The Senate Commerce Committee will likely vote on FCC Commissioner Jessica Rosenworcel’s renomination next month during a markup session, a GOP committee staffer confirmed Monday. Rosenworcel's renomination hearing was Oct. 28. Commerce Committee Chairman John Thune, R-S.D., told us last week he was unsure if Rosenworcel would make it onto the December markup agenda but said she's empowered as commissioner for another year absent congressional action (see 1511190038).

The Senate Commerce Committee will likely vote on FCC Commissioner Jessica Rosenworcel’s renomination next month during a markup session, a GOP committee staffer confirmed Monday. Rosenworcel's renomination hearing was Oct. 28. Commerce Committee Chairman John Thune, R-S.D., told us last week he was unsure if Rosenworcel would make it onto the December markup agenda but said she's empowered as commissioner for another year absent congressional action (see 1511190038).

FCC financial statements received generally good marks from an independent auditor’s report in the commission’s FY 2015 Agency Financial Report (AFR) released Thursday. Kearney & Co. found the statements “present fairly, in all material respects” the FCC’s financial position as of Sept. 30 in accordance with generally accepted accounting principles. The accounting firm did find “one repeat material weakness, originally reported in FY 2014, in internal control” regarding Universal Service Administrative Co. budgetary accounting, “one repeat significant deficiency” going back 10 years related to IT controls, and “one repeat instance of noncompliance with laws and regulations related to the requirements of the Debt Collection Improvement Act,” said FCC Inspector General David Hunt in an introductory memorandum. “The independent auditor’s opinion addresses more than $10.1 billion in revenues, more than $460 million in FCC operating expenses and more than $9.2 billion in outlays for the Universal Service Fund and Telecommunications Relay Service Fund,” said FCC Chairman Tom Wheeler in an AFR message. “Despite the positive audit opinion, the independent auditor’s report shows that work remains at the FCC to continue to improve the agency’s operations.” The $10.1 billion revenue includes: some $8.77 billion from USF, $847 million from the TRS Fund, $340 million from appropriations (regulatory fees), $106 million from auction-related appropriations, $6 million from North American Numbering Plan revenue, and $7 million from “other” sources, according to an “FCC management” overview. Wheeler highlighted FCC work on spectrum, net neutrality, transactions, Lifeline and E-rate USF support, robocalls, empowering people with disabilities, process reform, and field and IT modernization. He voiced confidence the FCC is on “sound legal footing” in net neutrality litigation and he noted the agency raised more than $40 billion in AWS-3 auction revenue. He said field activities “presented real challenges and opportunities for improvement,” given technological change since the last Enforcement Bureau field structure review and given a reduction in FCC resources. “The Commission adopted a field modernization plan that will allow our field operations to do more with less,” he said. “The resulting plan reflects the review team’s thorough, data-driven analysis and concentrates field resources where they are needed most -- areas with the greatest spectrum density. … Once implemented, this plan will save millions of dollars annually.” Wheeler also said the FCC's IT team "is on track to modernize our infrastructure, information and communications technologies," replacing costly-to-maintain legacy systems and "leveraging cloud service offerings to the fullest extent possible."

