S. HRG. 110–760 OVERSIGHT OF THE DTV TRANSITION HEARING BEFORE THE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION UNITED STATES SENATE ONE HUNDRED TENTH CONGRESS SECOND SESSION APRIL 8, 2008 Printed for the use of the Committee on Commerce, Science, and Transportation ( U.S. GOVERNMENT PRINTING OFFICE 44–299 PDF WASHINGTON : 2009 For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512–1800; DC area (202) 512–1800 Fax: (202) 512–2104 Mail: Stop IDCC, Washington, DC 20402–0001 VerDate Nov 24 2008 11:52 Mar 17, 2009 Jkt 000000 PO 00000 Frm 00001 Fmt 5011 Sfmt 5011 S:\WPSHR\GPO\DOCS\44299.TXT SCOM1 PsN: JACKIE SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION ONE HUNDRED TENTH CONGRESS SECOND SESSION DANIEL K. INOUYE, Hawaii, Chairman JOHN D. ROCKEFELLER IV, West Virginia TED STEVENS, Alaska, Vice Chairman JOHN F. KERRY, Massachusetts JOHN MCCAIN, Arizona BYRON L. DORGAN, North Dakota KAY BAILEY HUTCHISON, Texas BARBARA BOXER, California OLYMPIA J. SNOWE, Maine BILL NELSON, Florida GORDON H. SMITH, Oregon MARIA CANTWELL, Washington JOHN ENSIGN, Nevada FRANK R. LAUTENBERG, New Jersey JOHN E. SUNUNU, New Hampshire MARK PRYOR, Arkansas JIM DEMINT, South Carolina THOMAS R. CARPER, Delaware DAVID VITTER, Louisiana CLAIRE MCCASKILL, Missouri JOHN THUNE, South Dakota AMY KLOBUCHAR, Minnesota ROGER F. WICKER, Mississippi MARGARET L. CUMMISKY, Democratic Staff Director and Chief Counsel LILA HARPER HELMS, Democratic Deputy Staff Director and Policy Director CHRISTINE D. KURTH, Republican Staff Director and General Counsel PAUL NAGLE, Republican Chief Counsel (II) VerDate Nov 24 2008 11:52 Mar 17, 2009 Jkt 000000 PO 00000 Frm 00002 Fmt 5904 Sfmt 5904 S:\WPSHR\GPO\DOCS\44299.TXT SCOM1 PsN: JACKIE C O N T E N T S Page Hearing held on April 8, 2008 ................................................................................ 1 Statement of Senator Carper .................................................................................. 37 Statement of Senator Hutchison ............................................................................ 3 Statement of Senator Inouye .................................................................................. 1 Statement of Senator Klobuchar ............................................................................ 6 Statement of Senator McCaskill ............................................................................. 33 Statement of Senator Pryor .................................................................................... 29 Statement of Senator Smith ................................................................................... 5 Statement of Senator Stevens ................................................................................ 2 Statement of Senator Sununu ................................................................................ 4 Statement of Senator Thune ................................................................................... 42 Statement of Senator Wicker .................................................................................. 36 WITNESSES Baker, Meredith Attwell, Acting Assistant Secretary for Communications and Information, National Telecommunications and Information Administration, Department of Commerce .................................................................................... 19 Prepared statement .......................................................................................... 21 Martin, Hon. Kevin J., Chairman, Federal Communications Commission ........ 7 Prepared statement .......................................................................................... 11 APPENDIX Cantwell, Hon. Maria, U.S. Senator from Washington, prepared statement ..... 48 Kerry, Hon. John F., U.S. Senator from Massachusetts, prepared statement ... 47 Nelson, Hon. Bill, U.S. Senator from Florida, prepared statement ..................... 47 Response to written questions submitted to Meredith Attwell Baker by: Hon. Maria Cantwell ........................................................................................ 59 Hon. Kay Bailey Hutchison ............................................................................. 61 Hon. Daniel K. Inouye ...................................................................................... 56 Hon. Bill Nelson ............................................................................................... 57 Response to written questions submitted to Hon. Kevin J. Martin by: Hon. Maria Cantwell ........................................................................................ 53 Hon. Kay Bailey Hutchison ............................................................................. 