Maryland should tax digital ad giants like Facebook and Google so they pay their fair share to fund vital education infrastructure, state Senate Democrats and advocates said Wednesday. Various Republican Senators questioned a Democratic tax proposal considered Wednesday at a hearing before the Senate Taxation Committee, which didn’t make a formal recommendation. The Internet Association and advertisers testified the legislative proposal is a discriminatory tax that violates the Constitution.
House Democratic leaders proposed $98 billion in funding over five years for broadband and next-generation 911 projects as part of a new infrastructure plan released Wednesday. Infrastructure Committee Chairman Peter DeFazio of Oregon, Ways and Means Committee Chairman Richard Neal of Massachusetts and Commerce Committee Chairman Frank Pallone of New Jersey released the $760 billion plan. It took the form of a framework, contrary to earlier expectations for a bill (see 2001160063).
The FCC is expected to make changes to a draft Rural Digital Opportunity Fund order, responding to industry concerns that USF recipients could have trouble meeting financial requirements under the version that circulated earlier this month, agency officials told us Wednesday. They and stakeholders expect changes to address industry concerns about RDOF letter of credit (LOC) requirements (see 2001230005). Changes to allow New York state providers to bid in the program's phase one auctions (see 2001280039) aren't expected.
FCC Chairman Ajit Pai appears to be preparing to play C-band hardball, officials indicated. Pai is considering a proposal that satellite operators be given incentive payments totaling about $5 billion to move, regardless of how much money comes in through an auction (see 2001280063). Senior aide Nick Degani apparently told the companies in a meeting last week that if they won’t go along the FCC could “sunset” their licenses, forcing them off the band. Intelsat stock closed down 30 percent Wednesday at $3.78.
The office of Rep. Jan Schakowsky, D-Ill., is exploring Section 230-related legislation dealing with election misinformation, she said Tuesday at the State of the Net internet policy conference. “It’s very, very early right now, but I absolutely want to do something, even if it’s narrow on 230” of the Communications Decency Act, Schakowsky told reporters. “If we can craft something, there will definitely be some more hearings, no question about that.” Throughout her talk, she cited blatant lies hosted by Facebook.
Foster participation rather than create new obstacles to adoption for the USF Lifeline program that subsidizes low-income telecom users, industry, public interest and consumer groups pressed the FCC in comments posted through Tuesday in docket 17-287. The FCC is considering sweeping changes in attempts to curb waste, fraud and abuse, but stakeholders fear the agency is overstepping (see 1911210035).
Receiving FCC funding previously is no reason to exclude New York state from the Rural Digital Opportunity Fund, state government and others from New York said in interviews. New York’s state broadband office, congressional delegation and telecom companies continue to sound the alarm before the FCC’s Thursday vote on the proposed $16 billion program. FCC Commissioner Jessica Rosenworcel echoed New York concerns, in Monday tweets.
Commerce Spectrum Management Advisory Committee members stressed Tuesday that the Spectrum Strategy Governance Subcommittee's work on potential major changes to federal oversight of spectrum is very preliminary (see 2001270046). The subcommittee updated CSMAC at the group’s quarterly meeting.
The House Communications Subcommittee’s Wednesday hearing on broadband access and digital equity is expected to be an opportunity for Chairman Mike Doyle, D-Pa., and others to highlight their proposal for allocating proceeds from the FCC’s coming auction of spectrum on the 3.7-4.2 GHz C band. The panel will also help Democrats showcase broadband issues before the expected rollout of their new infrastructure proposal, lobbyists told us. House Speaker Nancy Pelosi, D-Calif., indicated the infrastructure plan would come out this week (see 2001160063). House Communications’ hearing begins at 10:30 a.m. in 2123 Rayburn.
The FCC is pressing satellite operators in the C band to accept a compromise, under which they would be compensated for leaving the spectrum, but with a fixed fee, regardless of how much money comes in through an auction. Staff for Chairman Ajit Pai presented that scenario to the operators last week and reportedly held briefings for Congress' Appropriations and Commerce committees, said industry officials close to the proceeding. The FCC didn’t comment. Industry officials told us the incentive fee is expected to be only $5 billion total to be split among licensees. A trio of senators meanwhile bowed new C-band legislation Tuesday.