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June 14, 1995 CONGRESSIONAL RECORD — SENATE S 8305 Forge; New Orleans; Mexico City; Get- sion, they have done so with a sense of sections (b) and (c) maintain this regu- tysburg; Havana; the Philippines; Ver- purpose, professionalism, and patriot- latory authority of local jurisdictions, dun; Bataan; North Africa; Monte Cas- ism. We are grateful for the sacrifices but subsection (d) preempts that au- sino; Normandy; Arnhem; the ‘‘Bulge’’; these individuals have made and the thority, and this is what is of vital con- Pusan; Seoul; the Ia Drang Valley; Gre- example they have set for future sol- cern to the cities, the counties and the nada, Panama; Kuwait, and, Iraq rep- diers. With a heritage as proud as the States. resent just a partial list of the places one established by our Nation’s sol- Senator KEMPTHORNE and I have a where ordinary men brought distinc- diers over the past 220 years, we know simple amendment. That amendment, tion to themselves, the Army, and the that the U.S. Army will always remain quite simply stated, strikes the pre- United States by their actions. the finest fighting force that history emption and takes away the part of We must also not forget the many has ever known. this bill that takes away local govern- other campaigns and operations the f ment and State governments’ jurisdic- Army has undertaken in its history, tion and authority over the rights-of- which have included: surveying the un- CONCLUSION OF MORNING way. charted west coast; protecting western BUSINESS We are very grateful to Senator GOR- settlers; guarding our borders; assist- The PRESIDING OFFICER. All time TON who has presented a substitute, ing in disaster relief; providing human- having expired, morning business is which will be voted on following our itarian aid to other nations; and con- now closed. amendment. However, we must, quite ducting medical research that benefits frankly, say this substitute is inad- f soldiers and civilians alike. There is equate. simply no question that the U.S. Army TELECOMMUNICATIONS COMPETI- Why is it inadequate? It is inad- has had a tremendous impact, in many TION AND DEREGULATION ACT equate because cities and counties will continue to face preemption if they different ways, on the history of our The PRESIDING OFFICER. Under Nation and the world. take actions which a cable operator as- the previous order, the Senate will now serts constitutes a barrier to entry and Soon we on the Senate Armed Serv- resume consideration of S. 652, which ices Committee will begin our mark up is prohibited under section (a) of the the clerk will report. bill. As city attorneys state, is a city of the fiscal year 1996 defense author- The bill clerk read as follows: ization budget, including the money insurance or bonding requirement a A bill (S. 652) to provide for a procom- barrier to entry? Is a city requirement needed to support the Army. Often our petitive, deregulatory national policy frame- focus is on what weapon systems we that a company pay fees prior to in- work designed to accelerate rapidly private stalling any facilities to cover the need to fund, how many new tanks, sector deployment of advanced telecommuni- field guns, or rifles we should purchase, cations and information technologies, and costs of reviewing plans and inspecting but our chief concern is always provid- services to all Americans by opening all tele- excavation work a barrier to entry? Is ing for the soldier. We work to ensure communications markets to competition, the city requirement that a company that the young E–3 has a quality of life and for other purposes. use a particular type of excavation that is not beneath him, and that the The Senate resumed consideration of equipment or a different and specific soldier who dedicated his or her career the bill. technique suited to certain local cir- to the Army and Nation is not forgot- Pending: cumstances to minimize the risk of ten. Each of us on the committee, and Feinstein/Kempthorne amendment No. major public health and safety hazards I am sure in the Senate as well, under- 1270, to strike the authority of the Federal a barrier to entry? Is a city require- stands that it is the people—the newest Communications Commission to preempt ment that a cable operator move a State or local regulations that establish bar- cable trunk line away from a public recruit and the most senior general— riers to entry for interstate or intrastate who make up the Army and guarantee park or place cables underground rath- telecommunications services. er than overhead in order to protect the security and defense of the United Gorton amendment No. 1277 (to the lan- public health a barrier to entry? States. We may have an arsenal of guage proposed to be stricken by amendment These are, we contend, intensely smart bombs at our disposal, but it is No. 1270), to limit, rather than strike, the preemption language. local decisions which could be brought the soldier who must face and defeat before the FCC in Washington. The our enemies. Ensuring they have the The PRESIDING OFFICER. There Gorton substitute continues to permit best equipment, training, and quality will now be 20 minutes debate on the cable operators to challenge local gov- of life possible are our highest prior- Feinstein amendment No. 1270, to be ernment decisions before the FCC. ities. equally divided in the usual form, with Why is this objectionable to local ju- This investment in our men and the vote on or in relation to the risdictions? It is objectionable to local women in uniform pays a handsome amendment to follow immediately. jurisdictions because they believe if dividend beyond the security of the Mrs. FEINSTEIN addressed the they are a small city, for example, they United States. Countless numbers of Chair. would be faced with bringing a team people who have served in the Army The PRESIDING OFFICER. The Sen- back to Washington, going before a have gone on to hold important posi- ator from California. highly specialized telecommunications- tions in both the public and private Mrs. FEINSTEIN. Madam President, oriented Federal Communications sectors. Our first President, George the amendment that is the subject of Commission and plighting their troth. Washington, was a general in the discussion is one presented by Senator Then they would be forced to go to Army, as were Ulysses Grant, Zachary KEMPTHORNE and me. There is a section court in Washington, DC, rather than Taylor, and Dwight Eisenhower. Addi- in this bill entitled ‘‘Removal of Entry Federal district court back where they tionally, many former soldiers have to Barriers.’’ It is a section about live. gone on to serve in the Halls of Con- which the cities, the counties and the This constitutes a major financial gress. In the House, there are some 87 States are very concerned because it is impediment for small cities. For big individuals who served in the Army a section that giveth and a section that cities also, they would much prefer to and in the Senate, 27 of our colleagues taketh away. have the issue settled in their district have worn the Army green. I know that Why do I say that? I say it because in court rather than having to come back each of us is proud of our association section 254, the States and local gov- to Washington. with the Army and that we have been ernments are given certain authority The cable operators are big time in able to serve our Nation as both sol- to maintain their jurisdiction and their this country. They maintain Washing- diers and statesmen. control over what are called rights-of- ton offices, they maintain special staff, Madam President, over the past 220 way. they maintain a bevy of skilled tele- years, more than 42 million of our fel- Rights-of-way are streets and roads communications attorneys. Cities do low citizens have raised their right under which cable television companies not. Cities have a city attorney, period. hand and sworn to defend our Nation as put lines. How they do it, where they It is a very different subject. soldiers. In each instance we have do it and with what they do it is all a Suppose a city makes a determina- asked our soldiers to carry out a mis- matter for local jurisdiction. Both sub- tion in the case that they wish to have S 8306 CONGRESSIONAL RECORD — SENATE June 14, 1995 wiring done evenly throughout their be only one telephone company in its central entity to make these decisions, city—I know, and I said this on the jurisdiction or one cable television pro- subject to judicial review when they floor before, when I was mayor, the vider in its jurisdiction, no national or- have to do with whether or not there is local cable operator wanted only to ganization, no Federal Communica- going to be competition, when they wire the affluent areas of our city. tions Commission will have the right have to do with the nature of universal We wanted some of the less affluent to preempt and to frustrate that mo- service, when they have to do with the areas wired; we demanded it, and we nopolistic purpose. It will have to be quality of telecommunications service were able to achieve it. Is this a barrier done in a local district court. And then or the protection of consumers, but be- to entry? Could the cable company if another community in another part lieve that local government should re- then appeal this and bring it back to of the country does the same thing, tain their traditional local control over Washington, meaning that a bevy of at- that will be decided in that district their rights of way, should vote against torneys would have to come back, ap- court. the Feinstein amendment and should pear before the FCC, go to Federal So, Madam President, this amend- vote for mine. It is the balance. It court here or with the local jurisdic- ment—the Feinstein amendment—goes meets the goals that they propose their tion, and maintain its authority, as it far beyond its legitimate scope. But it amendment to meet without being would under the Kempthorne-Feinstein does have a legitimate scope. I join overly broad and without destroying amendment. And then the cable opera- with the two sponsors of the Feinstein the national system of telecommuni- tors, if they did not like it, could take amendment in agreeing that the rules cations competition, which is the goal the item to Federal court. that a city or a county imposes on how of this bill. We believe to leave in the preemption its street rights of way are going to be Mr. KEMPTHORNE. Madam Presi- is, in effect, to create a Federal man- utilized, whether there are above- dent, I am proud to join Senator FEIN- date without funding. So we ask that ground wires or underground wires, STEIN in this amendment. I also wish to subsection (d) be struck and have put what kind of equipment ought to be acknowledge the efforts of the Senator forward this amendment to do so. used in excavations, what hours the ex- from Washington, Senator GORTON, be- I yield now to the Senator from cavations should take place, are a mat- cause all of us are trying to correct Idaho. ter of primarily local concern and, of what is a flaw in this bill. I find it iron- Mr. KEMPTHORNE. Madam Presi- course, they are exempted by sub- ic that the title of this bill, the Tele- dent, how much time do we have re- section (c) of this section. communications Competition and De- maining? So my modification to the Feinstein regulation Act of 1995, this flaw that is The PRESIDING OFFICER. There amendment says that in the case of in this bill smacks right at this whole are 3 minutes 21 seconds remaining. these purely local matters dealing with aspect of deregulation, which this Con- Mr. KEMPTHORNE. Madam Presi- rights of way, there will not be a juris- gress has been very good about reestab- dent, I will reserve my time and ask if diction on the part of the FCC imme- lishing the rights of States and local the Senator from Washington would diately to enjoin the enforcement of units of government. like to speak at this point. those local ordinances. But if, under Madam President, this amendment is I yield the floor and reserve the re- section (b), a city or county makes not about guaranteeing access to the mainder of my time. quite different rules relating to univer- public right of way. As the Senator Mr. GORTON addressed the Chair. sal service or the quality of tele- from Washington just pointed out, that The PRESIDING OFFICER. The Sen- communications services—the very language is in there. That is section ator from Washington is recognized. heart of this bill—then there should be (a). This amendment is not about pre- Mr. GORTON. Madam President, the a central agency at Washington, DC, serving the ability of a State to ad- section at issue here is a section enti- which determines whether or not that vance universal service and to ensure tled ‘‘Removal of Barriers to Entry.’’ inhibits the competition and the very quality in telecommunications serv- And the substance of that section is goals of this bill. ices, because, Madam President, that is that ‘‘No State or local statute or reg- So, Madam President, I am convinced right here in section (b) of the bill. ulation may prohibit or have the effect that Senators FEINSTEIN and This amendment is not about ensuring of prohibiting the ability of any entity KEMPTHORNE are right in the examples to provide any interstate or intrastate that they give, the examples that have that local governments manage their telecommunications services.’’ to do with local rights of way. And the rights of way in a competitively neu- Madam President, this is not about amendment that I propose to sub- tral and nondiscriminatory basis, be- cable companies, although cable com- stitute for their amendment will leave cause that is in section (c) of this bill. panies are one of the subjects of the that where it is at the present time and In fact, the Senator from Texas, the section. This is about all of the tele- will leave disputes in Federal courts in Presiding Officer, was instrumental in communications providers that are the the jurisdictions which are affected. having section (c) put into this act. It subject of this bill. And it is the goal of But if we adopt their amendment, we was very helpful. The whole problem is, this bill to see to it that the maximum have destroyed the ability of the very Madam President, section (d) then pre- degree of competition is available. And commission which has been in exist- empts all of that. In section (d), it in doing so, these fundamental deci- ence for decades to seek uniformity, to states—and I will summarize—that the sions about whether or not an action of promote competition, effectively to do commission shall immediately preempt the State or local government is an in- so; and we will have a balkanized situa- the enforcement of such statute, regu- hibition or a barrier to entry almost tion in every Federal judicial district lation, or legal requirement to the ex- certainly must be decided in one in the United States. So their amend- tent necessary to correct such viola- central place. ment simply goes too far. tion or inconsistency. The amendment to strike the pre- Now, Madam President, I can see I think it is a shame that your good, emption section does not change the some, including some of the sponsors of hard work, Madam President, now has substance. What it does change is the the bill, who feel that this preemption section (d) that preempts it and pulls forum in which any disputes will be ought to be total. And those who feel it the plug on that. There are those that conducted. And if this amendment—the ought to be total should vote ‘‘no’’ on would say the reason you have to have Feinstein amendment—in its original the Feinstein amendment and ‘‘no’’ on that particular section is because there form is adopted, that will be some 150 mine as well. Those who feel that there may be instances in local government or 160 different district courts with dif- should be no national policy, that local that may compel a cable company to ferent attitudes. We will have no na- control and State control of tele- give what they call extractions. We tional uniformity with respect to the communications is so important that asked our cable company in Idaho: Can very goals of this bill, what constitutes the national policy should not be en- you give us some examples of where a a serious barrier to entry. forced by any central agency, should local community has sought extrac- This will say that if a State or some vote for the Feinstein amendment. But tions, where you might have to go in local community decides that it does those who believe in balance, those trees and do something special? We do not like the bill and that there should who believe that there should be one not have any examples. I find it ironic June 14, 1995 CONGRESSIONAL RECORD — SENATE S 8307 that because there are some who be- state and local governments in the develop- to manage the transition to a procom- lieve that these extractions could take ment of the information superhighway. In petitive environment rather than federal place, the remedy is to say that we will particular we are concerned that Section agency preemption, and authority for states now have a Federal commission of non- 254(d) would preempt local government au- and localities to manage the public rights-of- thority over the management of public way. At a June 6 meeting of the State and elected people preempt what local or rights-of-way and local government’s ability Local Coalition, chaired by Governor George State governments do. That is back- to receive fair and reasonable compensation V. Voinovich, the attached letter was signed sliding from what we have been trying for use of the right-of-way. We strongly op- by local officials and Iowa Governor Terry E. to do with this Congress. posed any preemption which would have the Branstad, NGA co-lead Governor on Tele- The Senator from Washington said impact of imposing new unfunded costs upon communications. The letter calls for the sup- that we must decide these cases in one our states, local governments, and tax- port of two amendments. place. That message is very clear, payers. Feinstein/Kempthorne Amendment: Delet- Madam President. If there is a prob- Second, Senator Leahy will offer an ing Section 254(d). Senator amendment to strike language preempting (D–Calif.) and Senator (R– lem, then we are now going to say with states from requiring intraLATA toll dialing Idaho) are offering an amendment that this legislation, if we leave section (d) parity. Ten states have already established would strip broad and ambiguous FCC pre- in there, they must come to Washing- this requirement as a means of increasing emption language from section 254(d) of the ton, DC. You must come to Washing- competition; thirteen more states are con- bill. Section 254(a) preempts states and local- ton, DC. sidering its adoption. If the goal of S. 652 is ities from erecting barriers to entry, and What has happened to federalism, to to increase competition, the legislation this preemption is supported by NGA policy. States rights and local rights? It was should not take existing authority from Section 254(b) permits states to set