The House Commerce Committee introduced a bipartisan national cable franchising bill under which industry could opt in to national franchises under certain conditions. Federal franchises would last 10 years and would require payment of franchise fees of 5% of gross revenue. Management of public rights of way would remain in with local and state govts. Municipalities could charge for such management. Complaints would be handled by the local franchising authority or the FCC. A section of the bill would require VoIP providers to ensure subscribers get 911 services. A competition neutrality provision says any public entity affiliated with public providers of telecom service “shall not grant any preference or advantage to any such provider,” according to the bill.

Cox’s biggest challenge is luring “Echo Boomers” and their Baby Boomer parents with new services, portable devices and mobile content, said Pres. Patrick Esser. Cox’s products must remain attractive to the changing tastes of those 150 million people, he told a Media Institute lunch gathering. “Echo Boomers want mobile content…and they will take their parents right along with them,” Esser said. “They've been pausing live TV for years” and prefer to use a PC over a TV, he added.

LAS VEGAS -- The FCC’s decision to give Verizon regulatory relief for broadband services (CD March 20 p1) is a prime example of the agency’s goal to make sure regulatory policy doesn’t impede deployment, FCC Chmn. Martin said Tues. at USTelecom’s TelecomNext show here. Such decisions encourage investment by making sure govt. doesn’t improperly intrude on the market, he said.

The National Emergency Number Assn. met last week with FCC Chmn. Martin to clarify its position on E-911 rules for VoIP operators. “It is imperative that all entities involved in the delivery of VoIP E-911 operate from common principles and understanding,” NENA said in a statement aired at the meeting. NENA wants the FCC to “take immediate steps to establish an interim, followed by a permanent” pseudo automatic number identification (pANI) administrator. VoIP operators should be making sure subscriber records satisfy Master Street Address Guide (MSAG) standards “in preparation for 911 calling, equivalent to wireline treatment,” NENA said. Other topics: VoIP emergency service number (ESN) selection, trunking issues and the need to address intentional misrouting.

The Ariz. Corporation Commission (ACC) March 16 will weigh an administrative law judge’s recommendation that it accept a price flexibility agreement reached between Qwest and the ACC staff giving Qwest a net $43.8 million revenue rise over 2 years. Qwest in Ariz. operates under a unique system of retail price caps tied to earnings on assets. The ALJ in Case T-01051B-03-0454 said present rates won’t produce a 9.5% rate of return he judged fair, so Qwest would be entitled to a revenue increase to correct the deficiency. The new revenue would come by extending through 2007 price cap rules letting Qwest raise rates up to 25% per year for vertical services like caller ID and other services classed as semi-competitive, while services dubbed fully competitive would be priced to market. Net revenue boost from all hikes under this proposal couldn’t exceed $31.8 million the first year and $12 million the 2nd. The proposal would require Qwest to cut intrastate access charges $12 million the first year. Rates for basic exchange service, 911 and in-state directory assistance would remain capped at current levels. The proposal would require Qwest to withdraw a May 2004 proposal to declare the state’s major cities rate-deregulated competitive zones. The Rural Utility Consumer Office opposes the ALJ recommendation, saying it wrongly assumes the same level of competition in all Qwest wire centers. It said statewide rate averaging gives Qwest and rivals little incentive to compete on price in competitive markets. But Qwest and some competitors urged adoption, on grounds access cuts would boost long distance competition and keeping current rates for basic services would guard customers wanting only dial tone and local use. Local competitors lauded the plan’s dropping the competition zone idea.

The Ky. House was poised for a final vote on a telecom deregulation bill (HB-337) that would end state rate regulation of retail telecom services other than basic single-line local service. The pending bill would cap basic service rates at current levels for 5 years, except for incumbents under 50,000 lines. Their basic rates would be frozen for one year, then could rise by the annual average of the Consumer Price Index. Rates for nonbasic services would be deregulated. The PSC would keep jurisdiction over quality of basic and nonbasic retail telecom services, 911, Lifeline and universal service. PSC complaint jurisdiction would be limited to basic service obligations, billing disputes, slamming and cramming. Other provisions would remove VoIP entirely from Ky. PSC jurisdiction and require a 30-day trial period for new services, with the right to cancel without penalty during the trial period. Customers only would have to pay for service used during the trial. The bill wouldn’t affect the PSC’s wholesale service jurisdiction. Senate floor amendments would let incumbent telecom carriers match competitors’ offers, bar competitive discrimination in access to wireline facilities and let complaints be referred to binding arbitration.

S.D. Gov. Mike Rounds (R) signed 911 and telecom privacy bills. The 911 bill (SB-130) imposes 911 surcharges on prepaid calling services. The surcharge, taken as minutes deducted from the amount bought, is based on the fee of the customer’s premises, or place of purchase if the seller can’t determine the buyer’s location. Rounds also signed a telecom customer records privacy bill (SB-81) making it illegal to obtain confidential call records or other account information without permission, or to sell records to 3rd parties without customer consent. The new law imposes a fine of $500 or twice actual damages, whichever is more, plus plaintiff’s legal fees.

Emergency number representatives will storm the Hill today (Wed.) at the behest of the National Emergency Number Assn. (NENA) and several legislative and regulatory players who spoke at its conference. Timed to coincide with a report on the group’s E-911 program, the convention Tues. focused on how public safety access points (PSAPs) can grab funding and attention from D.C. policymakers. Several Hill staffers urged PSAP representatives to support pending legislation in both houses that would resolve liability issues for VoIP providers.

The Va. legislature passed a telecom tax bill that will replace all local levies with a single 5% state tax on all telecom services, including those provided by wireless, cable and VoIP providers, as well as on cable and satellite video services. Under the bill (HB-568) sent to Gov. Tim Kaine (D), the state tax would replace local utility taxes, gross receipts taxes, local E-911 fees, local franchise fees and the state relay service fee. The bill would replace local 911 fees with a state fee of 75 per subscriber line and would continue the 75 state 911 fee per wireless number. The bill also specifies how the state will distribute tax collections back to the municipalities. The bill had support from telecom carriers but was opposed by satellite providers.

Ind. legislators passed a telecom and video franchise reform bill ending retail phone rate controls by 2009 and making Ind. the 2nd state after Tex. to move video franchising from municipalities to the state. If signed by Gov. Mitch Daniels (R) as expected, HB-1279 will make the Utility Regulatory Commission (URC) the exclusive Ind. video franchise agency. The bill would bar any state-imposed video build-out requirements and neighborhood red-lining based on income. It would set terms by which video providers can end existing municipal franchises to get a state franchise. The bill would preserve local authority over rights of way, but bar any bias in ROW access terms based on technology or type of firm. On the telecom side, VoIP, broadband, wireless and information services would come out from under state jurisdiction. Rates for non-basic telecom services would be deregulated instantly, with rate regulation of basic services phased out by mid-2009, except for a requirement to offer a flat-rate unlimited local calling option. Telecom providers would have to offer broadband to at least 50% of customers within 18 months of their first basic-service rate increase. The URC could not exercise wholesale service authority over interconnection, resale and network unbundling beyond what’s delegated to it under federal law and FCC policy. It would keep URC complaint jurisdiction to matters involving slamming and cramming, entry control, universal service, relay services, 911 and other abbreviated dialing codes, and service quality. AT&T said the legislation “will help deliver more competition for cable television by encouraging the deployment of next-generation video services.”