Rep. Barton and Rep. Stearns Write FCC
Regarding State VOIP Taxation |
8/10. Rep. Joe Barton (R-TX) and
Rep. Cliff Stearns (R-FL) sent a
letter [PDF] to the Federal Communications Commission (FCC) regarding state
taxation and regulation of nomadic voice over internet protocol (VOIP) services.
On November 4, 2004, the FCC adopted its Vonage preemption order. It adopted a
Memorandum
Opinion and Order that addressed Vonage Holdings
Corporation's Petition for Declaratory Ruling regarding its DigitalVoice service in the
state of Minnesota. The FCC found that Vonage's VOIP service named DigitalVoice is an
interstate service, and that Minnesota cannot regulate as it had proposed in a September
2003 order. However, the FCC's order left other issues undecided.
That 2004 order is FCC 04-267 in WC Docket No. 03-211. See also,
story
tilted "FCC Adopts Order on Vonage's VOIP Petition" in
TLJ Daily E-Mail
Alert No. 1,015, November 10, 2004, and story titled "FCC Releases
Vonage VOIP Order" in
TLJ Daily E-Mail
Alert No. 1,015, November 18, 2004.
The states of Nebraska, Kansas and New Mexico have imposed state universal service taxes
on Vonage and other nomadic VOIP providers. Vonage declines to pay. The taxing states of
Kansas and Nebraska, which are represented by the law firm of
Birch Horton, filed a petition on July 16, 2009,
"for declaratory ruling that the FCC has not preempted states from assessing universal
service charges on the intrastate revenues of providers of nomadic" VOIP service.
Specifically, they argued that "the FCC should declare that states are not preempted
from imposing requirements on nomadic interconnected VolP providers to contribute to state
universal service funds under Section 254 of the Federal Communications Act ("FCA")
where they provide voice service within a state." See, petition,
part 1
and part 2.
At issue is whether this asks for a change in law, and if so whether the FCC will attempt
to change the law regarding what states can do. Also at issue is if the FCC is to grant relief
to the taxing states, whether it would do so by declaratory ruling or rulemaking. Also at
issue is whether any such DR or NPRM would attempt to retroactively apply its ruling..
Also at stake is the FCC's reputation for providing regulatory certainty.
Rep. Barton and Rep. Stearns
(at right) are the ranking Republicans on the
House Commerce Committee (HCC)
and the HCC's Subcommittee on Communications, Technology and the Internet.
They wrote that subjecting VOIP services to state universal service fees
"would alter settled expectations and could have a significant impact on
investment, economic growth, and broader universal service reform. We are
skeptical this would be a wise course, and urge you to afford this issue due
consideration" in a NPRM rather than a DR.
The continued that "Internet services such as VoIP have been responsible for
tremendous growth in the U.S. communications services, software, and equipment
industries. Imposing regulation, fees, and taxes could weigh heavily on these
markets, create a drag on innovation, and hinder our economy. Doing so through a
patchwork of State regimes would exacerbate the effect."
They also wrote that "Ruling that VoIP services are subject to State USF fees
would not only contradict recent court decisions that the Vonage Order preempted
such fees, it could create disruptive uncertainty by calling into question
whether States may impose other regulations on VoIP services."
The two also argued that "the appropriate and well established means of creating or
changing policy is to initiate a notice and comment rulemaking".
The Voice on the Net (VON) Coalition opposes the taxing state's petition. In
the alternative, it argues that if the FCC is to change the ruling in the 2004
Vonage preemption order, it should do so by NPRM, and that any new rules should
have prospective effect only. See for example, August 11, 2010,
letter
disclosing ex parte communication with FCC.
Verizon wrote in a August 5
letter that "all
VoIP and IP-enabled services are interstate and subject to the Commission’s exclusive
jurisdiction". However, if the FCC were to decide to grant the states' petition, "it
should do so narrowly, drawing a clear distinction between what the Commission has already
preempted in the Vonage Order and a state’s authority to assess VoIP providers to fund a
state universal service program."
AT&T wrote in an August 10
letter
that the FCC should "authorize states to
require interconnected VoIP providers to contribute to state universal service
mechanisms on a prospective basis only, and pursuant to a uniform methodology to
ensure that VoIP providers not be subjected to intrastate assessments in
multiple states for the same customers."
