The FCC would get its full request of $355.5 million for FY 2011 if Congress approves the latest version of its omnibus spending bill, which was released Tuesday. The bill appropriates $41.5 million for the NTIA, including money for oversight of broadband stimulus grants. The bill also includes an Anti-Deficiency Act exemption of interest to the telecom industry. The Universal Service Fund program needs an annual exemption from ADA, which sets accounting rules for federal programs. Due to USF’s unique accounting methodology, the program would technically violate the Act without the exemption, which must be obtained in every budget cycle. Also of interest, the bill prohibits the FCC from adopting a restriction limiting USF funding to primary lines. Senate Democrats hope to move the 1,900-page bill to the floor within the next week.

Fights in the court and on the Hill are likely after the FCC’s net neutrality decision, speakers said during a NATOA (National Association of Telecom Officers and Advisors) webinar about top communications issues in 2011 Monday. They urged state and local regulators’ input over issues like taxation, the proposed Comcast/NBC Universal merger and pole attachments.

The House Commerce Committee took its first steps at naming GOP members beyond the chairman. The office of incoming Chairman Fred Upton, R-Mich., released a list Friday of 13 others from his party who will be new members of the full committee. Many are new faces to telecom, industry officials and lobbyists said. They said that poses challenges to the communications and high-tech industries, which will have to quickly get members up to speed, and also an opportunity to lobby them.

The dispute involving Comcast, Level 3 and Netflix heralds Internet “management crises” that may not be resolved until Congress enacts permanent net neutrality rules, Stifel Nicolaus analyst Rebecca Arbogast said Friday. There’s a divide over whether it’s a peering dispute -- the position of Comcast and allies -- or a content-discrimination dispute, as Level 3, Netflix and allies say, she told a Practising Law Institute event. “The fact is, it’s both.” Another panelist, from Google, worried about lawsuits over however the FCC proceeds on net neutrality rules. Commissioner Robert McDowell said later that he shares those worries.

The dispute involving Comcast, Level 3 and Netflix heralds Internet “management crises” that may not be resolved until Congress enacts permanent net neutrality rules, Stifel Nicolaus analyst Rebecca Arbogast said Friday. There’s a divide over whether it’s a peering dispute -- the position of Comcast and allies -- or a content-discrimination dispute, as Level 3, Netflix and allies say, she told a Practising Law Institute event. “The fact is, it’s both.” Another panelist, from Google, worried about lawsuits over however the FCC proceeds on net neutrality rules. Commissioner Robert McDowell said later that he shares those worries.

FCC Chairman Julius Genachowski appears to be using Qwest-CenturyLink merger conditions as a “trick shot” way of regulating broadband without reclassifying the service, Cardozo Law Professor Susan Crawford, a former Obama administration telecom adviser, said Thursday. “He’s going to try to get through merger conditions what another regulator would try to get through regulatory authority,” she said.

The FCC Wireline Bureau is seeking comment on AirVoice Wireless’ request for forbearance from the requirement that eligible telecommunications carriers provide service over their own facilities. AirVoice’s petition is an effort to obtain universal service support. Wednesday’s public notice comes two days after pay phone companies asked the commission for emergency USF funds, claiming that support for wireless companies is driving them out of business (CD Dec 6 p6). Comments on AirVoice’s petition are due Jan. 7, replies Jan. 24.

Rep. Fred Upton, R-Mich., was formally picked by the Republican caucus to be House Commerce Committee chairman in the next Congress, his office confirmed Wednesday afternoon. About 24 hours earlier, he beat other challengers, including ex-Chairman Joe Barton of Texas, in a vote by the House Republican Steering Committee. Since contenders including Barton and Rep. John Shimkus of Illinois had agreed to support him in the caucus vote and not seek individual votes on their elections, Upton’s ascension was no surprise (WID Dec 8 p1).

Rep. Fred Upton, R-Mich., was formally picked by the Republican caucus to be House Commerce Committee chairman in the next Congress, his office confirmed Wednesday afternoon. About 24 hours earlier, he beat other challengers, including ex-Chairman Joe Barton of Texas, in a vote by the House Republican Steering Committee. Since contenders including Barton and Rep. John Shimkus of Illinois had agreed to support him in the caucus vote and not seek individual votes on their elections, Upton’s ascension was no surprise (CD Dec 8 p1) .

Washington’s Metro, the nation’s second largest rail system, is thinking about chucking its pay phones, transit agency’s spokeswoman Angela Gates told us Tuesday. The subway system’s 10-year contract with Verizon will expire next March and no company has responded to solicitations to bid on the contract, Gates said. “All options are open,” Gates said. The potential phase-out was first reported by The Washington Examiner. Like most big telcos, Verizon has stepped back from pay phones. On Monday, independent pay phone operators filed a petition for rulemaking asking the FCC to make an emergency infusion of universal service fund cash to help rescue pay phones from collapse and to consider whether USF should be used to keep some pay phones around (CD Dec 6 p6).