Friday, September 11, 1998

08:32:41 AM

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Commissioners/Committee Devote Hours to E-rate

In a re-authorization hearing held yesterday before the Commerce committee, the five FCC commissioners listened for nearly two hours as the senators on the committee held forth. Nearly all of the senators on the committee read statements. Senator John McCain began with a scathing statement in favor of scuttling the wiring program. Most of the proceedings can be viewed on CSPAN's web site at this location if you have the Real Player.

When FCC Chief William Kennard finally got a chance to speak, he calmly explained that the agency did understand that the program had flaws, but that the FCC would correct them and properly administrate the program. During the speech, he spoke of several items that needed to be "taken off the table", such as the School and Libraries Fund management salary, saying that it was too much and would be reduced. In addition, Kennard said that they would look at extending the period of spending to 18 months versus the original 12.

The agency is expected to make a decision on the program by Friday, though it was unclear where each of the five truly stands on the plan. All five gave speeches and all acknowledged changes would be needed to the process. The Senate Committee Chairman, Conrad Burns may hold the key to resolution with a plan to divert an antiquated Universal Service excise tax to the schools and libraries program. But, Kennard stated that although such a plan is welcome, they did not want to put the program on hold while the plan is considered. The tax generated nearly 4.5Billion in 1997.

Items submitted by:
Kenneth S. Bell - Email
NOLA Regional Library System

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