Transcripts For CSPAN House Energy Commerce 20130727

The s. E. C. Plans on auctioning spectrums next fall. That would allow broadcast tv spectrum to be used for wireless communications. The house commerce and subcommittee took a look at the spectrum auction proposal. Well hear from sfals officials athe s. E. C. , private companies. The hearing runs about an hour nd 50 minutes. As most things, the devil is in the details. We convened all five sitting f. C. C. Commissioners on a Progress Report on implementation of the law. This was a step on making sure the commission stays within the act and acts within the confines of the law. In order to ensure that the f. C. C. Follows the law, prort oversight is necessary. A successful auction will require the f. C. C. To get two parts of equation correctly. The broadcast side and the broad band side. Now for broadcasters, the intent of the law could not be more clear. For those that plan to exit the market, the f. C. C. Has an obligation to let the market work. Im concerned the commission seems to be needs to use its judgment. For the incentive auction to be successful, broadcasters that participate should be assured they will be compensated based on the market value of their licenses as determined by the auction. Not based on estimates in the s. E. C. We should look asignificance at policies that would dissuade participation. For those that remain in the broadcasting, i have been equally clear what i believe is needed. The statute is clear what they deserve is certainty. Broadcasters should be assured they will remain viable ollowing the akes. Viable following the actions. The f. C. C. Should take into consideration the unique challenges across the country as they reclaim broadcast spectrum repack existing channels. In order to participate in the auction, lowpowered trans the commission should consider the translators has they repackage their broad cag casting analysis. The commission should consider how to package the auction in a with the tent communications act. A successful auction will be dependent on broadcast and broad bant interests. The f. C. C. Would be wise to realize rarely does the Industry Speak with a single voice. Im concerned a large voice seems to be coalescing around a plan that promotes competition and maximizes uction proceeds. Would like to talk about the auction participation. Just like broadcasters, potential broadcast licensees should be courted as participants and not subjected to economic manipulations at the hands of the f. C. C. As we have learned time and again in spectrum auctions, well meaning people have tried to restrictions. Recently, as some have suth it would be followy at best to think that the f. C. C. Could know better a carefully crafted auction and has the the market et decide the value of spectrum will best serve all the goals of the legislation. So our Witnesses Today represent the many sides of this debate. Broadcasters that want to sell and broadcasters that want to broadcast. Two of our nations four largest providesers. Communitytives of the and federal communse communications commission. Hile our witnesses may not see eyetoeye, i have looked forward to your testimony. And your Council Counsel as we look Work Together on this. I thank you all for being here today. I would yeelyeel yield the balance of my time to the vice chairman of the subcommittee. Spectrum has been a priority for the subcommittee over the past several years, and it is income bebt on congress to exercise oversite of the auction. The Jobs Creation act in 2011. Legislation with the broadcast incentive auction. The success of this auction, which will be the most has seen, the world is absolutely critical for bringing more spectrum to the market and for mobile broad band supporting our nationwide Broadband Network. I look forward to hearing from our witnesses on each of the implementationon and the benefits or consequences of the certain auction designs. Yield to the representative from california, anna eshoo. As wireless has increased, so as data consumption. As the f. C. C. Well hear divergent ideas today, but we will also hear ways kneed to make this needed to make this project a success. We knew implementation would be challenging. The f. C. C. Quickly retained a group of world class experts to help design the spectrum auction. The f. C. C. Is staffed. We immediately started working around the clock. I want to thank dozens of f. C. C. Staffers who have worked hard to address the challenges posed by this akes. In my view, the success of the auction will be measured by how well we meet the goals layed out by the law. Congress snacted the law with multiple goals in line to help relieve the spectrum crunch and help meet the exploding demand of wireless data. They raised revenue to fund multiple priorities, including the creation of a Broadband Network or First Responders or first net to promote competition in the wireless marketplaces, and to spur continued innovation such as the creation of new super wifi services. The law we passed promotes all of these goals where necessary to ensure competition. To promote innovation, the law calls for the establishment of nationwide guard bans than used for unlicensed use. Not surprisingly, some policies are now engaged in revisionist history suggesting the f. C. C. Has Less Authority than the statute provides. No party im aware of is excluding the fcc from participating in the auction. It makes no sense to allow the two Biggest Companies with an already dominant Company Position to acquire all of this high quality beachfront spectrum. The Justice Department wrote this earlier emphasizing how important it is for competition and consumers that this low band spectrum not be dominated by the two big carriers. These views deserve careful consideration. Guard bands are important to consider the broadband being auctioned and create spectrum to be used for the next generation of wifi services. The goals are all achieveable. With carefully designed rules, the f. C. C. Can raise revenue and promote competition and innovation. Our job should be to resist the importuning of special interest and help the f. C. C. Make this groundbreaking auction an historic success. I look forward to the testimony of our distinguished witnesses. Id like to ask unanimous consent to pu put two new documents into the record. Free press at the Writers Guild of america in support of pro consumer limitations on spectrum concentration as part of the auction of the 600 megahertz ban by the f. C. C. Without objection and the second is to ender into the record ex parte that the rules for the 600 megahertz auctions are necessary to ensure competition in the marketplace. I yield back the balance of my time. The gentleman yields back the balance of his time. We return to our witnesses that will provide us with great testimony and counsel today. We will start with gary epstein who is the seeno procedure vider of the federal communications commission. The man who has the biggest weight on his shoulders to do it all right and make it work. Mr. Epstein thank you for yaur work at the f. C. C. We look forward to your comments today. Thank you Ranking Members of the subcommittee. My name is gary epstein. I am from the commerl commune cages Auction Task Force. In our evert to design and implement point incentive auction, the commission is guided by four primary Public Interest objectives. One, relieving the spectrum scrun much or repurposing licensed and unlicensed flexible use to reflect multiple data usage which is predicted to grow by a factor of 9 by 2017. Two, fulfilling our statchtri obligations and congressional objectives that include re purchasing brought broadcasters. Three, providing a unique financial opportunity for participating broadcasters while preserving a healthy broadcast services for those who choose not to contribute their spectrum. And four promoting the innovation in a vibrant market. As we pursue these objectives we are focusing on the engineering issues and are drawing on auction designed experts and engineers both inside and outside the agency. We are engaging with all interested parties in an open and transparent process in which we will learn from the probust Public Record we are building, a for simplimplift and adjust our proposals as necessary to ensure that the auction succeeds. With respect to process it is also important to remember that we are in the middle of an open proceeding and the commission has made no final determinations. The staffs role in the incentives proceeding is to conduct as comprehensive and exhaustive of a range in order to best advise the commission. Ultimately within the bounds of the statute, it is the commission that will determine the design of the incentive auction. The commission has moved squiftly. The guiding principle has been to get it done, and get it done right. Under the acting chairman the staff has continued progress toward a 2013 order and 2013 auction. In the First Six Months after the act was passed, the commission