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Tuesday, February 26, 2013, Alert No. 2,528.
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Rep. Goodlatte Outlines Agenda for House Judiciary Committee

2/27. Rep. Bob Goodlatte (R-VA), the Chairman of the House Judiciary Committee (HJC), gave a speech in which he discussed his agenda for the HJC for the 113th Congress.

He listed, among other things, "reforms to discourage frivolous patent litigation", reform of the Electronic Communications Privacy Act (ECPA), cyber security, and immigration law reform, including "to bring needed, skilled workers to America".

Rep. Bob GoodlatteRep. Goodlatte (at right) said that "Under my leadership, the Judiciary Committee will advance an agenda that is focused on making America more competitive and free."

"First, I'm committed to restoring accountability and providing relief from excessive regulation to our nation's small businesses and job creators who need it most."

On March 5 the HJC's Subcommittee on Regulatory Reform, Commercial and Antitrust Law will hold a hearing on HR 367 [LOC | WW], the "Regulations From the Executive in Need of Scrutiny Act of 2013" or "REINS Act". This bill would require Congressional approval before certain new agency regulations could take effect.

Rep. Goodlatte's agenda also includes litigation reform.

He also said that "We'll also focus on reforms to discourage frivolous patent litigation and keep U.S. patent laws up to date. The strength of our economy relies on our ability to protect new inventions and build on innovation in the 21st century." He added that "We need to make sure that the federal government’s efforts are focused on creating incentives that encourage innovation and eliminating policies that hinder it."

Rep. Goodlatte may be one of the speakers at a Capitol Hill event on Thursday, February 28, titled "How Patent Trolls Are Harming Innovation". This event, hosted by the Computer & Communications Industry Assocation (CCIA), will begin at 12:00 NOON in Room 366 of the Dirksen Building.

He also said that the HJC will "look at modernizing" the ECPA "to reflect our current digital economy".

Late in the 112th Congress the Senate Judiciary Committee (SJC) began a process of re-examining and amending the ECPA. See, story titled "Sen. Leahy Seeks ECPA Reform in 113th Congress" in TLJ Daily E-Mail Alert No. 2,498, December 26, 2012.

See also, November 29, 2012 red line markup of HR 2471 and story titled "Senate Judiciary Committee Approves Leahy Bill to Require Warrant for Accessing Cloud Stored E-Mail" in TLJ Daily E-Mail Alert No. 2,479, November 30, 2012.

He also addressed cyber security. "We should recognize that while technology has brought tremendous improvements to our quality of life, these advances have also brought about significant vulnerability. Cyberattacks are a direct threat to our economic prosperity, privacy, and way of life. The Judiciary Committee will make it a priority to enhance our nation's vulnerable systems to protect our networks and computers and ensure our national security and economic well-being."

DC Circuit Upholds FCC Pole Attachment Rules

2/26. The U.S. Court of Appeals (DCCir) issued its opinion [19 pages in PDF] in American Electric Power Service v. FCC, denying a petition for review of the Federal Communications Commission's (FCC) April 7, 2011 Report and Order and Order on Reconsideration [144 pages in PDF] that contains rules changes regarding pole attachments.

47 U.S.C. § 224, which was enacted in 1978 by the Pole Attachment Act, and amended by the Telecommunications Act of 1996, addresses "any attachment by a cable television system or provider of telecommunications service to a pole, duct, conduit, or right-of-way owned or controlled by a utility".

This statute also provides that the FCC "shall regulate the rates, terms, and conditions for pole attachments to provide that such rates, terms, and conditions are just and reasonable, and shall adopt procedures necessary and appropriate to hear and resolve complaints concerning such rates, terms, and conditions".

That is, electric utilities and incumbent local exchange carriers (ILECs) tend to own the only set of poles in any given location, and therefore have the means to charge monopoly prices to cable companies and others. Hence, the Congress gave the FCC price regulation authority.

In 2011 the FCC amended its pole attachment rules in a lengthy report and order (R&O) that includes a reinterpretation of Section 224.

The Court of Appeals summarized the changes. First, R&O "for the first time allows incumbent local exchange carriers ... to share the benefits of some of § 224's provisions". (For example, they can file pole attachment complaints.) Second, the Court wrote that the R&O "reformulates the ceiling on the rate that pole-owning utilities can charge ``telecommunications carriers´´ seeking to make pole attachments". And third, the R&O "moves back the date as of which compensatory damages start to accrue in favor of parties filing successful complaints against utilities.

The Court added that "because § 224(a)(5) excludes ILECs from the definition of ``telecommunications carriers,´´ the newly reformulated rates do not directly affect the rates chargeable to ILECs."