56 Hon. Daniel K. Inouye ...................................................................................... 49 Hon. John F. Kerry .......................................................................................... 50 Hon. Bill Nelson ............................................................................................... 52 (III) VerDate Nov 24 2008 11:52 Mar 17, 2009 Jkt 000000 PO 00000 Frm 00003 Fmt 5904 Sfmt 5904 S:\WPSHR\GPO\DOCS\44299.TXT SCOM1 PsN: JACKIE VerDate Nov 24 2008 11:52 Mar 17, 2009 Jkt 000000 PO 00000 Frm 00004 Fmt 5904 Sfmt 5904 S:\WPSHR\GPO\DOCS\44299.TXT SCOM1 PsN: JACKIE OVERSIGHT OF THE DTV TRANSITION TUESDAY, APRIL 8, 2008 U.S. SENATE, COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION, Washington, DC. The Committee met, pursuant to notice, at 2:30 p.m. in room SR–253, Russell Senate Office Building, Hon. Daniel K. Inouye, Chairman of the Committee, presiding. OPENING STATEMENT OF HON. DANIEL K. INOUYE, U.S. SENATOR FROM HAWAII The CHAIRMAN. Our nation relies on television for news, informa- tion, and entertainment. With February 17, 2009 only 10 months away, too many Americans remain in the dark about what the dig- ital television transition means. A recent Consumer Union survey found that 74 percent of consumers who know about DTV transi- tion have major misconceptions about what it means. The same survey found that a staggering 73 percent were unaware of the government program created to offset the cost of purchasing con- verter boxes. And the members of this Committee find these num- bers to be very troubling. The FCC and the NTIA have been charged with ensuring that the DTV transition proceeds smoothly. I think all of us agree that the stakes are very high, and it is imperative that these two agen- cies make a success of this transition, as their number one priority. I realize there are a number of important challenges facing the FCC, including the question on how to proceed with the auction of the D Block. We have deep reservations about the FCC spending its limited time and resources in media areas unrelated to the tran- sition. Meanwhile, the NTIA is challenged by the Administration’s push for a third leadership change in the agency within the past year. And so I urge both agencies to keep an eye on what is most pressing, and to proceed cautiously when you choose to spend time on what is not. To ensure that you focus on the task at hand, I ask that both the FCC and the NTIA provide the members of this Com- mittee with a monthly status report regarding the status of this transition, as well as your continuing challenges. I request that you work with our staff to coordinate the details. A few moments ago, I was chatting with a young lady about this transition, and she was telling me about her grandmother. And I can imagine grandmothers waking up the morning of the 17th, turning on their TV set, and all of a sudden nothing appears. It (1) VerDate Nov 24 2008 11:52 Mar 17, 2009 Jkt 000000 PO 00000 Frm 00005 Fmt 6633 Sfmt 6633 S:\WPSHR\GPO\DOCS\44299.TXT SCOM1 PsN: JACKIE 2 would be a sad day for all of us. So I think we should try our very best, very best. May I ask my Vice Chairman. STATEMENT OF HON. TED STEVENS, U.S. SENATOR FROM ALASKA Senator STEVENS. Thank you very much, Mr. Chairman. Thank you for holding the hearing. It’s nice to see Chairman Martin and Secretary Baker appear here today. Our nation faces an historic change in less than 1 year, and Americans will reap the benefits of this transition, in my judgment. First, public safety will receive an additional 24 megahertz. Second, public safety will also receive critical funding from the proceeds of the digital transition. And third, the viewers will enjoy DVD-quality signals and increased programming through multi-casting. It’s crucial that government officials, industry, and consumer ad- vocacy groups maintain a continuous drumbeat throughout this next year in outreach efforts. I am particularly concerned that el- derly viewers and rural and remote residents are adequately in- formed. Our Alaska residents in villages are the most remote peo- ple in this country, and they have the same right to receive infor- mation about the transition as Americans who live in large cities. In that view, my office has been trying to help out by working with local groups such as our broadcasters, AARP representatives, Native groups, senior centers, and the Postal Service to ensure that the message about this converter box program gets out to all Alas- kans. We have also made the converter box applications available through my website and through my district offices in Alaska. But, there are particular issues that need the attention, I think, of our witnesses. I’m pleased that they would come and be with us today. I hope