The FCC Wireline Bureau wants to know whether to cap ancillary service charges for inmate calling services (ICS) when they're subject to both federal and state regulatory authority, said a public notice Tuesday on docket 12-375. The bureau wants to refresh the docket in response to a remand from the U.S. Court of Appeals for the D.C. Circuit after Global Tel*Link v. FCC, when the court "could not discern from the record whether ancillary fees can be segregated between interstate and intrastate calls." A 2015 ICS order didn't address the question, the bureau said. "We now seek specific comment on whether each permitted ICS ancillary service charge may be segregated between interstate and intrastate calls and, if so, how." Staff wants to know how to proceed when such services are jurisdictionally mixed: "Should we simply apply the cap to jurisdictionally mixed services?" The bureau wants to make sure next steps are consistent with the D.C. Circuit's decision.
The FCC should grant its petition for forbearance on USF contributions for interstate and international inmate calling services, for callers and correctional telecom providers, replied Network Communications International Corp., posted in docket 19-232. The company petitioned in August, and Worth Rises says the FCC continue to collect USF fees from providers but prohibit pass-through to consumers (see 1909170029). NCIC said that "would require the modification of other FCC rules which are outside the scope of the proceeding." It said such a change would likely lead some ICS providers to pass the costs to users directly or indirectly. Global Tel*Link said because interstate ICS isn't a Lifeline service, it's subject to USF contributions that can be passed through to users, even when those users and families would typically be Lifeline customers.
A court denied a Louisiana prisoner's bid to enforce FCC inmate calling service rate caps adopted in 2015 and revised in 2016, but vacated in 2017. A mandamus petition "has not demonstrated a 'clear and indisputable' right to relief," ruled Judges David Tatel, Thomas Griffith and Sri Srinivasan of the U.S. Court of Appeals for the D.C. Circuit this week (In re: James Colvin, No. 18-1110). They noted Colvin argued he's being charged a per-minute ICS rate exceeding FCC permanent rate caps of as low as 13 cents per minute. "The rates being charged, however, do not exceed the interim rate caps [of 21 and 25 cents per minute] established by the Commission in 2013, and petitioner has not demonstrated that any other rate caps are currently in effect," wrote the panel, noting the court's 2017 Global Tel*Link v. FCC ruling undoing the permanent rate caps (see 1706130047). The FCC, Securus Technologies and the Louisiana Department of Public Safety and Corrections opposed the mandamus request (see 1809170030).
TKC Holdings, Inmate Calling Solutions and Securus Technologies opposed calls for the FCC to reject TKC's proposed sale of ICSolutions to Securus. They said the Wright Petitioners and other critics "resurrect old allegations" against Securus' character and "assert, supported by scant evidence, that granting the Joint Application will inevitably have negative effects" on inmate calling service competition (see 1807170054). "Neither argument provides a basis for denying or delaying" the deal, said the applicants' opposition (to petitions to deny) posted Tuesday in docket 18-193. "The character arguments rehash the same assertions raised by many of the same Petitioners when they unsuccessfully sought to deny the transfer of control" of Securus to Abry Partners in 2013 and, subsequently, to Platinum Equity in 2017. "They admit that the new evidence (which in any event is erroneous) goes to the same alleged misconduct they raised in 2017. ... Repetitious assertions of claims that have previously been rejected by the Commission are evidently made solely for the purpose of delaying the Transaction." The applicants said competitive concerns are "factually and legally flawed." They said arguments the deal will lead to a duopoly of Securus and Global Tel*Link ignore other competitors such as CenturyLink, disputing it will reduce competition. The applicants filed a separate reply responding to various commenters. Massachusetts Attorney General Maura Healey opposed the transaction, saying it "threatens" ICS competition nationwide and in her state at a time when Securus is seeking to avoid any Massachusetts regulatory oversight," said her reply. "Following many years of exorbitant and unfair charges imposed on inmate calling services, it is abundantly clear that we need more competition and oversight from the FCC and the states, not less."
Supreme Court prospect Brett Kavanaugh has made a mark in communications law in 12 years as a U.S. Court of Appeals for the D.C. Circuit judge. In a dissent from a ruling affirming the FCC's 2015 net neutrality order, he argued the regulation lacked clear congressional authorization and violated the First Amendment. The agency shouldn't get Chevron deference on "major" rules and broadband ISP speech rights can't be restricted absent a market power showing, he wrote. He has also found programming rules violate cable operator speech rights, upheld partial telco forbearance relief decisions and ruled on many other FCC orders, giving him far more telecom and media legal experience than any other contender to replace retiring Justice Anthony Kennedy (see 1806280018).
