July 2006

The Consumer Advisory Committee met for the 4th time on Friday, July 21, 2006.

Committee Chair Shirley Rooker opened with a welcome and introductions and CAC Designated Federal Officer Scott Marshall shared logistics information.

I. Consumer and Government Affairs Bureau Chief Monica Desai

Chief Monica Desai gave an update on recent Commission activities including:

* Truth in billing court case

* open proceedings on TRS

* DTV captioning

* Homeland Security and, specifically, disability access to emergency information

* the Commission's independent panel on communications and the response to Hurricane Katrina

* how consumer complaints and received and handled

* the Commission's consumer digital television page

Chief Desai also spoke of the impact of the CAC's work saying its recommendations, especially when arrived at by consensus, are taken seriously by the Commission.

Chief Desai asked if there were any questions and Charles benton asked on the status of the CAC's recommendation on the public interest obligations of digital television broadcasters. The recommendation in questions asked the Commission to act on two open dockets by May 18, 2006, but there has been no action as of yet. Chief Desai answered that she couldn't comment on the recommendation because the matter was "under review."

Judy Viera of Mission Consulting then asked about what actually happens to the Committee's recommendations. Chief Desai said they are passed onto the people in charge of the matters covered by the recommendations, but it is not the Commission's normal practise to share progress reported on its work. She said she would work with CAC Chair Shirley Rooker and Designated Federal Officer Scott Marshall to improve tracking of recommendations.

II. Statements from Commissioners

Commissioner Jonathan Adelstein then addressed the Committee, thanking it for its service. He pointed to the importance of the media ownership recommendation on the day's agenda. He congratulated the group on working to find consensus on the recommendation, for considering ways to involve the public in the proceeding and the topics covered in the recommendation. He also asked the group to consider the transition to digital television as a major consumer issue before the Commission. Commissioner Adelstein was asked about digital radio service. It was an item on a recent FCC meeting agenda that was dropped. Commissioner Adelstein said the Commission still needs to address the rules that will govern terrestrial, digital radio, including the public interest obligations of digital radio broadcasters.

Commissioner Michael Copps appeared via video tape. He also thanked the Committee for its work and began by noting the digital television/public interest obligations recommendation passed in November 2005. He noted that the Committee has not given any feedback on the recommendation which called upon the FCC to rule on two open dockets by May 18, 2006. Commissioner Copps said the Committee is entitled to a response from and a two-way dialog with the Commission on its recommendations. He asked the Committee to keep pushing for a response from the Commission. On media ownership, Commissioner Copps, like Commissioner Adelstein, noted both the importance of the issue to consumers and the of the issues covered in the recommendation.

III. Recommendations of TRS Working Group, Dixie Ziegler, WG Chair

The Committee approved the following recommendations on TRS:

* Captioned Telephone Questions

* Definition of "Effection communications"

* Role of Interstate TRS Council

IV. Report Rural and Underserved Populations Working Group, Gene Crick, WG Chair

While members of U.S. rural and underserved populations are affected by most of today's telecommunications issues, this Consumer Advisory Committee Working Group has been working to identify those areas of greatest concern for rural and underserved consumers. As outlined in our April report to the CAC, we have defined some key issues and are developing strategies and resources to provide the CAC and FCC with input and information for policy considerations.

To develop advisory information of relevance, we are focusing first on matters which are subjects of active deliberation within the Commission. Some important issues, such as media ownership in smaller markets, are being discussed by different working groups of the CAC. Other significant topics not presently in FCC dockets, including ICT for economic development and education, can be addressed by our group in the future.

This interim "update" report addresses three currently active FCC issues particularly relevant to rural and underserved American populations:

* Universal Service Funding
* Crisis Telecommunications
* Emergency Alert Systems.

As noted in our April CAC report, our working group does not necessarily expect to present finished policy solutions for today's complex and difficult challenges. But our group can work to help identify issues, develop information resources, and encourage more widespread and informed input for Commission policymaking.

One step we are taking toward this is establishing central online sites to begin collecting information and inviting public input on CAC issues and possible solutions. The goal is to gather relevant information resources and commentary, making them available for the Commission and others interested in telecom policy.

V. Recommendation of Media Working Group Denis Moynihan, WG Chair

The CAC adopted the following recommendation on Media Ownership.