Electric utility companies brought the present petition for review of the R&O, challenging all three changes.

The Court of Appeals, applying the standards of review established by the Supreme Court in Chevron v. Natural Resources Development Council, 467 U.S. 837, and FCC v. Fox Television Stations, 556 U.S. 502, rejected the petition in full.

The Court, quoting from FCC v. Fox, wrote that an agency can change its interpretation of a statute, provided that it "display awareness that it is changing position". Moreover, "it need not demonstrate to a court’s satisfaction that the reasons for the new policy are better than the reasons for the old one; it suffices that the new policy is permissible under the statute, that there are good reasons for it, and that the agency believes it to be better.".

The Court therefore upheld the FCC's new interpretation that ILECs are "providers of telecommunications services" for purposes of § 224(a)(4).

The Court also held that "Because the Commission’s methodology is consistent with the unspecified cost terms contained in § 224(e), and the Commission’s justifications are reasonable, the revision warrants judicial deference."

Michael Powell, head of the National Cable & Telecommunications Association (NCTA), stated in a release that "The court’s decision to affirm the FCC’s pole attachment order is a win for American consumers. By reducing the cost of attaching equipment and wires to utility poles, the changes adopted by the Commission in 2011 will help promote the deployment of broadband and telecommunications networks by cable operators and other providers."

Walter McCormick, head of the US Telecom, stated in a release that this opinion "is a win for competition, a win for consumers, and a win for broadband deployment.  Assuring  that incumbent local exchange carriers have access to the federal statutory protections of just and reasonable pole attachment rates was a key objective of Chairman Genachowski’s Broadband Acceleration Initiative, and today’s action by the D.C. Court of Appeals provides the certainty and predictability that is so important to investment. We applaud both the FCC, and the Court, on a wise decision that advances the public interest."

The FCC's Report and Order is FCC 11-50 in WC Docket No. 07-245 and GN Docket No. 09-51. See also, FCC brief.

This case is American Electric Power Service Corporation, et al. v. FCC and USA, U.S. Court of Appeals for the District of Columbia, App. Ct. No. 11-1146. a petition for review of a final order of the FCC. Judge Williams wrote the opinion of the Court of Appeals, in which Judge Sentelle and Tatel joined.

People and Appointments

2/27. The Senate confirmed Jack Lew to be Secretary of the Treasury by a vote of 71-26. See, Roll Call No. 25.

2/26. The Senate confirmed Charles Hagel to be Secretary of Defense by a vote of 58-41. See, Roll Call No. 24. All of the no votes were cast by Republicans.

2/26. President Obama announced his intent to nominate Stephen Mayo (California Institute of Technology) to be a member of the National Science Foundation's (NSF) National Science Board (NSB).  See, White House news office release.

2/26. President Obama announced his intent to nominate Bruce Ramer and Janette Dates to be members of the Board of Directors of the Corporation for Public Broadcasting. See, White House news office release and release.

More News

2/26. Attorney General Eric Holder gave a speech on February 26 at a meeting of the National Association of Attorneys General (NAAG) in Washington DC in which he mentioned "cracking down on intellectual property crimes". (Emphasis added.) Tony West, the acting Associate Attorney General, gave a speech at the same event on February 25 in which he mentioned that "high-tech crime" remains with us. Holder also said that if "sequester" were to go into effect, "Our capacity -- to respond to crimes, investigate wrongdoing, and hold criminals accountable -- will be reduced".

2/26. Ben Bernanke, Chairman of the Federal Reserve Board (FRB), testified before the Senate Banking Committee (SBC) on the state of the economy. He said that gross domestic product (GNP) was "essentially flat in the fourth quarter" of 2012, but that this "does not appear to reflect a stalling-out of the recovery. Rather, economic activity was temporarily restrained by weather-related disruptions and by transitory declines in a few volatile categories of spending, even as demand by U.S. households and businesses continued to expand". See, prepared testimony. The FRB also released its semi-annual Monetary Policy Report [66 pages in PDF]. It lacks detail on technology related sectors of the US economy.

2/25. The U.S. Patent and Trademark Office (USPTO) and National Institute of Standards and Technology's (NIST) Manufacturing Extension Partnership (MEP) released an "updated beta version" of their web site named "IP Awareness Assessment Tool". See also, USPTO release.

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In This Issue
This issue contains the following items:
 • Rep. Goodlatte Outlines Agenda for House Judiciary Committee
 • DC Circuit Upholds FCC Pole Attachment Rules
 • People and Appointments
 • More News
Washington Tech Calendar
New items are highlighted in red.
Thursday, February 28

The House will meet at 9:00 AM for legislative business. It will consider S 47 [LOC | WW], the "Violence Against Women Reauthorization Act of 2013". See, Rep. Cantor's schedule.