A collection of companies and groups, including Verizon, AT&T, VON Coalition,
Microsoft, Skype, Google, and other wrote in a joint August 5
letter
that "We understand that the Commission is considering an order that would grant
the relief that the Kansas and Nebraska Commissions seek in their Petition -- a
declaratory ruling that the Commission has not preempted states from assessing
state universal service charges on Voice over Internet Protocol (VoIP)
services." (Footnote omitted.)
They continued that "we believe that as with all Internet
services, VoIP is inherently interstate in nature. But should the Commission
grant the Petition, we urge the Commission to do so narrowly and prospectively,
and not to disturb or cast any doubt upon the Commission's longstanding
determination that states are preempted from regulating the entry, rates, or
other terms and conditions of VoIP services." (Footnote omitted.)
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Associate AG Perrelli Discusses Cyber
Bullying |
8/12. Tom Perrelli,
the Associate Attorney General at the Department of Justice (DOJ), gave a
speech
in which he addressed online bullying. He did not advocate enacting any criminal or
regulatory legislation.
He referenced the suicide of Megan Meier, who had been bullied via MySpace. The DOJ
prosecuted the bully, Lori Drew, for violation of
18 U.S.C. § 1030 in connection with her violation of MySpace's terms of service (TOS).
See, stories titled "Lori Drew Pleads Not Guilty in Section 1030 Case" in
TLJ Daily E-Mail Alert No.
1,784, June 23, 2008, "Law Professors Argue for Dismissal of MySpace Section 1030
Prosecution" in TLJ Daily
E-Mail Alert No. 1,810, August 11, 2008, and "Jury Returns Guilty Verdict in Lori
Drew Case" in TLJ
Daily E-Mail Alert No. 1,865, December 2, 2008.
Perrelli (at left)
stated that "With the increasing use of social networking sites and text messaging,
the face of bullying is changing. Previously, an incident may have involved girls bickering
with each other over boys on the playground. Today, insults -- and retaliation for insults
-- are not only made face-to-face, they are also posted on a classmate's Facebook profile for
all to see. As the internet becomes today's playground, the previous distinction between what
took place inside and outside of school is disappearing. Unsurprisingly, teachers are now
spending time mediating conflicts between students that began online or through text
messages."
He continued that "the apparent anonymity
offered by technology can lead to more vicious insults. It is apparent that
children (and frankly adults) are willing to push the envelope in cyberspace and
say malicious things that they might not otherwise say in person. Never before
has particularly cruel harassment from school persisted as long as it does now
online, where for example, a Facebook group, populated with hundreds of members, is
dedicated solely to making fun of a fellow classmate because of his hair color."
(Parentheses in original.)
He also said that it has "become increasingly
sexually explicit. In Los Angeles' San Fernando Valley, middle school, high
school, and college students posted comments on a web site that were full of
sexual innuendo attacking fellow students. The online message boards had been
accessed more than 67,000 times in a two-week period. This type of far-reaching
harassment haunts and torments kids who are keenly aware that not just a few
classmates can view these posts, but the whole world can view the disparaging
comments. And with the widespread use of text messaging, an increase in ``sexting´´
has also become a complication for combating bullying, where, with just the
click of a cell phone button, an angry boyfriend can retaliate by forwarding
compromising photos of a middle school girlfriend to his adolescent classmates."
However, Perrelli did not advocate enactment of
any new criminal or regulatory statutes in this speech. Rather, he outlined
appropriate responses in vague terms. "A first step is the recognition that we
are all in this together and that means that teachers, principals, parents, and
yes, law enforcement must model caring behavior for our children and promote
communication. It means teaching our kids how to care for themselves, how to
care for each other, and how to care for their communities, through group
community service requirements or student-to-student mentorship programs. ...
And that leads to a second step, which is fostering a sense of responsibility
among our young people."
Before joining the DOJ, Perrelli was Managing Partner of the Washington DC
office of the law firm of of Jenner & Block,
and a Co-Chair of its Entertainment and New Media Practice. See, story titled "Obama
Names Perrelli to be DOJ Associate Attorney General" in
TLJ Daily E-Mail
Alert No. 1,878, January 6, 2009.
HR 1966 [LOC
| WW], the
"Megan Meier Cyberbullying Prevention Act", introduced on April 2, 2009, by
Rep. Linda Sanchez (D-CA) and others would
create a new crime of cyberbullying by "an information service, including email,
instant messaging, blogs, websites, telephones, and text messages".
HR 3630 [LOC
| WW], the
"Adolescent Web Awareness Requires Education Act" or "AWARE Act",
introduced on September 23, 2009, by Rep.
