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October 20, 2003, 9:00 AM ET, Alert No. 761.
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FCC Announces Rules for Licensing 71-76 GHz, 81-86 GHz, and 92-95 GHz Bands

10/16. The Federal Communications Commission (FCC) announced, but did not release, a Report and Order regarding service rules for spectrum to be used by millimeter wave technologies in the 71-76 GHz, 81-86 GHz, and 92-95 GHz bands. It only released a short press release [2 pages in PDF] describing the R&O, and brief statements of four of the five Commissioners.

Possible Uses of These Spectrum Bands. The FCC release states that this spectrum will be used to "promote the development of an additional competitive broadband deployment platform". It adds that "These bands are well-suited for licensees to offer a broad range of innovative products and services, including high-speed, point-to-point wireless local area networks, and broadband Internet access."

FCC Chairman Michael Powell wrote a separate statement [PDF] that "Proponents of networks in theses bands say they intend to use the spectrum to compete in the market for large volume telecommunications users. Ultimately, however, the highly advanced technology used here may encourage a broad range of new products and services, such as high-speed wireless local area networks and broadband access systems for the Internet."

FCC Commissioner Kevin Martin wrote a separate statement [PDF] that "the private sector is experimenting with different uses for these bands, and this spectrum may ultimately be used commercially for high-speed wireless local area networks, broadband access systems for the Internet, point-to-point communications, and point-to-multipoint communications."

The Wireless Communications Association International (WCAI) stated in a release that "The rules will trigger an unprecedented wave of innovation in millimeter wave technology, and will pave the way for the development of new, efficient broadband service in a variety of markets -- both private and government." See also, November 1, 2002 comment [39 pages in PDF] submitted by the WCAI to the FCC in response to its notice of proposed rulemaking (NPRM).

Cisco Systems submitted a comment [45 pages in PDF] on December 18, 2002 in which it argued that the 71-76 GHz and 81-86 GHz bands "are capable of extremely high bandwidths previously attainable only with fiberoptic cable; they are much faster, easier, and less expensive to install than fiber; and they provide a more flexible network architecture than fiber. In addition, the propagation characteristics of the band offer the possibility of practically limitless frequency re-use."

Loea Communications Corporation submitted a comment [68 pages in PDF] on December 18, 2002 in which it argued that "The 71-76 GHz and 81-86 GHz bands will truly enable real ``first mile´´ (for customers) or ``last mile´´ (for carriers) access to advanced broadband services virtually anywhere in the United States - not just in major metropolitan areas that have access to high speed wireline services. Because the 71-76 GHz and 81-86 GHz spectrum may be utilized without the tremendous resources necessary to deploy fiber optic cable and other wired high-speed transmission facilities, its is Loea's belief that this spectrum can play an important role in ensuring that every American wishing for broadband services will be able to obtain such services quickly and at reasonable costs."

Licensing Approach. The FCC release states that since the signals in these bands will have "pencil-beam" characteristics, "systems can be engineered to operate in close proximity to one another without causing interference." Hence, the FCC has developed a new licensing approach. The FCC release states that "Traditional frequency coordination between users will not be required. Instead, each path will be registered in a database, and entitled to interference protection based on the date of registration."

The FCC release elaborates that "The FCC will issue an unlimited number of non-exclusive, nationwide licenses authorizing non-Federal Government entities to use the entire 12.9 gigahertz of spectrum in these three bands. Licensees will generally be provided interference protection on a link-by-link basis, with the priority being set based on the date of link registration. Initially, non-Federal Government links will be registered in the FCC's Universal Licensing System (ULS) database, subject to coordination with Federal Government links under the existing coordination process involving the Interdepartment Radio Advisory Committee of the National Telecommunications and Information Administration (NTIA). Within four months of the publication of this Report and Order in the Federal Register, FCC staff, in conjunction with NTIA, will release a Public Notice establishing the implementation plan of a new, automated mechanism for coordination of non-Federal Government links with Federal Government users."

Jonathan AdelsteinFCC Commissioner Jonathan Adelstein (at right) wrote a separate statement [PDF] that "In layman's terms, we are making it easy for our licensees to get access to spectrum for really fast connections -- gigabit speeds."

He continued that "While I continue to support auctions to resolve cases of mutual exclusivity for applicants seeking wide-area licenses (such as in the Advanced Wireless Services item we also adopt today), the public interest is not always served by adopting a licensing scheme that creates mutual exclusivity. We already have held auctions for spectrum similar to 70/80/90 GHz, only to see that spectrum lay relatively unused for years -- that outcome does not serve the public interest." (Parentheses in original.)

"We had an opportunity here to break that mold, and I am glad we did", said Adelstein. "It would be easier for all of us if we could do a ``one size fits all´´ approach, but we cannot. Simply put, some bands, like 70/80/90 GHz, may be better suited for coordinated use; some bands (like the AWS bands) are not. Just as some bands will require unique interference criteria based on propagation characteristics, others may be subject to frequent coordination with NTIA."