terms brought to my attention that in the states that is already being used to further and conditions for doing business within a state, including consumer protections and State of Arizona they have pointed out compensation. We strongly oppose this pre- emption and urge your support for Senator quality of services; section 254(c) ensures the that this, in fact, could preempt the Leahy’s amendment. authority of states and local government to Constitution of the State of Arizona. Again, we urge you to join Senator Fein- manage the public rights-of-way. This is a flaw in this legislation, stein and Senator Leahy in their efforts to Paragraph (c) was inserted in the bill in Madam President, that, again, a non- eliminate these two provisions from the bill committee by Senator Kay Bailey Hutchison elected Commission—which I have a and avoid unwarranted preemption of state (R-Tex.), and includes a requirement that great respect for that Commission— and local government in this critical area. any such fees and charges be nondiscrim- could, in essence, preempt the Con- Sincerely, inatory. Paragraph (d) states that if the FCC ‘‘determines that a state or local govern- stitution of the State. , Co-Lead Governor on Telecommunications. ment has permitted or imposed any statute, I ask unanimous consent to have JANE L. CAMPBELL, regulation, or legal requirement that vio- printed in the RECORD a letter from the President, National Conference of State lates or is inconsistent with this section, the National Governors’ Association, Na- Legislatures. FCC shall immediately preempt the enforce- tional Conference of State Legisla- RANDALL FRANKE, ment of such statute, regulation, or legal re- tures, National Association of Coun- President, National Association of Counties. quirement to the extent necessary to correct ties, National League of Cities, U.S. CAROLYN LONG BANKS, such violation or inconsistency.’’ Because Conference of Mayors, all in support of President, National League of Cities. small telephone or cable companies are un- this amendment. They point out that VICTOR ASHE, likely to have a presence in Washington, President, U.S. Conference of Mayors. D.C., this provision would result in a bias to- this will not be the impediment to the ward major competitors. Striking paragraph barrier, but it is the right amendment NATIONAL GOVERNORS ASSOCIATION, (d) leaves adequate protections for a com- to correct this flaw. Washington, DC, June 8, 1995. petitive market. There being no objection, the mate- Leahy/Simpson Amendment: Deleting Pre- STATE PREEMPTION IN FEDERAL TELE- emption of State Authority to Require rial was ordered to be printed in the COMMUNICATIONS DEREGULATION LEGISLA- IntraLATA Toll Dialing Parity. One major RECORD, as follows: TION reason that competition in long distance NATIONAL GOVERNORS’ ASSOCIATION, SUMMARY service has increased is the requirement that NATIONAL CONFERENCE OF STATE The U.S. Senate has begun consideration of local phone companies permit long-distance LEGISLATURES, NATIONAL ASSO- S. 652, a bill to rewrite the Federal Commu- carriers dialing parity (i.e., consumers no CIATION OF COUNTIES, NATIONAL nications Act of 1934 to promote competi- longer have to dial additional numbers to LEAGUE OF CITIES, AND UNITED tion. Several provisions in the bill and cer- utilize an alternative long-distance carrier STATES CONFERENCE OF MAYORS, tain proposed amendments would adversely service). Customers choose a carrier, and all June 6, 1995. affect states, and Governors need to commu- interLATA calls are billed through that Hon. ROBERT DOLE, nicate their concerns to their senators to: company. However, calls within a local ac- Majority Leader, U.S. Senate, Support the Feinstein/Kempthorne amend- cess and transport area (intraLATA), or so- Hon. , ment to strike section 254(d) on FCC preemp- called short-haul or regional long-distance Minority Leader, U.S. Senate, tion; calls, are under state jurisdiction and not Washington, DC. Support the Leahy/Simpson amendment to subject to this FCC rule. To date, ten states DEAR SENATOR DOLE AND SENATOR protect the state option to require have required toll dialing parity, and twelve DASCHLE: On behalf of state and local gov- intraLATA toll dialing parity (open, com- ernments throughout the nation, we are states are currently considering its adoption. petitive markets for regional phone service); writing to strongly urge your support for Paragraph 255(B)(ii) of S. 652 would preempt and two amendments to S. 652, the Telecommuni- the authority of states to order intraLATA Oppose the Packwood/McCain amendment cations Competition and Deregulation Act of toll dialing parity; Senator Patrick S. Leahy to preempt local and state authority to tax 1995. Together these amendments would pre- (D-Vt.) and Senator Alan K. Simpson (R- direct broadcast satellite services (DBS). vent an unwarranted preemption of state and Wyo.) are offering an amendment that would local government authority and speed the BACKGROUND remove this preemptive language. State and Local Taxing Authority. As re- transition to a competitive telecommuni- Both the House and the Senate have re- ported by the Senate Commerce, Science, cations environment. The first amendment ported legislation to reform the Federal and Transportation Committee, S. 652 in- achieves the appropriate balance between Communications Act of 1934. The Senate bill, cludes language ensuring that state and the needed preemption of barriers to entry S. 652, would require local phone companies local government taxation authority is not and the legitimate authority of states and to open their networks to competitors while affected by the bill. Senator Bob Packwood localities, and the second permits states to also permitting those companies to offer (R-Ore.) and Senator John McCain (R-Ariz.) continue efforts already underway to pro- video services in competition with local may offer an amendment exempting the DBS mote competition. cable television franchises. Once the regional First, Senator Feinstein will offer an Bell telephone companies open their net- industry from any local taxation, even taxes amendment to delete a broad and ambiguous works, they can apply to the Federal Com- administered by states. This language is preemption section (section 254(d) of Title munications Commission (FCC) for permis- taken from H.R. 1555, recently approved by II). The Senate’s