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Civil Liberties
Senate Judiciary Postpones Action On Spying Bill
by Chris Strohm
The Senate Judiciary Committee on Thursday postponed consideration of a bill that would limit the Bush administration's spying powers after Republicans said they did not have enough time to review the legislation.
The panel was scheduled to consider the first section of a bill approved last month by the Senate Intelligence Committee to overhaul the Foreign Intelligence Surveillance Act. But Judiciary Chairman Patrick Leahy, D-Vt., introduced substitute language less than 24 hours before the debate, prompting Republicans to request a postponement.
Leahy said the committee will meet next Thursday to vote on the legislation, including whether protections should be granted to telecommunications companies that gave the administration telephone and e-mail records of U.S. residents without warrants from the secret FISA court.
"If by having a week we get further, then I'm fine with that," Leahy told reporters, adding that 26 amendments had been filed.
Tension between senators was evident on the question of whether telecom companies should be protected. About 40 lawsuits have been filed against companies that participated in the administration's warrantless spying program. The Intelligence Committee bill includes retroactive legal liability for those companies. Leahy has said he does not support granting such immunity, while other senators are grappling with the issue.
Judiciary ranking Republican Arlen Specter of Pennsylvania said he wants Congress to approve legislation that would substitute the government for the companies as the defendant in the lawsuits. Orrin Hatch, R-Utah, said he would fight any effort to substitute the government, adding that the companies should have immunity.
Dianne Feinstein, D-Calif., said the companies deserve some protection. Also a member of the Intelligence Committee, Feinstein voted to give the companies retroactive legal immunity.
Sheldon Whitehouse, D-R.I., voted to support immunity during the Intelligence Committee's markup of the bill -- an indication that Leahy does not have the votes to prevent some kind of protection. Leahy said he wants to work toward an agreement over the next week.
Leahy's substitute mirrors much of the Senate Intelligence bill. Neither would require the administration to get a warrant to conduct surveillance of a foreign suspect who might have communications with a U.S. resident. Instead, the attorney general and director of national intelligence could authorize the surveillance.
The FISA court would have to approve the procedures for conducting surveillance and minimizing information about U.S. residents. As with the Intelligence bill, the administration also would need FISA court approval to conduct surveillance on a U.S. resident abroad.
Leahy's substitute, however, would impose more restrictions on how information on U.S. residents can be used. The substitute also would clarify that the administration cannot circumvent FISA, and it would leave unchanged the definition of electronic surveillance.
The substitute would not, however, require the Justice Department's inspector general to investigate what occurred under the administration's warrantless spying program, a provision included in the House bill. Leahy said he hopes the provision will be added.
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Trade
House Passes Peru Agreement To Pleasure Of Techies
by Heather Greenfield
Backing a key technology industry trade priority, the House on Thursday passed on a 285-132 vote legislation that would implement a free-trade agreement with Peru.
The pact is considered unprecedented because the Bush administration allowed changes to mitigate lawmakers' concerns about labor and environmental issues.
The deal is important to the tech industry, which is the United States' largest export sector. In 2006, the tech sector exported $220 billion in goods, which was 21 percent of all exports.
According to the tech group AeA, U.S. consumer electronics exports to Peru increased 12 percent from 2000 to 2006. Now the industry is anticipating more growth when the Peru trade agreement passes Congress. The Senate is expected to vote on the trade agreement by the end of the year.
"How big is the Peruvian or Panamanian market? The answer is we don't know," said Sage Chandler, who handles trade issues for the Consumer Electronics Association. "Without those markets opening, we don't know what the potential market will be."
The tech industry is celebrating the House vote on the bill, H.R. 3688, but sees it as a first step for other trade deals with Colombia, Panama and ultimately South Korea, which promises the biggest market for the tech sector. AeA released a study this summer that found that from 2000 to 2006, the United States increased its consumer electronics exports to Colombia by 35 percent and by 44 percent to Panama.
"Peru is the first of several [deals] that reflect some very hard negotiation by the United States so tech companies can win the fight for global access" to markets, said Mark Bohannon, general counsel for the Software Information Industry Association.