Supreme Court prospect Brett Kavanaugh has made a mark in communications law in 12 years as a U.S. Court of Appeals for the D.C. Circuit judge. In a dissent from a ruling affirming the FCC's 2015 net neutrality order, he argued the regulation lacked clear congressional authorization and violated the First Amendment. The agency shouldn't get Chevron deference on "major" rules and broadband ISP speech rights can't be restricted absent a market power showing, he wrote. He has also found programming rules violate cable operator speech rights, upheld partial telco forbearance relief decisions and ruled on many other FCC orders, giving him far more telecom and media legal experience than any other contender to replace retiring Justice Anthony Kennedy (see 1806280018).
SES advances John-Paul Hemingway to CEO, SES Networks, succeeding Steve Collar, who has started as president-CEO of the parent company ... NCTA hires Jon Simons from National Restaurant Association as associate vice president-digital advocacy ... SPIE society for optics and photonics names member Kent Rochford, ex-National Institute of Standards and Technology, CEO, succeeding Eugene Arthurs, retiring, effective June 2 ... Tru Optik adds Frans Vermeulen, ex-Comcast, as chief operating officer.
A court dispatched two cases involving FCC inmate calling service rate orders in light of litigant motions and a third commission order that was substantially overturned by the court. The U.S. Court of Appeals for the D.C. Circuit dismissed as moot challenges to a 2013 ICS order that set interim interstate rate caps, saying all parties agree the order "has been superseded by a subsequent agency order," said an order (in Pacer) of a three-judge panel Thursday in Securus Technologies v. FCC, No. 13-1280. It was referring to a 2015 order setting permanent interstate and intrastate rate limits. In Global Tel*Link v. FCC, No. 15-1461, the D.C. Circuit in June struck down much of that order, including the FCC's intrastate pricing authority, and upheld the agency's interstate pricing authority, but found the regulatory methodology "patently unreasonable" and remanded related decisions for further consideration (see 1706130047). The same panel issued a second order (in Pacer) Thursday that "summarily vacated insofar as it purports to set rate caps" a 2016 FCC reconsideration order that adjusted rate caps, noting all parties agreed they were "premised on the same legal framework and mathematical methodology that this court rejected" in Global Tel*Link. The panel remanded the rest of the recon order to the FCC for further consideration "in light of the disposition of this case" (Securus Technologies v. FCC, No. 16-1321) and the related cases.
The FCC and others asked a court not to review two inmate calling service rate orders from 2013 and 2016, after the court in June vacated and remanded key parts of a 2015 order restricting ICS rates and fees in Global Tel*Link v. FCC, No. 15-1461 (see 1706130047). The 2013 and 2016 orders have been held in abeyance by the U.S. Court of Appeals for the D.C. Circuit, which recently asked for motions on further proceedings. The commission and most other litigants said the D.C. Circuit should summarily vacate the 2016 reconsideration order being challenged in Securus v. FCC, No. 16-1321, because it relied on the same industry-averaging cost methodology vacated in GTL. They asked the court to dismiss as moot challenges to the 2013 interim interstate ICS rate order in Securus v. FCC, No. 13-1280, because it was superseded by parts of the 2015 order that weren't vacated in GTL. "Those aspects of the 2015 ICS Order not vacated by this Court in GTL are now the governing regulatory scheme for ICS unless and until revisited by the Commission in further administrative proceedings," said the joint motion (in Pacer) filed Monday by GTL, Securus, CenturyLink, Telmate, correctional facility petitioners, state and local government petitioners, the FCC and DOJ and their supporting intervenors. "That includes the 2015 ICS Order’s recodification of the interim interstate rate caps ... which, with respect to interstate calls only, remain in effect." Pay Tel Communications asked (in Pacer) asked the court to "vacate (or at least maintain the existing stay of)" the 2016 recon order's revised rate caps and remand the order to the commission.
Judges asked parties for proposals on how to deal with two inmate calling service cases on Securus Technologies' challenges to the FCC's 2013 and 2016 ICS orders, after court rulings against a 2015 ICS order. Judges David Tatel, Thomas Griffith and Cornelia Pillard of the U.S. Court of Appeals for the D.C. Circuit issued two brief orders (here and here in Pacer) Friday asking litigants to file motions within 30 days to govern the two pending cases, Securus v. FCC, Nos. 13-1280 and 16-1321. They noted the D.C. Circuit's recent decision not to rehear en banc (see 1709270009) another panel's June ruling reversing key parts of the commission's 2015 ICS order, including intrastate rate caps, in Global Tel*Link v. FCC, No. 15-1461 (see 1706130047). The 2013 order set interim interstate rate caps (see 1308120049). The 2016 reconsideration order raised interstate and intrastate rate caps from the 2015 order to account for correctional facility costs but without restricting ICS provider site-commission payments to authorities (see 1608040037).