Martin Promotes A La Carte, Seeks More DTV Education Funds

“Why does the FCC consider sexually explicit language so much worse than racist language?” Chmn. Serrano (D-N.Y.) asked: “The remarks were offensive and reprehensible and worse than what we may have fined people for,” Martin said. But legally the Commission can levy fines only for “sexual or excretory” language, and even then courts have challenged Commission rulings, he said: “This is a very contentious issue.” The FCC is facing resistance from broadcasters as it tries to enforce indecency, complicating that task, Martin said.

The Commission wants $4.5 million more for FY 2008, including $1.5 million for DTV consumer outreach, Martin said. That funding alone won’t suffice to inform all Americans, but will bolster NTIA and private industry education efforts, he told Serrano. The rest of the money would go for 3 more programs, including $1 million each to combat Universal Service Fund waste, upgrading the FCC vehicle fleet and a new accounting program to replace an “antiquated” agency system, Martin said.

Serrano is “terrified of what’s going to happen” with the DTV transition, he told Martin, saying Congress needs to work closely with the Commission to keep the public fully informed. “I suspect this will become a major issue,” Serrano said.

Martin urged reforms that would authorize the FCC to impose a la carte rules on cable, which he called one way to limit offensive programming transmitted to American homes. “Consumers are paying a lot for programs that they don’t want,” he said, adding that since industry won’t volunteer smaller program bundles, Congress should act. “I do think something should be done,” Martin said.

Cable and minority groups protested Martin’s endorsement of a la carte programming, claiming it would raise prices and limit content diversity. “A mandated a la carte system is a lose-lose proposition,” an NCTA spokesman said, saying it would “jeopardize the broad diversity in programming” that now exists. The Alliance for Diversity in Programming hammered Martin. Imposing a la carte would leave niche and minority programmers to “die on the vine as their marketing costs skyrocket and advertising revenues dry up,” said co- chmn. Michael Schwimmer, Si TV CEO.

Should Congress give FCC more power to police the airwaves, Rep. Kilpatrick (D-Mich.) asked Martin, citing the tide of inappropriate programming: “You're a young man and you've got to have young children. We have work to do in this Congress.” Martin responded: “I am very concerned about it,” adding that a Commission study on TV violence will be ready within weeks. The only active legislation aimed at content regulation is a bill by Sens. Rockefeller (D-W.Va.) and Hutchinson (R-Tex.) aimed at curbing violence on TV, he said.

Martin slammed telecom consultant Dale Hatfield for seeking more money to complete an E-911 study and for failing to deliver a finished product, in response to a question by Rep. Wasserman-Schultz (D-Fla.). In 2005, Hatfield asked for a “significant amount of money” to complete his work; a sum of $10,000 was agreed to, Martin said: “The FCC paid $9,500 and he said he wanted more money.” In spring 2006, Hatfield gave a “brief presentation” of his study, but “no work product,” Martin said: “He said he didn’t have anything to give us, so we said, ‘We're not going to pay you.'” Martin also said he had “some concerns” about using Hatfield because he also did work for telecom companies the FCC regulates. Hatfield told us he didn’t want to comment on Martin’s remarks.

There’s sufficient spectrum for public safety, Martin told Rep. Ruppersberger (D-Md.), but interoperability is in question because many localities’ equipment is incompatible with that in the next town. Mandating interoperable equipment would mean higher safety compliance costs, Martin said, noting that safety groups opposed such a mandate. But mandating gear compatibility in tandem with increasing public safety spectrum could help solve some problems first responders face, he said.