quickly formed a crossagency task force, retained auction design experts, and officially launched a proceeding by adopting a comprehensive and specific notice of proposed rule making. Both to inform the public and elicit auction design sequences. Today we have had reimbursement for location costs and the notice itself. In addition in the interests of Public Engagement in an open, transparent, and participate tri process, the commissioners and staff have participated in over 180 incentive auctionrelated events meetings since the enactment of the spectrum act, including numerous discussions with our colleagues in canada and mexico. Perhaps not surprisingly, the task force has met with each of our panelists to discuss their views with respect to the auction. Since the notice, we have also released several Public Notices on issues we have believed warrant further consideration and opportunities to provide additional input. Today we received and contributed over 460 supply comments from incentive auction Public Notices. Our Public Notices have solicited input on interference calculation many software. In the case of a public notey we released just yesterday, the repackaging process. Yesterdays results include whether any particular challenge could be reassigned consistent with statchtri and other requirements. Statutory and other requirements. We expect yesterdays release, which was only the first of several Public Notices we expect to issue regarding repackaging, will allow interested parties to understand some of our methods in establishing methodology and elicit p. M. Proposals. Finally, we are committed to an open and transparent process. On some issues stakeholders seemed to be coming to agreement on some topics. On some important topics there remained divergent positions. The key is to carefully review ideas from the experts both outside and within the commission to enable the commission to make the hard zigs based on the best available data and ideas. The neff Auction Task Force will make recommendations that we believe will result in a public auction that will serve the Public Interest and achieve the object siffs and goals Congress Objectives and goals congress layed out in the spectrum act. Thank you, and i look forward to your questions. Mr. Epstein, thank you for what you and your team are doing. Thank you. We will go to the Senior Vice President of public knowledge. We appreciate your being back to the subcommittee to testify. We look forward to your comments. Thank you very much. Thank you for inviting me here to testify today. Two years ago i testified before the subcommittee that a properly structured incentive auction could be a rare Public Policy trifecta. A winwinwin. In addition to raising revenue for an interoprable Public Safety, now called first net, it could also enhance competition to the benefit of consumers. At the same time while we aloe indicate a portion from broadcasting to wireless services, it raiseded possibility of creating more 0 access to crowded outlets. The f. C. C. Could create a national unlicensed bid that would encourage developers to develop new devices and offer Innovative Services to take advantage of these services. The last two years have approved and shown the importance of competition. In this time period we have seen the cable industry recognize the value of licensing. They proved their value in the aftermath of super storm sandy. We talk about a carrier grid. Wireless i. S. P. Is using tv white spaces to bring affordable broad band to rural america. In 2011 the f. C. C. Imposed data roaming rules. Whml the f. C. C. Blocked when the f. C. C. Blocked at t from buying veizon, we have seen more investment in the wireless market in the last year than we had many years before. Billions of dollars of new investment demrode into the market as both tmobile and others attracted new interest. In response, at t and verizon have redoubled their interests to provide 4g networks as rapidly as possible. In short, competition works and needs to be preserved. All of this highlights the need for getting incentive auctions right. This spectrum is highly valued for itsable to travel long distances and penetrate buildings and trees. Companies looking to invest in unlicensed such as comcast, google, and microsoft have likewise indicated this is critical for developing licensed and unlicensed services. We must stop creating false choices and pushing the f. C. C. To choose sides. Congress passed a bill to give the f. C. C. Authority to promote competition within limits. We should embrace this promies rather than refighting old battles. The priorities of this auction are to Work Together not push against each other and fly apart. Second, we need to respect the f. C. C. Task as they work through this difficult process. We cannot have the transparancy and trust we need in people with the staff browbeat them over choices. This will increase the value of the service as a whole. This is not about artifically inflating broad bands, this is about being mindful to achieve all our goals. Instead of setting this up where every broad band seen as lost revenue. Finally, we need to make sure we have enough participation in the auction to make it holding. Dont ban anyone from the auction, but limit the number of licenses that any one company can win. Opponents rule we need to have at t and verizon in the auction. Thats true. But the beauty of the rule is that it lates lets it lets at t and verizon participate. To conclude, the key to a successful incentive auction is a balanced approach. We get there by deliberating on a current process. A winwinwin for mobile, broad band, and build an interoperable Public Safety net that we all need. Thank you, and i look forward to your questions. Thank you for your testimony. We will go now to mr. Rick kaplan. Welcome back. We look forward to your testimony as well. Good morning. Thank you for inviting me on behalf of the National Association of broadcasters to testify before you today. National association of broadcasters is committed to ensure the successful completion of the worlds first ever broadcast incentive auction to the benefit of american consumers, the u. S. Treasury, and Public Safety. Now, to the casual observer at todays hearing might be led to believe that the upsumming incentive auction is just a wireless issue. We will here about the drive to maximize spectrum freed up. The reality however is that the industry on which this auction will have the greatest impact is the broadcast industry. To offer some perspective, organize to o. S. T. P. And the National Economic council, the u. S. Commercial Wireless Industry will soon control more than 660 megahertz of spectrum, more than any other commercial enterprise and well more than its counterparts in nearly every other country. This amount is nearly double the amount allocated to to the broadcast industry. In fact, it will likely contribute less than 15 . By contrast, this will lead an indelible impact. Up upwards of 50 of stations remain on the air. Potential changes could greatly impair the ability of the nearly 60 americans. Our goal is to continue to that those stations that remain ot air will have the samente opportunity to operate as they had prior. The opportunity to provide news, the opportunity to provide direct local residents to lifesaving services to safety in hurricane sandy, and the opportunity some described this auction as a winwinwin although the final victory to be awarded to the broadcasters. To be candid, from what we have seen so far, we will be lucky to escape with the tide. However, the f. C. C. Must ensure three things. First, broadcasters that remain on the air should not be harmed by voluntary auction. Broadcasters must be able to serve the same broadcast area as they did the day before. The f. C. C. Should not move the goalposted by altering the formula by which they calculate. Nor should the f. C. C. Force people people to go out of pocket when they move to the Wireless Industry. The Relocation Fund must be used for its benning budget. If not, broadcasters could face many costs that offer them no benefits whatsoever. The engineering behind the f. C. C. Staff has not been vetted in an open forum. And the time has come to put the engineering assumption to the test. Are sm 4 if this attacks to aggressively, thousands of translators and more will disappear and never return. They continue to support the marketbased incentive is some incentives by congress. Getting it done right is more important than simply getting it done right now. Ours is to continue to serve our local communities in a way that no other service can duplicate. Thank you for the opportunity to testify. We appreciate your counsel. Now we turn to the the executive director. Welcome back. We look forward to your comments. Thank you. I am the executive director for the the expanding opportunity for broadcaster coalition for more than 70 stations interested in participating under the right conditions. They have provided great