NARUC Telecom Chairman Seeks Certainty on States’ Role

State commissioners seek more certainty about where they fit into the telecom landscape, said NARUC Telecom Committee Chairman Paul Kjellander in an interview Wednesday at the group's meeting. Early decisions by FCC Chairman Ajit Pai and congressional talk of a possible Telecom Act rewrite are good signs that clarity is coming, Kjellander said. As the meeting wrapped Wednesday, the board passed the three substantive telecom resolutions adopted Tuesday by the committee (see 1702140003).

“We all like certainty,” said Kjellander, an Idaho Public Utilities Commissioner named NARUC telecom chairman earlier this month. “Tell me what the final rules are … Tell me what my role is as far as the states are concerned.” States might not always like the answer, he said, but at least “we know what the landscape looks like.”

Certainty comes in part from having a view into the FCC, Kjellander said, and he’s optimistic about the Pai chairmanship. Pai is “well-versed” in telecom and clearly articulated his positions when he was a commissioner, he said. State commissioners are grateful Pai is taking on FCC transparency issues, something NARUC long sought, Kjellander said: “That’s a super signal.” In quickly naming a federal chairman to federal-state bodies, Pai sent a positive message that states are important, Kjellander said. Pai named Commissioner Mike O’Rielly to chair the three groups (see 1702030064). “If that had lingered for months as a vacancy, that sends another message,” said Kjellander.

State regulators must maintain and build on FCC relationships, said Kjellander. He said he was looking forward to a meeting scheduled with Pai later in the afternoon. States hope to have a seat on Pai’s recently established Broadband Deployment Advisory Committee, Kjellander said. NARUC nominated Massachusetts Department of Telecommunications and Cable Commissioner Karen Charles Peterson, he said.

A rewrite of the 1996 Telecom Act would provide more clarity about states’ role, Kjellander said. “If there’s ever been a time to have a rewrite that was meaningful and to provide some of that certainty, now would seem to be the time.” Lawmakers should make clear how broadband fits into universal service, he said. Kjellander said he personally doesn’t care whether broadband is classified as a telecom or information service: “I just want to know, regardless of what you call it, where’s the money going to come from in order to pay for these programs.” His home state’s USF is “so, so small” because it’s “based on a declining business model … plain old telephone service,” he said.

Kjellander said he was encouraged by broadband spending talk by House Commerce Committee Chairman Greg Walden, R-Ore., who Monday discussed President Donald Trump’s proposed infrastructure package (see 1702130020). Kjellander supports carving out infrastructure funding for broadband as long as the dollars are appropriately targeted and avoid waste, fraud and abuse, he said. “We don’t want to have a stimulus package for the sake of a stimulus package. We want to see it be used to really fill those gaps.”

For future NARUC meetings, the Telecom Committee may want to address a request by industry stakeholders to be notified sooner about NARUC resolutions in development, Kjellander said. For the winter meeting, NARUC released draft resolutions about two weeks ahead of the committee’s vote. One resolution on infrastructure siting got substantive edits after the wireless industry raised concerns.

Events sometimes force late changes to NARUC resolutions, Kjellander said. The resolution on Connect America Fund Phase II started life recommending the FCC approve New York’s waiver request to use broadband funds declined by the telecom provider, he said. But when the commission granted the waiver before the NARUC meeting, the resolution changed to thank the FCC, but also suggest the agency allow similar waivers for other states. “That’s the one thing about the states,” Kjellander said. “We never miss a chance to say, ‘Oh, and one more thing.’”

NARUC Notebook

Neustar aims to finalize by year-end an enhanced caller-ID service to validate calls and deter spoofing, said Senior Policy Adviser Brent Struthers on a NARUC panel Wednesday. On IP devices, the Neustar service could warn about likely fraudulent calls and display images including company logos and caller photos, Struthers said. Last September, Neustar tested the service with one major provider, then started testing with another big provider, he said. Trials will continue over the next several months, he said. Neustar is working to enhance caller ID for both traditional TDM phones and IP devices, although it's easier to do so on the latter, Struthers said. It’s also easier to spoof calls on IP services, but fraudsters are more likely to target victims by neighborhood and demographics than technology, he said. State commissions should partner with utilities on consumer outreach and involve the media to fight scams, said Washington Utilities and Transportation Commissioner Ann Rendahl. State commissions also should work with attorneys general and other interested government and industry entities, Struthers said. “You guys need to go after the bad guys.” Don’t forget legislators, who frequently get calls from consumers on these issues, said Connecticut Consumer Counsel Elin Swanson Katz. “They are a great resource for getting the word out.”