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from: Variety

Democrats watching FCC
House puts org on notice at hearing

By WILLIAM TRIPLETT

WASHINGTON -- The first Democratically controlled House oversight hearing on the Federal Communications Commission pointedly put FCC chairman Kevin J. Martin and his fellow commissioners on notice that the new majority will be closely monitoring agency actions and expecting what it considers long overdue results on some matters.

In opening remarks, Rep. John Dingell (D-Mich.) noted that the occasion marked the first time in three years that all five FCC commissioners were appearing before the House Subcommittee on Telecommunications and the Internet, a lapse that he said has had "unwelcome consequences."

One such consequence, Dingell suggested, was that Martin had assumed congressional authoreity last year when issuing a directive intended to expand competition in cable television by easing telephone companies' entry into the market. The directive, involving new video franchising rules, would have the FCC step in whenever it feels local governments are making "unreasonable" demands of a competitor trying to enter the area market.

That kind of authority "resides here in this room," Dingell said. "The FCC is not a legislative body." He also questioned the propriety of Martin's actions in trying to resolve a dispute between Verizon and the city of Tampa, Fla., over a video franchise.

Dingell, chairman of the overall House Energy and Commerce Committee, also asked Martin to deliver within 30 days a report on the status of the FCC's ongoing investigation into payola, initiated in January 2005.

Martin defended the directive and his actions involving Verizon and Tampa as proper and consistent with FCC regs, and said he would deliver the report.

Dingell suggested monthly oversight hearings may be necessary.

Subcommittee chairman Rep. Edward Markey (D-Mass.) asked why the FCC had not yet investigated allegations of possibly illegal disclosure of consumer phone records to the National Security Agency. Martin said he believed such an investigation could pose a national security risk, and added that he had written Attorney General Alberto Gonzales asking him whether he agreed.

Markey laughed at the possibility that Gonzales would disagree, then later said, "While I look forward to the attorney general's response, the role of the FCC in protecting consumer privacy appears to have disappeared. The FCC is an independent agency charged with protecting the public, and it is not consistent with its independent role to defer or bow to imagined Justice Dept. responses to a long overdue investigation of these possible violations."

Martin and the other commissioners fielded critical questions and concerns on a variety of topics -- broadband deployment, digital TV transition, ownership diversity, among others -- answering in as much detail as possible given strict time limits.

At least once, Martin said that an issue had originated before he had become chairman.

Rep. Jane Harman (D-Calif.) seized on that when saying it was "critically important" that the DTV transition proceed and that analog spectrum become available for public safety use.

"This is on your watch," Harman said to Martin. "You won't be able to blame another chairman."

In his opening remarks and several of his answers to questions, Martin emphasized what he considered positive developments and initiatives in which he has played a role. During the five years he has been at the FCC, he has seen "the telecommunications industry transition from a period of sharp decline to a time of significant growth," he said.