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April 21, 2004, 9:00 AM ET, Alert No. 881.
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Bush Continues to Speak About PATRIOT Act

4/20. President Bush, for the third time in four days, gave a speech regarding the USA PATRIOT Act. On Tuesday, April 20, he spoke in Buffalo, New York. He stated that "The Patriot Act needs to be renewed and the Patriot Act needs to be enhanced."

See, April 17 radio address and story titled "Bush Addresses PATRIOT Act" in TLJ Daily E-Mail Alert No. 879, April 19, 2004, and April 19 speech in Hershey, Pennsylvania, and stories titled "Bush Proposes to Extend and Expand PATRIOT Act" and "Bush Opposes Congressional Proposals to Roll Back Parts of PATRIOT Act" in TLJ Daily E-Mail Alert No. 880, April 20, 2004.

Bush said that "the reason I bring up the Patriot Act, it's set to expire next year. I'm starting a campaign to make it clear to members of Congress it shouldn't expire. It shouldn't expire, for the security of our country."

He again referenced the provisions of the PATRIOT Act pertaining to information sharing and roving wiretaps that are scheduled to sunset, unless the Congress passes legislation to extend them. Bush also touted the provision in the PATRIOT Act allowing for delayed notification search warrants. This provision is not scheduled to sunset. However, there are several bills pending in the Congress that would terminate it.

Bush also again promoted several proposals to enhance law enforcement agencies' ability to fight terrorism, including increased judicial authority to deny bail to terrorists, and administrative subpoenas for terrorists.

Former Deputy Attorney General Larry Thompson accompanied President Bush.

The American Civil Liberties Union (ACLU), which opposes many provisions of the USA PATRIOT Act, issued a release in which the ACLU's Laura Murphy states that "Rather than addressing the real reasons behind national security failings in America, President Bush continues to argue that we must sacrifice liberty for security ... By overemphasizing the Patriot Act, the president is attempting to deflect criticism of a culture of secrecy that flourished in the nation's intelligence agencies, which arguably led to 9/11."

In contrast, Rep. Lamar Smith (R-TX), a senior member of the House Judiciary Committee, stated in a release that "The PATRIOT Act passed by overwhelming margins in the House and Senate. Congress should strengthen the Act, not weaken it." He added that "Our success in preventing another catastrophic attack on the American homeland since September 11, 2001 would have been much more difficult without the PATRIOT Act. The powers Congress provided in the Act enhance the federal government’s ability to investigate, prosecute, and prevent acts of terror. The Act also helps law enforcement officials identify a terrorist from a non-terrorist, and an illegal alien from a legal immigrant. Since terrorism does not know any geographical boundary we must have this ability codified in law."

FCC and NextWave Settle

4/20. The Federal Communications Commission (FCC) announced in a release [PDF] that the FCC and NextWave Communications have reached a settlement.

The FCC stated that this settlement facilitates "a final resolution to the entire matter within the context of the Supreme Court’s NextWave opinion."

NextWave obtained spectrum licenses at FCC auctions in 1996. The FCC permitted NextWave to obtain the licenses, and make payments under an installment plan, thus creating a debtor creditor relationship between NextWave and the FCC. NextWave did not make payments required by the plan, and filed a Chapter 11 bankruptcy petition. The FCC cancelled the licenses. It then proceeded to re-auction the disputed spectrum. The U.S. Court of Appeals (DCCir) ruled in its June 22, 2001, opinion that the FCC was prevented from canceling the spectrum licenses by § 525 of the Bankruptcy Code. The FCC petitioned the Supreme Court for writ of certiorari. The Court granted certiorari.

January 27, 2003, the Supreme Court issued its opinion [34 pages in PDF] in FCC v. NextWave Personal Communications, holding that the Federal Communications Commission's (FCC) attempt to revoke NextWave's spectrum licenses violated Section 525 of the Bankruptcy Code.

The FCC stated in its release that the settlement "provides for the immediate return of spectrum licenses that will account for at least 90% of NextWave's spectrum when licenses already sold to Cingular Wireless are taken into account".

FCC Chairman Michael Powell wrote in a statement [PDF] that "After eight long years, we can finally end the litigation and begin the innovation. This landmark agreement takes valuable spectrum resources out of the courts and will put it in the hands of consumers who can finally use it."

The settlement still requires the approval of the U.S. Bankruptcy Court (SDNY).

See also, story titled "Supreme Court Rules Against FCC in NextWave Case" in TLJ Daily E-Mail Alert No. 592, January 28, 2003.