"We feel it's a huge boost not just for our industry but for momentum for the other [pending] trade deals," Chandler said.
But critics in Congress point to job losses in their districts following passage of the North American Free Trade Agreement with Canada and Mexico. They said new trade deals may cause more U.S. manufacturing plants to close.
"My fight against the Peru FTA is a personal one," Rep. Phil Hare, D-Ill., said on the House floor late Wednesday. "Districts like mine represent the very worst of unfair trade -- jobs lost, economies devastated and lives shattered. In 2004, the Galesburg Maytag refrigeration plant relocated to Sonora, Mexico, leaving behind 1,600 unemployed workers -- all innocent victims of bad trade policies."
Rep. Marcy Kaptur, D-Ohio, a longtime critic of trade deals like the Peruvian pact, also decried the perceived effect of past agreements on U.S. workers and the economy.
"If these agreements were working, America wouldn't have an $800 billion trade deficit, with 20,000 jobs lost for every billion dollars of that deficit," she said. "What an unprecedented wipeout of jobs and productive wealth in this country."
Josh Ackil, a lobbyist for the Information Technology Industry Council, said the challenge for tech lobbyists is to explain to lawmakers that "if we don't have trade agreements with these countries our competitors will."
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Antitrust
Congress Cranks Up The Heat On Media Ownership
by David Hatch
FCC Chairman Kevin Martin is facing a full-scale revolt over his plan to loosen restrictions on media ownership, as lawmakers turn up the heat with legislation, hearings and pronouncements that a Dec. 18 vote will not stand.
Sen. Byron Dorgan, D-N.D., upped the ante Thursday by introducing legislation that would require 90 days of public comment on proposed changes. The bill is backed by Sens. Maria Cantwell, D-Wash.; Dianne Feinstein, D-Calif.; Bill Nelson, D-Fla.; Barack Obama, D-Ill.; and Olympia Snowe, R-Maine; as well as Senate Minority Whip Trent Lott, R-Miss.
The measure also would force the agency to complete a separate proceeding on broadcaster commitments to local programming, and create an independent panel on boosting female and minority ownership, before conducting a comprehensive ownership review.
At a hearing on the topic before the Senate Commerce Committee, Dorgan insisted that Martin, a Republican, "is not in a position where he can credibly suggest" that new guidelines should be adopted next month. "That is not a thoughtful approach and not the right way to proceed," he said.
Committee Chairman Daniel Inouye, D-Hawaii, plans to hold a hearing around Dec. 13 featuring testimony from all five agency members. The House Energy and Commerce Committee has a similar session planned for Dec. 6.
Martin is seeking to lift the ban on co-owning a broadcast and newspaper property in the same market, at least in large cities, and may try to raise thresholds governing ownership of radio and television outlets. Snowe said Martin could issue his plan Nov. 13, enabling a month-long comment period before an agency vote. An FCC spokeswoman was not available for comment.
Inouye met with Martin on Wednesday to warn that "rushing to judgment by the end of the year would be a very strong mistake." Sen. John Kerry, D-Mass., added to the tough talk at the hearing by asserting that Martin's "approach will not stand." Despite the pressure, Martin scheduled the FCC's final field hearing for Friday in Seattle.
While emphasizing that diversity and local programming are important, Alaska Republican Ted Stevens said policymakers also must consider steep declines in newspaper subscriptions and the Internet's advertising boom.
"Our country is diversifying, but our media is not," testified Alex Nogales, president of the National Hispanic Media Coalition. While minorities account for more than a third of the U.S. population, "they own less than 3 percent of television stations and less than 8 percent of radio stations -- and these numbers are declining," he said.
"The public knows something is wrong," Frank Blethen, publisher and CEO of the family-owned Seattle Times, told the panel. "When given the opportunity, they vehemently oppose more media control."
But John Lavine, dean of the journalism school at Northwestern University, said numerous studies indicate that more local news is produced in markets where the FCC has permitted cross-ownership due to waivers or grandfathering of combinations. "If that's not in the public interest, I don't know what is."
"All the FCC studies suggest that there's more local news with local ownership," countered Jim Goodmon, president and CEO of Raleigh, N.C.-based Capitol Broadcasting.
