Dish and designated entities Northstar Wireless and SNR Wireless amended their agreements, with Dish loosening its control of those companies. The renegotiated DE agreements came after the U.S. Court of Appeals for the D.C. Circuit's August ruling that upheld the FCC withholding the DEs' AWS-3 auction bidding credits due to their too-close connections to Dish (see 1708290012). In an SEC filing Wednesday, Dish said its amended Northstar agreement says Northstar no longer has to consult with it about budgets and business plans and removed the requirement that its systems be interoperable with Dish's. Dish also agreed to exchange $6.87 billion in Northstar debt for 6.87 billion nonvoting shares. It said Dish also agreed to lower the interest rate on $500 million in Northstar debt still outstanding from 12 percent annually to 6 percent, to eliminate the higher interest rate that would apply in a default and to modify or remove some obligations for Northstar to prepay the loan. The satellite service provider said the amended SNR agreement has the same terms, though with Dish exchanging $5.065 billion owed for 5.065 billion nonvoting shares. Dish also said it agreed on identical terms modifications for $500 million in SNR shares still outstanding. The company said that other issues related to the remand remain in negotiation. The satellite-TV provider said SNR and Northstar have put in multiple requests with the FCC for meetings to discuss a cure to the DE control issue but that the agency hasn't granted an audience. The agency didn't comment. The agreements put Dish and the DEs "one step closer" to regaining the $3.3 billion AWS-3 spectrum discount, ultimately giving Dish close to 200 more spectrum licenses atop its close to 100 MHz, which would point to an IoT partnership or M&A, Maquarie analyst Amy Yong wrote investors. She said with negotiations ongoing, the process could run through the second half of this year or into 2019.

An FCC order providing some USF relief for tribal operational expenses looks imminent, agency officials said Wednesday. Commissioner Mignon Clyburn and Chairman Ajit Pai traded fire in February over Clyburn's decision to change her vote to a partial dissent. She said the order should also act to expand tribal broadband (see 1802020058). The FCC recently issued an NPRM proposing a tribal broadband factor to target additional USF support to Native American lands (see 1803230025).

Microsoft doesn't object to DOJ’s request the Supreme Court dismiss U.S. v. Microsoft as moot, but reserves the right to challenge the agency’s latest search warrant, it filed Tuesday (see 1804020055). “Microsoft agrees the current case is moot and there is no reason for this Court to resolve a legal issue that is now of only historical interest.” The software maker noted the original search warrant is no longer active. DOJ argued the case is moot, given passage of the Clarifying Lawful Overseas Use of Data (Cloud) Act. The department obtained a new search warrant, which a magistrate judge issued Friday. Microsoft said it will review the new warrant or any subsequent warrants carefully before deciding if there's obligation to comply, while retaining a right to challenge the warrant on comity grounds. President Brad Smith blogged Tuesday that with passage of the act, which both DOJ and Microsoft supported, governments need to move quickly to establish international agreements. The ultimate goal, which could take years, “is a set of agreements that create an accepted model and establish clear international legal rules that satisfy law enforcement and privacy advocates alike,” Smith said.

The Supreme Court granted the government another month to respond to petitions appealing a ruling by the U.S. Court of Appeals for the D.C. Circuit affirming the FCC's 2015 net neutrality order. The high court approved the solicitor general's latest request to extend the response deadline, from Wednesday to May 4, said a note posted Monday in its docket on Daniel Berninger v. FCC, et al., No. 17-498. Some parties believe the government is waiting for the FCC's recent net neutrality repeal order to take effect so it can move to dismiss the 2015 order case. The repeal order won't take effect until after the Office of Management and Budget clears FCC broadband transparency rule ISP disclosure requirements under the Paperwork Reduction Act. Comments are due April 27 on the commission's estimated compliance burdens. OMB could approve or seek changes. The D.C. Circuit reopened the case on challenges to the net neutrality repeal order, which was transferred last week by the 9th Circuit (see 1803280035). A court order (in Pacer) Tuesday asked for any procedural motions by April 30 and any dispositive motions by May 7. Various parties filed to intervene in the case, Mozilla v. FCC, et al., No. 18-1051 (in Pacer).