bill’s proposal under Sec- sion to offer long-distance service. the House Commerce Committee. States tion 254(d) for Federal Communications Com- During the debate over telecommuni- must ensure that the Senate bill avoids the mission (FCC) review and preemption of cations in 1994, states and localities banded preemption of state and local taxing author- state and local government authority is to- together to promote three principles for in- ity. tally inappropriate. Section 254 (a) and (c) clusion in federal legislation: strong univer- ACTIONS NEEDED provide the necessary safeguard against any sal service protections, regulatory flexibility Governors need to contact their senator to possible entry barriers or impediments by that would retain an effective role for states urge support for both the Feinstein/ S 8308 CONGRESSIONAL RECORD — SENATE June 14, 1995 Kempthorne amendment and the Leahy/ should be decided in one central place, Mr. GORTON. Mr. President, I move Simpson amendment, and to urge opposition by the FCC. to reconsider the vote. to the Packwood/McCain amendment. The appropriate balance is to leave Mr. PRESSLER. I move to lay that Mr. LEVIN. Madam President, I sup- purely local concerns to local entities, motion on the table. port the Feinstein amendment to re- but to make decisions on the natural AMENDMENTS NOS. 1284, AS MODIFIED, AND 1282, move the provision in S. 652 which concerns which are at the heart of this AS MODIFIED, EN BLOC would preempt local control of the pub- bill in one central place so they can be (Purpose: To require audits to ensure that lic rights-of-way. consistent across the country. the Bell operating companies meet the sep- The Feinstein amendment would re- Madam President, the purposes of arate subsidiary requirements and safe- move section 254(d) of the tele- this bill will be best served by defeat- guards) communications bill currently being ing this amendment and adopting the (Purpose: To recognize the National Edu- considered by the Senate which directs subsequent amendment. I yield back cation Technology Funding Corporation as the FCC to examine and preempt any the balance of my time. a nonprofit corporation operating under State and local laws or regulations the laws of the District of Columbia, to Mrs. FEINSTEIN. Madam President, provide authority for Federal departments which might prohibit a company from I ask for the yeas and nays. and agencies to provide assistance to such providing telecommunications serv- The PRESIDING OFFICER (Mr. corporation, and for other purposes) ices. CAMPBELL). Is there a sufficient sec- Mr. PRESSLER. Mr. President, I As a former local official I have al- ond? There is a sufficient second. send two amendments to the desk and ways felt it was important that we in The yeas and nays were ordered. ask for their immediate consideration Congress pay proper recognition to the The PRESIDING OFFICER. The en bloc. The amendments are modified rights of local government. question is on agreeing to the Fein- versions of the amendments Nos. 1284 Section 254(d) is the type of legislat- stein amendment No. 1270. and 1282 by Senators SIMON and ing that we in Washington should not The clerk will call the roll. MOSELEY-BRAUN. They are acceptable be doing—preempting State and local The bill clerk called the roll. to the bill managers and have been decisions in areas where local govern- The PRESIDING OFFICER. Are there cleared on both sides of the aisle. ment has the responsibility and speci- any other Senators in the Chamber de- Mr. FORD. Mr. President, he may be fied knowledge to act in the best inter- siring to vote? giving away the dome on the Capitol est of their local communities. Wash- The result was announced— yeas 44, Building. We want to know. ington should not micromanage how nays 56, as follows: The PRESIDING OFFICER. The Sen- local government administers its [Rollcall Vote No. 258 Leg.] ate will be in order. Senators wishing streets, highways, and other public YEAS—44 to hold conversations will retire to the rights-of-way. Abraham Faircloth Levin cloakroom. I will vote in favor of the Feinstein Akaka Feingold Mack Will the Senator from South Dakota amendment and in favor of the right of Baucus Feinstein McCain repeat his request. local governments to retain control Biden Ford Mikulski Bingaman Glenn Mr. PRESSLER. I ask adoption of over their streets, highways, and Moseley-Braun Bond Graham Murray the Simon amendment and the rights-of-way. Boxer Hatfield Pell Moseley-Braun amendment. Mr. KEMPTHORNE. Madam Presi- Bradley Hutchison Pryor Burns Inhofe The PRESIDING OFFICER. Without Robb dent, how much time do I have remain- Byrd Kempthorne objection, the amendments may be Roth ing? Campbell Kennedy Sarbanes considered en bloc at this time. The The PRESIDING OFFICER. The Sen- Cohen Kerry Simpson clerk will report the amendments. ator’s time is expired. Conrad Kohl DeWine Lautenberg Thomas The legislative clerk read as follows: Mr. GORTON. Madam President, how Dodd Leahy Wellstone The Senator from South Dakota [Mr. much time is remaining? NAYS—56 PRESSLER], for Mr. SIMON, proposes amend- The PRESIDING OFFICER. Three ment numbered 1284, as modified; and, for Ashcroft Gramm Moynihan minutes, 38 seconds. Ms. MOSELEY-BRAUN, amendment numbered Bennett Grams Mr. GORTON. Madam President, Murkowski 1282, as modified. Breaux Grassley Nickles once again, the alternative proposal, Brown Gregg Nunn The amendments (Nos. 1284 and 1282), which will be voted on only if this Bryan Harkin Packwood as modified, are as follows: amendment is defeated, retains not Bumpers Hatch Pressler Chafee Heflin AMENDMENT NO. 1284 only the right of local communities to Reid Coats Helms Rockefeller On page 31, insert at the appreciate place Cochran Hollings deal with their rights of way, but their Santorum the following: Coverdell Inouye right to meet any challenge on home Shelby ‘‘(d) BIENNIAL AUDIT.— Craig Jeffords Simon ground in their local district courts. D’Amato Johnston ‘‘(1) GENERAL REQUIREMENT.