The chairman of the Federal Communications Commission appeared before the House Appropriations commerce, justice, state and the judiciary subcommittee last week to ask for $248.5 million for fiscal year 2002. While Michael K. Powell did not ask for an increase in federal appropriations, he did ask Congress to authorize a 9.3-percent increase in regulatory fee assessment. Powell said the increase was necessary to attract new talent, especially entry-level engineers, to the agency. At the hearing, he was asked about his views on closing the digital divide. He said the uptake of the Internet and broadband access is faster than any other service, such as basic telephone service or electricity.
Thorpe Kelly, senior vice president for sales and marketing at Western Wireless Corp., told the House Small Business Committee that wireless technology can help bridge the digital divide in rural America if steps are taken to reform universal-service funding mechanisms so that competitive carriers and incumbent carriers have access to the same levels of support. In written testimony, Kelly said this includes swiftly granting wireless carriers eligible telecommunications carrier status and preventing landline telephone monopolies from thwarting local competition.
The Senate approved a permanent research and development tax credit. The measure, included in an 11-year, $1.35 trillion tax-cut bill, was headed to a House-Senate conference committee at RCR Wireless News’ deadline. It could be signed by the president before Memorial Day. “Making the tax credit permanent will also make the significant national economic benefits it engenders permanent,” stated AeA, a high-tech trade association.
A bill that some fear could amount to a re-write of the Telecommunications Act of 1996 was sent to the House Judiciary Committee despite protests from proponents of the bill, which would allow the Baby Bells the opportunity to offer long-distance high-speed data services. Rather than consider the bill by Reps. Billy Tauzin (R-La.) and John Dingell (D-Mich.), the House Judiciary Committee is considering a different bill that is seen by many as the anti-Tauzin-Dingell Bill.