leadership in moving this forward. Theyre developing recommendations for the auction design and rules. We are cheerleaders for this option. They can reallocate before 120 megahertz in the National Broadband plan even in the largest markets as they will be happy to demonstrate in detail to the staff. These aresure that sufficiently large to induce a substantial amount of sellers to participate in the auction. If they offer to sell their spectrum, the fec will relocate reallocate and raise the revenues necessary to pay the stations, the repacking prices, and fully contribute to deficit reduction. Andn inference ban it. Ant do it, they a rangetations enjoy of attractive alternatives other than participating in the incentive auction. To be sure, economists and lawyers could easily construct rules and auction design such as scoring stations and waiting it that would have the payments to potential sellers. This would lead to less spectrum being offered, less spectrum being reallocated in less revenue being generated. Parties have expressed their concerns about counterproductive proposals to diminish incentives. They issued a statement noting without broadcasters there is no spectrum to auction and that we can be full hearty to limit the incentives from the getgo. This to estimate the scoring and weighted auctions on the number of spectrum sellers and the amount of spectrum recovery. The statute authorizes them to tape these waste on competitive th bidding. As he understand the likely auction design, it will freeze those stations with the greatest clearing and repacking impact at highpriced early rounds of the options. While stations with lesser impact continue to go to lower priced rounds, thereby automatically paying more to the stations most important clearing goal. Should offer the same high initial prices to all stations in the same market and rely on the prescribed option to discipline final prices. We asked them to provide broadcasters with more information about design rules. If there are border markets with a cannot recover 120 megahertz at this time, we support a variable plan to avoid a lowest common denominator imitation on nationwide spectrum recovery. They should allow stations to channel share with any other to change their city of license to the host sharing partner. Should continue their discussions with mexico and canada without making the final conclusion of those discussions in obstacle to holding this 2000 in 2014. Finally, the clear congressional priorities and making a dent in the deficit militates against restricting participation in this auction by any wireless carrier. We need robust competition to assure that this produces the maximum revenue possible. Concerns about market concentration should be left to another proceeding on another day when they may well have been obviated by the germanic marketplace strengthening of sprint and tmobile. Thank you very much. Thank you for your testimony. We will now move to the Vice President of Regulatory Affairs at tmobile. Good morning. I and the Vice President for. Ederal regulatory at tmobile thank you for inviting me to testify today. Tmobile is the fourth largest wireless carrier serving about 43 million subscribers and employing 38,000 people in the u. S. Since the government locked are merger 18 months ago we have been reinvigorating our brand and network. We announcedyear our carrier strategy, setting us apart from our larger competitors. We job traditional plans in favor of affordable plans. We said theres no need for annual Service Contracts anymore. We gave customers the option to bring bring their own device or by one from us interestfree. Customersd jump so can upgrade their phones when they want, not when they are told. Moves arevative putting pressure on our larger competitors. Hey are now copying our offers that is what healthy competition achieves. On top top of all this we are at ang out our phone record shattering pace. The upcoming incentive auction is critical to the future of wireless repetition. Without him we cannot can beat or innovate. They should maximize the amount of auction for mobile use. For spectrum is good competition and good for auction revenues, plain and simple. The commission for its ongoing work to develop rules to ensure they promote choice. They should consider three critical object to this. Encourage broadcaster participation to maximize the amount of auction. Second, adopt a 600 megahertz band plan that maximizes the spectrum for mobile use. Most importantly, adopt reasonable spectrum aggregation limits so the dominic cheerier should not foreclose other competitors from this opportunity to acquire low bryn low band spectrum. There needs to be competitive limits on spectrum. The only dispute is how and when to employ them. We have said no carrier would be shut out of the market even if they exceed the limits. Despite what you may be hearing, limits on spectrum competition are with the directive to promote competition. It is that visionary law that is the basis of the billions of dollars in investment in the millions of jobs that wireless competition has channeled into the u. S. Economy for the past two decades. We need spectrum allocation limits . First, all spectrum is not created equal. The 600 megahertz spectrum is cheaper to employ in both rural and certain urban settings. Today the two largest carriers control about 80 of the spectrum. Half of which they got for free from the government in the 1980s. All carriers meet a mix of high and low band spectrums to compete. No low bandds spectrum. Second, the two dominant carriers have much to lose from competition. This gives them a significant incentive and an ability to acquire them. It was based on its use. You do not pay more for spectrums in the used value derived from it. Matter who your shareholders are. In a letter shared with the subcommittee, carriers joined t mobile and calling for limits to protect competition. Finally, upfront limits enhance auction revenue. Smaller bidders may choose to curtail their participation. Haveut a doubt, this will a critical impact on a competitive future. Will foster competition and investment. The wrong choices will move us backward. Inviting me. Thank you very much. We now tone to the Vice President of Regulatory Affairs for at t. We welcome you here. Please go ahead with your testimony. Thank you for inviting at t to join in is very important discussion. , this is achairman big deal. The option presents the best opportunity to reallocate spectrum for wireless broadband using could be the ifor years t. It is not just about new wireless allocations. It is also about critical Public Safety goals. There is wide agreement it must provide the construction of the first interoperable Public Safety network. Revenues will support broadcaster relocation, next generation 911 services, and muchneeded deficit reduction. The importance has been underscored by both sides of the aisle. Theyre urging them to adopt policies that whe will enhance o enhance these goals. This is by far the most complex proceeding ever taken. They must persuade different bidders to participate in separate but related auctions. In the face of the complexity, there are a few key principles that should decide this at every turn. I agree with to the principles. I would like to discuss how our one remaining principal has this agreement. The primary principle is straightforward. Allow free and open participation by all qualified bidders. This is the only one that will maximize auction revenue and the chance for an option that auction that achieves the stated goals. Qualified bidders are excluded or limited, less spectrum may be relinquished, the spectrum that is offered will sell at lower prices, and the chances of a successful auction will be diminished. As is always the case, there are some who want the commission to gain the rules in favor of searching competitors over others. They share a common thing. This will spare them to other bidders including sprint and t mobile. Neither of which participated in the last major auction. This is televised as it is unlawful. We believe they are unnecessary. Spectrums the largest portfolio of any wireless provider. This is by no means certain that they will participate. This from the owner to fund any future purchases a might choose to make. This has recently acquired substantial amounts of new spectrum including from at t, verizon, and the former metro. They are claiming that net network is less congested and provides greater capacity than does at t. There is no basis upon which to include that sprint or tmobile have a greater need to meet this. There is nontly, basis to include that they lack the resources to bid competitively and when. Apps rules that make it easier or cheaper. Restricting or limiting participation will come at a heavy price. At t and verizon are relegated to a separate auction with its own set of rules. Revenues will be reduced. This would effectively ask u. S. Taxpayers to subsidize the auction. Such rules could impact the