John Kneuer, who became acting NTIA dir. with the departure of Michael Gallagher last week (CD Feb 16 p11), is expected to be appointed to the post for the nearly 3 years remaining in the Bush Administration, sources said Thurs. Kneuer could be unseated if another candidate with better political connections emerges, but he’s the clear front runner for the post as the President’s top spectrum and Internet adviser and the head of an agency of almost 300 people.
The Telecom Act met some of its goals, but fell short in other ways, veterans of its drafting and implementation said Mon. at a George Washington U. conference. “We got a lot of things done,” said ex-Sen. Larry Pressler, at the time chmn. of the Senate Commerce Committee. “It wasn’t perfect [but] we take for granted a lot of things,” such as more competition for business customers, that wouldn’t have happened without the Act, he said. The conference, timed to precede the Feb. 8 anniversary of the law’s 1996 adoption, also was sponsored by FCBA and Columbia U.’s Institute for Tele-Information.
Ian Dillner, Wireline Bureau counsel, named acting legal adviser to FCC Comr. Tate… Appointed to FCC independent panel reviewing Hurricane Katrina’s effects on telecom networks (first meeting Jan. 30 at FCC hq): Lisa Fowlkes, designated federal officer; Nancy Victory, Wiley Rein & Fielding; Patrick Yoes and Joseph Booth, La. State Police; Edwin Smith, Baton Rouge Fire Dept.; Stephen Dean, Mobile, Ala. Fire Chief; Edmund Sexton, National Sheriffs’ Assn.; Michael Sauter, New Orleans Police Dept.; Kevin Beary, Orange County, Fla. sheriff; Robert Bailey, Harrison County, Miss. Emergency Communications Commission; Jonathan Linkous, American Telemedicine Assn.; William Smith, BellSouth; Marion Scott, CenturyTel; Dave Flessas, Sprint; Jim Jacot, Cingular; Steve Davis, Clear Channel; Martin Hadfield, Entercom; Greg Bicket, Cox; Kay Sears, PanAmSat; Carson Agnew, Mobile Satellite Ventures; Kelly Kirwan, Motorola; Robert Dawson, SouthernLINC Wireless; Michael Anderson, PART-15.org; Billy Pitts, Notification Technologies; Adora Obi Nweze, NAACP; Eduardo Pena, League of United Latin American Citizens… Board changes at BT: Lou Hughes steps down; new members Matti Alahuhta, Kone Corp., and Phil Hodkinson, HBOS… Craig Marrs, ex-KRON-TV San Francisco, becomes pres.-gen. mgr., WHNT-TV Huntsville, Ala… Charter names Megan Delany, ex-Joseph Group, senior dir. & legislative counsel, federal govt. affairs… Daryl Smith, ex-Cox, moves up to ESPN senior vp-human resources… Dara Altman, ex-Discovery, becomes XM Satellite exec. vp-business & legal affairs… Gannett promotes John Williams to new position of pres., Gannett Digital… Parks Assoc. names Stuart Sikes, ex-AT&T, pres.
Promoted to partners at Wiley Rein & Fielding: Thomas Antonucci, John Cole, Karalee Morell, Daniel Pickard, Benjamin Reed and Kathryn Comerford Todd.
A self-deprecating FCC Chmn. Martin came up with some edgier barbs than some were expecting Thurs. night at the FCBA Chmn.’s Dinner. Martin poked fun at the famously tentative nature of many of his appointments. Talking about the recent birth of his first child, Luke, Martin joked: “I don’t want to get ahead of myself. Luke is currently our acting interim son.” Martin joked that parenting has proven tough. “It’s very odd how some things that work so well for me as chairman just don’t seem to work for me as a father,” he said. “The other night I just couldn’t get Luke to stop crying. I was so frustrated. I finally said ‘Luke, if you don’t stop crying, I'm going to going to reassign you to CGB.'” Several sources suggested that comment was probably wasn’t so funny to FCC staffers moved to the Consumer & Governmental Affairs Bureau. Martin made fun of criticisms that his decisions have been based on politics. “Last week one reporter wrote that every decision I make is political,” he said. “Now that one really bothered me. I mean all 12 focus groups said if we had a baby that would insulate us from that criticism.” He also made light of criticisms that the Martin FCC has been a closed shop, with staffers fearful of talking to journalists. “One reporter even claimed that not one piece of paper gets out of the Commission without my personal approval,” he said. “That’s not true. There have been exactly 5 pieces of paper. All of the people responsible have been dealt with.” Martin closed with a list of reasons it’s fun to work at his FCC. The top reasons: “(3) Plenty of time for golf because there’s no need to work on wireless issues. (2) Trips to Siberia not limited to the International Bureau. (1) KGB-like atmosphere grows on you after a while.” Earlier, Martin was “roasted” by former NAB Pres. Edward Fritts, former FCC Chmn. Richard Wiley and AT&T Senior Exec. Vp James Cicconi. “I was asked to do a real roast of FCC Chmn. Martin,” said Wiley: “Like, right - I'm going to do that.” Comparing Martin’s youthful looks to Harry Potter’s, Wiley said Martin was the only associate Wiley, Rein & Fielding ever hired “directly from grade school.” Ex-NAB Pres. Eddie Fritts said Martin “is so young that when he showed up late for work one day, local broadcasters located him by issuing an Amber Alert.” Fritts added, in staccato delivery: “Kevin is the only public official with an open invitation to the Neverland Ranch. Kevin is an indecency hawk but we wonder about his credentials, since he’s never been admitted to an R-Rated movie.” Cicconi riffed on Star Wars comparisons, since Martin’s son shares a first name with Luke Skywalker. “Is it me or is [Chief of Staff] Dan Gonzalez looking a little like Yoda these days?” Cicconi asked.