The Commission’s Consumer Advisory Committee (CAC) recommends that it would be in the best interest of consumers for the Commission to adopt a process in the 2006 media ownership review that will provide a full record on the potential impact of media ownership concentration and actively engage consumers in the proceeding. CAC believes it is necessary to have a transparent process that ensures consumers understand the full implications of Commission decisions. Such an open forum is especially critical for public input on issues of this magnitude, especially where the main purveyors of information have historically provided little coverage of this issue. To these ends, the CAC recommends that the Commission:

* begin a comprehensive proceeding to adopt rules that will promote the core values of localism, competition, and diversity, and that will expand the multiplicity of voices and choices that support our marketplace of ideas and that sustain American democracy and creativity,

* schedule and attend a series of hearings across the country to engage the American people on the future of their media and to gain a better understanding of the impact of media concentration on our communities,

* compile a far more complete record, including independent research studies on media concentration in a variety of markets, so that the Commission can make a decision on a more solid foundation that the 2003 effort,

* in releasing a Notice of Proposed Rulemaking, provide full notice and a significant comment period on the specific proposals, as warranted, so that the public knows what new rules the Commission is considering.

VI. Recommendation of Consumer Affairs and Outreach Working Group Jim Conran, WG Chair

The Committee considered, amended and adopted recommendation proposed by the Consumer Affairs and Outreach Working Group. The recommendation, before amendment, included:

* Provide information to other government agencies in a regular and timely manner: The FCC routinely gathers information from consumers and rapidly digests that information internally. The FCC uses this information to determine how to resolve complaints, for enforcement actions, and to develop potential public policy. Appropriate information is shared with carriers and other government agencies but some of this is done on a case-by-case basis. The WG requests that the FCC develop a more formal process to share this information with local, state and other federal agencies on a regular basis. Timely sharing can assist other governmental jurisdictions that may miss an opportunity to root out fraud or resolve matters before they become more damaging to consumers. As an example, many, if not most, consumers who file a complaint with the FCC will not file that complaint with a state utility regulatory or law enforcement agency. A process to share information will assist the local government to better understand what is occurring in their jurisdictions.

* Provide timely consumer education: Education is critical to ensure the telecommunications market works properly for the American consumer. The consumer sees the FCC as a clear voice in a world of conflicting information. The FCC can play a more important role in assisting consumers make better decisions in the marketplace which can reduce misunderstanding and grievances. This will also lead to less need for burdensome regulations, which can result from consumer misunderstandings and complaints. Educational clarity by the FCC would provide both the consumer and the industry a great service and positive benefit. The WG believes that the FCC must produce consumer materials online and in print that deal with the rapid changes in the market. These must be produced in a timely manner. The educational materials must be clear, concise and easy to understand. Some of the subjects could include information about purchasing mobile communication devices, VOIP services, resolving complaints and understanding charges and billing. The FCC should also consider web links with consumer, community, industry and state and national governmental organizations.

* Provide educational materials in languages other than English and Spanish: The rapidly changing demographics of the America require that the FCC increase the number of languages used in consumer education and consumer intake units. The FCC has diligently worked to increase access to consumers who need or prefer to utilize Spanish when communicating with the FCC. The FCC needs to proactively determine what other languages should be employed in consumer education and FCC consumer in-take operations. Languages to consider include: Chinese, Korean, Vietnamese, French, Russian and Arabic.

* Provide captioning for FCC web casts:
The WG also recommends that all streaming video on the FCC's website contain captions in order to facilitate more complete access to the FCC.

VII. Video Description Demonstration

CAC member Joel Snyder gave the Committee a presentation on video description. Mr. Snyder is the Director of Described Media at the National Captioning Institute.

VIII. Follow Up on CAC Recommendations

The Committee discussed possible ways to follow up on the recommendations it adopts. In May some CAC members wrote a letter to FCC Chairman Martin asking for reaction to a recommendation in November 2005. The letter prompted the discussion on July 21.

Currently recommendations are filed in appropriate dockets, sent to FCC Commissioners and sent to staffers involved in the particular issue.

After discussion, the Committee recommended without objection that:

* Members of the CAC work with the Consumer and Governmental Affairs Bureau develop a tracking system to follow up on all CAC-adopted recommendations.