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Television
FCC's Adelstein Fears Impact Of DTV On Seniors
by Michael Martinez
A Democratic regulator at the FCC on Thursday sharply criticized his agency's efforts to educate and prepare senior citizens for the congressionally mandated switch to digital television in 2009.
Commissioner Jonathan Adelstein said at a workshop on the topic that the FCC so far has done a poor job ensuring that the switch does not disrupt the lives of seniors who own analog TV sets.
On Feb. 17, 2009, broadcasters will vacate analog spectrum for digital signals. Consumers who own analog sets still will be able to access free programming over the air, but they will need special converter boxes to do so.
Adelstein warned that the shift is going to hit seniors particularly hard because many of them own analog sets and are going to need technical and financial assistance to install converter boxes. He said he is encouraged that public and private efforts are under way to educate consumers about the shift but insisted that not enough thought has gone into the implementation of assistance programs.
"There's a lot at stake here," he said, noting that many seniors depend on television to receive vital news and information, not just entertainment.
According to Adelstein, federal regulators should be as focused on preparing consumers for the DTV transition as they were about the Year 2000 computer problems many feared on Jan. 1, 2000. He said British regulators have been wise to pilot assistance programs for their digital switch and enlist people to help senior citizens install converters.
"Not only do we not have a plan to do that, we don't have a plan to come up with a plan," he said.
FCC Chairman Kevin Martin, who spoke before Adelstein, said the agency already has engaged thousands of senior centers to educate citizens about how the transition will affect them.
Martin said the FCC is taking extra care to send a consistent message about its enforcement authority on the issue. He said it is vital that retailers place labels on analog televisions that no longer will work two years from now without converter boxes.
Enid Borden, CEO of the Meals On Wheels Association of America, echoed Adelstein's point about the importance of television to homebound seniors whose safety may depend on them. Her organization represents those who deliver food to seniors.
Borden estimated that more than 90 percent of the seniors served by her organization own televisions. She said many of them live alone and on tight budgets, and would be burdened financially and physically by being forced to acquire converter boxes.
Her group recently launched a program to promote fire-safety awareness. Borden said the challenges in encouraging seniors to purchase new smoke alarms are similar to ones posed by the DTV transition.
In a panel discussion following Borden's remarks, Retirement Living TV Vice President Patrick Baldwin said it is important that those helping seniors prepare for the shift do not make them anxious about it. He said the message needs to be a positive one.
"It can't be a scare tactic," he said.
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Spectrum
U.S. Is Optimistic About U.N. Spectrum Meeting
by William New, for Technology Daily
GENEVA -- Nations negotiating on global spectrum allocation for more than three weeks at the United Nations have made significant progress and have moved to more difficult items, bringing U.S. goals for the meeting into sight, the lead U.S. negotiator said Thursday.
"It looks like it's going in a good direction," Richard Russell, who is leading the U.S. delegation to the U.N. International Telecommunication Union's quadrennial World Radiocommunication Conference, told reporters. But he said debate now is intensifying on tougher issues, such as identification of frequencies for international mobile communications for "third generation" service and beyond, which he said is "still hotly debated."
The issue involves opening spectrum for future mobile Internet uses, which some countries are seeking more actively than others. "There will be a lot of discussion in the coming days," Russell said. The conference is scheduled to end Nov. 16.
Another key development has been agreement this week by Western Hemispheric governments on a series of proposals related to mobile Internet use, referred to as IMT, that have become the focal point of negotiations.
The regional agreement addresses the use of certain bands for IMT, with strong protection for countries that do not use those bands for that purpose. In addition, a principle of the agreement is that countries may transition from analog to digital broadcasting at their own pace. Developed countries have been moving rapidly to digital and are seeking agreement from less developed countries to follow suit when ready.
In the regional agreement, the 450- to 470-megahertz band has been identified for IMT use, but users in countries like the United States and Canada, which do not use it for that purpose, would be protected.
Another element of the hemispheric agreement is to use the UHF bands (470-862 MHz) for digital broadcasting at national regulators' own pace while coordinating with neighboring countries. The United States has argued that the band is cheaper than others for consumers, but Europe and some others have not agreed to date.