Unlicensed Use in the 92-95 GHz Band. The FCC release states further that "The FCC is also permitting unlicensed, indoor use of the 92.0-94.0 GHz and 94.1-95.0 GHz bands by non-Federal Government users, to be governed by Part 15 of the FCC's rules and based on existing regulations for the 57-64 GHz band. The FCC will not permit unlicensed use of the 71-76 GHz and 81-86 GHZ bands at this time."

The WiFi Alliance submitted a comment [4 pages in PDF] on December 18, 2002 in which it wrote that "at the present time, the technology to utilize the 92-95 GHz band is limited, providing for future unlicensed needs is sound public policy and it is clear that technology will continue to advance and eventually spectrum will be necessary to accommodate widespread beneficial unlicensed uses of millimeter wave bands."

More Information. The federal government is currently using, and has plans to use, these three bands for a variety of uses. Nevertheless, the National Telecommunications and Information Administration (NTIA) submitted a comment supporting sharing of these bands with commercial users. Although, one reason for this support is to "reduce the pressure on spectrum demand in the frequency bands below 3 GHz." See, comment [19 pages in PDF] submitted on February 3, 2003.

See also, NTIA report [29 pages in PDF] titled "Frequency Sharing Between the Fixed and Radiolocation Services in the 92 to 95 GHz Band"; and December 18, 2002 comment [8 pages in PDF] submitted by the Boeing Corporation.

The FCC adopted its Notice of Proposed Rulemaking (NPRM) on June 13, 2002, and released the text of this NPRM on June 28, 2002. The NPRM is FCC 02-180. This Report and Order is FCC 03-248, in WT Docket No. 02-146. For more information, contact Jennifer Burton at 202-418-0680 or Jennifer.Burton@fcc.gov.

FCC Announces Service Rules for 3G Spectrum

10/16. The Federal Communications Commission (FCC) announced, but did not release, a Report and Order, containing service rules for the 1710-1755 MHz and 2110-2155 MHz bands. It only released a short press release [2 pages in PDF] describing the R&O, and brief statements of four of the five Commissioners.

These spectrum bands have been allocated for advanced wireless services (AWS), which is also known as Third Generation wireless services, or just 3G. These services are intended to bring broadband internet access to portable and fixed devices.

The FCC release states that "The rules adopted today include provisions for application procedures, licensing, technical operations, and competitive bidding. This spectrum will be licensed by geographic areas under the FCC's flexible, market-oriented Part 27 rules, and will be assigned by competitive bidding. In order to accommodate the needs of a variety of providers, including large carriers as well as small and rural providers, the band plan for this spectrum includes a mixture of license sizes and geographic areas."

FCC Chairman Michael Powell wrote in a separate statement [PDF] that "Our service rules also reflect several key principles for efficient use of spectrum as noted by the Commission's Spectrum Policy Task Force, including: maximizing the flexibility of licensees to choose the types and characteristics of the services that they will offer in their licensed spectrum; grouping like spectrum uses together so that technically compatible operations remain close to one another; and defining spectrum users’ rights and responsibilities in the clearest manner possible."

FCC Commissioner Kevin Martin wrote in a separate statement [PDF] that "A crucial ingredient to these services, however, is sufficient spectrum. This Order provides some of that spectrum, allowing a significant amount of spectrum to be used for services such as expanded voice, data, and broadband applications provided over high-speed fixed and mobile networks ..."

FCC Commissioner Michael Copps wrote a separate statement [PDF] in which he dissented from part of the Report and Order. He wrote that "I have serious concern with the Commission's decision to move ahead without consolidation protections in the form of a spectrum aggregation limit. Under the rules we adopt today, one company could apparently end up controlling the entire AWS band in a city or a geographic region, leaving no AWS spectrum for competitors. That’s a result I do not like."

Tom Wheeler, P/CEO of the Cellular Telecommunications & Internet Association (CTIA) stated in a release that the "CTIA's recent Semi-Annual data survey shows that wireless minutes of use continue to grow exponentially, while carriers continue to develop innovative and compelling data services that will require an ever-increasing segment of the airwaves. This additional spectrum, matched with the flexibility provided by these new service rules, will help carriers meet America's future wireless demands in all their forms and variations".

The FCC announced the notice of proposed rulemaking (NPRM) in this proceeding on November 7, 2002. See, story titled "FCC Adopts 3G Order and NRPM" in TLJ Daily E-Mail Alert No. 546, November 11, 2003.

This Report and Order is FCC 03-251, in WT Docket No. 02-353. For more information, contact Eli Johnson at 202-418-1395 or Eli.Johnson@fcc.gov.

FCC Announces Order on Remand Regarding High Cost Universal Service Support Mechanism

10/16. The Federal Communications Commission (FCC) announced, but did not release, an Order on Remand, Further Notice of Proposed Rulemaking, and Memorandum Opinion and Order that revises the FCC's high cost universal service support mechanism. It only released a short press release [2 pages in PDF] describing the item, and brief statements of the five Commissioners.