Ex-NTIA Dir. Nancy Victory will chair an FCC panel that will study Hurricane Katrina’s impact on telecom and media infrastructure. The panel of public safety and communications industry experts will advise the FCC on improving disaster preparedness, network reliability and communication among first responders, the FCC said. Victory is a partner at Wiley, Rein & Fielding.
The Hawaii Supreme Court Fri. denied a $300 million class action suit against Verizon Hawaii challenging a surcharge on touch tone service. Plaintiffs said Verizon engaged in unfair trade practice by imposing the surcharge without telling consumers they get touch tone service simply by plugging a phone into a jack, without signing up for it or paying a fee. The court said the surcharge was lawful under the filed-rate doctrine because the charges appear in tariffs approved by state regulators. Wiley, Rein & Fielding attorneys who argued the case said awarding damages “would violate the filed-rate doctrine by effectively imposing a lower rate for [touch tone] services than that explicitly set and repeatedly affirmed by state regulators in several tariffs.”
A group of broadcasters have asked the Copyright Office to establish a flat annual fee for online radio that would be paid monthly, regardless of audience size. The royalty rate would be based on a station’s market position and BIA revenue rank. Bonneville, Clear Channel, Infinity, Susquehanna and the National Religious Bcstrs. Music License Committee (NRBMLC) recently submitted their joint proposal to the Copyright Royalty Board (CRB), which is considering revamping the current system. The digital media industry, music publishers, satellite radio companies and other players in the Web-based music space also filed proposals with the CRB.
Robert Cresanti, vp-public policy for the Business Software Alliance, nominated by President Bush as Under Secy. of Commerce for Technology… Former U.S. Deputy Attorney Gen. Jamie Gorelick joins Lucent govt. advisory board… FCC Wireless Bureau Deputy Chief Scott Delacourt returns to Wiley Rein & Fielding as of counsel… Telecom attorney Kathleen Ramsey moves to Sonnenschein Nath & Rosenthal as partner, from Swidler Berlin… Infonxx names Yancy Oshita, ex-Oracle, chief mktg. officer… Stan Kozlowski moves up to Sirius senior vp-strategic sales development; Mike Roberts, ex-Delphi, becomes vp-retail distribution… Douglas Norby, Tessera Technologies, joins Neterion board… Tribune promotes John Reardon to pres.- CEO, broadcast group, and John Vitanovec to exec. vp… Univision promotes Michael Wortsman to pres., Univision TV Group… TV Land/Nick at Nite promotes Sal Maniaci to senior vp-development & original production… Former Tex. legislator Todd Baxter joins Tex. Cable & Telecom Assn. as vp-govt. affairs and gen. counsel.
Emmis Communications sold 4 more of its TV stations to the Blackstone Group and the SJL Bcst. Group for $259 million. The sale covers KOIN (Ch. 6, CBS) Portland, Ore., KHON-TV (Ch. 2, Fox) Honolulu, KSNW (Ch. 3, NBC) Wichita, Kan., and KSNT (Ch. 27, NBC) Topeka, Kan. Emmis in Aug. sold 9 of its 16 TV stations to 3 separate buyers for $681 million (CD Aug 23 P4). No deals have been made for Emmis’ last 3 TV stations -- KGMB (Ch. 9, WB), Honolulu, WVUE (Ch. 8, Fox) New Orleans, and WKCF (Ch. 18, WB) Clermont-Orlando, Fla. Emmis said it’s selling its TV business to cut debt and focus on radio. Meanwhile, Emmis TV net revenue for the 2nd quarter ended Aug. 31 was $60.3 million, and operating expense $39.8 million, it said Thurs. Emmis net revenue that period, excluding TV, now classified as discontinued operations, was up 11% to $107.9 million. Radio revenue rose 11% to $87.1 million. Operating income grew 13% to $28.5 million and station operating income was $42 million, compared with $39.1 million in the same quarter a year ago. Emmis Chmn. Jeff Smulyan said during the company’s earnings conference call Thurs. if he succeeds in a bid to acquire the Washington Nationals baseball team, Emmis will put up to $100 million into the venture, forming a new subsidiary to hold the team. Smulyan and D.C. area investors including former FCC Chmn. Dick Wiley and Radio One CEO Alfred Liggins would form a limited partnership to run the franchise. Smulyan also discussed talks regarding a bid for The Walt Disney Co. radio group. Disney, once in talks with Emmis, Entercom Communications and Citadel Bcstg., was disappointed when initial bids fell short of Disney’s $3 billion asking price. “You have seen all the speculation about the bid that we submitted, and it wasn’t anywhere near their interest level,” Smulyan said.