The Senate will meet at 10:00 AM.

CANCELLED. 9:00 AM - 1:00 PM. The Institute for Policy Innovation (IPI) will host an event titled "5th Annual Communications Summit". Free. Open to the public. Lunch will be served. See, notice and registration page. Location: Reserve Officers Association, 5th Floor, One Constitution Ave., NE.

9:00 AM. The House Judiciary Committee's (HJC) Subcommittee on Regulatory Reform, Commercial and Antitrust Law will hold a hearing titled "The Obama Administration's Regulatory War on Jobs, the Economy, and America's Global Competitiveness". The witnesses will be __. See, notice. Location: Room 2141, Rayburn Building.

9:00 AM - 2:00 PM. Day two of a two day meeting of the Department of Homeland Security's (DHS) Homeland Security Information Network Advisory Committee (HSINAC). See, notice in the Federal Register Vol. 78, No. 23, February 4, 2013, at Pages 7797-7798. Location: Ronald Reagan International Trade Center, 1300 Pennsylvania Ave., NW.

10:00 AM. The House Small Business Committee (HSBC) will hold a hearing titled "Small Business Trade Agenda: Opportunities in the 113th Congress". The witnesses will be Daniel Ogden (testifying on behalf of the National District Export Council), Jennifer Fulton (on behalf of the the U.S. Chamber of Commerce), and Raymond Arth (on behalf of the National Small Business Association and Small Business Exporters Association). See, notice. Location: Room 2360, Rayburn Building.

10:00 AM. The Senate Judiciary Committee (SJC) will hold an executive business meeting. The agenda includes consideration several gun bills, the nomination of David Medine to be Chairman of the Privacy and Civil Liberties Oversight Board, and numerous judicial nominees: William Orrick (USDC/NDCal), Nelson Roman (USDC/SDNY), Shelly Dick (USDC/MDLa), Sheri Chappell (USDC/MDFl), Kenneth Gonzales (USDC/DNMex), Michael McShane (USDC/DOre), Nitza Alejandro (USDC/EDPenn), Luis Restrepo (USDC/EDPenn), and Jeffrey Schmehl (USDC/EDPenn). See, notice. Webcast. Location: Room 226, Dirksen Building.

12:00 NOON - 1:45 PM. The Computer & Communications Industry Assocation (CCIA) will host an event titled "How Patent Trolls Are Harming Innovation". The speakers will include Sen. Mike Lee (R-UT), and possibly Rep. Bob Goodlatte (R-VA) and Rep. Peter DeFazio (D-OR). The other speakers will be Julie Samuels (EFF Mark Cuban Chair to Eliminate Stupid Patents), Alan Schoenbaum (Rackspace), Tim Sparapani (Application Developers Alliance), Edward Goodmann (Engine Advocacy), Seth Brown (LivingSocial), Erik Lieberman (Food Marketing Institute), and Joshua Lamel (CCIA). See, notice. Location: Room 366, Dirksen Building.

12:00 NOON - 1:30 PM. The National Economists Club (NEC) will host a lunch. The speaker will be Michel Lind (New America Foundation), author of the book titled "In Land of Promise: An Economic History of the United States". Price: $16-$25. No webcast. See, notice. Location: Chinatown Garden Restaurant, 618 H St., NW.

1:00 PM. The US Telecom will host a webcast seminar titled "Ultra-High Definition Alert". The speaker will be Greg DePriest (Rhinestone Technology). See, notice. Free. Open to the public.

2:30 PM. The Senate Intelligence Committee (SIC) will hold a closed hearing on undisclosed topics. See, notice. Location: Room 219, Hart Building.

6:00 - 8:00 PM. The New America Foundation (NAF) will host a discussion of the book [368 pages, Amazon] titled "Captive Audience: The Telecom Industry and Monopoly Power in the New Gilded Age". The speakers will be the author, Susan Crawford (Cardozo law school), and Sacha Meinrath (NAF). See, notice. Location: NAF, Suite 400, 1899 L St., NW.

6:00 - 8:15 PM. The Federal Communications Bar Association's (FCBA) Video Programming and Distribution Committee will host an event titled "The 1992 Cable Act: 20 Years Later". The speakers will include Toni Bush (Skadden Arps), Paul Glist (Davis Wright Tremaine), Seth Davidson (Edwards Wildman Palmer), Jim Casserly (Willkie Farr & Gallagher), Howard Symons (Mintz Levin), Diane Burstein (NCTA), and Loretta Polk (NCTA). No webcast. CLE credits. Prices vary. See, notice. Reservations and cancellations are due by 12:00 NOON on February 27. Location: Wiley Rein, 1776 K St., NW.