calculation that broadcasters will make in deciding whether to art is a paid or not. Commissionged the to adhere to the mandate and conduct an open and competitive auction that toward spectrum to the highest bidder. This is not only consistent with the law but it would offer the best aspect or a successful option meet all of the goals. Other comments with great interest to at t including the need to get the engineering right and the role the services can play. At t believes that broadcasters that, to the auction table are not selling the broadcast is this. They are relinquishing their rights. Shoulduation mechanism be consistent with that reality and opening prices should be set at a lead at a level that will encourage participation. It presents the normal opportunity and risk. The stakes are as high as it is complex. That theins confident commission will adopt option auction rules that will maximize this up or successful auctions with all the benefits by congress. Before i conclude, one comment said. Ething ms. Ham she said we got this for free. That is incorrect. They were originally allocated to incompetents. They have changed hands many time and the secondary markets. The vast majority of the portfolio was purchased in the secondary market. I can assure you we paid big values for that spectrum. I wanted to correct that one fact. I appreciate your time. We appreciate your testimony. We will now go to the question phase. We want to thank you all for your testimony today and her counsel. , lowpower translators play a unique role n translators for emergency regulation. Are they considering repacking procedures that will minimize the negative impacts the auction will have on television translators and low powered television were possible . The Commission Recognizes the Public Interest concerns that you just stated. The congress made the decision not to include low powered translators but it does not mean that they are not highly valued aspects. In considering the repacking and incentivect of the ask specific questions about translators. This may be a misapprehension on some parts. In any of our deliberations what we are seeking to do is to have a core amount of spectrum across most of the United States. There may be some areas in parrot. In rural areas we are not seeking to eke out the last , especiallyectrum in recognition of the issue you stated. Again, the spectrum act requires them to follow the 69. Odology of bullet they have released multiple Public Notices on changes to the software and input it intends to use to run the repacking and analysis. Including the use of new data and assumptions. You believe the proposed changes comport with the act . Why are those changes necessary . Are believe the changes unfounded. Ul and i have a different view. It requires us to maintain the methodology. We believe we are maintaining the methodology. What we are looking at is updating the inputs. We are looking at doing such things as 2010 senses. It makes a lot of sense to update the inputs to the software. The original software is just capable of operating. Why do you think these are theseestion mark are wise . We did it. Those were the easiest times. Congress made it clear as to what they should do. There is a very simple methodology. Had to go about calculating our coverage areas. They do not allow them to move the goalposts, mostly to create certainty about what broadcasters will dissipate. As we did our analysis on the changes that are occurring, they become wildly inaccurate. We get different results. Shrink our coverage areas quite a bit in certain areas of the country. We think it runs far afoul of what they intended. We will follow up on this. The staff has taken an unusual step of freezing new and byding Applications Television stations to modify their areas. Some have been pending for years. They will allow broadcasters who wish to remain on air to bring local news and emergency information to a larger audience. Is the commission considering any kind of analysis to determine whether sun can be granted without disrupting the incentive auction . You know one that would make the repacking process more difficult. We are. There are two sentences worth of background. Forset a specific date applications to be considered in the repacking. These applications were either pending or not granted by that date. They found in the notice they had the discretion to grant them but put it in for a freeze in place. I would think there would be some markets where we also put in place a waiver. Equest for particular hardship the answer is yes we are analyzing those stations. Mr. Kaplan, do you care to homage . Anytime you freeze and industry from acting, you. Reeze investment that is what is going on. We have proposed another solution. Can agree it might help the process in general. It is to move forward on this portion and not wait for issues like competition and other things but adopt in order, making the decisions that are proposed in the notice of the rulemaking on the issues. Whatcc will have decided stations are protected and what stations are not. We would support that. Did you want to comment . Just quickly. Anything that i say with respect to recommendations ultimately has to be acted on by the commission. What the staff does is make recommendations to the commission and the commission does the decisionmaking. What we are concerned about is in a complicated process we do not want to get ahead of ourselves and make decisions which we may regret later which bel significantly affect our packing. We are doing exactly as mr. Kaplan said. We are trying to determine whether they will have any effect on repacking. I appreciate your answers to my questions. We will turn to the lady from california. Thank you. Thank you to each one of you. I think that this is not only a very Important Panel but your testimony is, we are hanging on every word that one of you are saying. Obviously there are differences between you. There is something that is about authoring me strongman being set up. Want toe those that exclude or are seeking to have at t and verizon excluded from this process. Theres not anyone that has suggested that. I have not found that. I have tried googling it. I asked my staff to research. Theres not anyone that has suggested or is for that. I think i heard a suggestion that if this is not set up the way you wanted, that at t will not participate. If it goes exactly the way you wanted the entire auction will fail. Dollarsnot produce the for the inoperable nationwide Public Safety network and the auction will not be successful. Stating thatlly if you do not get your way that youre not going to participate . No. I apologize if i suggested that. I do not suggest that at t will not participate. If there are not exclusions by name they could act with this. If theres not room for competition by smaller carriers, it do you think the auction will fail . No. I believe there is room for all bidders to come in and win. That is exactly what we have seen. I think she just said something that may please you. Of broad in favor participation. I used to run the spectrum auction. I saw what a successful auction look like. Successful auctions is one where you have a lot of bidders bidding in a lot of markets. That is what tmobile would like to see. That is what we think will be accomplished with reasonable spectrum aggregation limits. We and others are not saying exclude at t and verizon. What we are worried about, and there might we are not sure how much spectrum there will be in this auction, it all depends on what broadcasters show up, if there is less spectrum here, there is a much greater likelihood that at t and verizon and divide and conquer, ok . To the nobid you roll, that is what we are talking about here at i was waiting for us to that isggie rule, what were talking about here. I was waiting waiting for someone to bring that up. The fcc has not run an auction in five years. This is the most important since the pcs auction. There was a duopoly. Guess what the commission did . They put in place reasonable aggregation limits. Tmobile stand here today as a impenetrably because of that good policy. That is what we are for. Thank you. Is just a curiosity question. It do you the sec will meet its goal . What our charge is for the staff to do whatever it can to place the options before the committee to adopt a report in 2013 and to hold the auction in 2000 14. That is what we plan and attend to do. You have confidence they can do in 2014 . Whether it happens in 2014 is above my pay grade. We will do everything we can to empower the commission. You are a wonderful diplomat. I think everyone in this room how strongly i feel about the unlicensed spectrum, the fight to get that into the spectrum bill. For thea real victory country that we did and that we continue on that path to not only protect it but in large it. This is known at home, it is a very important organization, it concluded that making more would add significantly to government revenue and could