This item follows the July 31, 2001 opinion of the U.S. Court of Appeals (10thCir) in Qwest v. FCC, 258 F.3d 1191, which reversed and remanded the FCC's Ninth Order "because it does not provide sufficient reasoning or record evidence to support its reasonableness." See also, the FCC web page titled "Tenth Circuit Remand".

The FCC release states that this item "Requires the states to compare rates in their rural areas with a nationwide urban rate benchmark to determine whether such rural and urban rates are reasonably comparable", "Concludes that a rate review and expanded certification process will induce states to achieve reasonably comparable rates", and "Reaffirms that comparing statewide average costs to a nationwide cost benchmark appropriately determines high-cost support for non-rural carriers."

The FCC release further states that this item "Defines the statutory terms ``sufficient´´ and ``reasonably comparable´´ more precisely" and "Modifies the high-cost mechanism for non-rural carriers by basing the cost benchmark -- which is used to determine the amount of support -- on two standard deviations above the national average cost per line."

This item also includes a further notice of proposed rulemaking (FNPRM) that seeks comment on issues related to the rate review and expanded certification process, as well as "whether additional targeted federal support should be made available to states that implement explicit universal service mechanisms to encourage states to adopt universal service mechanisms that will be sustainable in a competitive environment".

See also, separate statement [3 pages in PDF] of Chairman Michael Powell, separate statement [PDF] of Commissioner Kathleen Abernathy, separate statement [PDF] of Commissioner Kevin Martin, separate statement [PDF] Commissioner Michael Copps, and separate statement [PDF] Commissioner Jonathan Adelstein.

This item is FCC 03-249, in CC Docket No. 96-45. For more information, contact Katie King at 202-418-7400 or kking@fcc.gov.

Powell Appoints Nancy Victory to WRC-07 Post

10/17. Federal Communications Commission (FCC) Chairman Michael Powell appointed Nancy Victory to be Chair of the FCC's Advisory Committee for the 2007 World Radiocommunication Conference (WRC-07). See, FCC release [PDF].

Nancy VictoryVictory (at right) was previously the Assistant Secretary of Commerce for Communications and Information, that is, head of the National Telecommunications and Information Administration (NTIA). She resigned in August following a finding by the Office of the Inspector General (OIG) of the Department of Commerce (DOC) that she had violated rules governing the ethical standards for federal government employees. See, OIG Memorandum dated June 25, 2003.

The OIG memorandum states that "on October 14, 2001, six individuals (five of whom were employed by telecommunications companies or associations; one of whom was a partner at Wiley, Rein & Fielding, a law firm specializing in wireless telecommunication law and Victory's old law firm) hosted a party for Victory at her home, the cost of which was borne by the hosts' respective employers. According to Victory, approximately 60 people attended the event." (Parentheses in original.) The memorandum states that the catering bill came to $2,925.

The OIG memorandum states that then, "on October 24, 2001, Victory filed a letter to the Federal Communications Commission on behalf of the Administration in which she urged the repeal of commercial mobile radio service spectrum aggregation limits (the spectrum ``cap´´)." (Parentheses in original.)

Subsequently, on November 8, 2001, the FCC announced that it had adopted a Report and Order that would sunset the Commercial Mobile Radio Services (CMRS) spectrum cap rule by eliminating it effective January 1, 2003, raise the cap immediately to 55 MHz in all markets until the sunset date, and immediately eliminate the cellular cross-interest rule in Metropolitan Statistical Areas (MSAs), but retain the rule in Rural Service Areas (RSAs). See FCC release.

This Report and Order is FCC 01-328 in WT Docket No. 01-14. See also, story titled "FCC to Phase Out CMRS Spectrum Cap" in TLJ Daily E-Mail Alert No. 305, November 9, 2001.

The OIG memorandum states that "Victory denied that the funding of the party by individuals and organizations involved in the telecommunications industry influenced her conduct of her duties or her policymaking decisions as Assistant Secretary for Telecommunications and Information. Victory specifically denied that the funding of the party influenced her position on the issue of wireless spectrum caps."

It also states that the people who paid for the party "denied participating in the party with the intent of influencing Victory's official conduct".

The OIG memorandum concludes that "Victory's acceptance of the party violated 5 C.F.R. §2635.101(b)(4), which prohibits employees from accepting gifts from any person or entity whose interests may be substantially affected by the performance or nonperformance of the employee's duties. Victory's acceptance of the gift also violated 5 C.F.R. §2635.202(a), which, among other things, prohibits employees from accepting a gift from a prohibited source."

It also concludes that "By accepting such a gift, Victory also violated 5 C.F.R. §2635.101(b)(14), which requires employees to endeavor to avoid any actions which create the appearance that they are violating the law or the ethical standards contained in the Standards of Ethical Conduct of Employees of the Executive Branch."

