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December 15, 2006, Alert No. 1,506.
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US and PRC Wrap Up First Strategic Economic Dialogue

12/15. Secretary of the Treasury Henry Paulson, Secretary of Commerce Carlos Guitierrez, and other US government officials traveled to the People's Republic of China for the first U.S.-China Strategic Economic Dialogue on December 13 through 15, 2006.

Paulson gave a speech on December 15 in which he stated that "We have agreed to continue and focus discussions on a number of issues, including working toward sustainable growth and greater integration into the global economy without significant trade imbalances, and maintaining high productivity and enhancing protections for intellectual property rights."

Henry PaulsonPaulson (at right) stated in a second speech on December 15 that "We have agreement with the Chinese government on a number of fundamental principles. ... China's full participation in the global economy requires transparency and a commitment to enforcing international laws, especially in relation to property rights. Both sides have committed to reinvigorating discussions within the Joint Committee on Commerce and Trade to improve transparency and intellectual property protections."

Paulson added that "Our next meeting of the Dialogue will take place in May in Washington. Today we agreed that at the next meeting we will focus on the efforts of both nations to achieve innovative societies and greater openness to trade and investment and without significant trade imbalances."

See also, release of the U.S. Chamber of Commerce.

Copyright Industry Groups and National Copyright Administration of China Enter Into MOU

12/15. The Motion Picture Association, Business Software Alliance (BSA), Association of American Publishers (AAP), and The UK Publishers Association entered into a Memorandum of Understanding (MOU) with the National Copyright Administration of China (NCAC).

This MOU states that the "NCAC will investigate and handle, pursuant to law, online copyright infringement and piracy committed in the territory of China ..."

This MOU also provides method to report online copyright infringement to the NCAC.

The MOU also states that the parties "believe it is necessary to further enhance and improve the verification system of copyright authorization".

Robert Holleyman, head of the BSA, stated in a release that "BSA and its members are extremely pleased with the Memorandum of Understanding with the Chinese government to address the serious problem of online theft of copyrighted works, including computer software."

"The cooperation, investigation and enforcement strategies outlined in the MOU will go a long way in stemming the growth of online theft. We look forward to working with Chinese officials and industry partners in educating and training computer users, a critical component to increasing protection for online copyrighted works." Holleyman added that "“The software industry stands ready to provide the necessary information to assist the Chinese government in taking actions against online pirates."

GAO Reports on Agencies' Failure to Implement IT Worker Exchange Program

12/15. The Government Accountability Office (GAO) released a report [19 pages in PDF] titled "Information Technology: Status and Challenges of Employee Exchange Program". This report finds that government agencies have failed to implement an information technology (IT) worker exchange program that was created by statute in 2002 to improve the quality of government IT systems.

This report addresses the Information Technology Exchange Program (ITEP). It was created by the E-Government Act of 2002. This Act was HR 2458 in the 107th Congress. It is now Public Law No. 107-347. Section 209 of the Act created an IT employee exchange program "to improve the skills of the Federal workforce in using information technology to deliver Government information and services".

For example, the Act provides that for IT management personnel, "On request from or with the agreement of a private sector organization, and with the consent of the employee concerned, the head of an agency may arrange for the assignment of an employee of the agency to a private sector organization or an employee of a private sector organization to the agency".

However, the just released GAO report finds that "With only 1 year remaining to begin exchanges under the ITEP program, the seven agencies that volunteered to participate are still initiating their programs, and no exchanges have taken place. The participating agencies all have drafted plans, but only three -- DHS, DOD, and Commerce -- have finalized them. Only DHS has attempted to negotiate an exchange, but it was unsuccessful in exchanging staff with a potential private-sector partner. In its last two semiannual reports OPM has reported on the status of agency plans, but has not reported that no exchanges have taken place to date."

SEC Adopts E-Proxy Rule Changes

12/13. The Securities and Exchange Commission (SEC) adopted, but did not release, amendments to its proxy rules that allow companies to furnish proxy materials to shareholders through a notice and access model using the internet.

The SEC issued a release that describes these rule changes. It states that "A company choosing to follow the model must post its proxy materials on an Internet Web site and send a Notice of Internet Availability of Proxy Materials to shareholders at least 40 days before the meeting date. A proxy card may not accompany the Notice. However, a company may send a paper proxy card accompanied by another copy of the Notice 10 days or more after sending the initial the Notice."