Debbie Schultz (D-FL), would provide for grants to be distributed by the DOJ
to "to carry out an Internet crime awareness and cybercrime prevention program".
On September 30, 2009, the House
Judiciary Committee's (HJC) Subcommittee on Crime held a hearing titled "Cyberbullying
and other Online Safety Issues for Children" at which these bills were
discussed. See, HJC
web page with
hyperlinks to prepared testimony.
The House has taken no other action on either of these two bills.
However, the House passed HR 780
[LOC |
WW], the "Student
Internet Safety Act of 2009", a bill to allow federal education funds to be used to
"educate students about appropriate online behavior, including interacting with individuals
on social networking Web sites and in chat rooms", on June 16, 2009.
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Bills Signed |
8/10. President Obama signed into law three technology related bills, the SPEECH Act, a
USPTO funding bill, and a bill regarding cell phones in prisons. See, White House news office
release.
First, President Obama signed HR 2765
[LOC
| WW],
the "Securing the Protection of our Enduring and Established Constitutional
Heritage Act" or "SPEECH Act". It is now Public Law No. 111-223.
This act, among other things, prohibits the recognition and enforcement in
the United States of foreign defamation judgments when the foreign court does
not afford at least as much protection for freedom of speech and press as the
U.S. court. The sale and distribution of books and other written materials over
the internet exposes authors, publishers and internet service providers (ISPs)
in the U.S. to libel suits around the world. See,
story
titled "Congress Passes Foreign Libel Judgments Bill" in TLJ Daily E-Mail Alert
No. 2,117, August 3, 2010.
Second, President Obama signed HR 5874 [LOC |
WW],
the "United States Patent and Trademark Office Supplemental Appropriations Act,
2010". It is now Public Law No. 111-224.
This act pertains to the use by the U.S. Patent and
Trademark Office (USPTO) of the fees that its charges, and Congressional underfunding of
the USPTO.. See, story titled "Congress Passes USPTO Funding Bill" in TLJ Daily
E-Mail Alert No. 2,116, August 2, 2010.
Third, President Obama signed into law S 1749
[LOC |
WW], the
"Cell Phone Contraband Act of 2010". It is now Public Law No. 111-225.
See, stories titled "House Passes Prison Cell Phones Bill" in TLJ Daily E-Mail
Alert No. 2,109, July 21, 2010, "Senate Judiciary Committee to Consider Cell Phones in
Prisons" in TLJ Daily
E-Mail Alert No. 2,038, January 25, 2010.
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In This
Issue |
This issue contains the following items:
• Rep. Barton and Rep. Stearns Write FCC Regarding State VOIP Taxation
• Associate AG Perrelli Discusses Cyber Bullying
• Bills Signed
• More News
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Washington Tech
Calendar
New items are highlighted in
red. |
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Thursday, August 12 |
The Senate will not meet. It will next meet on September 13, 2010.
The House will not meet. It will next meet at
2:00 PM on September 14, 2010.
10:00 AM. The Department of Commerce's (DOC)
Bureau of Industry and Security's (BIS) Materials
Technical Advisory Committee will hold a partially closed meeting. See,
notice in the Federal Register,
July 28, 2010, Vol. 75, No. 144, at Pages 44227-44228. The BIS will teleconference this event.
Location: DOC, Room 3884, 14th Street between Constitution & Pennsylvania Avenues, NW.
10:00 AM - 4:00 PM. Day two of a two day meeting
of the U.S.-China Economic and Security Review
Commission to consider drafts of material for its 2010 Annual Report to the Congress.
See, notice in the Federal
Register, August 10, 2010, Vol. 75, No. 153, at Page 48412. Location: Room 233, Hall of
States, 444 North Capitol St., NW.
Deadline to submit reply comments to the Federal Communications
Commission (FCC) in response to its
Notice of
Inquiry (NOI) [64 pages in PDF] that proposes to reclassify broadband internet
access services as Title II services. The FCC adopted and released this NOI on
June 17, 2010. It is FCC 10-114 in GN Docket No. 10-127. See, stories titled "FCC
Adopts Broadband Reclassification NOI", "Reaction to FCC Reclassification
NOI", and "Congress, the FCC, and Broadband Regulation " in
TLJ Daily E-Mail Alert No.
2,097, June 18, 2010. See also, story titled "FCC Employs Fast Tracking and
Stacking in Reclassification Proceeding" in
TLJ Daily E-Mail Alert No.