—A company The Feinstein amendment itself, Daschle Kassebaum Smith required to operate a separate affiliate under Madam President, would deprive the Dole Kerrey Snowe this section shall obtain and pay for a joint Specter FCC of any jurisdiction over a State Domenici Kyl Federal/State audit every 2 years conducted Dorgan Lieberman Stevens law which deliberately prohibited or by an independent auditor selected by the Exon Lott Thompson Commission, and working at the direction of, frustrated the ability of any tele- Frist Lugar Thurmond the Commission and the State commission of Gorton McConnell Warner communications entity to provide each State in which such company provides competitive service. So the amendment (No. 1270) was re- service, to determine whether such company It would simply take that right away jected. has complied with this section and the regu- from the FCC, and each such challenge Mr. GORTON. Mr. President, I move lations promulgated under this section, and would have to be decided in each of the to reconsider the vote. particularly whether such company has com- various Federal district courts around Mr. PRESSLER. I move to lay that plied with the separate accounting require- the country. motion on the table. ments under subsection (b). ‘‘(2) RESULTS SUBMITTED TO COMMISSION; The States retain the right under The motion to lay on the table was STATE COMMISSIONS.—The auditor described subsection (d) to pass all kinds of legis- agreed to. in paragraph (1) shall submit the results of lation that deals with telecommuni- Mr. PRESSLER. I ask unanimous the audit to the Commission and to the cations providers, subject to the provi- consent that the Gorton amendment State commission of each State in which the sion that they cannot impede competi- now be adopted by voice vote. company audited provides service, which tion. The PRESIDING OFFICER. The shall make such results available for public The determination of whether they question is on agreeing to the amend- inspection. Any party may submit comments have impeded competition, not by the ment. on the final audit report. ‘‘(3) ACCESS TO DOCUMENTS.—For purposes way they manage trees or rights of Without objection, the amendment is of conducting audits and reviews under this way, but by the way they deal with agreed to. subsection— substantive law dealing with tele- So the amendment (No. 1277) was ‘‘(A) the independent auditor, the Commis- communications entities. That conflict agreed to. sion, and the State commission shall have June 14, 1995 CONGRESSIONAL RECORD — SENATE S 8309

access to the final accounts and records of technologies through public-private ven- (2) REPORTING REQUIREMENTS.—The report each company and of its affiliates necessary tures, by serving as a clearinghouse for in- of each annual audit described in paragraph to verify transactions conducted with that formation on new education technologies, (1) shall be included in the annual report re- company that are relevant to the specific ac- and by providing technical assistance, in- quired by section 06(a). tivities permitted under this section and cluding assistance to States, if needed, to es- (b) RECORDKEEPING REQUIREMENTS; AUDIT that are necessary for the regulation of tablish State education technology agencies. AND EXAMINATION OF BOOKS.— rates; (b) PURPOSE.—The purpose of this title is (1) RECORDKEEPING REQUIREMENTS.—The ‘‘(B) the Commission and the State com- to recognize the Corporation as a nonprofit Corporation shall ensure that each recipient mission shall have access to the working pa- corporation operating under the laws of the of assistance from the Corporation keeps— pers and supporting materials of any auditor District of Columbia, and to provide author- who performs an audit under this section; ity for Federal departments and agencies to (A) separate accounts with respect to such and provide assistance to the Corporation. assistance; ‘‘(C) the State commission shall imple- SEC. 03. DEFINITIONS. (B) such records as may be reasonably nec- ment appropriate procedures to ensure the For the purpose of this title— essary to fully disclose— protection of any proprietary information (1) the term ‘‘Corporation’’ means the Na- (i) the amount and the disposition by such submitted to it under this section. tional Education Technology Funding Cor- recipient of the proceeds of such assistance; poration described in section 02(a)(1); (ii) the total cost of the project or under- AMENDMENT NO. 1282 (2) the terms ‘‘elementary school’’ and taking in connection with which such assist- ‘‘secondary school’’ have the same meanings At the end of the bill, insert the following: ance is given or used; and given such terms in section 14101 of the Ele- TITLE —NATIONAL EDUCATION (iii) the amount and nature of that portion TECHNOLOGY FUNDING CORPORATION mentary and Secondary Education Act of 1965; and of the cost of the project or undertaking sup- SEC. 01. SHORT TITLE. (3) the term ‘‘public library’’ has the same plied by other sources; and This title may be cited as the ‘‘National meaning given such term in section 3 of the (C) such other records as will facilitate an Education Technology Funding Corporation Library Services and Construction Act. effective audit. Act of 1995’’. SEC. 04. ASSISTANCE FOR EDUCATION TECH- (2) AUDIT AND EXAMINATION OF BOOKS.—The SEC. 02. FINDINGS; PURPOSE. NOLOGY PURPOSES. Corporation shall ensure that the Corpora- (a) FINDINGS.—The Congress finds as fol- (a) RECEIPT BY CORPORATION.—Notwith- tion, or any of the Corporation’s duly au- lows: standing any other provision of law, in order thorized representatives, shall have access (1) CORPORATION.—There has been estab- to carry out the corporate purposes de- for the purpose of audit and examination to lished in the District of Columbia a private, scribed in section 02(a)(3), the Corporation any books, documents, papers, and records of nonprofit corporation known as the National shall be eligible to receive discretionary any recipient of assistance from the Corpora- Education Technology Funding Corporation grants, contracts, gifts, contributions, or tion that are pertinent to such assistance. which is not an agency or independent estab- technical assistance from any federal depart- Representatives of the Comptroller General lishment of the Federal Government. ment or agency, to the extent otherwise per- shall also have such access for such purpose. (2) BOARD OF DIRECTORS.—The Corporation mitted by law. is governed by a Board of Directors, as pre- (b) AGREEMENT.—In order to receive any SEC. 06. ANNUAL REPORT; TESTIMONY TO THE scribed in the Corporation’s articles of incor- assistance described in subsection (a) the CONGRESS. poration, consisting of 15 members, of Corporation shall enter into an agreement (a) ANNUAL REPORT.