Finally, the OIG memorandum, which was directed to the Deputy Secretary of Commerce, Samuel Bodman, states that "Based on the evidence disclosed in our investigation, we recommend that you take appropriate administrative action against Victory for violation of 5 C.F.R. §§2635.101(b)(4), 2635.101(b)(14) and 2635.202(a)."

The OIG memorandum is dated June 25, 2003. It also identified a 60 comment period for the Deputy Secretary.

Before her appointment as head of the NTIA, Victory was a partner in the law firm of Wiley Rein & Feilding (WRF). Her husband, Michael Senkowski, is a partner at WRF, Chairman of WRF's Telecommunications and Internet & E-Commerce Practices, and Chairman of WRF's Business Development Committee.

Michael GallagherOn October 14, President Bush formally nominated Michael Gallagher (at right) to be head of the NTIA. He was named acting Assistant Secretary in August. See, White House release.

Gallagher was previously Deputy Chief of Staff at the DOC. Before that, he was Deputy Assistant Secretary for the NTIA. He has also worked for AirTouch Communications, former Rep. Rick White (R-WA) (who is now CEO of TechNet), and the law firm of Perkins Coie.

FCC Chairman Powell also appointed Peter Hadinger to be Vice-Chair of the WRC-07 Advisory Committee. He is Director of Communications Initiatives for Northrop Grumman's Space Technology Sector.

Alex Roytblat, Assistant Chief of the Strategic Analysis and Negotiations Division of the FCC's International Bureau, will direct the Commission's WRC-07 preparatory activities and be the Designated Federal Official to the Advisory Committee. Roytblat also directed the FCC's preparatory activities for the 2003 World Radiocommunication Conference.

SEC Commissioner Addresses Trade Through Rules and Technology

10/16. Securities and Exchanged Commission (SEC) Commissioner Cynthia Glassman gave a speech in Scotsdale, Arizona to the Security Traders Association (STA) in which she addressed the SEC's trade-through rules, and technology.

Cynthia GlassmanGlassman (at right) stated that "As the national market system was being developed, when technology was still in the Dark Ages, trade-through rules played an important structural role in ensuring compliance with best execution obligations. But I'm not convinced that the current rules are effective in today's environment, where direct electronic access is the norm among traders in the Nasdaq market and is getting a toehold in the listed market."

She continued that "The technology now exists for customers to get the information they need to ensure that they are getting best execution. Best execution means different things to different customers -- whether price, speed, cost or liquidity. I believe that there are strong arguments for modifying -- or even eliminating -- the trade-through rule. First, it would remove barriers for customers for whom best execution means something other than the best price. Second, it would focus attention on the broker's best execution analysis. It is the broker who is in the best position to know what his customer means by best execution."

She concluded that "the questions are: Who are the trade-through rules really protecting? Do they in fact protect limit orders in the penny environment? Or are we entrenching slow markets?"

Sen. Warner Advocates Public Private Nanotechnology Efforts

10/17. Sen. John Warner (R-VA), the Chairman of the Senate Armed Services Committee, spoke in the Senate regarding nanotechnology. He stated that "Of all the areas of scientific innovation being developed today, none is more profound than nanotechnology."

He elaborated that "In the area of national security, nanotechnology has been identified as one of the most important strategic research areas. Revolutionary applications could include: very lightweight but extremely strong armor, vastly smaller and more powerful computers, microscopic sensor systems, and tiny unmanned vehicles. These could provide vastly increased capabilities for our armed forces. Conversely, to fall behind in these new areas will present us with a critical security risk."

"Unfortunately, the United States is no longer the only world leader in many areas of nanoscience, as many countries have recognized its importance and are greatly increasing their funding. With stakes this high, we must pay close attention to the choices we make", said Warner.

He concluded that "I understand the stakes and stand four-square behind public-private efforts to keep America in the lead in nanotechnology." See, Congressional Record, October 17, 2003, at pages S12832-3.

Senate to Take Up Class Action Reform Bill

10/17. The Senate will begin consideration of S 1751 on Monday, October 20, at 2:00 PM. Sen. Charles Grassley (R-IA), Sen. Herb Kohl (D-WI) and others introduced the bill on October 16. An earlier version of this bill, S 274, titled the "Class Action Fairness Act of 2003", was introduced on February 4, 2003. It was approved by the Senate Judiciary Committee on July 31, 2003.

The House version of the bill, HR 1115, sponsored by Rep. Bob Goodlatte (R-VA), Rep. Rick Boucher (D-VA) and others, and also titled the "Class Action Fairness Act of 2003", was approved by the full House on June 12, 2003 by a vote of 253-170. See, Roll Call No. 272. See, story titled "House Passes Class Action Fairness Act" in TLJ Daily E-Mail Alert No. 680, June 13, 2003.

