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AICC Wireless Report

December 6, 2011

John Prendergast

NG911 Update

In September, 2011, AICC met with the FCC Commissioners and the Public Safety and Homeland Security Bureau staff to discuss AICC’s concerns about device-initiated 911 calls. On September 22, 2011, the FCC adopted its Notice of Proposed Rulemaking (NPRM) proposing the adoption of rules facilitating Next Generation 911 (NG911). The issues surrounding device-initiated 911 signaling are not directly discussed, since the main focus of the this particular NPRM is the prompt implementation of texting to PSAPs. However, it is necessary for AICC to file comments, for the following reasons:

1. Paragraphs 2, 7 and 23 continue to talk about facilitating the sending of info to PSAPs from security cameras, "automated alarms" and other sources.

2. Paragraph 115 asks what authority the FCC has to get involved in NG911, and paragraph 33 asks for input on what role the FCC should play.

3. Paragraph 60 poses the question of how to prioritize 911 calls in an emergency.

4. Paragraph 68 asks what role the FCC should play in "Long Term Deployment of NG911 Text and Multimedia Applications". The device-initiated alarms and video that we are concerned about would appear to fall into the category of "multimedia" applications that this section will address. Paragraph 74 specifically asks for comment on the benefit of providing PSAPs with this additional data, and how PSAPs can manage the burden of such info.

5. Paragraph 76 asks for input on the development of "standards" for NG911 devices.

AICC has therefore drafted comments for filing with the FCC in response to its NG911 NPRM. The comments must be filed on Monday, December 12. Because the NPRM includes topics directly related to device-initiated signaling, and this phase of the proceeding will make decisions relating to Commission jurisdiction over and policies for NG911 that can affect future actions concerning device-initiated signaling, the Commission must recognize that, merely because a device is capable of communicating with public safety directly, does not mean that it should be so enabled. Otherwise, Public Safety Answering Points (“PSAPs”) will be overwhelmed to the point of ineffectiveness, sorting through false alarms and automated signals that do not originate from actual emergencies.

FCC Modified Certain Access BPL Rules

On October 20, 2011, the FCC issued a Second Report and Order (Second Order), which fundamentally affirms its rules for Access Broadband over Power Line (Access BPL) systems. The FCC made some refinements, however, which include the following: (1) modifying the rules to increase the required notch filtering capability for systems operating below 30MHz from 20 dB to 25 dB; (2) establishing a new alternative procedure for determining sitespecific extrapolation factors generally as described in its Request for Further Comment (RFC) and Further Notice of Proposed Rulemaking (FNPRM); and (3) adopting a definition for the “slantrange distance” used in the BPL measurement guidelines to further clarify its application.

In response to a successful court challenge against the original BPL rules, the Commission issued its RFC/FNPRM. In the RFC/FNPRM, the Commission took the opportunity to review the Access BPL extrapolation factor and propose certain changes to the BPL technical rules that appeared appropriate in view of new information and further consideration of this matter. The FCC concludes that the information submitted in response to the RFC/FNPRM does not warrant any changes to the emissions standards or the extrapolation factor. It remains to be seen if the changes made by the FCC to the BPL rules are sufficient to address the concerns underlying the court challenge. Otherwise, BPL systems may become a potential source of interference to alarm radio operations.

Interference from Smart Meters Reported

It was recently reported that the smart meters that Central Maine Power Company (CMP) is installing throughout its territory are causing radio frequency interference with some customers’ electrical appliances, personal computers, and communications devices. Over 200 customers have contacted CMP about problems with a variety of appliances and devices including phones (cell, cordless, and landline), answering machines, Internet routers and wifi, personal computers, TVs, garage doors, fire alarms, clocks and even electric pet fences. The most common problem is interference with wireless internet routers, because they use similar radio frequencies. The problems can often be resolved by simply changing a setting on the device. Other concerns include malfunctioning phones, Internet routers crashing or freezing, damage to computer hard drives, static and clicking sounds on communication and computer gear, inability to stream Netflix, failure of TV remote, and other appliance malfunctions.

Many electric utilities are installing smart meters so alarm companies receiving interference or blocked calls should consider this as a possible source of interference.

