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Net Neutrality Could Kill Senate Draft Telecom Bill, Smith Says

Network neutrality surfaced throughout a Senate Commerce Committee hearing Thurs. ostensibly on video franchising and universal service fund (USF) reform in the draft telecom bill. NCTA Pres. Kyle McSlarrow nervously congratulated Chmn. Stevens (R-Alaska) on the bill’s language, which calls for an FCC study on net neutrality. Proponents deem that insufficient and want enforcement language beyond current law. Co-Chmn. Inouye (D-Hawaii) isn’t satisfied with the language.

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The bill (S-2686) has taken hits from Democrats mostly for provisions viewed as giving cities too little say in video franchising, and Stevens called such complaints “fair criticism.” But challenged by Sen. Boxer (D-Cal.) over whether he had the votes for the bill, Stevens replied: “This senator is going to see that this bill gets to the floor… and we'll do so this year.”

“I don’t want to hurt you here,” McSlarrow said to Stevens, “but I'd like to give you credit” for the net neutrality provisions: “This is a number one issue.” He said it’s “more appropriate” to study the issue further: “There’s no possible way you can legislate on this. Our recommendation is to be very cautious and to stay away from net neutrality as it’s commonly understood.”

USTelecom hailed the bill’s net neutrality language, and reissued a vow from past hearings that telcos won’t block, impair or degrade content, applications or services. “We stand by that pledge,” Pres. Walter McCormick said: “We think this legislation strikes the right balance.”

But Boxer and other committee Democrats disagree, and future hearings will see vigorous discussion. “It’s very likely this whole bill could die over net neutrality,” Sen. Smith (R-Ore.) said: “If this thing gets hung up in the Senate, which is easy to predict, it will be over net neutrality. If you have good ideas, I'd like to hear them.”

Stevens plans to invoke cloture if the bill gets to the floor, he said. That would require 60 votes to pass. He plans to release a revised draft of the bill June 5, and hold the next hearing May 25, chaired by Inouye, he said. A hearing is set for June 13 on the revised substitute bill with amendments due June 16 and a markup June 20.

Sen. Burns (R-Mont.) thanked Stevens for including his USF measure, aimed at bringing broadband to rural areas, in the telecom bill. One thing emerging from the telecom hearings is a consensus that the USF program is needed, Stevens said: “There’s no one at the table who says there shouldn’t be USF. There were two years ago.” If Stevens’ bill passes the Senate, he'll have to confront House Commerce Committee Chmn. Barton (R-Tex.), who not only opposes expanding USF but wants to shut it down.