President Bush has also been advocating passage of this legislation in some of his political speeches in the United States. See, story titled "Bush Praises Class Action Reform Bill" in TLJ Daily E-Mail Alert No. 757, October 14, 2003.

Senators Debate Internet Taxes

10/15. Sen. Mike Enzi (R-WY), Sen. Byron Dorgan (D-ND) and others introduced S 1736, titled the "Streamlined Sales and Use Tax Act", a bill to authorize state and local taxing entities to collect taxes from out of state remote sellers, including internet retailers. Sen. Enzi and Sen. Dorgan also spoke in support of this bill in the Senate. Also on October 15, Sen. Ron Wyden (D-OR) went to the Senate floor to warn that a version of the Internet Tax Nondiscrimination Act (INDA) being advanced by state and local governments would give state and local governments "explicit permission to tax what Internet users do once they get on line", including sending e-mail.

Streamlined Sales and Use Tax Act. S 1736 is the Senate version of HR 3184, introduced on September 25, 2003 by Rep. Ernest Istook (R-OK) and others. These two bills are re-introductions of bills that did not pass in the 107th Congress: HR 1410, sponsored by Rep. Ernest Istook (R-OK), and S 512, sponsored by Sen. Byron Dorgan (D-ND). S 1736 was referred to the Senate Finance Committee.

Sen. Enzi stated that "Our bill will also help states begin to recover from years of budgetary shortfalls." He also asserted that "This bill is not a disguised attempt to increase taxes or put a new tax on the Internet."

Sen. Byron DorganSen. Dorgan (at left) stated in the Senate that "Collecting a sales tax in a face-to-face transaction on Main Street or at the mall is a relatively simple process. The seller collects the tax and remits it to the State or local government. But with remote sales -- such as catalog and Internet sales -- it's more difficult. States cannot require a seller to collect a sales tax unless the business has an actual location or sales people in the State. So most States, and many localities, have laws that require the local buyer to send an equivalent ``use tax´´ to the State or local government when he or she did not pay taxes at the time of purchase. The reality, of course, is that customers almost never do that. It would be a major inconvenience, and people are not accustomed to paying sales taxes in that way."

"Internet and catalog sellers correctly argue that collecting and remitting sales taxes would be a significant burden. Understandably, they contend that, unless things change, it would be difficult for them to have to comply with tax laws from thousands of different jurisdictions -- 46 States and thousands of local governments -- with different tax rates and all of the idiosyncrasies regarding what is taxable and what is non-taxable. This is a legitimate complaint", said Sen. Dorgan.

But, he continued, many states have approved the "Streamlined Sales and Use Tax Agreement'', to "dramatically simplify and streamline how State sales taxes are identified and collected. And, by harmonizing State sales tax rules, bringing uniformity to definitions of items in the sales tax base, significantly reducing the paperwork burden on retailers, and incorporating a seamless electronic reporting process the agreement will significantly reduce the burden of collection on all sellers."

The bill provides that once the state compact is adopted by 10 States with at least 20 percent of the population, those states would then have the authority to collect sales or use taxes from out of state sellers.

States cannot do this now without federal legislation. The U.S. Supreme Court ruled in Quill v. North Dakota, 504 U.S. 298 (1992), that state and local taxing authorities are barred under the Commerce Clause from requiring remote sellers without a substantial nexus to the taxing jurisdiction to collect sales taxes for sales to persons within the jurisdiction. However, the Court added that Congress may extend such authority. S 1736 and HR 3184 would extend such authority.

If a state decides to collect taxes from out of state residents, the legislators in this state would be taxing people who cannot vote in their next election. Hence, this method of raising revenue is popular with state and local governments. However, federal legislative proposals to authorize such tax schemes have heretofore failed to pass. By voting for such legislation, Senators and Representatives would be enabling the collection of taxes from their voters.

For example, on November 15, 2001, when the Senate extended the moratorium first enacted in the Internet Tax Freedom Act, the Senate also rejected, on a roll call vote of 57-43, an amendment offered by Sen. Enzi and Sen. Dorgan, that would have allowed state and local taxing authorities to require out of jurisdiction sellers to pay taxes.

Internet Tax Nondiscrimination Act. Supporters of legislation such as S 1736 have often tried to tie this issue to the internet tax moratorium issue. The original Internet Tax Freedom Act, which was passed as part of a larger omnibus bill in late 1998, contained a three year moratorium. It expired on October 20, 2000. The 107th Congress passed HR 1552, also titled the Internet Tax Nondiscrimination Act, which extended the moratorium until November 1, 2003. In January, bills were introduced in the House and Senate to make permanent this moratorium. All of these bills have been sponsored by Sen. Ron Wyden (D-OR) and Rep. Chris Cox (R-CA).

The House passed its version of the latest bill, HR 49, titled the "Internet Tax Nondiscrimination Act", or INDA, on September 17, 2003.