Supreme Court Denies Certiorari in Greene v. Sprint

4/19. The Supreme Court denied certiorari Greene v. Sprint. See, Order List [15 pages in PDF] at page 3.

This lets stand the August 25, 2003 opinion [PDF] of the U.S. Court of Appeals (9thCir) holding that there is no private right of action for violation of 47 U.S.C. § 276, which requires interexchange carriers (IXCs) to compensate payphone service providers for dial around calls made from their payphones.

See, story titled "9th Circuit Holds No Private Right of Action for Violation of Payphone Compensation Rules" in TLJ Daily E-Mail Alert No. 726, August 26, 2003.

This case is Zane Greene, et al. v. Sprint Communications Company, et al., a petition for writ of certiorari to the U.S. Court of Appeals for the 9th Circuit, Sup. Ct. No. 03-1158. The Appeals Court case number is 02-56339. The Appeals Court affirmed the judgment of the U.S. District Court for the Central District of California, D.C. No. CV-02-03841-LGB, Judge Lourdes Baird presiding.

People and Appointments

4/20. President Bush nominated Virginia Covington to be a Judge of the U.S. District Court for the Middle District of Florida. See, White House release.

More News

4/20. President Bush gave a speech in New York, New York in which he addressed numerous issues, including trade. He stated that "Lasting prosperity means that the country must fight off economic isolationism and open up as many markets as possible". He said that "Lasting prosperity means that the country must be confident with its trade policy." He continued that "economic isolationism" is "the willingness to either pull back from aggressive trade policy, or to encourage the creation of tariffs and barriers to trade." And this, said Bush, "would be a huge mistake for people looking for work." He also stated that "We're great at growing things, like corn and soybeans and cows and hogs. And we ought to be aggressively selling those products overseas. We're wonderful at entertainment. We're excellent at high-tech."

4/20. Alan Greenspan, Chairman of the Federal Reserve Board, testified before the Senate Banking Committee regarding the state of the banking industry. One of the subjects that he addressed was the use of information technologies to better manage risk. He stated that "Legislation designed to deregulate U.S. banking markets, technology, and other factors have contributed to significant structural change in the banking industry and to a decline of nearly 40 percent in the number of banking organizations since the mid-1980s, when industry consolidation began." He elaborated that "the basic thrust of recent efforts to improve the management of risk has been better quantification and the creation of a formal and more-disciplined process for recognizing, pricing, and managing risk of all types." And, he added that "the very improvements in technology that facilitated better bank risk measurement and management have undermined the current regulatory capital regime by creating transactions and instruments that were not conceived when the current regulatory standard was developed." See, prepared testimony.

4/20. Hewitt Pate, the Assistant Attorney General in charge of the Antitrust Division, gave a speech by video feed to the Seoul Competition Forum and the Third Annual International Competition Network (ICN) Conference in Seoul, South Korea.

4/20. MCI WorldCom announced in a release that it "today formally emerged from U.S. Chapter 11 protection. Today's emergence signifies that MCI's plan of reorganization, confirmed on October 31, 2003, by the U. S. Bankruptcy Court for the Southern District of New York is now effective and the company has begun to distribute securities and cash to its creditors. With the Chapter 11 process behind it, the company is now officially known as MCI, Inc." This case is In Re WorldCom, Inc., U.S. Bankruptcy Court (SDNY), Case No. 02-13533.

4/20. Microsoft announced that it settled a class action lawsuit in which the plaintiffs alleged that it violated the antitrust laws of the state of Minnesota. See, Microsoft release.

4/19. The Supreme Court denied certiorari in Shoketsu Kinzoku Kogyo, et al. v. Festo Corp., No. 03-1129, and Festo Corp. v. Shoketsu Kinzoku Kogyo, No. 03-1133. See, Order List [15 pages in PDF] at page 3.

4/19. The Supreme Court denied certiorari in Self Communications, Inc. v. FCC, No. 03-1181. See, Order List [15 pages in PDF] at page 3.

4/14. Privacilla.org released a report [31 pages in PDF] titled "Health Privacy in the Hands of Government: The HIPAA Privacy Regulation -- Troubled Process, Troubling Results", which is critical of the Health Insurance Portability and Accountability Act (HIPAA) privacy regulation.

Washington Tech Calendar
New items are highlighted in red.
Wednesday, April 21

The House will meet at 10:00 AM for legislative business. The agenda includes consideration of several non technology related items under suspension of the rules. See, Republican Whip Notice.

