Nev. Senator Seeks Cost-Benefit Review of Net Neutrality Regs

Senate Commerce Committee Member Dean Heller (R-Nev.) has
formally requested that the FCC review its network neutrality reg order in
light of the President's directive to independent agencies, including the FCC,
on reviewing burdensome regs.

The President made clear in the July 11 executive order
that he expects independent agencies to publicize a plan to do a cost-benefit
analysis of regulations and their impact on jobs and the economy.

In a letter to FCC Chairman Julius Genachowski, Heller
applauds that effort and says since the network neutrality regs were approved
without a market power analysis it is ripe for review.

"It is important to understand the implications of
the FCC's net neutrality order and its impact on jobs.  Over the last
fifteen years, we have all witnessed an explosive growth in innovation and
investment in infrastructure," wrote Heller, according to a copy of the
letter supplied by his office. "Before this rule goes into effect, it is
imperative that we fully understand the impact this regulation will have on our
economy. Failure to fully understand the cost benefits [Sic] of this rule could
slow our economic recovery and harm job creation."

He wants the FCC to conduct a cost-benefit analysis on
the rules, and if not, to give him the reason why. Either way he asked for an
answer within two weeks of the letter, dated July 12.

The network neutrality rule changes were adopted last
December, but won't go into effect until October at the earliest because of
various Paperwork Reduction Act comment deadlines and the FCC's decision to
make the effective date 60 days beyond the final paperwork sign-off, which
won't come until sometime in August at the earliest.

John Eggerton

Contributing editor John Eggerton has been an editor and/or writer on media regulation, legislation and policy for over four decades, including covering the FCC, FTC, Congress, the major media trade associations, and the federal courts. In addition to Multichannel News and Broadcasting + Cable, his work has appeared in Radio World, TV Technology, TV Fax, This Week in Consumer Electronics, Variety and the Encyclopedia Britannica.