims and remedies concerning agency action, a duplicate constitutional cause of action that evades statutory limits and requirements may not be judicially implied,” it said. MGM’s complaint also fails to allege a plausible claim for relief, said the memorandum. Its claim that the FTC Chair Khan should be disqualified from this matter “ignores applicable legal standards and is grounded in an impermissibly tenuous allegation of potential bias,” it said. Khan happened to stay at an MGM hotel shortly after MGM’s most recent data breach “and needed to provide her credit card information on paper,” it said. But that “threadbare” allegation doesn’t support “a plausible claim for bias that would warrant disqualification,” it said. MGM similarly fails to state a claim with its attacks on the deadline and scope of the CID, said the memorandum. The claim of an unfairly short deadline ignores the CID’s original 30-day return date and the additional 47 days MGM gained while its petition to quash was pending before the commission, it said. It also fails to allege the FTC’s refusal to grant an extension, it said. In fact, when commission staff contacted MGM to discuss compliance issues such as timing, “MGM refused to engage in any such discussions,” it said. Likewise, MGM’s claim that the FTC has grounded the CID in “facially inapplicable” regulations “overlooks settled and binding authorities” holding that the commission “is entitled to investigate whether its regulations apply to particular entities or practices,” it said.
The California Public Utilities Commission on Thursday denied AT&T relief from carrier of last resort obligations, while opening a rulemaking to take a fresh look at COLR rules. Also at its meeting, the CPUC approved broadband grants, acted on enforcement items and set annual budgets for the California Advanced Service Fund (CASF) and state video franchise law.
Supporters of the FCC's expired affordable connectivity program acknowledge the Senate Commerce Committee’s impasse (see 2406180067) on the Spectrum and National Security Act (S-4207) may spur a reexamination of alternatives for addressing broadband pricing. This realization comes amid weakening odds that Congress can address ACP funding via a broader package aimed at restoring the FCC's lapsed airwaves sales authority. Lawmakers continue insisting a legislative solution is possible this year even though Senate Commerce’s cancellation of its planned Tuesday markup of S-4207 (see 2406170066) was its fourth pulling of the measure since early May. Other stakeholders are urging a shift to emphasizing nonlegislative solutions.