The United States will hold an auction for the spectrum next year with or without global agreement, Russell said.
A further area of the agreement is in the so-called C-band (3400-4200 MHz), which is used for satellite communications. No global or regional allocation was granted in that space for IMT. Countries can use it for that purpose on an "opt in" basis. The United States does not want to use the band for IMT.
Russell also said he expects a positive outcome will be reached over a provision on emergency response, which would urge international coordination and create a database of national-level available frequencies for use in emergency situations.
There are more than 150 members of the U.S. delegation, half of which are industry representatives who are involved directly in the negotiations. Russell, however, said the industry representatives must set aside their company views once a U.S. position is formed.
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Lobbying
Recapturing The Spirit Of Sputnik In Online Video
by Heather Greenfield
If the Soviet space satellite Sputnik were to circle the earth today, all kinds of sightings no doubt would be posted on YouTube. Lobbyists determined to make sure the United States remains globally competitive think something similar should happen now, so they sponsored an innovation video contest and brought former astronauts to Capitol Hill on Thursday.
Within a year after Sputnik's scientific wake-up call for the United States in 1957, President Dwight Eisenhower had formed the President's Science Advisory Council, signed the National Defense Education Act, and created the National Aeronautics and Space Agency and the Defense Advanced Research Projects Agency, which developed the Internet.
Lacking a similar unifying event today, people who want the United States to take competitiveness more seriously created the video contest as part of a lobbying campaign for reinvestment in science, technology, engineering and mathematics research and education.
At the event, called "Sputnik in the YouTube Age," members of the American Physics Society, Research and Development Credit Coalition, and Task Force on the Future of American Innovation watched the YouTube posting of the contest winner. The video features federal research accomplishments that have led to everyday devices like the global positioning system.
Later, the industry representatives met Mae Jemison the first black woman in space, and Kathryn Sullivan, the first woman to perform a space walk.
Jemison later founded an international science camp for 12- to 16-year-olds. Sullivan, who now directs the Battelle Center for Mathematics and Science Education Policy, offered statistics showing the United States is seventh among the G-8 leading economies in solving math problems "Nothing has managed to cut through the noise and rally us to a common cause," Sullivan said.
She said parents don't take the challenge of science education as seriously as they did in the 1960s, and the problems with the elementary and secondary education system are complex. They include ill-defined objectives, changing theories on teaching and learning, and fragmented, shallow curricula across the country.
John Palafoutas, a lobbyist for the technology group AeA who organized the event as co-chairman of the Task Force on the Future of American Innovation, said it is not possible to have strong federal research without strong math and science.
A law enacted this year authorizes funding increases for math and science education programs, and offers scholarships and graduate fellowships for scientists. The legislation also would double the funding for basic research at some federal laboratories.
Money has not been provided for those ideas, however, and the event Thursday was part of a push by the tech industry, scientists and educators to ensure the measure is fully funded this year. "The authorizations passed by both chambers need to become appropriations," Sullivan said.
Jemison compared ideas to the difference between potential versus kinetic energy. "Ideas are like potential energy, but nothing is going to happen until we risk taking action," she said. "It's not enough to talk about these things."
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Budget
Veto Threat Over Education Funding Raises Concerns
by Aliya Sternstein
President Bush's threat to veto a spending bill for the Education Department has sparked concerns over legislation to renew a 2002 education law and strengthen science education.
On Tuesday, the House voted 269-142 to adopt the conference report for legislation, H.R. 3043, that would fund for fiscal 2008 the departments of Labor, Health and Human Services, and Education, plus military construction and veterans. Bush has threatened to veto the bill because it exceeds his overall funding request.
The Education money would partly go toward the No Child Left Behind Act, which focuses on holding schools and teachers accountable through standardized student tests. Lawmakers currently are working to reauthorize the law, which expires this year, with more focus on science.
"For years now, [Bush] has blindly and stubbornly undermined the law by refusing to adequately fund it," House Education and Labor Committee Chairman George Miller, D-Calif., said in a statement Wednesday.