Bills Introduced To Reform FCC Process, Reporting

Rep. Greg Walden (R-Ore.), chairman of the Energy and Commerce Subcommittee on Communications and Technology, and Senator Dean Heller (R-Nev.) have introduced HR 3309 (the FCC Process Reform Act) and HR 3310 (the FCC Consolidated Reporting Act) to improve the way the FCC operates by improving transparency, predictability, and consistency. The legislation would:

·  Require the Commission to survey the state of the marketplace through a Notice of Inquiry before initiating new rulemakings to ensure the Commission has an up-to-date understanding of the rapidly evolving and job-creating telecommunications marketplace.

·  Require the Commission to identify a market failure, consumer harm, or regulatory barrier to investment before adopting economically significant rules. After identifying such an issue, the Commission would be required to demonstrate that the benefits of regulation outweigh the costs while taking into account the need for regulation to impose the least burden on society.

·  Require the Commission to establish performance measures for all program activities so that when the Commission spends hundreds of millions of federal or consumer dollars, Congress and the public have a straightforward means of seeing what “bang we’re getting for our buck.”

·  Apply to the Commission, an independent agency, the regulatory reform principles that President Obama endorsed in his January 2011 Executive Order.

·  Prevent regulatory overreach by requiring any conditions imposed on transactions to be within the Commission’s existing authority and be tailored to transaction-specific harms.

·  Enhance consistency and transparency in the Commission’s operations by requiring the FCC to establish and disclose its own internal procedures for: (1) adequate review and deliberation regarding pending orders; (2) publication of orders before open meetings: and (3) initiation of items by bipartisan majorities, and minimum public review periods for statistical reports and ex parte communications.

·  Require the FCC to establish its own “shot clocks” so that parties know how quickly they can expect action in certain proceedings and provide a schedule for when reports would be released.

·  Empower the Commission to operate more efficiently through reform of the “sunshine” rules, allowing a bipartisan majority of Commissioners to meet for collaborative discussions subject to transparency safeguards.

·  Consolidate eight, separate congressionally mandated reports on the communications industry into a single comprehensive report with a focus on intermodal competition, deploying communications capabilities to unserved communities, and eliminating regulatory barriers.

If passed, the new legislation may arm the alarm industry with the ability to more effectively argue against FCC actions that adversely affect alarm service manufacturers and providers.

FCC Takes Further Enforcement Action Against Jammers

The FCC’s Enforcement Bureau has issued another 20 enforcement actions against online retailers in 12 states for illegally marketing more than 200 uniquely-described models of cell phone jammers, Global Positioning Satellite (GPS) jammers, Wi-Fi jammers, and similar signal jamming devices. The FCC said the enforcement actions are intended to warn retailers and potential purchasers that marketing, selling, or using signal jamming devices in the U.S. is illegal and that the FCC will vigorously prosecute these violations.

The FCC emphasized that because signal jamming devices work by indiscriminately interrupting or interfering with communications, the use of a jamming device in a classroom, theater, church, restaurant, or other public place could prevent someone in the vicinity of the jammer from making an emergency call to 9-1-1, the police, a fire department, or a family member in trouble. Accordingly, the FCC directed each online retailer to take immediate steps to cease marketing signal jamming devices to consumers in the United States and its territories. Such steps may include removing the illegal signal jamming devices from online display, expressly excluding consumers in the United States as potential customers, and declining to sell signal jamming devices or complete any sales transaction to consumers in the United States.

The Omnibus Citation and Order emphasized that a second violation could lead to monetary penalties of $16,000 to $112,500. The Omnibus Citation and Order also noted, for example, that a separate penalty could be imposed for each jamming device sold or each day on which a jamming device is marketed, and that additional violations could result in the seizure of equipment and imprisonment. This enforcement effort is good news for alarm companies using cellular-based alarm devices that may suffer interference from cell jammers.

In the meantime, the FCC is having to address the circumstances under which local governments can impede cellphone use for public policy purposes. In response toan announcement that BART, the San Francisco area transit authority, modified its cell phone blocking policy, FCCChairman Julius Genachowski announced that the FCC would soon be taking action as well.Genachowski pledged an "open, public process" to provide guidance on lawful wireless service blocking. If opened, this will be the first formal proceeding the FCC has undertaken to address lawful blocking of wireless signals. In the past, the FCC staunchly denied any requests to sanction wireless call blocking.

In August, BART garnered headlines and much criticism when it temporarily shut down wireless services in four of its transit stations to quell protests over a police shooting.In response to FCC criticism, BARTadopted a new policy restricting such interruptions.Under the new policy, BART will shut down wireless service in its system only in extraordinary circumstances, such as when it determines that there is strong evidence of imminent unlawful activity that threatens the safety of District passengers, employees and other members of the public, the destruction of District property, or the substantial disruption of public transit services.