The Senate has yet to pass its version of the bill, S 52, also titled the "Internet Tax Nondiscrimination Act". These bills would make permanent the current moratorium on internet access taxes, and multiple and discriminatory taxes on internet commerce. They would amend Section 1101 of the Internet Tax Freedom Act, which is codified at 47 U.S.C. 151 note.

Also on October 15, Sen. Wyden went to the Senate floor to criticize a proposed version of the INDA. He said that "I had been under the impression that we were just about ready to bring this bill to the floor, but in the last few days a proposal that I find truly alarming has been brought forward by some of the State and local officials. I come to the floor this morning to make sure the Senate is actually familiar with the language that is being brought forward."

Sen. Ron WydenSen. Wyden (at right) had inserted into the Congressional Record a copy of the proposal. See, Congressional Record, October 15, 2003, at pages Pages S12567-9.

He continued that "what some State and local officials now seek to do is to change the definition of ``Internet access,´´ which, under current law, cannot be taxed. In doing so, what it would do is give States and localities explicit permission to tax what Internet users do once they get on line. That would mean you could have games, music, magazines, newspapers, information services, financial services, research services, or other products of services, in effect, facing a barrage of new taxes."

Sen. Wyden warned that under this proposed language "Consumers could be taxed every time they check a bank statement online. They could be taxed for paying their bills online. They could be taxed each time they check the sports scores online or listen to the weather on streaming radio. Every time a consumer turns to Google research service, they could be taxed for each key stroke."

"But by redefining the definition of Internet access, as the proposal does that I have put into the Congressional Record today, in effect you give a green light to State and local authorities all across the country to tax services that are integral to Internet access, including e-mail", Sen. Wyden concluded.

Monday, October 20

The House will meet at 12:30 PM for morning hour and at 2:00 PM for legislative business. It will consider several non tech related items under suspension of the rules. Votes will be postponed until 6:30 PM. See, Republican Whip notice.

The Senate will meet at 1:30 PM for morning business, and at 2:00 PM to consider S 1751, the "Class Action Fairness Act".

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in Global Naps v. FCC, No. 02-1202. Judges Edwards, Garland and Williams will preside. Location: 333 Constitution Ave., NW.

10:00 AM - 3:00 PM. The Federal Communications Commission's (FCC) Technological Advisory Council will meet. See, notice in the Federal Register, October 2, 2003, Vol. 68, No. 191, at Pages 56840 - 56841. This meeting will focus on voice over internet protocol (VOIP). There will be no public presentations, but the FCC is accepting written comments. See, FCC notice. Location: FCC, 445 12th St. SW, Room TW-C305.

12:15 PM. The Federal Communications Bar Association's (FCBA) Common Carrier Practice Committee will host a brown bag lunch titled "Meet the 8th Floor Common Carrier/Wireline Competition Legal Advisors". The scheduled speakers are Christopher Libertelli, Matthew Brill, Jessica Rosenworcel, Daniel Gonzalez, and Lisa Zaina. RSVP to Cecelia Burnett at 202-637-8312 or cmburnett@hhlaw.com. Location: Hogan & Hartson, 555 13th St., NW, Lower Level.

6:00 - 8:15 PM. Intellectual Property Section of the D.C. Bar Association will host a CLE course titled "Transactions Involving Intellectual Property, Part I: Intellectual Property in Mergers and Acquisitions Including Tax Considerations". Prices vary. For more information, call 202 626-3488. Location: D.C. Bar Conference Center, 1250 H Street NW, B-1 level.

Day one of a two day conference hosted by the Department of Commerce's (DOC) Bureau of Industry and Security (BIS) titled "16th Annual Update Conference on Export Controls and Policy". Kenneth Juster, Under Secretary for BIS, will speak at 8:30 AM. See, notice and agenda. The price to attend ranges from $625 to $700. Location: Renaissance Hotel, 999 9th Street, NW.

Day two of a three day conference titled "Networked Economy Summit". See, event web site and agenda. Press information: the summit is open to all media -- print, radio, Internet and TV. For day-of coverage at the event, please sign up at www.publicforuminstitute.org or call Mark Marich at the Public Forum Institute at 202 467-2776. Location: Hyatt Regency Reston, Reston, VA.

Deadline to submit comments to the National Institute of Standards and Technology's (NIST) Computer Security Division (CSD) regarding its draft Special Publication 800-38C, Recommendation for Block Cipher Modes of Operation: the CCM Mode for Authentication and Confidentiality [PDF]. The NIST stated that "the CCM mode of the Advanced Encryption Standard (AES) algorithm is specified for the protection of sensitive, unclassified data. The CCM algorithm combines the counter (CTR) mode for confidentiality with the cipher block chaining-message authentication code (CBC-MAC) technique for authentication." Send comments to EncryptionModes@nist.gov.

Tuesday, October 21

The House will meet at 9:00 AM for morning hour and at 10:00 AM for legislative business. It will consider HJRes __, making further continuing appropriations for FY 2004. See, Republican Whip notice.

