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Federal Document Clearing House Congressional Testimony

May 10, 2000, Wednesday

SECTION: CAPITOL HILL HEARING TESTIMONY

LENGTH: 1507 words

HEADLINE: TESTIMONY May 10, 2000 W.J. BILLY TAUZIN REPRESENTATIVE HOUSE COMMERCE telecommunications, trade and consumer protection FCC REGULATIONS MARKUP

BODY:
Statement of Congressman W.J. "Billy" Tauzin Chairman, Subcommittee on Telecommunications, Trade, and Consumer Protection Mark-up of H.R. 3489, the "Wireless Telecommunications Sourcing and Privacy Act" and H.R. 4201, the "Noncommercial Broadcasting Freedom of Expression Act of 2000 5/10/99 The Subcommittee will come to order. The Chair will recognize himself for an opening statement. In the Full Committee, we just marked-up a bill dealing with the issue of Internet Taxation. Our subcommittee now meets to mark- up H.R. 3489-- a measure affecting the taxation of another popular communications medium: Wireless telecommunications. We also meet today to mark-up H.R. 4201 -- a bill introduced by Messrs. Pickering, Oxley, Stearns, Largent and Myself to make sure that, once and for all, the FCC cannot target and discriminate against religious messages broadcast over the noncommercial airwaves. H.R. 3489 is a strong bill that enjoys clear bipartisan support on this Committee and that makes sense for consumers, state and local taxing municipalities, and cellular providers. The mobility of wireless telecommunications has always made the determination of which state and local taxes apply to any particular wireless call a complicated and expensive task. The problem is that there are many methodologies - originating cell site, billing address, switch location, and others- which give rise to multiple claims on the same tax revenue, double taxation, and other administrative problems. Because these existing methodologies all have their shortcomings, many states and localities have developed a new methodology together with industry - assigning all state and local telecommunications taxes imposed on consumers to one location: THE CUSTOMER'S PLACE OF PRIMARY USE. H.R. 3489 seeks to codify this method as the only method, and as a result, provides a uniform method for fairly and simply determining how state and local jurisdictions tax wireless communications. H.R. 3489 will provide consumers with simpler billing ... and God knows they need that. It preserves state and local authority to tax wireless services, and it reduces the chances for double taxation from competing jurisdictions. The bill does NOT, on the other hand, impose any new taxes, reduce tax obligations for the wireless industry, or mandate any expenditure of state or local funding. H.R. 3489 is a good bill, and I urge its support. H.R. 4201 is also a good bill because it seeks to stop the FCC from ever discriminating against religious broadcasters again. Earlier this year, the FCC sought to quantify the service obligations of noncommercial television licensees by requiring that "more than half of the hours of programming aired on a reserved channel must serve an educational, instructional, or cultural purpose in the station's community of license." The Commission further determined that while programming which "teaches about religion" would count toward the new benchmark, programming "devoted to religious exhortation, proselytizing, or statements of personally-held religious views and beliefs" would not qualify. In drawing substantive distinctions between varying religious messages, the FCC clearly attempted to impose content-based programming requirements on noncommercial, religious television broadcasters without considering the implications such requirements had on Broadcaster rights under the First Amendment and the Religious Freedom Restoration Act. Well, in the wake of these actions, the FCC was inundated with stern opposition to the "additional guidance" portion of its WQED Pittsburgh Memorandum Opinion and Order. This opposition came from noncommercial licensees, listeners and viewers, religious groups, and from the Hill, in waves. Fortunately, in response to our collective public outcry over its actions, the FCC wisely decided to vacate the additional guidance portion of its Order by a vote of 4 to 1. For that, I do commend the Commission; however, I feel that there is still some cause for concern here. Despite the 4 to I reversal of its Order, it is clear that some Commissioners still contend that the "additional guidance" portion of the Order represents sound policy that offends neither the first Amendment, the Religious Freedom Restoration Act, nor traditional American values. Commissioner Tristani even asserted at our hearing that she, "for one will continue to cast (her) vote in accordance with the views expressed in the additional guidance. . . This gives me the eerie feeling that if we in Congress don't legislate in this area as soon as possible, then the FCC will once again attempt to impose onerous and unreasonable eligibility standards upon those entities seeking to receive and maintain noncommercial educational broadcast licenses- and once again, I fear that these standards will have the net effect of directly discriminating against religious content. I know that many of my colleagues here have similar fears, and consequently, we are moving forward today with H.R. 4201. In just a moment, I will be introducing an amendment in the nature of a substitute that makes a few changes to H.R. 4201. These changes are directed at addressing some of the concerns that were revealed at our hearing last month.

LOAD-DATE: May 15, 2000, Monday




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