result in higher revenues than it meant with were sold under exclusive licenses. Do you agree . Wax absolutely. When we add unlicensed spectrum boom,ke that available, new services and new devices with new opportunities. Garage door openers. Groundworkh laid the for wifi. Tv spaces in the short time it has been available, we have got a huge backlog of orders. We have seen other countries in europe. Kenya, south africa, new zealand all looking at this technology. Pilot projects all over the world. This is a fantastic engine. An opportunity for growth. A question, mr. Chairman , whiche a time frame witnesses need to respond to us . Know the answer to that one. 10 days. Inc. You very much. Time is expired. The chair recognizes representative lachman for five minutes. Thank you, mr. Chairman. I thank you all for being here. Interesting to hear such a spirited conversation. I think we all appreciate this. The same goal, giving the spectrum out to the marketplace so we do not end up with a spectrum crisis. , because come to you i know you have been running ad that claims your less congested than at t. I saw a Financial Statement that thenmore spectrum for lt all of its competitors combined. Then you were talking about at t being excluded. Are true, your ads why would you not want at t in the spec from in the spectrum auctions . It helps us to have at t in our neighborhood. We were the leaders of building aws spectrum. It helps to have your competitors out there buying from vendors. We want them in the neighborhood. That is not what this is about. , going backour ads 18 months, i think i referenced we got some spectrum from verizon. We are in a stronger position than we were eight teen months ago with the upper band spectrum. One digg or heard ,pectrum, if it is so important why did tmobile participate . With all due respect, i think we have to take the market 2006. Is today, not the market has changed dramatically since then. There were barely smart phones in 2007. We aggressively hope that spectrum. Federalompasses 20 agencies. We were deep in the throes of that. We visited a lot of offices. Clearing the department of justice and the department of defense is no easy job. The other thing i will say is we have to take the spectrum in the order we get it. The 700 megahertz off shin came after it the aws auction. So we could compete that was the auction on the block. We put our resources into clearing it. We are using that spectrum were probably using it most, that is our lte spectrum. We do not have low band spectrum and that is what this auction is about. And i am his handout going to recognize him. You forng to recognize your comment. Also, in your written testimony, you were comparing your auction at t and verizon, i came to the Boston Celtic to play the celticskin to playing amateur. Faith you have so little in these providers . Let me say, yes, i cannot help to think fondly of the that is thes, but product of growing up in boston. There are many competitors comparable to tmobile and sprint. They were going through their own internal spec trim issues. They all got beat. After they choice came up and the. We came up and the. Up empty. Andof these players came because when push came to shove, verizon and at t were able to bring the most sources to bear on the licenses they wanted. That is what happened with 700 megahertz. If tmobile had then there they would have gone the same way. My time has expired, but i will just mention for the record i read a citibank report. In preparation for this. I think verizon has less spectrum per million paid subscribers than any of you at the table. To be carefuld about talking about trying to keep people about or restricting the auctions. Ideal act. The gentlelady yields back. The chair recognizes the gentleman from california. The Ranking Member of the committee. Inc. You very much, mr. Chairman. This law had multiple goals in mind. These roles include using auction revenues. The creation of the nationwide safety net. These goals are not mutually exclusive. Do any of you think that the fcc is not capable of conduct in bothction that addresses of these critical goals . No one responding. They are absolutely capable of doing that. Thank you. A simple hypothetical question for our panel. If the auction clears enough that term for the the to sell, should the the allow anyone bitter bidder to acquire seven licenses in the market . Why no. Certainly not. Whatever skills i exercise i would like to exercise again. Yes or no i do not believe anyone on this panel has answered that question. I think that only one bidder should win. Congress has asked a great deal of this one small proceeding. To volunteer their spectrum to shouldnough money the fcc allow under my hypothetical anyone did or to acquire the licenses, we believe the priority has to be to maximize the revenue to achieve the Public Interest goals congress has set. Should it allow it . We deferred to the market forces. No. I dont think any one bidder should acquire it. I think it is highly unlikely that that would never happen. We have always had a diversity of winners even when auctions were open to participate. At t hasd always never suggested that would not continue to exist. When Congress First granted the it 42 conduct spec them the law included specific instructions about what they must consider to protect the Public Interest. J, the fcc is 309 required to promote the economic to ensure that new and Innovative Technologies are readily accessible to the American People by avoiding excessive concentration of licenses and disseminating licenses among a wide for ride the. Variety. Do you think these decisions are equally valid today . Absolutely. The spectrum act of 2012 nothing insays that the subsection will be construed to expand or contract the authority of the commission except as otherwise expressly provided. Those provisions remain. A were not explicitly addressed. The Congress Sets the rule by which you implement those things to say it must be a rule of general applicability. Those remain not only legal but we would argue under the statutes you have cited, necessary. No. I think those provisions are very wise and valid. As i indicated before, the reason why tmobile exist today. Millions of jobs have been created since that l a w since that law was dienacted. The department of justice filed a letter earlier this year. The department expressed concern that the incumbents may have the incentive to pay the foreclosure value for the purpose of blocking competition. An article in the wall street journal suggested that at ts evidence that foreclosure might be a real concern given that at t is willing to spend eight times there are 2013 earnings to acquire the carrier. Doj absolutely think that was correct particularly with guard with regard to the low band spectrum. There is no fracking that we can do to get low band spectrum out of the spec from shale spectrum shale. This is our last chance to get low band spectrum to competitors. Verizon is advertising its low band spectrum on its lte network they are advertising you can get better reception in the woods using 700 megahertz. That is really valuable stuff. Even consumers who do not know what megahertz is to understand. It is incredibly valuable and we need to make sure competitors have some. Chairman i want you to be able to the gentlemans time has expired. If you could make it read . The foreclosure is addressed by the requirement. All transactions have stringent requirements that require any licensing to build it in specific time frames or face significant consequences. We think that illuminates any potential threat of buying spectrum simply to foreclose competitors. Thank you very much. The time has expired. I want to thank the witnesses for your testimony today. Expect outstanding panel. , i want to start with some of your testimony. If you could get more comments on this. In february of this year, the fcc staff resented presented the seven key components of the auction. This listay this is remarkable for the fact that almost one year and a half after the spectrum act they still have no clear idea how and when fcc plansns the to apply the components. One concern is transparency not just transparency for transparencys sake, but on the list of the seven that are there, aside from the first one theated right congress, options for participation, but bringing people together. We had the conversation before to Work Together prior to the wings coming out to figure out how we can help you. We would love to be of assistance. Understanding where they are in the process is enormously important. Otherwise we are shooting in the dark. All of their comments about transparency are about transparent the and engagement. Transparency and engagement. ,ot knowing where things stand might be,ight we i think transparency and engagement are central. I know this is an issue that is very important to both the ,hairman emeritus and others mr. Dingell is in west ohio, has there been further coordination onefforts