7:30 AM - 12:45 PM. The Cato Institute will host a half day conference titled "Who Rules the Net? Debating Internet Jurisdiction and Governance". The speakers will include Rep. Christopher Cox (R-CA) (Chairman of the Republican House Policy Committee), Tim Wu (University of Virginia Law School), David Post (Temple University Law School), Bruce Kobayashi (George Mason University School of Law), Peter Trooboff (Covington & Burling), Gary Jackson (Quova), Robert Corn-Revere (Davis Wright Tremaine), Kurt Wimmer (Covington & Burling), Michael Greve (American Enterprise Institute), Jonathan Band (Morrison & Foerster), Marc Pearl (IT Policy Solutions), and Jeffrey Kovar (Deptartment of State). See, notice. To register, contact Krystal Brand at 202 789-5229 of techandsociety@cato.org. Location: Cato, 1000 Massachusetts Ave., NW.

10:00 AM. The Senate Judiciary Committee will hold a hearing to examine criminal terrorism investigations and prosecutions relating to national security. See, story titled "Senate Judiciary Committee to Hold Hearings on Combatting Terrorism and Protecting Liberties" in TLJ Daily E-Mail Alert No. 757, October 14, 2003. Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirksen Building.

11:00 AM. The House Armed Services Committee's Subcommittee on Terrorism, Unconventional Threats and Capabilities Subcommittee will hold a hearing on Command, Control, Communications, Computer, & Intelligence (C41) Interoperability. The witnesses will be Lt. Gen. William Wallace (Commanding General, U.S. Combined Arms Center and Fort Leavenworth), Maj. Gen. Keith Stadler (USMC), Brig. Gen. Walter Jones (Joint Staff), Brig. Gen. Dennis Moran (Director of Information Operations, Networks and Space, Office of the Chief Information Officer/G-6, U.S. Army), and Lt. Gen. Daniel Leaf (Air Force Space Command). Location: Room 2212, Rayburn Building.

11:00 AM. Rep. Bob Goodlatte (R-VA), Rep. Adam Schiff (D-CA), Sen. Joe Biden (D-DE) and Rep. Gordon Smith (R-OR), will hold a press conference to announce the formation of the Congressional International Anti-Piracy Caucus. Press contact: Elyse Bauer (Goodlatte) at 202 225-5431. Location: ?

Day two of a two day conference hosted by the Department of Commerce's (DOC) Bureau of Industry and Security (BIS) titled "16th Annual Update Conference on Export Controls and Policy". See, notice and agenda. The price to attend ranges from $625 to $700. Location: Renaissance Hotel, 999 9th Street, NW.

Day three of a three day conference titled "Networked Economy Summit". See, event web site and agenda. Press information: the summit is open to all media -- print, radio, Internet and TV. For day-of coverage at the event, please sign up at www.publicforuminstitute.org or call Mark Marich at Public Forum Institute at 202 467-2776. Location: Hyatt Regency Reston, Reston, VA.

Wednesday, October 22

10:00 AM. The Senate Judiciary Committee will hold a hearing on the nomination of Janice Brown to be a Judge of the U.S. Court of Appeals for the District of Columbia Circuit. Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirksen Building.

8:00 AM - 1:30PM. The U.S. Chamber of Commerce will host a seminar titled "Immigration -- Access, Security and the American Economy". At 9:00 AM, Rep. Jim Kolbe (R-AZ) will speak. At 9:30 AM, Sen. Saxby Chambliss (R-GA) will speak. At 12:30 PM, Asa Hutchinson, Under Secretary of Homeland Security, will deliver the keynote speech. See, notice and agenda. Location: U.S. Chamber of Commerce, 1615 H Street, NW.

6:00 - 8:00 PM. The Federal Communications Bar Association (FCBA) will host a continuing legal education (CLE) seminar titled "Nuts and Bolts of the Triennial Review Order". The price to attend is $75 for members, $125 for non-members, $50 for government, academic, and student members. RSVP to Wendy Parish at fcba@fcba.org. Location: ?

Thursday, October 23

8:15 AM. The George Washington Law Review at the George Washington University Law School (GWULS) will host a day long conference titled "Internet Surveillance, Privacy & USA PATRIOT Act". To register, contact Amanda Johnson at ajohnson@law.gwu.edu. Location, GWULS, 2000 H Street, NW.

8:30 AM - 3:30 PM. The Association for Maximum Service Television will host an event titled "MSTV 17th Annual Fall Conference: Digital Covalence". The speakers will include Sen. Conrad Burns (R-MT), Will Nordwind (House Commerce Committee), Greg Rothschild (HCC), Bruce Franca (Deput Chief of the FCC's Office of Engineering and Technology), Paul Galante (Advisor to FCC Chairman Michael Powell), Johanna Mikes (Advisor to FCC Commissioners Adelstein), and Catherine Bohigian (Advisor to FCC Commissioner Kevin Martin). The price to attend is $300. Location: Park Hyatt Hotel, 24th & M Streets, NW.

