New Networks Institute

Tauzin-Dingell Clearinghouse

 

May 10, 2001

House Committee OKs Internet Measure

By THE ASSOCIATED PRESS

Filed at 5:51 p.m. ET

WASHINGTON (AP) -- The Senate's top lawmaker on communications issues is

casting a wary eye on legislative efforts to loosen government oversight of

the regional Bell phone companies.

``I detect no momentum for it in the Senate,'' Senate Commerce Committee

chairman John McCain said in an interview Thursday. And if such a bill were

to be offered, he said, ``I think the Commerce Committee would look at it

very carefully, and I think you'd probably see some changes to it.''

The House Energy and Commerce Committee has approved legislation to ease

regulation of the Bells -- and, according to proponents, bring new

high-speed Web services to more Americans.

The bill would allow the Bells to carry Internet traffic in their regions,

even along long-distance lines, without having to first meet strict

government requirements that they open their local phone markets to

competition.

The legislation would essentially let the Bells --SBC, Verizon, Qwest and

BellSouth -- sidestep portions of a 1996 Telecommunications Act, which said

the companies cannot provide long-distance voice or data service until they

show that rivals have a chance to get into their local territory.

McCain raised doubts about whether the Bells have fostered local competition

enough to warrant a reprieve in government regulation.

``I'm not sure the Bells have opened their capabilities to others,'' he

said. ``I think we have to balance all of this out.''

McCain noted that the House measure cleared the committee by a narrow

margin. The vote was 32-23.

``The closeness of the vote indicated how much controversy there is

surrounding this legislation,'' McCain said.

Right now, the bills' sponsors, committee chairman Billy Tauzin of Louisiana

and ranking Democrat John Dingell of Michigan, are trying to get enough

support from House members. Tauzin spokesman Ken Johnson said they are

trying educate lawmakers about the measure, which is fairly technical.

Opponents say they welcome the added time for Congress to study the

legislation.

``Our hope and expectation is that, as the legislative process moves forward

in the House, there will be sufficient opportunity for proper public debate

on the bill's details and dangers, something the Bell monopolies have dodged

thus far,'' said Len Cali, a vice president at AT&T, the long distance and

cable giant.

Bell companies maintain that the bill will benefit American consumers by

making it more profitable and appealing to offer high-speed Web connections

to a broader market.

``Consumers everywhere want faster and higher quality Internet services.

Current regulatory barriers stand in the way of delivering those services to

all Americans,'' said Tom Tauke, a Verizon senior vice president.

The bill requires the Bells to provide high-speed Internet service in all of

their central offices within five years.