on a Timeline International agreements with the canadians . Especially looking at the trum, trying to get mr. Chairman, if you would indulge me, i would like to respond to mr. Kaplan. I agreeefly, i think with the need for transparency and engagement. With what the commissioner has done over the last year. There have been four workshops. Beenomments that have filed. I have actually of all of the Panel Members that are here, the nab has been here more than 15 times to have meetings with staff. We welcome their engagement. We welcome the engagement of everyone on this panel. If we can do better, we will do better. A crucial and important part of the incentive auction process. To your issues, we agree it is an important important to allow us to do as much as we can to reach agreements with mexico, to allow us to reclaim more spectrum in the border areas. We intend to follow these vegetarian requirement to coordinate with canada and mexico. We are committed to advancing the process. We are working closely with the International Bureau and the department of state. Held with at been least the last four or five months on technical matters. The chairwoman places this at. He highest priority level she is flying to canada next 30 and has asked me to accompany her to engage in highlevel agreements. To reach what we intend to do by the time is to provide as much certainty as possible. It is not different or that with respect to negotiations. , like the auctions 700 megahertz auction, the analog to the digital transition, we have had similar issues and successes. Thank you very much. My time has expired. The chair recognizes the gentleman from pennsylvania i am sorry, the gentleman from michigan, the chairman emeritus, mr. Dingell, for five minutes. Thank you for your kindness i am interested in seeing the incentive auction is authorized by the middle class. A fair and transparent manner. Broadcasters should be treated fairly. I will do my level best to takes noe Commission Action that would drive customers they should implement new rules that allows the greatest number of parties to bid on reclaimed broadcasting frequencies. I will be most interested to hear mr. Epsteins response. Questions this morning will be directed at him. There will be more than yes or no. The reverse auction. 4063b1 reassigned Andrea Callie Cain did catch reassigned and reallocated frequencies. The response to my letter of inquiry about the first option, you made the following statement. Ection four 031 in describing his handling of the earlier transition, the commissioner adopted our. Roposed metrics notwithstanding the broadcasters request to the contrary. One could assume that they stunned that statement that that on that statement, pursuant to the negotiations with canada and mexico that salon going is that correct . Yes. Is that going to happen . As i stated in response to the prior question, we are doing every a and i can to provide as as we can. Irtainty on this matter remind you this is subject to intense discussion, or should he, between the u. S. , canada, and mexico. So services do not go dark. Is it correct that they have not 403 of theection act . Yes. I encourage you not to assign or reallocate the frequencies negotiationsntil are concluded with mexico pill with mexico. For their sake, i prefer you measure twice and cut once when it comes to broadcast repackaging. I would like to turn my attention to the former auction. I noticed the commission has a has aeding. Roceeding on 2012 yes or no . That is above my pay grade. The schedule for the Commission Acting on this order is something the commission will take up. I know the commission has expressed a desire for clarity before the incentive auction goes forward. You are comforting me, but only slightly. [laughter] t contains an interesting sub paragraph may or revokeicenses spectrum usage rights unless it received unless the proceeds are greater than the following three factors combined. Those factors are the total amount of compensation that the Commission Must pay successful hitters in the auction. Bidders in the auction. In addition, it is in the Public Interest that the commission ensures that the auction makes a significant amount of money in order to help the buildout. Together, these constitute significant pressure on the commission to maximize the auctions revenues. Yes, it is. Are there simple rules to encourage participation by the broadest group, yes or no . Yes. Sent byuly 16 letter mr. s in goal, butterfield, and to the commissioner tothe former auction be included in the record. To rigorousubject oversight in order to ensure the tonsparency and changes congress has set forward in the act. I thank you. Without it jack chin, your , will, and its response be entered in the record. I think my questions are going to fall right along with mr. Dingells point. You have studied the act to a sufficient degree that we can. Alk through the auction i want to go through these sections. Are you prepared to answer . We have 7 billion for the first b2, local implementation of funds. 24 billion for deficit reduction. We are good on the numbers so are . Itsounds correct sounds correct. Billion dollars for tv. 28. 7omes to about billion is what is projected under the act. I am told. Will the auction role ruled that you are devising i cannot reject how much money we are going to make. To get maximum broadcaster participation. To the 28. 7on billion, do we also might we also needed is no proceeds to pay broadcasters who participate in the incentive auction . He total amount of money more than 28. 7 . I do not have the exact numbers. Heres the crux of the question, in line with the letter the democrats sent. Are you trying to design an auction that reaches the goals of the spectrum act that we went over . That include to maximize the spectrum that is repurposed area the second goal which is equally thertant and i talked about statutory requirements that are to pay the broadcasters and the reimbursements. Let me finish up. Theres nothing i want to get to. If we impose instructions restrictions to at t and verizon , can we get these . Isnt an issue you heard today being debated. They take the different positions on them. One carrier here says you will maximizeauction maximize options auctions. Which of these is correct and in the Public Interest. The Public Policy was designed by the legislation to funds we have the available to roll out our First Responder Communications Systems and all of these other applications. We have to get it right. That is why we are focusing on this. There is a struggle. This is our best spectrum. It is not a small field. It is our best spectrum. It really our biggest bite of the apple. And hence the oversight over this. Let me just finish up with the question. You almost had me we talked about fracking. [laughter] i was there with you. You do propose a position which i find its more challenging for me when you pull away from spectrum for further use, it will be more valuable. Ham and mrs. Mrs. Marsh to respond to whether they agree with that and why or why not . One thing i wanted to clarify to make sure you understand, you guys are wise in putting other so wasm brands bands not just write a cast, their least 65 megahertz. If you want to put additional, that to raise money. That is for another time. There are other sources. I want to make sure that you understand that. Again, your other question excuse me. Amountyou have a limited , it doesnt make a more valuable . There are a lot of different factors that go into options auctions. The biggest factor is the number of special. Tmobile is called for a band plan. Is calling for a band play. It was a huge impact on revenue. Want to see the maximum amount and maximal amount of participation. We think itll raise the most revenue. And to correct and that there are different durations area we all agree we need to maximize spectrum. We believe we have to get the engineering right. Cannot put forward a band plan and has engineering challenges. Whichr specific question is on licensing, at t supports unlicensed location if they can exist and do not create interference. The biggest challenge would be if we introduce a licensed and we will suppress the value of the allocation and will suppress auction the revenue raised at auction and we will suppress the revenue raised at auction. , we have to have a reasonable interference. My time expired. Are right, we do not want to this interference. We go down to mr. Doyle from pennsylvania. Thank you. Just to follow what. Much has been made about the role of the auction of the act that chris the incident process also provided part of the act that provided for it is proceeds Going Forward for the funding of first net which mrs. Ham just referred to. What other auctions will you draw from . Let me apologize. I am innately opus of this and the innately focused on incentive auction. They are running a series of options that will contribute to the person that and other emergency funding obligations. I can supply