5:00 PM. Deadline to submit 2012 DART Royalty Claims Forms to the Copyright Royalty Board (CRB). See, online claims form.

Friday, March 1

Rep. Cantor's schedule states that "no votes are expected" in the House.

Supreme Court conference day. See, Supreme Court calendar.

12:00 NOON - 2:00 PM. The Technology Policy Institute (TPI) will host a panel discussion titled "The Spectrum Crunch: Causes and Solutions". The speakers will be Coleman Bazelon (Brattle Group), William Lehr (MIT), Gregory Rosston (Stanford Institute for Economic Policy Research), Scott Wallsten (TPI), Lawrence White (New York University business school), and Thomas Lenard (TPI). Free. Open to the public. Lunch will be served. No CLE credits. See, notice. Location: Room B-338, Rayburn Building, Capitol Hill.

Deadline to submit comments to the Department of Justice's (DOJ) Antitrust Division regarding its proposed settlement with Penguin in its Sherman Act action against Apple and five e-book publishers. See, stories titled "DOJ Settles With Penguin in E-Books Antitrust Action" in TLJ Daily E-Mail Alert No. 2,494, December 19, 2012, and "DOJ Publishes Second Tunney Act Notice in Apple E-Books Antitrust Case" in TLJ Daily E-Mail Alert No. 2,500, December 31, 2012. See also, Tunney Act notice in the Federal Register, Vol. 77, No. 250, December 31, 2012, at Pages 77094-77111.

5:00 PM. Deadline to submit certification letters to the Department of Commerce's (DOC) National Institute of Standards and Technology (NIST) regarding participation in the "National Cybersecurity Center of Excellence Secure Exchange of Electronic Health Information Demonstration Project". See, notice in the Federal Register, Vol. 78, No. 10, January 15, 2013, at Pages 2953-2954.

Extended deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Fifth Notice of Proposed Rulemaking [24 pages in PDF] related to its outdated media ownership regulatory regime, and its commercial broadcast ownership reporting requirements and FCC Form No. 323. The FCC adopted this NPRM on October 15, 2009. The FCC again seeks comments. This NPRM is FCC 09-92 in MB Docket Nos. 07-294, 06-121, 02-277, and 04-228, and MM Docket Nos. 01-235, 01-317, 00-244. See, notice in the Federal Register, Vol. 78, No. 10, January 15, 2013, at Pages 2925-2934. See also, January 15 Public Notice [2 pages in PDF], DA 13-56.

Deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Sixth Further Notice of Proposed Rulemaking [27 pages in PDF] related to its outdated media ownership regulatory regime. This NPRM seeks comments on proposals to increase FCC data collection burdens. The FCC adopted this item on December 21, 2012, and released the text on January 3, 2013. It is FCC 12-166 in MB Docket No. 07-294. See, notice in the Federal Register, Vol. 78, No. 10, January 15, 2013, at Pages 2925-2934. See also, January 15 Public Notice [2 pages in PDF], DA 13-56.

Deadline to submit initial comments to the Federal Communications Commission (FCC) in response to its Third Further Notice of Proposed Rule Making (3rdFNPRM) regarding 121.5 MHz emergency locator transmitters (ELTs). This item is FCC 13-2 in WT Docket No. 01-289. The FCC adopted this item on January 7, 2013, and released the text on January 8. See, notice in the Federal Register, Vol. 78, No. 20, January 30, 2013, at Pages 6276-6278.

Monday, March 4

EXTENDED FROM FEBRUARY 4. 5:00 PM. Extended deadline to submit reply comments to the Copyright Office (CO) in response to its notice of inquiry (NOI) titled "Orphan Works and Mass Digitization". See, notice in the Federal Register, Vol. 77, No. 204, October 22, 2012, at Pages 64555-64561. See also, story titled "Copyright Office Issues Notice of Inquiry on Orphan Works" in TLJ Daily E-Mail Alert No. 2,468, November 2, 2012. See, extension notice in the Federal Register, Vol. 77, No. 231, November 30, 2012 at Page 71452.

Deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Public Notice [22 pages in PDF] that proposes new rules for the FCC's universal service tax and subsidy program. This PN seeks comments on procedures to determine what areas are eligible for Connect America Phase II funding and how carriers may elect to accept or decline a statewide commitment in Connect America Phase II. The FCC released this PN on December 27, 2012. It is DA 12-2075 in WC Docket No. 10-90. See, notice in the Federal Register, Vol. 78, No. 13, January 18, 2013, at Pages 4100-4107.