The Senate will meet at 9:30 AM. It will continue its consideration of S 2290, the asbestos bill.

7:45 AM. The Federal Communications Bar Association (FCBA) will host a breakfast. The speaker will be John Rogovin, General Counsel of the Federal Communications Commission (FCC). Prices vary. The buffet will begin at 7:45 AM. Location: Mayflower Hotel, 1127 Connecticut Avenue, NW.

10:00 AM. The House Financial Services Committee's (HFSC) Subcommittee on Capital Markets will hold a hearing to evaluate the Financial Accounting Standards Board's (FASB) exposure draft on share-based payments, or stock options, and its effects on publicly traded companies. See, HFSC release. Location: Room 2128, Rayburn Building.

10:00 AM. The House Judiciary Committee will hold a hearing titled "Should the Congress extend the October, 2004 Statutory Deadline for Requiring Foreign Visitors to Present Biometric Passports?". Secretary of Homeland Security Tom Ridge and Secretary of State Colin Powell will testify. See, notice. The hearing will be webcast by the Committee. Press contact: Jeff Lungren or Terry Shawn at 202 225-2492. Location: Room 2141, Rayburn Building.

10:30 AM. The House Homeland Security Committee's Subcommittee on Infrastructure and Border Security and Subcommittee on Cybersecurity, Science and Research and Development, will hold a joint hearing to examine the relationship between the Department of Homeland Security (DHS) and the critical infrastructure sectors. The witnesses will be Robert Liscouski (DHS, Assistant Secretary for Infrastructure Protection), George Newstrom (Secretary of Technology, Virginia), Robert Dacey (General Accounting Office), Dave McCurdy (Internet Security Alliance), Diane Hei (Information Sharing and Analysis Center Council). See, notice. Location: 2212 Rayburn Building.

12:00 NOON. The Federal Communications Bar Association's (FCBA) Transactional Practice Committee will host a brown bag lunch titled "M&A Opportunities in Telecom & Media". The speakers will be Michael Price (Evercore Partners) and Chuck Wiebe (BIA Capital). RSVP to Ava Smith 202 371-7201 or asmith@skadden.com. Location: Skadden Arps, 700 14th St., NW, 11th Floor.

1:00 - 5:00 PM. Day one of a three day meeting of the National Commission on Libraries and Information Science (NCLIS) will hold a meeting. See, notice in the Federal Register, April 12, 2004, Vol. 69, No. 70, at Page 19240. Location: 1110 Vermont Avenue, NW, Suite 820.

2:00 PM. The House Government Reform Committee's Subcommittee on Technology, Information Policy, Intergovernmental Relations and the Census will hold a hearing titled "Protecting Our Nation’s Cyber Space: Educational Awareness for the Cyber Citizen". The witnesses will be Orson Swindle (Federal Trade Commission), Amit Yoran (National Cyber Security Division, DHS), Larry Clinton (Internet Security Alliance), Andrew Howell (U. S. Chamber of Commerce), Rodney Petersen (EDUCAUSE), and Douglas Sabo (National Cyber Security Alliance). For more information, contact Juliana French at 202 225-6751. Location: Room 2154, Rayburn Building.

Deadline to submit comment to the National Institute of Standards and Technology's (NIST) Computer Security Division (CSD) regarding its "Pre-Publication Final" draft [67 pages in PDF] of NIST Special Publication 800-37, titled "Guide for the Security Certification and Accreditation of Federal Information Systems". Comments should be addressed to sec-cert@nist.gov.

Thursday, April 22

The House will meet at 9:00 AM for legislative business. The agenda includes consideration of several non technology related items under suspension of the rules. See, Republican Whip Notice.

CANCELLED. 9:00 AM. The House Armed Services Committee will hold a hearing to receive the Report of the Commission to Assess the Threat to the United States from Electromagnetic Pulse (EMP) Attack. William Graham, the Chairman of the Commission, and other members, will testify. Location: Room 2118, Rayburn Building.

9:00 - 10:30 AM and 1:00 - 5:00 PM. Day two of a three day meeting of the National Commission on Libraries and Information Science (NCLIS) will hold a meeting. See, notice in the Federal Register, April 12, 2004, Vol. 69, No. 70, at Page 19240. Location: 1110 Vermont Avenue, NW, Suite 820.

9:30 AM. The U.S. Court Appeals (DCCir) will hear oral argument in Verizon v. FCC, No. 03-1396. Judges Ginsburg, Garland and Roberts will preside. Location: Prettyman Courthouse, 333 Constitution Ave.