Bush's "only real involvement" this year in developing an education bill has been to occasionally urge Congress "to stay the course," Miller added. "It has become clear to me, however, that without real presidential leadership, this reauthorization process is unlikely to succeed."
National Education Association President Reg Weaver said, "We don't want to see No Child Left Behind being an unfunded mandate that states have to pick up the costs for."
As for boosting science education, he said state policymakers should be responsible. "We should not rely on the federal government to make sure we have good science programs in our schools."
The administration maintains that Bush has proposed -- since January -- to increase resources for the law and also strengthen it without weakening accountability. "We have yet to see proposed legislation from the chairman [Miller]," Lauren Maddox, the Education Department's assistant secretary for communications and outreach, said Thursday. "You can't do the funding in a vacuum."
Alexa Marrero, spokeswoman for the committee's Republicans, said that before the law was enacted, the government invested billions of dollars in education without demanding results. She added that "funding alone will not enhance American competitiveness" in science, technology, engineering and math. Reauthorization "is a critical step that ought to be taken" for competitiveness, Marrero said.
Michael Enzi of Wyoming, the ranking Republican on the Senate Health, Education, Labor and Pensions Committee, said "more money may be the simplest solution, but it is rarely the best or most effective solution." He said Congress must examine ways to enhance STEM programs through reauthorization.
"I don't want the education of our children to be a political football," he said, adding that the original law was a "shining example" of bipartisanship. "While we may have liked to complete the bill this year, we will not and cannot rush it."
James Brown, co-chairman of the STEM Education Coalition, said that uncertainty about education spending has certainly not helped the reauthorization process.
Brown also said "it is disappointing" that conferees did not boost funding for math and science partnerships -- the sole source of dedicated STEM funding -- as proposed by Rep. Vernon Ehlers, R-Mich.
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Intellectual Property
Music Industry Aims Anti-Piracy Message At The Young
by Andrew Noyes
The recording industry brought its anti-piracy crusade to Capitol Hill on Thursday, but unlike during previous visits, the focus was not on lawmakers. It was on a roomful of local middle-school students.
The American Society of Composers, Authors and Publishers and the Internet safety group i-Safe assembled youngsters from Washington's Backus Middle School to help them grasp the negative implications of intellectual property theft with the help of an educational video and special guests.
Rep. Paul Hodes, D-N.H., himself an ASCAP member and songwriter, urged his adolescent audience to pay for the music they download. "It's only right, it's only fair," he said.
"For those out there working in music, this issue is so important," said Hodes, who founded Big Round Records in 1986, with his wife, Peggo. "They depend on an industry that pays people fairly for what they make."
Education is "absolutely the key to helping people understand" the criticality of IP rights, he said in a brief talk that was book-ended by ASCAP's "Donny the Downloader" video, which has already been shown to 250,000 students nationwide.
Hodes said enlightening young people "sure beats suing kids," a tactic that the Recording Industry Association of America has enthusiastically employed for several years. "We want the public on our side," he explained.
Rep. Mary Bono, co-chairwoman of Congress' Recording Arts and Sciences Caucus and the IP Promotion and Piracy Prevention Caucus, also shared her love of music, calling it "an important part of the human soul" and an art form worth protecting. The California Republican is the widow of the Grammy-award-winning songwriter Sonny Bono, whose seat in Congress she took over after his death in 1998.
Young musician Wynter Gordon, whose debut album will be released this spring, performed for the crowd and spoke with Technology Daily about the importance of educating kids about obtaining songs legally.
"This is my career. This is how I want to make a living," the 21-year-old said. "Illegal downloads are stealing. It's taking money out of my pocket, and it's tearing down the industry for future artists."
Gordon, who already has worked with hip-hop star Mary J. Blige and the pop group Danity Kane, said she has friends who illegally download music, "and we argue about it." "People aren't going to stop [pirating songs] ... because not enough people are telling them it's bad and there is no consequence for it."
The songwriter, who credits the social-networking Web site MySpace for boosting her fan base, said recording labels are not generating the revenue they once did, which made it harder for her to get signed. "They are afraid to put out new artists because they don't want to take the risk," she said. "There's not enough money flowing in."