you with a list of those auctions. Let me ask you also. Members of the committee that we heard for today have expressed concern that spectrum aggregation limits will result in lower revenue. When i read your testimony, t mobile and others are arguing quite the opposite. On with how an aucti limits can result in higher revenue. Greater participation. As i said earlier, we do not know how much extra will be in the auction. It is easier for at t and verizon that happen 80 concentration in the spectra today to be able to divide and conquer it. On andbidders who signed were put into the record would attest to the fact that having some reasonable limits and again, we are not calling for the exclusion of at t and verizon. Bear in mind, they have 80 of the lower band spectrum. We are told are reasonable aggregation limits to give everybody opportunity on a foothold on the spectrum. If these are these reasonable limits that are in place and this will encourage more participation from Smaller Companies . Absolutely. I draw from my experience. Running the spectrum auctions. We did that. We had a limit. You had a situation where you had to cellular droplets duopolies and there was a limit for them to acquire spectrum. Spectrum putting remember the huge phones used to have any high prices we were paying . We do not want to go back there. Putting the spectrum into the burkett is the most important into the market is the most important auction. You need to get and take into consideration the competitive structure and importance of the spectrum to competition Going Forward. Mr. Epstein, i want to followup on something. That the concerned band plays that are being offered by some stakeholders do not provide adequate spectrum. What did comment the record at the fcc and how does the fcc ofw those comments in light its responsibility to encourage innovation and flexible usage of spectrum . Our original notice andgnizing licensed unlicensed spectrum. It is one before policy goals i talked about in my opening remarks. The act permit use of spectrum without option and what the notice does and what we are committed to doing it a balanced approach. Will of course comply with the statutory requirements that they are not larger than technically reasonable. Thecommittee will make ultimate determination recognizing that portis of license unlicensed spectrum. And finally mr. Epstein, just for the record is there some concern about transparency and whether there is engagement interest piercy at the fcc. I had you mentioned there were 15 meetings. Just for the record, can you tell me how many times the commission has met with witnesses here today of the panel . I can. I want to preface by saying i consider is strictly positive area we get a lot out of these meetings. We hope they will continue. And we welcome them. Our record shows we have 15 and eo bc. Th the nab and tmobile, 16. Mr. Chairman, thank you. The gentleman yields the back. And the gentleman from mr. From louisiana. I appreciate you holding this meeting. All the panelists and i know youre working hard to get to the point we want to and 12 successful spectrum auction. I want to commend the chairman which i do not do a whole lot. I usually just make fun of him. The fact that his legislation to move forward after years and years of people talking about this and trying to do it erie it he made it happen. I do and it is important to note that. And trying to do it. He made it happen. I do and its important to note that. If you look at the two purposes that were brought forward when the chairman brought legislation into the final act, it was to number one make sure we had the 7 billion to build a national Public Safety network. Something that had not been done until september 11 and have been proposed by a lot of people. Wasthe other part of that to generate additional revenue to reduce the federal deficit. That is important point that cannot be lost we tell by setting up the rules. The rules of any game are very important because ultimately they can have a major impact of how the game will be played. Mr. Epstein i want to ask you, we have had different testimony. There been people to measure the rules are set up that is fair and in some cases that want to make sure it is fair to them. Your role is to make sure it is not only their for the people who will be participating also there for the american taxpayers. The taxpayer has a big role in this. If it is not set up properly and there are limitations to entry that you do not allow for the amount of bidding they the greatest amount of revenue a month that is less money to reduce the national deficit. That is something we have to watch out for not only as legislators, but you as a regulator who is trapped in these rules. Put ine are limitations place to entry that ultimately would reduce that competition and reduce the revenue to not only build up networks for First Responders and to pay down the deficit. Are you thinking about that in addition to all of the interest you are getting from the people who will hopefully coming to b id and tv to make sure yielding the most revenue is a big component to reduce the deficit . We are looking at that as a major goal. We are also looking at the overall statute. As many people have stated here, many congresspeople, it is a balancing act. The goal and that you point out is extremely part of that balance that must be struck. I encourage you to keep that in mind. And mrs. Ask mrs. Ham marsh because you have competing views. When you say the willations on auction increase competition. I am not quite understanding that. I want to get your take and mrs. Marshes, it on that as well. Thank you for that. Auctioticipation in the ns i have participation you had a lot to bidders are bidding area those were they held the options that will raise revenue. Mobile together with that, regional carriers submitted the letter today are all calling for limits. They believe it will make it more likely they will participate in if you do not have the limits. Mobile ise limits, t not suggesting excluding at t and verizon, understanding they have 80 of the spectrum today. We are not saying exclude them. We are saying give everybody else a shot area a shot. And getting strong competition is the way to raise revenues. Mrs. Marsh . And i think to understand what is going to happen is we do not need to go back to the pcs auction. 214 qualifiedre bidders. It was an open participation auction and nobody was excluded. 101 bidders won licenses. Congressionalded expectations of by over 10 billion. An open option can succeed. Mr. Feld suggests a lot of companies were shut out. But we point to a couple of companies that signed the letter. One significant spectrum at that dish including spectrum covered most of the United States. Another company was the fourth largest owner. An open auction with full participation can result in a diversity of bidders and increase revenues area if i have a moment i would like to respond to some the comments about the low band spectrum. Theres been a lot of discussion because it is low band spectrum in a broadband world. It is about capacity to react capacity is driven by two things. The with you to put together regardless of where it says and how wide the channels are and how did you build the network. The type of environment is not about low or high band. His output together wideband and building dense networks. It is about wide band is building dense networks. I appreciate your testimony. I look for to a successful auction. Broadcasters should be treated fairly. Thisare participating in and the impact it will have on this. The sec is looking at this. I yield back. Ask consentike to to enter into the record a letter of the telecommunications supportingk andion participation maximizing licensed spectrum. That will be entered into the record. That concludes our hearing for today. We appreciate your testimony and counsel and work. There is that still need to be resolved. We have taken note of that. We commend you as you move forward to work this out. Andave a successful auction be the generator of innovation and generate revenue. Thank you. For would like to thank you the excellent of this hearing and bringing together the witnesses that we have here today. Very important. You have all been instructive. Bravo, mr. Chairman. Enlightening for the subcommittee. I am very pleased there are two women. [laughter] even though they do not agree with each other. In high positions in american companies. Thank you again. Our team effort organizing panel. We appreciate you and your staff to work. Will stand adjourned. Said intelligence Ron Wyden Senate intelligence ron wyden is the guest on newsmakers. He has been a critic of Data Collection programmers. He tells about the response and senate. 