AT&T Withdraws FCC Application Amid DOJ Move to Block AT&T/TMobile Merger

The U.S. Department of Justice (DoJ) has filed an antitrust lawsuit in the U.S. District Court for the District of Columbia to block the proposed merger between AT&T and T-Mobile on the grounds that the deal would “substantially lessen competition” in the wireless market; raise prices for consumers; result in “less product variety and innovation”; and result in “poorer quality services due to reduced incentives to invest than would exist absent the merger.” In response, AT&T withdrew its application to obtain FCC approval of the merger with T-Mobile on November 25, until such time as the parties can reach a settlement with DOJ. The FCC issued an order last week allowing the application to be withdrawn, but severely criticizing the proposed deal as anticompetitive and harmful to consumers.

Because AT&T and T-Mobile are GSM carriers, the merger of these carriers would not appear to immediately affect service or pricing for the digital cellular alarm radios that replaced the old AMPS devices, since as we understand it the new digital alarm radios operate on the CDMA format (which is now morphing to LTE). However, to the extent that GSM and CDMA are on course to merge technology as they move to 4G, the merger could potentially have an eventual impact on pricing and availability of a service option for alarm radios. In addition, to the extent that alarm companies use T-Mobile GSM cellular service to communicate with guards, installers and other personnel, a more immediate impact could occur. T-Mobile has carved out a niche as a lower-priced competitor, and has been especially aggressive about pricing for enterprise customers. This low-cost option could disappear if the merger proceeds.

Obama Nominates Rosenworcel, Pai As FCC Commissioners

President Obama has nominated Jessica Rosenworcel and Ajit Pai to the FCC. Rosenworcel, a Democrat, is currently an adviser to Senate Commerce Committee Chairman Jay Rockefeller (D-W.Va.). She would replace Commissioner Michael Copps, when his term expires at the end of the year. Rosenworcel previously worked for Sen. Daniel Inouye (D-Hawaii) from 2007-2008, and was Copps’ legal adviser from 2003-2007. Also at the FCC, she was Legal Counsel to the Bureau Chief of the Wireline Competition Bureau (2002-2003), and an Attorney-Advisor in the Policy Division of the Common Carrier Bureau (1999-2002). From 1997 to 1999, Rosenworcel was a communications associate at Drinker Biddle and Reath. Rosenworcel received a B.A. from Wesleyan University and a J.D. from New York University School of Law.

Pai, a Republican, is a partner in the law firm of Jenner and Block. He would fill the seat vacated by Meredith Atwell Baker earlier this year. Pai previously served as chief counsel to the Senate Judiciary Committee’s subcommittee on the Constitution, and as senior counsel for the Office of Legal Policy at the Justice Department. He has also served as general counsel for Verizon.

FCC Releases Small Biz Cyber Planner

The FCC has released the Small Biz Cyber Planner, a new online tool to help small businesses customize their own cybersecurity plans. The online tool is available at www.fcc.gov/cyberplanner. The Small Biz Cyber Planner online resource will enable any small business to create a customized guide tailored to its cybersecurity needs by answering a few basic questions. According to the FCC, by using this tool and implementing the planning guide, businesses can protect themselves, their information, and their customers from cyber threats. The new online tool was developed as part of a collaboration with government experts and private IT and security companies, including Department of Homeland Security (DHS), National Cyber Security Alliance (NCSA), The U.S. Chamber of Commerce, The Chertoff Group, Symantec, Sophos, Visa, Microsoft, Hewlett Packard (HP), McAfee, The Identity Theft Council, ADP and others.

FCC Issues Large Fine for Failure to Notify FAA of Tower Light Outage

The FCC has issued a $10,000 monetary forfeiture to Taylor Communications, owner of an antenna structure, for failure to inform the Federal Aviation Administration (FAA) of a malfunction of the antenna structure lighting and its failure to make available a public inspection file. Agents from the New Orleans Office observed the antenna structure 90 minutes after sunset and found that none of the red obstruction lights were working. The FCC assessed the fine even though Taylor called the published local number for the FAA about the outage prior to the inspection, but that number was not in service. The FCC also found that Taylor was in violation for not producing its station records even though there was evidence that a former employee had taken or destroyed the records, because the “Commission has long held that licensees and other Commission regulatees are responsible for the acts and omissions of their employees and independent contractors.”