9:30 AM. The Senate Judiciary Committee will hold an executive business meeting. See, notice. Location: Room 226, Dirksen Building.

10:00 AM. The House Judiciary Committee's Subcommittee on Courts, the Internet and Intellectual Property will hold a hearing titled "Committee Print to Amend the Federal Trademark Dilution Act". Press contact: Jeff Lungren or Terry Shawn at 202 225-2492. Location: Room 2141, Rayburn Building.

2:30 PM. The Senate Foreign Relations Committee's Subcommittee on East Asian and Pacific Affairs will hold a hearing to examine U.S. China relations and the status of reforms in China. Location: Room 106, Dirksen Building.

Friday, April 23

9:00 AM - 1:00 PM. Day three of a three day meeting of the National Commission on Libraries and Information Science (NCLIS) will hold a meeting. See, notice in the Federal Register, April 12, 2004, Vol. 69, No. 70, at Page 19240. Location: 1110 Vermont Avenue, NW, Suite 820.

9:30 AM. The House Armed Services Committee will hold a hearing titled "The China Factor: China's Acquisition of Western Arms and Critical Technology". The witnesses will be Newt Gingrich (American Enterprise Institute), Frank Kramer (Shea & Gardner), Richard Fisher (Center for Security Policy), and John Tkacik (Heritage Foundation). Location: Room 2212, Rayburn Building.

10:00 AM. The Federal Communications Commission's (FCC) Technological Advisory Committee will hold a meeting. The agenda includes broadband wireless and spam. See, notice [PDF] and agenda [PDF]. The event will be audio webcast. Location: FCC, Commission Meeting Room, Room TW-C305, 445 12th Street, SW.

Deadline to submit comments to the Federal Communications Commission (FCC) regarding auction procedures for the September 15, 2004 Automated Maritime Telecommunications System Spectrum Auction. See, notice in the Federal Register, April 20, 2004, Vol. 69, No. 76, at Pages 21110 - 21114.

Tuesday, April 27

? 10:00 AM. The Senate Judiciary Committee will hold a hearing on the nomination of Brett Kavanaugh to be a Judge of the U.S. Court of Appeals for the District of Columbia. Location: Room 226, Dirksen Building.

10:00 AM - 5:30 PM. Day one of a two day meeting of the Federal Communications Commission's (FCC) Enhanced 911 Coordination Initiative. See, agenda [PDF]. Location: FCC, 445 12th Street, SW.

Deadline to submit reply comments to the Federal Communications Commission (FCC) in response to the Department of Justice's (DOJ) petition for a rulemaking proceeding [PDF] regarding surveillance of voice over internet protocol (VOIP), regulation of VOIP related technologies, the Communications Assistance for Law Enforcement Act (CALEA), and related issues. This is RM-10865. See, FCC notice [PDF] (DA 04-700).

Deadline to submit applications to the National Telecommunications and Information Administration (NTIA) for grants under the Technology Opportunity Program (TOP). Grant applications must be either postmarked no later than April 27, 2004, or hand-delivered no later than 5:00 PM EST on April 27, 2004. See, notice in the Federal Register, February 17, 2004, Vol. 69, No. 31, at Pages 7452 - 7454, story titled "NTIA Publishes Notice Regarding TOP Grants" in TLJ Daily E-Mail Alert No. 839, February 18, 2004; and the NTIA's TOP web page.

Wednesday, April 28

9:00 AM - 1:00 PM. Day two of a two day meeting of the Federal Communications Commission's (FCC) Enhanced 911 Coordination Initiative. See, agenda [PDF]. Location: FCC, 445 12th Street, SW.

12:00 NOON. The Progress and Freedom Foundation (PFF) will host a luncheon. The speakers will be Richard Notebaert (Ch/CEO of Qwest Communications), Anna-Marie Kovacs (Janney Montgomery Scott), Frank Governali (Goldman Sachs), and Blake Bath (Lehman Brothers). See, notice and online registration page. Press contact: David Fish at 202 289-8928 or dfish@pff.org. Location: Rotunda Room, Ronald Reagan Building and International Trade Center, 1300 Pennsylvania Ave., NW.

12:15 PM. The Federal Communications Bar Association's (FCBA) Online Communications Committee will host a brown bag lunch. The speaker will be Hillary Brill, Legislative Director for Rep. Rick Boucher (D-VA). RSVP to Evelyn Opany at 202 689-7163. Location: Piper Rudnick, 1200 19th Street, NW.

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