The Competitive Carriers Association has major concerns about an NPRM set for a vote at the April 17 commissioners’ meeting proposing to prevent use of money in any USF program to buy equipment or services from companies that “pose a national security threat” to U.S. communications networks or the communications supply chain, President Steve Berry told us Tuesday. “The FCC has injected uncertainty at a time when carriers need certainty most,” as they are getting set for the Connect America Fund Phase II and Mobility Find II auctions and “building out 600 and 700 MHz spectrum,” Berry said. “This will most certainly impact the United States’ efforts to win the global race to 5G.” The Rural Wireless Association and NTCA also expressed concerns (see 1804020054). CCA was preparing for its spring meeting last week when FCC Chairman Ajit Pai circulated the draft NPRM. “CCA and its members care about national security and support prosecution of those who violate known national security policy,” Berry said. “Nevertheless, the FCC’s proposal to prohibit the use of USF to purchase any equipment or services produced or provided by any company posing a national security threat is incredibly broad and could impact every aspect of the communications supply chain with or without ever taking USF or purchased Chinese or Russian equipment and/or services.” Berry conceded the NPRM raises complicated issues. “CCA members care deeply about the security of their customers and the country and are focused on working towards comprehensive solutions,” he said. “I would hope any action taken by the FCC will move our nation to a broad solution and not a half measure that unduly paralyzes consumers in rural America.” Many smaller carriers have cut deals with Chinese equipment makers Huawei and ZTE, which worked hard to penetrate the U.S. market (see 1803260037).

The FCC is launching an Honors Engineer Program, similar to its program for recruiting lawyers. The "digital revolution" is changing the FCC’s work, said Chairman Ajit Pai. "Many of the issues we confront today are technically complex.” Recruits will work on “cutting-edge issues in the communications and high-tech arenas." Work on 5G, the IoT and next-generation broadcasting and satellite systems was mentioned. Commissioner Jessica Rosenworcel in a 2013 speech called for the creation of the program (see 1312130054).

USF "disbursements from operations" totaled about $8.8 billion in 2017, said Universal Service Administrative Co.'s annual report posted Monday in FCC docket 96-45 (such disbursements are "cash outlays less admin transfer to USAC"). USAC said the disbursements were $4.67 billion for high-cost (most rural) operations, $2.62 billion for E-rate (schools and libraries), $1.27 billion for Lifeline (low-income) and $261 million for rural health care. USAC said its operating expenses were $196.7 million in 2017, compared with $179.5 million in 2016. Radha Sekar, who joined USAC as CEO in January, looks forward "to transforming the organization into a high-performing team while having a watchful eye on fraud waste and abuse."

Russia Today, a news channel funded by the Russian government, went off-air in the Washington market Saturday because its broadcast partner, WNVC Culpeper, Virginia, sold its spectrum in the incentive auction and distributor MHz Networks was unable to find another channel to carry the content, according to a statement on the MHz website and FCC records. “We looked at acquiring another license and to other providers for channel carriage,” said MHz President Frederick Thomas in the statement. “The former ended in too many moving pieces and the latter proved difficult for the cable systems without a must-carry broadcast partner.” The spectrum of WNVC, owned by Commonwealth Public Broadcasting, went for $57 million in the incentive auction, and the station elected to go off air, according to FCC auction results. WTOP radio in Washington reported that Russia Today has said its registration as a foreign agent led to it going off air. Russia Today, Commonwealth Public Broadcasting and MHz Networks didn’t comment.

The FCC released the text of its order, approved 3-2 on March 22, that revises FCC wireless infrastructure rules with the goal of speeding deployment of small cells and 5G. “The record indicates that this reform will make a real difference in promoting this country’s leadership in 5G,” said the Friday order in docket 17-79. “Indeed, our revised approach to small cells could cut the [National Historic Preservation Act and National Environmental Policy Act] regulatory costs of deployment by 80 percent, trim months off of deployment timelines, and incentivize thousands of new wireless deployments -- thus expanding the reach of 5G and other advanced wireless technologies to more Americans.”

An FCC spokesman said preparation of the rule-making proceedings "to determine eligible costs and reimbursement procedures" for new repacking reimbursement funds "is already underway” (see 1803290051).