WASHINGTON-To strike a fragile bipartisan deal on a sweeping telecommunications bill that includes federal antenna siting policy and other provisions sought by the wireless telecommunications industry, conferees had to cede to a demand by Sen. Ernest Hollings (D-S.C.). He stripped out the free trade language supported widely in Congress and by the administration that would have provided American firms with greater access to foreign capital for wireless telecommunications ventures.
Rep. Mike Oxley (R-Ohio), the ranking majority member of the House telecommunications subcommittee who championed free trade much of last year, is trying to get the provision re-inserted into the legislation.
Oxley also is trying to keep himself in the running for the top spot on the House telecommunications panel after Chairman Jack Fields (R-Texas) leaves Congress at the end of the year.
The Ohio Republican was considered the top candidate for the job until reports that Rep. Billy Tauzin (R-La.), who switched parties five months ago and recently declined to run for the Senate, would get the nod for the job from House Speaker Newt Gingrich (R-Ga.).
“Mr. Oxley just wants a fair and open shot at it,” said Peggy Peterson, spokeswoman for Oxley.
Oxley faces an uphill battle on both fronts. On the first, the top four telecom conferees-Sens. Larry Pressler (R-S.D.) and Hollings and Reps. Thomas Bliley (R-Va.) and John Dingell (D-Mich.)-have support for the bill from regional Bell telephone companies, cable TV operators, broadcasters and wireless carriers, along with a deal from the Clinton White House.
And long-distance companies, worried about the bill’s infusion of competition by local telephone companies in the formers’ market, are not publicly opposing the measure while it’s in limbo.
Pressler, who heads the telecom conference-said he will bring up telecommunications trade legislation this year. Policymakers believe the United States should open up its telecommunications market to the degree barriers to entry are eased by others on a case-by-case basis.
The reason foreign ownership is not included in the telecom bill, according to a Senate aide, is because Oxley refused to compromise with Hollings on keeping reciprocity between trading partners intact.
Today, foreign companies can own up to a 25 percent noncontrolling interest in paging, cellular, specialized mobile radio, personal communications services and other wireless carriers. Of all the telecommunications sectors, it appears the emerging PCS industry may offer foreign companies one of the biggest opportunities for investment in U.S. telecommunications. Many American companies would welcome overseas money to help them bid on and build out expensive PCS systems.
Congressional action on the telecommunications measure is uncertain. An official telecom conference bill has yet to emerge, though a majority of Senate conferees have signed the report.
However, Senate Majority Leader Robert Dole (R-Kan.) wants the legislation fixed to enable the sale of TV broadcast spectrum. Key House GOP members don’t agree with Dole, but still are angry about concessions made to Democrats and the White House.
Moreover, lawmakers had intended to take up telecommunications legislation right after a budget deal was reached with the Clinton administration. But there are signs there will not be a deal this year and the legislative calendar early this year is muddled by a slew of presidential primaries and caucuses in February and March.
Noting it would be unfortunate after years of hard work to let the telecommunications bill languish, Sen. John Breaux (D-La.) said, “It’s the best we can get and something I can support.”
