[Congressional Record Volume 140, Number 86 (Thursday, June 30, 1994)]
[Extensions of Remarks]
[Page E]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: June 30, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
            ANTITRUST AND COMMUNICATIONS REFORM ACT OF 1994

                                 ______


                               speech of

                         HON. WILLIAM J. HUGHES

                             of new jersey

                    in the house of representatives

                         Tuesday, June 28, 1994

  Mr. HUGHES. Mr. Speaker, I rise in support of H.R. 3626, the 
Antitrust and Communications Reform Act of 1994. I would like to 
commend my colleagues, Chairman Brooks, Chairman Dingell, and Chairman 
Markey for the excellent work they have done to facilitate this measure 
being brought to the floor today for a vote.
  As our country faces the challenges of maintaining its place as a 
predominant player in the development of the information superhighway, 
it is imperative that we establish a fair and competitive environment 
in which American companies may thrive. The passage of H.R. 3626 is a 
fundamental step which we must take in order to establish such an 
environment.
  H.R. 3626 sets forth a clear process for lifting the current 
restrictions placed on the Bell operating companies so they may play a 
greater role in creating and competing in our developing information-
rich society. Notwithstanding the increased entry into new areas of the 
telecommunications industry provided for in H.R. 3626, it is important 
to note that this measure ensures that the safeguards established in 
our current antitrust law remain strong. This careful balance of 
increased access to the telecommunications market coupled with strong 
safeguards against anticompetitive behavior will facilitate a fair and 
open competitive market and, in turn, foster growth in the job market 
as well as in the telecommunications market as a whole.
  One of the most significant aspects of H.R. 3626 is the 
administrative structure which it establishes. This structure, which 
replaces the 1982 modified final judgment [MFJ] consent decree 
agreement between the Department of Justice and AT&T, establishes an 
appropriate framework under which the seven regional Bell operating 
companies and their affiliates will be permitted to provide services 
which they are currently barred from providing pursuant to the MFJ.
  Essentially, this structure sets forth a well-balanced process by 
which the appropriate Federal agencies and State regulatory bodies may 
review a Bell company's request to enter into other lines of business. 
Specifically, the measure establishes a specific time frame within 
which a Bell company may provide long-distance services, information 
services, and manufacture telecommunications equipment.
  Pursuant to H.R. 3626, both the Department of Justice [DOJ] and the 
Federal Communications Commission [FCC] will be involved in the review 
process for determining how and when the Bell companies may enter new 
areas of the telecommunication industry. The DOJ and the FCC will also 
carefully review when the Bell companies are authorized to enter into 
the intrastate long distance market.
  Another important provision in this measure is the recognition of 
those consumers who are disabled. That is, this measure establishes 
requirements that new equipment and services must be fully accessible 
and usable by those persons who may have special needs. Moreover, the 
bill incorporates consumer privacy protections which will prohibit Bell 
operating companies from using unsolicited information about their own 
telephone subscribers to market potential customers for other services 
provided by the company or its affiliates.
  Moreover, I am very pleased that this measure specifically addresses 
the concerns of both the alarm monitoring and electronic publishing 
markets. H.R. 3626 provides that the regional Bell companies and their 
operating affiliates may file--beginning 5\1/2\ years after enactment 
of this measure--applications to the Federal Government to enter into 
the alarm monitoring market.
  Likewise, this measure allows the Bell companies to enter into the 
electronic publishing business, while adhering to important safeguards 
protecting against the development of any unfair competitive advantage 
in providing these services. That is, Bell companies would be permitted 
to provide electronic publishing services over its own telephone lines 
only if such services are provided through a separate affiliate or a 
joint venture with an electronic publisher.
  I urge my colleagues to support H.R. 3626. It is a comprehensive, 
well-balanced bill which will encourage the growth of fair competition 
in the telecommunications marketplace, while ensuring that America 
maintains her rightful position as a leader in the rapidly developing 
information superhighway.

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