Communications Daily is a service of Warren Communications News.

HOUSE COMMERCE LEADERSHIP ON LINE IN DINGELL-RIVERS RACE

Telecom industry will be closely watching Mich. today (Tues.) as influential Rep. Dingell (D-Mich.), 24-term incumbent, goes to polls in dead-heat primary against Rep. Rivers (D-Mich.), 4-term incumbent. While telecom issues have hardly scored blip in tightly contested campaign, race has become important to telecom interests, particularly those representing ILECs, CLECs and broadcasters, since leadership of House Commerce Committee is at stake. Dingell is ranking Democrat on Committee and co-author of Tauzin-Dingell bill (HR-1542), which would remove regulatory restrictions on Bell companies to deploy broadband Internet. Rivers, member of Education & Workforce Committee and Science Committee, has little involvement in telecom issues, but has drawn support from Tauzin-Dingell opponents. She has proved to be strong candidate against Dingell in newly redrawn 15th district, which now includes more liberal Democratic voters from Ann Arbor who are said to be more likely to vote for Rivers. In race, Rivers is portrayed as liberal, single mother who strongly supports gun control and abortion rights. Dingell is seen as more moderate, who touts experience and support from unions.

Sign up for a free preview to unlock the rest of this article

Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!

Some industry observers privately expressed concerns not about Rivers, but Rep. Waxman (D-Cal.), who probably would take Dingell’s leadership role should he lose. Waxman is viewed as too liberal and many in telecom industry worry he would push many new regulations, industry sources told us. Heightening that concern is prospect that Republicans could lose control of House, which could place Waxman as chmn. of Commerce Committee. Several pundits and industry sources have predicted congressional flip-flop in Nov., with Republicans retaking Senate and Democrats gaining control of House for first time since 1994.

Opponents of Tauzin-Dingell bill have thrown support behind Rivers. Observers said AT&T has donated substantial sums to her campaign. Dingell campaign in June 27 release called on Rivers to return $6,750 she had received from WorldCom since 1994, but had returned only $5,750: “Rivers has reaped thousands of dollars from other large telecommunications companies, including AT&T.” Rivers spoke out against Tauzin-Dingell, which Dingell release said would increase broadband competition and result in new jobs in Mich. “AT&T and WorldCom are fiercely opposed to Tauzin- Dingell as it would help remove the stranglehold they currently have on the deployment of high-speed Internet access and level the playing field benefitting consumers,” Dingell release said. In Feb. 27 House floor speech, Rivers said “big phone companies” frequently were in noncompliance with law, opting rather to pay fines than open lines to competition. “And now these same companies want a chance to do to the Internet what they have done to phone service,” she said in speech opposing Tauzin-Dingell.

Rivers campaign emphasized her support from individuals and highlighted Dingell’s backing from political action committees (PACs) and other “special interests,” including business. She said 80% of her campaign contributions come from individuals, compared with what she said was only 35% of Dingell’s. Center for Responsive Politics (CRP), which monitors campaign donations, said Dingell had raised nearly $2.5 million and spent nearly $2.2 million in campaign and Rivers had raised $1.4 million and spent $1 million. CRP said 90% of Rivers’s contributions had come from individuals, 46% of Dingell’s.

Dingell received support of some national and regional telecom associations, particularly broadcast entities. Both NAB and Mich. Assn. of Broadcasters (MAB) publicly endorsed Dingell, with NAB donating $10,000 to campaign. MAB hadn’t endorsed any candidate in its 53 year history until now. Dingell also received support from longtime FCC Comr. James Quello, now with Wiley, Rein & Fielding. Quello said he personally wrote letters to every TV station in Mich., urging them to support Dingell. “Broadcasters have a great friend in John Dingell,” Quello said, speaking passionately of their friendship. Quello said he once opposed allowing Bell companies into long distance, but said he had changed his position on issue and now supported Tauzin-Dingell.

But telecom associations have remained quiet about campaign. USTA and TIA didn’t publicly endorse either candidate, nor did Telecom Assn. of Mich. (TAM). However, TAM Pres. Scott Stevenson did say TAM had “good relationship” with Dingell, but hadn’t had contact with Rivers. TAM says it includes both ILECs and CLECs in membership.