FCC financial statements received generally good marks from an independent auditor’s report in the commission’s FY 2015 Agency Financial Report (AFR) released Thursday. Kearney & Co. found the statements “present fairly, in all material respects” the FCC’s financial position as of Sept. 30 in accordance with generally accepted accounting principles. The accounting firm did find “one repeat material weakness, originally reported in FY 2014, in internal control” regarding Universal Service Administrative Co. budgetary accounting, “one repeat significant deficiency” going back 10 years related to IT controls, and “one repeat instance of noncompliance with laws and regulations related to the requirements of the Debt Collection Improvement Act,” said FCC Inspector General David Hunt in an introductory memorandum. “The independent auditor’s opinion addresses more than $10.1 billion in revenues, more than $460 million in FCC operating expenses and more than $9.2 billion in outlays for the Universal Service Fund and Telecommunications Relay Service Fund,” said FCC Chairman Tom Wheeler in an AFR message. “Despite the positive audit opinion, the independent auditor’s report shows that work remains at the FCC to continue to improve the agency’s operations.” The $10.1 billion revenue includes: some $8.77 billion from USF, $847 million from the TRS Fund, $340 million from appropriations (regulatory fees), $106 million from auction-related appropriations, $6 million from North American Numbering Plan revenue, and $7 million from “other” sources, according to an “FCC management” overview. Wheeler highlighted FCC work on spectrum, net neutrality, transactions, Lifeline and E-rate USF support, robocalls, empowering people with disabilities, process reform, and field and IT modernization. He voiced confidence the FCC is on “sound legal footing” in net neutrality litigation and he noted the agency raised more than $40 billion in AWS-3 auction revenue. He said field activities “presented real challenges and opportunities for improvement,” given technological change since the last Enforcement Bureau field structure review and given a reduction in FCC resources. “The Commission adopted a field modernization plan that will allow our field operations to do more with less,” he said. “The resulting plan reflects the review team’s thorough, data-driven analysis and concentrates field resources where they are needed most -- areas with the greatest spectrum density. … Once implemented, this plan will save millions of dollars annually.” Wheeler also said the FCC's IT team "is on track to modernize our infrastructure, information and communications technologies," replacing costly-to-maintain legacy systems and "leveraging cloud service offerings to the fullest extent possible."

The FCC shouldn’t prefer fiber over wireless in its planned USF reverse auction to allocate high-cost subsidies in areas where large telcos declined support going forward, CTIA and an aide to Commissioner Mike O'Rielly said this week. Another agency official told us Tuesday that an FCC draft order to set a USF reverse auction framework would favor fiber solutions, but said “everything is up in the air.” Others have concerns FCC eligibility requirements could discourage participation by smaller providers. An FCC spokesman declined to comment Tuesday.

The FCC shouldn’t prefer fiber over wireless in its planned USF reverse auction to allocate high-cost subsidies in areas where large telcos declined support going forward, CTIA and an aide to Commissioner Mike O'Rielly said this week. Another agency official told us Tuesday that an FCC draft order to set a USF reverse auction framework would favor fiber solutions, but said “everything is up in the air.” Others have concerns FCC eligibility requirements could discourage participation by smaller providers. An FCC spokesman declined to comment Tuesday.

State officials want to promote mobile coverage and broadband deployment, said Lukas, Nace attorney David LaFuria at an FCBA panel Friday on state universal service issues. “They all have a desire to do something,” said LaFuria, who represents wireless carriers in FCC and state proceedings. He said some state regulators face statutory limitations but states could “regulate” broadband USF by following an FCC approach that combined “voluntary” industry acceptance of support with broadband conditions. States can help by removing regulatory barriers to broadband deployment, said Micah Caldwell, ITTA vice president-regulatory affairs. Jennifer Schneider, vice president-legislative affairs for Frontier Communications, said more states should reduce ILEC voice regulations, including carrier-of-last-resort (COLR) obligations.

State officials want to promote mobile coverage and broadband deployment, said Lukas, Nace attorney David LaFuria at an FCBA panel Friday on state universal service issues. “They all have a desire to do something,” said LaFuria, who represents wireless carriers in FCC and state proceedings. He said some state regulators face statutory limitations but states could “regulate” broadband USF by following an FCC approach that combined “voluntary” industry acceptance of support with broadband conditions. States can help by removing regulatory barriers to broadband deployment, said Micah Caldwell, ITTA vice president-regulatory affairs. Jennifer Schneider, vice president-legislative affairs for Frontier Communications, said more states should reduce ILEC voice regulations, including carrier-of-last-resort (COLR) obligations.

Sony’s launch of Hi-Res Audio listening stations at Best Buy Magnolia Design Centers is the first of a possible series of larger rollouts of premium sound listening stations Sony plans to put in front of consumers to show the audible benefits of Hi-Res Audio, Yamato Tanikawa, Sony director-sound/video, told us at the unveiling of a station at a Best Buy store in New York last week. “The experience is key” to consumers understanding the value of high-resolution music, Tanikawa said.

The FCC appears to be nearing a vote on a key AT&T spectrum buy -- the carrier’s planned acquisition of lower 700 MHz B-block licenses in California from Club 42, industry officials said. Competitive carriers view the order as a key test of the 2014 mobile spectrum holdings order (see 1405160030). It committed the agency to give extra scrutiny to deals where a company already owns more than one-third of the low-band spectrum in a market.