2,098, June 21, 2010. See also,
notice in the
Federal Register, June 24, 2010, Vol. 75, No. 121, at Pages 36071-36088.
Deadline to submit reply comments to the Federal Communications
Commission (FCC) in response to its
Notice of Inquiry (NOI) [30 pages in PDF] regarding Section 629 of the
Telecommunications Act of 1996, which is codified at
47 U.S.C. § 549(a), and enabling electronics manufacturers to offer smart video
devices at retail that can be used with the services of any MVPD and without the
need to coordinate or negotiate with MVPDs. The FCC adopted and released this item on
April 21, 2010. It is FCC 10-60 in MB Docket No. 10-91, CS Docket No. 97-80, and PP
Docket No. 00-67. See, notice
in the Federal Register, May 14, 2010, Vol. 75, No. 93, at Pages 27264-27271.
Deadline to submit to the Copyright Royalty Judges (CRJ)
objections to the negotiated royalty rates for the satellite carrier
statutory license of the Copyright Act for the license period 2010-2014.
See, notice in
the Federal Register, July 13, 2010, Vol. 75, No. 133, at Pages 39891-39892.
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Friday, August 13 |
Deadline to submit comments to the
Department of Homeland Security (DHS)
regarding data collection forms for its Protected Repository for the Defense
of Infrastructure Against Cyber Threats (PREDICT) initiative. See,
notice in the
Federal Register, June 14, 2010, Vol. 75, No. 113, at Pages 33629-33631.
Deadline to submit comments to the
U.S. Patent and Trademark Office (USPTO)
regarding proposed changes to restriction practice in patent applications.
See, notice in
the Federal Register, June 14, 2010, Vol. 75, No. 113, at Pages 33584-33587.
Deadline to submit initial comments to the Federal Communications
Commission (FCC) in response to three public notices regarding FCC collection, use
and dissemination of data. See, Media Bureau
notice
(DA 10-1195 in MB Docket No. 10-103), Wireline Competition Bureau (WCB)
notice
(DA 10-1189 in WC Docket No. 10-132), and Wireless Telecommunications Bureau (WTB)
notice (DA 10-1223 in WT Docket No. 10-131). See also, FCC
release.
Deadline to submit comments to the National
Institute of Standards and Technology's (NIST) Computer
Security Division (CSD) regarding its draft
SP 800-125
[35 pages in PDF] titled "Guide to Security for Full Virtualization
Technologies".
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Monday, August 16 |
Deadline to submit initial comments to the Federal Communications
Commission (FCC) in response to its
Further
Notice of Proposed Rulemaking [99 pages in PDF] regarding access by telecommunications
carriers and cable operators to utility poles. The FCC adopted and released this item
on May 20, 2010. This item is FCC 10-84 in WC Docket No. 07-245 and GN Docket No. 09-51.
See, notice in the
Federal Register, July 15, 2010, Vol. 75, No. 135, at Pages 41337-41363. See
also, story titled "FCC Adopts Pole Attachments Order and FNPRM" in
TLJ Daily E-Mail Alert No.
2,087, May 26, 2010. See also, July 19, 2010,
Public
Notice (DA10-1323.)
Deadline to submit reply comments to the Federal Communications
Commission (FCC) in response to its
Public
Notice [21 pages in PDF] requesting input and data on mobile wireless competition for
the FCC's Fifteenth Annual Report on the State of Competition in Mobile Wireless.
This item is DA 10-1234 in WT Docket No. 10-133.
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Tuesday, August 17 |
1:30 - 4:00 PM. The Information Technology
and Innovation Foundation (ITIF) will host a panel discussion titled "Allocating
Educational Spectrum". The speakers will be Richard Bennett (ITIF), Jim Johnston,
and Noelle Ellerson (Association of School Administrators).
The ITIF will webcast this event. This event is free and open to the public. See,
notice and
registration page. Location: ITIF, Suite
610a, 1101 K St., NW.
6:00 - 9:15 PM. The DC Bar Association
will host a panel discussion titled "Part 1: Software Patent Primer: Acquisition,
Exploitation, Enforcement and Defense". The speakers will be Stephen Parker
(Westerman, Hattori), Brian Rosenbloom (Figg Ernst), Martin Zoltick (Rothwell Figg). The
price to attend ranges from $89 to $129. Reporters are barred from attending most DC Bar
events. This event qualifies for CLE credits. See,
notice. For more information, call 202-626-3488. Location: DC Bar Conference
Center, 1101 K St., NW.