Deadline to submit comments to the National Institute of Standards and Technology's (NIST) Computer Security Division (CSD) regarding its draft SP 800-63 -2 [123 pages in PDF], titled "Electronic Authentication Guideline", released on February 1, 2013.

Tuesday, March 5

10:00 AM. The House Judiciary Committee's (HJC) Subcommittee on Immigration and Border Security will hold a hearing titled "Hearing on Enhancing American Competitiveness through Skilled Immigration". The witnesses will be __. See, notice. Location: Room 2141, Rayburn Building.

10:00 AM. The House Oversight and Government Reform Committee (HOGRC) will hold a hearing titled "Time to Reform Information Technology Acquisition: The Federal IT Acquisition Reform Act". Location: Room 2154, Rayburn Building.

10:00 AM. The House Appropriations Committee's (HAC) Subcommittee on Commerce, Justice, Science, and Related Agencies will hold a hearing on the budget for the Department of Commerce (DOC). See, notice. Location: Room H-309, Capitol Building.

10:00 AM. The House Appropriations Committee's (HAC) Subcommittee on Energy and Water Development, and Related Agencies will hold a hearing on the Department of Energy's (DOE) science budget. See, notice. Location: Room 2362-B, Rayburn Building.

11:30 AM. The House Judiciary Committee's (HJC) Subcommittee on Regulatory Reform, Commercial and Antitrust Law will hold a hearing on HR 367 [LOC | WW], the "Regulations From the Executive in Need of Scrutiny Act of 2013" or "REINS Act". The witnesses will be __. See, notice. Location: Room 2141, Rayburn Building.

12:00 NOON - 2:15 PM. The American Enterprise Institute (AEI) will host an event titled "Taking the long view: Strategies for peacetime competition with China". The keynote speaker will be Rep. Randy Forbes (R-VA). The other speakers will be Dan Blumenthal (AEI), Jim Thomas (Center for Strategic and Budgetary Assessments), Toshi Yoshihara (US Naval War College), and Thomas Mahnken (US Naval War College). Webcast. Free. See, notice. Location: AEI, 12th floor, 1150 17th St., NW.

2:00 PM. The House Judiciary Committee's (HJC) Subcommittee on on the Constitution and Civil Justice will hold a hearing titled "Excessive Litigation's Impact on America's Global Competitiveness". The witnesses will be __. See, notice. Location: Room 2141, Rayburn Building.

2:30 PM. The Senate Intelligence Committee (SIC) will hold a closed hearing on undisclosed topics. See, notice. Location: Room 219, Hart Building.

Wednesday, March 6

TIME?. The Federal Communications Commission's (FCC) Communications Security, Reliability, and Interoperability Council (CSRIC) will meet. Location: FCC, Commission Meeting Room, Room TW-C305, 445 12th St., SW.

9:30 AM. The Senate Judiciary Committee (SJC) will hold a hearing titled "Oversight of the Department of Justice". The witness will be Attorney General Eric Holder. Webcast. See, notice. Location: Room 226, Dirksen Building.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in eBay v. Kelora Systems, App. Ct. No. 2012-1474, an appeal from the U.S. District Court (NDCal) in a patent case. Location: Courtroom 201.

10:30 AM. The House Homeland Security Committee (HHSC) will hold a hearing titled "DHS Cybersecurity: Roles and Responsibilities to Protect the Nation's Critical Infrastructure". See, notice. Location: Room 311, Cannon Building.

11:00 AM. The House Appropriations Committee's (HAC) Subcommittee on Commerce, Justice, Science, and Related Agencies will hold a hearing on the budget for the National Science Foundation (NSF). See, notice. Location: Room H-309, Capitol Building.

3:00 PM. The Copyright Office (CO) will host a presentation by David Nimmer titled "50th Anniversary of Nimmer on Copyright". See, notice. Location: Coolidge Auditorium, Jefferson Building, 101 Independence Ave., SE.

Thursday, March 7

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Apple v. ITC, App. Ct. No. 2012-1338, an appeal from the U.S. International Trade Commission in a Section 337 proceeding involving whether Motorola Mobility mobile devices and software infringe Apple patents. The proceeding is USITC No. 337-TA-750. Location: Courtroom 203.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in TecSec v. IBM, App. Ct. No. 2012-1415, an appeal from the U.S. District Court (EDVa) in a patent infringement case involving encryption technology. Location: Courtroom 203.

2:30 PM. The Senate Intelligence Committee (SIC) will hold a closed hearing on undisclosed topics. See, notice. Location: Room 219, Hart Building.