[Congressional Record (Bound Edition), Volume 145 (1999), Part 3]
[Senate]
[Page 3197]
[From the U.S. Government Publishing Office, www.gpo.gov]




                     TELECOMMUNICATIONS ACT OF 1996

 Mr. BROWNBACK. Mr. President, three years ago this month, 
Congress and the President hailed the enactment of the 
Telecommunications Act of 1996. This piece of legislation was intended 
to increase competition, expand consumer choice, foster new 
technologies and create new jobs. The Act contemplated the achievement 
of these goals through reliance on the marketplace rather than on a 
sluggish and burdensome regulatory mandate.
  The implementation of the Act by the Federal Communications 
Commission has sailed way off course. Congress provided the universal 
service program as a means of ensuring that residents of rural and 
high-cost areas receive the same high quality services and the same 
affordable rates as their urban counterparts. Yet universal service, 
one of the most important topics addressed in the Act, remains 
virtually unchanged by the FCC after three years despite the 
Commission's statutory responsibility to finish universal service 
reform in a ``single proceeding'' and within 15 months of passage of 
the Act. The FCC did complete a small part of the universal service 
mandate, the program bringing advanced services to schools and 
libraries. However, the Commission continues to ignore the most 
significant aspect of universal service reform, ``the preservation and 
advancement of universal service'' and high-cost areas. The Act 
commands that the Commission make the support mechanisms explicit and 
predictable. The Commission's failure to do so threatens the 
affordability of rural residential rates.
  The uncertainty created by the FCC's failure to implement universal 
service is perpetuating the absence of local competition, especially in 
rural areas. As a consequence, local residential competition will 
remain at the current inadequate levels until the FCC addresses 
universal service. Congress intended that carriers providing service to 
residents of rural and high-cost areas would receive support for the 
``provision, maintenance, and upgrading of facilities and services'' 
which would otherwise be absent in these areas. Accordingly, the 
Commission must make the now implicit subsidies explicit and sufficient 
in order to fulfill Congress' mandate.
  Congress is still looking for more competition and more choice in all 
communications services, especially for rural residents. Let's allow 
the marketplace to work, which will give consumers in rural areas some 
real choices at affordable rates.
  Mr. President, this year Congress will consider reauthorization of 
the FCC. I am extremely disappointed with the Commission's track record 
on implementation of the Act. As we contemplate legislation to change 
the FCC, its actions over the next several months will determine the 
outcome of our deliberations. I hope that the FCC will complete the 
universal service proceeding by July 1, and act in a manner consistent 
with the Act. I will not accept a universal service proceeding that 
puts upward pressure on rural rates, and I will hold the FCC 
accountable it fails to comply with the Act.
  Mr. President, three years ago this month, Congress and the President 
hailed the enactment of the Telecommunications Act of 1996. This piece 
of legislation was intended to increase competition, expand consumer 
choice, foster new technologies and create new jobs. The Act 
contemplated the achievement of these goals through reliance on the 
marketplace rather than on a sluggish and burdensome regulatory 
mandate.
  The implementation of the Act by the Federal Communications 
Commission has sailed way off course. Congress provided the universal 
service program as a means of ensuring that residents of rural and 
high-cost areas receive the same high quality services and the same 
affordable rates as their urban counterparts. Yet universal service, 
one of the most important topics addressed in the Act, remains 
virtually unchanged by the FCC after three years despite the 
Commission's statutory responsibility to finish universal service 
reform in a ``single proceeding'' and within 15 months of passage of 
the Act. The FCC did complete a small part of the universal service 
mandate, the program bringing advanced services to schools and 
libraries. However, the Commission continues to ignore the most 
significant aspect of universal service reform, ``the preservation and 
advancement of universal service'' and high-cost areas. The Act 
commands that the Commission make the support mechanisms explicit and 
predictable. The Commission's failure to do so threatens the 
affordability of rural residential rates.
  The uncertainty created by the FCC's failure to implement universal 
service is perpetuating the absence of local competition, especially in 
rural areas. As a consequence, local residential competition will 
remain at the current inadequate levels until the FCC addresses 
universal service. Congress intended that carriers providing service to 
residents of rural and high-cost areas would receive support for the 
``provision, maintenance, and upgrading of facilities and services'' 
which would otherwise be absent in these areas. Accordingly, the 
Commission must make the now implicit subsidies explicit and sufficient 
in order to fulfill Congress' mandate.
  Congress is still looking for more competition and more choice in all 
communications services, especially for rural residents. Let's allow 
the marketplace to work, which will give consumers in rural areas some 
real choices at affordable rates.
  Mr. President, this year Congress will consider reauthorization of 
the FCC. I am extremely disappointed with the Commission's track record 
on implementation of the Act. As we contemplate legislation to change 
the FCC, its actions over the next several months will determine the 
outcome of our deliberations. I hope that the FCC will complete the 
universal service proceeding by July 1, and act in a manner consistent 
with the Act. I will not accept a universal service proceeding that 
puts upward pressure on rural rates, and I will hold the FCC 
accountable if it fails to comply with the Act.

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