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in AT&T v. FCC, No. 02-1221. Judges Ginsburg, Edwards, and Garland will preside. Location: 333 Constitution Ave. NW.

11:45 AM. The Cato Institute will host a panel discussion titled "Online Gambling: Lessons from the Internet and Illegal Bookmakers". The speakers will be Rep. Barney Frank (D-MA), Mike Knesevitch (Tradesports.com), Koleman Strumpf (UNC Chapel Hill), Raymond Sauer (Clemson University), and Justin Wolfers (Stanford Business School). See, notice and registration page. The event will be webcast. Lunch will be served after the program. Location: Cato, 1000 Massachusetts Ave., NW.

12:15 PM. The Federal Communications Bar Association's (FCBA) Cable Practice Committee will host a brown bag lunch. The speaker will be Jordan Goldstein, Senior Legal Advisor to FCC Commissioner Michael Copps. For more information, contact Catherine Bohigian at catherine.bohigian@fcc.gov. RSVP to: wendy@fcba.org Location: NCTA, 1724 Massachusetts Ave, NW.

4:00 PM. Roberta Kwall (DePaul University College of Law) will present a paper titled "In the Beginning ... The Impact of Genesis on Innovation". See, notice. For more information, contact Robert Brauneis at 202 994-6138 or rbraun@law.gwu.edu. Location: George Washington University Law School, Faculty Conference Center, Burns Building, 5th Floor, 716 20th Street, NW.

TIME? Joseph Liu (Boston College of Law) will give a lecture titled "Rationalizing Trademark Defenses". This is a part of Georgetown University Law Center's (GULC) Colloquium on Intellectual Property & Technology Law Series. For more information, contact Julie Cohen at 202 662-9871. Location: GULC, 600 New Jersey Ave., NW.

Deadline to submit reply comments to the Federal Communications Commission (FCC) regarding its notice of proposed rulemaking (NPRM) pertaining to its rules governing the provision of air ground telecommunications services on commercial airplanes in order to enhance the options available to the public. The FCC adopted this NPRM on April 17, 2003, and released it on April 28, 2003. This is WT Docket No. 03-103. See, notice in the Federal Register, July 25, 2003, Vol. 68, No. 143, at Pages 44003 - 44011.

Deadline to submit requests to the Internal Revenue Service (IRS) to speak at its October 23, 2003 hearing regarding its notice of proposed rulemaking (NPRM) regarding computation and allocation of the credit for increasing research activities for members of a controlled group of corporations or a group of trades or businesses under common control. The rules implement the research and development tax credit codified at 26 U.S.C. § 41. See, notice in the Federal Register, July 29, 2003, Vol. 68, No. 145, at Pages 44499 - 44506.

Friday, October 24

7:30 AM. The Federal Communications Bar Association's (FCBA) will host a breakfast titled "New Horizons in the Digital Migration". The speaker will be FCC Chief of Staff Bryan Tramont. The price to attend is $35.00. Register by Tuesday, October 21, 2003. See, registration page. Location: J.W. Marriott Hotel, 1331 Pennsylvania Ave., NW.

8:00 AM - 3:30 PM. The National Science Foundation's (NSF) Advisory Committee for Computer and Information Science and Engineering will hold a meeting. See, notice in the Federal Register, September 22, 2003, Vol. 68, No. 183, at Page 55067. Location: NSF, 4201 Wilson Blvd., Room 1235, Arlington, VA.

9:00 AM. The U.S. District Court (DC) will hold a status conference in U.S. v. Microsoft, D.C. No. 98 cv 1232. Location: Courtroom 11, 333 Constitution Ave., NW.

Deadline for the Office of Management and Budget (OMB) to submit comments to the Federal Communications Commission (FCC) in response to its notice of proposed rulemaking (NPRM) regarding telecommunication relay services (TRS) and speech-to-speech services for individuals with hearing and speech disabilities. This is CG Docket No. 03-123. See, notice in the Federal Register, August 25, 2003, Vol. 68, No. 164, at Pages 50993 - 50998.

People and Appointments

10/17. On Wednesday, October 15, the Senate Banking Committee approved the nominations of Harvey Rosen and Kristin Forbes to be members of the Council of Economic Advisers. Then, on Friday, October 17, the full Senate approved the nominations by voice vote.

10/17. On Wednesday, October 15, the Senate Banking Committee approved the nominations of Julie Myers and Peter Lichtenbaum to be Assistant Secretaries of Commerce for Export Enforcement. Then on Friday, October 17, the full Senate approved the nominations by voice vote.

10/16. Northrop Grumman Corporation's Board of Directors elected Charles Noski, corporate vice president and chief financial officer, effective December 1, 2003. He will replace Richard Waugh. See, release.

10/16. Neil Gaffney was named Director of Communications of the Electronic Industries Alliance (EIA). See, EIA release.

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