The SEC's release also states that it "is proposing to require companies and soliciting persons to follow the notice and access model for all solicitations not related to a business combination transaction in the future. The proposed mandatory model would operate in substantially the same manner as the voluntary model. However, under the proposal, the Notice could be accompanied by a full set of proxy materials, including the proxy statement, annual report, and proxy card."

People and Appointments

12/15. The Department of Justice (DOJ) issued a release that states that Alberto Gonzales "announced the appointment of Lee Lofthus as Assistant Attorney General for Administration. Mr. Lofthus has served in an acting capacity since June 1, 2006".

More News

12/15. The Federal Bureau of Investigation (FBI) published a notice in the Federal Register that pertains to its CALEA Final Notice of Capacity. The Communications Assistance for Law Enforcement Act (CALEA), as amended and implemented, imposes technology mandates upon telecommunications carriers and others to assist government agencies' efforts to attain universal surveillance capabilities. This notice pertains to the requirement that regulated entities be capable of supporting a certain number of simultaneous intercepts, pen registers, traps and traces, and related internet protocol surveillances. See, Federal Register, December 15, 2006, Vol. 71, No. 241, at Pages 75581-75584.

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Washington Tech Calendar
New items are highlighted in red.
Friday, December 15

The House and Senate will next meet at 12:00 NOON on Tuesday, January 4, 2007. See, HConRes 503.

9:00 AM - 12:45 PM. Day two of a two day conference hosted by the Federal Communications Bar Association (FCBA) and the Practicing Law Institute titled "Telecommunications Policy and Regulation". See, agenda [MS Word] and registration form [MS Word]. The price to attend ranges from $1,165.50 to $1,295. The price for FCC employees is $25. Location: Washington Hilton Hotel, 1919 Connecticut Ave., NW.

9:30 AM - 12:30 PM. The National Archives and Records Administration (NARA) Information Security Oversight Office's (ISOO) Public Interest Declassification Board (PIDB) will hold a meeting. See, notice in the Federal Register, December 5, 2006, Vol. 71, No. 233, at Pages 70550-70551. Location: NARA, Rooms 500 and 501, 700 Pennsylvania Ave., NW.

Deadline to submit initial comments to the Federal Communications Commission (FCC) to assist the Wireless Telecommunications Bureau (WTB) in drafting a report on the ability of persons with hearing disabilities to access digital wireless telecommunications. See, FCC Public Notice [4 pages in PDF] (DA 06-2285). This proceeding is WT Docket No. 06-203.

Deadline to submit initial comments to the Office of the US Trade Representative regarding the operation, implementation and effectiveness of all trade agreements regarding telecommunications products and services to assist it in preparing its annual Section 1377 report. See, notice in the Federal Register, November 15, 2006, Vol. 71, No. 220, at Pages 66563-66564.

Highlights of Conference Titled "Telecommunications Policy and Regulation", Friday, December 15

9:00 AM. Speech by FCC Commissioner Michael Copps.

9:30 AM. Panel titled "Developments in Homeland Security". The speakers will be Nancy Victory (Wiley Rein & Fielding), Peter Fonash (Deputy Manager of the DHS's National Communications System), Robert Gurss (APCO International), Kenneth Moran (Director of the FCC's Office of Homeland Security).

10:30 AM. Panel titled "Network Neutrality". The speakers will be Scott Cleland (, Gigi Sohn (Public Knowledge), and Diane Cornell (Inmarsat)

11:15 AM. Panel titled "Telecommunications Future". The speakers will be Michele Farquhar (Hogan & Hartson), Richard Wiley (Wiley Rein & Fielding), Dale Hatfield (University of Colorado at Boulder), Julius Knapp (Deputy Chief of the FCC's Office of Engineering and Technology,), Blair Levin (Managing Director of Stifel Nicholas), Robert Pepper (Cisco Systems), William Smith (BellSouth), and Alexandra Wilson (Cox Enterprises).

12:15 PM. Speech by FCC Commissioner Robert McDowell.

Saturday, December 16


Monday, December 18

Effective date of the Report and Order (R&O) portion of the Federal Communications Commission's (FCC) R&O and Further Notice of Proposed Rulemaking (FNPRM) in its TV white space proceeding. This item is FCC 06-156 in ET Docket Nos. 04-186 and 02-380. The FCC adopted this item at an October 12, 2006, meeting, and released it on October 18, 2006. See, story titled "FCC Adopts Order and FNPRM Regarding TV White Space" in TLJ Daily E-Mail Alert No. 1,467, October 12, 2006, and notice in the Federal Register, November 17, 2006, Vol. 71, No. 222, at Pages 66897-66905.