Deadline to submit comments to the
National Institute of Standards and Technology's (NIST)
Computer Security Division (CSD) regarding its draft
SP
800-130 [88 pages in PDF] titled "A Framework for Designing Cryptographic Key
Management Systems".
Deadline to submit initial comments to the Federal Communications
Commission (FCC) in response to its Notice of Proposed Rulemaking (NPRM) regarding amending
its satellite television significantly viewed rules to implement Section 203 of the
Satellite Television Extension and Localism Act of 2010 (STELA). The FCC adopted this NPRM
on July 22, 2010, and released the
text [27 pages in PDF] on July 23, 2010. It is FCC 10-130 in MB Docket No. 10-148. See,
notice in the
Federal Register, July 28, 2010, Vol. 75, No. 144, at Pages 44198-44209.
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Wednesday, August 18 |
Deadline to submit initial comments to the Federal
Communications Commission (FCC) in response to its
Notice of
Inquiry (NOI) [25 pages in PDF] regarding its video relay service (VRS) rules. The FCC
adopted this NOI on June 8, 2010, and released the text on June 28, 2010. This NOI is FCC
10-111 in CG Docket No. 10-51. See,
notice in the
Federal Register, July 19, 2010, Vol. 75, No. 137, at Pages 41863-41866.
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Thursday, August 19 |
6:00 - 9:15 PM. The DC Bar Association
will host a panel discussion titled "Part 2: Software Patent Primer: Acquisition,
Exploitation, Enforcement and Defense". The speakers will be Stephen Parker
(Westerman, Hattori), Brian Rosenbloom (Figg Ernst), Martin Zoltick (Rothwell Figg). The
price to attend ranges from $89 to $129. Reporters are barred from attending most DC Bar
events. This event qualifies for CLE credits. See,
notice. For more information, call 202-626-3488. Location: DC Bar Conference
Center, 1101 K St., NW.
Deadline to submit reply comments to the Federal Communications Commission
(FCC) in response to its Notice of Proposed Rulemaking (NPRM) regarding revising its Part
17 rules regarding the construction, marking, and lighting of antenna structures. The
FCC adopted this NPRM on April 12, 2010, and released the
text [54
pages in PDF] on April 20, 2010. It is FCC 10-53 in WT Docket No. 10-88. Federal Register,
May 21, 2010, Vol. 75, No. 98, at Pages 28517-28540.
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More
News |
8/10. The Federal Trade Commission (FTC) published
a notice in the Federal
Register that announces, describes, recites, and sets the effective date (September 27,
2010) for, its amendments to its Telemarketing Sales Rule (TSR). See, Federal
Register, August 10, 2010, Vol. 75, No. 153, at Pages 48457-48523.
8/9. Federal Communications Commission (FCC) Commissioner
Michael Copps released a
statement
regarding the legislative
proposal of Google
and Verizon regarding regulation of broadband internet access service (BIAS) providers.
Copps wrote that "Some will claim this announcement moves the discussion forward. That's
one of its many problems. It is time to move a decision forward -- a decision to reassert FCC
authority over broadband telecommunications, to guarantee an open Internet now and forever,
and to put the interests of consumers in front of the interests of giant corporations."
See also, story
titled "Verizon and Google Announce Legislative Proposal on Internet Regulation"
in TLJ Daily E-Mail Alert No. 2,121, August 9, 2010.
8/9. The Federal Communications Commission (FCC) released a
Public
Notice (PN) [3 pages in PDF] that announces that the FCC will write a "plan"
or "roadmap" pertaining to cyber security and communications networks.
This PN also requests public comments in response to several questions. This PN
asks: "What are the most vital cybersecurity vulnerabilities for communications
networks or users? How can these vulnerabilities be addressed? What role should
the Commission play in addressing them? What steps should the Commission take,
if any, to remediate them? If the FCC does not play a role in addressing these
vulnerabilities and problems, what agency or entity would fulfill that role? How
should the Commission coordinate its efforts with other agencies of government?"
Comments are due by September 23, 2010. This PN states that the FCC anticipates
completion of this plan by "November 2010". This PN is DA 10-1354 in PS Docket No.
10-146 and GN Docket No. 09-51.
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About Tech Law
Journal |
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Copyright 1998-2010 David Carney. All rights reserved.
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