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Today's Feature:
State Roundup
Computer glitches and other technical problems disrupted state and local elections at various polling places Tuesday.
Every Thursday, read the State Roundup by Michael Martinez.
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E-briefs
Security: The House Homeland Security Committee grilled Bush administration officials on Thursday about how they intend to improve the accuracy of information in a burgeoning terror watch list. CongressDaily reported that lawmakers questioned how U.S. travelers could get their names removed from the list after being stopped in airports. Officials and lawmakers agreed that a forthcoming program to pre-screen passenger information against federal government watch lists and the implementation of a biometric system would help alleviate problems. "The more common the name, the more difficult it is," Rep. Mark Souder, R-Ind., said. "I think biometrics is really the only solution." A Justice Department probe recently showed that the list has grown to nearly 750,000 names, or about 300,000 people, and has repeated data and incomplete records. Terrorism Screening Center Director Leonard Boyle said the agency is working with the Social Security Administration to update records.
Telecom: Vonage, the Internet-based telephone service that recently settled multimillion-dollar patent lawsuits brought by AT&T and Verizon Communications, reported greater quarterly losses on litigation costs during a Thursday earnings call but said revenue grew to a record high of $211 million in the third quarter of 2007. Vonage most recently agreed to pay AT&T $39 million over five years. The company is in the midst of a "strategy to fix the fundamentals of our business," Chairman Jeffrey Citron said in a statement. Vonage added 78,000 subscriber lines, up 37 percent from the previous quarter, and finished with more than 2.5 million lines in service. However, customer cancellations also grew to 3 percent during the quarter. Stopping that trend is "our primary focus," Citron said, adding that "the company has the appropriate plan in place to improve customer satisfaction and build loyalty."
E-Government: The first public e-warehouse of documents requested under the Freedom of Information Act was launched Thursday. A coalition that includes Citizens for Responsibility and Ethics in Washington, other watchdog groups and frequent FOIA petitioners is maintaining the site. The participants had submitted more than 350 documents as of Thursday afternoon. Every document in the database undergoes a scanning process that allows visitors to search the text and see their search terms highlighted in context. Visitors also can add commentary and tag important findings. Each document page has a unique link that users can share or post on other Web sites. "Without a searchable database, the public's access to FOIA documents is limited," CREW Deputy Director Naomi Seligman said. "As soon as we receive the documents, we're putting them straight up."
Trade: Ukraine is urging signers of the World Trade Organization's Information Technology Agreement to approve the country's request to join the pact and eliminate tariffs on IT goods. The country made its request at an ITA meeting Tuesday while also agreeing to eliminate duties on ITA products immediately upon joining. ITA Chairman Khalid Emara of Egypt said Ukraine's tariff schedule would be circulated to participants, and the country will be approved if there are no objections during the two-week review period. Also at the meeting, Emara decided to plan a forum on the European Union's recent change in customs rules on certain ITA products after the United States raised concerns about the modifications. The United States said the changes make certain products ineligible for duty-free treatment under the ITA. But the European Union said it has abided by its ITA commitments and suggested holding a dialogue.
Campaigns: They have questions, and now they'll have answers -- from at least one candidate. Democrat John Edwards on Thursday become the first presidential candidate to agree to answer online video questions in a forum started by the founders of techPresident. The site, 10Questions.com, allows people submit video questions, and then others can rate the questions. The plan is to put the top 10 questions that emerge to willing candidates. The New York Times editorial board and MSNBC, and more than 40 online organizations and blogs are co-sponsoring 10Questions. "By agreeing to participate in the first truly people-powered online forum, John Edwards is giving all Americans hope that we can do better than just televised debates and sound-bite politics," said Andrew Rasiej, a co-creator of 10Questions. "It also gives voters the opportunity to evaluate the presidential candidates based on the questions they most want answered."
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Editor in Chief -- Louis Peck, 202-739-8481
Editor -- K. Daniel Glover (bio)
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Special Correspondent -- Chris Strohm (bio)
Staff Writer -- Michael Martinez
Senior Business Affairs Manager -- Chris Hamby
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