—Not later than April which— with the Federal department or agency pro- 30 of each year, the Corporation shall publish (A) five members are representative of pub- viding such assistance, under which the Cor- an annual report for the preceding fiscal lic agencies representative of schools and poration agrees— year and submit that report to the President public libraries; (1) to use such assistance to provide fund- and the Congress. The report shall include a (B) five members are representative of ing and technical assistance only for activi- comprehensive and detailed evaluation of State government, including persons knowl- ties which the Board of Directors of the Cor- the Corporation’s operations, activities, fi- edgeable about State finance, technology poration determines are consistent with the nancial condition, and accomplishments and education; and corporate purposes described in section under this title and may include such rec- (C) five members are representative of the 02(a)(3); ommendations as the Corporation deems ap- private sector, with expertise in network (2) to review the activities of State edu- propriate. technology, finance and management. cation technology agencies and other enti- (b) TESTIMONY BEFORE CONGRESS.—The (3) CORPORATE PURPOSES.—The purposes of ties receiving assistance from the Corpora- members of the Board of Directors, and offi- the Corporation, as set forth in its articles of tion to assure that the corporate purposes cers, of the Corporation shall be available to incorporation, are— described in section 02(a)(3) are carried out; testify before appropriate committees of the (A) to leverage resources and stimulate (3) that no part of the assets of the Cor- Congress with respect to the report described private investment in education technology poration shall accrue to the benefit of any in subsection (a), the report of any audit infrastructure; member of the Board of Directors of the Cor- made by the Comptroller General pursuant (B) to designate State education tech- poration, any officer or employee of the Cor- to this title, or any other matter which any nology agencies to receive loans, grants or poration, or any other individual, except as such committee may determine appropriate. other forms of assistance from the Corpora- salary or reasonable compensation for serv- tion; ices; Ms. MOSELEY-BRAUN. Mr. Presi- (C) to establish criteria for encouraging (4) that the Board of Directors of the Cor- dent, this amendment is identical to S. States to— poration will adopt policies and procedures 792, legislation designed to connect (i) create, maintain, utilize and upgrade to prevent conflicts of interest; public schools and public libraries to interactive high capacity networks capable (5) to maintain a Board of Directors of the the information superhighway, which I of providing audio, visual and data commu- Corporation consistent with section nications for elementary schools, secondary 02(a)(2); introduced earlier this year. schools and public libraries; (6) that the Corporation, and any entity re- If there is any objective that should (ii) distribute resources to assure equitable ceiving the assistance from the Corporation, command complete American consen- aid to all elementary schools and secondary are subject to the appropriate oversight pro- sus, it is to ensure that every Amer- schools in the State and achieve universal cedures of the Congress; and ican has a chance to succeed. That is access to network technology; and (7) to comply with— (iii) upgrade the delivery and development (A) the audit requirements described in the core concept of the American of learning through innovative technology- section 05; and dream—the chance to achieve as much based instructional tools and applications; (B) the reporting and testimony require- and to go as far as your ability and tal- (D) to provide loans, grants and other ments described in section 06. ent will take you. Public education has forms of assistance to State education tech- (c) CONSTRUCTION.—Nothing in this title always been a part of that core con- nology agencies, with due regard for provid- shall be construed to establish the Corpora- cept. In this country, the chance to be tion as an agency or independent establish- ing a fair balance among types of school dis- educated has always gone hand in hand tricts and public libraries assisted and the ment of the Federal Government, or to es- disparate needs of such districts and librar- tablish the members of the Board of Direc- with the chance to succeed. ies; tors of the Corporation, or the officers and TECHNOLOGY (E) to leverage resources to provide maxi- employees of the Corporation, as officers or mum aid to elementary schools, secondary employees of the Federal Government. Nonetheless, I am convinced that it schools and public libraries; and SEC. 05. AUDITS. will be difficult if not impossible for us (F) to encourage the development of edu- (a) AUDITS BY INDEPENDENT CERTIFIED PUB- to prepare all of our children to com- cation telecommunications and information LIC ACCOUNTANTS.— pete in the emerging global economy S 8310 CONGRESSIONAL RECORD — SENATE June 14, 1995 unless they all have access to the tech- tion of the information superhighway. This amendment will not infringe on nology available on the information su- Federal support for the acquisition and local control over public education in perhighway. Technology can help use of technology in elementary and any way. Rather, it will supplement, teachers and students play the new secondary schools is currently frag- augment, and assist local efforts to roles that are being required of them in mented, coming from a diverse group of support education technology in the the emerging global economy. It can programs and departments. Although least intrusive way possible by helping help teachers use resources from across the full extent to which the Federal local school districts build their own the globe or across the street to create Government currently supports invest- on-ramps to the information super- different learning environments for ments in education technology at the highway. their students without ever leaving the precollegiate level is not known, the S. 792 has been cosponsored by Sen- classroom. Technology can also allow Office of Technology Assessment esti- ators BURNS, CAMPBELL, KERRY, and students to access the vast array of mated in its report—‘‘Power On!’’