10 00kers is on sunday at a. M. And at 6 00 p. M. Eastern on cspan. Also sunday a look at the immigration status. The house judiciary subcommittee heard testimony this week from two witnesses who described the hardships of living as undocumented immigrants. House leaders are working on a bill to address the status of dreamers. You can watch a hearing on sunday beginning at 10 35 a. M. Eastern on cspan. Lady reflects the schism that is and the United States about what women are supposed to be today. Are we supposed to be mom in chief . Or first mate . And the that opposed bes up as head of state, is the first lady supposed to be the ideal , firstista, mom in chief helpmate . Is she is going to be first helpmate, she really has to understand what is going on it administration. She has to understand what is going on in the country. She has to understand her agenda. You cannot separate how the andt lady presents herself the conflicting expectations that the country still has four working wives and mothers. As we continue our conversation over his latest, historians and others talk about the role of the first lady and is move from Traditional Home and family to activism of important topics. Monday night at 9 00 eastern. In his weekly address, president obama said bipartisan report is needed to provide the middle class with good jobs, healthcare, and and quality education. House majority leader ariba has the eric cantor republican address. Hi everybody. On wednesday, i spoke about what we need to do as a country to build a Better Bargain for the middle class to make sure everyone who works hard has a chance to get ahead in the 21st century economy. You see, over the past four and a half years, america has fought its way back from the worst recession of our lifetimes. We saved the auto industry, took on a broken health care system, invested in new American Technologies to reverse our addiction to foreign oil, and changed a tax code too skewed in favor of the wealthiest at the expense of working families. As a result, our businesses have created 7. 2 million new jobs over the past 40 months. We produce more Renewable Energy than ever, and more natural gas than anyone. Health care costs are growing at the slowest rate in 50 years. Our deficits are falling at the fastest rate in 60 years. Thanks to the grit and resilience of the American People, weve cleared away the rubble of crisis and begun to lay a new foundation for stronger, more durable economic growth. But as any middleclass family will tell you, were not yet where we need to be. Trends that have been eroding middleclass security for decades technology that makes some jobs obsolete, global competition that makes others moveable, growing inequality and the policies that perpetuate it all these things still exist, and in some ways, the recession made them worse. Reversing these trends must be washingtons highest priority. It sure is mine. But over the past couple of years in particular, washington has taken its eye off the ball. An endless parade of distractions, political posturing and phony scandals shift focus from what needs to be done. And as washington prepares to enter another budget debate, the stakes could not be higher. The choices we make now will determine whether or not every american has a fighting chance in the 21st century. If we dont make the investments necessary to make america a magnet for good jobs in education, and manufacturing, and research, and our transportation and information networks, we might as well hit the pause button while the rest of the world forges ahead in a global economy. And thats certainly not going to fix what ails the middle class. Heres what will. A strategy that builds on the cornerstones of what it means to be middle class in america, and what it takes to work your way into the middle class. Good jobs that pay good wages. An education that prepares our children and our workers for the global competition theyll face. Homeownership thats based on a solid foundation, where buyers and lenders play by the same set of rules. Affordable health care thats there for you when you get sick. A secure retirement even if youre not rich. More chances for folks to earn their way into the middle class as long as theyre willing to work for it. Over the next several weeks, in cities and towns across the country, ill continue to lay out my ideas in each of these areas. Because reversing the forces that have conspired against the middle class for decades will require more than shortterm thinking; it will require a longterm american strategy, based on steady, persistent effort. I know there are members of both parties who understand whats at stake, and im open to ideas from across the political spectrum, as long as they meet the test of strengthening the prospects of hardworking families. But repealing obamacare, gutting critical investments in our future, threatening to default on the bills this country has already racked up, or shutting down the government just because im for keeping it open none of those thing add up to an economic plan. None of that will take this country where it needs to go. We can do this if we Work Together. It wont be easy, but if we take a few bold steps, and if washington is willing to shake off its complacency and set aside some of the slashandburn partisanship weve seen in recent years, our economy will keep getting stronger. And as long as i have the privilege of holding this office, i will spend every minute of every day doing everything in my power to make this economy work for working americans again, to build that Better Bargain for the middle class, to make sure that the American Dream is something thats achievable for everybody not just today, but for decades to come. Thanks, and have a great weekend. Of americansllions will go to sleep worried. Worried about a job, healthcare, and whether they can ever get ahead. One of the bills stacked up, many middleclass families wonder if they will ever be enough money at the end of the month to save for retirement or college to wishing. All the while and out of touch government in washington continues to use its power and put special interests first while hardworking americans are left to pay the bills. Many in washington have forgotten the most important principle that the federal Government Works for you and not the other way around. Each week, House Republicans are working to fix this problem. This week we will address government abuse those threatening your hardearned paycheck as well as your sacred liberties. Well cut government waste by passing legislation that prevents washington bureaucrats are breathlessly spending your tax dollars. Will a short that officials accused of serious offenses will not be paid while they are under investigation. We will put an end to lavish compensation and requiring online disclosures and prior approval by senior officials. We will stop the excessive granting of hefty bonuses to Government Employees. Squandering other peoples money is one of the easiest ways to lose their trust. These measures are a step in the right direction to restoring trust for you the taxpayers. We will also focus on restoring our economy. Intrusive government regulation continues to hurt job growth and make your paychecks smaller. It requires congress to approach any new approve any new regulation that threatens to impact or at costs to business for working families. Cutting red tape makes sense. It creates jobs and put more money into your wallet. Irs from remove the having anything to do with your healthcare. The white house announced it delayed the employer mandate under obamacare. The evidence is clear area this law is threatening trop growth and turning fulltime is threatening job growth and turning fulltime and two part time jobs. Requires an unholy union youren the irs and protected health information. Recently, all of us have been finding out more about the iris, its activities it is databases. The Doctors Office is the last place anyone would want to find the irs. Your Healthcare Information is private and should remain so. And finally, House Republicans will give you more power to hold washington accountable. We will move legislation right toing citizens a record conversations with federal regulators. We will require Government Agencies to adopt Customer Service standards. How Government Employees interact with you must be considered when it comes time to evaluate how well they do their job. We look forward to passing this agenda but we beat your help. Please visit close sponsor cosponsor. Gov. You can also go to twitter and support in these by 20 tweeting. It should receive bipartisan support because of the lease are not just reforms we want him a these are reforms that our country needs. You deserve a government that works for you, not against you. Step reforms are one toward rebuilding the trust in our government and faith in our economy. Thank you and have a great weekend. , government next is the robertcators with mcchesney talking about the internet and how it has changed in the last 20 years. At firstinue our look late we continue our look at first ladies. That the congressional caucus on black men and boys hosted on capitol hill focusing on the status of black males in the United States