Tuesday, December 19

1:00 - 4:00 PM. The President's National Security Telecommunications Advisory Committee (NSTAC) will hold a partially closed meeting. At 1:00 PM the NSTAC will meet in public to receive comments from government agencies, to discuss the work of the NSTAC's Emergency Communications and Interoperability Task Force (ECITF), and to discuss the work of the Telecommunications and Electric Power Interdependency Task Force (TEPITF). At 3:00 PM the NSTAC will meet in secret to discuss the Global Infrastructure Resiliency (GIR) Report. See, notice in the Federal Register, December 4, 2006, Vol. 71, No. 232, at Pages 70413. Location: U.S. Chamber of Commerce, 1615 H St., NW.

2:30 - 4:30 PM. The Department of Labor's Labor Advisory Committee for Trade Negotiations and Trade Policy will hold a meeting. See, notice in the Federal Register: December 15, 2006, Vol. 71, No. 241, at Page 75584. Location: USTR Annex Building, Rooms 1 and 2, 1724 F St., NW.

5:00 - 7:00 PM. The Free Press will host a party to promote the book titled "The Case Against Media Consolidation: Evidence on Concentration, Localism and Diversity" [no Amazon listing]. The book is an anthology of essays by Larry Blosser, Mark Cooper, Steven Cooper, Marjorie Heins, Jeannine Kenney, Gene Kimmelman, Glenn Manishin, Philip Napoli, Ben Scott and Derek Turner, advocating government regulation of media. RSVP to Jen Howard at 202-265-1490 x22 or jhoward at freepress dot net. Location: Free Press, 1st Floor Conference Room, 501 3rd Street, NW.

Wednesday, December 20

RESCHEDULED FROM DECEMBER 14. 9:30 AM. The Federal Communications Commission (FCC) will hold a meeting. See, agenda [PDF]. The event will be webcast by the FCC. Location: FCC, 445 12th Street, SW, Room TW-C05 (Commission Meeting Room).

Deadline to submit initial comments to the Federal Communications Commission (FCC) regarding the petition for declaratory ruling filed by One Stop Financial, Inc., Group Discounts, Inc., 800 Discounts, Inc., and Winback & Conserve Program, Inc. pertaining to the AT&T tariff at issue, and "any other issues left open by the D.C. Circuit’s Opinion in AT&T Corp. v. FCC", 394 F.3d 933. This proceeding is WC Docket No. 06-210. See, FCC Public Notice [3 pages in PDF] (DA 06-2360).

Thursday, December 21

10:00 AM. The Federal Communications Commission's (FCC) Advisory Committee on Diversity for Communications in the Digital Age will meet. See, notice in the Federal Register: December 6, 2006, Vol. 71, No. 234, Page 70766. Location: FCC, Room 7-C753, 445 12th St., SW.

Extended deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Further Notice of Proposed Rulemaking (FNPRM) regarding its media ownership rules. The FCC adopted this FNPRM on July 21, 2006, and released the text [36 pages in PDF] on July 24, 2006. See also, story titled "FCC Adopts FNPRM on Rules Regulating Ownership of Media" in TLJ Daily E-Mail Alert No. 1,397, June 22, 2006. This FNPRM is FCC 06-93 in MB Docket No. 02-277, MM Docket No. 01-235, MM Docket No. 01-317, MM Docket No. 00-244, and MB Docket Nos. 06-121. See also, original notice in the Federal Register, August 9, 2006, Vol. 71, No. 153, at Pages 45511-45515, and order [PDF] extending deadlines.

Friday, December 22

Deadline to submit comments to the National Institute of Standards and Technology's (NIST) Computer Security Division regarding its Draft Special Publication 800-82 [164 pages in PDF], titled "Guide to Supervisory Control and Data Acquisition (SCADA) and Industrial Control Systems Security".

Deadline to submit reply comments to the Federal Communications Commission (FCC) on the Supporters of the Missoula Plan's proposed interim process to address phantom traffic issues. See, FCC Public Notice [PDF] (DA 06-2294).

5:00 PM. Deadline to submit requests to the Department of Commerce's (DOC) Bureau of Industry and Security's (BIS) Deemed Export Advisory Committee (DEAC) to speak at the DEAC's meeting of January 22-23, 2007, in Santa Clara, California. See, notice in the Federal Register, December 11, 2006, Vol. 71, No. 237, Page 71508-71509.