— ROBB and endorsed by the National material, available electronically, nec- that the programs administered by the Education Association, the National essary to engage in the analysis of real Department of Education provided $208 School Boards Association, the Amer- world problems and questions. million for education technology in ican Library Association, the Council GAO REPORTS 1988. for Education Development and Re- Last year, I asked the General Ac- There is little doubt that substantial search, and organizations concerned counting Office to conduct a com- costs will accompany efforts to bring about rural education. prehensive, nationwide study of our education technologies into public CONCLUSION Nation’s education infrastructure. The schools in any comprehensive fashion. Mr. President, I urge my colleagues GAO decided to meet my request with In his written testimony before the to take this important step to help five separate reports. The first report House Telecommunications and Fi- connect public schools and public li- entitled—‘‘The Condition of America’s nance Subcommittee on September 30, braries to the information super- Schools’’—concluded that our Nation’s 1994, Secretary of Education Richard highway by quickly enacting my public schools need $112 billion to re- Riley estimated that it will cost any- amendment into law. store their facilities to good overall where from $3 to $8 billion annually to The PRESIDING OFFICER. The condition. build the education portion of the na- question is on agreeing to the amend- The most recent GAO report enti- tional information infrastructure. ments en bloc. tled—‘‘America’s Schools Not Designed NATIONAL EDUCATION TECHNOLOGY FUNDING Without objection, the amendments or Equipped for the 21st Century’’— CORPORATION are agreed to. concluded that more than half of our Mr. President, three leaders in the So the amendments (Nos. 1282 and Nation’s public schools lack six or areas of education and finance came 1284), as modified, were agreed to. more of the technology elements nec- together recently to help public Mr. SIMON. I move to reconsider the essary to reform the way teachers schools and public libraries meet these vote. teach and students learn including: costs. On April 4, , Mr. PRESSLER. I move to lay that computers, printers, modems, cable former U.S. Senator from , motion on the table. The motion to lay on the table was TV, laser disc players, VCR’s, and TV’s. Jim Murray, former president of agreed to. The report states that: 86.8 percent of Fannie Mae, and Dr. Mary Hatwood all public schools lack fiber-optic Futrell, former president of the Na- f cable; 46.1 percent lack sufficient elec- tional Education Association, created CLOTURE MOTION trical wiring; 34.6 percent lack suffi- the National Education Technology cient electrical power for computers; Funding Corp. The PRESIDING OFFICER. Under the previous order, the clerk will now 51.8 percent lack sufficient computer As outlined in its articles of incorpo- report the motion to invoke cloture on networks; 61.2 percent lack sufficient ration, the National Education Tech- S. 652. phone lines for instructional use; 60.6 nology Funding Corp. will stimulate The legislative clerk read as follows: percent lack sufficient conduits and public and private investment in our raceways; and 55.5 percent lack suffi- Nation’s education technology infra- CLOTURE MOTION cient phone lines for modems. structure by providing States with We, the undersigned Senators, in accord- ance with the provisions of rule XXII of the LOCAL PROPERTY TAXES loans, loan guarantees, grants, and Standing Rules of the Senate do hereby The most recent GAO report did find other forms of assistance. move to bring to close debate on Calendar that students in some schools are tak- AMENDMENT No. 45, S. 652, the Telecommunications Com- ing advantage of the benefits associ- Mr. President, I introduced S. 792, petition and Deregulation Act: ated with education technology. The the National Education Technology , Larry Pressler, Judd Gregg, bottom line, however, is that we are Funding Corporation Act, on May 11, Don Nickles, Rod Grams, Rick still failing to provide all of our Na- Santorum, Craig Thomas, Spencer 1995, to help provide the seed money Abraham, J. James Exon, Bob Dole, tion’s children with the best tech- necessary to get this exciting private Ted Stevens, Larry E. Craig, Mike nology resources in the world because sector initiative off the ground. Rather DeWine, John Ashcroft, Robert F. Ben- the American system of public edu- than supporting our Nation’s education nett, Hank Brown, Conrad R. Burns. cation has forced local school districts technology infrastructure by creating f to maintain our public schools pri- another Federal program, this legisla- marily with local property taxes. tion would simply authorize Federal CALL OF THE ROLL In , the local share of public departments and agencies to make The PRESIDING OFFICER. By unan- education funding increased from 48 grants to the NETFC. imous consent, the quorum call has percent during the 1980–81 school year The amendment I am introducing been waived. to 58 percent during the 1992–93 school today would not create the NETFC or f year, while the State share fell from 43 recognize it as an agency or establish- to 34 percent during this same period. ment of the U.S. Government; it would VOTE The Federal Government’s share of only recognize its incorporation as a The PRESIDING OFFICER. The public education funding has also fall- private, nonprofit organization by pri- question now occurs, Is it the sense of en from 9.1 percent during the 1980–81 vate citizens. However, since NETFC the Senate that debate on S. 652, the school year to 5.6 percent during the would be using public funds to connect telecommunications bill, shall be 1993–94 school year. public schools and public libraries to brought to a close? The yeas and nays INFORMATION SUPERHIGHWAY the information superhighway, my are required. The clerk will call the These statistics as well as the results amendment would require the corpora- roll. of the second GAO report suggest to me tion to submit itself and its grantees to The legislative clerk called the roll. that the Federal Government must do appropriate congressional oversight The yeas and nays resulted—yeas 89, more to help build the education por- procedures and annual audits. nays 11, as follows: